AWARDS FOR EXCELLENCE IN EXPORTS & PRODUCTIVITY

ASEAN pact opening markets for India: Prof KV Thomas

The ASEAN agreement which India had also signed is opening up greater opportunities than the challenges. Delivering the presidential speech at the Spices Board’s function to present export performance and productivity awards to exporters and farmers respectively, in Cochin on 9th April 2010, the Union Minister of State for Agriculture, Public Distribution and Consumer Affairs, Prof. Dr. K.V. Thomas, said that the agreement will give Indian business access to the large ASEAN market. India  has developed a number of value added products of pepper, mainly for export.    Although the production of black pepper in India is stagnant around 50,000 metric tonnes, Indian pepper fetches a premium price in major international markets because of its preference  and intrinsic quality.   During the year 2008-09, we exported  more than half of the pepper produced here, that is 25,250 tonnes valued at Rs. 414.00 crores. In most of the producing countries except in India, the domestic use of pepper is very negligible.  As for India, the domestic consumption is more than 60 per cent of its production.  Due to the negligible internal use in other countries, they are forced to sell out their production in the  international market at any price.  There lies the problem for us.

Prof. Dr. K.V. Thomas informed that the production development of pepper is under the Ministry of agriculture while the Forward marketing of pepper is under the Ministry of Consumer Affairs. Being the Minister holding both the portfolios, he assured that there will be no question of conflict of interests in this field.   With the hi-tech, most modern  technology-aided processing facilities for value addition,  India can definitely translate the challenges into opportunities.

The minister said the wellness industry and  health tourism, especially Ayurveda have provided enormous potential for the growth of the spice industry. In Nagaland, a special type of turmeric, called blue turmeric is grown in the forest.  People use this for medicinal purpose.  It can cure stomach pain and the swollen body parts.  It has greater uses and market value.    Standardisation of spices for medicinal use under modern medicine  and global recognition for the ayurveda is a must so that alongwith it, Indian spice industry also grows. Another area where  there is scope for growth is Spice Tourism.  Visiting the spice growing regions as tourists will provide an income for the stakeholders, he sai.    
 
The Minister noted that the organic cultivation of spices is gaining momentum in the country, especially in the North Eastern part of our country.  

Mr. P.T. Thomas, M.P who is also the member of the Board felicitated the winners for their excellence in exports and productivity.

Mr. V.J.Kurian, IAS, Chairman, Spices Board in his introductory remarks said that since the last award function held in May, 2008, Indian spice industry has undergone several changes.  The exports have been  scaling newer heights year after year and all because of the relentless efforts made by the farmers, processors, traders  and exporters. During the year 2007-08,  the exports of spices  reached an all-time high of four lakh  tonnes crossing   the value of US dollar one billion mark.  This marks a quantum leap of 19 percent in volume and 39 percent in dollar terms, compared to the figures of previous year.  During the  fiscal 2008-09, against the export target of  4.25 lakh tonnes valued at Rs. 4350/- crores,  the export was of the order of 4,70,520 tonnes valued at Rs. 5300.25 crores.  From this,  one important thing becomes clear that the  global financial meltdown has had no impact on the exports of spices from the country – may be because of the  series of promotional measures  and programmes initiated  by the  Spices Board, our processors and exporters which   were so strong that they can weather  any adverse situation. It is only due to the commitment  and perseverance of the trade that the Indian spice industry  could achieve such  excellent performance, Mr Kurian said. 

The Chairman further said that  an important milestone  in the history of the Indian spice industry is the establishment of  the first-ever Spices Park at Chhindwara in Madhya Pradesh which was inaugurated by  Shri Kamal Nath, the then Hon’ble Union Minister of Commerce & Industry on 17th February, 2009. The other  Spices Parks across the country are under various stages of implementation.     The process of individual allotment of land  in the Guntur Spices Park for the exporters  will  be over this month-end.  The construction  of the Spices Park at Puttady in Idukki district, Kerala  is almost complete.  We expect to  commission the project this month itself.  This complex will have facilities for  white pepper production based on the technology made available by the National Institute for Inter-Disciplinary Science & Technology,  Thiruvananthapuram,  e-auction, cleaning, grading, colour sorting,  packing and warehousing for cardamom.  The Government of Gujarat has allotted 68 hectare of land in Mehsana  for the Spices Park  as per the Govt. order issued last month. 

 Development of cardamom industry is our top most priority and  Rs. 122 crores has been earmarked for cardamom replanting and rejuvenation during the XI plan period, Chairman said. The  Replantation & Rejuvenation programme in  Cardamom is going on in full swing in Kerala, Karnataka, Tamil Nadu, Sikkim and Darjeeling district of West Bengal.  The main objective of the special fund programme is to increase production of cardamom from 11,235 tonnes to 20,000 tonnes by the end of XI plan. 

There is shortage of pepper in the country with the production falling from 80,000 tonnes to 50,000 tonnes over the last decade, Chairman said and added that a massive Pepper Replantation & Rejuvenation programme is under implementation in the two districts of Kerala in Wayanad and Idukki. The Government of India will be providing subsidy to the tune of Rs. 120  crores for Idukki and Rs. 53  crores for Wayanad district and North Eastern States.    With the implementation of these programmes, we expect to increase the production of pepper to 1000 kgs. from a hectare  against the present production of 370 kg. per hectare.  In five years time, our pepper production is expected to be increased to 100,000 tonnes from the present production figure of 50,000 tonnes a year.

The Board’s second Quality Laboratory has started functioning at Mumbai from June, 2008 after a long wait of 18 years when we started the first-ever Laboratory at Kochi in 1990, Spices Board Chairman said.  With this,  the exporters in Mumbai and neighbouring areas  can easily access the facilities at the Mumbai laboratory  and speed up their export operations and obligations keeping to the shipment  schedules.  Within one year,  there will be four more Quality Laboratories  of the Spices Board in various parts of the country. The  Quality Laboratory at Guntur in Andhra Pradesh is expected to be functional this month itself.  The construction works of the Laboratories at  Delhi,  Chennai  and Tuticorin are in good progress and will be functional in 2010 itself.  The land allotment for the Laboratory at Kolkata and Kandla in Gujarat is also being pursued.

India now commands a share of 48 percent in volume and 44 percent in value in the world spice trade estimated at around 9.25 lakh tonnes valued at US dollar 2500 Million. We hope, the Spices Parks and the Quality Testing Laboratories being set up across the country by us, once become fully functional, will provide further impetus to the growth of the Indian spice industry, Mr Kurian said.

Mr. S. Kannan, Director Marketing, in his address has complimented farmers and exporters who not  received recognition since their relentless efforts also contributed to the Indian  spice industry’s performance in exports.

Dr. Viju Jacob, Vice Chairman, Spices Board proposed a vote of thanks.

The Minister also presented trophies and awards to excellence in exports for the year 2007-2008 & 2008-09.  Spice farmers who achieved high productivity in small and large cardamom, vanilla and organic vanilla for the years 2007 and 2008 were also presented.