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Agri-Biz & Commodities - Coffee


Plan to hike coffee acreage in Orissa

Our Bureau

Visakhapatnam , Feb. 5

THE Orissa Government has ambitious plans to expand coffee cultivation in the State and it is proposed to be extended to 5,000 hectares more during the next five to six years, according to Ms Lakshmi Venkatachalam, Chairperson of the Coffee Board.

Ms Venkatachalam, who was here earlier this week to participate in the Visakha coffee utsav, said potentially coffee cultivation could be taken up in 22,257 hectares in six districts of the State — Koraput, Rayagada, Kalahandi, Kandhamal, Keonjihar and Gajapati.

At present, coffee was being grown in roughly 1,000 hectares under the Government sector, 650 hectares in the private sector and 312 hectares in the tribal sector.

The Integrated Tribal Development Agency (Koraput) was the nodal agency and the Coffee Board was providing subsidy to the extent of Rs 15,000 per hectare, she said. However, for area expansion in the second phase, the additional subsidy would have to be cleared by the Union Government and the Planning Commission.

The board would provide technical support to the farmers, she said. Coffee in Orissa was attracting 12 per cent sales tax and the growers are sending it to Karnataka for curing. To encourage coffee cultivation, the State Government should greatly reduce the ST or do away with it, she suggested.

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