The Hindu Business Line : Rising pepper imports worry growers

ANOMALIES in the Exim policy are depriving the pepper growers benefits of the good local market due to the entry of pepper of foreign origin imported free of duty for value-addition and re-export.

Pepper imports through the Kochi Port during January-December 2003, stood at 11,900 tonnes, while an estimated 7,000 tonnes of pepper are believed to have entered the country through Mumbai and Chennai ports, including consignments shipped to inland destinations. This puts the total imports at 18,900 tonnes of which the oleoresin trade shipped about 5,000 tonnes, leaving a balance of 13,500 tonnes for value-addition and re-export.

Meanwhile, exports last year have been estimated at 14,100 tonnes as against 21,200 in 2002 and 22,600 tonnes in 2001.

According to International Pepper Community, the country's production in 2003 was 62,000 tonnes and a carry forward stock of 27,250 tonnes. It has also projected the domestic consumption at 54,000 tonnes. If this statistics is taken as factual, there should have to be an exportable surplus of 35,250 tonnes in 2003. The imports are, therefore, taking place at a time when the country has surplus pepper.

The imported GL 500 pepper contains 13-15 per cent of light pepper, albeit bold, and that is sieved out and sold in the domestic market at local prices, while the discrepancy is filled with MG 1 variety and then re-exported. Light pepper is used for re-export, says Mr Kishor Shamji, President, India Pepper and Spice Trade Association.

Bold berries especially the Wayanadan and Nadan varieties of Kerala fetch a higher price of Rs 5-6 per kg, while the imported pepper is cheaper as it is bought at low prices and brought in without any import duty.

More Stories on : Spices & Condiments | Exports & Imports

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
`Rice year' activity planned

Samba crop loss in Thanjavur district

Organic tea biz set for a revolutionary change

TN farmers demand permanent solution for Cauvery tangle

Nabard sanctions Rs 94-crore loan to AP

Cotton traders seek to `discipline' credit supply

Has the Govt overstated oilseed production figures?

Rising pepper imports worry growers