The Hindu Business Line : Cashewnut industry urges steps to double production

CONCERNED over the stagnancy in raw cashewnut production, members of the cashew industry - who participated in the India Cashew Convention in Goa recently - have urged the stakeholders to initiate steps to double cashew production by 2020.

The convention, hosted by Goa Cashew Manufacturers' Association, was supported by Mangalore Cashew Manufacturers' Association (MCMA).

The MCMA President, Mr Kalbavi Prakash Rao, , told Business Line that all stakeholders of cashew industry have agreed to work towards adopting a long-term approach to increase raw cashewnut production. Raw cashewnut-producing States have also been urged to give priority to production.

The Chief Minister of Goa, Mr Manohar Parikar, had promised to double the raw cashewnut production in his State by 2010, he said.

Stating that raw cashewnut production in Karnataka had been stagnant at 35,000 tonnes per annum, he said manufacturers were importing raw cashewnuts in a big way. MCMA was planning to distribute cashew saplings to farmers to boost output. The convention also sought the need for estimating raw cashewnut production in emerging areas, especially in Maharashtra. It also stressed the need for conducting a study on cashew consumption in the country.

Mr Rao said members of the cashew industry were unanimous in recommending to the Governments in cashew-producing States to fix the rate of tax on cashew kernels at 4 per cent under the value-added tax regime.

The convention also felt the need for promoting cashew consumption through annual cashew festivals. To promote Indian cashew in the overseas market, the convention suggested that a small levy be imposed on exports with a matching grant from the Government, he added.