![]() Financial Daily from THE HINDU group of publications Tuesday, Nov 01, 2005 |
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Agri-Biz & Commodities
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Spices & Condiments AP farmers' federation urges Centre to scrap Spices Board Act Mohan Padmanabhan
Kolkata , Oct. 31 THE Federation of Farmers' Associations, Andhra Pradesh, has urged the Centre to scrap the Spices Board Act 1986 and de-constitute the board. In a presentation on Development of Spices, chaired by Ms Radha Singh, Secretary, Union Agricultural Development, the federation suggested the opening of "spice malls" in all major consuming centres such as Hyderabad, Mumbai and Delhi, where growers could sell directly to traders and consumers. It is also suggested that use of unapproved pesticides control methods by the Spices Board scientists should be made punishable. The AP-based farmers' body, analysing the relevance of the Spices Board in the current context of declining export revenues, has wondered if the benefits derived by the growers are commensurate with the money spent for maintenance of the board. Seeking a halt to wasteful expenditure in the name of trade promotion, the body has recommended that officials should be made accountable for both their actions and inaction. It has also called for fixing of monthly targets for revenue and profit. The only rising stars in India's spices export basket now are chilli, turmeric, cumin and coriander, and according to the federation, the Spices Board is hardly known in the areas producing the above items. Mr P. Chengal Reddy, Hon. Chairman of the federation, told Business Line that while the share of spices in exports came down from 20.5 per cent in 1970 to 8.5 per cent in 2002, that of rice (which has no board incidentally) has grown from 0.6 per cent to 18.10 per cent. According to him, "Think India, Think spices" was no longer valid, and "clearly, the Spices Board has failed to keep pace while other countries like China and Madagascar have taken a lead."
Mr Reddy felt India needs sharp business acumen and trading skills to correct this situation, and not costly branding exercises as proposed by the Spices Board. Pointing out that global marketing did not mean participation in trade exhibitions alone, he said focus must be on improving crop productivity while keeping the costs down.
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