The Hindu Business Line : ‘Value-addition key for arecanut sector growth’

Mangalore, Aug. 14 At a time when value-added products of arecanut are yet to gain acceptance among consumers, the stakeholders in the sector are looking at exploiting the potential of the commodity with value-addition for the welfare of the sector.

At present, arecanut is mainly used as an ingredient in ‘gutkha’.

Though some ayurvedic medicines use arecanut as an ingredient, the quantity of the commodity used is less. With limited market, these value-added products command a limited consumption area.

When Business Line spoke to a section of people in arecanut sector they expressed the opinion that the alternative uses of arecanut through value-addition should be given priority.

Dr T.N. Prakash Kammaradi, Professor of Agricultural and Natural Resources Economics, University of Agricultural Sciences, Bangalore, said arecanut was a traditional habitual product having nutraceutical values. It can be widely used in products ranging from mouth fresheners to wine. To gain acceptance, the value-added products of arecanut should be branded and promoted properly, he said.

Mr Shankar Bhat Badanaje, a farmer who has done research and formulated several value-added products such as soft drink and wine out of arecanut, said the edible tannin available in tender arecanut could be a good input for the industrial sector. He said tannin could be marketed to wine makers. “Extracting tannin from tender arecanut is economically viable than preparing wine out of it,” he said.

Mr S.R. Rangamurthy, President, Central Arecanut and Cocoa Marketing and Processing Cooperative (Campco) Ltd, said though value-addition is taking place in arecanut sector, its consumption area is small. Experts should target at the larger consumption area for value-addition.

Mr M. Srinivas Achar, President, All-India Areca Growers’ Association, said that value-added products such as ‘kaju supari’ having ingredients such as cashewnut and arecanut can be consumed completely. Such products should be encouraged.

SUGGESTIONS

Dr Kammaradi suggested that an arecanut product promotion board be established to promote production, marketing and export of nutraceutical products from arecanut. Fiscal and monetary incentives such as subsidy and tax holiday should be extended for those entrepreneurs willing to take up the production of such value-added products, he said. Mr Achar said in addition to paan shops, other outlets should be identified in hospitality and retail sectors for marketing value-added products, he said.