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A.J. Vinayak

Mangalore , Oct. 6

GREEN vanilla bean prices have increased sharply in Dakshina Kannada and Udupi districts of coastal Karnataka in the last 15 days.

Though arecanut and coconut are the major commercial crops of these districts, vanilla has its own share in helping the economic growth of the region.

On Monday, the Vanilla Development Trust (VDT), Hiriyadka, quoted Rs 2,775 a kg for the first grade green vanilla beans, whereas a pharmaceutical company's agent in Sullia taluk of Dakshina Kannada district was buying it at Rs 2,650 a kg.

The second grade green vanilla beans fetched Rs 1,825 a kg, where as the private players were offering Rs 1,850 a kg in Sullia market.

Though there are other players in the market, VDT claims that it is because of its intervention growers are able to get a good price.

This year, VDT floated tenders to buy vanilla from the growers. Of the four bidders finalised, Kotecha & Company, Mumbai, agreed to the conditions of purchasing green beans from the trust, says the Chairman of VDT, Mr Arun Dhirajlal Banker.

According to him, the trust finds buyers to the crop and not purchases it. "Cash payment to the growers at the time of purchase is the motto of the trust," he adds.

The prices of the first grade green vanilla ranged between Rs 1,150 and Rs 1,500 a kg at the beginning of the season, he said.

Mr Palli Srinivasa Hegde, managing trustee of VDT, says that green vanilla beans, which fetched Rs 850 a kg two years ago, has been fetching more than three times of that price now. It is because of the demand for the dry beans procured in 2001. Five kg of green beans yield one kg dry beans.

Two years ago dry beans fetched Rs 9,000 a kg, whereas it was Rs 9,600 a kg last year.

There are several reasons for the increase in its price. The failure of the crop in Madagascar region — one of the largest producers of vanilla; and a proposal by the American Government to impose a ban on synthetic vanilla are among them. Fungus attack on vanilla crop in Madagascar, which was supplying to nearly 75 per cent of the world market, increased the demand for vanilla in the international market.

Vanilla grown in this region has high "vanillian" content compared to other countries, claim the office-bearers of VDT.

Though India contributes barely 0.2 per cent to the world market, the quality of the crop is considered as one of the best in the world.

According to Mr Sediyapu Janardhana Bhat, a vanilla grower in Puttur taluk of Dakshina Kannada district, the failure of crops in Wayanad region of Kerala and some parts of Karnataka has helped the growers here in getting a good price.

The procurement of green vanilla will last for 10 weeks. At present, the entire lot is coming from the coastal areas. The crop yields 20 days early in coastal region compared to interior Karnataka.

It is not that the crop in the region is free from any problems. The rate of bean dropping is high in summer. More than 50 per cent of the beans drop from the vines during the summer season, Mr Bhat says.

Some office-bearers of VDT feel that there is no coordination between the growers on selling the crop. They prefer to sell it to the person who comes to their doorsteps to procure it than taking it to the market to sell it.

Owing to this, VDT has opened vanilla collection centres in Mangalore, Sirsi, Siddapur, Udupi, Sagar, Thirthahalli, Shimoga, Moodigere, Sringeri, and Madikeri.

Is the sudden increase in the vanilla price being considered as a dangerous trend? However, Mr Hegde allays such fears. He says that even if the price touches as low as Rs 2,000 a kg the grower will be benefited. Growers could get remunerative price for the next 25 years, he says and adds that vanilla as an intercrop increases the yield of arecanut and coconut by 15 per cent.

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