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Coop gains from selling arecanut in small packets

A.J. Vinayak

Mangalore June 13 The strategy to market white arecanut in small packets by a Mangalore-based cooperative seems to have got good response from the domestic market.

Growth in the quantity of arecanut marketed in small packets indicates that there is good demand for quality product.

Mangalore Agriculturists' Sahakari Sangha (MASS) Ltd began marketing of arecanut in small packets of 0.5 kg and 1 kg in the in September 2003 to counter the adulteration of `Mangalore supari' by some traders and to provide quality arecanut to customers in northern India. (White arecanut is commonly known as `Mangalore supari' in northern India.)

Mr Sridhar Bhide, President of MASS, told Business Line t small packets with `MASS' brand guaranteed a quality `Mangalore supari' for customers, as there is no chance of mixing inferior quality of arecanut with `Mangalore supari'.

There is good demand for small packets in Gujarat, especially in Ahmedabad, Junagad and Surat markets. The cooperative gives importance for quality in every step till it reaches customers, he said.

HUGE GROWTH

MASS Ltd sold 20.4 tonnes of white arecanut in small packets worth Rs 14.28 lakh in 2004-05 and 40.65 tonnes worth Rs 32.52 lakh in 2005-06. During 2006-07, it recorded sales of 61.38 tonnes of white arecanut in small packets worth Rs 55.24 lakh.

He termed it as a big achievement for a five-year-old small cooperative with a share capital of Rs 1.04 crore.

The cooperative plans to open two more at Rajkot in Gujarat and Pune in Maharashtra during the next season to cater to the demand in those areas.

At present, it has 15 purchase centres in Dakshina Kannada and Udupi districts.

During 2006-07, MASS recorded a growth of 16.76 per cent in the total arecanut trade, including retail marketing. The cooperative recorded a turnover of 16.93 crore in total arecanut trade during 2006-07 against Rs 14.50 crore in the previous fiscal.

In the last fiscal, MASS partnered with the South Kanara Bee-keepers' Cooperative Society, Puttur, to market honey in the market. The cooperative has been marketing honey to pharmaceutical and confectionary industries.

Mr Bhide said the cooperative intends to market other agriculture produces grown by farmers, and the board of the cooperative would take a decision soon in this regard.

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