Poor infrastructure hits rice exports from Kakinada bl-premium-article-image

Ch. R. S. Sarma Updated - November 20, 2017 at 07:11 PM.

In poor shape: A file photo of rice bags being loaded to a ship at the anchorage port in Kakinada

As much as four million tonnes rice have been exported till date from the old (anchorage) port here after the lifting of ban on non-basmati rice exports, in spite of the poor condition of roads and other infrastructure, and it could have been much more, with better facilities, according to local rice exporters and traders.

They expressed the opinion at a one-day seminar on strategic export management, organised by the Cocanada Chamber of Commerce in association with the Federation of Indian Export Organisations (FIEO) here.

D. Surya Rao, President of the chamber, said the approach roads to the old port were in a very poor shape and there was also acute paucity of jetties at the wharf to expedite rice exports. As a result, the trade was paying huge demurrages.

He said the issue should be addressed immediately, as it would worsen in the monsoon season. Road works at least should be completed before that.

S.B.S. Reddy, Joint Director-General of Foreign Trade, said the economic recession in the West had adversely affected our exports and the current year’s target of $345 billion may not be achieved and in fact the country may not even touch last year’s export level of $303 billion.

“Therefore, the export performance of Kakinada is very laudable in these recessionary times. The State Government, in charge of the port, would have to address the infrastructural problems.

But we will do everything possible to make it easy for the exporters procedurally,” he promised.

When asked about the service tax on rice exports, he said the exporters could claim refund from the department.

East Godavari Collector Neetu Prasad said earlier a proposal had been sent to the State Government seeking Rs 5 crore for improvement of approach roads to the port, but it had not been sanctioned.

She asked the port officials to prepare a fresh proposal for Rs 30 crore for the purpose and she would try to secure the funds from the State or Union Government under various schemes.

K.R Nath of Indus Business Academy (Bangalore), K. Unnikrishnan, Director FIEO, and several exporters addressed the open house organised on the occasion.

>sarma.rs@thehindu.co.in

Published on February 24, 2013 16:18