Tuesday, December 18, 2007

Industry, Govt Split Over Cashew Board Location

KOCHI: The demand for a cashew board is gaining momentum with the Union commerce ministry commissioning a study on the need for such an organisation. During his recent visit to Kochi, Union minister of state for commerce Jairam Ramesh had said that the Indian Institute of Foreign Trade (IIFT), which studied the issue, had submitted the report.

The minister said that a decision on the Cashew Board will be taken soon. Meanwhile, the IIFT report has recommended changes at the organisational level. The report has said that the existing organisational/institutional set up lacks an integrated approach.

The report has also pointed out that each node in the value chain is under different ministries. While the proposal is to merge the different organisations in the sector like the Cashew Export Promotion Council (CEPC) under the commerce ministry and the directorate of cashew under the agriculture ministry, the location of the Cashew Board has already sparked of a controversy in the state.

Many experts in the sector have pointed out that the ideal location of the Cashew Board would be the port town of Kochi. The CEPC and the directorate of cashew are presently located in Kochi. As a result, the merged entity could be set up in the city without disturbing the workers in these organisations, they say.

However, the MD of Kerala State Cashew Development Corporation (KSCDC), KA Ratheesh Kumar, says that the ideal location for the board would be Kollam, the industry capital.

During his visit to Kochi, the minister had said that cashew exporting countries are forming an alliance and the headquarters of the same is likely to be in the city. However, he admitted that the headquarters of the proposed Cashew Board is a matter of controversy.

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