On the lines of import restrictions on pepper, the Centre has come to the assist of the coconut industry by putting restrictions on the import of desiccated coconut powder.
According to a notification issued by the Commerce Ministry, desiccated coconut powder imports with CIF price of ₹150 and over for each kg is absolutely free, though shipments priced much less are prohibited with outcome from January 1.
The govt conclusion will come on a ask for made by the Coconut Enhancement Board to defend the domestic industry, which has been on the verge of closure simply because of significant-scale imports of desiccated coconut powder.
Official resources informed BusinessLine that the govt experienced sought the views of the Board in the wake of unbridled imports, particularly from Sri Lanka, at extremely small fees on account of large domestic price ranges of uncooked coconuts.
Nil import responsibility
Desiccated coconut powder shipments in bulk portions have been coming beneath SAFTA with nil import responsibility. The Sri Lankan powder in the domestic industry is pegged at around ₹100 for each kg, though the domestic selling price is hovering in the range of ₹120-130 for each kg. There was a time when India exported additional than 5,000 tonnes and the craze has now reversed.
There had been also studies that desiccated coconut is staying imported, disguised as animal feed, coconut oil cake and copra oil cake. It is utilized in sweets, biscuits, confectionery, and curry and many others.
India is a significant producer of coconut globally and desiccated coconut has evolved as a significant price-included merchandise, providing employment to additional than 1 lakh folks. There are about 150 units in Karnataka, Kerala and Tamil Nadu.
Desiccated coconut is the most significant industry after coconut oil and it was in advancement trajectory till lately pursuing the upgradation of the processing abilities of factories.
Even so, uncontrolled imports have put the domestic sector in dire straits.
There are also studies that imported merchandise are staying combined with regional makes, which hurts the regional companies and their merchandise. The imports have also led to drop in domestic price ranges of uncooked coconut.