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The Government of Tamil Nadu is working to
increase the earnings of coconut growers in the state and
towards this purpose it has signed a memorandum of understanding
(MoU) with leading FMCG company Cadbury India Ltd (CIL), at a
ceremony in Tiruchirapalli on June 30, 2007. In Tamil Nadu,
around nine lakh acress are under coconut plantation. With an
average yield of coconut stagnating at 4,590 nuts per acre, the
average income of the farmers in the State is as low as Rs
15,000 per annum. The government has, therefore, been
consistently looking for ways and means to augment the income of
the coconut farmers.
With this objective, the government has
launched a new initiative to promote ‘Cocoa’ as an intercrop in
the coconut fields. Cocoa grows best in coconut orchards as it
needs some shade.
Cocoa is expected to yield 1,000 kg of beans
per hectare. If sold at Rs 60 per kg it may get the farmers an
additional income of Rs 60,000 per hectare and a net profit of
Rs 40,000. This shall be in addition to the income from coconut.
Since it is a relatively new crop for the
farmers of Tamil Nadu, the government has signed an MoU with
Cadbury India Ltd under which:
a) The Commissionerate of Horticulture
shall:
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together with CIL, identify the clusters
and farmers for cultivation of cocoa;
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render such financial and other
assistance to the cocoa farmers as is available under
various schemes of the government subject to prescribed
guidelines.
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through CIL or otherwise, arrange for
exposure visit of the prospective cocoa farmers, to the
existing cocoa farms to provide them an understanding about
cocoa cultivation.
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make endeavours to facilitate
institutional credit for the farmers.
b). Cadbury India Limited shall:
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provide cocoa seedlings at the prevailing
price of Rs 4 per seedling with price revisions thereto,
communicated by CIL from time to time and render such
reasonable technical advice as the cocoa growers may
require, such as advising the cocoa growers on cultivation
techniques, providing valuable literature on cocoa farming,
and conducting free inspections cocoa farms/plantations by
CIL personnel and experts;
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CIL will buy cocoa bean produced from the
cocoa growers at the prevailing market rates with a minimum
floor price of Rs 60 per kg for dry cocoa bears (net weight
excluding the weight of packing material), provided that the
cocoa bean meets the specifications communicated to the
growers from time to time.
Cadbury India Ltd has also agreed to sign a
separate contract with the farmers. Under this contract they
shall buy back cocoa from the farmers at minimum rate of Rs 60
per kg during the following five years.
Cocoa farmers shall be eligible for the
following financial assistance for establishing the garden and
fertigation.
1. For establishing new cocoa garden - Rs 11,250 per hectare.
2. Micro irrigation - 50 per cent of the Unit cost.
During the period of MoU, that is, during the
next five years, it is aimed to bring 50,000 acres under cocoa.
It shall help generate additional income every year to the value
of Rs 80 crore per annum for the coconut growers.
R Rangaraj
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