On the traces of import limitations on pepper, the Centre has appear to the aid of the coconut business by inserting limitations on the import of desiccated coconut powder.
According to a notification issued by the Commerce Ministry, desiccated coconut powder imports with CIF worth of ₹150 and higher than per kg is free, even though shipments priced much less are prohibited with effect from January 1.
The government selection will come on a ask for created by the Coconut Advancement Board to secure the domestic business, which has been on the verge of closure because of massive-scale imports of desiccated coconut powder.
Official resources told BusinessLine that the government experienced sought the views of the Board in the wake of unbridled imports, particularly from Sri Lanka, at pretty minimal fees on account of significant domestic charges of uncooked coconuts.
Nil import duty
Desiccated coconut powder shipments in bulk quantities have been coming underneath SAFTA with nil import duty. The Sri Lankan powder in the domestic industry is pegged at all around ₹100 per kg, even though the domestic price tag is hovering in the variety of ₹120-one hundred thirty per kg. There was a time when India exported a lot more than five,000 tonnes and the pattern has now reversed.
There had been also reviews that desiccated coconut is getting imported, disguised as animal feed, coconut oil cake and copra oil cake. It is utilised in sweets, biscuits, confectionery, and curry etcetera.
India is a major producer of coconut globally and desiccated coconut has developed as a major worth-added product, offering employment to a lot more than 1 lakh persons. There are about a hundred and fifty models in Karnataka, Kerala and Tamil Nadu.
Desiccated coconut is the biggest business following coconut oil and it was in expansion trajectory until not long ago following the upgradation of the processing abilities of factories.
Even so, uncontrolled imports have put the domestic sector in dire straits.
There are also reviews that imported products and solutions are getting blended with regional manufacturers, which hurts the regional suppliers and their products and solutions. The imports have also led to decrease in domestic charges of uncooked coconut.