Cashew Exporters to Benefit from New Deal

KOLLAM: Cashew exporters are set to save more than Rs 21 crore a year in cargo transport as the ports of Kollam and Tuticorin finalised a deal to transport cashew cargo meant for import and export. A decision regarding this was  finalised in the presence of Ports Minister K Babu with representatives from both ports and cashew exporters here on Monday.

With this deal, 43,000 truck loads of cashew would be transported via ship route between the ports, thereby saving time and handling charges. If a container of cargo is taken through sea route, a merchant can save Rs 5,000. Besides they can also enjoy the subsidy of Rs 1 per tonne extended by the State Govt for water transportation. The minister said the facility would start functioning by Sept. Tuticorin port receives maximum quantity of imported raw cashewnuts in the country and with 400 cashew factories, Kollam is the hub of cashew export and import in the country.

Ever since the SC verdict on restriction of container movement on roads, the govt had been promoting the water transportation route. Ramji Krishnan, CEO, Dakshin Bharat Gateway Terminal, who represented the Tuticorin port, said he was satisfied with the infrastructure in the port here. P Sundaran, vice-chairman of Cashew Export Promotion Council, welcomed the decision and said that the decision would help in the timely arrival of raw cashewnuts.

K Babu said that a slew of measures for infrastructure upgradation will be done which will change the face of the port and the adjacent coastal area. He said that online customs facility would be implemented soon which would speed up cargo handling in the port.

For other facilities such as allotting permanent sales tax officials and VAT officials, which had been the demand of exporters from a long time, the minister said that a decision regarding this would be taken in the next two days.  On setting up a storage facility, the Minister agreed to take up the issue with the Finance Ministry.

“Facilities in the Cashew Export Promotion Council here would be used as there is no permanent lab now in the port,” he said.

- newindianexpress.com