Cashew processing industries have resumed their operations in the State with half of their workforce, after over a month.
With this, the prices of raw cashew has now touched ₹ 85 per kg, but much lower than the prices the produce fetched during the same season last year. As April-May is the peak cashew harvesting season, raw cashew prices hovered between ₹ 100 and ₹ 10 per kg during the same time last year.
Subraya Pai, president, Karnataka Cashew Manufacturers Association, Mangaluru, told The Hindu that of about 300 cashew processing industries in the State, a majority of them are in the coastal belt. There are some factories in the non-traditional areas of Kolar and Chintamani.
If almost all factories in Udupi district have resumed their processing, about 50 % to 60 % industries in Dakshina Kannada and Uttara Kannada have resumed their operations, he said.
Mr. Pai said that raw cashew prices stood at ₹ 75 and less per a kg a week ago. After the factories resumed processing, farmers are getting ₹ 10 more per kg. Raw cashew prices are expected to shoot up further once all factories resumed their operations.
He said that the industries have made their own vehicle arrangements to pick up and drop workers.
Adhering to the guidelines issued by the government, the factories are managing with only 50 % of their workforce while ensuring that instructions on sanitisation, fever checking, social distancing are complied with. He said that a majority of the factories are now focusing on completing processing which was stopped abruptly when lockdown was announced. With icecream industries, sweet manufacturers, caterers, hotels and other sectors not accounting for cashew sales, the industries are facing a tough time. Mr. Pai said that cashew industries in the State provided employment to about 80,000 workers. Their annual raw cashew demand for processing stood between 2.5 lakh tonnes and 3 lakh tonnes. The domestic production stood at 40,000 tonnes. The remaining demand, about 2.5 lakh tonnes, is met through imports.
He said that banks have still not extended the relief package recently announced by the Union government and RBI covering the MSME sector, to cashew industries.
Published - April 26, 2020 10:34 pm IST
