The salt manufacturers of Tuticorin are content with the sale of product since it fetches a good price in the domestic market in recent days. As the production of salt remains disrupted owing to incessant rainfall, there is a mismatch between supply and demand for salt.
There is a huge demand for salt now. Though Tuticorin is making a great progress in production of salt, it is uncertain as what will happen next in terms of production.
Water logging conditions at salt pans in the wake of rainfall are still looming large. Since salt products had been exported to countries abroad including Indonesia, United Arab, Sri Lanka and Vietnam from Tuticorin, the demand was high to maximise profits of the manufacturers, M.S.A. Peter Jebaraj, President, Gandhi Irwin Salt Manufacturers Association told TheHindu here on Sunday.
The production of salt was less in 2010 unusually but the demand was high unexpectedly. “One tonne of salt costs a minimum of Rs. 1, 000 and depending on the quality of salt the price level increases.
During the previous year, one tonne of salt was sold at Rs. 2, 000 due to scarcity of the products. Normally during a good amount of production, one tonne of salt is sold at reasonable rate of Rs. 500. Since the production is sufficient, the supply could match the demands”, Mr. Jebaraj added.
Only after September 2010, the value of the product had risen since the buyers preferred our product. During April and May 2010, the profit gained could not even match the cost of production.
Due to fluctuating weather conditions in Gujarat, which is one of the biggest salt exporters, the production of salt was not up to the mark. About 20 per cent of production was affected. Hence the product of Tuticorin had become the most preferable one in the international market.
More than one lakh tonne of salt had been exported to countries abroad.
Sixty per cent of export was made to Indonesia from Tuticorin, A.R.A.S. Dhanabalan, Secretary, Tuticorin Small Scale Salt Manufacturers Association said. But the next phase of production would commence only in March 2011, if the rainfall continued to lash in December.
Most of the 25, 000 acres of salt pans in Tuticorin were damaged following continuous downpour in the last fifteen days.
Maintenance work
Maintenance works had to be executed from January onwards. It would involve an expenditure of over Rs. 20, 000 per acre, he added. As many as 700 small and tiny scale salt manufacturers are relying on salt production in the district.
