Cashew sector disappointed with Budget

Major demands of the sector not considered

Labourers grading cashew nuts at a processing unit in Kollam

Stakeholders of cashew industry, a sector battered by pre-existing conditions and now the pandemic, find the Union Budget totally disappointing as it failed to make any announcements they were hoping for.

An industry that engages thousands of women, mostly from underprivileged sections, the sector had expected some sort of support from the Government for it to revive.

"The Union Budget has completely ignored the industry that was badly hit by COVID-19. As a sector that employs tens of thousands of women in rural areas, the cashew industry was expected to receive special consideration after the pandemic-induced crisis. Let alone the revival package, there are hardly any announcements in the Budget," said Kerala State Cashew Development Corporation (KSCDC) chairman S. Jayamohan.

He points out that major demands including removal of import duty and restricting the inflow of substandard cashew from countries including Vietnam were not considered.

"Constituting a Cashew Board similar to Rubber Board and the Coconut Development Board is a long-standing demand of the sector. There should be a central body to promote cashew cultivation in all States and increase the domestic production of raw cashew nut in the country. There is no mention of this in the Budget," he added. Industry stakeholders also believe that the decision not to increase the EPF pension will affect the labourers in the sector.

According to private processors, the Budget brings no hope for the industry and its future seems uncertain.

“Despite being a traditional sector with a volley of problems, we were completely neglected in the Budget. We have been expecting a revival package for the last three years and this time too we hoped for some step to help the debt-ridden processors. At present nearly 500 processors have been declared NPA and the situation is very grave. The Budget has no announcement that supports the sector or protects the jobs of several women. We feel dejected,” says says Nizamudeen.I, president, Federation of Cashew Processors and Exporters.