Coconut-growers seek removal of middlemen

By Our Staff Reporter

RAJAHMUNDRY, AUG. 20. As the rates of coconuts, extensively cultivated in the districts of East Godavari and West Godavari, continue to slide and copra traders continue to benefit from the opening of purchasing centres by the National Agricultural Marketing Federation (NAFRD), the demand from farmers for purchase of coconuts directly from them as also for elimination of middleman has been growing.

"Farmers are unable to get the benefit from the opening of copra purchasing centres," said Mr. Adabala Babulu, a coconut farmer in the Konaseema area. ``The Government should initiate action to ensure minimum support price to coconuts and not copra,'' said Mr. D. Balakrishna, another farmer from Mukkamala. Similar feelings were expressed by many farmers in Konaseema, which is the hub of coconut activity in the district.

The rate of coconuts, grown on about 47,000 hectares with an estimated annual production of 7000 million nuts in East Godavari district, which was more than Rs.3000 a quintal last year had come down to less than Rs.2000 this year. There was a hue and cry from the farmers and at the instance of Mr. G.M.C. Balayogi, Lok Sabha Speaker, who hails from the Konaseema area, and the Union Minister of State for Agriculture, Mr. S.B.P.B. Satyanarayana Rao, five copra purchasing centres were opened in the two districts (four in East Godavari and one in West Godavari) two months ago.

The idea was to give coconut farmers a minimum support price for their produce. Depending on the quality of the copra, a support price ranging from Rs.3,100 to Rs. 3,300 was announced. A feature of coconut sector in Konaseema is that, unlike in other States like Kerala, few farmers are in the habit of manufacturing copra and most of them sell coconuts directly. Taking advantage of this and the fact that only copra and not coconuts would be purchased at the centres, traders and middlemen entered the field and pocketed the benefits from the minimum support price. It may be recalled that the difference in the rate of coconut and copra is as much as Rs.1000 and the hope at the time of opening of purchasing centres was that part of it would be passed on the farmers by traders. This hope had been misplaced and traders had started pocketing the entire amount. Mr.Balayopgi and Mr.Satyanarayana Rao expressed unhappiness at this turn of events.

Following representations from the coconut farmers, the District Collector, Mr.Satish Chandra, asked the Joint Collector, Mr. Gopalakrishna Dwivedi, to study the situation at purchasing centres at Amabjipeta and Mummidivaram and submit a report which the latter had done a couple of days ago. Said Mr.Satish Chandra after receiving the report of the Joint Collector `clearly there is nexus between the copra trader (who sells the copra), officials of NAFED (which purchases the copra) and Revenue (which issues certificates), robbing the coconut farmer of any benefit from the minimum support price announced by the Government'.

Speaking to The Hindu here on Saturday, Mr.Satish Chandra gave details of steps he had initiated to help coconut farmers. He had given strict instructions to MROs to check the credentials of the coconut farmers before issuing the certificate for sale of his product at the NAFED centres. There were allegations that it was the trader who, in the camouflage of coconut farmers were `managing' to get the certificates. There were also instances where farmers were stated to have given their passbooks to traders for a small `price'. This enabled traders to claim certificates for sale of copra. This should stop.

Delay in issue of cheques by the NAFED was another reason for farmers not going to the purchasing centres. Mr.Satish Chandra had also directed NAFED officials to expedite issue of cheques to farmers. Ignorance and innocence of farmers are two aspects that the traders and officials exploit most, Mr.Satish Chandra said, appealing farmers not to part with their passbooks which would only help the trader to knock away their--farmers- benefit.

No great technology is involved in making copra from the coconut and with a little bit effort, farmers themselves would be able to prepare copra, he said, making a plea to farmers to manufacture copra. `The difference between the market price and the rate at the purchasing centre is nearly Rs.1000 per quintal. We would see to it that the farmers get a price of at least Rs.2500 (Rs 500 more than the prevailing price for coconuts) per quintal' Mr.Satish Chandra said. If traders fail to give farmers a fair price, we would book cases against the traders, Mr.Satish Chandra warned. He also stressed the importance of farmers' clubs entering the picture and educating farmers on various aspects in coconut trade.

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