Date:12/03/2006 URL: http://www.thehindubusinessline.com/2006/03/12/stories/2006031200810500.htm

Back Task Force to boost plantation output soon

Our Bureau

New Delhi , March 11

The Government would set up a Task Force to recommend concrete long-term and short-term measures for substantially enhancing the productivity and competitiveness of the country's plantation sector, Mr Jairam Ramesh, Minister of State for Commerce, has said.

Poor productivity has been cited as the root cause of the problems faced by the Plantation sector. Speaking at a meeting with Members of Parliament from Kerala, Mr Ramesh said the Government would endeavour to implement the recommendations of the Task Force in a time bound manner.

The Minister told Business Line that the country's plantation sector was in doldrums in view of the stiff competition posed by low cost suppliers from Sri Lanka, Thailand and Indonesia.

In his interaction with the MPs from Kerala, Mr Ramesh said over the years, all plans to enhance the productivity of major plantation crops have remained largely on paper, and as a result, India has been gradually losing its share in the world market to other countries.

"In tea, Sri Lanka and Kenya, in pepper, Vietnam and Indonesia, and in cardamom, Guatemala have emerged as major threats to Indian exports as we have failed to keep pace with enhanced productivity in these countries. Besides, there are other issues like pepper and tea imports from Sri Lanka under bilateral FTA and cardamom smuggling into India from Nepal that need to be addressed on priority," he said.

The Minister assured the MPs that the Government would initiate simultaneous action on all fronts, in coordination with different departments of Central and State Governments.