Date:22/07/2006 URL: http://www.thehindu.com/2006/07/22/stories/2006072214561900.htm

Business

Distress purchase of coir begins on July 24

Special Correspondent

THIRUVANANTHAPURAM: The distress purchase scheme, drawn up by the Government to solve the problem of stock accumulation in coir cooperatives, will be inaugurated at Alappuzha on July 24.

Cooperation Minister G. Sudhakaran said that the Government had issued the guidelines for the purchase of coir and coir products. The State Cooperative Coir Marketing Federation and the State Coir Corporation would undertake the purchases, which would be subject to stringent quality checks.

The Minister said that coir and coir products worth Rs.8.5 crores would be purchased under the scheme. For this, the Government this year had sanctioned Rs.6.5 crores.

Mr. Sudhakaran added that coir would be bought only from producers who paid approved rates of wages to the workers. A State-level executive committee and project-level monitoring committees had been formed to oversee the procurement.