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Deccan Herald » State » Detailed Story
Global vs local now for areca
From K H Obalesh, DH News Service, Davangere:
Imported arecanut has swamped the Kanpur market, leading to a fall in price for the local product. The farmers, just coming out of the fear of ban on gutka, now face a threat that has essentially taken a new form.

The heat of war between the ‘global’ and the ‘local’ is now felt by areca growers also, with their product losing market to the crop imported from Indonesia, Malaysia and other countries. In other words, the threat of Indians being eternal consumers of global products at the cost of indigenous sources of livelihood, is haunting the growers.
Imported arecanut has swamped the Kanpur market, leading to a fall in price for the local product. The farmers, just coming out of the fear of ban on gutka, now face a threat that has essentially taken a new form.
The major consumers of arecanut -- gutka companies -- have become an easy target for the outsiders. Their rivals in North India have formed an association, which is said to be tied up with the foreign dealers. Besides, CAMPCO sources say, areca from Nepal also is being imported despite the Centre’s rules.
At present, gutka companies are not even stocking five per cent of what they should hold mandatory stock (ie, sufficient for at least 2-3 months), as the crop from foreign countries is available at lower rates and hence fall in local demand.
40 per cent crop
This year, even 40 per cent of the crop grown in the State has not been sold.  Besides, with arecanut inflows from Tamil Nadu and Kerala expected by the middle of June, a further price slump looms. The situation that local farmers faced when low-priced areca from Assam flooded the local market seems set to repeat in the State.
When the price was about Rs 8,000 a quintal, the gutka companies did not bother. But when the price shot up to Rs 14,000 to 18,000, they had second thoughts. Hence the increasing demand for the imports, said a CAMPCO source.
Further, adulteration plays a big role in reducing demand for the local arecanut. The raw low-quality product from other States is mixed with the local crop, giving the latter “a bad name”. Adding to the farmers’ woes are mahali (fungal infection) are unpredictable weather.

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