Jairam Ramesh praises Customs Commissioner
Jairam Ramesh, Minister of State for Commerce, launched a new initiative of the Spices Board in the Karbi Anglong district of Assam, one of the most backward regions of the state populated by the indigenous people belonging to the Karbi Tribe. This initiative intends to start the organic cultivation of turmeric (haldi), ginger (adrak) and chilli (mirchi) in the district on a large-scale and to promote its processing and export as well.
Two companies have been set up as producers’ companies under the Companies Act, 1956 --Coinonya Farms Producers Company Limited for turmeric and Karbi Farms Producer Company Limited for ginger and chilli. Producers’ Companies is a new provision in the Companies Act which give primary producers the flexibility to organize themselves as a normal company but on the basis of a one man-one vote principle which is the essence of a cooperative institution. Producers’ Company combines the economic advantage of a corporate entity with the social benefits of a cooperative.
The two companies are located in Paroli and Rongmanpi in the Hamren sub-division of Karbi Anglong district. Each company has a full-time chairman and managing director. The Spices Board owns 49% of each company and its equity stake is Rs 1 crore in each company. Local tribal farmers, mostly small and marginal, traditionally practicing jhum cultivation own 51% in each company. Land owned by these farmers have been transferred to these two companies as their contribution to equity. 600 farmers own 51% of Coinonya Farms Producer Company Limited and 400 farmers own 51% of Karbi Farms Producer Company Limited.
Each company will initially have a plantation area of 500 hectares which will be cultivated over a five year period, with 175 hectares being taken up in the first year itself. MOUs are being signed with private companies for processing and marketing. The first such MOU has already been signed by Coinonya Farms with Arjuna Natural Extracts for extraction and marketing of turmeric products.
Jairam Ramesh congratulated Donald Ingty, Commissioner of Customs, Kochi who spearheaded this project for the benefit of the community to which he belongs and who sought out the support of the Spices Board in this venture.