KOCHI:In a bid to increase transparency in pricing and end the stranglehold of a few traders, the Spices Board has allowed four new cardamom electronic auctioneers (e-auctioneers) for 2014-17 period.
Among the four is Sugandhagiri Spices Promoters & Traders, a company floated by Idukki-based politicians Mathew Stephen, a former Kerala Congress MLA and E M Augusthy, former MLA of INC, sources said.
The other three new entrants are Idukki District Traditional Cardamom Promoter Company, Vandenmedu, Cardamom Growers Federation, Bodinayakanur and Vandenmedu Green Gold Cardamom Producer Co (VGGCP), Vandenmedu.
With the entry of four new players, the total number of cardamom e-auctioneers stands at 12.
Under the new scheme of things, there will be e-auctioning will be conducted in six days alternatively at Bodinayakanur, Tamil Nadu and Puttady, Kerala. Sunday will be a holiday. E-auctioning will be conducted by twice on each day Â- 10 am to 2 pm and 2.30 pm to 6.30 pm. One e-auctioneer is allowed only one slot in a week, according to Spices Board.
Though e-auction was introduced as early as 2007, there was a feeling that few traders controlled it, resulting in no proper transparency in pricing. When new players were invited, Spices Board has made it clear that farmer-run companies would be given preference while awarding new licenses.
K K Saseendrababu, managing director of VGGCP, which has nearly 500 cardamom farmers as shareholders, said the new players have added transparency in the pricing mechanism, a change from the earlier system where a cartel used to fix prices. According to him, the farmers now receive money within 10 days. “The new players have brought in more competition, leading to better prices for farmers,” Saseendrababu said.