KOLLAM: After a disappointing Union Budget, the cashew sector did not have much to cheer about the state Budget either.
Barring the allocation of Rs 20 crore for assisting cashew factories in the private sector and Rs 54.45 crore for the two public sector cashew companies, KSCDC and Capex, for brand building and carrying out modernisation and mechanisation of its factories, the Budget mostly remains mum on the pressing issues being faced by the industry.
Acknowledging the crisis in the cashew industry, the Budget attributed the same to the unavailability of raw cashew nuts and the decision of big private cashew companies to shift their business to neighbouring states.
While pinning its hopes on the newly constituted Kerala Cashew Board to rescue the sector from danger, the Budget says that though this year’s cashew season has begun in West African countries, the special purpose vehicle is yet to be equipped to negotiate trade deals.
Trade unions have alleged that the Budget has delivered a raw deal to the cashew sector.