Sagoserve sets out to explore export markets, ships product to Canada, US
SALEM: With demand for sago remaining weak in the domestic market, Sagoserve has started exploring overseas markets and has exported sago to Canada for the first time. Recently, a consignment was also sent to the United States.
Sagoserve Managing Director R Keerthy Priyadarshini said the first export of 500 kg of sago was sent to Canada on February 18 through the Agricultural and Processed Food Products Export Development Authority (APEDA), a central government body that promotes agricultural exports.
Another consignment of 500 kg was exported to the United States through the Tamil Nadu Apex Exporters Association (TNAPEX), which helps exporters connect with international buyers.
The export deal with the US buyer was signed during a buyer-seller meeting in Salem on March 7, under the leadership of Salem District Collector R Brindha Devi. The meeting was coordinated by Sagoserve.
Priyadarshini said APEDA and TNAPEX organise national and international buyer-seller meetings where producers and buyers interact. Through such meetings, Sagoserve was able to identify overseas buyers and export two consignments so far.
Sagoserve is a cooperative body of sago manufacturers, with about 385 sago units registered as members. The organisation has been promoting a product branded as 'chemical-free sago', which has been registered as a trademark.
She said bleaching agents are usually used in the preparation of sago to give the pearls a white appearance and to improve storage life.
“Because of this, there was a perception among consumers that sago was adulterated, which affected its demand in the local market. To address this, Sagoserve introduced chemical-free sago where no bleaching agents or chemicals are used during processing,” she said.
Sagoserve has also prepared standard guidelines for manufacturers producing chemical-free sago. While regular sago undergoes 11 quality tests, the chemical-free variety must pass an additional six tests, making it a total of 17 parameters.
“We describe it as chemical-free and not organic, as we cannot guarantee organic cultivation of tapioca, but we can ensure that no chemicals are used in the processing stage,” she said.
Earlier attempts to export sago had failed because the product could not meet strict international standards. However, the chemical-free variety has been able to qualify for export.
Priyadarshini said Sagoserve decided to promote exports to help stabilise the local market and support sago manufacturers and tapioca farmers.
She added that the price of tapioca has also increased recently, rising from about Rs 3,500 per 90-kg sack last month to around Rs 4,200 now.
She said countries in the Middle East and Africa are also potential markets. An export order to Dubai was nearing completion but has been temporarily delayed due to the ongoing war tensions in the region.
However, some farmers remain cautious about the benefits of the initiative. Tapioca farmer VS Govindaraj said that while the move to promote exports is a good step, it may primarily benefit sago mill owners rather than farmers.
He pointed out that the price of tapioca is largely decided by mill owners who purchase the crop from farmers.
“Even if exports increase, farmers cannot be sure that we will get better prices for tapioca, as the rates are fixed by the mills. Unless farmers are directly included in the system, the benefit may not fully reach us,” he said.