Kerala Hotels :
Kerala Exports
Kerala Exports
The trade and commerce of Kerala has been phenomenal
in bringing the state within the commercial map of the world. This
has contributed much to the falbulous wealth of Kerala once, though
the position is not strong today.
COURSE OF TRADE : IMPORTS AND EXPORTS
The course of trade comprises the volume of external and internal
trade. External trade relates to the export and the import trade
handled through the port of Cochin and the Air Cargo complex at
Trivandrum. Kerala commands a sizeable share of the Cochin Port. The
exports 'consist mainly of marine products, coir and coir products,
spices, cashewnut, tea, coffee and rubber.
With its strategic location on the south-West coast of India and its
unique position on the east-west trade route, Cochin Port is the
natural gate-way to the vast industrial complex and the produce
market of South India. This is further enhanced by the fact that the
port is the focal point of trade and traffic by rail, road,
waterways and air. It provides a firm infrastructure for sustained
economic growth and development of Southern India. Its hinterland
includes Kerala, south west portion of Karnataka, and Tamil Nadu
which together form a contini-ous traffic area for its imports and
exports. The total traffic handled at Cochin port went up by 15 per
cent from 68.02 lakh tonnes in 1987-88 to 78.24 lakh tonnes in
1988-89. The value of trade (exports and imports) handled by the
port has also increased by 10.3 per cent from Rs.1783 crore in
1987-88 to Rs.1967 crore in 1988-89.
The exports through Cochin included many items fetching valued
dollar and yen such as tea, coffee, rubber, cashew, spices, marine
products, refined petroleum products, timber etc., while major items
of imports included crude petroleum, foodgrains, fertiliser both raw
material and finished, cement, raw cashewnut, machinery, hardware,
newsprint and staple fibre, zince concentrates, bauxite, iron and
steel.
During 1988-89 both foreign trade and coastal trade increased by 2.4
percent and 28.6 per cent respectively
over the preceding year. The substantial increase in coastal trade
was mainly due to larger imports of crude from Bomaby. During the
year coastal trade formed 53.4 per cent of the to-tal traffic and
foreign trade 46.6 percent as against 47.8 per cent and 52.2 per
cent respectively in the preceding year.
Total exports during 1988-89 showed an increase of 5.5 per cent to
12.8 lakh tonnes from 12.2 lakh tonnes in the preceding year. The
composition of exports shows the importance of traditional foreign
exchange earners like tea, cashew, sea foods, spices, coffee etc.
The value and quantity exported and the corresponding shares
registered an increase in the case of tea and sea foods. The value
of exports increased by 4.6 per cent from Rs.1033 crore in 1987-88
to Rs.1080 crore in 1988-89.
Marine Products
During 1988-89 India exported 99777 tonnes of marine products valued
at Rs.597.85 crore as against 97179 tonnes valued at Rs.531.20 crore
during 1987-88. The average unit value has also increased to
Rs.59.92 per kg. in 1988-89 from Rs.54.66 per kg. in 1987-88. The
export of marine products has shown a steady increase both in volume
and value for the fourth Year in succession since 1985-86.
Despite growing competition in the international market, the export
of marine products from India from 1984-85 to 1988-89 was
impressive, as is clear from Table 8.2 especially in U.S.A. and
Japan, which constitute a major market segment for Indian products.
The competition in the Japanese and U.S.markets for India is mainly
due to the abundant, supply of cultured shrimp from China,
Indonesia, Ecuador, Vietnam, Taiwan and Philippines, for which there
has been a steady growing market preference. However, the efforts
directed towards marketing and diversification of products have
contributed much in achieving the significant results.
The export of marine products from Kerala through Cochin Port has
recorded an impressive growth of almost 28 per cent in 1988-89 to
touch an all time high of 45614 tonnes valued at Rs.221 crore which
also represents a growth rate of 20 per cent. This is against the
all India growth rate of 2.67 per cent in volume and 12.5 per cent
increase in terms of terms of value of exports of marine products as
can be seen from
During 1988-89 Kerala accounted for about 45.7 per cent of the total
quantity exported and 37 per cent of the total export earnings. The
corresponding figures for 1987-88 were only 36.6 per cent and 34.6
per cent respectively.
Export of marine products: Through Cochin Port. The Export of marine
products 37 per cent.
CASHEW KERNEL
During 1985-86 export of cashew kernel from India amounted to
35,153 MT valued at Rs.215.27 crore. In 1984-85 the quantity
exported was 32,439 MT valued at Rs. 180.54 crore. The quantity and
value of export registered an increase. During the year 1985-86
exports of Cashew kernel from Kerala amounted to 31,904 tonnes as
against 32,409 tonnes in 1984-85. The exort earnings realised were
worth Rs.196.16 crore. Kerala accounted for about 92 per cent of
India's total export of Cashew Kernels during 1985- 86 (The total
quantity of cashew Kernel exported from Cochin worked out to 33932
tonnes in 1988-89).
IMPORT OF RAW CASHEW
Cashew Industry in India depends largely on imported raw nuts.
During 1988-89 the quantity of raw nuits imported in India amounted
to 37078 MT worth of Rs.51.89 crore as against 42256 MY valued at
Rs.67.25 crore in the previous year. The Keralas share of import
during 1988-89 worked out to 13962 MT valued at 20.86 crore as
against 27230 MT valued at 42.11 crores in 1987-88. This was less by
12.2 per cent in quantity and 22.8 percent in value from the
previous year.
Coir occupies a very important place in the industrial map of
Kerala. Over 98 per cent of the total export of coir items from
India, belong to Kerala. The main items of coir exported are coir
yarn, coir mats, coir mattings, rugs and carpets. 'Small quantities
of coir fibre, coiur rope, coir products of other sorts like tea
leaf bags, birdsnest and items like curled coir are also exported
from Kerala.
Export of coir and coir products from India amounted to 243,79
tonnes valued at Rs.33.32 crore during the year 1988-89. The
quantity of export was 25,148 tonnes valued at Rs .32.20 crores
during the previous year. This shows there was a decline of 169
tonnes in quantity and an increase of the 1.12 crores in value.
The main importer of coir and coir products from India are
Netherlands, Federal Republic of Germany, France, Italy, U.S.A.,
Portugal, Saudi Arabia, Poland,
Canada, Greece and USSR. The entire quantity of coir mattings, rugs
and carpets exported from India was through the port of Kerala.
ERA OF CONTAINERISATION
Whilst the competition of trade has largely withstood significant
change, the mode of handling of its cargo has been subject to vast
and fundamental changes. The type and methods of storage of cargo in
the old conventional ships steadily changed and several forms of
unitization came into being preslining, pellutization etc. mainly
aimed at expenditing turn round of ships in ports and reducing
damage to cargo in the course of handling. Thus emerged the era of
containerisation — what can be termed as the most revolutionary
method of the carriage of cargo in international trade. It marched
forward with stunning speed particularly in developed countries
because the various advantages of containerisation became more and
more clear, including the hitherto unknown facility of multi-model
transport. Otherwise an innocent looking box made of steel could not
have led to such a fundamental revolution in the art and science of
transport by sea and that too so quickly. Containerisation has
replaced a conventional and fragmented transport system by one fully
integrated method and it is the most vital contribution towards
economy in international trade. In fact all round economy and
maximum security constiture the bed rock of the concept of
containerisation. Thus the sine qua non of a port in modern times is
its capacity and ability to cope with the demands of containerised
traffic.
Many shipping lines operated regular container services to Cochin
and empty containers themselves have become an export commodity
since the public sector Balmer Lawrie Unit at nerarby Aroor
manufactured containers for export. During 1982-83, containers
numbering 209 were exported to the Russian Port of Odessa.
An ambitious Container terminal Project was launched at Cochin. The
port administration proposed Rs.70 crore development plan during
1985-90 which involved the strengthenig of infrastructural
facilities, replacement of cargo handling equipment and floating
craft as also navigational aids, conversion of Quay 9 into a full
fledged container berth and acquisition of containers and container
handling equipment like gantry, crane and transfer crane. 140
hectares of land contiguous to the Vallarpadom island was reclaimed
for development as a transhipment container complex for the fast
growing East Asian Trade. The strategic location of the port on the
International trade is a plus point as is substantiated by Leyods
list of December 3,1981, which emphasised how well Cochin is placed
on the trading arteries of the world. Cochin on the main sea route
between UK and the Far East is in a strong position to play a
leading role in feeding the international container services that
ply this route and act as transit terminal when facilities arefully
developed.
Internal Container Depots (ICD) linked with Cochin have been set up
a Coimbatore, Bangalore and Quilon. The movement of stuffed
containers, caters the long felt need of exporters of this region,
by facilitating direct movement of exports from the place of
manfacture to the port. Fruit products, processed fruit, agarbathies
(scented joss sticks) electronic goods, waste paper were exported
from the Bangalore Depot and cashew and marine Products from the
Quilon Depot.
EXPORT PROCESSING ZONE (EPZ)
The scheme of 100 per cent Export Oriented Units (EOUs) has been
formulated by the Government of India in response to persistent
demand from the exporting community that the special facilities as
allowed to units situated in the two Free Trade Zones, namely Kandla
Free Trade Zone and Santacruz Electronic Export Processing Zone. In
Kerala also an export processing Zone at Cochin was sanctioned by
Government of India in 1983. Over 900 acres at Thrikkakara was
identified as project area for the specific purpose of setting up
the FTZ as well as other industrial activities. Among the facilities
available for units established in the Free Trade Zones are the full
re-imbursement of Central Sales Tax paid on purchase of goods from
other states, Suniterrupted power supply, a tax holday for a period
of five years, exemption of finished products and specified raw
materials from levy of Central Excise and freedom to import raw
materials from domestic tariff areas without liability to pay any
fiscal levies.
The major infrastructural development works in the Zone have been
completed. The constuction activities in Stage I and II except the
Administrative Building are complete. Construction of two more
factory sheds are in progress. The first phase of the project was
estimated to cost Rs.14.95 crore.
The CEPZ Board for Approvals has accorded sanction fr 69 units to be
established in the Zone. Of these, approvals given to 17 units have
been cancelled subsequently and one unit has been shifted to KAFTZ.
During 1989-90 the CEPZ is targeted to have 17 production units and
export worth Rs.1500 lakh. As against this target sixteen
units have commenced production and export during the financial year
(1-4-1989 to 28-2-1990) was of the order of Rs. 1037.21 lakh.
However, over 97 per cent of the export was accounted by jsut two
units. The operational units are under various product groups
including Aromatic Chemicals, Tissue Culture Plants, Readymade
Garments, Examination Gloves, Disposable Containers etc.
The Government of Kerala besides providing infrastructural and
institutional support to the Zone have also extended sales tax
exemption on the sale of industrial inputs to the units in the Zone.
In order to avoid delay in implementation the construction work in
the Zone was declared as Public Utility Service. A Zone Coordination
Committee was also constituted to help maintaining cordial labour
relations. It is expected that by 1990-91 the developed area in the
zone could be fully utilised.
More than 100 items (including roasted and salted cashew in consumer
packs) under different product groups viz. electronics, readymade
garments, tea, coffee, spices, cashew, glass products, leather
manufactures, rubber products, coir based items, gems, and jewellery,
sports goods, printing, domestic electrical appliances, hand tools
and building hardware, bicycles and components automobile parts,
tapioca-based items, china clay products etc. will be promoted in
the Zone.
INLAND WATERWAYS
The inland waterways of Kerala connect several minor ports with the
major port of Cochin, and a number of industrial units are situated
in proximity. The inland water transport has withstood the
competition from road and rail on account of its suitability for
moving certain types of cargo over long distances, economy in the
use of energy and its low cost. Boats of varying capacities and
sizes ply along the waterways for Transport goods of all description
not only for short distances locally but also to the several ports
linking up the important commercial and industrial centres.
Manufactured goods, tiles, coir, cement, timber and agricultural
produce like copra, coconut, rice etc., are mostly transported along
these water routes. Water transport operations in the state are
carried out by the State Water Transport Department and Kerala
Inland Navigation Corporation. The operations of the former are
concentrated in the Districts of Ernakulam, Kottayam, Allep-pey, and
Quilon. The Department operated 69 routes covering a route distance
of 7,540 kms. and handled a cargo volume of 7,200 tonnes. The main
activities of the Kerala Inland Navigtion Corporation are
transportation of raw materials for FACT, Cochin Division and
conducting ferry services to and from the Islands and Cochin. During
1984-85 the Corporation transported 1.25 lakhs tonnes of cargo and
earned an income of Rs. 35.95 lakh.
TRADE BY ROAD, RAIL AND AIR
A substantial portion of goods in the state is by road. Goods
traffic by road is not confined to movement of goods within the
state. A study conducted in 12 border check-posts of the state
reveals intresting information. About 42% of the outgoing goods and
54% of the incoming goods are to or from Tamil Nadu. About 12% of
the outgoing and 21% of the incoming goods are to or from Karnataka.
Maharashtra is also an important origin of incoming goods and
destination of outgoing goods. These three states account for more
than 70% of the outgoing and 85% of the incoming goods. Walayar
check-post on the Palghat-Coimbatore route accounts for 59% of the
outgoing goods and 52% of incoming goods. The main outgoing goods
are rubber and rubber products, coconut and oil, aluminium and
aluminium goods, tyres and tubes and parcel good. The main incoming-
goods are groceries, machinery, textiles, plastic goods medicine,
cement and vegetables, rice, sugar, steel and steel products, cement
and parcel goods.
A part of the commodities transported through the check posts are
not for sale. They are either for household use or transfer of stock
from one depot to another.
The railway net work in Kerala consists of 828 kms. of broad gauge
lines and 113 kms. of metre gauge lines. There are 160 stations and
train halts in Kerala. Data on rail borne statistics for the decade
1968-69 to 1978-79 complied by the State Planning Board show that
the railways handled the movement of a wide ranging variety of
products classified into 440 items ranging from paddy to iron and
steel and coal.
The Indian Airlines operate services from Trivandrum, Cochin and
Calicut. There are flights to Trichy, Madras, Bombay Delhi,
Bangalore and Madurai from these airports. In addition,
international flights to Gulf Countries, Colombo and Male are
operated from Trivandrum. The volume originating freight traffic was
2,365 tonnes in 1984-85. International flights to Dubai, Abudhabi,
Kuwait, Doha, Rasal Khaimah and Sharjah are operated from Trivandrum
by Air India. The handling of Air Cargo is through the TACT - A
subsidiary of the Kerala State Industrial Enterprises.
TRADE CENTRES
Marketing comprises all activities involved in the flow of goods and
services from the producer to the consumer, storage, transport,
processing and the like. It is a technique for improving economic
mobility. Both marketing and production process, are enmeshed in the
economic system in such a manner, as to render the former an
important and influential role.
The markets in the Kerala State have been classified under two
categories viz., wholesale and retail. The wholesale market is
defined as one in which relatively a large scale transaction of
purchase for further sale is effected. The retail market on the
other hand is one where relatively small-scale transactions of
purchase mainly by the consumer or retail merchants take -place. The
same market may be a wholesale market in respect of one commodity
and a retail market for another. A market is considered as a
wholesale market provided there is regular large scale transaction
for further sale in respect of at least one commodity.
There are 1,363 markets in the state of which 348 are wholesale
markets while the remaining are retail markets. The maximum number
of markets are in Quilon and Trivandrum districts, the number being
273 and 222 respectively. In Wayanad and Kadaragod districts, there
are only 13 markets some of the markets are held once in a week or
on specified days of the week. Others are daily markets. In these
markets the daily requirements of the populace, such as vegetables,
fish, coconut etc. are sold. Besides these rural marketing centres,
there are important fairs and melas held in connection with the
festivals in temples or churches. In these meals, copper and
aluminum vessels and several other articles of domestic use required
by the people are assembled for sale. Cattle fair are also held in
important places.
REGULATED MARKETS
Arecanut is the only commodity notified for transaction, in the
purview of the Regulated Market Act in the State. The Regulated
Markets in the erstwhile Malabar district are nominal, and function
under the Malabar Market Committee located at Calicut constituted as
per the provisions of the Madras Commercial Crops Act of 1933. The
collector of Calicut is the Exofficio Chairman of this com mittee.
Under the provisions of the Act, no transaction should take place in
articles brought to this market for sale except under the
supervision of the Market Committee Staff. In case any trader
violates these rules he will be liable for prosecution. In this
market no market fees or deductions are leviable.
The very purpose of introducing the regulated market is to regulate
the trade practice, by avoiding unhealthy practices now rampant and
by prescribing various charges like unloading, weighing etc. and
thereby increasing the producers share in the consumer rupee. All
the market functionaries are licensed and the various charges
clearly specified. The transaction is effected under direct
supervision of the market superintendent. No unauthorised deductions
in the value of the produce is permitted. The chit tender system is
followed whereby the produce brought in baskets are displayed in
lots arranged serially, and numbered. The intending buyer quotes his
prices after proper examination of the produce. The quotations are
scrutinised by the market committee functionaries and the highest
quotation is awarded the right of purchase. Payment is effected
forthwith.
Establishment of regulated markets helps not only the producers and
consumers but also the state government in its gathering effort in
the agricultural sector. Regulated markets could be successfully
organised in the state for commodities like coconut, pepper, cashew,
arecanut and ginger.
CENTRES OF WHOLESALE BUSINESS AND MANDIES
The important wholesale trade centres are spread all over the state,
but concentrated chiefly in District headquarters and handle a wide
variety of agricultural commodities. The district Gazetteres
provided a detailed list of centres and commodities traded. Storage
facilities are provided by the central and state wareshousing
corporations, banks, merchants and exporters and importers. The
commodity movement is arranged through forwarding and commission
agents. The commodities arrive at the wholesale centres by water,
rail and road. Transactions particularly of rice take place in two
ways (1) The mill owners from the supplying centres send large
quantities of rice at their expense to the wholesale dealers and
arrange to sell them according to the prevailing market rates on
commission. (2) The wholesalers engage commission agents for
purchasing goods from different supplying markets. Brokers are also
present in the market for effecting sales between the
representatives of the mill owners and the wholesale dealers as well
as between wholesale dealers and big retailers.
There is a forward market for coconut oil and pepper at Ernakulam
and Alleppey. These facilitates transfer of risks flowing from price
uncertainties which cannot be covered by any other means of
insurance. It is claimed that the forward market has a built-in
mechanism for stabilising ready market prices which are prone to
fluctuate in response to unpredictable shifts in market supplies.
In the case of commodities which are not marketed through organised
channels and in respect of which the annual price fluctuations are
quite substantial as in the case of coconut and copra, the producers
are put to a very great disadvantage. A far as copra is concerned
about a dozen dealers in Cochin control* the interstate trading and
the market is therefore, subject to strong monopolistic pressures.
These dealers sell in turn to an equally small number of expeller
units mostly concentrated in Maharashtra. Recently, the Kerala state
Coconut Development Corporation has entered the field of coconut
processing. Two units have been set up in the state. In the case of
rubber, again, a handful of large scale manufacturers outside the
state are the main buyers and they are in a position to influence
the price levels.
It has been estimated that there are in all about 2000 markets in
Kerala which conduct daily, bi-weekly or weekly, sales and
purchases. These markets are controlled by municipalities,
panchayats, market committees or private individuals. There are also
about 90 primary marketing Societies in the co-operative sector. The
various market functionaries operating in the markets are commission
agents, middlemen and brokers, wholesale merchants and retailers.
The main market practices noticed are negoti-tation, bargaining,
commission basis and auction sale.
The absence of organised marketing channel in respect of many of the
states agricultural commodities has also resulted in considerable
price spreads. The other marketing problems relate to absence or
lack of grading at the primary level, lack of storage and transport
facilities, lack of proper market intelligence, unauthorised
deduction in cash and kind, defective weighment, adulteration etc.,
to mention a few important ones.
The dissemination of market intelligence in leading markets of
Kerala is done by the Directorate of Economics and Statistics. Price
bulletins prepared on the basis of intelligence received are
broadcast daily ove the All India Radio stations at Trivandurm,
Alleppey, Trichur and Calicut.
FAIRS AND MELAS
There are many fairs and melas all over the state. These fairs are
periodical markets held once a year, and usually associated with
important religious festivals attached to either a temple, church or
mosque and of a duration of one to two weeks. In some of the major
fairs and melas, traders from within and outside the state display
their wares for sale. The average attendance in these fairs exceeds
more than a lakh. In addition there are also largely attended cattle
fairs in Quilandy and occasionally exhibitions of a general nature.
In the areas adjacent to tribal settlements, handicrafts of tribals
are also put on sale. Articles of everyday use are mostly sold in
the fairs and melas. The importance of fairs and melas lies in that
they are the meeting ground of livestock and agricultural
commodities, of many religions and cultures, crafts and natives from
far and near, of ideas and design, worksmanship, excellence and
finish, of tools and appliances, of trends of the future and
vanishing practices of the past, of adaptability and local variation
of skill and imagination. They show what an extensive network of
seasonal and perennial markets and village fairs still provide to
native craftsmanship and industry. Secondly they help connect
economic streams with social and religious movements. Thirdly, they
suggest how a succession of small fairs in a time series culminates
in a very big fair, almost always in the heart of a particular area,
and how this big event gradually subsides through another time
series of small fairs, so that an endless cycle of trade, social and
religious intercourse is kept in motion. Fourthly, they in sinu a
great deal about the situation of the artists and manufacturers, the
mode of providing their goods, the usual rate of their labour, any
particular advantages they may enjoy, their comparative affluence
with respect to the cultivators of the land, their domestic images,
the nature of their sales and the regulations respecting their
markets. Fifthly, they can very greatly help in reconstructing the
trade routes, the nature of conveyance of goods by land and water
and the means by which they can be facilitated, especially by making
or repairing roads. Indeed they represent a great cultural heritage.
Among the variety of articles commonly available for sale in these
fairs and melas are costly, silks, wedding wear with gold thread
embellishment, fanciful drapery articles of varied lines and forms,
umbrellas, gold wares, bell metal vessels of different types and
sizes, furniture of different types and sizes, furniture, rattan and
bamboo works, iron ware ranging from kitchen knives to agricultural
implements of all varieties, crockery, stationery confectionery,
earthern ware, mats, baskets etc.
Co-operation in wholesale and retail trade
The consumer co-operatives function as one of the public
distribution system as one of the public distribution system. The
Kerala State Co-operative Consumers Federation, the district
wholesale stores at district headquarters and 361 primary consumer
stores from the structure of consumer co-operatives. Besides, 1615
consumer outlets of primary credit societies are engaged in the
distribution of consumer articles in rural areas. 1,199 'Sahakarana
Maveli Stores also distribute essential consumer articles to the
general public. 3,413 students stores (College and School
Co-operatives) and two University Central Cooperative Stores meet
the requirements of the student community. These have helped to
check the price level of essential articles.
The apex level institution, the Kerala State Co-operative Consumer's
Federation extends business support to its member societies. The
District Wholesale Stores are undertaking both wholesale and retail
distribution of essential consumer goods. Controlled goods, ration
goods, cement, vegetables, wheat products, powdered spices, cooking
oil, bakery products, and customs confiscated goods are distributed
by them. Special sales' campaigns are launched during festival
seasons to curb inflationary price changes during such seasons. Onam,
Christmas, and Bakrid bazars are also organised. "Students markets"
at district headquarters are set up during May-June to help students
to obtain their study requirements. The National Co-operative
Development Corporation is providing financial assistance to expand
the rural distribution network to back up the public distribution
system. The main thrust is towards the establishment of retail
outlets as feasible in the co-operative sector to serve the under
previleged sections and consolidation of the existing structure of
consumer co-operatives by making them financially more viable.
The Kerala State Co-Operative Marketing Federation came into
existence in 1960 as an apex body of primary marketing societies in
Kerala. The Kerala State Co-operative Marketing Federation is now
engaged in the marketing of agricultural produce like black pepper,
cardamom, ginger, cloves, turmeric, cinnamon, copra and all
fertilizers and pesticides of reputed manufacturers in public and
private sectors.
The Federation entered the spices export trade in the year 1966.
From the year 1976 onwards Marketfed could emerge as one of the
top-most exporters of Indian spices and during the subsequent years
awards for the top most exporters of pepper were conferred on the
Federation.
Co-operative Marketing
At present co-operatives play an insignificant role in the marketing
of agricultural produce in the state. In Kerala, the primary
marketing societies are affiliated to the two Apex Federations viz.,
the Kerala State Cooperative Marketing Federation. An Inter-state
co-operative organisation (CAMPCO) with its Headquarters at
Mangalore serves the arecanut growers of the state, while all the
general and commodity marketing societies are affiliated to the
State Co-operative Marketing Federation. The Rubber Marketing
Societies are affiliated to the Rubber Marketing Federation. The two
Apex Federations in the state in turn are affiliated to the National
Agricultural Co-operative Marketing Federation. Of the 99 primary
marketing societies in the state, 21 deal with rubber, 13 with
coconut and 11 with fruits and vegetables. While there are only two
societies dealing with arecanut, three with cardamom, three with
tapioca, and one each with tea and lemon grass, other societies are
engaged in transactions connected with various general commodities.
State Trading, Fair price shops etc.
Public distribution of essential consumer commodities such as food
grains, edible oils, fuel, assume added importance in Kerala which
is chronically deficit in good. The state's internal production of
food grains is barely adequate to meet only a few month's
requirements. Over the years, a smoothly functioning public
distribution net-work has been built up. At the time of the
formation of the state in November 1956, there were a little over
8,000 ration shops functioning. These shops supplied rice, wheat,
and such other cereals as had been brought under rationing.
There are at present 43.80 lakh ration card holders. A steady
expansion of the system is discernible. From . about 8000 ration
shops in 1956, the state now has 12,500 shops located in 1000
Panchayats, 50 municipalities and 3 Corporations in the State.
The Kerala State Civil Supplies Corporation was formed in June 1974
to streamline the distribution of essential commodities in the
state. It is currently engaged in the (wholesale and retail) of
rice, pulses, tea, coffee, edible oils, cement, sugar etc. Apart
from the above functions, the corporation organises extensive
festival markets during important festivals like Onam, Christmas and
Bakrid. The Corporation has 155 Maveli stores, 3 Mobile Maveli
stores, 3 super markets, 5 petrol bunks, 3 vegetable outlets, one
L.P.G. outlet and one textile outlet. One of the major activities of
the corporation is the distribution of coconut oil procured under
the price support scheme for coconut.
The Food Corporation of India (TCI) Set up in 1965 under an Act it
serves the nation in the vital areas of food procurement, storage
and distribution, protecting the interest of both the farmers and
consumers. The corporation has an annual turnover of Rs. 7,734
crores. Besides, its own godowns, the Food Corporation of India
hires storage capacity from other sources such as central and state
wareshousing corporations, state governments and private parties.
There are 22 sub depots of the FCI in Kerala.
The Kerala State Ware Housing Corporation
The other two agencies in the public sector, engaged in large scale
storage or warehousing are the Central Warehousing Corporation (CWC)
and the Kerala State Warehousing Corporation set up in February
1959. The main functions of the corporation with its Head Office at
Ernakulam are to acquire and build godowns and warehouses at
suitable places within the state, run warehouses for storage and
transporation of agricultural produce, seeds, manures, fertilisers,
agricultural implements and notified commodities offered by
individuals, co-operative societies and other institutions and act
as an agent of the central warehousing corporation in the state.
The Corporation has already established 73 warehouses with a total
storage capacity of 165,952 Mts. These warehouses are established at
important terminal, sub-terminal markets and important producing
centres.
Merchant and Consumer Associations
Chambers of Commerce play an important role in the economic
development of the country. They help trade, commerce, and industry
not only by disseminating relevant information but also engage
themselves in a continuous dialogue with governmental authorities on
behalf of the business community keeping larger national interests
in view. In the pre independence period chambers of commerce
acquired much importance in the sense that they were represented in
nany public bodies like Municipalities, and port Trusts. They also
continue to serve in many public bodies and advisory councils such
as Sales Tax Advisory Committee, Import-Export Advisory Committee,
Port Advisory Committee, Minimum Wages Advisory Board, Regional
Posts & Telegraphs Advisory Committees, Standing Advisory Committee
on Prevention of Food Adultration, State Electricity Advisory
Committee, State Export Promotion Council and a host of others. The
objective of the Chambers of Commerce as stated in their articles of
association are very wide and far-reaching as they seek to promote
and protect the interests of trade, commerce and industry. Kerala
can boast of as having one of the oldest chambers of commmerce in
India, which was founded as early as 1857 in Cochin by a small group
of Europeans traders who foresaw the immense export potentialities
of the produce of the Kerala coast. These merchants' organisations
served the interest of their members of making representation to the
government, both Central and State on matters affecting trade and
commerce", eg. taxation, tariff and labour issues, collect and
circulate among their members statistics and other relevant
information of commercial importance.
Consumer movement in Kerala, is still in its infancy like elsewhere
in India. Voluntary organizations like the Kerala State Consumer
Protection Council, the Kerala State Consumer Co-ordination Council
and Public spirited individuals have been attempting to educate
consumers of their rights.
Weights and Measures
The old units of weights and measures used in the state were
bewildering in their variety and complexity. The adoption of the
matric system of weights and measures was legally initiated with the
passing of the Kerala Weights and Measures (Enforcement) Act of
1958. The system was introduced in a phased manner to avoid
bottlenecks to the consumer and the trader. By 1965, the change over
was complete. The state government has set up the requisite
institutional infrastructure for periodical verification and
certification of weights and measures used in commercial
transactions so that the consumer is assured of accuracy. The
Controller of Weights and Measures functions as the model point for
all activities relating to weights and measures administration.
Offences under the Kerala Weights and Measures (Enforcement) Act are
dealt with and effective seizure compainges are conducted by the
enforcement staff with a view to preventing the use of uncurrently
stamped weights, measures etc. besides the annual verification work
of weights and measures used in factories and petroleum industries.
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