Problems Faced by the Cashew Exporters in Kerala

Abstract

Aims: India is the world's largest cashew producer, processor, and consumer. For years, India had an unrivalled and unchallenged monopoly on cashew production, processing, and marketing around the world. Considering the promising future of the cashew export market, the study aimed to analyse the problems faced by the cashew exporters in Kerala. Place and Duration of the Study: 65 cashew exporters (who have been continuously exporting the cashew for the last five years) in Kollam district of Kerala were selected randomly and the primary survey was conducted through a pre –tested structured questionnaire. Methods: To find out the most significant factor which influences the respondent, Garrett’s ranking technique is used. Garrett’s Ranking Technique provides the change of orders of problems into numerical scores. The advantage of this technique is that the problems are arranged based on their severity from the point of view of respondents. Results: The study highlighted that the major problems faced by the cashew exporters are high processing cost, unattainable of Standard Input-output Norms (SION), threats of foreign entrants to the domestic market, reduction in international share, the orientation of processing to big sectors, and the exploring of new markets. Conclusion: Thereby the protective policies like, increase exportable grades has to be fixed at ratio of 1:6, withdrawing the basic customs duty imposed on the imported cashew and increase the export incentives adopted by the government, which will helps to reduce the problems in the cashew industry. In addition to that contribute in a better way to the growth of the country by providing gainful employment opportunities via attaining women empowerment fetching foreign exchange to the nation and protecting it as a dominant position in the international market that it used to enjoy till a decade back.