Tuesday, February 24, 2009

Traditional industrial sector will be protected.

Nava Kerala March has entered the headquarters district after touring all the other 13 districts of Kerala. On Monday the march has toured areas thickly populated with workers of traditional industries. Each out of 13 receptions in Quilon and Trivandrum districts could only be described as extra ordinary. The people are reaching the reception centres realising that each of the problems raised in the march is relevant and important. Most of them are poor, workers. Cashew industry is important among the traditional industries. Out of the Rs. 2455 crores earned by India out of cashew exports, Rs. 1505 crores is the share of Kerala. That comes to 61%. While providing employment for lakhs, this sector plays an important role in earning foreign exchange for the nation. There are about 800 cashew factories spread over the entire district of Quilon and the adjoining areas of northern part of Trivandrum, western part of Pathanamthitta and southern part of Alleppey. This industry provides the lively hood for 2.5 lakh workers and about 7 lakhs people dependent on them.
UDF government has taken a stand of destroying such industries as part of the globalisation policies. They did not care for the cashew industry. They closed down government owned cashew development corporation. Helped the private factory owners. Denied due right to the workers. Minimum wages were not revised even after the due date. Factory owners were given protection to violate labour laws. Factory owners were allowed to deny the rights to the workers through commission system.
As soon as LDF came to power, immediate creative measures were taken to protect the cashew sector. Cashew special office was re-established with Quilon as its headquarters. Public sector units under cashew development corporation and CAPEX could generate more labour days. Cashew corporation has marketed few new value added products through diversification. Rs. 6 crores were given for distributing the arrears of gratuity. Kerala State Agency for the Expansion of Cultivation of Cashew was established for solving the problem of shortage of raw cashew. Cashew plantation could be expanded to more areas.
Cashew industry is about to face more problems during the period of global crisis. Bulk of the cashew export is to the US market. A revenue of Rs. 969.51 crores were received from US market alone during 2006-07. The net revenue from this sector is Rs. 2455.17 crores. That means 39% of export is to the US market. Cashew export was adversely affected due to the extension of payment period from 30 days to 120 days by the US supermarkets and reduction of credit limit by the US banks in the background of global financial crisis. American traders are not paying for the orders already taken. Cashew remains unsold as the American middle class is compelled to curtail their daily needs. No new orders are received from America. The crisis will aggravate as the purchasing power of Americans comes down further.
Whole hearted assistance of the Central Government is required for this industry. Important among them is the establishment of cashew board. The production of cashew nuts can only be increased through that. Production of cashew nuts in Kerala has fallen to 55,000 tonnes from 1,50,000 tonnes produced earlier. Kerala, which was first in the production of cashew earlier is on the 5th position now. The Central Government has agreed in principle and the commercial department has prepared and submitted the note that cashew board may be established with Quilon as headquarters so that it is useful for the development of cashew farming and industry. It is not yet implemented due to the differences among the various departments at the centre. State government and various trade unions have submitted many representations in this respect. The Central Government shall be prepared to implement this unanimous proposal of traders, workers and farmers, at the earliest.
Curtailing the benefits to the workers is the specialty of the globalisation policy. The scrapping of PF pension scheme in cashew sector also is part of this agenda. Central Government has issued orders curtailing the PF pension benefits of workers. Though the orders are withheld in the face of widespread strong protest from the workers, the same has not been cancelled. The pension to those who retire early due to ill health etc is sought to be curtailed proportionately. All these cannot be agreed to.
Central Government is withdrawing from the responsiblity of protecting the traditional industrial sectors and the socially weaker sections of the people. Kerala government is implementing alternate set of policies to globalisation as part of which such withdrawal of social security measures are resorted to. In these days when pension welfare fund is being curtailed by the central government, Kerala government is taking measures to increase them. The transferring of all liabilities onto the shoulders of the poor and curtailing of all welfare measures has to be defeated. Nation wide struggles have to be strengthened. The love and affection to the movement which help and stand by them was visible in the receptions organised by the workers.

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