SAPPTA pushing for spice production on plantations

There is a necessity to grow more spices for export to the global markets. This can only be achieved by getting the plantation sector involved in producing spices.

There is a great potential in increasing our exports of cinnamon, pepper and cloves as there is a ready market for these spices in the world markets.

World trade in Cinnamon is around 12,000 to 13,000 tonnes, Cassia is traded to the extent of 65,000 to 75,000 tonnes. An increase in production in Sri Lanka can easily take a good share of the Cassia trade.

World trade in pepper has been around 200,000 to 250,000 tonnes. Sri Lanka's export is less than 4% of the world trade. Sri Lanka could easily market double or even treble the present quantity being exported.

Practically all cloves from Sri Lanka are exported to India because Sri Lanka enjoys a tariff free entry into India as against a 35% tariff into India from other origins. Sri Lanka exports have been around 2,500 to 4,000 tonnes annually to India.

The demand in India is around 10,000 to 12,000 tonnes annually. As Sri Lanka cannot supply that huge quantity, India draws her requirements from chiefly Madagascar and Indonesia. Here again Sri Lanka can double or treble its production and market the extra quantity in the Indian Market.

The Committee of Management of Spices and Allied Products Producers and Traders' Association (SAPPTA) consisting of producers, exporters and Processors took a decision at its last meeting to request the Government to call a meeting of the plantation sector and all the stakeholders in order to ascertain how this increase in production can be achieved.

The meeting will endeavour to determine what the problems are and how the Government can assist the plantation sector to venture into the production of spices.

SAPPTA is certain that this exercise of increasing production, if successful, can result in the export earnings from these spices going up from around one billion rupees to over three billion rupees.

SAPPTA will be making a request to the Plantations Minister to call a meeting of all the stakeholders for the above purpose.