FAO to grant $ 2.5 mn for spice export development

Indunil Hewage

The Food and Agriculture Organization (FAO) of the United Nations would grant $ 2.5 million to increase export earnings from spice exports to 10 % of the Gross Domestic Product (GDP) by 2022.

Speaking to Daily News Business, Ministry of Minor Export Crop Promotion Secretary Vajira Narampanawa said that the ministry would launch a 10 year 'Spice Sector Development Plan' in the coming months and sector consultation process with regard to the 10-year ambitious plan scheduled to take place within the first week of December, 2012.

Prior to implementing Sri Lanka's first ever long-term 'Spice Sector Development Plan', the ministry will take into consideration suggestions, proposals, and opinions of all industry stakeholders such as private and public organizations, farmers and respective academics to make this 10-year ambitious plan a success.

According to Narampanawa, the annual spice export contribution to the total GDP is only around 0.5 % and under the proposed plan, it is expected to enhance export income from spice exports to 10 % of the Gross Domestic Product (GDP) by 2022.

The FAO funded plan will include various thrust areas such as introduction of new crop types, major expansion of cultivation, productivity and quality improvements, value addition and by- product development, research and development, explore new market opportunities, products valuation and processing activities and others.