The spices exporters have called for registration of all importers under Spices Board to check illegal imports of pepper into India.
The All India Spices Exporters Forum (AISEF) said by doing so the black pepper import could be legally regulated to prevent it from getting sold in the domestic market. AISEF vice chairman Cherian Xavier said it is critical that the minimum import price (MIP) of Rs 500 per kg fixed for pepper import, to protect the local farmers, is strictly monitored through a self-declaration by such importers.
“Under the present system there are loopholes where the commercial invoice can be of Rs 500 per kg whereas the actual price paid may be lower leading to the misuse of the price safeguard resulting in forex violations,’’ he said.
The exporters who import pepper for value addition and export are registered under Spices Board and hence are allowed to import legally. But the importers who import pepper to sell in the domestic market do not come under the purview of the Spices Board.
“The pepper import for value addition comes to 16,000 tonnes a year. But there are reports that another 18,000 tonnes of pepper have reached the country for local distribution besides the quantity smuggled from Nepal and Bangladesh,’’ said Jojan L Malayil and Prakash Namboodiri, members of management committee of AISEF
The issue of black pepper from Vietnam coming to India as Sri Lankan origin should be taken up between the concerned ministries of both countries, Xavier suggested.
India is a global leader in the spice industry through value added spices having developed the process and knowledge leadership in the global arena while the large spice producing countries like Vietnam, Indonesia and China remain mostly commodity exporters, Xavier said.