and its Impact on Employment & Environment and lessons. Malla.Srinivasa. . Rao. PRESIDENT. THE PALASA CASHEW MANUFACTUERERS ASSOCIATION. Palasa. Cashew Processing Cluster. FOUNDER: Late Sri . Malla. ID: 673880
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Palasa Cashew Processing Cluster and its Impact on Employment & Environment and lessons
THE PALASA CASHEW MANUFACTUERERS ASSOCIATIONSlide2
Palasa Cashew Processing ClusterFOUNDER: Late Sri
Board: 9 members at inception, later it was increasedSlide3
Manufacturing ProcessAt inception - Pan Roasting Method (till 1960’s)At median - Drum Roasting Method(till 2007)
At present - Steam Boiling method(till date)Slide4
Cashew Industry in Andhra PradeshAndhra Pradesh is one of the major cashew growing states offering congenial conditions for the cultivation of cashew
Andhra Pradesh occupied sixth rank in terms of number of units and third rank in the processing of cashew nuts in India.
Andhra Pradesh has about 46,913 hectares of area under cashew with an annual production of 12,500 tons of raw
, Visakhapatnam, East Godavari, West Godavari, Krishna, Guntur,
important cashew-growing districts in the State
Cashew Industry in SrikakulamIndustry Concentration
There are 650 and around cashew processing units in Andhra Pradesh, 500 are located in Srikakulam district, and the remaining is located in different districts of the state.
and surrounding areas includes
450 processing units(each of 1ton to 4 tons a day)
in Srikakulam district is the major cashew processing centre in Andhra Pradesh.Slide6
PALASA CASHEW CLUSTER IncludesTHE PALASA CASHEW MANUFACTURERS ASSOCIATIONTHE INDUSTRIAL ESTATE – PALASA
HARIPURAM CASHEW MANUFACTURES ASSOCIATION
Revenue to Government
APRIL-2013 TO MARCH-2014
APRIL-2014 TO DECEMBER-2014Slide8
Impact On Employment The level of automation was very less, the industry was totally based on manpower,
therefore the scope for employment was very high.
The tribal's and
district , mostly involved in manufacturing process.
The labor were paid daily wages at the piece rate system, which is more than as per Minimum Wages Act.Slide9
Survey ReportsIntervention of the Government bodies and Political Parties was
The cluster was followed by the Pharmaceutical industry ,listed as
largest payer of wages in the Andhra Pradesh.
families were depending, directly or indirectly to this clusterSlide10
Causes for Labor ScarcityIncrease in Production in nearby areas to the cluster
towards Agriculture works in seasons
Food for Work- Central government policySlide11
Effects on Cluster by ScarcityIncreasing gap between Supply and Demand
Decrease in profit level
Decrease in production valueSlide12
Best Practices of Palasa Cashew ClusterBoth the unions discuss the increment of wages
All the employers and employees undergoes Bilateral settlements.
The conclusions made by settlement was followed and exercise till the next meeting called for.
The welfare of the employees was observed by the employers association
Natural climatic conditionsSlide15
Role Of Financial Institutions As Working Capital was directly proportional to production.Apart from banks, local money lenders also play vital role.
Though there are many funding institutions, the funds provided were not sufficient to increase the production level at this cluster
Non availability of FOREX authorized dealerSlide16
Role Of Government And Other Agencies
In newly formed state, the government was much focused on the Agro Based industries among which cashew was one.
Proper monitoring mechanism of
agencies and products
Periodic review of Schemes and ProgramsSlide17
Role Of TechnologyAs the industry was semi automated, technology has to be provided at the better prices.Up to date the hand cutting machines and the peeling machines were satisfactory.
The usage of packing system were zero at this cluster.
The automated cashew cutting machines were not satisfactory
Role of InfrastructureAbsence of ESI hospitalLack of facilities in
Absence of Skilled LaborSlide19
Problems of ClusterIllegal Competition by New and Small Entrepreneurs
The age of the crop was is more than 50 years
Absence of Central and State Cashew Boards support to the Cluster
Maximum import was done trough
, which is very expensive
ConclusionThe study made it clear that the cashew nut growers had lesser market knowledge level; this implies that the extension agencies may guide the cashew nut growers for improving their knowledge level to improve productivity.There is need to convince the cashew growers about good cultivation and Marketing practices through demonstration and training.
study has identified need for proper training to cashew nut growers. Hence, it is essential to provide sufficient opportunities to the growers for in-depth training on cashew nut cultivation and marketing by government agencies
Conclusion ( Contd.)Small Scale industries role is pivotal in stabilizing the economy and to bring economic viability to masses of the country. India like developing countries need much support from all the dimensions to bring sustainable development to such industries. Palasa
Cashew cluster is moving ahead slowly to reach its economic and social goals as almost all 15,000 families are directly dependable on it.
Though the several research studies revealed the challenges and number of representations given by the association, local leaders the cluster is still look for a helping hand.
As compared to other cashew processing states the local banks support is to still think a lot to cater the needs of the processing unitsSlide22