The Hindu Business Line : Arecanut co-ops oppose move to ban gutkha

Representatives of various arecanut co-operative institutions in Karnataka have opposed the Union Government's proposal to ban production and sale of gutkha in the country.

A meeting of the representatives, which was held in Shimoga on Wednesday, has decided to form a delegation to meet the Union Government in this regard.

Mr S.R. Rangamurthy, President of Central Arecanut and Cocoa Marketing and Processing Cooperative (Campco) Ltd, told Business Line that a meeting of the elected representatives from arecanut-growing regions in Karnataka would be held at Bangalore on October 27.

This meeting, which will chalk out a plan to tackle the problems arising out of the proposed ban, will decide on the delegation. "We have faced the threat of ban on gutkha four times in the last 10 years. This has been affecting the arecanut market in the country. Arecanut is the major ingredient in gutkha," he said.

The urgent need of the hour for the Union Government is to clear confusion on the proposed ban.

To a query, he said that the delegation will include representatives from the State Cabinet.

The co-operatives have also decided not to stop buying arecanut from growers.

Growers should not resort to panic selling of arecanut fearing further crash in the prices of the commodity, Mr Rangamurthy said.

Some private traders are even buying the commodity at the growers' doorsteps. The chances of tax evasion by traders are possible in such cases. Therefore, agriculture produce marketing committees have been asked to prevent such tax evasions, he added.

Representatives from the Shimoga-based Malnad Arecnaut Marketing Co-operative Society (Mamcos), the Sirsi-based Totagars' Sales Society (TSS) and other co-operatives in Karnataka attended the meeting.

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Arecanut co-ops oppose move to ban gutkha