Spices Board bans re-pooling in cardamom

07-Jun-2024 04:05 PM

Iddukki. After studying and assessing the market situation for a long time, finally the Spices Board has now banned re-pooling (re-sale) of cardamom in auction centers. Cardamom producers of Idukki (Kerala) district were demanding this for a long time.

In a circular issued by the Marketing Director of Spices Board, it has been said that to reduce re-pooling, no more than 25 percent of the total quantity of cardamom kept for auction by licensed dealers in any auction center will be pooled.

Spices Board has instructed the licensed auction companies to strictly implement this rule. At present, dealers can pool up to 25 tonnes of cardamom in each auction.

In another circular, the Spices Board has said that it has been observed many times that cardamom was first pooled by the same dealer and then the same lot was also purchased.

Such unethical practices were being adopted by some dealers, which created the possibility of manipulation and irregularities in the entire system.

This was badly affecting the interests of cardamom producers. According to the circular, it will now be necessary for the auctioneers to ensure that no dealer is allowed to buy cardamom from the lot which he himself has pooled in any auction.

According to the producers, dealers purchase cardamom at the auction center on the basis of loan (credit) and then pool the same lot of cardamom in another auction and earn good profits.

This process has been going on for a long time. Recently, Vandanmedu Cardamom Growers Association had filed a petition in the Kerala High Court requesting to stop re-pooling in cardamom.

On the other hand, Kerala Cardamom Dealers Chamber had also filed an application in the High Court requesting to allow 100 percent re-pooling of cardamom in auction centers.

The court had asked the Spices Board to study the entire matter and find a solution based on its (court's) directions and the board has now banned re-pooling of cardamom.