22 September 2002 21:01
IPC To Take Initiative For Global Spices Community
The International Pepper Community (IPC) which is holding its 30th session at Sarawak in Malaysia from Monday will
take up the issue of forming an international spices community, besides looking into problems of quality standards,
consumer protection and supply-demand management, according to IPC executive director KPG Menon. More than 220 delegates
comprising exporters, researchers, producers and officials from Brazil, India, Indonesia, Malaysia, Sri Lanka, Vietnam,
Thailand, Cambodia, Myanmar and Ecuador are expected to take part in the event. Importers, traders and processors from
the US, Europe, the Gulf and Russia would also be attending. The previous session in Brazil had reviewed a report of the
IPC taskforce headed by Spices Board chairman CJ Jose. The report had recommended cutback in production/exports for
which compensation be paid through external funding, promoting domestic consumption within producing countries and also
promoting consumption outside the IPC member nations and highlighting the medicinal health value of pepper. The report
had said that such promotional measures should be part of a project for which external funding would be sought. During
the Common Fund for Commodities (CFC) meeting here last November, the project was submitted. While the IPC had mooted
Spices Board readying the report, a final decision was not taken. The issue would be taken up at the Sarawak session, Mr
Jose said. The India Pepper and Spice Trade Association (IPSTA), which has been running the pepper futures in the
country, is to have a delegation to market its dollar-denominated contracts at the IPC meet. The three-member IPSTA
president Kishor Shamji would market its international arm International Commodity Exchange (ICE) which had launched
dollar-denominated trade over three years ago, but with no takers. Mr Shamji admitted that the association’s not making
a presentation at the previous meeting was a blunder and this time he hoped to market the concept. The format had been
changed and no longer would the trader have to submit his financial details for joining ICE. This had been a major
roadblock. They could trade remaining non-member clients of an existing member and would have to take no equity. The
initial expenditure would be $185 and make deposits against the traded amount. Mr Shamji said the project had received
good support from the IPC which had been insisting that the exchange bring in foreign players. The exchange would have
to go in for online trade when the international exchange got going, he added. Meanwhile, he expressed concern over the
Indo-Lankan trade pact which saw 700 to 800 tonne of Lankan pepper being imported into the country. As per the pact
there was a 90 per cent exemption on the duty. As a result though the duty was 70 per cent, in effect imports from Lanka
would have a duty of just seven per cent.
[AIW [Asia Africa Intelligence Wire]] |
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