Part I | Neera loses fizz after the initial buzz

Part II | How Neera turned bitter for coconut farmers in Kerala

The Kerala economy needs a fresh impetus after a series of untoward developments that hurt businesses in the state in the last few years. The state cannot afford to neglect any sector if it is serious about improving the overall economy. However, the conduct of the authorities give little hope as several farmers collectives engaged in Neera production in the state came to realise the hard way.

'Overall scenario not conducive'

RERA chairman P H Kurian, who was the former additional Chief Secretary, pointed out the problems affecting businesses in the state.

"The same harsh realities that confront any business initiative in Kerala brought the downfall of Neera as well. The transport expenses and labour wages are unbearable. Because of these factors, not just Neera, any type of farming or business will end up in losses.

"Though there are coconut trees, there is not much yield. Claims of coconut production worth Rs 523 crore in Kerala have no basis. The government is trying to implement certain principles but there are no policies that aid to bring revenue to the farmers," Kurian noted.

Help not at hand

Neera producers pointed out the problems plaguing their sector and put forth suggestions to revive it. But they were almost unanimous that official apathy hindered the growth of the fledgling industry.

Shahjahan Kanjiravilayil, the chairman of the Kaipuzha Coconut Producer Company, which is based in Kollam district, said that they were given just empty promises by the authorities. "The government had exhorted farmers to start the Neera project but abandoned us when we were faced with a crisis," Shahjahan complained.

"Whenever we approached the Agriculture Minister, we just got offers to help but nothing more. Our company is still manufacturing Neera. Currently, it has a debt of Rs 1.5 crore," he stated.

He also blamed the Coconut Board for not promoting Neera with ad campaigns. "The farmer companies cannot spent on advertisements. The Board had promised to take up the advertising, but this did not happen," Shahjahan revealed.

Echoing Shahjahan’s thoughts, E V Vinayan, chairman of the Thrissur Coconut Producer Company, said: "After exhorting farmers to start the Neera business, the agricultural department and the Coconut Board are keeping them at an arm's distance."

"Despite extending an invitation, the Agriculture Minister did not come for the inauguration of the Thrissur Coconut Producer Company. Even now, our company in Thrissur taps 100 litres of Neera daily. But we do not have the necessary facilities to supply. If there are facilities to sell Neera at tourism centres, we can increase production by 500-1,000 litres," he pointed out.

Professor E Chandrasekharan, chairman of the Vadakara Farmer Company, too pointed out that no help was given.

"Even though the farmers pleaded, neither the Agriculture Minister, the Finance Minister, or the government gave us any kind of aid. Nor was Neera allowed to be sold at the stores of Civil Supplies. Our company carried out an experiment and succeeded in extending the shelf life of Neera by up to one year. And even exported to Singapore and Britain. But now we are in a crisis," he added.

Will common branding help?

P Vinod Kumar, the chairman of the Consortium of Coconut Producer Companies, pointed out the need for having a common brand for coconut farmers.

"Like how dairy farmers have 'Milma', coconut farmers also need a common brand. Though the farmers have the capacity to process 10 lakh coconuts to make coconut oil or Neera, this is being wasted," he added.

"What Neera needs the most is marketing the drink in tetra paks that would help in increasing the shelf life. Though trial and other procedures have been completed, the agricultural department is yet to give the necessary orders. We had approached the Minister for Agriculture several times and were told that help would be given. But the order is yet to be issued. If we receive that, KIIFB aid and central subsidy can be availed to make the project a success," he explained.

(The series on the state of the Neera production sector concludes.)