Jairam Ramesh to launch new e-Auction System

Bangalore, Aug 20 (UNI) Union Minister of State for Commerce Jairam Ramesh will launch electronic auction system, a new initiative of the Spices Board, in Bodinayakanur in Tamil Nadu on August 23.

The new initiative would ensure transparency in cardamom trading in the country and help benefit of small growers. Bodinayakanur accounts for 80 per cent of the Traders in this commodity and 21 per cent of the total cardamom auctioned. It has traditionally been a major assembling centre for cardamom, an official release said here today.

The e-auction system had been developed with the support of the city-based Tata Consultancy Services to provide transparency in transactions and to promote healthy competition for purchases.

The Board had proposed introduction of e-auction in cardamom to revamp the existing manual procedures at par with modern technologies.

The new system was designed to replace the traditional manual auction system of shouting out the bids now being followed in all auction centers. Farmers often complained that this method, conducted by licensed auctioneers at the approved centers in Kerala, Tamil Nadu and Karnataka lacked clarity.

Cardamom was a main stay crop for thousands of farmers in the three southern States with Kerala accounting for a major share of 75 per cent, followed by Karnataka (15 per cent) and Tamil Nadu (10 per cent).

The volume of business in the auction centers in the year 2006-07 was 7,939 tonnes. The average price realised at the auction centers was Rs 313.02 per kg in 2006-07.

The Board would be introducing e-auctions in the other four major auction centers of Vandanmedu, Kumili, Thekkady and Pulianmala in Idukki district of Kerala in due course, based on the performance of Bodinayakanur, the release added.

UNI