Ease Of Doing Biz: Govt To Simplify Coffee Act To Address Impending Concerns Of The Sector

Ease Of Doing Biz: Govt To Simplify Coffee Act To Address Impending Concerns Of The SectorUnion Minister Piyush Goyal

The Union Commerce Ministry has affirmed that the central government will take a relook at the coffee law in order to expedite the growth of the sector and make it suitable in terms of its present needs as well.

Apparently, this matter came up for consideration after senior minister Piyush Goyal held an interaction with coffee growers, exporters, roasters and also other concerned stakeholders at the Coffee Board Head Office situated in Bengaluru.

The current Coffee Act was enacted back in 1942 itself. It reportedly consists of several unnecessary provisions that are acting as an impediment in the trade of the product.

Coffee producers have opened up on apprehensions of losing their land in the wake of the notices issued by the banks under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act.

Exporters have demanded assistance as per the Transport and Marketing Assistance Scheme (TMA) as they revealed that the agri-exports to many destinations from India have become uncompetitive owing to the costs of international freights.

Goyal has assured of a unique package to help agri-exports at least for a solitary year to address this ongoing issue.

“Therefore, it was decided in the meeting to completely relook at the provisions of the Act and to remove the provisions which are restrictive and regulatory in nature so as to bring out a simple Act that suits the present needs of the coffee sector and facilitates its growth,” the ministry’s statement was quoted by Money Control.

Meanwhile, it has also been recommended to shift the Coffee Board to the Ministry of Agriculture from the Commerce Ministry so that coffee producers can also avail all the advantages of schemes extended for the agriculture sector by the former.