CASHEW INDUSTRY IN INDIA

INTRODUCTION
Cashew as a marketable commodity has a very important role to play in the
liberalized Indian economy. With export earnings of Rs. 12,320 million in 199596, cashew ranked as one of the top agricultural export commodities. From the
farmers as well as from the exporters point of view, the current emphasis that
cashew is receiving as a horticultural crop from the research and development
front, is a welcome sign. At present, India has a processing capacity of nearly
seven hundred thousand metric tons and to meet the raw nut demand, the
country depends partially on imports from several African, and in recent years,
from south-east Asian countries. This has considerable drain on the countrys
foreign exchange reserves and there is an urgent need to increase local
production to substitute imported raw material in order to derive the maximum
benefits from a strong processing and marketing capability developed over the
years by the Indian cashew industry.
Research work on cashew was initiated on a relatively small scale in early
1950s resulting in the development of several production techniques. These
efforts were further strengthened when the national research mandate was
delegated to the Central plantation Crops Research Institute (CPCRI),
Kasaragod, in 1970 which spearheaded the All India Coordinated Spices and
Cashew improvement Project from 1971. These research activities received
further impetus with the implementation of a World Bank aided multi-State
Cashew Project in the States of Andhra Pradesh, Kerala, Karnataka and Orissa
from 1982-86. A National Research Centre for Cashew was established at Puttur
to increase the production and productivity of cashew with the mission-mode
approach in 1986.
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The cashew development component of the combined All India Coordinated

Spices and Cashew Improvement Project was de-linked and an independent
National Cashew Research project was initiated with the newly established
National Research Center (NRC) for the crop at the same time. There are 8
research centres and one sub-centre at present, located in 8 cashew growing
States in the country. This can be considered as a milestone in cashew
development with firmly established linkages with the Directorate of Cashew
nut Development Corporation and other extension agencies which assisted in
the transfer of newly developed production
Cashew Export Promotion Council of India
The Cashew Export Promotion Council of India (CEPCI) works towards the
promotion of the export of cashew kernels and cashew nut shell liquid (CNSL).
The Council serves as an intermediary between importers of cashew kernels and
exporters who are members of the council. It also deals with any disputes on
exports/imports arising on account of quality standards, breach of contractual
obligations, etc. It undertakes numerous activities, such as organising global
buyer-seller meets, organising studies on the nutritional aspects of cashew and
providing support to cashew processors and exporters for improving
infrastructure.

CONSTRAINTS IN CASHEW NUT PRODUCTION DEVELOPMENT

A study of the industry prior to 1985 revealed that most of the plantations
were of seedling origin and cashew cultivation was mainly carried out as an
afforestation and conservation program for waste lands rather than an economic
venture. Since productivity was not the basic objective of such a program, the
cashew was maintained under highly neglected conditions. Poor soil fertility in
cashew growing areas, seedling progenies of nondescript origin and neglect of
the crop resulted in low productivity. This was prevalent in most of the cashew
growing areas of Karnataka, Goa, Andhra Pradesh, Orissa and Tamil Nadu.
Neglected trees established for conservation purposes hardly responded to the
application of any inputs. Seedling progenies that were established in
Maharashtra however, showed that these plantations responded to the
application of modern inputs developed by research. These seedling progenies
were from selected stock and orchards had received better attention from the
beginning of their establishment. In order to ensure better productivity, all new
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plantings are encouraged to use vegetatively propagated material of

recommended cultivars and the use of seedlings is completely discouraged.
One of the major thrusts being advocated at present is to rehabilitate existing
unthrifty seedling plantations. It may however, not be profitable to attempt
rehabilitation of senile and sparsely populated orchards. The working group
responsible for the preparation of the 8th national plan revised yield estimates
from 2 tons per ha to one ton per ha, mainly having these plantations in view.
The current area of 635,000 ha is likely to reach 1 million ha by the turn of the
century. Cashew is being considered as a candidate crop for rehabilitation of
waste lands by many development planners. The issue is however, being
debated whether more waste land be brought under cashew or rehabilitation of
old orchards be undertaken using elite planting material. Waste lands that are
now being considered are far more inferior to those areas which already have
cashew plantations. The cashew crop has contributed in some ways to
conserving the soil in the existing orchards. The logical alternative would
therefore be, to utilize existing cashew lands for a development program using
available technologies to reach the required production levels without
expanding into any more degraded waste lands.
CONCLUDING REMARKS
One of the key factors in favour of expanding the cashew industry in India is the
stable price in the International market when compared to other nuts such as
almond, hazel nut etc. Nutritionally, cashew also compares well with other tree
nut crops. It is a commodity rich in unsaturated fatty acids with high protein and
low levels of saturated fats and soluble sugars. Higher levels of polyunsaturated
fatty acids which lower blood cholesterol is particularly of high nutritional
significance. The crop is steadily gaining acceptance in many western markets
where consumers are more health conscious.
The elaborate research network and development infrastructure in India is
beneficial for the expansion of the cashew industry. Development and
introduction of eco-friendly production packages such as organic farming and
integrated pest management can provide a further boost to the development of
the crop and the cashew industry in the future.

COMPANY PROFILE
S.N. CASHEW INTERNATIONAL PRIVATE LIMITED
S.N. Cashew International Private Limited is a Private Company incorporated
on 26 February 2007. It is classified as Indian Non-Government Company and
is registered at Registrar of Companies, ROC-Ernakulum. Its authorized share
capital is Rs. 9,000,000 and its paid up capital is Rs. 9,000,000. The raw
materials for production are imported from S.N. Cashew International Private
Limited's Annual General Meeting (AGM) was last held on 30 September 2010
and as per records from Ministry of Corporate Affairs (MCA), its balance sheet
was last filed on 31 March 2010.
S.N. Cashew International Private Limited's Corporate Identification Number is
(CIN) U15493KL2007PTC020406 and its registration number is 20406. Its
registered address is BUILDING No.KC. XVII/1134 THIRD MILE STONE,
KILIKOLLOOR,KOLLAM-691004,KeralaINDIA.
Company has currently 2 director and falls under the jurisdiction of Registrar of
Company-Ernakulum.
BASIC DETAILS

Corporate
Number

Identification U15493KL2007PTC020406

Name

S.N.
CASHEW
PRIVATE LIMITED

INTERNATIONAL

RoC

ROC-Ernakulum

Registration Number

20406

Company Category

Company limited by shares

Company Sub Category

Indian Non-Government Company

Class of Company

Private Company

Authorised Capital (in Rs.)

9,000,000

Paid up capital (in Rs.)

9,000,000

Number
of Members(Applicable only
in case of company without
Share Capital)
Date of Incorporation

26 February 2007

Address 1

BUILDING No.KC. XVII/1134

Address 2

THIRD MILE STONE, KILIKOLLOOR

City

KOLLAM

State

Kerala

Country

INDIA

Pin

691004
5

Whether listed or not

Unlisted

Date of Last AGM

30 September 2010

Date of Balance sheet

31 March 2010

Company
eFiling)

Status

(for Active

Directors
Director Identification Number
00055051
01125069

Name
ASANARUPILLAI ABDULSALAM
NOORJAHAN BADHARUDEEN

"Sustainable development is development that meets the

needs of the present, without compromising the ability of future
generations to meet their own needs."
The concept of sustainable development can be interpreted in many different
ways, but at its core is an approach to development that looks to balance
different, and often competing, needs against an awareness of the
environmental, social and economic limitations we face as a society.
All too often, development is driven by one particular need, without fully
considering the wider or future impacts. We are already seeing the damage this
kind of approach can cause, from large-scale financial crises caused by
irresponsible banking, to changes in global climate resulting from our
dependence on fossil fuel-based energy sources. The longer we pursue
unsustainable development, the more frequent and severe its consequences are
likely to become, which is why we need to take action now.

ENVIRONMENTAL MANAGEMENT SYSTEM

An Environment Management System (EMS) is a tool for managing the
impacts of an organisation's activities on the environment. It provides a
structured approach to planning and implementing environment protection
measures.

An EMS monitors environmental performance,

similar to the way a financial management system monitors expenditure and
income and enables regular checks of a company's financial performance. An
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EMS integrates environmental management into a company's daily operations,

long term planning and other quality management systems.

Components of an EMS
To develop an EMS, an organisation has to assess its environmental impacts, set
targets to reduce these impacts, and plan how to achieve the targets.
The most important component of an EMS is organisational commitment. For
an effective EMS to be developed and implemented, you need commitment
from the very top of the organisation, as well as all staff. Following are more
examples of components that should be considered when developing an EMS.
Environmental Policy: this is a statement of what an organisation intends to
achieve from an EMS. It ensures all environmental activities are consistent with
the organisation's objectives.
Environmental Impact Identification: identification and documentation of the
actual and potential environmental impacts of an organisation's operations need
to be undertaken. This can be achieved through undertaking an environmental
audit.
Objectives and Targets: an environmental audit forms the basis of determining
an organisation's environmental objectives and targets. An organisation can find
benefits in adopting more stringent longer term objectives to encourage it to
improve its performance. To continually improve, targets should be regularly
reviewed.
Consultation: staff and community consultation should be undertaken before,
during and after establishment of an EMS. This is necessary to ensure that all
staff are involved in, and committed to the EMS. It can also help to improve
public perception of the company, one of the benefits of implementing an EMS.
Operational and Emergency Procedures: all procedures should be reviewed
to ensure they are compatible with the organisation's environmental objectives
and targets. Any changes should be included with the documentation.

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Environmental Management Plan: this details the methods and procedures

which an organisation will use to meet its objectives and targets.
Documentation: all objectives, targets, policies, responsibilities and procedures
should be documented along with information on environmental performance.
Documentation is useful for verifying environmental performance to staff,
regulators and the community.
Responsibilities and Reporting Structure: responsibilities need to be
allocated to staff and management to ensure the EMS is implemented
effectively.
Training: staff should undergo environmental awareness training to familiarise
them with their responsibilities for implementing the EMS and with the overall
environmental policy and objectives of the organisation. This provides staff
with the necessary skill and motivation for the effective implementation of the
EMS.
Review Audits and Monitoring Compliance: review audits should be
undertaken regularly to ensure the EMS is achieving its objectives and to refine
operational procedures to meet this goal. In order to ensure regulatory and other
requirements are being met, it is often necessary to undertake regular
environmental monitoring.
Continual Improvement: an important component is continual improvement.
An EMS comes into its best use when used to review progress towards the
targets and objectives set by a company to protect the environment. The
procedures set in place to meet these objectives should be constantly examined
to see if they can be improved or if more effective systems can be introduced.
Benefits of an EMS
An EMS can assist a company in the following ways:
minimise environmental liabilities;
maximize the efficient use of resources;
reduce waste;

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 demonstrate a good corporate image;

build awareness of environmental concern among employees;
gain a better understanding of the environmental impacts of business
activities; and
Increase profit, improving environmental performance, through more
efficient operations.
International Environmental Standards - ISO 14000
The ISO 14000 series, currently being developed by the International
Organisation for Standardisation (ISO), is a collection of voluntary standards
that assists organisations to achieve environmental and financial gains through
the implementation of effective environmental management. The standards
provide both a model for streamlining environmental management, and
guidelines to ensure environmental issues are considered within decision
making practices.
ISO 14001 is the standard for Environment Management Systems. Many large
businesses, particularly overseas, have obtained certification under the standard.
Benefits of International Certification
The benefits of having ISO 14001 certification are mainly realised by large
organisations, as Small to Medium Enterprises (SMEs) have a smaller turnover
and thus a correspondingly small return on the costs of certification.
Although a fully certified ISO EMS may not be suitable for smaller
organisations, it does provide guidelines that assist organisations to consider all
the relevant issues, and thus gain the most benefit from their EMS, even without
certification. SMEs can therefore use ISO 14001 as a model for designing their
own EMS.

ENVIRONMENTAL MANAGEMENT SYSTEM OF

THE COMPANY
S.N. Cashew International Private Limited aims at creating truly comfortable
living environment for people. They make constant efforts to significantly
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reduce harm to the environment in the process of manufacturing coating

materials and resin materials. They develop their business activities so that their
activities will go together with continuous development and social harmony
with environments.
The Company promote the following activities.
1. The company conducts business activities in compliance with legal
requirements set by various environmental laws and other requirements.
2. The company set important themes from various environmental
objectives, reduce industrial wastes, conserve and re-cycle natural
resources, preserve global environment and contribute to raising green
procurement rate.
3. The company thoroughly inform all of their employees the environmental
policy and provide for training on a regular basis.
4. The company discloses information related to safety of their products and
make contributions to local communities through volunteer activities.
5. The company makes constant efforts to develop environmentally friendly
products.

STRENGTH

WEAKNESS
Competition from other cashew
firms
Narrow range market base.

High demand
Less production cost
More job opportunities for
women
Good quality
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OPPORTUNITIES

THREATS
There are currently 300 cashew
companies in kollam
Prices are highly volatile

Consistent demand for the

product
Products are sold out on a
regular basis
No other substitute goods

SWOT ANALYSIS OF THE COMPANY

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FINDINGS

In terms of sustainability the cashew market is lagging behind other

sector.

Productivity & quality of cashew production are generally low resulting

in low income & social standard.
The cashew industry is affected by a number of social issues such as poor
working conditions, health & safety issues.
Cashew cultivation has a positive ecological impact in that serves to
protect, conserve & restore the soil.
Cashew trees will prevent deforestation and are a tool to fight climate
changes..
The value added of the S N cashew program lies in commitment from
involved companies to improve sustainability in the cashew industry.
Sourcing from these processing factories provided will encourage a
sustainable business.
Working conditions on processing level will be improved.

SUGGESTIONS
Diversification of cashew products into CNSL (cashew nut shell
liquid),cashew feni and roasted salted cashews
Purchase and takeover cashew gardens to full fill the raw material
requirement of the company
Diversification of company in other places
Can adopt new technologies in to the company
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 Improve the infrastructure of the company

CONCLUSION

From the study it is concluded that the cashew industry is facing certain social
problems like poor working conditions, health and safety issues. Cashew
industries provide large employment opportunities to lower section in the
society especially for women. Currently, India has approximately 0.97 million
hectares under cashew cultivation with productivity of 770 kilograms per
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hectare. In addition, cashew is also grown in Chhattisgarh, Goa, Gujarat,

Andaman and Nicobar Island.
Development and introduction of eco-friendly production packages such as
organic farming and integrated pest management can provide a further boost to
the development of the crop and the cashew industry in the future.

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