SANGAM

NTCDB holding its breath for coffee logo

SANGAM PRASAIN, JUNE 20, 2010

The National Tea and Coffee Development Board (NTCDB) has been making regular visits to the Department of Industry to get its coffee logo registered after it was assured that it would happen within two weeks.

However, more than three weeks have passed and the board is not sure about getting the much-awaited logo.

“We are making frequent visits after the Department of Industry assured us that the logo would be issued, but things are not going as expected,” said Binay Kumar Mishra, executive director of the board.

He added that the Department of Industry had already awarded the tea logo, and there was no need to delay the coffee logo.

However, the Ministry of Industry said that issuing the trademark might take some time as it was in the process of endorsing the terms of reference.

“The directives regarding the collective trademark have already been issued, and the ministry has sent them to the Department of Industry for implementation,” said Yam Kumari Khatiwada (Banskota), spokesperson at the Ministry of Industry.

According to her, after the issuance of the directives, the Department of Industry will endorse the terms of reference for separate products which will be finally approved by the ministry, so issuance of the coffee logo will take some time.

She said that the Department of Industry was busy assessing the terms of reference as issuing a collective trademark should be clear and sustainable.

With regard to issuance of the trademark, all the private, state-owned or cooperative coffee producers will get a collective trademark confirming that the coffee is produced and certified in Nepal. Coffee produced in any part of the country will be marketed under this single logo.

The board has been raising its voice for the logo for the last four to five years. The board plans to apply for registration of the coffee logo in the international market as soon as the logo is issued here, Mishra said.

The tea logo has already been issued with the brand "The Nepal tea -- A symbol of quality from the top of the world".

Mishra said that the board would start registering coffee producers across the country to gather systemic updates and information about production, export, cultivating areas and the farmers.

According to the NTCDB, the area under coffee cultivation in Nepal has increased to 16,000 hectares in 2009.

Nepali farmers produce the Arabica variety of filter coffee. This is the most popular variety and enjoys a 70 percent share in the global coffee market.

At present, coffee is commercially produced in Nepal in more than a dozen districts including Gulmi, Palpa, Syangja, Arghakhanchi and Lalitpur. In the fiscal year 2007/08, Nepal exported coffee worth Rs. 950 million compared to Rs. 360 million in the previous year.

According to the NTCDB, 40 percent of the coffee produced in Nepal is consumed locally. The annual production of coffee presently stands at 267 tons out of which 127 tons has been exported this year, an increment of 10 percent compared to last year.

Nepali coffee is exported to Korea, Japan, the US and a number of Arab countries.



Strategic plan aims to Boost tea, coffee yield

The National Tea and Coffee Development Board (NTCDB) has proposed a budget of Rs. 1.27 billion to the National Planning Commission in the upcoming fiscal year's budget for a strategic programme aimed at boosting tea and coffee production.

According to the NTCDB, Rs. 1 billion will be spent on developing the tea sector under its five-year strategic plan. Similarly, Rs. 110 million has been earmarked for development of the coffee sector under its three-year strategic plan.

Binay Kumar Mishra, executive director of the NTCDB, said that Rs. 270 million would be spent in the first year (first phase) under the programme.

He said that the strategic plan aimed at increasing production, enhancing and assuring quality and developing markets for Nepali coffee through strong and coordinated action by the agencies concerned.

The board said that production of tea would increase to 30,000 tons annually in five years from the existing 16,700 tons under the strategic plan. Similarly, coffee output would be boosted to 650 tons annually in three years from the existing 300 tons.

The strategic plan aims to generate greater employment in rural areas which will boost the rural economy by opening up new development opportunities.

“If this strategic plan is carried out, the contribution of tea and coffee to the GDP will stand at the top position,” said Mishra. He added that the contribution of tea to the GDP of India was at the second position. “The government should realize the potential of tea and coffee and invest in the sector."