K'taka to revive Campco copper sulphate plant

The Karnataka government is planning to revive the copper sulphate manufacturing plant of the Central Arecanut and Cocoa Marketing and Processing Cooperative Ltd (Campco) at Sagar in Shimoga district. This follows the recent crop failure in most of the major growing areas of Karnataka and Kerala.

According to preliminary estimates, nearly 50 per cent of the arecanut crop is infected by Kole roga (fruit rot disease) in the Malnad and coastal districts due to incessant rains. Spraying of poor quality copper sulphate also added to the problem. Copper sulphate (CuSO4 ) is the prime raw material in the preparation of bordeaux mixture that controls Kole roga.

Said Nagaraja Shetty, district-in-charge minister of Dakshina Kannada, "We are actively considering the proposal to revive the copper sulphate factory after a discussion of Campco officials and arecanut growers with deputy chief minister BS Yediyurappa two days ago. The state government is ready to extend all possible help to Campco to restart the factory."

He further said, "We have realised it was low quality copper sulphate sold by private dealers that led to the widespread of kole roga. We want to ensure good quality material is supplied to farmers and that is possible if Campco restarts their factory. They can also supply the material at subsidised rates to farmers."

Copper sulphate prices have gone up by nearly 260 per cent to Rs 160-180 per kg at present compared with four years ago.

Following an acute shortage of copper sulphate in 1986, Campco set up its with 300 metric tonne per year capacity to meet the requirements of its grower members. However, about two years ago, Campco shut down the plant after making losses for several years.

"We could not continue to run the factory and supply copper sulphate at subsidised rates despite making losses. We ran into losses as the cost of imported copper was high as compared to our sales revenue. So, we closed down. But, if the government is ready to help us by giving excise and sales tax exemption, we can think of reviving it," sources in Campco said.

Though the exact amount to revive the factory is yet to be ascertained, it is likely to cost in the order of Rs 5 crore, the sources said.

Shetty said the government has commissioned a study to assess the extent of damage to arecanut gardens in the state and based on the report will further announce hike in minimum support price if required. Two days ago, the government announced a Rs 10 crore package to arecanut farmers.