Arecanut price rises 21% after MIP raised

With the government raising the Minimum Import Price (MIP) for arecanut to Rs 251 a kg, growers say this has led to a rise in its market price. They're hoping for more to come.

The government decision was to help the growers, faced with cheaper import. The MIP was raised from Rs 162 a kg, on petitions from growers.

Suresh Bhandary, managing director of the Campco growers cooperative, said market prices had risen after the MIP hike to Rs 200 a kg from the earlier Rs 165-170 a kg. He expects it to reach Rs 220-230 in the coming days.