Thiruvananthapuram: The finance department issued an order granting Rs 12.50 per kilogram as subsidy for procuring coffee beans as part of Wayanad package. The coffee beans that has a certain quality and costs Rs 65 will be procured for Rs 90 through Brahmagiri Development Society.
There is a difference of Rs 25 between the market price and procurement price of coffee beans. Rs 12.50 out of this amount will be borne by the government and the remaining Rs 12.50 by the society. The government will allot a maximum of Rs 10 crore for subsidy.
The coffee beans are procured in order to double the income through coffee farming in Wayanad within 5 years. Finance minister Dr Thomas Isaac had announced in the budget that the government will form a Coffee Park for procuring coffee beans for higher rate and producing coffee powder.
It is stated in the order that actions for Coffee Park will be initiated by the end of this year. The cabinet had decided to entrust Brahmagiri Development Society for producing coffee powder until the Coffee Park is constructed. The order also includes the guidelines for this.
Rs 5 crore will be allotted for enhancing the facilities at Brahmagiri Development Society. Kudumbashree and society have to jointly set up 600 coffee vending machines and coffee sales centres.
Rs 20 crore will be granted to Kudumbashree to meet the expenses for this. Brahmagiri Development Society should supply coffee powder to the coffee sales centres for Rs 400 per kilogram.
The expenses for the functioning of coffee sales centres and the salary of staff should be managed with the profit. The project aims to provide at least 20 percent of profit earned through retail sale of coffee powder for the farmers.
