1st April 2001
Approximate
Closing Stock at The Sagoserve
as on 28th March 2001
Sago = 1,32,000 bags and
Starch = 86,000 bags only.
New arrivals of sago is about 5500 bags and
starch about 1000 bags daily in average at Sagoserve.
Demand is poor and daily sales is about 4500 bags Sago & 1000 bags
Starch
Currently Tapioca Root businessed @Rs.80/95 per bag of 70/75 kgs.
Arrivals of Root is continue, even as season exhaust.
TOP
5th May 2001
To check
the continuous downfall in rates of sago-starch, The Tamilnadu Sago
Starch Manufacturers Association decided to take following steps in
their special meeting held on 4th may 2001 at the sagoserve campus in
Salem.
1. All
manufacturers of Sago starch will sell their products through The
Sagoserve only.
2. As raw material purchased at high prices is in the hands of Sago
manufacturers, they have decided to avoid new purchase of raw material
and also, will not prepare sago from wet tapioca starch until
normalisation of the market.
3. Minimum rate for Sago has been fixed Rs.1000 per bag of 90 kgs. at
salem Ex Sagoserve. Manufacturers will not sale below Rs.1000 &
will review the rates weekly for improvisation.
The
above steps will be effective from 7th May 2001 onwards & the
Tamilnadu sago starch manufacturers association will review the
progress fortnightly.
TOP
20th May 2001
As The Sagoserve stopped announcing
daily arrivals quantity of Sago -Starch bags after adopting recent
unfair & monopolistic trade practices, we are unable to collect
accurate position of stock. Anyhow, we will try to put latest market
reports of salem sago and starch market for our viewers benefit and
will very soon present here the authentic data as before. Till than,
please bear with us.
The Annual General Body Meeting of
The Sagoserve is scheduled on 21st May 2001 and no tender will be held
on the day.
The Govt. of Tamilnadu has ordered to
dissolve the board of all co-operative societies and new elections
will be held in September as per press release. Till the formation of
new board, all activities at The Sagoserve will be governed by The
Managing Director (Sri Ramnathan I.A.S.).
TOP
11th June 2001
Sago Market improved about Rs.100 to
Rs. 150 per bag as good demands from line buyers. Minimum Rates of
Sago has been fixed Rs.1050, for Starch Rs.750, for ceylon Nylon
Rs.1150 & for Glass Nylon Rs.1250 at The Sagoserve by The
Tamilnadu Sago and starch Manufacturers Association.
Rate for purchase of Tapioca Root has
been fixed by Tassma Rs.125 per bag of 70 kgs. i.e. Rs.5 per point
approximate. New arrivals of root is modest.
TOP
15th June 2001
An informal Farewell party to Sri
Ramnathan, I.A.S., Special officer, The Sagoserve by Salem Sago &
Starch Merchants Association at Hotel Salem Castle on 13th June 2001
has been organised. Sri Prabhakar, I.A.S., The New Special Officer,
The Sagoserve has joined the meeting and merchants welcomed him in the
same party. The newly joined Collector of Salem District, Sri
Dhananjayam, I.A.S., and the ex-collector, Sri Nasimuddin, I.A.S., who
is now commissioner of disciplinary proceedings, Salem has also graced
the party by joining the farewell meetings. Sri Sandeep Saxena, the
newly appointed Managing Director of TANMAG, Salem has also
participated in the party. Merchants recalled the hard & bold
steps taken by Sri Ramnathan for the development of The Sago-Starch
Trade and industry. He has improved the business breaking all past
records at the sagoserve and also taken several steps to improve the
quality of sago. Recently, he has also started publishing a bulletin
by the sagoserve for its members to inform current developments and
information about trade and industry with authentic data of previous
years.
Sabu Traders salutes Sri Ramnathan,
I.A.S. and wish him all the success. At the same time, Sabu Traders,
welcomes, Sri Prabhakar, I.A.S. as Special Officer, The Sagoserve and
assure him all co-operation for a better and transparent trade system
at the Sagoserve.
Sago-Starch market is steady. Demand
from line buyers is good.
TOP
18th July 2001
Rainy season started at
Salem. New arrivals of root in small quantity also started. Peak
season of arrivals will only in October-November. Line demands are
good for Sago due to Srawan Sales, whereas demand for starch is poor.
Sago stock at Sagoserve is about one lakh bags and daily arrivals is
about 7000 bags in average. Average daily sales is about equal to
arrivals at The Sagoserve. Currently Tapioca Root businesses @ Rs.160
per bag of 70 kgs.
TOP
2nd August 2001
Sago-Starch market collapsed suddenly
by about Rs.150 per bag in a week. There is a nosedive fall specially
in sago of bad quality, which is look wise very good but not suitable
for preparation of KHICHADI. Buyers are refusing this type of quality,
specially in Maharastra and Madhya Pradesh. Demands from line buyers
is poor. Arrivals at The Sagoserve is normal, but due to lack of
demand and over purchase in previous two months by the line buyers in
result of some rate control and restrictions by TASSMA at The
Sagoserve, this sudden breakdown came in the market.
The well announced fixed rate of
Rs.125 per bag for Root by manufacturers association is not in order
now and currently businesses at Rs.90 and less per bag in the market.
Buyers are suggested to purchase sago
as per their regular demand only, as there is no reason of
non-availability of ready product in coming months.
TOP
24th August 2001
Market started improving from 9th
onwards by fresh demands on festival occasions. On 14th August
Tamilnadu Sago-Starch Manufacturers Association started fixing rate at
The Sagoserve tender in two groups i.e. one above Rs.1005 and other as
"Special" . The Buyers objected the procedure and stopped
purchase under the new condition. A solution arrived only after
intervention of Special Officer of The Sagoserve, Mr. Prabhakar, I.A.S.
and after getting assurance from him, started buying from 20th August.
In between demand from line buyers decreased and thus affected salem
market too. Currently, in spite of low arrivals, market is dull and
rates are in decreasing position for Sago and Starch both.
Local Merchants also requested to The
Sagoserve to issue warranty against sale of sago, as many merchants
receiving complaints from their buyers that the sago quality is
inferior and not fit for human consumption. The Special Officer,
Sagoserve assured that he will look in the matter seriously and if
possible, ask warranty from manufacturer members for their sago
products. It came to our notice that some manufacturers using some
hazardous chemicals to make sago more white, thus the product becomes
dangerous for human consumption.
Tapioca Root businesses Rs. 130 to
Rs.150 per 73 kg. currently.
TOP
1st September 2001
Market is uncertain.
Line demand is very poor at present. Currently, new arrivals of Sago
is about 2000 bags daily at The Sagoserve. Unsold stock at The
Sagoserve is more than one lakh bags, but quality of most of them is
not suitable for "Khichadi" or "Vada". In our
opinion, in near future, there may be a big difference in rates of
sago as per quality, as Navratri demands will start, because main
consumer states of Sago are Maharastra & Madhya Pradesh and the
uses of sago in the above states is mostly in preparation of Khichadi
and Vada only. Thus, the good quality of Sago may be in demand,
whereas offtake of other qualities of sago may be reduce and sellers
pressure may arise.
TOP
7th October 2001
Buyers Demand: Slow, not as
anticipated for Navratri Sales.
Arrivals of Sago-Starch at The Sagoserve: Normal
Trend: Downwards
Arrivals of Tapioca Root: Increasing
Weather at Salem: Currently Rainy season
Unsold Stock at The Sagoserve: Sago about 80000 bags.
Quality of new arrivals of Sago in average: moisture, not good for
stock.
Anticipated Sale in next month: Poor
Currently most merchants of Salem are
facing sago quality crisis as many of their line buyers have rejected
despatched goods due to unfit quality and prices also gone down. They
have to take back the goods and suffer heavy loss.
TOP
25th October 2001
Buyers Demand:
Slow, Navratri Sales was not as anticipated.
Arrivals of Sago-Starch at The Sagoserve:
Normal
Rates Trend in Past Weeks: Downwards
Arrivals of Tapioca Root: Increasing
Weather at Salem: Currently Rainy season
Unsold Stock at The Sagoserve: Sago about
50000 bags.
Quality of new arrivals of Sago in average:
moisture, not good for stock.
Anticipated Sale in next month: Poor
Sago quality crisis is continue. Many
consumers are complaining of bad smell or vomiting sensation after
consuming sago. Even a Govt. Lab at Pune has asked the Sagoserve about
detailed process of Sago manufacturing, as they found 1% to 50%
brighteners in 99% sago samples in their market survey. Salem Sago
& Merchants' Association is complaining regularly to The Sagoserve
& requesting to stop the uses of harmful chemicals in Sago
Production. It seems that The Sagoserve is interested only in
marketing the products of its member manufacturer & not bother at
all about the quality of Sago, which is a food product. Only some big
manufacturers are being benefitted more & thus the benefit of
co-operative movement is not reached to all sections of the society.
It is notable that sago is used only for food purpose & there is
no any other use of it in India. In spite of this fact, The sagoserve
is promoting unfair trade practices & rewarding the defaulting
sago manufacturers in various unique unfair ways, some of them are as
follows:
a) In daily tender at the Sago serve,
there is no facility of prior testing of the product by the buyer (tenderer).
Only there is display of original samples & separately wet samples
soaked in water for solubility test. Tenderer have to put their tender
only on the basis of visualisation & thus putting tender
unknowingly for chemical mixed sago.
b) In daily tender at The Sago serve,
they are hiding the name of concerned manufacturers & putting some
dummy numbers (even exact quantity of bags also change by reducing or
increasing the figures to nearest ten i.e. 74 bags may be displayed as
70 bags or 80 bags). Thus tenderer can't know the name of original
manufacturer & have to put tender blindly, thus quoting rates
unknowingly again for chemicalised sago.
For example X factory is a
manufacturer of Sago and sending his goods for sale through The
Sagoserve, and Y company is a merchant, who wants to purchase through
The Sagoserve and both are registered member & merchant at The
Sagoserve, Now, Y company got a lot confirmed in the tender and came
to know that goods were manufactured by X factory. After taking
delivery of the goods to his godown, he came to know that the said lot
of sago contains harmful chemicals and not fit for human consumption
(here it is notable that sagoserve has already mentioned in its tender
paper that The sagoserve is not responsible for quality or contents of
the goods sold through its tender), even visually the quality is very
fine as per size, colour , solubility, moisture, broken pieces etc..
Now, next time when Y company wants to put tender at The sagoserve,
his intention is to avoid the lot of X factory, as he wants to
purchase sago which is fit for human consumption and also should suit
to the needs of his buyers, but in spite of his good intention, he is
unable to avoid as he can't know the name of the manufacturer and he
got again the similar quality of the same manufacturer. In short, we
can say, by this method of tender The sagoserve supporting the wrong
practices to sell the inferior goods produced by its member
manufacturers and no action till now has been taken in this regard
except issuing some circulars to its members.
It is worth mentioning here that The
Sagoserve is a co-operative society formed in 1982 by Sago-starch
manufacturers & is under control of The Tamilnadu Govt. by
deputing an I.A.S. officer as its Managing Director. The State has
given a special concession to The Society in regard of Sales tax as
There is only 2% of Local Tax instead of 4% in open market and No
Central SalesTax (CST) chargeable for goods purchased through the
Sagoserve, where as in open market 4%. Thus merchants are bound to
purchase the goods through The Sagoserve only to get the benefit of
the said exemption.
Some strong initiative by all
concerned is needed at the moment, otherwise the faith of consumers in
sago will finished and the trade & industry at salem have to
suffer an unprecedented loss. Actually, Sabu Traders is complaining
& fighting alone for the quality since 1998, when the uses of
chemicals started in the sago industry in full force. Prior to 1998,
the manufacturers have to peel the skin of Tapioca Root before
crushing the roots, thus getting pure milk & getting final
products automatically good & bright. But, when they learned about
crushing un-peeled tapioca root & adopted the practice, they get
the product slightly discoloured as the skin colour of Tapioca Root is
red or pink. To improve the whiteness, they started adding various
chemicals like optical brighteners (Tinopal, Ranipal, ujala etc),
Acids, bleaching etc. to get more whiteness & brightness in the
final product. As cost of production decreased heavily due to avoiding
peeling of Tapioca root & less labour required for the same
quantity & production increased substantially, maximum number of
manufacturers adopted this practice. Some of them, who sticked to the
old practice to produce the pure quality, suffered heavy losses as
they can't get good rates in the market due to The Sagoserve's above
mentioned tender system and at last, unwillingly, adopted the wrong
practice to add chemicals in sago production.
TOP
11th November 2001
Buyers
Demand: Slow
Arrivals of Sago-Starch at The Sagoserve:
Normal
Rates Trend in Past Weeks: Downwards
Arrivals of Tapioca Root: Increasing
Weather at Salem: Currently Rainy season
Unsold Stock at The Sagoserve: Sago about
40000 bags.
Quality of new arrivals of Sago in average:
moisture, not good for stock.
Anticipated Sale in next month: Average
TOP
29th November 2001
Buyers Demand:
Normal
Arrivals of Sago-Starch at The Sagoserve:
Normal
Rates Trend in Past Weeks: Downwards
Arrivals of Tapioca Root: Normal
Weather at Salem: Cloudy
Unsold Stock at The Sagoserve: Sago about
40000 bags.
Quality of new arrivals of Sago in average:
moisture, not good for stock.
Anticipated Sale in next month: Average
