CHAPTER-1

INTRODUCTION

Organizations play a major role all over the world. Different organizations meet people’s
needs and provide them with product, service, or both. Due to globalization, the world has
become a global village. This has very much helped people to get their needs. Different firm
play different role and has its own importance. The organisation under study is that of an
export promotion body i.e. the Spices Board, which is a body set up by the Ministry of
Commerce (Government of India) for the export promotion of spices and spice products. The
main objectives and limitations of the study are given below:

1.1 Objectives of the study:-

• The main objective of the study is to have a practical knowledge of the application of
the management theories.

• To know what an organisation is.

• To study the various functions of different departments in an organisation.

• To study the new techniques adapted by the company.

• To study the organisational and departmental structure.

• To acquire knowledge regarding the profile of the company.

1.2 Method of study

The data collected are mainly from two sources, primary sources and secondary sources.
Thus data of two forms are obtained,

• Primary Data: This data has been mainly collected from internal sources, through
direct observation and from the department heads and other employees in the
organisation.

• Secondary Data: the data was collected from the industrial books, annual report,
journals, booklets, etc.

1
1.3 Scope of the study

The study is mainly based on the details collected from each department. It provides a better
understanding at functional level of each department i.e., administration, marketing, finance,
publicity, EDP etc. Each and every activities of the organization is studied very carefully with
the data available. Apart from that, I gained knowledge of the functioning of different
departments and the interrelationship with each other. This study helped me to familiarize
myself with the Export Promotion Organization.

1.4 Limitations of the study:-

• It is difficult to collect current data, as the figures are kept as estimates pending
finalization.

• Chance of personal prejudice and bias on interviewing the different personnel.

• Since the organisation is an export promotion body of the Government of India they
do not have any direct business involvement and hence no profit and loss is involved.

• Agriculture being a state subject there is limitation to access the real production
estimates of certain spices.

• Confidential nature of certain information.

• Inadequacy of time.

2
CHAPTER-2

INDUSTRY PROFILE

About the industry in general:-

Introduction:

Spices have had a profound influence on the course of history and civilization. They and
precious metals hold a high and very special place in the annals of exploration in the Middle
Ages and the Renaissance.

The principle use of spices is in flavouring food and drinks, and all aromatic, vegetable
products used for this purpose are sometimes included as spices. Spices are used to season
inspired food, such as those mainly of carbohydrate origin. They are also used as
preservatives and fumigants. Spices were widely used in pharmacy in medieval times. They
are also used in perfumery, soaps, toothpastes, incense, dyes and in histology.

History of Spices:

Spices have always played an important role in the history of civilization, exploration and
commerce. In medieval times, the word ‘India’ conjured up a vision in the minds of
foreigners as a land of maharajas, diamonds, fine textiles, ivory and of course, spices. The
world still looks upon India as the real ‘Home of Spices’. In ancient times, spices ranked with
precious stones and were monopolized by the few. They (spices) determined the wealth and
policies of nations and also played an important role in ancient medicines. Besides, they also
provided an incentive for the discovery of new waterways and new continents.

Centuries before the birth of Greece and Rome, sailing ships carried Indian perfumes and
spices to Mesopotamia, Arabia and Egypt. It was the lure of these commodities that brought
many sailors to the shores of India.

3
Long before Christian era, the Greek merchants thronged the markets of south India, buying
spices. Epicurean Rome was spending a fortune on Indian spices, silk, etc.

In 1492, Christopher Columbus discovered the New World. Five years later, 4 tiny ships
sailed southwards from the port of Lisbon, Portugal, under the guidance of Captain Vasco da
Gama. Like Columbus, Vasco da Gama too was searching for a new route to the spice lands
of Asia. While Columbus failed to achieve that goal, Vasco da Gama succeeded and reached
Calicut at the Malabar Coast of India. Only 2 of the 4 ships could reach their home-port,
bringing back a cargo of spices and other products worth 60 times the cost of the said
voyage.

The spices of the East were valuable in Vasco da Gama’s time, as they had been for
centuries, because they could be used to stretch Europe’s inadequate supply of food. During
the middle Ages, a pound of ginger was worth a sheep, and a pound of mace worth 3 sheep
or half a cow! Pepper, the most valuable of all spices, was counted out in individual pepper-
corns and a sack of pepper was said to be worth a man’s life! Vasco da Gama’s successful
voyage intensified on international power struggle for control over the spice trade. For 3
centuries, the nations of Western Europe, i.e., Portugal, Spain, France, Holland and Great
Britain fought bloody sea-wars over the spice-producing colonies.

About Spices:

Spices and condiments are heterogeneously composed of different parts of the aromatic spice
plants. Spices can be classified or grouped according to their (i) botanical analogies or
families, (ii) economic importance, (iii) similarities in methods of their cultivation or (iv)
similarity in plant parts or components as traded the world over. For simplicity, spices can be
broadly classified as follows,

1. Major Spices: Black pepper, cardamom, chillies, ginger and turmeric.

2. Minor Spices: Which can be further divided into 5 sub-groups as follows: (i) bulbous
species (ii) seed species (iii) aromatic tree species and acidulant tree species (iv) leafy
spices and (v) other minor spices.

Forms of Spices and Spice Products Trade:

Although spices are traded in a variety of forms, it is estimated, that by far the bilk of spices
(over 90%) is traded in whole form (un-ground), as has been the case since ancient times.

4
Tne remainder 10% is made up of (i) ground spices, (ii) curry powder, (iii) spice essential
oils and (iv) spice oleoresins. The important ground spices are paprika, pepper, turmeric,
curry powder and a number of other spice mixtures.

INDIAN SCENARIO

Spices exports have registered substantial growth during the last one decade. It has increased
from 109636 tonnes valued US$ 135 million in 1990-91 to 235611 tonnes valued US$ 472
million in 1999-2000. During the year 2002-03, the spices export quantity has touched an all-
time high of 250950 tonnes. However, the export value has declined to US $ 370 million .
The decline was due to low volume of pepper exports coupled with low unit value
realization. Still India commands a formidable position in the World Spice Trade with 48%
share in Volume and 24% in Value.

Trend in India's Spice Exports

Board has formulated and implemented a three tier quality certification programme
conforming to HACCP. Award of Spice House Certificate for good manufacturing practices,
award of Logo for quality of the product and accreditation under ISO 9000 for international
acceptance are the three certification systems adopted by the Board. Yet another area of
activity centered upon by the Board is Value Addition. India can now boast as the monopoly
supplier of spice oils and oleoresins the world over. In the case of curry powders, spice
powders, spice mixtures and spices in consumer packs, India is in a formidable position. The
consistent effort of the Board during the last one decade has improved the share of the value
added products in the export basket to 59%.

With the support of the Spices Board, exporters have established adequate infrastructure for
improving quality on a sustained basis. Quality improvement and technological upgradation
are taken up by exporters as an on-going programme. These developments are in tune with
the changing levels of market acceptance. Other areas focused upon by the Board are export
promotion in identified markets, interaction with policy makers in the importing countries,
development of new end uses, farm level training for farmers etc.

5
 (QUANTITY) (VALUE)

IMPORTANCE OF EXPORT
Exports form the most important source of foreign exchange for developing countries. All
developing countries, including, of course, India strive to increase their exports as a means
for mobilising resources for their development plans. Indian economy is basically agrarian
and hence export of food and agricultural products assume crucial significance in our export
efforts. Growth in agro-exports not only brings in additional foreign exchange for the country
but benefits a large number of people involved in the production, processing and exports of
such products.

Export of spices from India

From time immemorial India has been known as the Land of Spices. The Chinese, Arabs and
The Europeans came to the Indian shores lured by the spices grown here. Pepper, ginger,
turmeric and cardamom are the most renowned of Indian spices. The world consumption of
spices is growing steadily year by year. Expansion of our export of spices to increase or even
to retain our share of world market is imperative. This can be achieved only through
increased productivity and improved quality. "India being the land of spices, does occupy a
prominent place both in production and export of spices. It has been estimated that we
produce annually spices worth around Rs.31,000 crores in the country. We have been
dominating the world trade by contributing about 30% of its volume. This was due to the
combined effort of Indian farmers, traders, merchants and exporters. The domestic
consumption of spices is also quite high and the exportable surplus is just about 10%. The
productivity of spices has increased significantly during the past two decades, but still very
much less compared to the productivity of other producing countries".
Export and economy of farmers
India is predominently an agrarian country and the prosperity of our farmers brings
prosperity to the nation. While no efforts should be spared to increase productivity from each
hectare of land under cultivation, the marketability of the produce is crucially important. If

6
there is a fall in demand it leads to a glut in the market and consequently prices become
uneconomic. All agricultural commodities have this inherent problem. When a product
depends upon an export market also, the situation becomes more complex. A setback in the
markets in New York or London affects the farmers in the remote villages in Kerala or
Karnataka and upsets our economy. It is, therefore, a matter of survival for us to increase
productivity and also maintain the marketability of the produce through improved quality.

CHAPTER-3

COMPANY PROFILE

SPICES BOARD:-

Spices Board India Head Office Address:

(Ministry of Commerce & Industry Govt. of India) Sugadha Bhavan N.H.Bypass,

Palarivattom.P.O, Kochi: 682025 Kerala, India.

Spices Board India Phone Number: (484) 2333610 2333616

Spices Board India Website: www.indianspices.com

Constitution of Spices Board:

The Spices Board Act, 1986, enacted by the Parliament provide for the constitution of a
board for the development of export of spices and for the control of cardamom industry
including control of cultivation of cardamom and matters connected therewith. The Central
Government by notification in the official gazette constituted, for the purpose of this Act,
Spices Board, which came into being on 26-02-1987.

Spices Board was constituted on 26th February 1986 under the Spices Board Act 1986
(No. 10 of 1986) with the merger of the erstwhile Cardamom Board (1968) and Spices
Export Promotion Council (1960). Spices Board is one of the five Commodity Boards
functioning under the Ministry of Commerce & Industry. It is an autonomous body
responsible for the export promotion of the scheduled spices and production development of
some of them such as Cardamom.

The Spices Board consists of:

7
 a) Chairman.

b) Three members of Parliament of whom two shall be from among elected by the
House of the People and one from among those elected by the Council of States.

c) Three members to represent the Ministries of the Central Government dealing with,

• Commerce.

• Agriculture and

• Finance.

d) Seven members to represent the growers of spices.

e) Ten members to represent the exporters of spices.

f) Three members to represent major spice producing States.

g) Four members each to represent,

• The Planning Commission.

• The Indian Institute of Packaging, Mumbai.

• Indian Institute of Spices Research, Calicut.

h) One member to represent spices labour interests.

Ownership pattern:

The Spices Board of India (Ministry of Commerce, Government of India) is the apex body
for the export promotion of Indian spices. The Spices Board was constituted on 26th
February, 1987 by merging the Cardamom Board and Spices Export Promotion Council. The
head quarter of the Board is located at Cochin, Kerala. At the apex level the chairman is
assisted by the executive director, secretary and directors in charge of development, research
and Marketing.

Legal framework of the organization:

The Spices Board Act, 1986 provided for the constitution of the Board for the development
of export of spices, for the control of the cardamom industry, including the control of the

8
cultivation of cardamom and matters connected with it. This Act was enacted by the Indian
parliament in its 37th year as a republic.

The Act extends to the whole of India. It shall come into force as on such date as the Central
Government may by notification in the Official Gazette appoint. In the Act, unless otherwise
requires, the Board means Spices Board constituted under sub section (1) of section-3. The
Spices Board Act, 1986 came into force from 26th February, 1987 vide Government of India,
Ministry of Commerce, Notification.122(E) dated 26th February, 1987.

Vision:

The vision of the Board is,

• To increase the export of spices from the country.

• To assist the exporters to earn more foreign exchange for the nation by way of
increased export of spices both in terms of quantity and value addition.

• To encourage the setting up of spice based industry in India and thereby give way for
employment opportunity.

• To improve the quality of spices right from the production till the end use.

• To encourage organic production of spices and its marketing.

• To uplift the life environment of the pheasants and their standard of living.

• To develop the production and marketing of small and large cardamom and vanilla in
India.

• Last but not the least the overall development of the spice industry in India.

Mission:

The strategies for the mission of the Board are aimed at increasing the market share of the
Indian spices in the world market. The major areas focussed on in export development are:

• Increased value additions through induction of the latest technology in export.

• Promotion of Indian brands abroad.

9
 • Support to product research for higher end value addition.

• Special support for export processing of spices in the NE region and organic spices
elsewhere through organic farmers groups.

The trust areas focussed in export promotion are:

• Assisting exporters to develop individual Indian brands and its promotion in

developed countries.

• Assisting exporters and individual research organizations to develop new products

and new uses based on spices, which includes clinical trials and patenting.

• Assisting farmer’s groups in NE and other hilly areas and organic farmer groups
elsewhere in the country to start processing and production units through equity
participation.

• Assisting grower’s co-operatives, NGO’s to set up spice processing units for export.

Major focus in the export oriented production sector is:

1. To increase production and exportable surplus of spices

2. To broaden the export basket

3. To improve post harvest procedures for better quality

4. To improve quality of spices exported

5. To promote export oriented organic production of spices

Objectives:

To promote export of spices from India and to develop market for a range of Indian spices
and value added spice products. The Board focuses its attention on the promotion of spice
exports and on helping the growers. The major objective of the Board is to maintain India’s
position as the leader of global spice trade. The major areas focussed on are export
development, export promotion, export oriented production, etc.

Functions of the Board:

The Spices Board Act, 1986, has assigned the following functions to the Spices Board.

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The Board May-

a) Develop, promote and regulate export of spices.

b) Grant certificate for export of spices.

c) Undertake programmes and projects for promotion of export of spices.

d) Assist and encourage studies and research, for improvement of processing, quality
techniques of grading and packaging of spices.

e) Strive towards stabilization of prices of spices for export.

f) Evolve suitable quality standards and introduce certification of quality through

“Quality Marking” of spices for export.

g) Control quality of spices for export.

h) Give licenses, subject to such terms and conditions as may be prescribed, to the
manufacturers of spices for export.

i) Market any spice, if it considers necessary in the interest of promotion of export.

j) Provide warehousing facilities abroad for spices.

k) Collect statistics with regard to spices for compilation and publication.

l) Import with prior approval of the Central Government any spice for sale and

m) Advice the Central Government on matters relating to import and export of spices.

Spices under the preview of the Board:

India produces a wide range of spices. At present, production is around 3.2 million tonnes of
different spices valued at approximately 4 billion US $, and holds a prominent position in
world spice production. Because of the varying climates - from tropical to
sub-tropical to temperate-almost all spices grow splendidly in India.In
reality almost all the states and union territories of India grow one or the

11
other spices. Under the act of Parliament, a total of 52 spices are brought under the purview
of Spices Board. However 109 spices are notified in the ISO list.

12
The Board has three statutory committees as under:

i. Executive Committee.

ii. Research & Development Committee for Cardamom.

iii. Market Development Committee for Spices.

Offices of the Board:

The Head Office of the Board is located in Cochin, Kerala. The following are the other
offices of the Board,

• Marketing: Spices Board has its Marketing offices at Bondinayakanur, Chennai,

Tuticorin, Bangalore, Mumbai, Ahmedabad, New Delhi, Kolkatta, Gangtok,
Guwahati, Chhindwara and Guntur.

• Development: regional offices at Saklespur, Gangtok, Guwahati, Ahmedabad,

Nedunkandam, Guntur, Warrangal and Dharwad. Zonal offices at Rajakumari,
Vandanmettu, Nedumkandam, Markapur, Chickmagalore, Madikeri, Shimoga,

13
 Mangan, Jorethang, Kalimpong, aizawl, Itanagar, Agarthala, Tadong and Lucknow.
32 Field offices located in the states of Kerala, Karnataka, Tamil Nadu and North
Eastern Region.

The Board is also maintaining five departmental nurseries in Karnataka.

• Research: The Main Research Station viz. Indian Cardamom Research Institute
(ICRI) is at Myladumpara (Kerala) and the Regional Research Stations at Tadong
(Sikkim), Saklespur (Karnataka) and Thadiyankudisai (Tamil Nadu).

Spices Park:-

To empower the growers of spices and ensure better price realization, Board has taken steps
to establish spices Parks at the following seven locations to provide scientific infrastructure
facilities. The projects on Spices Park are primarily intended to benefit the growing
community through quality improvement, grading, packing, warehousing, etc for value
addition which would lead to better price realization of their produce. The exporters can also
set up their unit in the Parks for processing spices under the terms and conditions of the
Board. The centres where Spices Parks proposed are:

a) Chhindwara [ Madhya Pradesh]

b) Guntur [Andhra Pradesh]

c) Sivaganga [ Tamil Nadu]

d) Idukki [Kerala]

e) Mehsana [Gujarat]

f) Jhalawar [Rajastan]

POWERS & DUTIES OF EMPLOYEES & OFFICERS

The major functional divisions in the Board are Development, Marketing, Research and
Administration. Directors/Secretary head these divisions and they report to Chairman. There

14
are officers at the level of Joint Directors, Dy. Directors, Assistant Directors and Officials at
junior levels who work in the concerned departments for carrying out its activities and
implementing schemes. Apart from duties assigned to various levels of Officers for achieving
the Board’s objectives, financial powers are also delegated to the required extent for their
effective functioning. Summarized details in this regard are given below.

1. CHAIRMAN

Chairman is the Chief Executive of the Board who attends to day to day functioning and is
responsible for achieving the objectives of the Board. The powers delegated to Chairman
under the Spices Board Rules, 1987 and those specifically delegated by the Board after
formation of the Spices Board are given below:

Under the Spices Board Rules 1987

(i) to grant leave to officers and employees of the Board including the Secretary;

(ii) to prescribe duties of all officers and staff of the Board and exercise such supervision
and disciplinary control as may be necessary;

(iii) to sanction expenditure for contingencies, supplies and services and purchase of
articles required for the working of the Office of the Board;

(iv) to require the Board or any Committee thereof defer taking action in pursuance of any
decision taken by the Board or the Committee as the case may be pending a reference to the
Central Government on such decision;

(v) to take decision in respect of matters that can not wait disposal by the Board or a
Committee, as the case may be. The action taken by the Chairman shall be put up to the
Board for post facto approval at its next meeting”.

Provided that where the Board modifies or reverses the decision taken by the Chairman, such
modification or reversion shall be without prejudice to the validity of any action taken before
such modification or reversion

Delegated by the Board

1. Power to fill up unfilled sanctioned posts:

15
The Chairman may make appointments to any vacant post or any new post sanctioned by the
Board/Government provided that appointments to key posts to be identified in consultation
with Government shall be made only after obtaining approval from Government.

2. Power to enter into contracts:

Chairman may enter into any contract for the discharge of the functions under the Act on
behalf of the Board provided the proposal/scheme is approved by the competent authority;

3. Power to re-appropriate between Sub-heads under Heads of Expenditure

The Chairman may re-appropriate between Sub-Heads under Heads of Expenditure upto
Rs.1.00 lakh in each case

4. Power for re-delegation of Chairman’s powers:

As regards financial powers of Chairman, he can sanction expenditure on all schemes

approved by the Board/Government and on contingencies within the approved budget.

2. SECRETARY/ DIRECTORS

Secretary is responsible for all aspects of Administration including General Administration

as well as Personnel Administration. He is also responsible for convening of Board and
Committee meetings and all aspects relating thereto. He also deals with Vigilance matters
and is concerned with Administrative control of Publicity Department. Secretary is to act as
statutory authority on behalf of the Board. He performs other functions as assigned to him by
the Chairman from time to time. Secretary is delegated with financial powers upto Rs.50,000
at a time for office contingencies, supplies and purchases. Director [Devp], Director [Mktg],
Director[Res] and Director[Fin] are responsible for various activities relating to their
concerned departments and in achieving the targets relating to various schemes under their
departments. They have been delegated with financial powers to sanction expenditure upto
Rs.50,000 at a time in respect of schemes/projects/programmes under their purview.

3. JT. DIRECTORS/DY/DY. DIRECTORS/SENIOR SCIENTISTS

The Officers at these levels in charge of Regional Offices/Regional Research Stations look
after the activities of the Board coming under the area of their jurisdiction and are
responsible for meeting the objectives and targets laid down for the concerned areas. They
monitor and supervise the functioning of Assistant Director level offices Joint

16
Directors/Dy.Directors in charge of Regional Offices under Marketing and Development
Section can sanction expenditure upto Rs.15,000 at a time with respect to
schemes/projects/programmes of their respective departments. Dy.Directors in Head Office
may sanction expenditure upto Rs.10,000 at a time relating to schemes/functional areas.
Senior Scientist level officials under the Research wing who are holding charge of Regional
Research Stations of ICRI are responsible for various programmes undertaken by the
concerned regional research stations. They are delegated with financial powers to incur
expenditure upto Rs.5000/- at a time. The Dy.Director[Res] is also delegated with financial
powers to incure expenditure upto Rs.5000/- at a time.

The Senior Scientist and Scientist in the Quality Evaluation Laboratory are delegated with
powers to incur expenditure amounting to Rs.15,000/- and Rs.5000/- respectively at a time
for meeting the expenditures towards purchase of consumables such as chemicals, glassware
etc.

4. ASSISTANT DIRECTORS

The Assistant Directors [Dev] who are in charge of Zonal Offices supervise and monitor the
work of field units under their jurisdiction. Assistant Directors [Mktg] are looking after some
of the offices pertaining to Marketing Department. Assistant Directors [Dev] who hold
charge of Zonal Offices are delegated with financial powers up to Rs.5000/- for meeting the
expenditure pertaining to various schemes/projects/ programmes under Development
Department.

ADs/AOs in the Head Office constitute the middle level in the officers’ hierarchy and assist
the concerned sectional head or Head of the Departments as the case may be. They can
sanction Rs.3000/- at a time for meeting the expenditure towards matters related to their
respective departments.

5. SENIOR FIELD OFFICERS/FIELD OFFICERS

Senior Field Officers/Field Officers level officials look after the field offices under the
Development Department, who deal directly with target groups, and are responsible for
extension activities at the grassroots level. They have been delegated with financial powers
up to Rs.500/- at a time to meet establishment as well as contingency expenditure.

17
There are also ministerial cadre officials rendering administrative support to the different
Sections/Departments as also officials in the technical cadre at lower levels working in
Development and Research Department

Apart from the above, administrative powers in respect of sanctioning of earned leave/casual
leave and approval of tour programmes in respect of their juniors are vested with the
concerned controlling Officers.

As on 31.5.2010, the staff strength of the Spices Board is 534 consisting of 79 Group A
officers, 92 Group B officers, 307 Group C officers and 56 Group D officers. Besides, there
are 6 officials working in different projects on temporary basis.

Recent Updates- figures

The export of spices and spice products from the country has registered an increase of 7
percent in volume and 5 percent in rupee value in 2009-2010. Despite an economic
slowdown in major consuming markets, spices exports were at an all-time high. The export
had crossed 5 lakh tonnes for first time it touched 5,02,750 tonnes valued at Rs.5,560.50
crore in 2009-2010 against 4,70,520 tonnes, valued at Rs.5,300.25 crore in the previous
financial year.

Spices and spice products were exported to more than 140 countries. Leading among them
are U.S., with a share of 16 percent, followed by Malaysia, China, the U.A.E. and the U.K.,
having 8 percent, 7 percent, 6 percent and 5 percent respectively.

18
CHAPTER-4

ORGANIZATION STRUCTURE & FUNCTIONAL AREAS

An organisational structure is a mainly hierarchical concept of subordination of entities

that collaborate and contribute to serve one common aim. Organisations can be structured in
many different ways and styles, depending on their objectives and ambience. The
organization’s structure allows the expressed allocation of responsibilities for different
functions and processes to different entities such as the branch, department, workgroup and
individual. Thus the structure of an organisation will determine the modes in which it
operates and performs.

4.1 Organisational Structure of the Board:-

The Spices Board has a well laid out organisational structure. At the head of the structure is
the Chairman of the Board. Under the Chairman comes the - Secretary, Director (Marketing),
Director (Finance), Director (Development), Director (Research), Deputy Director
(Vigilance) and Senior Scientist (Quality Control).

The Secretary is in charge of two departments - the Administration Department which consist
of a Deputy Director, Assistant Directors and supporting staffs, and the EDP Department
which consists of a Deputy Director, EDP Officers and supporting staffs. Under the Director
(Marketing), who heads the Marketing Department comes Deputy Director (Marketing),
Assistant Director (Marketing), Market Intelligence Officers and supporting Staffs. Deputy
Director (TIS), Assistant Director (Statistics), Assistant Director (Econometrics), Statistical
Officers, and supporting staffs of the TIS section also come under the supervision of the
Director (Marketing). Director (Finance), who is in charge of the Finance Department, has
under him Deputy Director (Audit), Deputy Director (Accounts), Assistant Directors
(Accounts) and supporting staffs. Under Director (Development) comes Deputy Director,
Assistant Directors, Field Officers and supporting staffs. Director (Research) has under him
Senior Scientist, Scientists, Junior Scientists and supporting staffs. Director (Vigilance) has
under him supporting staffs to help him with his sections requirements. The Quality control
department is headed by a Senior Scientist. Under him comes Scientists, Technical staffs and
supporting staffs. A diagrammatic representation of the entire organisation structure of the
Spices Board is given in the next page.

19
 CHAIRMAN

Secretary Director (M) Director (F) Director (D) Sr.

Director
DD
Scientist
(Vig)
(QC)
(R)

DD DD DD DD DD DD DD Sr. Scientist
Scientist
SS
(EDP (Adm (TIS) (M) (Audi (Acc)
) ) t)

Offic AD AD AD AD AD Scientist
Technical
er Staff

SS SS MIO SS SS FO Jr. Scientist

SS

SS SS SS

AD AD
(Stat (Eco)
)

SO SS

MIO – Market Intelligence

SS Officer

FO – Field Officer

SO – Statistical Officer

20
4.2 Departments of the Board:-

The Spices Board has eight main departments. They are,

1) Administration Department: It is headed by the Secretary of the Board and is

mainly concerned with the overall functioning of the board and the maintenance of its
field offices.

2) Finance and accounts Department: It is headed by Director (Finance). The finance

department is concerned with the preparation and timely submission of the financial
and accounting statements of the organisation.

3) Development Department: Responsible for the overall development activities,

especially those involving improving production and productivity by implementing a
number of developmental programmes under various schemes.

4) Marketing Department: This department is responsible for the formulation and

implementation of various export development and promotion programmes. It also
undertakes licensing and registration procedures for exporters and cultivators of
spices.

5) Quality Improvement department: It has laboratories under it that provides

analytical services and monitors the quality of spices produced and processed in the
country. This department ensures that quality standards are met and sustained
throughout the period.

6) Research Department: It is concerned with evolving cost effective management

practices for reducing the cost of production, producing quality spices free of
contaminants, assessing the impact of changing weather and providing various other
services.

7) Publicity and Promotions Department: It is responsible for the creation of various

combinations of multifarious publicity and promotional strategies. It also manages
media relations.

21
 8) EDP Department: Its main function is the administration of the organisations wide
IT resources namely hardware, software, databases, networking, peripheral equipment
and team of IT personnel.

9) Vigilance Department: The issues regarding complaints against any employee of

Spices Board is dealt with by this department.

4.2.1 Administration Department

The secretary of the Board heads the administration section, the function of which includes
recruitment, implementation of government directives in matters relating to the overall
functioning of the Board, etc. the maintenance of the Board and its various other field offices
also come under the purview of this department. As on 31.5.2010, the staff strength of the
Spices Board is 534 consisting of 79 Group A officers, 92 Group B officers, 307 Group C
officers and 56 Group D officers. Besides, there are 6 officials working in different projects
on temporary basis.

Department Structure:

Secretary

Deputy
Director

Assistant
Director

Supporting
Staff

DUTIES:

22
1. Administration department is responsible for the transfer and postings of employees in
various branches all over India.

2. The promotion of employees in various departments is also done by the administration

department.

3. There is an employee grievance cell in the administration department where all the
employees can register their complaints.

4. The main duty of the administration department is the recruitment process where the
applications received for various openings will be short-listed. The short-listed applicants
will be called for a written test and the final interview will be done by the Chairman and the
Panel of Directors.

5. The Administration department handles the travel and other daily allowances of the
employees.

FUNCTIONS:

• Recruitment through professional and executive employment exchanges and public

service commission.

• Manpower planning – Ascertaining the number of vacancies

• Welfare functions – Including statutory and non statutory welfare measures.

• Grievance handing – as per the provisions

• Maintaining Company Discipline – As per Standing Order Act.

• Industry Relations.

• Public Relations.

• Job Description (Techniques)

• Job Specification (Techniques)

• Job Analysis (Techniques)

• Performance Appraisal

23
 • Training.

• Staffing.

• Formulates and implements personnel policies

• Disciplinary action

• Wages and Salary Administration

• Administration

Sources of Recruitment:

1. Newspapers: Recruitment for the post of Directors and other Senior officials are done
through newspapers. The Directors are appointed by the Ministry of Commerce whereas the
selection of all other officials are done by the Chairman and Panel of Directors

2. Employee Exchanges: The employees for clerical post and class IV categories (Safaiwalas,
peons etc.) are selected through various recruiting agencies. If the number of employees for
clerical post are more, then a written test will be conducted followed by Interview.

LEAVE: The number of leave/holidays in a calendar year will be as follows:

Privilege Leave – 30 days

Causal Leave – 15 days

Sick Leave – 15 days

HOLIDAYS:

Paid Holidays – 13 days (including four compulsory holiday)

FUNCTIONS OF THE TRAINING DEPARTMENT

a) Identifying training needs

b) Imparting the required training

c) Maintaining training records.

SCOPE:

24
The procedure covers all aspects of training. Arrange suitable training for employees for
updating skills based on the identified training needs.

• Training advisory committee is responsible for suggesting training requirements

of the various departments and disciplines.

• Formulating training programmes on yearly basics

• The committee proposes a training calendar every year.

• Training needs for the years are identified and recorded by the department head.

The details are handed over to the training department by respective department head.
Training department does compilation of the indentified training needs of the employees.
Necessary training programmes are arranged by training department to cater the identified
training needs of the employees.

Training department organizes training programmes using internal faculty or engaging

faculty from reputed organization. The training department in consultation with concerned
department heads organizes in house training programmes on special requirement. When
employees attend training programmes conducted in house, a feed back about the usefulness
of the training is obtained and consolidated. The concerned department heads evaluates the
feedback from the participants after a period of 2-3 months to ascertain the effectiveness of
the training programme.

Employees are also sent for training to other reputed institutions nominations for sending
employees for training in such institutions outside the company are put up for approval of the
appropriate authority as per the guidelines issued by the company from time to time. The
employees attending outside programmes submits a feedback on the trainee undergone the
training department. The achievement against annual training calendar is reviewed half
yearly by department helps for the number of programmes held, number of employees
participated for each programmes, the highlights of training effectiveness feedback etc.

The training department maintains a register on the training programme attended by the
employees. Training department maintains the format received from participants after getting
it evaluated by the concern department head regarding the effectiveness of training.
Administration department also hold the following documents/records:

25
1. Service records of employees

2. Property records

3. Asset registers

4. Documents relating to hired accommodations

5. Records relating to disciplinary proceedings

6. Annual Confidential Reports

7. Property Returns

4.2.2 Finance & Accounts Department:

The schemes, projects and programmes of the Board under Plan are financed through grants
and subsidies from the government of India. Non-plan expenditure on Administration is met
mainly through Internal and External Budgetary Resources (IEBR) generated from various
activities of the Board.

Department Structure:

Director
(Finance)

Deputy Deputy Director

Director (Audit)
(Accounts)

Assistant Assistant
Director Director

Supporting Supporting
staff Staff

26
The approved budget for the Board during 2008-09 was Rs.58.00 crores under Plan and
Rs.7.25 crores under Non-plan. An amount of Rs.25.00 crores against grants, Rs.23.00 crores
against subsidies, Rs.5.00 crores towards provision for North Eastern Region and Rs.5.00
crores for setting up a Plantation Research Unit at Centre for Development Studies (CDS),
Trivandrum under Plan budget and Rs.2.00 crores under Non-plan have been received by the
Board from the Government during 2008-09. The Board generated IEBR of Rs.5.85 crores
from analytical charges for quality testing services rendered by the quality evaluation
laboratory, sale of seedlings from nurseries, farm products of Research farms, subscription
and advertisement charges, exporter’s registration fee etc., under Plan schemes and Rs.1.85
crores from internal revenue from advances to employees etc., under Non-plan in2008-09.
The total expenditure of the Board under Plan and Non-plan during the year 2008-09 was
Rs.66.65 crores, the breakup of which is given below:

Head of Account Budget Grants Actual Expenditure

(Rs.Lakhs) (Rs.Lakhs)
Non-plan (including IEBR) 725.00 868.25
Plan
Export Oriented Production 1,750.00 1,740.53
Export Development & Promotion 1,200.00 1,183.98
Export Oriented Research 700.00 709.04
Quality Improvement 400.00 400.02
HRD & Works 100.00 99.72
Special purpose fund for Replanting / 1,150.00 1,163.43
Rejuvenation of cardamom plantations
Plantation research unit in CDS 500.00 500.00
Total (Plan) 5,800.00 5,797.22
Total (Non-Plan & Plan) 6,525.00 6,665.47

The Board has also been implementing certain projects and programmes with grants received
from other Government Departments and National agencies such as, NAIP, ICAR, DBT,
ASIDE (State Cell) etc. the details of such projects, grants received and expenditure incurred
during 2008-09 are given below:

Programmes Grants Expenditure

(Rs.Lakhs) (Rs.Lakhs)
Western Ghat Development Programme (WGDP) 17.77 12.25
ASIDE (State Cell) 1,328.60 1,178.19
Eco friendly Neem project 18.03 31.63
ICAR-NAIP scheme 20.99 11.97

27
Other collaborative projects 87.56 43.19
Total 1,472.95 1,277.23

Documents/information held by Accounts Deptt.,

1) Information on 5 year Plan allocations, Annual Plan allocations, approved Budget

allocations etc. for various schemes, programmes and projects.

2) Information on upto date expenditure for various schemes being implemented by different
departments.

3) Annual Budget proposals presented to the Board and the Govt. and approvals received on
the same.

4) Statement of assets and liabilities of the Board for the year under report and also for
previous years

5) Information on payments made to various beneficiaries under different schemes being

implemented by the Board.

6) Details on payments of bills received for purchase of goods and materials and services
contracted and received

7) Information on internal and extra budgetary resources generated by the Board under
various heads

8) Information on Plan and Non-Plan funds received during the year utilized upto date and
balances held

9) Reports on audits conducted by the Accountant General, Kerala and the audit observations
there off.

10) Final Accounts of the Board including Receipt and Payments Accounts, Income and
Expenditure Account and Balance Sheet from the inception of the Board

11) Information on salary, allowances and advances paid to the employees of the Board from
time to time

12) Information on pension paid to retired employees and family pensions etc.

28
4.2.3 Export development And Promotion (Marketing Department):

The prime objective of the Board is to promote export of spices and spice products from
India. The export development & promotion programmes are formulated and implemented
by the Marketing department of the Board. The programmes are aimed at equipping the
exporters to have necessary competitive edge in sustaining and increasing exports of Indian
spices. The market development activities of the Board have their focus on quality, value
addition and technology transfer/upgradation. The quality upgradation programmes have
helped spices exporters to acquire capabilities so as to conform to the international quality
standards.

Licensing and Registration forms a part of the regulatory functions of the Board. The export
of spices from India is regulated through the Spices Board (Registration of Exporters)
Regulations 1989 while the domestic marketing of cardamom is regulated through
Cardamom (Licensing & Marketing) Rules 1987. As per these rules, any person desirous of
doing business in cardamom as auctioneer or dealer has to obtain a license. The exporters of
spices have to obtain certificate of registration from the Board. These certificate/licenses are
issued for a block period of three years commencing from Sptember onwards.

The quality specifications stipulated by the buying countries are disseminated to the
exporters on a continuous basis. Exporters are also given updated information on the
opportunities emerging in different markets, new uses & applications in food and non-food
sectors by conducting market studies.

Department structure: Marketing

Director
(Marketing)
Deputy
Directors

Assistant
Directors
29
 MIOs & MTAs

Supporting
Staffs
Documents/information held by Marketing Dept

1) Adoption of High Tech & Technology Upgradation

2) Trade Promotion

3) Participation in International Seminars, Meetings & Trade Fairs

4) Publicity & Public relations

5) Trade Information Service

6) Marketing Services

7) Promotion of Indian Brands of spices and spice products in specified markets

8) Product Development and Research

9) Export Oriented Processing of spices in NE/Special areas

10) Equity fund

Export development and promotion programmes:

1. Adoption of hi-tech technology up-gradation: In order to encourage higher-end value

addition in spices processing, through advanced technology, for better value realization
and ensuring food safety and up-gradation of quality standards of the product to match
international quality requirements, the programme offers grant-in-aid to the exporters for
adoption of hi-tech in spices processing and upgrading their existing
technologies/facilities. The scheme for Technology up-gradation also offers same level of
financial assistance to support exporters to upgrade their existing processing/packing
facilities to manufacture products of high-end value addition and quality standard to
match the requirements of foreign buyers.

30
2. Setting up/upgradation of Quality Control Laboratory: The programme envisages,
assistance to exporters who propose to set up/upgrade in-house quality control
laboratories to establish facilities to undertake analysis of various parameters on quality
of the products including detection of pesticides residues, aflatoxin, physical, chemical
and microbial contaminants.

3. Quality certification, validations od check samples and training of laboratory

personnel: Spices Board assists exporters in acquiring quality systems like ISO, HACCP
and such quality certifications in their units. Board will also give assistance towards the
cost of analytical charges for validation/standardization in laboratories abroad and
charges/expenses for upgrading technical knowledge of laboratory personnel of the
exporters in reputed international laboratories preferably approved by USFDA, EU, etc.

4. Sending business samples abroad: For finalizing the transactions on the basis of
samples and to have more clarity in dealings and also to eliminate the possibility for trade
disputes on quality aspects, dispatch of samples play an important role, and the Board is
providing assistance for sending business samples of spices and spice products abroad.

5. Printing promotional literatures/brochures: Printing promotional

literatures/brochures, video films/CDs other electronic modes to project competencies
and capabilities of exporters and the range of products and services offered to the
prospective buyers abroad is supported by the Board. Qualified exporters of spices/spice
products who have SHC/Logo/Brand registered with the Board/Organic certification are
eligible to avail the assistance.

6. Packaging Development: The Board financial assistance for improving the existing
packaging and to develop modern packaging for increased shelf life, reduced storage
space, establishing traceability and better presentation of Indian spices in markets abroad.

7. Product development & research: Product Development & Research in spices is

supported by the Board by extending financial assistance to exporters of spices/research
institutions.

8. Market Development Assistance (MDA): Exporting companies with an f.o.b. value of

exports effected upto Rs.15.00 crores in the preceding year, are eligible for assistance
under the MDA guidelines of the Ministry of Commerce & Industry for participation in
trade delegations/BSMs/fairs/exhibitions abroad to explore new markets for export of

31
 their specific products and commodities from India in the initial phase. The assistance is
for airfare in economy/excursion class and or charges of the built up finished stall subject
to an upper ceiling per tour to eligible spices exporters.

9. Grant in aid for participation of exporters in international trade fairs/exhibitions:

The programme envisages financial assistance to individual exporters who have obtained
Indian Spice Logo/Spice House Certificate/Certificate grower and exporter of organic
spices and those exporters whose Brand names have been registered with the Board.

10. Participation of exporters in International meetings/seminars and delegations:

Qualified representatives from exporter’s associations/forums are assisted to participate
in the international meetings/seminars/delegations by extending financial assistance up to
50% of their airfare (economy/excursion class) subject to ceiling of Rs.1.50 lakhs per
exporter per year.

11. Market development programmes in the NE Region: The Board proposes to initiate
development programmes in selected states in the NE region in association with the
concerned State Governments and M/s. ITC Ltd., Guntur. Accordingly, a tripartite
agreement has been signed with the State Government of Nagaland, ITC Ltd., and the
Board for development of Naga Chilli and other spices grown in the state. The MOU
agreement in respect of Meghalaya and Sikkim is under consideration.

12. Indian Spice Logo: Indian spice logo is awarded to manufacturer exporters of spices in
consumer and institutional packs up to 25 kilo gram conforming to the stipulated high
standards in processing, packaging, warehousing and quality assurance. The logo holder
can affix this symbol of quality on their consumer packs as a mark of ‘Indianness and
quality’.

13. Spice House Certificate: The Spice House Certificate is awarded to those exporters of
spices who have installed required facilities for cleaning, processing, grading, packaging
and warehousing and quality assurance. Only those exporters who have acquired ISO &
HACCP/GMP certificate are eligible for Spice House certificate.

14. Registration of brand name: The objective of the programme viz., registration of brand
name is to support export of spices/spice products in consumer packs. The Board has
specified packing standards for different spices for different unit weights in consultation
with Indian Institute of Packaging.

32
15. Electronic auction system in cardamom: The Board has introduced electronic auction
(E-auction) system replacing the manual system for cardamom (small) in Kerala and
Tamil Nadu, which produces 80% of cardamom (small) in the country. E-auction is
intended to provide increased transparency in transactions and ensure competitive price
to the growers.

16. Spices Parks in major spice growing/marketing centres: In order to empower the
growers of spices ensuring better price realization, Board has taken a major initiative to
establish Spices Parks at seven locations to provide scientific processing and
infrastructure facilities. The projects in the Spices Parks are primarily intended to benefit
the growing community through quality improvement, grading, packaging, warehousing,
etc., for value addition which would lead to better price realization of their produce. The
centres where Spices Parks are proposed are as under,

• Chhindwara, Madhya Pradesh.

• Idukki District, kerala.

• Guntur, Andhra Pradesh.

• Sivagangai, Tamil Nadu.

• Other Centres – Mehsana district in Gujarat and Jhalawar district in Rajasthan.

17. Regional Quality Evaluation Laboratories: The Board has proposed to set up Regional
Quality Evaluation Laboratories at various centres to facilitate the exporting community
to analyse export products and conform to the prescribed quality Standards to their
overseas buyers which would increase consumer confidence in the buying countries on
quality aspects.

18. Licensing and registration: Licensing and registration are part of the regulatory
functions of the Board. The export of spices is regulated through the Spices Board
(Regulation of Exporters) Regulation 1989 and the domestic marketing of cardamom is
regulated through Cardamom (Licensing & Marketing) Rules 1987. The registration
certificates as per the above regulations are issued for a block period of 3 years. The new
block period 2008-2011 commenced from 1-9-2008.

33
19. Trade Promotion: Includes 3 components- Sending Business Samples Abroad;
Printing promotional Literatures/Brouchers; Packaging Development & Bar Coding
Registration.

20. International Meetings and Seminars:

Eg: IPC (International Pepper Community) Meetings.

Trade Information Service

Director
(Marketing)
Deputy
Director(TI)

Assistant Assistant
Director Director
(Statistics) (Econometrics)

Statistical Supporting
Officer Staffs

Supporting
staffs

34
Trade Information Service Division is responsible for the collection, compilation, analysis
and dissemination of statistics relating to Exports, Imports, Area, Production and Domestic
and International prices of spices. The month wise export estimates have been prepared from
the Daily List of Exports (DLE) released by the major Customs offices of Cochin, Mumbai,
Chennai, Tuticorin as well as from the information received from the Regional Offices of the
Board. The monthly import of spices into India has been estimated using the Daily List of
Imports (DLI) collected from the major customs like Cochin, Mumbai and Chennai and other
land ports. Domestic and international prices received from various agencies like India
Pepper and Spice Trade Association, Agriculture Produce Marketing Committees, Merchants
Associations, International Trade Centre, Geneva, etc have been compiled and disseminated
through the Spices Market bulletin as well as through the Board's website.
Electronic Auction (E-auction) for cardamom (small) has been conducted in Bodinayakanur
and Vandanmedu which has ensured transparency and better price realization for the
cardamom growers.
Since the Board is responsible for the production development of cardamom (small) and
cardamom (large); area, production and productivity of these spices are estimated based on
the field sample study conducted through the field set up. Area and production of other spices
are collected from the State Economics and Statistics/Agriculture/Horticulture Departments
and compiled. Information on area, production, prices and export has been furnished to
various users in the industry on request.
The division is responsible for constitution of the Task Forces for various spices, organize
meeting of the task forces and its follow up action. During the year task forces for pepper,
chilli, ginger & turmeric and seed spices were constituted and meetings were held. Based on
the recommendations of the pepper task force meeting, a proposal for pepper replantation and
rejuvenation has been prepared and submitted to the National Horticulture Mission. The
National Horticulture Mission has approved the proposal for replantation and rejuvenation of
pepper in Idukki district, which is being implemented by the Development department of the
Board.

Library and Documentation

The Board’s Library has a good collection of books and periodicals with computerised
bibliographic data base. The process of strengthening the library and documentation unit was
continued by new additions of books and periodicals. During the year, 214 new books were
added and continued the subscription to periodicals. Library continued the regular services

35
like issue and return of books and periodicals, supply of information services, current article
services, daily information services etc and commenced the ‘spice news service’. Reference
facilities including guidelines were provided to students and researchers from various
institutions. Copies of important information and articles were supplied to exporters on
request. Important pieces of information were compiled on organic farming, pepper,
cardamom, ginger, turmeric, chilli, vanilla, seed spices, and tree spices. Besides medicinal
uses of pepper, ginger, turmeric, vanilla, saffron, garlic and fenugreek were compiled.

4.2.4 Export Oriented Production And Post Harvest Improvement

(Development Department):

Spices Board is responsible for the overall development of cardamom (small & large)
especially in improving production and productivity. Post Harvest Improvement of spices is
also vested with Spices Board. For achieving these objectives, Board is implementing a
number of developmental programmes under two schemes viz. “Special Purpose Fund for
Replantation and Rejuvenation of cardamom (Small and Large) Plantations” and “Export
Oriented Production and Post Harvest Improvement of Spices”.

Department Structure:

Director
(Development)

Deputy Director
36
 Assistant Directors

Field officers &

Farm Officers

Supporting Staffs

Documents/information held by Development Deptt.

1) Productivity improvement of small & large cardamom

2) Post harvest improvement of spices

3) Development of Exotic and High value spices

4) Promoting organic farming /IPM in spices

5) Export oriented development of spices N.E. States

6) Extension Advisory Scheme,

7) pepper planting material production

8) New schemes of Rainwater harvesting devices for cardamom/vanilla and for improved
cardamom curing devices.

Special Purpose Fund for replantation and rejuvenation of cardamom (small & large)
plantations:

The objective of the scheme is to address the issue of replanting/rejuvenation of the old and
uneconomic plantations of cardamom (small and large) in the states of Kerala, Karnataka,
Tamil Nadu, Sikkim and Darjeeling district of West Bengal. Production and distribution of
disease free, healthy and quality planting materials were also taken up by certified nurseries
opened in growers field with the technical supervision of the officers of the Board.

37
Beneficiaries covered under the scheme were given financial assistance as cash subsidy on
completion of the programmes.

• Production and supply of quality planting materials through department nurseries and
certified nurseries. The seedlings produced in the five departmental nurseries are
supplied to growers on a no loss no profit basis. In order to produce disease free,
healthy and quality planting materials, certified nurseries were opened in growers
field under the technical supervision/guidance of the Board.

• Replanting: This programme is intended to encourage small and marginal growers to

take up replantation of old, senile and uneconomical plantations.

• Rejuvenation: Under rejuvenation programme, poor yielding plants in the existing

plantations were identified and removed and the gaps thus formed were filled with
quality planting material. In addition to this gap filling, scientific plant protection
operations, fertilizer application, inter-culture operations, irrigation and other good
agricultural practices as per the recommended package of practices were adopted.

Export oriented production and post harvest improvement of spices:

The activity components under the scheme are intended for improving quality of spices at
farm level, encouraging organic production of spices, creation of replicable modela based on
integrated pest management, development of spices with export potential in North Eastern
region, extension service to spice growers etc.

Cardamom (small)

a) Irrigation and land development

b) Rain water harvesting devices

c) Improved cardamom curing devices

Cardamom (large)

a) Setting up of curing houses – Modified bhatti: The Board has introduced and
evaluated a number of curing methods using different fuels and by setting up
modified bhatties.

38
 b) Rainwater harvesting: The programme for rainwater harvesting using devices made of
earth excavated pits lined with UV stabilized silpauline sheets which are implemented
for cardamom small is replicated in North Eastern states also for large cardamom.

Development of spices in other North Eastern states

“Infrastructure Development”

There are four components under the programme of ‘Infrastructure Improvement’ viz., (1)
Adoption of Hi-Tech in Spice Processing (2) Technology and process upgradation (3)
Setting-up/up-gradation of in-house quality control laboratory (4) Quality certification,
validation of check samples, training of lab personnel for export development of spices and
spice products. Providing assistance for these components are necessary to empower the
industry to adopt such methods of processing the produce by which the country may acquire
a distinct image as the source of quality/safe products, consistency in meeting quality
requirements and obtain recognition for the country as the ‘international processing hub’.

4.2.5 Export Oriented Research (Research Department):

Department Structure:

Director
(Research)
Senior Scientist

Scientist

Junior Scientist
39
 Supporting Staff

Documents/information held by Research Dept

(1) Research activities of small & large cardamom and vanilla

(2) Collaborative schemes of ICAR, DST & DBT, Bio-Tech production Unit

(3) Conservation of germ plasm selection and hybridization

(4) Development of protocols through tissue culture route for rapid multiplication of planting
material

(5) Development of organic and eco- friendly farming with the use of bio-agents

Laboratory and field facilities are available for carrying out various research programmes in
crop improvement and evaluation through selection, hybridisation and biotechnological
approaches. A full fledged bio technology laboratory is established at the head office Kochi,
which can produce about 5 lakhs tissue culture plantlets per annum. Soil testing laboratories
are present in the main and sub centers for undertaking analytical services and giving
fertilizer recommendations to planters.The institute also has facility to detect various pest and
disease problems and to recommend suitable control measures. Also it has the facility to
produce bio agents for the management of various diseases and pests. Training is being
arranged for planters on several aspects of spice cultivation.
Besides undertaking own research programmes, the institute also collaborate with other
National Research Institutes for carrying out research on specific problems.
A farm having 64 ha area is attached to the main institute at Myladumpara. The farm is used
for undertaking various field trials, for commercial production and as demonstrations plots.
Presently only 25 ha is the cultivated area. Research farm is headed by a Farm Manager,
supported by Junior Technical Assistants, Junior Clerk and Mechanic-cum-Electrician. There
are about 77 labourers including 34 permanent and 43 temporary workers employed to carry
out various agricultural operations. In each regional station also a farm is available for
commercial cultivation as well as laying out field experiments.

40
The institute is having the following research divisions for carrying out various laboratory
and field experiments both in the main and regional stations. The main Institute is having a
Sr. Scientist, Scientists and Junior Scientists in the major divisions such as Agronomy and
Soil Science, Crop Improvement and Biotechnology, Plant Pathology and Entomology. In the
regional stations one Sr. Scientist heads the station and atleast one Scientist or Junior
Scientist is present in each division. Although specefic programmes are identified for each
scientist, the main project is implemented as a team work of the main and regional stations.

The research on cardamom (small and large) at Indian Cardamom Research Institute (ICRI)
is mainly directed towards improving production and productivity of the commodity and to
make it competitive in the export market.

Organic cardamom production

Among spices, cardamom and chilli are considered to be the difficult crops to be cultivated
under organic cultivation system mainly due to the persistent incidence of pests and diseases.
ICRI has successfully demonstrated an organic production system for cardamom. The
organic cultivation in cardamom was made possible mainly because of the farmer’s variety.
The study of long term fertilizer trial also indicated the beneficial effect of organic inputs on
cardamom production and soil productivity.

Post harvest technology

Cardamom drying is a slow process requiring tremendous skill, time and energy. Various
technologies have been evaluated by the Institute for adoptioning cardamom curing. A
collaborative programme with SAMEER (Ministry of Communications, Govt. Of India) has
been initiated to evaluate RF (Radio Frequency) drier for cardamom curing. Based on the
initial success obtained in curing cardamom, a prototype is being installed at ICRI,
Myladumpara for standardizing the drying techniques for cardamom and other spices.

Out reach programmes and services

Bridging the gap between the laboratory and the farm is a major trust given by ICRI. Various
programmes designed for farmers are getting well accepted among the community.

41
a) Mobile argi-clinic: A team of scientists visit a predefined cluster of farms, assess the
field and crop situations and undertake informal interaction with farmers to understand
their problems and suggest solutions then and there itself. Twenty four such agri-clinics
were conducted during the period. The necessary infrastructure was provided by the
National Horticulture Mission.

b) Bio-agent production: The Institute has popularized the use of bio-agents for
management of pest and diseases in the cardamom ecosystem. Availability of quality bio-
agents has always been an issue for the farmers. ICRI ensures the supply of quality bio-
agents to the needy farmers at very reasonable price.

c) Training on GAP on spice production: A three months’ residential programme is

conducted by ICRI to train unemployed youths from farming families to adopt good
agricultural practices for quality spice production. Two batches, one targeted for southern
states an the other for NE region were undertaken during 2008-09.

d) Short term training programmes: Two to five days training programmes on various
aspects of spices production namely nursery production, organic input production, bio-
agent production, bio-agent production, post harvest technology etc. were organized.

e) Establishment of Farmer’s cell: To provide better services to cardamom farmers, a

Farmer’s cell was established at the institute to act as a nodal point. Prompt services and
follow up actions were undertaken from the cell.

Soil testing and fertilizer advisory services: over 2000 numbers of soil samples received
from farmer’s field were analyzed and recommendation provided on manuring.

“Product Development & Research”

Under this programme, it is proposed to provide financial assistance to the exporters/research
institutions to undertake product research & development. Major areas for assistance are:
_ Utilization of the services of national or international research institutes for developing new
spice products/applications or for establishing traditional and non-traditional values.
_ In-house research programmes by entities with sufficient infrastructure facilities.
_ Clinical trials to establish and validate therapeutic properties of spices through reputed
third parties.
_ Patenting and product registration in consuming countries.

42
4.2.6 Publicity and Public Relations (Publicity & Promotion Department):

Combination of multifarious publicity and promotional strategies created opportunities and

avenues for reaching the schemes, programmes and activities of the Board to both the
internal and external public during the period under review. Well structured and planned
participation in international and national exhibitions, multimedia campaigns in spice
farming areas to empower farmers, scheduled release of journals and publications,
production of audio visual tools, extension, liaison and media relations featured the publicity
and promotional activities of the Board.

Department Structure:

Deputy Director
(Publicity)
43
 Editor

Publicity Supporting
Assistants Staffs

Ways of Publicity:

1. Participation in international fairs

Last year, the Board had organised participation in 18 international food exhibitions in
different countries. Selection of the fair for participation was done in consultation with the
trade considering its importance from view of exports and promotion of spices. Thrust was
given on personalized participation of exporters in these fairs with opportunities and back up
support for showcasing capacities and capabilities. The Board’s stands thematically featured
and highlighted the overall strength and authenticity of Indian spices. The exporting
companies who had been represented in the various fairs were able to secure business
contracts and business opportunities. The trade enquiries that were recorded in the fairs were
passed on to the trade through the Website and trade bulletins of the Board.

2. Product displays abroad

Spices and Spice Products were organised and forwarded for fairs at Botswana and Slovania
at the request of the Indian Embassies in Botswana and Slovania for trade display.

3. Participation in domestic fairs

Equal importance has been given for participation in fairs and exhibitions in various parts of
the country. Exporters and farmer groups were encouraged to participate to exhibit their
products and to gain exposure for their capacities and capabilities. Participation had yielded

44
opportunities for tapping both domestic and international enquiries from various destinations
including overseas.

3. Multimedia campaigns

Multimedia campaign to educate the farmers on the serious implications are conducted.

4. International media relations

Australian Television team: An Australian television team was guided on a tour of the
country to shoot spices growing areas and interview the farmers and exporters for their
project to produce a film on spices.

Foreign tourists interested in spices and spice products from Australia, Korea and the US
were given the opportunity to visit the Board and presentations were made.

Interaction with farmers/students from Agricultural Universities

5. Media relations
Talks and discussions were organized on various topics relating to marketing and cultivation
of spices through the networks of All India Radio and Doordarshan in different parts of the
country.
The Board sponsored programmes on spice crops broadcast through AIR Karnataka, Andhra
Pradesh etc covering major spices, harvesting etc.

5. Press relations
Press Releases on major activities and programmes were released from time to time. Major
releases included annual performance in spices exports, Spice Parks, quality initiatives.

6. Periodicals
The Board releases various publications including periodicals.
• Publication of the monthly journal Spice India was undertaken in five different
languages of English, Hindi, Malayalam, Kannada and Tamil. This journal also
available quarterly in Telugu and Nepali languages. The issues dealt with themes of
relevance to the industry and farmers like focus on production of spices, quality
initiatives, spice parks, exports, schemes and programmes of the Board etc.

45
 • The fortnightly publication Foreign Trade Enquiry Bulletin disseminated trade
enquires received directly by the Board, from diplomatic channels, Website of the
Board. Trade enquiries received at the various international fairs were also published
on time.
• The bilingual weekly publication of the Board - Spices Market.

7. Books/booklets & posters

• XI Plan Export development & promotion programmes (bilingual).
• Annual Reports.
• Development & promotion of neem products.
• Hindi House Magazine – “Sandesh”.
• Cardamom package of practices.
• Package of practices on ginger and turmeric.
• Literature on post-harvest practices in seed spices for use in publicity campaigns in
Hindi and Gujarati languages.
• Literature in Telugu language to cater the requirements of the chilli farmers in
Andhra Pradesh on control of aflatoxin in chilli. Posters were designed and printed
for use during the campaign.

8. Brochures/promotional materials
• Promotional brochures in international languages of Russian, Arabic, Japanese and
German were produced for use in various international fairs.
• Brochure on organic spices was designed and produced in English and German
language.
• Recipe book in Russian and English was brought out for use at the Spice Food
Festival in Moscow, Russia.

9. Production of video films/CDs

An instructional Video film was produced in Gujarati and Hindi for screening during the
campaign on quality on seed spices. Campaign CDs in Gujarati, Hindi and Telugu languages
were produced on the Dos and Don’ts in post harvest practices in seed spices and chilli for
use during the quality campaigns in Gujarat, Rajasthan and Andhra Pradesh.

46
10. Exports & productivity awards
Work of designing and production of certificates for exporters and farmers for Productivity
Awards and Excellence in exports, production of profile catalogues, brochures and leaflets
etc were undertaken.

11. Advertisement releases

The Board releases advertisements of promotional character, on schemes and programmes of
the Board, on tenders, appointments, sourcing of materials etc in various publications in
different regions of the country.

4.2.7 Quality Improvement (Quality Control Department):

The consumers of spices the world over are becoming more and more quality conscious. The
importing countries are stipulating more stringent quality requirements year after year. The
Board has launched various programmes for educating farmers, traders and exporters for
improving quality of Indian spices to meet the requirements of the consumers.

47
The Spices Board had set up the Quality Evaluation & Upgradation Laboratory in 1989. The
Laboratory has been awarded with the Certificate of Registration by the British Standards
Institution (BSI) for the Quality Management System adopted by the laboratory as per the
requirement of ISO 9002:1994. Well equipped with instruments like Spectrophotometer,
atomic absorption spectrophotometer etc. to undertake the analysis of spices and spice
products to meet international standards, this laboratory offers analytical services to the
exporters for the analysis of spices and spice products for physical, chemical and microbial
contaminants.

Department Structure:

Senior Scientist

Scientist

Technical Staffs

Supporting staffs

Documents/information held by Quality Evaluation Laboratory

1) The analysis of spices and spice products for aflatoxin, pesticide residues, metallic
contents, microbiogocial contamination, , pathogen detection and sudan.

2) Training of personnel from spice industry on quality aspects

The Spices Board has evolved two major concepts for quality improvement. One is the
introduction of the Indian Spices Logo, the other The Spice House Certificate

INDIAN SPICES LOGO

48
 To improve the quality of spices at the farmers, traders and exporters
level, the Board organises a series of quality upgradation programmes.
To educate the farmers, traders and exporters on the production of
quality spices, Board conducts a series of training programmes at
various levels. The training programmes are conducted by the Board
jointly with Export Inspection Agency, Directorate of Marketing & Inspection, Agricultural
Universities and Department of Horticulture/ Agriculture in spice growing states.
Spices Board also sponsors Indian technical personnel for training abroad to improve
understanding of regulations, testing methods etc. The logo - a fresh green leaf inside an
elliptical ring (denoting freshness, growth and excellence) is prominently displayed on all
packs cleared and approved by the Spices Board India, so that you can easily spot the pack
that spells Indianness and quality. The Board awards the logo selectively to exporters who
have certified processing and quality control capability and maintain a high level of hygiene
and sanitation at all stages.

Analytical Services

The Quality Evaluation and Upgradation Laboratory offers

analytical service to the exporters, traders, farmers and
research organisations for analysis of spices and spice
products for various parameters. To ensure that the spices
exported from India conform to specification laid down by
the appropriate international organizations, or to the food regulations of the buying countries
especially with respect to hygiene, commercial and chemical standards. To guarantee this
conformity, analyse spices and spice products in the Quality Evaluation Laboratory
according to internationally accepted techniques and provide results in time to customers.
These analytical services will cover physical, chemical and microbiological parameters
including micro and macro contaminants.

Quality Evaluation Laboratory

The Quality Evaluation Laboratory of Spices Board was established in 1989. It provides
analytical services to the Indian spice industry, monitors the quality of spices produced and
processed in the country and analyse all the samples collected by the Board under the
Compulsory inspection on Chillies, Chillies products and Turmeric powder exported from
India. The Laboratory also established its first regional Quality Evaluation Laboratory at

49
Mumbai during June 2008. The second regional Quality Evaluation Laboratory is being
established at Guntur, Andhrapradesh.
The laboratory is certified by British Standards Institution, U.K. for the ISO 9001:2000
Quality Management System in 1997, ISO 14001:2004 Environmental Management System
in 1999 and Accreditation under the National Accreditation Board for Testing & Calibration
Laboratories (NABL) (under the ISO/IEC: 17025) in 2004. The Laboratory activities are
fully computerized and linked with network since 1999. The Laboratory is also in the process
of providing the web enabled result delivery in the immediate future. The Laboratory is
divided into three divisions Viz. Chemistry Lab, Residue Lab and Microbiology Lab for the
speedy and efficient handling of the analysis done on various parameters.

The primary objective is

1. To minimize the release of chemical, microbiological or other wastes to the
environment.
2. To reduce the consumption of electricity and water wherever possible
3. To set objectives and targets for continual improvement and to prevent pollution
wherever practical and cost effective.
4. To comply with the relevant environmental legislations and regulations.

4.2.8 Information Technology and Electronic Data Processing (EDP

Department):
Department Structure:

Deputy Director

50
 EDP (Officer)

Supporting Staff

The Board has a full-fledged EDP division to carry-out the following activities:
1. Administration of organization wide IT resources namely hardware, software,
databases, networking, peripheral equipment and team of IT personnel.
2. Perform design, development, documentation, testing, implementation and
maintenance of Information Systems and application software.
3. Formulate strategies for technology acquisition, integration, and implementation.
4. Advise, guide and assist various departments and offices of the Board for the
effective use of Information Technology.
5. Help desk management for existing applications, messaging solutions, Internet and
Web site maintenance.
6. Identify the need for new systems (or modifications to existing systems) or respond to
requests from users.
7. Upgradation of IT infrastructure.
8. Defining and implementing systems and procedures for the smooth functioning of
computerized systems.
9. Data Processing.
10. Development, maintenance and updation of Board’s web site and web enabled
applications.
11. Providing Internet and E-mail service to user departments.
12. Formulate and conduct Computer training programmes.
Software packages have been developed and implemented in the following areas:
• Trade Information Service.
• India’s spices exports.
• World Import.
• Prices in domestic and international markets.
• Area and production.
• Trade Directories: Exporters, Dealers, Auctioneers, Importers, Suppliers, Planters etc.
• Registration and licensing.
• Electronic Auction of small cardamom.

51
• Pre-shipment sampling.
• Monitoring receipt, analysis and delivery of Spice samples received for quality
evaluation.
• Analysis of analytical data of the Quality Evaluation Lab to assess the incidence of
physical, chemical and microbial contaminants.
• Financial Accounting and Pay roll.
• Interest bearing loans like GPF, HBA etc.
• Personnel Information, leave accounting and income tax assessment.
• Library Cataloguing, circulation and control of external documents.
• Market Survey Analysis.
• Area and Production Surveys.
• Maintenance of subscriber addresses, monitoring of subscription expiry and mailing
of periodical publications.
• Receipt and issue of consumables and maintenance of assets.
• Maintenance and accounting of provident fund and pension scheme for casual
labourers.

Major activities in the field of information technology are:

1.IT infrastructure in E-Auction center, Bodinayakanur was enhanced in terms of Server,
number of terminals, network speed and buyer terminals.
2.Developed and implemented an Intranet namely ‘spiceweb’ at www.spicesboard.in for the
use of Board’s offices and employees. Circulars issued by various departments, monthly
reports, frequently used application forms etc., are provided in this site for downloading.
Statements of salary earnings and deductions, income tax, leave and GPF are available to the
Employees through this site. Intranet also provides exporters directory, exports/imports,
reports from Indian Embassies, Board’ Office addresses and contact details, staff
deployment, library catalogues and latest clippings of spice related news.
3. Board’s website namely www.indianspices.com was revamped. Website updations
were carried out on a regular basis. Implemented facility for direct uploading of price, export,
tenders, hot news, vacancies, training, export etc. Large number of trade enquiries was
received through the site for sourcing spices and spice products. Database of overseas trade
enquiries has been maintained. Marketing, Publicity and TIS departments utilized this
database for releasing foreign trade bulletin and Importers directory.

52
4. Had coordination and collaboration with Quality lab, Marketing and TIS departments
and external service provider to develop a web based solution for pre-shipment sampling and
testing, online submission of exporter returns and dissemination of prices. A website was
developed and tested for this purpose.
5. Standardized the application software implemented in Quality Labs located in Kochi
and Mumbai.
6. Procured and installed computer systems, peripherals and UPS Systems in Board’s
H.O, Regional/Zonal/Field Offices and Research Stations.
7. Imparted Computer training to candidates selected for training in Good Agricultural
Practices to enable them as farm resource persons.

e-Auction:-
Spices Board had introduced e-Auction of Cardamom in Bodinayakanur, Theni Dist,
Tamilnadu in Aug 2007. This e-Auction centre has forty buyer terminals. The second e-
Auction centre was established in Vandanmettu, Idukki, Kerala in Dec 2007 with sixty
terminals.
The e-Auction had replaced the traditional outcry auctions of Cardamom in Kerala and
Tamilnadu. In the new system, licensed dealers are provided with a user id and password.
The dealers have to log into the system to participate in an Auction. A bid is made with key
depressions using a normal computer keyboard. Identity of bidders is protected during the
auction process. Highest bidder’s name is displayed only on the Auction Masters’ terminal.
There is a main display board showing lot no, quantity, number of bags current highest bid
etc of each lot kept in the Auction.
The e-Auction system has brought transparency in the auction process. The system is running
successfully in both centres.
Recent updates:
Quotations have been invited for supply, installation and maintenance of a biometric
(finger print) time attendance system by the Deputy Director(EDP).
4.2.9 VIGILANCE DEPARTMENT
The issues regarding complaints against any employee of Spices Board is dealt with by this
department. The complaints are addressed to The Secretary, Spices Board who is also the
Chief Vigilance Officer(CVO).
Department Structure:

Chief Vigilance
53
Officer
 Deputy
Director(Vig)

Supporting Staff

Vigilance hold the following documents/records:

1. Service records of employees
2. Property records
3. Asset registers
4. Documents relating to hired accommodations
5. Records relating to disciplinary proceedings
6. Annual Confidential Reports
7. Property Returns
Role and functions of Chief Vigilance Officers
Even though detection and punishment of corruption and other malpractices are certainly
important, what is more important is taking preventive measures instead of hunting for the
guilty in the post corruption stage. Therefore, the role and functions of CVOs has been
broadly divided in to two parts, which are (I) Preventive and (II) Punitive.

On the preventive side

The CVO undertake various measures, which include:
(a) To examine in detail the existing Rules and procedures of the Organisation with a view to
eliminate or minimise the scope for corruption or malpractices;
(b) To identify the sensitive/corruption prone spots in the Organisation and keep an eye on
personnel posted in such areas;
(c) To plan and enforce surprise inspections and regular inspections to detect the system
failures and existence of corruption or malpractices;
(d) To maintain proper surveillance on officers of doubtful integrity; and
(e) To ensure prompt observance of Conduct Rules relating to integrity of the Officers
On the punitive side:
(i) To ensure speedy processing of vigilance cases at all stages. In regard to cases requiring
consultation with the Central Vigilance Commission, a decision as to whether the case had a

54
vigilance angle shall in every case be taken by the CVO who, when in doubt, may refer the
matter to his administrative head, i.e. Secretary.
(ii) To ensure that charge-sheet, statement of imputations, lists of witness and documents etc.
are carefully prepared and copies of all the documents relied upon and the statements of
witnesses cited on behalf of the disciplinary authority are supplied wherever possible to the
accused officer alongwith the charge-sheet;
(iii) To ensure that all documents required to be forwarded to the Inquiring Officer are
carefully sorted out and sent promptly;
(iv) To ensure that there is no delay in the appointment of the Inquiring Officer, and that no
dilatory tactics are adopted by the accused officer or the Presenting Officer;
(v) To ensure that the processing of the Inquiry Officer's Reports for final orders of the
Disciplinary Authority is done properly and quickly;
(vi) To scrutinise final orders passed by the Disciplinary Authorities subordinate to the
Ministry/Department, with a view to see whether a case for review is made out or not;
(vii) To see that proper assistance is given to the C.B.I. in the investigation of cases entrusted
to them or started by them on their own source of information;
(viii) To take proper and adequate action with regard to writ petitions filed by accused
officers;
(ix) To ensure that the Central Vigilance Commission is consulted at all stages where it is to
be consulted and that as far as possible, the time limits prescribed in the Vigilance Manual
for various stages are adhered to;
(x) To ensure prompt submission of returns to the Commission;
(xi) To review from time to time the existing arrangements for vigilance work in the
Ministry/Department for vigilance work subordinate officers to see if they are adequate to
ensure expeditious and effective disposal of vigilance work;
(xii) To ensure that the competent disciplinary authorities do not adopt a dilatory or law
attitude in processing vigilance cases, thus knowingly otherwise helping the subject public
servants, particularly in cases of officers due to retire;
(xiii) To ensure that cases against the public servants on the verge of retirement do not lapse
due to time-limit for reasons such as misplacement of files etc. and that the orders passed in
the cases of retiring officers are implemented in time; and
(xiv) To ensure that the period from the date of serving a charge-sheet in a disciplinary case
to the submission of the report of the Inquiry Officer, should, ordinarily, not exceed six
months.

55
CHAPTER-5
CONTRIBUTION TO SOCIETY

The Spices Board make both a social contribution as well as environmental contribution
towards the society in which it functions.

Social:
From the social point of view, the Board contributes to the society in the following manner,

56
• The Board sponsors for the training of employees who are mostly graduate in
agriculture with a view to give them knowledge of good agricultural practices, integrated pest
management programmes, modern production technology, tissue culture programmes, post
harvest management especially in quality enhancement aspects, etc.
• Various plantation labour welfare programmes are carried on by the Spices Board for
the benefit of the labourers engaged in the plantations.
• It provides financial assistance in the form of stipends to the children of the workers
employed in plantations. The children of the workers employed in the cardamom plantations
with not less than 50% marks in fifth standard and above are eligible for the education
stipend. The purpose of the education stipend scheme is to encourage education beyond
primary level. Primary education is provided free of cost in spices growing states.
• Spices Board offers aid to educational and medical institutions under the welfare
programmes of the Board. It provides grants for improving the essential facilities in the
hospitals, schools and colleges located in the cardamom growing areas i.e. for the
procurement of furniture, laboratory equipments, clinical equipments, library books,
providing drinking water facilities, toilets, etc.
• Grants are also given to conduct medical camps for the welfare of the plantation
workers.
• Provides extension advisory services to growers on production of spices. This
programme envisages technical/extension support to growers on the scientific aspects of
cultivation through personal contact, field visits, group meetings and through distribution of
literature in vernacular languages for increasing productivity and improving quality of spices.
This has helped the growers of the production of spices to a great extend. Thus improving the
quality of the spices the growers produce.

Environmental:
From the environments point of view, the Board contributes to the society in the following
manner,
• Apart from helping the society socially, the Board also focuses its attention towards
warding off environmental hazards. This is being attended to by educating the farmers in
good manufacturing practices.
• The awareness about the rational usage of pesticides and insecticides is frequently
imparted to the farmers by conducting training programmes. This would not only save the

57
environment of chemical hazards, water pollution, etc., but also make available to consumers
produces that are subject to lower levels of pesticide residue.
• The Board promotes rain water harvesting using devices made of earth excavated pits
lined with UV stabilized silpauline sheets.
• The Quality Control laboratories of the Board analyze the spices for physical,
chemical and microbial contaminations. Of late the Board has also started subjecting chilli
products, turmeric powder, etc. for chemical analysis for the detection of sudan dye (a
chemical used to impart colour to the produce) which is carcinogenic in nature. Only those
products which are tested negative for the presence of sudan dye are permitted to be
exported.
• Spices Board conducts various camps and training programmes for cultivators and
farmers for promoting production of organic spices through organic farming, thus reducing
the usage of chemical fertilizers in cultivation of spices.
• The condition to insist on ISO/HACCP certification for the award of Spice House
Certificate, Indian Spices Logo can also be constructed to give a right direction for keeping
the environment free from industry related health hazards.

CHAPTER-6
SWOT Analysis
A SWOT analysis of the organization revealed the following strengths, weaknesses,
opportunities and threats,
Strengths:

58
 • Makes use of the latest technologies in their research and development.
• Continuous training and development activities.
• Link between Indian exporters and importers abroad.
• Skilled and trained human resources.
• Close association with international agencies.
• Strong research and development.
• State of the art Quality Control laboratory with the latest modern analytical
equipments.
• Association with dealers.
Weaknesses:
• Inadequate marketing activities and schemes.
• Low productivity.
• Non availability of high yielding, disease resistant quality planting materials.
• Increasing cost of production.
• Price fluctuations.
• Lack of freedom and flexibility, budget constraints.
• Governed by the provisions of the statute.
• Lack of awareness among the public.
• In depth research into spices limited to only a few.
Opportunities:
• Expanding global markets.
• Increasing product base and general awareness among the people.
• Scope for more in-depth research and development.
• Increasing market for value added products.
• The concept of organic spices of Indian origin would pave the way for
increasing the export of spices and in turn earn more foreign exchange.

Threats:
• Growing competition from other countries and new entrants into the sector.
• Stringent quality and exporting standards and requirements that differ from
country to country.
• Global warming.
• Rising costs of materials, labour, etc.
• Non availability of high yielding, disease resistant quality planting materials.

59
 • Price fluctuations.
• Increasing cost of production.

CHAPTER-7
CONCLUSION
Critical analysis of the total organization:-
The Spices Board is export promotion and development organization and as such does not
have any products of its own. It offers guidance and help to exporters in the export and
processing of spices in India. Spices Board plays a key role in the agricultural improvement

60
of spices through its research and development activities. The Board is well structured with a
good relationship with the global society.
Spices Board conducts various other development and promotion programmes from time-to-
time. It offers grant-in-aid to exporters for adopting hi-tech technology in spices processing
and upgrading their existing technologies. It also provides assistance to exporters who
propose to set up/upgrade in-house quality control laboratories, acquiring quality systems
like ISO, HACCP and such quality certifications in their units, sending business samples of
spices and spice products abroad, etc. Printing promotional literatures/brochures, video
films/CDs and other electronic modes to project competencies and capabilities of exporters
and the range of products and services offered to the prospective buyers abroad is supported
by the Board.
With the help of the Spices Board, exporters have been able to establish adequate
infrastructure for improving quality on a sustained basis. Further, exporters have started
taking up quality improvement and technological up-gradation as an on-going programme.
These developments are in tune with the changing levels of market acceptance.
The other area focused upon by the Board apart from the export promotion of spices and
spice products is the development of organic spices. The Spices Board does not have the
mandate on the production activities, since agriculture is a state subject. As such the Board
does not have any direct involvement in the production and productivity activities. It offers
certain extension advisory services to the growers on the production of spices.
Thus the Spices Board continues to play a very important role in the promotion and
development of spices export in India.

Suggestions & Recommendations:-

 The demand for export of oleoresins/oils has never seen a decline since its initial
stages in 1971. But this is not fully exploited by the Board.
 Increase focus on meeting quality requirements and standards.
 Shifting focus to untapped areas of the market like the North-Eastern parts of the
country.
 Attending more workshops abroad to get a feeling about the world scenario at large.
 Increasing the promotional activities for generating awareness about the benefits of
organic production of spices.
 Come up with unique and attractive schemes and promotions.
 Increasing general awareness among the cultivators, exporters and the public at large

61
  Undertaking further in-depth research and development activities.
 Developing research into value added products in spices.
 Recreation club activities can be made more dynamic to motivate the employees.
 Group activities like brain storming, etc.can be implemented for improving standards
of employees in the organization.
 Lack of fresh blood- Young and energetic persons on merit basis has to be posted
considering the adoption of new techniques in the Board.
 Canteen facilities also need to be improved.

Experience at the organization:-

My experience at Spices Board has definitely been a good start to broaden my horizons.
Since I don’t have any such experience in the corporate world, and have been with the
academics alone, this one month has really given me a wider exposure. It has helped me
understand that the theory that I have learned so far is only the initial few steps and there is a
lot more to learn.

I joined the organization on the 10th of May, 2010. First I had to meet the Chairman of Spices
Board. I felt like I am going to attend an interview. I was, like any other student a bit tensed
and worried. But I faced a very different situation as the Chairman, Mr.V.J.Kurien, I.A.S,
was a very friendly person and that made me feel very comfortable. I got more interested
with the organization and since The Chairman, in one sense represents the whole
organization, I thought all employees will be like him. But I was wrong in thinking that way,
because later, there were few employees who were not co-operating. But, they are not to be
blamed since they were very busy with work. Still, there were many employees ready to
share their experience in the organization which helped me in giving suggestions and
recommendations.

The study as a whole was an eye opener and overall a very enriching experience. The staffs
at Spices Board were very helpful despite their hectic schedule and work load. Everyone was
willing to help in whatever way possible. The Board has a well staffed library containing
books and journals covering every aspect of spices and other areas coming under the purview
of the Board. This greatly helped me in drafting my report.

The one month that I spent at the organisation helped me gain an insight into how an
organisation actually functioned in the real world, the different departments, the people

62
working in them and their different functions and responsibilities. Before entering the
organisation for the study all I had was theoretical knowledge, but the time that I spent at
Spices Board gave me an opportunity to experience what it feels like to be part of an
organisation in the real world.

CHAPTER-8
BIBLIOGRAPHY
Following were the sources used for reference during the course of the study,
1. Name of the book: Spices (Volume – I)
Authors: J. W. Purseglove, E. G. Brown, C. L. Green, S. R. J. Robbins.
2. Name of the book: Major spices of India – Crop Management & Post-Harvest
Technology.
Authors: J. S. Preethi.

63
3. Annual Report of the organisation for 2008-09.
4. Official website of the Board, www.indiaspices.com.
5. The Spices Board Act, 1986.
6. Journals of the organisation – Spices India (monthly publication) and Spices
Market (weekly publication).
7. www.CommodityIndia.com
8. www.indiaspices.com
9. www.spicesboard.in
10. www.commerce.nic.in

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