KOLLAM: The Kerala State Cashew Development Corporation, which is facing CBI and Vigilance probes for corruption in cashew deals, has found virtually no takers for the tenders floated to buy raw cashew. It has cancelled six tenders as only a single company had turned up to bid for supplying cashew to the corporation.
This has forced the corporation to give concessions in tender criteria along with other perks for cashew traders. The corporation had issued the tender on May 31 to import 3,000 tonnes of cashew from Guniea Buissau and 2,000 tonnes from Ivory Coast. However, the tender was cancelled on the basis of the guidelines issued by the Central Vigilance Commission.
The government has also given the nod to open the 30 factories under the corporation that remain shut for the last 10 months. The small-scale cashew factories have been exempted from revenue recovery procedures and given more time for repaying the liability. This was decided at a meeting held in the presence of factory owners and bank representatives.
More traders would participate in the tender process if a letter of credit by the State Trading Corporation is engaged in the deal. The corporation hopes to reopen the factories under it before Onam and will float new tenders for purchasing raw cashew.
A board meeting to be held in Thiruvananthapuram in the presence of the labour commissioner (who serves as the corporation chairman), the managing director, and finance department representatives on Saturday will decide on the concessions in the tender procedures.
