Cashew exports to the US have suffered a major blow with some consignments being rejected and returned, due to contamination by chlorphenol , sources said. The volume of rejection may mount in the coming days and sources add that based on the quality-reports being released many big retailers in Europe and US have deferred purchasing cashews from India. Export volumes are likely to suffer as big buyers accumulate in October for year-end celebrations.
Bharathan Pillai, chairman, Cashew Export Promotion Council, confirmed that traces of chlorophenol had been detected by the US health authorities prompting them to return the consignments. ?We do not have an exact picture of the problem, but I gather that 5-6 containers have reached Cochin Port,? he said.
Chlorinated water used by processing factories might be the sources of the contamination. The toxicity of chlorophenol depends upon the degree of chlorination. Reports suggest that chlorophenol has an irritating effect on the eyes and on the respiratory tract. Repeated administration of doses may result in damage to liver and the bone marrow.
?India?s cashew processing industry is scattered and small, resulting in differing standards of quality,? P Nandakumar, a trade consultant and exporter told FE. Over two-thirds of the processing units are in Kerala, while the remainder are scattered across other states. Together, these units have an annual processing capacity of over 800, 000 tonne.