Global
recognition for Ceylon cinnamon
Efforts to get better recognition for the distinct characteristics
of Ceylon cinnamon under global custom trading rules have succeeded,
resulting in potential for niche marketing and a better demand for
the product.
The
move coincides with the government announcement of incentives in
the budget to promote cinnamon and intensify efforts to protect
Ceylon cinnamon under the Word Trade Organisation (WTO) agreement.
Sri
Lanka is the largest producer of 'true' cinnamon, with the botanical
name Cinnamomum Zylanicum, known for its distinct flavour and taste,
and the spice industry has been lobbying for better recognition
for the product to enable its marketing like Ceylon tea, for which
the island is famous.
The
government and industry had been trying to get Ceylon cinnamon listed
separately in the global customs classification known as the HS
(Harmonisation System) code in order to give it an identity distinct
from that of cassia, a cheaper and inferior alternative.
"We're
now able to separate cinnamon and cassia in the international HS
code," a Commerce Ministry official said. "It's a major
breakthrough." A team of customs officials is at the world
customs organisation in Brussels right now presenting documentation
to support Sri Lanka's claim.
Chairman
of the Spice Council Sarada de Silva, himself a big cinnamon exporter,
said the breakthrough will help create a better image for Ceylon
cinnamon, leading to better prices and niche markets.
"We've
got the bifurcation for cinnamon in the HS code almost through.
It will take legal effect only in 2007. This is the period when
the government must intensify marketing of cinnamon, showing the
difference with cassia."
Sri
Lanka produces more than 90 percent of the world's genuine cinnamon,
Finance Minister Sarath Amunugama said in his budget speech where
he announced incentives for the industry. Cheap low quality alternatives
have begun to enter the global market leading to increased competition,
he warned, adding that efforts to give Ceylon Cinnamon maximum protection
under the WTO agreement are being intensified. |