ITC to foray into matchbox unit with ORMAS

BHUBANESWAR: The Orissa Rural Development and Marketing Society (ORMAS), an autonomous organisation under the Panchayati Raj Department, has tied up with tobacco major ITC Limited to set up an integrated safety matchbox manufacturing unit in Cuttack district.After its agarbatti intervention, the multi-national company having diversified presence in hospitality, agriculture, cosmetics and toiletries business has evinced interest in manual matchbox filling and packaging operation in rural clusters by procuring dipped splints from Tamil Nadu.Plans are afoot to create an additional income for about 5,000 rural women in filling safety matchboxes and their packaging. If things go as planned, each beneficiary will have an additional income of ` 100 a day apart from their normal earnings.ITC, having a market share of 20 per cent in the trade of safety matchboxes in the country, will procure the splints (matchsticks) from Tamil Nadu and Kerala till the variety of soft wood needed for the trade was supplied by the State Government.The company is planning to set up a safety matchbox manufacturing unit at Jagatpur where the proposed agarbatti perfuming and packaging unit will be located, said ORMAS chief executive BN Das.The Jagatpur facility will have a mechanised matchstick head dipping unit. The dipped splints manufactured there will be supplied to women SHG members of select clusters for manual box filling and packaging, he said.Although a few varieties of soft timber suitable for matchsticks are available in the State and those are sold as firewood at cheaper price, manufacturing of splint is not permissible under the Forest Conservation Act (FCA).As sawing of timber is strictly prohibited, the State Government will seek permission of the Ministry of Environment and Forests (MoEF) for splint manufacturing. ORMAS has taken up the issue with the Forest and Environment Department and the department will write to the MoEF for permission, a senior forest officer told this paper.If the Centre approved the State Government proposal for sawing of timber for making matchsticks, the Forest Department will take necessary measures for plantation of required species of soft wood, the sources added.The issue of matchbox manufacturing as a part of the economic empowerment of rural women was discussed at a highlevel meeting here chaired by Chief Secretary BK Patnaik.Senior ITC officers, including chief executive officer VM Rajasekharan, were present.