Puttur, 15 September 2026: With the Karnataka Cabinet scheduled to hold a special meeting in Mangaluru on September 18, the All India Arecanut Growers’ Association (Akhila Bharata Adike Belegarara Sangha) has urged the State Government to take a series of policy decisions aimed at protecting arecanut farmers and creating new economic opportunities around the crop.
Among its key demands are implementation of ₹5 lakh interest-free crop loans for eligible farmers, a comprehensive government study into alternative uses of arecanut and the establishment of a “Karnataka Arecanut Bioeconomy, Value Addition and Alternative Uses Mission–2035.”
The association said the special Cabinet meeting provides an opportunity to address issues affecting farmers in coastal and Malnad Karnataka, where arecanut is an important commercial crop. Demands were made by Mahesh Puchchappady, President, and Venkatagirish C.G., General Secretary, All India Areca Growers Association (R), Puttur.
₹5 Lakh Interest-Free Crop Loan: Association Seeks Implementation
Association's immediate demand is that the government's announcement of interest-free crop loans of up to ₹5 lakh should reach eligible farmers in practice.
It claimed that some cooperative societies are still restricting crop loans to amounts below ₹3 lakh, despite the State Government's announcement. Association has therefore urged the government to issue necessary directions to ensure that eligible arecanut growers and other farmers can access interest-free crop loans of up to ₹5 lakh.
Why Arecanut Farmers Are Seeking Government Support
Arecanut growers are facing several challenges, according to the association, including crop diseases, rising labour and input costs, market uncertainty and concerns arising from restrictions on gutka and tobacco products in different parts of the country.
Association said farmers who have depended on arecanut cultivation for decades cannot immediately shift to another crop. It has therefore argued that protecting the existing arecanut economy must go together with crop research, value addition and development of alternative uses.
Bigger Proposal: Arecanut Bioeconomy Mission–2035
One of the more ambitious proposals put forward by the association is the creation of a Karnataka Arecanut Bioeconomy, Value Addition and Alternative Uses Mission–2035.
Idea is to move beyond viewing arecanut simply as a raw agricultural commodity and explore the economic potential of the entire crop and its biomass.
Association has proposed research into the use of arecanut and its residues for products including:
- Advanced carbon-based materials
- Nanocellulose
- Biochar
- Biofuels
- Biodegradable products
- Other industrial and biological applications
Proposal could potentially open another income stream for farmers by creating value from agricultural residues that are otherwise discarded or have limited economic value.
Mangaluru Research Centre Proposed
Association has also called for the establishment of a national-level specialised research centre in Mangaluru focusing on arecanut bioeconomy, nanotechnology and advanced materials.
It has proposed an Arecanut Innovation and Technology Transfer Fund to help take successful technologies from laboratories to commercial production.
Association said research should not remain confined to academic institutions and called for mechanisms to help entrepreneurs and industries adopt technologies developed through such research.
From Arecanut Sheath to Rural Industry
Proposal also seeks government support for arecanut-based industrial clusters in coastal Karnataka. Arecanut sheath could be used for manufacturing plates, bowls and packaging products, while arecanut wood could be utilised for furniture and other value-added products.
Association has suggested that such rural industries could be developed through self-help groups, farmer-producer organisations, cooperatives and rural entrepreneurs. It has also proposed collection centres in major arecanut-growing areas so that farmers can potentially earn additional income from agricultural biomass.
Disease and Crop Loss Concerns
Association has also highlighted the impact of diseases such as leaf spot disease and yellow leaf disease, including concerns among growers in the Sampaje region and surrounding areas.
It has sought a one-time crop-loan waiver jointly from the State and Central governments for farmers facing severe crop losses. It has also requested waiver of interest on long-term agricultural loans provided at 3% interest.
Wildlife and Kasturirangan Concerns
Increasing wildlife attacks on arecanut and coconut plantations have also been raised by the association.
It has sought an immediate solution to difficulties faced by farmers in renewing firearm licences used for crop protection, within the applicable legal framework. The association has also called for steps to address continuing concerns among farmers in the Malnad foothill areas regarding the Kasturirangan report.
Association Seeks Clarity on Arecanut Health Studies
Another significant demand concerns the continuing debate over the health effects of arecanut. Association has asked the government to conduct a comprehensive scientific study into the potential food, non-food, industrial, biological and value-added applications of arecanut.
It has also sought the public release of complete details of government-sponsored studies relating to the health effects of arecanut, including their methodology, findings and conclusions.
What Arecanut Growers Want from the September 18 Cabinet Meeting
Association has urged the government to consider the following proposals at the Mangaluru Cabinet meeting:
- Ensure ₹5 lakh interest-free crop loans reach eligible farmers.
- Consider measures for farmers affected by severe crop losses and diseases.
- Address concerns over wildlife damage to plantations.
- Provide clarity and relief regarding Kasturirangan-related concerns.
- Establish the Arecanut Bioeconomy, Value Addition and Alternative Uses Mission–2035.
- Set up a specialised arecanut research centre in Mangaluru.
- Create an innovation and technology-transfer fund.
- Support arecanut-based industrial clusters and rural enterprises.
- Establish biomass collection centres in major growing areas.
- Fund pilot projects for alternative and value-added uses of arecanut.
Karnataka's Arecanut Economy Expectations
For arecanut growers, the issue is increasingly moving beyond the daily question of market price. Association's proposals point towards a larger question: Can Karnataka build an economic ecosystem around the entire arecanut plant rather than depending primarily on the sale of raw nuts?
If research, processing, rural industries and technology transfer are successfully developed, the crop could potentially support additional businesses and income opportunities beyond cultivation.
The September 18 Cabinet meeting in Mangaluru could therefore become an important platform for the government to respond not only to the immediate financial concerns of arecanut growers but also to their longer-term demand for research, value addition and diversification.
Keywords: Arecanut growers Karnataka, Mangaluru Cabinet meeting, ₹5 lakh interest-free crop loan, Arecanut Bioeconomy Mission 2035, arecanut alternative uses, arecanut farmers Karnataka