U-10 team take Cinnamon industry forward

Sri Lanka is the largest producer of ‘True Cinnamon’ in the world, producing 90 percent of global exports, and now a group of industry officials are attempting to use this to market Ceylon Cinnamon to become a brand along the lines of Ceylon tea. However the techniques used in the manufacturing process of Cinnamon quills or sticks have changed very little over the years. Workers have also got a bad deal.

U-10, a group of Cinnamon growers and manufacturers, have banded together to make the most of what they believe is an industry with unexploited potential. Speaking at a recently held media briefing, Chairman of the group Ivan Ferdinand said that the poor worker conditions that are prevalent could damage the industry as the global market starts to demand more stringent and ethical production methods.

The EU has already banned Fumigation using Sulphur as a method of preservation as it is extremely hazardous to workers’ health. “Sri Lanka cinnamon will be sulphur free,” he said, explaining that preservation here is done through a drying process. He went on to say that most of the advanced technology in the plantations sector had seeped through to the main export good of tea, rubber and coconut over the years and as a result the Cinnamon industry lacked both mechanization and modernization.

Prof. K.D.N. Weerasinghe, Dean of the Agricultural faculty of the University of Ruhuna who is a consultant for the group, said the dearth of skilled workers is causing a major problem. “Young people don’t want to join the industry because there is very little modern technology,” he said. Along with the GTZ, a German funding agency, the group has been able to construct nine new factories in an attempt to change this. The scarcity of Cinnamon peelers especially has affected the industry as the whole peeling process is still very labour-oriented, despite being tedious.

The Cinnamon that is grown in the country is cinnamomum zeylannicum, which has its origins here. This ‘True Cinnamon’ has its major competitor in ‘Cassia’, a popular type of Cinnamon from the Burmese and Vietnamese regions. Sri Lanka produces 13,000 metric tonnes of True Cinnamon, of which 12,600 is exported, the highest among spices. Export earnings in 2007 were $58 million.

The U-10 group is hoping to capitalize on the global trend of organic and natural products in all forms of life. “Demand is increasing because of (Cinnamon) application as a natural product in culinary products and liquor etc,” said Prof. Weerasinghe. Cinnamon has been incorporated into wine, ice cream, cosmetics and especially pharmaceutical goods in recent years.

In this regard, product diversification besides simply exporting raw Cinnamon has been looked at but not actively. The only value addition segment that has been involved as yet is to decoratively package the Cinnamon according to customer needs. However officials say that plans to incorporate Cinnamon into locally-brewed liquor, ice cream, etc can be carried out if those industries also take an interest in the venture. The highest demand for Cinnamon is from the Spanish speaking nations of the world, with Mexico consuming almost 38% of the global exports.