Karnataka Government Approves Major Tender Coconut Market in Chamarajanagar District
The Karnataka state government has made a significant decision to establish a wholesale tender coconut market at the Agricultural Produce Market Committee (APMC) premises in Santhemarahalli, located within Chamarajanagar district. This new facility, with an allocated budget of Rs 5 crore, is scheduled for development during the 2025–26 fiscal year.
Second-Largest Market in Karnataka
Upon completion, this market will become the second-largest tender coconut market in the entire state of Karnataka. It will rank only behind the existing Maddur APMC market situated in the neighboring Mandya district, marking a substantial expansion of agricultural infrastructure in the region.
Extensive Benefits for Local Farmers
The primary objective of this initiative is to provide substantial benefits to thousands of coconut growers across Chamarajanagar and Mysuru districts. By creating a dedicated wholesale market, the government aims to help these farmers secure better and more stable prices for their tender coconut produce, directly addressing long-standing economic challenges.
Currently, a large number of farmers in these two districts cultivate coconut across both rain-fed and irrigated agricultural areas. Coconut plantations specifically cover an impressive 13,135 hectares in Chamarajanagar district and 12,127 hectares in Mysuru district, often alongside other crops such as banana, various vegetables, and fruit crops.
Addressing Price Disparities and Farmer Losses
The establishment of this market comes as a direct response to significant price disparities that have plagued the local coconut industry. While tender coconuts typically fetch between Rs 50 and Rs 70 in retail markets, middlemen frequently offer farmers only Rs 20 to Rs 30 per piece. This substantial gap has resulted in considerable financial losses for growers, creating an urgent need for intervention.
For years, there has been a persistent demand from the agricultural community for the government to open a dedicated wholesale market specifically for tender coconuts. Numerous farmers' organizations have actively urged both the district administration and local Members of the Legislative Assembly (MLAs) representing Chamarajanagar, Kollegal, Hanur, and Gundlupet to advocate for such a facility.
Project Approval and Funding Details
The government has now officially approved the Rs 5-crore project, which will be funded through the Rural Infrastructure Development Fund (RIDF). The market will be constructed at the Santhemarahalli APMC yard, providing a centralized location for agricultural trade.
Kollegal MLA A R Krishnamurthy has expressed gratitude toward the state government for fulfilling what he described as a long-pending demand of the region by establishing this market within his assembly segment. He emphasized the positive impact this will have on local agricultural communities.
Administrative Support and Implementation Timeline
Additional Deputy Commissioner ST Javaregowda provided further details regarding the project's background and implementation. He explained that former Deputy Commissioner Shilpa Nagaraj had originally recommended the proposal following repeated appeals from both individual growers and organized farmers' associations.
With funds now sanctioned under the RIDF scheme, official instructions will be issued to the agricultural marketing department to expedite the construction process. Once operational, this new facility will enable farmers to bring their tender coconuts directly to the market, participate in transparent auction processes, and sell their produce without excessive intermediary involvement.
Anticipated Impact on Agricultural Communities
Farmers' Federation Vice-President Baradanapura Nagaraj has highlighted the significant benefits that the new market at Santhemarahalli APMC is expected to deliver to growers across both districts. By providing a dedicated wholesale platform, the market will enhance price discovery mechanisms, reduce exploitation by middlemen, and ultimately improve the economic viability of coconut cultivation in the region.
This strategic investment in agricultural infrastructure represents a crucial step toward strengthening the rural economy and supporting the livelihoods of thousands of farming families in southern Karnataka.
