Manufacturers:

POTASSIUM IODATE MANUFACTURERS IN INDIA
Mr. Kiran Dave
President
Potassium Iodate Manufacturers Association
C/o Micron Laboratories
2643, G.I.D.C. Phase IV
Near SRS Bearing
Wadhwan City – 363035
Gujarat – India
Telephone :0091-2752 50658 Fax: 0091-2752 51241
E-mail : micronin@ad1.vsnl.net.in

There is known linkage between IDD prevalence and transportation mode of iodised salt in the country. A standard protocol to highlight IDD is quoted below:

“Goiter is the most common and visible manifestation of IDD. In fact, ‘Goitre’ is only the tip of the iceberg. But there are other more severe consequences of IDD. The extreme iodine deficiency leads to abortions and still births. It also contributes to higher child death rates. The other manifestations include cretinism, psycho-motor incordination, stunting, speech and learning defects. IDD also causes impaired development of the brain and central nervous system in the early fetal life in humans. These changes are irreversible. Children in iodine deficiency environment on an average have 13 IQ points less as compared to those children who live in iodine sufficient areas. This adversely affects learning abilities of children, repeated failures and school dropouts thereby denying them the opportunity of attaining their full potential. Consequently, it deprives the country of the fully developed human resource essential for development and modernization of a country through economic, social and cultural growth and development.”

The following illustrations show the IDD status in India.

According to WHO / UNICEF guidelines, Goitre is considered as the indicator for IDD. The data given above is taken from ……..

1. Effective system is in place at rail heads for quality control of iodised salt. Salt Commissioner’s staff verifies not only the quality of iodised salt but also conformity to packaging norms.
2. Railways has high priority for iodised salt transportation, i.e. category B, second only to defence.
3. Covered Wagon, bulk movements, rakeful - versus -trucks limited quantity (3 to 5 tons) , environmental exposure..
4. Transportation of salt by road entails higher costs thus discouraging the consumers, especially the rural and poorer segments.
5. Transportation of salt by road ensures little or no quality check diminishes quality control.
6. Salt transported by road is more prone to exposure to heat and moisture thus leading to loss of iodine content.

A study of the National Family Health Survey (NFHS-2) and the annual report of Salt Commissioner’s Office indicates that coverage of adequately iodised salt consumption in states to which salt is transported by rail is high. The following table illustrates this:

A look at the above two illustrations will show a regional tilt in the pattern of consumption of iodised salt. An important point to note is the pronounced high level, rather highest level, of consumption adequately iodised salt in the Northern eastern states and Sikkim. Iodised salt is transported by rail upto Siligri and lifted from there by trucks to the final destination.

Conversely, States like Goa, A.P. Tamil Nadu, Rajasthan, etc. also have high consumption level of iodised salt. This could be attributed to proximity to production sites and better road accessibility.

States in higher reaches like Himachal Pradesh, (90.5% iodised salt) J&K (52.9%) also record higher percentage of iodised salt consumption. The possible reason for this is redistribution of iodised salt from Delhi. In fact, Delhi, which is well-connected by rail) is said to be ‘salt mandi’ of northern India. The reason for high percentage of iodised salt consumption in Haryana (71) and Punjab (75.3) can also be traced to this reason. The redistribution is either by rail or road.

Other states in the plains, e.g. Madhya Pradesh (75%), Uttar Pradesh (77%), Punjab (75%) also record a high percentage of adequately iodised salt consumption. As the illustration shows, these states are also rail linked for salt transportation either fully or for most part.

Thus, higher percentage of iodised salt consumption has direct association with rail links, which ensure protected and quality checked bulk movement of the commodity. In contrast, states, even that has better road transportation infrastructure has tends to show lesser percentage of adequately iodised salt. The main reason for this may be not enough or no quality control and transitional loss of iodine. Both these causes are taken care in the case of rail transportation.

The studies show that the states with higher level of iodised salt consumption have lower percentage of iodine deficiency disorders. This can be noted in states with history of endemic areas (e.g. Sikkim, Himachal Pradesh). In other words the high percentage of iodised salt consumption indicates low percentage of prevalence of IDD.

The overall picture buttresses the reason for a lower or subsidized rail freight rate pattern will contribute much to the national IDD programme. During the discussions for grants for railway Ministry, the Union railway minister has announced a reduction of freight charges for edible salt, (meaning iodised salt) by 10 to 25%. However according to sources, there has been an increase in the freight charges for this commodity by 135% in the previous year’s railway budget, forcing the small salt producers resort to protest measures. It needs to be watched to assess as to how this decrease will contribute to the iodised salt consumption pattern.

It may be noted with appreciation that the railways has accorded high priority for transportation of iodised salt (category B, second only to Defence). This is not enough. To give effect to the Government’s programme of NIDDC, it should be matched with cost affordability by the consumers, especially those belonging to the poorer segments. This can be possible only with a subsidized or special railway freight charges. Yes, a harmonious equation of availability with affordability is needed. And it depends a lot on this on the Indian Railways.

Reduction in the Freight Rate of non-refined edible salt

The Union Railway Minister Mr. Nitish Kumar, while replying to demand for grants for Ministry of Railways for the year 2003-04, has announced a major concession, i.e. reduction of freight charges for non-refined edible salt. The decrease will be in the range of 10% to 25% depending on the distance.

In the Railway Budget for the previous year, i.e. 2002-2003, there was an increase in the freight charges of certain commodities, including those falling in the essential categories including Edible Salt. This happened by default due to reduction in the number of freight classes in the Railways - from 59 to 32, with an additional yield of INR. 4500 million, equivalent of US$ 90 million (I US$ = 50 INR) to the Railways The Minister at that time stated that the increase will be minimal for edible salt, i.e. price would be increased by a rupee per month for a family of four. (We do not know exactly the actual effect it had on the consumer.) Another point - for a poor family a rupee a month does matter. Then, there is the psychological impact of price increase, irrespective of the amount.

Therefore, the decrease of freight charges in the current year’s budget is a welcome step.

In India majority of rural population and poorer sections of society prefers non-refined edible salt. The main reason for this is an age old habit coupled with the price factor. The main mode of transportation of salt in the country is by rail. Iodized salt has second level of priority for the Indian railways (Category B), i.e. after Defence. The reduction in the freight rate by the railways is expected to lower the overall price of non-refined edible salt. As a result the consumer will be benefited. The higher demand of this variety of salt may force in price reduction of other varieties of salt including branded salt.

The general belief that iodized salt is expensive is diminishing. There may be increased influence in the consumer decision making for iodized salt, especially by the poor and rural consumers. Thus a boost to the USI programme is possible.

One of the thrust areas for us in India (The ICCIDD) had been pressing for reduction of railway freight charges of iodized salt for household consumption. Towards this discussions and dialogues have been going on at various levels. The salt industry and their apex associations have been looking up to ICCIDD to take up this issue at the governmental level. Last year we have interacted closely with the Minister of State for Railways, Mr. Digvijay Singh, (before he was moved to the External Affairs). He was expected to be the chief guest in our sensitization workshop held on the 16th March 2002, but for a sudden change in his programme. Copy of our letter dated 8th March, 2002 is enclosed for reference. Again this year ICCIDD has taken up the issue for a special freight rate for transportation of iodized salt about fortnight before the presentation of Union Railway Budget. Copy of letter dated 10th February, 2003, (sent instantly by fax) is enclosed.

In addition to direct interactions at Ministerial level, ICCIDD have also been in dialogue with People’s Representatives at various levels including Members of Parliament for promotion of consumption of iodized salt for prevention of IDD. One of the points that we always highlighted was the lower freight rate of iodized salt that can help more poor and rural populace in purchasing this essential commodity.

We believe our continued and concerted efforts contributed as one of the inputs to this major concession by the Indian Railway Ministry.

Based on your valuable inputs, we obtained data on the per capita monthly expenditure on salt and as you rightly predicted, it is a miniscule 0.4% in the rural areas and 0.3% in the urban areas

Total Monthly Consumer Expenditure (MPCE) per person on Salt*

* Reference period of 30 days

Source: National Sample Survey Round 55; NSS Report No. 454, Household Consumer Expenditure in India: 1999-2000 – Key Results

We can calculate the nation’s expenditure on Salt

Total National Expenditure on Salt*

* Assuming a national population of 100 Crore

From the above data, taking a household to comprise of 5 people, we can also calculate the total monthly consumer expenditure (MPCE) per household on Salt:

Total Monthly Consumer Expenditure (MPCE) per household on Salt*