Building BusinessServices

Section 21

Salem

Salem, Tamil Nadu · Manufacturing

Tapioca sago (sabudana) and starch — Salem Sago (GI)

sourced figures
4
main products
4
businesses to start
3

The story

Tapioca grows well on the dry lands of Salem, Namakkal, Dharmapuri and Erode. From the 1940s small units in Salem began turning tapioca roots into sago pearls and starch, mainly for buyers in North India where sabudana is eaten during fasts. In 1981 manufacturers formed Sagoserve, a cooperative that runs auctions, warehousing and quality checks. Salem Sago received a GI tag in 2023.

In numbers

  1. Sagoserve, the Salem Starch and Sago Manufacturers' Service Industrial Co-operative Society formed in 1981, has 334 registered member-manufacturers.

    First GI-tagged Salem Sago export to Canada: APEDA — Indian Cooperative
  2. About 387 tapioca processing units in Salem district are members of Sagoserve (2017 study).

    Study on tapioca processing units in Salem district — IJCMAS (V. Kathiravan et al.) · 2017
  3. Salem Sago (Javvarisi) is a registered GI (application 711, certificate 461).

    GI Registry — Salem Sago (Javvarisi), application 711
  4. A Starch and Sago Cluster common facility centre at Salem is listed as completed under MSE-CDP.

    Completed Common Facility Centres under MSE-CDP (as on 22 Mar 2024), Office of DC-MSME · 2024

GI tag

Ways in for a newcomer

  • Branded and packed sabudana for North Indian retail
  • Modified starch for paper, textile and food industries
  • Ready-to-cook sago products (khichdi mixes, papad)
  • Effluent treatment and biogas from wastewater

Problems the cluster faces

  • Tapioca price swings and mealybug pest attacks
  • Wastewater pollution from processing units
  • Adulteration complaints hurt trust
  • Competition from cheaper imported starch

Businesses to start here

Compostable Starch Bag Making →Papad Making →Frymes (Rice Wafers) →

Sources (4)
  1. First GI-tagged Salem Sago export to Canada: APEDA — Indian Cooperative
  2. Study on tapioca processing units in Salem district — IJCMAS (V. Kathiravan et al.)
  3. GI Registry — Salem Sago
  4. Completed Common Facility Centres under MSE-CDP (as on 22 Mar 2024), Office of DC-MSME