Transcript Status of Fruits & Vegetables Production and Processing in NER

Status of Fruits & Vegetables
Production and Processing in NER
April 20, 2011
Agenda
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Overview
Production of Fruits & Vegetables
Huge Wastage
Constraints
Thrust areas
Supportive policies of GoI
Basic Parameters of Good Food Processing
Industry Policy
Discussions
Overview
Food is the largest consumption category in India
India produces 9% of world’s fruits and 11% of World’s Vegetables
However, only 2% of fruits and vegetables in India are processed
Huge wastages, estimated at about 35%, the value of which is approx.
Rs.33,000
Rs. 33,000crore
croreannually
annually
Despite strong raw material base India is unable to tap potential for
processing and value adding in perishables like fruits and vegetables
Area and Production of Fruits & Vegetables
2009-10 in NER
Area in '000' Ha
Production in ‘000’ MT
STATE/UT’S
FRUITS
Area
VEGETABLES
Production
Area
Production
ARUNACHAL PRADESH
72.0
107.90
4.20
38.50
ASSAM
117.30
1575.50
255.20
4569.90
MANIPUR
38.40
281.90
19.90
221.80
MEGHALAYA
32.90
294.80
44.30
415.80
MIZORAM
27.10
328.30
10.60
179.10
NAGALAND
30.80
223.70
10.40
78.30
SIKKIM
12.20
18.50
28.70
147.70
TRIPURA
36.90
573.80
32.50
446.90
TOTAL
367.70
3404.40
405.80
6097.90
TOTAL ALL INDIA
6329.20
71515.50
7984.80
133737.60
SOURCE: NATIONAL HORTICULTURE BOARD, GOVT. OF INDIA
Production of Fruits 2009-10
Production in ‘000’ MT
STATE/UTs
ARUNACHAL
PRADESH
BANANA
CITRUS
GUAVA
PAPAYA
107.9
223.0
114.0
1575.5
103.5
98
281.9
5.6
106.8
56.5
294.8
20.3
6.3
29.3
328.3
6.8
80.1
28.9
223.7
2
18.5
117.5
296.6
573.8
170.3
671.6
650.0
3404.4
3913.5
1386.8
27531.2
71515.5
805.2
225.9
88.2
MANIPUR
33.7
46.7
0.0
MEGHALAYA
82.8
43.1
0.0
MIZORAM
207.7
64.7
62.7
43.7
1.5
3.2
13.1
0.1
105.6
33.9
1.7
18.5
1314.3
506.8
91.5
26469.5
9638.0
2571.5
SIKKIM
TRIPURA
TOTAL
TOTAL ALL INDIA
TOTAL
24.7
35.6
NAGALAND
OTHERS
34.4
13.3
ASSAM
PINEAPPLE
119.1
SOURCE: NATIONAL HORTICULTURE BOARD, GOVT. OF INDIA
Production of Vegetables 2009-10
Production in ‘000’ MT
STATE/UTs
CABBAGE
C.FLOWER
TOMATO
31.7
0.0
0.0
0.0
0.0
6.8
38.5
589.7
614.2
351.3
379.5
253.0
2382.2
4569.9
15.2
72.8
22.9
27.2
0.0
83.6
221.8
221.7
0.0
0.0
0.0
0.0
194.1
415.8
MIZORAM
20.9
44.4
107.2
179.1
NAGALAND
10.0
3.0
0.2
4.0
2.2
59.0
78.3
SIKKIM
44.3
7.0
3.9
4.1
1.6
86.8
147.7
TRIPURA
99.4
42.6
27.6
29.6
38.9
208.9
446.9
1032.8
783.9
405.9
451.1
295.8
3128.5
6097.9
36577.3
7281.4
6569.0
12433.2
10563.0
60313.6
133737.6
ARUNACHAL
PRADESH
ASSAM
MANIPUR
MEGHALAYA
TOTAL
TOTAL ALL INDIA
POTATO
BRINJAL
6.7
OTHERS
TOTAL
SOURCE: NATIONAL HORTICULTURE BOARD, GOVT. OF INDIA
Food Processing Sector in India
Huge wastage across the supply chain leads to lower level of
processing and hence low value addition…
Field Losses
(Pest,Diseases, Rodents etc)
Level of Processing across Segments
Segment
Pre-Processing
(e.g. inefficient harvesting, drying, milling)
Transport
(e.g. spillage, leakage)
Storage
(e.g. technical deficiencies)
Processing & Packaging
(e.g. excessive peeling, washing)
Marketing
(e.g. spoilage, rotting in stores)
Wastage by Consumer
(e.g. over eating, food wastage)
India
Fruits and
Vegetables
2.2%
Marine
26%
Poultry
6%
Other Countries
US A (65 %), Philippines (78%)
China (23)%;
60-70% in developed countries
Buffalo Meat
20%
Milk
35%
60-75% in developed countries
Perceived Constraints
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Low incomes and high share of basic foods in household consumption.
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Socio-cultural factors – Preference for freshly plucked fruits.
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Low productivity, high wastage.
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Inadequate infrastructure for sorting / grading / packing.
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Lack of trained manpower for processing storage, marketing, branding.
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APMC Act which restricts sourcing materials from farmers.
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Lack of common policy on Contract Farming.
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Low access to credit to farmers.
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Inability to attract investment by large corporate houses due to unreliable
sources of supply of raw material.
Thrust areas
Enhanced income of farmers
Increased level of processing of perishables from
6% to 20%
Increased value addition from 20% to 35%
Increased share in global food trade from 1.5% to 3%
in next 15 years
Promote dynamic/competitive food processing industry
Achieve integration of food processing infrastructure
from farm to market
Have transparent and industry friendly regulatory regime
Supportive Policies of GoI
1
NEIPP 2007 for industry including Food Processing Industry
2
Transport Subsidy Scheme and Horticulture Mission for NE &
Himalaya States
3
Development of products and processes for secondary
agriculture, food industry and bio-processing sectors
4
Infrastructure Development and Technological Upgradation
5
Quality Control / R&D, H.R & Institutional Development
Felt needs in NER
Promote Nutrition Foods
Processable variety
of Crops
Support Backward
Integration
Increase Promotional
Activities
Market Access to
Farmers
Investment in Hard/Soft
Infrastructure
Technology
Upgradation
Harmonisation of Taxes
Discussion to follow:
Preparation of action plan – identify fruits and vegetables with
potential for food processing in specific North East States / Areas.
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How to promote agro based / food processing sector in NER – put
in place a model supply chain by bringing in farmers, traders,
processors, extension machinery and R&D Institutes together.
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Amendments (if required) in existing policies – in NEIPP 2007,
TSS 1971, to promote the agro based sector/industries.
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How to attract investment including FDI in the sector.
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Suitability of for autonomous industry driven boards for individual
crops.
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Need for preferential treatments / liberalising excise regime /
reducing excise duties of Centre / States for individual products
such as Pineapple in Tripura.
Ultimately ?
Can our discussion lead to a strategy which
is not fragmented Ministry / Scheme wise but
encompasses all aspects of a dynamic food
processing sector in NER ?