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A Presentation on APEDAs role in enhancing Export of Agro Foods from India by Dr. Tarun Bajaj GENERAL MANAGER Slide 2 APEDA Slide 3 3 Promotion of Export Oriented Production Support for R&D and Quality Assurance Fixing of Quality Standards and Specifications for the Scheduled Products. Inspection & Certification of Processing Plants, Storage & Transportation Points for Meat Products Infrastructure for Transportation, Handling and Storage. Improving Packaging of Products. Market Development and Promotion Market Intelligence Undertaking Surveys & Feasibility Studies Training in Various Aspects of the Scheduled Products Industries APEDAs Mandate (Section 10 of the APEDA Act, 1985) Slide 4 1.Fruits, Vegetables and their products 2.Meat and Meat Products 3.Poultry and Poultry Products 4.Dairy Products 5.Confectionery, Biscuits and Bakery Products 6.Honey, Jaggery and Sugar Products 7.Cocoa and its Products, chocolates of all kinds 8.Alcoholic and Non Alcoholic Beverages 9.Cereal & cereal products 10.Groundnuts, Peanuts and Walnuts 11.Pickles, papads and Chutneys 12.Guar Gum 13.Floriculture and Floriculture Products 14.Herbal and Medicinal Plants Products Monitored (Over 700 tariff lines) Slide 5 EXPORT SCENARIO Slide 6 Indias Rank In The World ProductProductionRankProductProductionRank Bananas29.781Sorghum6.701 Chillies and peppers dry1.221Pulses nes0.701 Lemon and limes2.631Fruits tropical4.401 Okra4.801 Indigenous buffalo milk 62.351 Chickpeas7.481 Anise,Badian,Fennel, Corriander 0.421 Goat milk4.591Millets13.291 Mango, mangoesteen and guava 1.501Beans dry4.871 Spices nes1.481Pigeonpeas2.461 Safflower seed0.171Arecanut0.481 Castor oil seed1.351Sesame Seeds0.891 Source: FAO website Slide 7 ProductProductionRankProductProductionRank Potatoes36.582Paddy rice143.962 Eggplant10.562Garlic0.842 Onion15.122Groundnut shelled5.642 Cashewnut with shell0.612Lentils0.902 Cauliflower/broccoli6.562Green peas3.032 Cabbages & brassicas7.282Ginger0.392 Indigenous goatmeat0.602Cow Milk54.902 Vegetables nes31.722Wheat80.802 Source: FAO website Indias Rank In The World Slide 8 Global Agri Trade Global Agri Exports - 1.65 trillion USD Major Agri. Trade Players - EU, USA, Brazil, China Canada, India Source: WTO International Trade Statistics 2013 Slide 9 Indias Share Exports - Share 2.6% Rank 8th Value 42.4 USD Billion Imports - Share 1.5% Rank 10th Value 25.66 USD Billion Source: WTO International Trade Statistics 2013 Slide 10 Major Products Performance For 2013-14 ProductValue $ mGrowth % Basmati Rice4866 Q + 9 V + 37 Non Basmati Rice2876 Q + 5 V + 8 Wheat1566 Q 15 V 19 Maize & Other Cereals1197 Q 15 V 20 DGCIS - Provisional data Slide 11 ProductValue $ mGrowth % Bovine Meat & Products4481 Q + 11 V + 36 Dairy621V + 91 Guargum1979 Q + 48 V 49 Misc. Processed Items1135V + 24 Groundnut530 Q 4 V 29 DGCIS - Provisional data Major Products Performance For 2013-14 Slide 12 ProductValue $ mGrowth % Fresh Vegetables842V + 39 Fresh Fruits727V + 20 Processed Fruits & Juices420V + 16 Pulses (mainly Chickpeas) 288 Q + 70 V + 22 Processed Vegetables218V + 6 DGCIS - Provisional data Major Products Performance For 2013-14 Slide 13 Share of Top 15 Markets (67%) Iran10.2Benin2.6 USA9.2Egypt2.0 Vietnam9.1Yemen1.8 Saudi Arabia7.1Thailand1.8 UAE5.6Kuwait1.7 Bangladesh5.4Iraq1.7 Malaysia4.1Nepal1.5 Indonesia3.2 Slide 14 Share of Agri Exports Total merchandise exports$ 312.6 bn Export of Agri products (including Cotton)$ 42.5 bn Share of Agri products in total merchandise exports 13.6% Export of products monitored by APEDA (53% of all Agri products) $ 22.38 bn DGCIS - Provisional data Slide 15 + 87% + 4.30% + 20% APEDA Exports Target 2013-14 : USD 21.487 Billion +31% DGCIS - Provisional data Slide 16 Export Performance Agro Products Source : DGCIS Slide 17 Growth of Agri Products Exports from India Source : DGCIS 2003-042008-092013-14 CAGR 2004-14 All Agri Products7.517.842.518.94 APEDA Products3.097.5322.7222.08 Processed Food Products1.163.3310.5824.74 Value in $ bn Slide 18 PRODUCT- WISE EXPORT PERFORMANCE Slide 19 Animal Products Qty In MT; Value in US$ Mill PRODUCT 2011-122012-132013-14 QtyUS$ MillQtyUS$ MillQty US$ Mill ANIMAL PRODUCTS Buffalo Meat986618.462866.941107506.273201.851449758.654350.38 Sheep/Goat Meat11181.0453.2316046.9178.2122608.95115.37 Other Meat318.330.73194.130.43255.260.52 Processed Meat575.941.98796.921.73488.781.16 Animal Casings923.565.64602.533.37352.204.73 Poultry Products624181.1195.49577864.2791.22437673.5392.87 Dairy Products25639.5160.3587824.21259.80159228.51546.16 Casein838.667.7613650.78101.8711461.71105.08 Natural Honey26089.0367.0025780.7065.8628378.4075.06 Albumin( Eggs & Milk )1454.3111.061663.8316.582025.3221.67 Total1677819.953170.181831930.553820.922112231.315313.00 Slide 20 Floriculture Qty In MT; Value US$ Mill PRODUCT 2011-122012-132013-14 Qty US$ Mill Qty US$ Mill Qty US$ Mill Floriculture30926.0276.1927121.8677.7922485.2175.31 Fruits & Vegetables Seeds15205.8160.0217168.0063.7017816.7067.82 Total46131.83136.2144289.86141.4940301.91143.13 Slide 21 Qty In MT; Value in US$ Mill Fresh Fruits and Vegetables PRODUCT 2011-122012-132013-14 QtyUS$ MillQtyUS$ MillQtyUS$ Mill Fresh Onions 1309924.82359.361666872.60361.781482498.58524.98 Other Fresh Vegetables 734178.83273.33768627.20279.16953731.22374.07 Walnuts 5841.5648.205295.4736.846726.3653.40 Fresh Mangoes 63441.2943.7555584.9948.5541279.9750.55 Fresh Grapes 108584.56125.74172744.42233.59192616.91279.52 Other Fresh Fruits 270437.20157.56263970.29143.57240552.45168.51 Total2492408.261007.942933094.971103.492917405.491451.03 Slide 22 Qty In MT; Value in US$ Mill Processed Fruits and Vegetables PRODUCT 2011-122012-132013-14 QtyUS$ MillQtyUS$ MillQtyUS$ Mill Cucumber and Gherkins( Prepd. & Presvd)258603.00155.39238624.89157.31218749.79156.39 Dried & Preserved Vegetables64794.09103.7268520.25117.2556158.38123.71 Mango Pulp150499.06129.49147815.69111.72174860.33126.64 Other Processed Fruits & Vegetables274807.05329.04269217.26318.51287384.61373.13 Pulses174625.18222.74202751.36236.39345051.38289.88 Total923328.38940.38926929.45941.181082204.491069.75 Slide 23 Qty In MT; Value in US$ Mill Other Processed Foods PRODUCT 2011-122012-132013-14 Qty US$ Mill Qty US$ Mill QtyUS$ Mill Groundnuts832616.931094.25535637.36747.39509664.84525.70 Guargum707326.433446.37406311.813919.24601945.421979.55 Jaggery & Confectionery207694.3581.08246566.93169.23266471.96188.23 Cocoa Products16678.5836.7019083.3454.0315962.9593.57 Cereal Preparations301289.71392.21293124.30411.79321468.07471.11 Milled Products171158.1374.86273584.39111.07418397.99165.79 Miscellaneous Preparations229341.93249.35293958.19314.40338972.77361.34 Slide 24 Qty In MT; Value in US$ Mill Cereals PRODUCT 2011-122012-132013-14 Qty US$ Mill Qty US$ Mill QtyUS$ Mill Basmati Rice3178174.433222.313459898.933564.043757271.424866.30 Non Basmati Rice3997719.571806.036687990.852651.977133183.372917.76 Wheat740746.76213.426514810.601934.245562374.741566.49 Maize3855721.201075.704788328.251305.293954236.611004.18 Other Cereals217962.0369.96652975.52199.86657700.54193.91 Total11990323.996387.4222104004.159655.4021064766.6810548.64 Slide 25 PROCESSED FOODS Slide 26 Major Products Covered Dried and preserved vegetables Processed Fruit & juices Groundnuts Guar gum Alcoholic & Non Alcoholic Beverages Misc. Processed items (Snacks, Cereal preps., Bakery & confectionery, Jaggery etc.) Slide 27 PRODUCT 2011-122012-132013-14 % change in value QtyUS$ MillQtyUS$ MillQtyUS$ Mill Guar gum707326344640631239196019451980-49 Groundnuts8326171094535637747509665526-30 Cereal Preparations30129039229312441232146847114 Alcoholic Beverages21411130426446635131156439613 Other Processed Fruits & Vegetables27480732926921731928738537317 Miscellaneous Preparations22934224929395831433897336115 Item Wise Export of Processed Food Exports Source: DGCIS Slide 28 PRODUCT 2011-122012-132013-14 % change in value QtyUS$ MillQtyUS$ MillQtyUS$ Mill Pulses17462522320275123634505129023 Jaggery & Confectionery2076948124656716926647218811 Milled Products1711587527358411141839816649 Cucumber and Gherkins ( Prepd. & Presvd)258603155238625157218750156-0.6 Mango Pulp15049912914781611217486012613 Dried & Preserved Vegetables6479410468520117561581246 Cocoa Products16679371908354159639473 Total 662070195251-25 Source: DGCIS Item Wise Export of Processed Food Exports Slide 29 Cereal preparationsUSA (15%), Nepal (7%), Bangladesh (7%), UK (7%), UAE(7%) Milled prodcutsIndonesia ( 12 %), Somalia (10 %), US (10%), UAE(8%), Madagascar (7 %) GroundnutsIndonesia(44%), Philippines (12%), Malaysia (12%), Vietnam (8%), Thailand (5%) Guar Gum USA (73%), China (8%), Germany (3%), Russia (3%) Canada(2%) Alcoholic BeveragesU.A.E.(20%), Ghana (12%), Angola (10%), Singapore (7%), Nigeria (7%) Miscellaneous Preparations U.S.A(15%), U.A.E(9%), Nepal(7%), Australia (5%), Saudi Arabia (5%) Cucumber & Gherkins Russia (22%), USA (16%), France (10%), Belgium (9%), (Prepared & Preserved)Spain (6%). Mango pulpSaudi Arabia (28%), Yemen Republic (15%), Netherland (13%), UAE (6%),Sudan (4%). Source: DGCIS (2013-14) Major Markets Contd. Slide 30 Dried & Preserved Vegetables Germany (15%), Russia (8%), USA (7%) UK(7%), France (7%), Other Processed Fruits & Veg.USA (14%), Saudi Arabia(11%), UK (11%), Netherlands (11%), UAE(7%) PulsesPakistan (23%), Turkey (19%), Algeria(19%), Srilanka (5%), Spain(5%) Jaggery & Confectionery Nigeria (8 %) Kenya (7%) United Arab Emirates (7 %) Nepal (5%) Oman (5 %) Cocoa ProductsChina P Rp (30 %) United States (18 %) Nepal (10 %) Bhutan (6 %) United Arab Emirates(5%) Source: DGCIS (2013-14) Major Markets Slide 31 Groundnut Source: UNComtrade, 2012 Global Exports: $ 2690 Mn Indias Share:12% ($ 325 Mn) Indias Rank: 3rd Slide 32 Global Exports: $ 57570 Mn. Indias Share: 0.78 % ($ 454 Mn.) Indias Rank: 24th Other Processed Fruits & Vegetables* * Jams, Jelly, Squash, Juices, Potatoes prpd, Peas Etc. Source: UN Comtrade, 2012 Slide 33 Global Exports: $ 69343 Mn. Indias Share: 0.55% ($ 384 Mn.) Indias Rank: 34th Miscellaneous Preparations* * NES, Maize Starch, Protein Concentrates, Ketchup Sauces, Soya Sauce etc. Source: UN Comtrade, 2012 Slide 34 Global Exports: $4361 Mn. Indias Share: 2.88% ($ 126 Mn.) Indias Rank: 10th Milled Products* * Wheat / Meslin Flour, Groat / Meal of Maize, Wheat, Rye Flour Source: UN Comtrade, 2012 Slide 35 Global Exports: $ 659 Mn. Indias Share : 27.5% ($ 181 Mn.) Indias Rank: 1st Cucumber and Gherkins (Prepd. & Preserved) Source: UN Comtrade, 2012 Slide 36 Global Exports : $ 2725 Mn. Indias Share: 4.2 % ($114 Mn.) Indias Rank: 4th Dried & Preserved Vegetables* * Dried Onion, Dehydrated Garlic Powder, Flakes, Mushroom Source: UN Comtrade, 2012 Slide 37 Global Exports: $ 53987 Mn Indias Share: 0.44% ($ 239 Mn) Indias Rank:35th Cereal Preparations* Source: UN Comtrade, 2012 * Biscuits, Papad, Pasta, Rusk, Bread, Pawa, Mudi, Pastry etc. Slide 38 Challenges Supply side constraints Lack of processable produce Inadequate infrastructure & supply chain Limitation for processors to purchase directly from farmers (APMC) Lack of corporate investment, economies of scale Domestic standards not harmonised with global standards Lack of branding and promotion Slide 39 Tastes and preference changing fast of due to globalization, Wide range of products available in the market; Strengthened by rising incomes, increasing urbanisation, a young population, emergence of nuclear families Health consciousness Changing consumer tastes Nestle, Delmonte, Pepsi, Mc Cains, Kellogs, Coca Cola, Cadbury With a large agriculture sector, abundant livestock, and cost competitiveness India is fast emerging as a sourcing hub of processed food. Entry of international companies FP units are moving up the value chain; Share of Registered FPI sector in GDP-FPI is increasing; FP companies are diversifying in term of product range; Firms focusing on product innovation; MNC adopting domestic tastes, Domestic units introducing international flavours Rising business & product innovation Indias exports of processed food and related items rose at a 20.4 per cent per annum; Strategic geographic location; abundant supply of raw materials helps India to export processed Food at competitive price Rising demand of Indian products in international market Emerging Trends Slide 40 Potential Segments Biscuits & confectionery Indian Ethnic Foods (Namkeens & Mixtures, Paranthas, Frozen snacks like samosa, tikki), sweet meats Cereal Preparations (Pasta, papad, puffed cereals) Dehydrated onion, other vegetables & Frozen vegetables Processed fruits- juices, concentrates Slide 41 Products for future development Health and nutritional foods Processed organic products Curries and pastes Cereal based new products Slide 42 Potential Segments Export Projection PRODUCTPresent level of exportsProjected exports in the next 3 years Potential markets 1. Biscuits & Confectionery$ 185 mn$ 350 mnAngola, USA, Haiti, Namibia, Uganda, UAE, Nigeria, Kenya 2. Indian Ethnic Foods$ 114 mn$ 200 mnUSA, Australia, Canada, UAE, Nepal 3. Cereal Preparations$ 471 mn$ 800 mnUSA, Bangladesh, UK, Nepal, UAE, Angola 4. Dehydrated onion, other vegetables & Frozen vegetables including Gherkin $ 207 mn$ 400 mnUSA, Germany, Belgium, Russia, France 5. Processed fruits- juices, concentrates $ 338 mn$ 600 mnSaudi Arabia, Netherlands, Yemen, UK, USA, Algeria, Kenya Slide 43 Technology Upgradation - Material Handling - Processing technologies - Packaging Research and Development (R&D) - Product innovations - Integrating with the industry Investment in food processing in select clusters Implementing TUF like schemes with financial assistance upto 5 crores for encouraging higher investment Establishment of a quality regimen/ addressing international food safety standards including strengthening Traceability system Way Forward Slide 44 Facilitating backward linkages through permission for direct procurement by processors from farmers Branding and Market promotion Incentives under foreign trade policy Way Forward Slide 45 India Organic Logo Slide 46 Export Markets-Major Products Fresh Onions Bangladesh (28.05 %)Malaysia (20.17 %)Sri Lanka (12.38 %)UAE(10.39 %)Indonesia (7.65 %) Other Fresh Vegetables Pakistan (36.50 %)UAE(12.34 %)United Kingdom (8.22 %)Nepal (6.59 %)Saudi Arabia (5.96 %) Walnuts Vietnam (14.49 %)Egypt (11.20 %)Netherland (11.07 %) United Kingdom (9.03 %)Spain (7.82 %) Fresh Mangoes UAE(60.37 %) United Kingdom (15.92 %)Saudi Arabia (4.27 %)Kuwait (2.89 %)Qatar (2.30 %) Fresh Grapes Netherland (31.63 %)Russia (13.60 %) United Kingdom (12.52 %)UAE(7.78 %)Bangladesh (4.55 %) Other Fresh Fruits UAE(35.10 %)Bangladesh (17.90 %)Saudi Arabia (8.75 %)Nepal (6.95 %)Netherland (3.02 %) Dried & Preserved Vegetables Germany (15.43 %)Russia (7.99 %)United Kingdom (7.42 %) United States (7.30 %)France (6.78 %) Other Processed fruits & veg United States (13.75 %)Saudi Arabia (11.43 %) United Kingdom (11.37 %)Netherland (10.89 %)UAE(6.64 %) Buffalo Meat Vietnam (41.47 %)Malaysia (8.91 %)Egypt (7.69 %)Thailand (6.76 %)Saudi Arabia (5.64 %) Guargum United States (72.68 %)China P Rp (8.25 %)Germany (2.83 %)Russia (2.56 %)Canada (1.89 %) Groundnuts Indonesia (44.14 %)Philippines (12.17 %)Malaysia (11.68 %)Vietnam (7.54 %)Thailand (4.66 %) Basmati Rice Iran (37.46 %)Saudi Arabia (22.93 %)Iraq (5.46 %)Kuwait (5.16 %)UAE(4.06 %) Non Basmati Rice Benin (16.59 %)Bangladesh (8.56 %)Senegal (6.68 %)South Africa (5.47 %)Liberia (4.33 %) Wheat Bangladesh (34.24 %)Korea Republic (13.51 %)UAE(12.41 %)Indonesia (5.91 %)Djibouti (5.56 %) Slide 47 Organic Products APEDA : Secretariat for NPOP Global market : USD 60 billion Indias export : USD 403 million Top products : Soya Bean, Cane Sugar, Basmati Rice, Sesame Seeds, Tea and Processed Products Export growth in last 2 years: 4.3%, 7.8% Slide 48 International Equivalence Equivalence currently with EU, USA and Switzerland Pursuing equivalence with Japan, Taiwan, Canada in process Slide 49 Quality Participation in working groups and sessions of Codex Alimentarious Commission for harmonization of standards based on risk assessment Development of export standards Implementation of GAP Well equipped most modern laboratories for carrying out sampling and analysis for exports. Surveillance of recognized laboratories Slide 50 Strengthening and surveillance of testing laboratories certification agencies Implementation of residue monitoring plans Quality Slide 51 Financial Assistance Schemes of APEDA Slide 52 Financial Assistance Schemes APEDA Plan Scheme approved by CCEA in November 2013 : Outlay Rs. 1100 Cr. Components : Infrastructure Development Quality Development Market Development Transport Assistance Guidelines approval awaited from DOC Slide 53 Export units assisted for: Packing and grading lines Intermediate sheds Pre-cooling units High humidity cold storages Refrigerated transport units Effluent Treatment Plants Cable Cars (for Banana etc.) Infrastructure Development Slide 54 Infrastructure For Common Use Packhouses (30) Centres for Perishable Cargo (12) Vapour Heat Treatment Plants (4) Irradiation Units (2) Flower Auction Centres (3) Processing Units (3) Slide 55 Quality Development Grading and Marking Standards for fruits and vegetables (51) Recognition of laboratories for export testing (29), Two National Referral Labs Recognition of Meat Plants - Integrated abattoirs-cum-meat processing plants (41) - Stand alone abattoirs (9) - Meat processing plants (44) Recognition of Packhouses (141) Recognition of Groundnut Processing Units (40) Slide 56 Market Development Participation in International Trade Fairs and other promotional events Efforts for Market Access - Mango in Australia, New Zealand, Chile - Basmati Rice in Mexico, China - Litchi and Fresh Grapes in Chile - Meat in South Africa, Russia, Kazakhstan, Belarus and Hong Kong Slide 57 Thank you for your kind attention