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0 New Agriculture for a New Generation: Recharging Greek Youth to Revitalize the Agriculture and Food Sector of the Greek Economy Medicinal & Aromatic Plants Coordinator: Dr. Christos Vasilikiotis, Assistant Professor Project Leader: Dr. Ilias Kalfas, Researcher Team members: Dr. Eleni Topalidou, Lecturer & Researcher Michalis Genitsariotis, Adjuct Lecturer & Researcher Konstantinos Zoukidis, Adjuct Lecturer & Researcher
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New Agriculture for a New Generation: Recharging Greek Youth to Revitalize the Agriculture and Food Sector of the Greek
Economy
Medicinal & Aromatic Plants
Coordinator: Dr. Christos Vasilikiotis, Assistant Professor
Project Leader: Dr. Ilias Kalfas, Researcher
Team members: Dr. Eleni Topalidou, Lecturer & Researcher Michalis Genitsariotis, Adjuct Lecturer & Researcher Konstantinos Zoukidis, Adjuct Lecturer & Researcher
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FinalReport
SectoralStudyNo6
Medicinal&AromaticPlants
Thessaloniki, December 2015
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Executive Summary
Greece is experiencing the consequences of the hardest financial crisis of its history. As a
result there is deep recession, companies are out of business and many people especially
young ones are unemployed. In the past five years more than 200,000 young Greeks have
migrated to other countries in order to find a job. The vast majority of them have university
degrees, MSc or PhD, speak foreign languages and are skilled users of information
technologies. In other words the most competent part of the population chose to leave the
country and escape the dead-end of unemployment. The current project’s aim is to investigate
if the medicinal and aromatic plants (MAPs) sector could be an answer for recharging youth,
and what should be done in order to enforce sustainability of the sector and reverse this
negative trend.
Medicinal and aromatic plants comprise a very special group of flora with an extensive range
of uses. They have been used since ancient times for health reasons, such as disease recovery
and wound healing. They are special ingredients adding excellent taste to foodstuff while
they are the basic material for perfumes and cosmetics. Although they were used for
millennia MAPs have just recently started to be systematically cultivated. Packaging
facilitates are found all over the country while distilleries are located in the northern part of
Greece. There are a few companies that make exports of high added value products and
certainly there is room for more.
The Global market for medicinal and aromatic plants is very large showing a constant upward
trend. Greece has been blessed with having many indigenous MAPs and many biotypes have
been evolved through millennia becaue of the diversity of microclimates. Furthermore
topography of the country and variety in terms of different environmental conditions
prevailing in several areas, render MAPs as one of the best choices, that can produce
excellent crop in marginal land without being demanding crops. SWOT analysis was
conducted for MAPs sector which revealed the fact that this sector is valuable and with
appropriate choices can recharge youth. It has been shown that there is a great potential for
MAPs sector in Greece which can create new jobs, not only farm relevant ones but industrial,
scientific, jobs in sales and marketing, tourism and new technologies. However if this
potential will finally be transformed into capacity it depends on those who will be involved
and will manage it.
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Η Ελλάδα βιώνει τις συνέπειες της σκληρότερης οικονοµικής κρίσης της νεότερης ιστορίας
της. Αποτέλεσµα αυτή είναι η βαθιά ύφεση, µε εταιρίες να κλείνουν και ανθρώπους να
µένουν άνεργοι ειδικά νέους. Τα τελευταία πέντε χρόνια περισσότεροι από 200.000 νέοι
Έλληνες έχουν µεταναστεύσει σε άλλες χώρες για να εργαστούν. Η συντριπτική πλειοψηφία
τους διαθέτει πανεπιστηµιακά πτυχία, µεταπτυχιακά ή και διδακτορικά, µιλάει ξένες γλώσσες
και είναι ικανοί και έµπειροι χρήστες υπολογιστών. Με άλλα λόγια το πιο καταρτισµένο και
ανταγωνιστικό τµήµα του πληθυσµού επιλέγει να εγκαταλείψει τη χώρα και µαζί της το
αδιέξοδο της ανεργίας. Το παρόν έργο σκοπεύει να διερευνήσει αν ο κλάδος των
αρωµατικών και φαρµακευτικών φυτών αποτελεί την απάντηση στην αναζωογόνηση της
νεολαίας και αν ναι τι θα έπρεπε να γίνει προς αυτή την κατεύθυνση.
Τα αρωµατικά και φαρµακευτικά φυτά αποτελούν µία πολύ ξεχωριστή οµάδα µε µεγάλο
εύρος εφαρµογών. Χρησιµοποιήθηκαν από την αρχαιότητα για λόγους υγείας όπως η
ανάρρωση από ασθένειες ή η περιποίηση πληγών. Αποτελούν εξαιρετικά συστατικά
τροφίµων που προσδίδουν την ιδιαίτερη γεύση τους (καρυκεύµατα), ενώ είναι πολύτιµα
συστατικά καλλυντικών και αρωµάτων. Αν και χρησιµοποιούνται για χιλιετίες µόλις
πρόσφατα άρχισε στη χώρα µας η συστηµατική τους καλλιέργεια. Συσκευαστήρια
αποξηραµένων αρωµατικών φυτών βρίσκονται διασκορπισµένα σε όλη τη χώρα, ενώ τα
αποστακτήρια αιθέριων ελαίων είναι συγκεντρωµένα στη Β. Ελλάδα. Υπάρχουν εταιρίες που
πετυχαίνουν αξιόλογες εξαγωγές αλλά σίγουρα υπάρχει χώρος για περισσότερες.
Η παγκόσµια αγορά των αρωµατικών και φαρµακευτικών φυτών είναι πολύ µεγάλη µε
σταθερά ανοδικές τάσεις. Η Ελλάδα ευτύχησε να φιλοξενεί πολλά αυτοφυή είδη και πολλούς
βιότυπους αυτών που εξελίχθηκαν διαµέσου των αιώνων εξαιτίας του ιδιαίτερου
µικροκλίµατος της κάθε περιοχής. Επιπλέον το ανάγλυφο και η ποικιλοµορφία καιρικών
συνθηκών που επικρατούν, καθιστούν τα αρωµατικά φυτά ως µία από τις καλύτερες επιλογές
καλλιέργειας που δύναται να παράγει προϊόντα εξαιρετικής ποιότητας σε γη χαµηλής αξίας
χωρίς ιδιαίτερες απαιτήσεις. Η ανάλυση SWOT που διενεργήθηκε για τον κλάδο
επιβεβαίωσε τη µεγάλη του αξία αλλά και τις προοπτικές που έχει ιδιαίτερα για την
απασχόληση των νέων. Έχει µεγάλες δυνατότητες και µπορεί να συµβάλλει στη δηµιουργία
θέσεων εργασίας όχι µόνο στον γεωργικό κλάδο αλλά στον βιοµηχανικό, τον επιστηµονικό,
τον κλάδο των πωλήσεων του τουρισµού των νέων τεχνολογιών κλπ. Το αν αυτές οι
δυνατότητες αξιοποιηθούν πραγµατικά και µετατραπούν σε προστιθέµενη αξία του κλάδου,
επαφίεται σε όσους εµπλακούν και χειριστούν τα επιµέρους ζητήµατα.
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TableofContentsExecutiveSummary...............................................................................................................................2
ListofAbbreviations..............................................................................................................................6
ListofTables..........................................................................................................................................7
ListofFigures.........................................................................................................................................8
1. Introduction.................................................................................................................................11
1.1AgriculturalsectorinGreece.....................................................................................................11
1.2Financialcrisisandruraldevelopment......................................................................................20
1.3Medicinal&AromaticPlants-Anewoldstory.........................................................................25
2. Methodology................................................................................................................................26
2.1MAPsinGreece.........................................................................................................................28
2.2CultivationofMAPs...................................................................................................................34
2.3.Potentialforexpansion.............................................................................................................38
2.4TechnicalsystemicapproachtoIntegratedCropManagement................................................41
2.5Post-harvesttreatmentofMAPs...............................................................................................50
2.6UsesofMAPs.............................................................................................................................52
3. Medicinal&AromaticPlantsinGreece........................................................................................54
3.1Currentsituationinfarming......................................................................................................54
3.2CurrentsituationinprocessingofMAPsbydomesticindustries..............................................58
3.3StakeholderBriefdescription....................................................................................................59
4. MarketAnalysis............................................................................................................................62
4.1Domesticmarket.......................................................................................................................62
4.2GlobalMarkets..........................................................................................................................71
4.3Import-exportsanalysis.............................................................................................................76
5. TheGreekExperienceandmoderntimes..................................................................................122
5.1Moderntimes..........................................................................................................................122
5.2MajorProblemsfacedbygrowers...........................................................................................126
5.3CriticalSuccessFactors............................................................................................................130
5.4Identificationoftrainingneedsofnewfarmers......................................................................132
6. FutureProspects........................................................................................................................134
6.1SWOTanalysis..........................................................................................................................134
6.2Accesstomarkets....................................................................................................................152
6.3Synergieswithothersectors...................................................................................................155
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7. Indicativebusinessplan.............................................................................................................158
8. Conclusions................................................................................................................................159
9. RecommendationforconsiderationintheimplementationPhase...........................................161
9.1 MAPPrimarySectorProposalsforPhaseII..........................................................................161
References.........................................................................................................................................164
AppendixI:Profilesofinterviewedfarmsandcompanies................................................................168
AppendixII-EconomicanalysisoftheAromaticplantssector.........................................................201
Fertilizationcostperacre..............................................................................................................201
Pesticidecostperhectare.............................................................................................................202
Laborcostpertimeunitperhectare.............................................................................................202
Reproductivematerialcostperhectare........................................................................................203
Suppliescostperhectare..............................................................................................................203
Othercosts....................................................................................................................................203
Familylaborpertimeunitperhectare..........................................................................................204
Equipmentcostperyear...............................................................................................................205
Insuranceinterestandmaintenancecostperyear.......................................................................205
Procedureofdatacollection.........................................................................................................206
AppendixIII-GENERALGUIDELINESFORGOODAGRICULTURALPRACTICESONSPICES&CULINARY
HERBS................................................................................................................................................208
AppendixIVESA-QualityMinimaDocument...................................................................................209
AppendixVStandardsandprojectsunderthedirectresponsibilityofISO/TC34/SC7Secretariat.210
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List of Abbreviations
AESGP: Association of the European Self Medication Industries
BRC: British Retail Consortium
CCSCH: Codex Committee on Spices and Culinary Herbs
CHPA: Consumer Healthcare Products Association
EFSA: European Food Safety Authority
ELSTAT: Hellenic Statistical Authority
ESA: European Spice Association
EUROPAM: European Herb Growers Association
EUROSTAT: European Statistical Authority
FAOSTAT: Statistical service of Food and Agriculture Organization of United Nations
IFS: International Food Standard
IOSTA International Organization of Spice Trade Association
ISO: International Standardization Organization
JAS: Japanese Agricultural Organic Standard
MAPs: Medicinal and Aromatic Plants
MINAGRIC Ministry of Rural Development and Food (Ministry of Agriculture)
NOP: National Organic Program (USDA)
OECD: Organization for Economic Cooperation and Development
OPEKEPE: Greek Payment Authority of Common Agricultural Policy
OTC: Over-the-counter medicines (do not need a doctor’s prescription)
UN COMTRADE: Trade database of United Nations
WHO: World Health Organization
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List of Tables
Table 1 Areas under cultivation in Greece total during 2010 – 2012 in thousand stremmas. The type of cultivated crops is also presented. ( ELSTAT, 2012 Annual Agricultural Statistical Survey)............13Table 2 Importance of rural areas. Source European Commission, Agriculture in the EU, Statistical and Economic Information, Report 2013, December 2013.................................................................15Table 3 Production of agricultural products. Greece total, 2010 – 2012 in thousand tones. (ELSTAT, 2012 Annual Agricultural Statistical Survey)......................................................................................16Table 4 Unemployment rates (%) for males and females as estimated in August of 2015. (ELSTAT 2015)....................................................................................................................................................18Table 5 Unemployment rates according to the different age groups during the period 2010-2015. (ELSTAT, 2015)..................................................................................................................................18Table 6 Farm Labor Force in the Greece, in persons. Source Eurostat, FSS (online data codes:ef_Iflegaa, ef_Iflegecs, ef_kvage).............................................................................................19Table 7 Structure of Agricultural holdings in Greece. Source Eurostat, Farm Structure Survey and Agricultural Census. Updated: October 2013......................................................................................20Table 8 Employment in Agriculture in Greece. Source Eurostat (2015), Labor Force Survey (LFS).20Table 9 Total number of farms that produce MAPs in Greece (ELSTAT, 2015)................................28Table 10 Number of producers and mean area per cultivated MAP and producer (OPEKEPE, 2015)30Table 11 Spatial abundance of cultivated MAPs in Greece.................................................................31Table 12 Distribution of MAPs cultivated area in Greece...................................................................33Table 13 Cultivated MAP species per geographic area as declared in official registry (period 2015) 38Table 14 Geographic areas that a MAP species is cultivated as they were declared in official registry (period 2015).......................................................................................................................................39Table 15 Locations of main lavender cultivated areas.........................................................................40Table 16 Cultivated MAPs in Greece period 2011-2015 (Area in Hectares)......................................55Table 17 Household consumption of imported and native herbal tea in Greek Regions.....................62Table 18 Household consumption of food seasoning from dry MAPs in Greek Regions...................67Table 19 Production and sales of oregano in Greece (period 2010-2013)...........................................70Table 20 Main EU markets for health ingredients and their characteristics (Modified from CBI, 2015a)................................................................................................................................................113Table 21 ESA List of Culinary Herbs and Spices..............................................................................119Table 22 Comparison of prices of the same MAP in European market for organic and conventional products (Table modified from CBI, 2010).......................................................................................121
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List of Figures
Figure 1 Evolution of Gross Value Added in Greek Agriculture in relation to the Intermediate Consumption throughout the period 2005-2015. (Tsiforos, 2015)......................................................14Figure 2 Input cost breakdown for the Greek agricultural sector during the period 2009-2013. (Tsiforos, 2015)...................................................................................................................................22Figure 3 Evolution of agricultural income (values at current, basic prices). (Tsiforos 2015)..............22Figure 4 Questionnaire mapping in Greece.........................................................................................26Figure 5 Questionnaire mapping per group of crops...........................................................................27Figure 6 Preliminary works from idea to preparation for cultivation installation................................41Figure 7 Preparation for cultivation installation..................................................................................43Figure 8 Integrated Crop Management flowchart................................................................................46Figure 9 Post-harvest handling flow chart for MAPs..........................................................................48Figure 10 Sales and distribution flow chart for MAPs........................................................................49Figure 11 Total utilized area for MAP production in Greece..............................................................54Figure 12 Area cultivated with Oregano, Lavender, Anise, Saffron, Mountain tea.............................56Figure 13 Area cultivated with Mustard, Lemon balm, Chamomile, Sage, Thyme.............................56Figure 14 Area cultivated with Rosemary, Peppermint, Spearmint, St. John wort, Coriander............56Figure 15 Area cultivated with California bluebell, Lemon verbena, Fennel, Basil, Dittany..............57Figure 16 Area cultivated with Marjoram, Critama, Ghee, Wild mint, Nettle.....................................57Figure 17 Area cultivated with Cardamom, Hyssop, Licorice, Cumin, Curry, Clary sage, Jasmin.....57Figure 18 Flow diagram of MAPs from production to consumers where main stakeholders are presented..............................................................................................................................................61Figure 19 Total expenses per household for tea (imported και domestic)...........................................63Figure 20 Yearly tea market size per region for household consumption............................................64Figure 21 Yearly imported (left) and domestic (right) tea market size per region...............................65Figure 22 Percentage of the total consumption of tea per region.........................................................66Figure 23 Average yearly expenses per household for food seasoning...............................................67Figure 24 Percentage of consumption and total market size (in euros) for seasoning in households in Greek regions.......................................................................................................................................69Figure 25 World market for spices and herbs, year 2009. (Modified from RTS resource, 2011)........71Figure 26 Top five tea producer countries...........................................................................................72Figure 27 Tea producer countries top five yields................................................................................72Figure 28 Top five spice producer countries.......................................................................................72Figure 29 Spice producer countries top five yields..............................................................................73Figure 30 Top five ginger producer countries.....................................................................................73Figure 31 Ginger producer countries top five yields...........................................................................73Figure 32 Top five nutmeg, mace and cardamom producer countries.................................................74Figure 33 Nutmeg, mace and cardamom producer countries top five yields.......................................74Figure 34 Top five cloves producer countries.....................................................................................74Figure 35 Cloves producer countries top five yields...........................................................................75Figure 36 Top five anise, badian, fennel, coriander producer countries..............................................75Figure 37 Anise, badian, fennel and coriander producer countries top five yields..............................75Figure 38 Imports of tea in Greece......................................................................................................76Figure 39 Exports of tea from Greece.................................................................................................76Figure 40 Price of imported and exported tea......................................................................................76Figure 41 Tea imports exports balance in Euros.................................................................................77
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Figure 42 Tea imports exports balance in Kg......................................................................................77Figure 43 Imports of pepper in Greece................................................................................................78Figure 44 Exports of pepper from Greece...........................................................................................78Figure 45 Price of imported and exported pepper................................................................................78Figure 46 Pepper Imports Exports balance in euros............................................................................79Figure 47 Pepper Import Export balance in Kg...................................................................................79Figure 48 Imports of Mate in Greece...................................................................................................80Figure 49 Exports of Mate from Greece..............................................................................................80Figure 50 Price of Imported and Exported Mate................................................................................80Figure 51 Mate Imports Exports balance in euros...............................................................................81Figure 52 Mate Imports Exports balance in Kg...................................................................................81Figure 53 Imports of saffron in Greece...............................................................................................82Figure 54 Exports of saffron from Greece...........................................................................................82Figure 55 Price of imported and exported saffron...............................................................................82Figure 56 Saffron imports exports and balance in euros......................................................................83Figure 57 Saffron imports exports and balance in Kg.........................................................................83Figure 58 Imports of anise, fennel, coriander cumin, caraway and cedrus in Greece..........................84Figure 59 Exports of anise, fennel, coriander cumin, caraway and cedrus from Greece.....................84Figure 60 Price of imported and exported anise, fennel, coriander cumin, caraway and cedrus.........84Figure 61 Anise, fennel, coriander cumin, caraway and cedrus imports exports and balance in euros85Figure 62 Anise, fennel, coriander cumin, caraway and cedrus imports exports and balance in Kg...85Figure 63 Imports of nutmeg, amomum and garden cress in Greece..................................................86Figure 64 Exports of nutmeg, amomum and garden cress from Greece..............................................86Figure 65 Price of imported and exported nutmeg, amomum and garden cress.................................86Figure 66 Nutmeg, amomum and garden cress imports exports and balance in euros.......................87Figure 67 Nutmeg, amomum and garden cress imports exports and balance in Kg............................87Figure 68 Imports of cloves in Greece.................................................................................................88Figure 69 Exports of cloves from Greece............................................................................................88Figure 70 Price of imported and exported cloves................................................................................88Figure 71 Cloves imports exports and balance in euros......................................................................89Figure 72 Cloves imports exports and balance in Kg..........................................................................89Figure 73 Imports of cinnamon in Greece...........................................................................................90Figure 74 Exports of cinnamon from Greece......................................................................................90Figure 75 Price of imported and exported cinnamon...........................................................................90Figure 76 Cinnamon imports exports and balance in euros.................................................................91Figure 77 Cinnamon imports exports and balance in Kg.....................................................................91Figure 78 Imports of curcuma in Greece.............................................................................................92Figure 79 Exports of curcuma from Greece........................................................................................92Figure 80 Price of imported and exported curcuma.............................................................................92Figure 81 Curcuma imports exports and balance in euros...................................................................93Figure 82 Curcuma imports exports and balance in Kg.......................................................................93Figure 83 Imports of ginger in Greece.................................................................................................94Figure 84 Exports of ginger from Greece............................................................................................94Figure 85 Price of imported and exported ginger................................................................................94Figure 86 Ginger imports exports and balance in euros......................................................................95Figure 87 Ginger imports exports and balance in Kg..........................................................................95Figure 88 Imports of thyme in Greece.................................................................................................96Figure 89 Exports of thyme from Greece............................................................................................96
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Figure 90 Price of imported and exported thyme................................................................................96Figure 91 Thyme imports exports and balance in euros......................................................................97Figure 92 Thyme imports exports and balance in Kg..........................................................................97Figure 93 Imports of laurel leaves in Greece.......................................................................................98Figure 94 Exports of laurel leaves from Greece..................................................................................98Figure 95 Prices of imported and exported laurel leaves.....................................................................98Figure 96 Laurel leaves imports exports and balance in euros............................................................99Figure 97 Laurel leaves imports exports and balance in Kg................................................................99Figure 98 Imports of curry in Greece................................................................................................100Figure 99 Exports of curry from Greece............................................................................................100Figure 100 Prices of imported and exported curry............................................................................100Figure 101 Curry imports exports and balance in euros....................................................................101Figure 102 Curry imports exports and balance in Kg........................................................................101Figure 103 Imports of essential oils in Greece from non EU countries.............................................102Figure 104 Imports of essential oils in Greece from EU countries....................................................102Figure 105 Exports of essential oils from Greece to non EU countries.............................................103Figure 106 Exports of essential oils from Greece to EU countries....................................................103Figure 107 Essential oils mean price.................................................................................................103Figure 108 World imports and exports of essential oils....................................................................104Figure 109 Comparison between Greek and world essential oils mean price....................................104Figure 110 Top ten essential oils importers in 2014 in US$..............................................................105Figure 111 Top ten essential oils importers in 2014 in net weight (Kg)............................................105Figure 112 Top ten essential oils exporters in 2014 in US$..............................................................106Figure 113 Top ten essential oils exporters in 2014 in net weight (Kg)............................................106Figure 114 World imports and exports of spices in Kg and UD$......................................................107Figure 115 Comparison between Greek and world spice mean price................................................107Figure 116 Top ten spice importer countries in US$.........................................................................108Figure 117 Top ten spice importer countries in net weight (Kg).......................................................108Figure 118 Top ten spice exporter countries in US$.........................................................................109Figure 119 Top ten spice exporter countries in net weight (Kg).......................................................109Figure 120 World imports and exports of tea in UD$ and Kg...........................................................110Figure 121 Comparison between Greek and world tea mean price...................................................110Figure 122 Top ten tea importer countries in US$.............................................................................111Figure 123 Top ten tea importer countries in net weight (Kg)..........................................................111Figure 124 Top ten tea exporter countries in US$.............................................................................112Figure 125 Top ten tea exporter countries in net weight (Kg)...........................................................112Figure 126 Evolution of OTC medicine market in US$....................................................................114Figure 127 European market for self-medication products, 2011-2013, in € billions.......................114Figure 128 Comparison of development rates for OTC and pharmaceutical products. Source AESGP Annual report 2014-2015...................................................................................................................115Figure 129 Leading suppliers of European imports of MAPs 2010-2014, in 1000 tones..................115Figure 130 Leading European importers of MAPs 2010-2014, in 1000 tones..................................116Figure 131 Leading suppliers of European imports of extracts, 2010-2014, in 1,000 tons...............116Figure 132 Leading European importers of extracts, 2010-2014, in 1,000 tonnes............................117Figure133LeadingsuppliersofEuropeanimportsofextracts,2010-2014,in1,000tonnes...........117Figure 134 Destinations of European exports of MAPs, 2010-2014, in 1,000 tons...........................117Figure 135 Destinations of European exports of extracts, 2010-2014, in 1,000 tons........................118Figure 136 Tea market value for several types of tea........................................................................121
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1. Introduction
1.1 Agricultural sector in Greece
(Generalanalysisofthesector,contributiontoGDP,employmentdata)
General information and Economic characteristics
Greece belongs to the Mediterranean basin and is divided into several geographical regions
(Macedonia, Thrace, Epirus, Thessaly, Central Greece and Evia, Peloponnese, Ionian islands,
Aegean islands – including Cyclades, Sporades, Dodecanese and Crete). The landscape is
quite complex, characterized by different elements: sea, mountainous areas, river and coastal
plains, interior valleys and basins. The largest plains are formed in Macedonia and Thrace
and the second largest lowland area is found in Thessaly. The climate is characterized as
temperate and mild, with hot, dry summers and mild, rainy winters. Snowfall is also common
during winters in northern and north-western mountainous areas (Galanopoulos and Mattas,
2006). The different range of the landscapes and the differentiation in the climate among the
different compartments of the country allow the creation of a wide variety of micro-climates
and production conditions for many and diverse agricultural products.
The total area of Greece is estimated at 131,957 Km2, (European Commission, 2014) out of
which 35,600.0 thousand stremmas (in 2012) are used in agriculture (ELSTAT, 2015). From
2010 to 2011 the utilized agricultural area was decreased by 2.9%, whereas from 2011 to
2012 was decreased by 0.2% (Table 1) (ELSTAT, 2015). In 2012, the utilization of the
cultivated land/area was distributed as follows: 54.6% for arable farming, 2.8% for
vegetables, 32.0% for permanent crops and 10.6% was fallow land (Table 1). In 2012 about
the agricultural holdings of small or medium average size (5.8 hectares) were estimated at
717.000 (Tsiforos, 2015). Although, the physical context and the climate are ideal for the
development of agriculture, the sector is significantly limited by the fragmentation of the
agricultural land and the aging of the agricultural population, especially in the rural areas
(Paseges, 2011, European Commission, 2013a) (Table 2).
The primary sector in Greece is a fundamental component of the national economy and
especially for rural areas, which represent more than 80% of the territory in Greece (Rural
12
regions = 82%, Intermediate = 12.1% and Urban = 5.7%) (European Commission, 2013)
(Table 2).
The contribution of the primary sector to the Gross Value Added (GVA) declined
considerably within the last 20 years; it was 8.8% in 1995, 6.1% in 2000 and 4.3% in 2014
(Piraeus Bank, 2015). Nevertheless, the agricultural sector occupies an important position in
the economy of the country and in 2012 contributed 2.8% of the Gross Domestic Product
(GDP) (Tsiforos, 2015), whereas in 2014 the Gross Value Added of agricultural sector
contributed 3.3% to the Gross Domestic Product (GDP) (Piraeus, 2015) and was estimated at
10.6 billion euros with crop output (€6.9 billion), animal output (€2.6 billion), the value of
secondary services (€349 million) and secondary activities (€698 million) included (Tsiforos
2015). The GVA of the country at basic prices stands at the 5.5 billion euros and corresponds
to approximately 5.2% out of the total economy. This ratio, although not high enough, is
more than the double the average in the EU-27 (2.5%) (Tsiforos, 2015).
The implementation of the Common Agricultural Policy (CAP) of Europe in Greece during
the last decades had a large impact on the agricultural structure and the economy of the
country. Implementation of CAP encountered opposition due to certain particularities of the
Greek agricultural sector (Hellenic Ministry for the Environment, Physical Planning and
Public Works, 2008). Due to the continuous reforms the sector was limited, traditional Greek
cultures (eg. legumes, forage crops) were abounded and replaced by crops under subsidy
programs, the competitiveness and the farm income were reduced, whereas the need for hired
labor was increased (Kaditi, 2013). However, the new CAP aimed to more efficient and more
sustainable management of the agricultural land, the adaptation of environmentally friendly
agricultural practices and the results are already satisfactory under the Operational Programs
“Agricultural Development and Reform of the country-side,2000-2006” and “National
Strategic Plan for Agricultural Development, 2017-2013” (Hellenic Ministry for the
Environment, Physical Planning and Public Works, 2008).
During the period 2005-2014, the Gross Value Added declined considerably (about 32%). In
the same period the intermediate consumption (which makes up most of the input costs in
agricultural production) increased at about 20.4% (was 4.5 billion in 2005 and 5.4 billion
euros in 2014). Since the beginning of the recession, the input costs increased at about 14.7%
(Fig. 1) (Tsiforos 2015).
13
Table 1 Areas under cultivation in Greece total during 2010 – 2012 in thousand stremmas. The type of cultivated crops is also presented. ( ELSTAT, 2012 Annual Agricultural Statistical Survey).
Croptype 2010 2011 2012 2011/2010 2012/2011Totalcultivatedagriculturalland 36,709.3 35,666.2 35,600.0 -2.9 -0.2
Irrigated 13,718.0 13,844.8 13,860.6 0.9 0.1
1.Arableland 19,619.2 19,478.3 19,441.6 -0.7 -0.2
Irrigated 8,368.08,536.8 8,499.6 2.0 -0.4
2.Cropsundervegetables(netarea)
1,041.31,004.6 985,7 -3,5 -1,9
Irrigated 1,014.7 980,4 962,1 -3,4 -1,9
3.Permanentcrops2
11,373.711,374.8 11,384.8 0.0 0.1
Irrigated 4,335.3 4,327.6 4,346.8 -0.2 0.4
4.Fallowland 4,675.1 3,808.5 3,787.9 -18.5 -0.5
1.Arable land
1.1Cerealsforgrain 11,576.311,161.0 11,251.4 -3.6 0.8
Commonwheat 1,553.0 1,563.3 1,724.4 0.7 10.3
Durumwheat 5,821.8 5,315.0 5,165.5 -8.7 -2.8
Barley 1,207.6 1,211.7 1,279.5 0.3 5.6
Rice 300.5 309.1 307.9 2.9 -0.4
Maize 2,059.8 2,140.4 2,129.0 3.9 -0.5
Othercereals 633.6 621.4 645.0 -1.9 3.8
1.2Ediblepulses 193.8203.3 206.7 4.9 1.7
Beans 96.2 97.8 98.1 1.7 0.3
Chickpeas 29.5 30,.9 33.2 4.8 7.4
Lentils 41.1 46,.5 49.1 13.1 5.6
Otherediblepulses 27.0 28.1 26.3 4.1 -6.4
1.3IndustrialPlants 3,765.8 4,092.9 3,905.6 8.7 -4.6
Tobacco 160.4 158.9 164.0 -0.9 3.2
Cotton 2,769.2 2,975.1 2.914.7 7.4 -2.0
Sunflower 534.8 691.4 613.8 29.3 -11.2
Groundnuts 5.6 5.6 6.7 0.0 19.6
Sugarbeets 156.0 96.1 111.3 -38.4 15.8
Oilseedrape … ….. 76.2 … …..
Otherindustrialplants 139,7 165.8 18.9 18.7 -88.6
1.4Aromaticplants 23.1 19.3 18.1 -16.5 -6.2
1.5Fodderplants 3,584.9 3,548.6 3,599.0 -1.0 1.4
1.6Melonsandwatermelons 257.5
252.2 235.7 -2.1 -6.5
Watermelons 168.2 167.1 157.6 -0.7 -5.7
Melons 89.2 85.1 78.1 -4.6 -8.2
1.7Potatoes 448.0 448.1 441.4 0.0 -1.5
2.Cropsundervegetables2.1Vegetablecrops
1,105.0 1,069.7 1,050.5 -3.2 -1.8
Τomatoes 317.8 280.5 275.0 -11.7 -2.0
Industrialtomatoes 138.3 105.8 101.3 -23.5 -4.3
Tomatoesgrownintheopen
144.7 140.6 140.8 -2.8 0.1
14
Croptype 2010 2011 2012 2011/2010 2012/2011Tomatoesgrowningreenhouses
34.8 34.1 32.9 -1.9 -3.5
Greenbeans 74.0 73.9 72.1 -0.1 -2.4
Cabbages–cauliflowers 118.7 116.8 114.8 -1.6 -1.7Lettuce 55.0 55.4 56.1 0.8 1.3
Othervegetables 539.5 543.1 532.5 0.7 -2.0
2.2Marketflowergardens 7.0 7.1 6.5 1.2 -8.5
11stremma=1,000m2or0.1ha2Areasundernurseriesarenotincludedduetotheirsmallcontributiontothetotalofthecultivatedarea3Alsoincludedgreenhouseswithvegetablesandflowers.Vegetablesincludetomatoes,cucumbers,etc.Note: Any discrepancies in the sums are due to rounding.
Percentage changes were calculated before rounding.
Figure 1 Evolution of Gross Value Added in Greek Agriculture in relation to the Intermediate Consumption throughout the period 2005-2015. (Tsiforos, 2015)
15
Table 2 Importance of rural areas. Source European Commission, Agriculture in the EU, Statistical and Economic Information, Report 2013, December 2013
Territory(%) Population(%) Employment(%) GVA(%)
2010
Rural 82 42.8 41.4 34.2
Intermediate 12.1 10.6 10.2 8.8
Urban 5.7 46.7 48.4 56.9
Agestructurebytypologyofregions
2012
%0-14y.o %15-64y.o %65+y.o.
Rural 14.0 64.2 21.8
Intermediate 15.2 66.0 18.8
Urban 14.5 67.5 18.0
The agricultural sector plays a pivotal role in the food and beverage industry, because it is the
most important supplier for processing, consisting of 21.2% of the enterprises, people
employed at 25.2% and the Gross Value Added at 25.2% among all the sectors of the
processing branches for 2012 (Tsiforos, 2015).
Crop production in Greece dominates the agricultural sector and in terms of the total
agricultural production remains more important than livestock as indicated by the following
numbers during the period 2012-2014: 19% vegetables, 18.5% fruits, 14.5% livestock, 14%
livestock products (e.g. milk, eggs etc), 15% cereals and 8% olive oil (Piraeus Bank, 2015).
During the past few years, significant changes were observed in terms of volume production
of agricultural products (durum wheat, grain maize, cotton, sugar beets, potatoes, fruits etc)
by groups and species of products as presented in Table 3 (ELSTAT, 2015). The agricultural
sector is one of the key contributors to the country’s external balance and remains stable and
dynamic even during the period of economic recession. Agricultural products comprise 19%
of total exports (Piraeus Bank, 2015) and represent a value close to 5 billion euros. In recent
years the main exported products (olives and virgin olive oil, dairy products, fruits such as
apricots, cherries, cotton etc) are highly ranked in terms of quality, which makes them more
16
competitive (Piraeus Bank 2015, Tsiforos, 2015). On the other hand, the imported
agricultural products (including food and beverages) cover 12.9% out of the total imports
resulting in a negative trade balance, estimated at approximately 1.6 billion euros in 2013
(Tsiforos, 2015).
Employment Data
The unemployment rate in Greece, estimated at 24.6% in August 2015, was slightly reduced
since August 2014 (26.2%) (ELSTAT, 2015) but it is still the highest rate among the EU
countries, followed by Spain (22.2%) (Eurostat, 2015a). The total number of employed
people in August 2015 was estimated at 3.614.192 people, the unemployed at 1.180.001 and
economically inactive population was estimated at 3.286.686 people. In regards to the two
genders, unemployment is higher in women than in men, estimated at 28.5% in August 2015
(Table 4) (ELSTAT, 2015). At the same time unemployment rate in youth (young persons
under 25) was estimated at 47.9% and was again the highest among the EU countries
(Eurostat 2015). Unemployment rate is also high (31.3%) in the age group of 25-34 years old
(Table 5) (ELSTAT 2015). Moreover, according to the Organization for Economic
Cooperation and Development (OECD) 27% of youth (aged 15-29 years old) was neither in
employment nor in training (OECD 2015).
Table 3 Production of agricultural products. Greece total, 2010 – 2012 in thousand tones. (ELSTAT, 2012 Annual Agricultural Statistical Survey).
Change(%)
Croptype 2010 2011 2012 2011/20102012/2011
Arableland
1.1Cerealsforgrain
Commonwheat 415.8 441.5 463.1 6.2 4,9
Durumwheat 1,504.5 1,416.0 1,373.9 -5.9 -3,0
Barley 311.1 319.0 336.3 2.5 5,4
Rice 208.2 250.7 230.7 20.4 -8,0
Maize 2,138.5 2,291.8 2,226.2 7.2 -2,9
17
Change(%)
Croptype 2010 2011 2012 2011/20102012/2011
1.2Ediblepulses
Beans 20.2
22,7
18.2
12.6
-19.8Chickpeas 3.4 3.7 3.9 9,4 5.2
Lentils 4.0 4.8 6.5 19,6 35.5
1.3Industrialplants
Tobacco 29.9
32.0
34.2
7.2
6.9Cotton 710.5 814.5 795.5 14.6 -2.3
Sunflower 116.0 147.7 137.6 27.3 -6.8
Groundnuts 1.9 2.0 2.5 4.6 24.0
Sugarbeets 889.4 581.5 647.8 -34.6 11.4
Oilseedrape ….. ….. 14.1 …… …...
1.4 FodderFodderplants 2,490.2
1.5 Melonsandwater
2,457.6 2,522.7 -1.3 2.6
1.5melons
Watermelons 643.1
639.2
599.6
-0.6
-6.3Melons 185.4 176.6 170.9 -4.7 -3.3
1.6Potatoes 926.7 905.9 882.8 -2.2 -2.5
2.Vegetables
Τomatoes 1,475.7
1,294.6
1,234.3
-12.3
-4.7Industrialtomatoes 811.8 643.9 617.0 -20.7 -4.2Tomatoesgrownintheopen405.0 400.3 396.4-1.2-1.0
Tomatoesgrowningreenhouses259.0250.4220.8-3.3-11.8
Greenbeans 69.9 68.3 66.3 -2.3 -2.9
Cabbages-cauliflowers 223.7 230.1 224.7 2.9 -2.3
Lettuce 82.6 83.7 80.1 1.3 -4.33. Permanentcrops
3.1Vineyards:grapesandraisins
Wine 545.3 512.3 526.1 -6,1 2.7 Table grapes 174.9 147.5 139.4 -15.7 -5.3
Vines for currants 179.2 173.2 184.2 -3.3 6.3
Must 339.1 327.1 337.3 -3.5 3.1 3.2 Compact plantations
3.2.1 Citrus trees
Lemon trees 79.5
80.0
80.7
0.6
0.9 Orange trees 905.1 847.3 849.6 -6.4 0.3
Mandarin trees 137.1 144.3 160.5 5.3 11.2
3.2.2 Fruit trees
Pear trees 76.5
90.3
87.7
18.0
-2.9 Apples trees 273.8 274.1 265.8 0.1 -3.0
Peach - Nectarine trees 822.3 821.0 825.9 -0.2 0.6
Apricot trees 62.7 66.8 79.5 6.5 19.0
Cherry trees 44.9 49.4 47.3 10.0 -4.3
18
Change(%)
Croptype 2010 2011 2012 2011/20102012/2011
3.2.3 Nut trees
Almond trees 43.2
40.1
42.0
-7.2
4.7 Walnut trees 22.6 22.9 23.7 1.3 3.5
Pistachio trees 7,8 8,0 8.0 2,6 -0.7
Fig trees 9.6 10.9 11,3 13.5 3.7
3.2.4 Olives
Olives for oil 2,250.7
2,217.5
2,466.0
-1.5
11.2 Edible olives 308.9 273.5 359.3 -11.5 31.4
Olive oil 300,5 357,2 331.9 18.9 -7.1
Table 4 Unemployment rates (%) for males and females as estimated in August of 2015. (ELSTAT 2015)
Gender August
2010 2011 2012 2013 2014 2015
Male 10.3 15.9 22.6 24.5 23.5 21.5
Female 16.5 22.3 29.5 31.7 29.6 28.5
Total 12.9 18.6 25.6 27.7 26.2 24.6
Table 5 Unemployment rates according to the different age groups during the period 2010-2015. (ELSTAT, 2015)
AgeGroup
August
2010 2011 2012 2013 2014 2015
15-24yearsold 32.2 45.5 56.6 57.6 49.8 47.9
25-34““ 17.2 25.5 32.8 36.5 34.7 31.3
35-44““ 10.8 15.4 21.9 24.1 22.8 22.2
45-54““ 8.8 12.8 19.1 20.5 20.5 19.9
55-64““ 5.8 8.4 14.2 15.9 16.4 16.2
65-74““ 1.6 4.1 3.7 9.3 11.4 11.0
Total 12.9 18.6 25.6 27.7 26.2 24.6
19
Structure of farm labor force
Agriculture plays a vital role in the workforce of the country, since a large number of the
active population is occupied in the sector (Table 6). Greek agriculture is traditionally
dominated by small sized family farms which seldom utilize hired labor (Kaditi 2013). Due
to this particular characteristic, in terms of employment there is a large number of farm
owners who manage the farm by themselves and a large number of family members who
work unpaid (Table 6). In more detail, about 98% of labor force consists of family holdings
(Table 7), women are more frequently occupied in larger holding (42%) and the Annual
Work Units (AWUs) are also increased in holdings over 2 hectares (Table 7). Consequently,
the employment data in agriculture are not easily comparable with similar data of other
sectors. According to Eurostat data (2015), 491.000 people (out of which 86.0% self-
employment) were employed in the agricultural sector in 2011, which accounted for 11% of
the total employment of the country. The number was reduced by 195.000 since 2000.
Traditionally men are more frequently occupied in agriculture compared to women (Table 8)
and the majority of people who work in this sector are aged between 40-64 years old (66.7%),
followed by 15-39 years old (Table 8) (Eurostat, 2015). Moreover, it was estimated that
80.6% of the labor input in a total of about 396000 AWUs in 2012 was not paid (Eurostat
2015).
Table 6 Farm Labor Force in the Greece, in persons. Source Eurostat, FSS (online data codes:ef_Iflegaa, ef_Iflegecs, ef_kvage).
Total Soleholders
Familymembers
Non-Familymembers
Bysex-men**
Averageworkersper
holding
WorkingholdingswithSO<4000
EUR
Workingfulltime
1000person
%oftotal %oftotal Persons/holding
%oftotal %oftotal
Regular(inpersons)
1212.7 59.6 38.3 2.2 60.4 1.7 47.3 8.6
NOTE:*LaborForcedirectlyemployedbytheholdinginpersonsonlyincludesregularlaborforce(soleholdersworkingonthefarm+membersofthesoleholder’sfamily+non-familyregularworkers
Total Soleholders
Familymembers
Non-familyregularworkers
Non-familynonregularworkers
Bysex-men Averageworkers
perholding
WorkingholdingswithSO<4000EU
1000person
%oftotal %oftotal AWU/holding
%oftotal
Regularandnon-regular
429.5 54.1 28.4 4.3 13.2 59.9 0.6 21.2
NOTE:*LaborforcedirectlyemployedbytheholdinginAWUsincludesbothregular(soleholdersworkingonthefarm+membersofthesoleholders’family+non-familyregularworkers)andnon-regular(non-familynon-regularworkers)laborforce**Onlyregularlaborforce
20
Table 7 Structure of Agricultural holdings in Greece. Source Eurostat, Farm Structure Survey and Agricultural Census. Updated: October 2013.
Holdingslessthan2hectares Status persons AWUsFamilylaborforce
Holders 373090(ofwhich36.2%women)
72810
Otherfamilymembers 201200(ofwhich51.8%)
33730
Total 574290(ofwhich41.7%women)
106540
Nonfamilylaborforce Regularnonfamilylaborforce
5610(ofwhich12.5%women)
3870
Nonregular(seasonal)laborforce
12140
Total 16010Holdingsmorethan2hectares
Familylaborforce
Holders 349310(ofwhich29.4%)
159630
Otherfamilymembers 262910(ofwhich51.4%women)
88250
Total 612220(ofwhich38.8%women)
247880
Nonfamilylaborforce Regularnonfamilylaborforce
20610(ofwhich11.7%women)
14450
Nonregular(seasonal)laborforce
44630
Total 16010*AWUs=Annualworkunits.AnAWUisequivalenttoaworkeremployedonafulltimebasisforoneyear.
Table 8 Employment in Agriculture in Greece. Source Eurostat (2015), Labor Force Survey (LFS)
EmploymentinAgriculture
1000persons 471.6
%men 58.7
%ofpersonsaged15-39 28.3
%ofpersonsaged40-64 66.7
%ofpersonsaged65andmore 4.9
1.2 Financial crisis and rural development
(Impactofthecrisisontheagriculturalincome,ruraldevelopmentasanalternativefor employment, trend to move from big towns to rural areas, farming as newoccupation,aromaticplantsasmainoralternativeincomesource)
Financial crisis and the impact on the agricultural income
21
The Greek recession started six years ago and is still in progress. Weak competitiveness, low
productivity, rigid labor, product markets, large public deficit and debt levels are some of the
most important causes which brought the Greek economy on the brink of default (European
Commission, 2015). Uncertainty about the overall economic situation, tight financial
conditions, difficulties and hesitations in prioritizing investments of many actors, cash flow
deficiency, especially for small-sized enterprises and industries, high unemployment rates are
only some of the obvious and most visible results observed due to the recession and the
austerity measures which were applied to Greece (European Commission, 2015).
Despite the recession agriculture remains one of the most important and dynamic sectors for
the recovery of the Greek economy, since the sector has enormous potential for improving
the competitiveness of the country. However, the crisis has affected largely the primary
sector and the effects can be viewed on supply and demand, as well as on consumer behavior
since many consumers shifted to buying Greek products in order to support the Greek
economy.
As indicated by the Economic Accounts for Agriculture with reference to the Income of the
Agricultural Industry (growing crops, farming of animals) during the period 2009-2013 the
total number of the agricultural units and the utilized land for agriculture declined (Table 9).
The area cultivated perennial crops (e.g. vines and trees) was reduced, whereas the area of the
annual crops was increased, as well as the irrigated areas (ELSTAT, 2015).
During the recession years, the cost of production in the agricultural sector was highly
increased. The input costs in agricultural production were increased significantly during the
period 2009-2013 as presented in Fig.2 (Tsiforos, 2015). Moreover, during the period 2009-
2014 investments in Greek agriculture were reduced by 2% (from 27% in 2009 to 25% in
2014). The amount of taxes in agricultural production from 2009 to 2013 was increased by
about 247% (Fig. 3). The agricultural income during the recession period was reduced
considerably as presented in Fig. 3 (Tsiforos, 2015). The shortage of capitals and cash flow
is major obstacles to financing agricultural industries; it should be mentioned that according
to Tsiforos (2015) the average financing for Greek agricultural enterprises was 1.8% during
2009-2014 and was the lowest among other sectors such as shipping (12.2%), tourism
(6.6%), trade (21.1%) etc.
22
Figure 2 Input cost breakdown for the Greek agricultural sector during the period 2009-2013. (Tsiforos, 2015)
Figure 3 Evolution of agricultural income (values at current, basic prices). (Tsiforos 2015).
23
Rural development as an alternative for employment
The agricultural sector in Greece contributes substantially to the development of the country.
It is extremely important to promote the integrated development of rural land based on local
resources and reinforce the multifunctional character (Hellenic Ministry for the Environment,
Physical Planning and Public Works, 2008). The rural development should be based on
strategic plans in order to generate opportunities for employment. Agriculture is one of the
important pillars for rural development and provided that important structural problems faced
by the sector are solved, the sector has enormous potential to expand, modernize and increase
employment, especially for young people.
Certain EU policies (e.g. new CAP) and investment funds, which are available to Greece for
the period 2014-2020, should be used in order to reform the agricultural sector and prioritize
certain actions which will promote the development of quantitative and qualitative Greek
agricultural products.
The importance for rural areas in Greece was demonstrated in Table 2. The new EU policy
framework (through the reform of CAP) allows the development of rural areas and points to
the following targeted axes (European Commission, 2013):
- increase competitiveness of agriculture
- sustainable management of natural resources and environmentally friendly cultivation
practices and natural ecosystem conservation
- Development of rural economies and communities in a balanced manner based on the
use of local land and exploitation of local resources. The creation and maintenance of
employment should be a key element in the strategic development of the rural areas.
For the implementation of the above development actions, a series of measures and
reformations (some of which are already ongoing) should be applied. Such measures and
reformations include (European Commission 2013): promote education and training of
farmers, improve the social-cohesion and social services of rural areas in order to make living
in those areas more attractive (especially for young people), adapt the use of land according
the farmer needs and take measures in order to avoid land multi-fragmentation, enhance the
research for promoting sustainable agriculture and implementation of modern technological
24
advancements in agriculture, make advisory services and guidance from specialists easily
accessible to the farmers, help farmers in marketing their products and establishing
cooperative bodies for promoting rural products, improve quality and certification of
agricultural products, simplification of the bureaucracy involved in certification, packaging,
transporting etc., especially for the organic products.
Trend to move from big town to rural areas, farming as new occupation
Until recently, young Greeks were unwilling to work in agriculture, primarily due to the
quality of life in rural areas (especially in the mountainous and remote areas), which relates to
the lack of adequate infrastructure for product and human transportation, education, e-
commerce, social services (Katidi, 2013). However, there is growing evidence that migration
to rural areas and adaptation of agricultural livelihood is a good option and an opportunity to
survive the economic crisis (Daudon and Vergos, 2015). Growing evidence is showing that
more people and especially youth find appealing the idea of getting involved in agriculture
(Daudon and Vergos, 2015). Certainly there is a lot of room in agriculture to occupy people
and according to ELSTAT (2013) the percentage of employment in the agricultural sector
was raised (from 11.4% to 13.8%) during 2008-2013, while the total number of people
employed in the sector has fallen during the same period (from 516,900 to 493,900)
(ELSTAT 2009, 2014). In addition, from 2008-2013 net job creation for agriculture there was
an increase of 9,600 for non-youth, while for youth there was a loss of 16,800 jobs. So it
appears that the decline was primarily from job losses of the youth (ELSTAT 2015).
According to European Commission (2015) more than 149000 (>50%) Greeks below the age
of 25 were unemployed at the begging of 2015. This in relation to the EU resources which are
available for the support of young farmers who aim to set up small businesses (European
Commission, 2015) provides an incentive for young people who are thinking to migrate in
rural areas, especially if family land is available for use and exploitation. According to
Daudon and Vergos (2015) a “back-to-the-land” or “farmitization” movement is generated in
Greece, a trend which is also supported by the media that promote educated young adults
who left urban areas and moved to rural areas and set up successful agricultural business
(Daudon and Vergos, 2015). It has to be mentioned that from 2007-2013, the amount of
3,906,228,424 EUR was given by the EU for the support of rural development in Greece
(European Commission, 2013).
25
Although agriculture has the potential to offer a viable livelihood for many young people who
are willing to return to rural areas and take over the family land or move to rural areas and
start from scratch an agricultural business, there are some serious challenges and obstacles
which should not be ignored when it comes to take that decision. Such challenges involve the
shift to a different lifestyle, family land is often too small to set up a viable business and they
need to have a clear business plan and some available capital before initiating their business
in order to avoid financial struggles latter on, lack of training and experience in farming
knowledge and agricultural methods and techniques.
Growing evidence demonstrates that young people are willing to take advantage of
revitalizing agriculture in Greece (Daudon and Vergos, 2015). However, as indicated by the
recent Daudon and Vergos (2015) study, it is highly important to provide individuals with the
necessary tools and support (financial and technical) in order to help them overcome the
serious economic, education and governmental barriers.
1.3 Medicinal & Aromatic Plants - A new old story
First recorded instructions for the use of MAPs are found in ancient Egypt papyrus dated
back to 2000BC (Castiglioni and Knopf 1947). Hippocrates (460BC) who is known as “father
of medicine” reports more than 400 species of plants most of which are categorized as MAPs.
Theophrastus (347BC) described several MAPs while Dioscourides reports about 600 MAPs.
A plant is considered to be aromatic when it contains essential oils which emit characteristic
odor when released. Medicinal plant is a plant that contains one or more active substances
which prevent or cure a disease (Sarlis, 1994). Aromatic and Medicinal qualities are usually
found together in a species (Koutsos, 2006).
Greek flora comprises about 6000 plant species of which 500-600 are MAPs which means
that Greece has a comparative advantage in comparison to other European countries. Also
soil and climatic conditions benefit the development of MAPs and lead to crops of excellent
quality (Papanagiotou et al., 2001).
Medicinal and aromatic plants are well connected to tradition and culture of Greek
population. They can be found in traditional songs, in old paintings and they are used for
relief and recovery from many diseases, a knowledge that was inherited from generation to
generation until our era.
26
2. Methodology
The main objective of the primary research was to elaborate at least 10 case studies of
successful and unsuccessful attempts on cultivation of Medicinal and Aromatic Plants. Sub-
objectives included determination of critical success factors, identification of good practices
applied by growers, exploration of major topics where the growers need support and training,
identification of main problems faced by growers and elaboration of a business plan.
Exploratory research in the form of in depth interviews was used to gain insight and
understanding of the sector. Interviews were chosen over focus group, as some of the
information is sensitive and to promote spontaneous responses. Interviews were conducted in
two phases of stakeholder interviews. The first phase involved farm visits for in-depth
interviews of existing farmers, using a structured questionnaire consisting of a series of open-
ended questions, related to qualitative characteristics, to probe and encourage extensive and
meaningful responses.
Figure 4 Questionnaire mapping in Greece
27
Based on these farm visits and interviews, 15 case studies were developed. The second stage
involved on-site interviews of farmers and processors using a structured questionnaire to
collect economic and technical data for the elaboration of a business plan. On-site interviews
in farms with MAPs (16 mint, 48 oregano, 17 thyme, 22 mountain tea and 29 lavender) were
performed for the economic analysis of the sector. To ensure the reliability of the data, the
interviewers were trained in order to have the ability to control the quality of the data. It is
important to note that newly established cultivations were also included in these on-site
interview.
Figure 5 Questionnaire mapping per group of crops
Secondary research (literature review) examined the history, development, size of the sector,
statistical information related to market size, imports and exports. Extensive literature review
was made through internet research, books and articles, to collect historical data, botanic
characteristic, soil-climate requirements and uses for each crop. Statistical information and
28
data were retrieved from Greek Authorities such as Hellenic Statistical Authority (ELSTAT),
Greek Payment Authority of Common Agricultural Policy (OPEKEPE), Ministry of Rural
Development and Food and European and International authorities and organizations such as
Eurostat, FAOSTAT, UN COMTRADE, MarketLine, and International Trade Centre (ITC).
2.1 MAPs in Greece
In Greece there has always been wide use of medicinal aromatic plants for health boosting
and beauty reasons. Traditionally the plant species that were involved in these tasks were
collected from wild, native fauna. Lately there is an effort to cultivate them in more
organized way. The cultivated fields are registered according to European regulations
(C.A.P.) and the register is updated each year by declaration of each person or legal entity
that is a farmer.
Looking into the registry the following plant species were found. These are Oregano,
Lavender, Anise, Saffron, Mountain tea, Mustard, Lemon balm, Chamomile, Sage, Thyme,
Rosemary, Peppermint, Spearmint, St John wort, Coriander, California bluebell, Lemon
verbena, Fennel, Basil, Dittany, Marjoram, Samphire, Ghee, Wild mint, Nettle, Cardamom,
Hyssop, Licorice, Cumin, Curry, Clary sage and Jasmin. There are more species cultivated in
minor land areas that are not registered by their name (common or scientific) and instead of
this they are registered as a common category named Several Aromatic Plants
(ΑΡΩΜΑΤΙΚΑ ΔΙΑΦΟΡΑ).
The number of farms that are currently involved in MAPs cultivation has been fluctuating the
last 10 years. Data taken from Hellenic Statistical Authority are presented in the following
Table.
Table 9 Total number of farms that produce MAPs in Greece (ELSTAT, 2015)
RegionalUnit 2005 2007 2009 2013RU ATHENS
RU AITOLOAKARNANIA 12 7 RU EASTERN ATTIKA 10 RU ARGOLIS 6 RU ARCADIA 5 30 RU ARTA 3 7 RU ACHAIA 9 RU VOIOTIA 32
29
RegionalUnit 2005 2007 2009 2013RU GREVENA 3 3 8 RU DRAMA 4 3 RU WESTERN ATTICA RU DODECANESE
RU EVROS 81 32 28 38 RU EVOIA 119 146 93 43 RU EYRYTANIA RU ZAKYNTHOS RU ILEIA 21 22 RU IMATHIA 4 10 7 RU IRAKLEION 4 76 22 67 RU THESPROTIA RU THESSALONIKI 115 225 271 238 RU IOANNINA 7 RU KAVALA 9 4 RU KARDITSA 4 35 17 33 RU KASTORIA 9 15 RU KERKYRA RU KEFALHNIA RU KILKIS 21 96 40 53 RU KAZANI 788 685 413 489 RU KORINTHOS 5 RU KYKLADES
10
16
RU LAKONIA 5 3 9 RU LARISA 50 19 42 RU LASITHI RU LESVOS 17 27 28 RU LEYKADA RU MAGNESIA 132 109 103 61 RU MESSINIA 8 26 RU XANTHI 14 4 22 RU PEIRAIUS
6
RU PELLA 12 5 10 56 RU PIERIA 12 20 16 52 RU PREVEZA 27 RU RETHIMNO 9 RU RHODOPE 13 50 45 16 RU SAMOS 4 3
RU SERRES 8 15 13 10 RU TRIKALA 11 10 RU FTHIOTIDA 6 5 21 RU FLORINA 47 54 74 RU FOKIDA RU HALKIDIKI 55 62 57 175 RU CHANIA 26 RU CHIOS 8 5 TOTAL FARMS 1408 1749 1305 1788
30
Table 10 Number of producers and mean area per cultivated MAP and producer (OPEKEPE, 2015)
Species Nr of producers Area
(Hectares) Mean area /
producer Oregano 1335 1366.99 1.02 Saffron 728 390.43 0.54 Mountain tea 618 305.36 0.49 Lavender 580 628.38 1.08 Melissa 468 96.40 0.21 Anise 312 509.14 1.63 Sage 285 63.72 0.22 Thyme 276 57.88 0.21 peppermint 247 24.47 0.10 Rosemary 246 46.80 0.19 Mint 188 25.15 0.13 Chamomile 162 81.20 0.50 Coriander 153 18.65 0.12 Basil 123 10.40 0.08 Fennel 107 14.26 0.13 Lemon verbena 105 16.03 0.15 St. John wort 84 21.90 0.26 Marjoram 78 8.36 0.11 Dittany 66 8.56 0.13 Critama 45 7.99 0.18 Cardamom 39 1.31 0.03 California bluebell 34 18.05 0.53 Mustard 33 97.63 2.96 Nettle 25 1.62 0.06 Ghee 19 3.65 0.19 Hyssop 18 1.13 0.06 Wild mint 17 2.03 0.12 Curry 8 0.32 0.04 Cumin 7 0.48 0.07 Lycorice 4 0.67 0.17 Clary sage 2 0.06 0.03
The MAP species that is cultivated by most farmers is Oregano (1335 farmers) followed by
Saffron (728 farmers), Mountain tea (618 farmers), Lavender (580 farmers), Melissa
(468 farmers), Anise (312 farmers), Sage (285 farmers), Thyme (276 farmers), peppermint
(247 farmers), Rosemary (246 farmers) and Mint (188 farmers). The rest of MAPs are
cultivated by fewer farmers while Clary sage is cultivated by only two farmers in the country.
Anise, lavender and oregano are the only MAPs that mean area per farm exceeds one hectare.
All the rest species are being cultivated in far smaller mean area per farm.
31
Table 11 Spatial abundance of cultivated MAPs in Greece
Species➨
Prefecture ➪. Cu
rry
Wildm
int
Basil
Anise
Rosemary
Dittan
y
Spearm
int
Thym
e
Cardam
om
Coria
nder
Samph
ire
Saffron
Cumin
Lavend
er
Lemon
verbe
na
Marjoram
Fenn
el
Lemon
balm
Pepp
ermint
Oregano
Mustard
Clarysage
StJo
hnwort
Mou
ntaintea
Nettle
Hyssop
Californiablue
bell
Sage
Cham
omile
Licorice
ACHAIA
*
*
*
*
*
* AITOLOAKARNANIA
*
*
*
* * *
* * *
* *
* *
ARCADIA
*
*
*
*
*
* * * * * *
* *
* ARGOLIDA
*
* *
* *
*
*
ARTA
*
*
* CHALKIDIKI
* * * * * * * * *
* * * * * * *
* *
*
* *
CHANIA
*
* * * *
* * * * * *
* *
* * CHIOS
*
* *
*
*
*
*
*
KARDITSA
*
*
* *
* * *
* * *
* * *
* * THESSALONIKI *
* * * * * * * * * * * * * * * * * * * * * * * * * * *
DRAMA
*
*
* * *
*
*
* * *
* * *
*
* EASTERNATTIKA
*
* * * * * * *
* * * * * * *
* * * *
* * *
EVOIA
* * *
* * * *
* * * * * * *
* * *
* * * EVRITANIA
*
EVROS
*
* *
*
* * * * * * *
* *
* * FLORINA
* * *
* *
*
*
* * * *
* *
* * *
FOKIDA
*
* *
*
* * *
*
* FTHIOTIDA
* * * * * *
*
* *
* * *
*
*
* *
GREVENA
*
*
*
* *
* * *
* *
* * * HERAKLEION
*
* * * *
*
* * * * * * *
* *
* *
IKARIA
*
*
*
* ILEIA
*
*
*
* *
* * * *
*
* *
IMATHIA *
* * * * * * * *
* * * * * * * * *
* * * * * * * KASTORIA
*
*
*
*
*
*
*
KAVALA *
*
* * * *
*
*
* * *
* * *
* * KEA
* *
*
*
*
*
* *
KEFALONIA
*
*
*
* * *
*
* KERKYRA
*
*
KILKIS
* * * *
* *
* *
* * *
* *
* * * KORINTHOS
* *
* * * * * *
* *
* * * *
* *
* *
KOS
*
*
32
Species➨
Prefecture ➪. Cu
rry
Wildm
int
Basil
Anise
Rosemary
Dittan
y
Spearm
int
Thym
e
Cardam
om
Coria
nder
Samph
ire
Saffron
Cumin
Lavend
er
Lemon
verbe
na
Marjoram
Fenn
el
Lemon
balm
Pepp
ermint
Oregano
Mustard
Clarysage
StJo
hnwort
Mou
ntaintea
Nettle
Hyssop
Californiablue
bell
Sage
Cham
omile
Licorice
KOZANI *
* *
* *
*
* * *
* * * *
* *
* * * LAKONIA
*
*
* * * * * * *
* *
*
LARISA
* * * * * * *
* *
* * * * * * * * * * * * * * * * * LASITHI
*
* * * * * * *
* * * * * * *
* *
* *
LEMNOS
*
*
*
* LESVOS
*
*
*
*
LEYKADA
*
*
*
*
*
*
* MAGNESIA
* *
*
* *
* * *
* * *
* *
* *
MESSINIA
*
*
* *
* * * * * * *
*
*
* * NAXOS
*
*
*
*
*
*
*
*
* *
PAROS
* * * *
* *
* * *
* * PELLA
* * *
* * * *
* * * * * * *
* *
* * *
PIERIA *
* * *
* * * *
* * * * * * *
* *
*
* * PREVEZA
*
*
* *
* *
* * *
*
RETHIMNO * * *
* * * *
*
* * * * * * *
* *
* * * RHODOPE
*
*
* *
*
* * *
*
* * *
RHODOS
* *
*
* * * *
*
*
* * * *
* * SAMOS
* *
* * *
*
*
* *
SANTORINI
*
*
*
* SERRES
* * * *
* *
*
* *
* * * *
* *
* * * *
SPORADES
*
*
*
*
* *
* *
* SYROS
*
* *
*
*
* * * * *
*
* *
THASOS
*
*
*
* THESPROTIA
*
* * *
* * *
* * *
*
* *
TINOS
* TRIKALA
*
* *
*
* * *
* *
* * *
VOIOTIA
* * * *
* * * *
*
* * * * * *
* *
* * * WESTERNATTIKA
*
*
* * * * *
* * * *
* *
* *
* *
XANTHI
*
*
*
* *
* * *
* * *
* * * *
* * ZAKYNTHOS
*
33
Table 12 Distribution of MAPs cultivated area in Greece
Regional Unit Area of MAPs
% of total MAPs area Regional Unit
Area of MAPs
% of total MAPs area
RU THESSALONIKI 890.24 23.172 RU LEMNOS 12.26 0.32 RU KOZANI 803.17 20.905 RU IOANNINA 11.95 0.31 RU EVOIA 283.10 7.369 RU THESPROTIA 11.08 0.29 RU MAGNESIA 241.39 6.283 RU KORINTHOS 10.73 0.28 RU KILKIS 222.05 5.780 RU ACHAIA 10.08 0.26 RU LARISA 144.08 3.750 RU THASOS 8.97 0.23 RU CHALKIDIKI 142.05 3.697 RU NAXOS 8.82 0.23 RU SERRES 97.03 2.525 RU ARGOLIDA 8.66 0.23 RU PIERIA 89.80 2.337 RU KAVALA 8.30 0.22 RU FLORINA 81.03 2.109 RU WESTERN ATTIKA 8.15 0.21 RU GREVENA 79.81 2.077 RU EASTERN ATTIKA 5.50 0.14 RU KASTORIA 74.99 1.952 RU KEA 5.31 0.14 RU KARDITSA 58.62 1.526 RU CHIOS 5.19 0.14 RU RHODOPE 53.76 1.399 RU SAMOS 4.68 0.12 RU AITOLOAKARNANIA 46.57 1.212 RU KEFALONIA 4.39 0.11 RU FTHIOTIDA 44.34 1.154 RU LEYKADA 4.36 0.11 RU VOIOTIA 42.50 1.106 RU RHODOS 3.39 0.09 RU TRIKALA 33.44 0.870 RU SYROS 2.79 0.07 RU EVROS 29.45 0.766 RU SANTORINI 2.76 0.07 RU DRAMA 27.33 0.711 RU PREVEZA 2.58 0.07 RU IMATHIA 22.32 0.581 RU PAROS 2.57 0.07 RU ARCADIA 21.88 0.569 RU ARTA 1.65 0.04 RU HERAKLEION 20.91 0.544 RU FOKIDA 1.60 0.04 RU MESSINIA 17.79 0.463 RU IKARIA 1.54 0.04 RU LAKONIA 17.48 0.455 RU KERKYRA 1.31 0.03 RU XANTHI 15.84 0.412 RU EVRITANIA 1.25 0.03 RU LESVOS 15.75 0.410 RU KOS 1.07 0.03 RU LASITHI 15.12 0.393 RU MILOS 0.77 0.02 RU ILEIA 14.82 0.386 RU SPORADES 0.24 0.01 RU RETHIMNO 14.58 0.379 RU TINOS 0.09 0.00 RU PELLA 14.57 0.379 RU ZAKINTHOS 0.05 0.00 RU CHANIA 14.04 0.365
34
2.2 Cultivation of MAPs
A brief description of cultivation needs of some of the most important greek MAPs is
presented below.
Greek mountain tea, Sideritis sp.
Sideritis sp, is native to Greece and grows at altitude above 1000 m. in subalpine and alpine
regions. It prefers rocky limestone. As cultivated plant it can withstand very low temperatures
and has limited demands on soil nutritional elements. In order to avoid degrading the quality
it should be cultivated under natural conditions, in terms of altitude and terrain. It can be
propagated with seeds and with offshoots. Planting should take place in the fall (October-
November) or early spring (February-March). The first period has been proven to be best.
Plant protection. There are not serious pests and diseases, Mountain tea has great need of
weeding in order to avoid reduced production and maintain the productivity of the plantation
for more years. Due to non-existence of an efficient herbicide, carving remains the best way
for weed control
Harvest. This is usually done in July when the plants are in full bloom. The whole
inflorescence is cut. Then the harvested flowers are taken to dry. Drying must be done in the
shade in order not to have deterioration of quality. The length of sustainable production
ranges from 5 to 8 years and from third year on production is about one ton per hectare
(Goliaris et., al. 1999; Koutsos, 2006).
Oregano, Oreganum sp.
Native plant mainly found in calcareous soils. The main feature is that it prefers not so fertile
soil. Its preference in arid areas rather is more related to the lack of serious competition from
other plants. It can grow well on poor farmland. Propagation is done with seeds and rooted
cuttings. Fertilization can affect timing of flowering, morphological features such as height
and size of the inflorescence, dry weight, essential oil content, and other characteristics as the
rate of moisture loss (drying in shade).
Plant protection: There are not significant pests or diseases under greek conditions.
35
Harvest: Oregano is harvested after flowering has finished. The cutting height should be
about 5-8 cm. (Panou-Filotheou, 2009; Koutsos, 2006)
Mint – Mentha piperita
It prefers deep fertile soil, with humus in cool and well ventilated placea so that it can
develop rhizomes. Preferred propagation method is by planting rooted cuttings. It is very
demanding in water. 880 g water is required for the creation of 1 g of dry matter. Essential
oils are secondary metabolites and their creation demands trace elements.
Plant protection: Mint is a competitive plant as it possesses many rhizomes in the ground and
dense growth. Crafting is appropriate method for weed control. Numerous parasites identified
in mint cultivation. Fungi attack the aerial parts (Puccinia menthae, Verticillium dahliae,
Verticillium albo-atrum, Verticillium nigrescens, Erysiphe cichoracearum, Ramularia
menthicola) and the underground part (Rhizoctonia solani, Macrophomina phaseoli). Insects
attack the aerial parts (Eupterix atropunctata, Lygus sp., Syngamia abruptalis, Peridroma
saucia, Loxostege stricticalis, Cacoecia epicyrta, Euxoa ochrogaster) and infect leaves
(Cassida viridis, Chrysomela menthastri, Longitarsus waterhousei, Longitarsus lycipi,
Oecanthus pellucens, Tetranycus urticae, Aleurodes menthae, Philaenus spumarius, Aphis
menthae, Myzus persicae). Nematodes attack the underground part (Pratilenchus scribneri,
Pratilenchus peetrans, Pratilenchus laticauda, Meloidogyne hapla, Longidorus elongates)
while viruses attack the leaves and transmitted by aphids Aphis menthae and Myzus persicae.
Most important of them are Pucinia menthae, Longitarsus sp. and nematodes
Harvest: If the cultivation is for producing mint leaves two crops per year are possible, one
before flowering at the end of June and one more in August. (Panou-Filotheou, 2009;
Koutsos, 2006)
Lemon balm – Melissa officinalis
Duration of plantation is about five years. Propagation is done by seeds and rooting of
cuttings. Each developed old plantation plant can produce 15-25 rooted plants. New
plantations can be established during autumn and spring. It is a demanding crop in terms of
irrigation and it likes partly shade. It needs fertile soil rich in nutrients in order to have a good
produce. Melissa is very sensitive to herbicides.
36
Harvest is done by mower before flowering, preferably in dry weather (Panou-Filotheou,
2009; Koutsos, 2006).
Sage – Salvia officinalis
It is found in places that are rather warm with direct sun exposure. Plantation lasts three to
five years. It is propagated by seeds or cuttings. It is not demanding crop in terms of
irrigation or soil nutrients.
Plant protection: weed control must be done by carving between the lines. Fungi that attack
sage are Puccinia salvia (leaves), Oidium erysiphoides (leaves) and Thielaviopsis basicola
(roots) while insect pests that attack mainly leaves are Psylliodes attenuate, Arima marginata,
Arctia caja and Ceroplastes sinensis.
Harvest is done in full bloom, from May to June. The entire aboveground part of the plant is
harvested to a height of 10 cm, in order to be able to resprout (Panou-Filotheou, 2009;
Koutsos, 2006).
Rosemary – Rosmarinus officinalis
It is a resistant plant at both low and high temperatures. It survives on poor, degraded soils
but prefers the sunward, light, free draining soils. It does not like excess moisture in the soil.
It is propagated with seed and rooted cuttings. Rosemary has limited demands in nutritional
elements, however there is bigger production when fertilized.
Plant protection. Rosemary is very competitive crop. It needs weed control when it is young
and small. There are no significant pests and diseases.
Harvesting. Rosemary has flowers almost all year. When it is harvested for leaf dry material
is the criterion and best ratio of dry material is at winter time, while biggest content of
essential oils is found in spring and summer (Panou-Filotheou, 2009; Koutsos, 2006).
Thyme – Thymus vulgaris
It grows abundant in Mediterranean and immediately adjacent to this zone from coastline up
to 1400 m height. Regardless of the altitude, it is found in areas with degraded or much
degraded vegetation after fire. Thyme is found in dry stone or sandy soils, well drained and
37
sunward. It is propagated by seeds or rooted grafts. It can successfully withstand periods of
drought but it produces better yield when irrigated.
Plant protection: Thyme cannot compete broadleaf weeds when growing on fertile soil. If,
however, sowing distances are such as to cover all the ground, then with slight support by
hand cultivation remains clean. The fungus Rosellinia necatrix, grows between the bark and
the wood and leads the plant to weakening and withering. Numerous nematodes are thyme
pests like Paratylenchus sp., Meloidogyne hapla, Ahelenchooides rizema bosi,
Tylenchohynchus dubius and Paratylenchus crenatus. Insects like Empoasca vitis infest
young plantations.
Harvest: The time of harvest affects the quantity of crop. Essential oils present considerable
variation as maturation of cultivation progresses (Panou-Filotheou, 2009; Koutsos, 2006).
Lavender – Lavendula angustifolia
There are early, mid, and late season flowering varieties available. Lavender grows best in
light soil within a pH range of 6.4-8.3, sand, or gravel, in a dry, open and sunny position. It
requires good drainage and prefers a warm, well-drained loam with a slope to the south or
southwest. Lavender varieties are susceptible to frost injury. English lavender (Lavendula
angustifolia) varieties prefer chalky soils, whereas the lavandin varieties (Lavendula x.
intermedia) require slightly more acidic soils. Propagation is done by seeds, cuttings, layering
and tissue culture (micropropagation).
Plant protection. Fungi: Lavender’s most important problem is wilt. Pathogens associated are
root rot (Armillaria mellea, Fusarium sp. Phytophthora nicotianae Pythium sp.), wilt
(Fusarium solani, Phytophthora spp., Verticillium sp.), stem blight (Phoma lavendulae) and
leaf spot (Septoria lavandulae). Nematodes: Lavender is susceptible to Southern Rootknot
Nematode (Meloidogyne incognita). There are not severe insect pests. Weed control is done
by mechanical cultivation or use of mulch.
Harvesting: English lavender cultivars are best for dried flower purposes because the flowers
persist on the stems when dry. Lavandin cultivars are easily separated from the stem and are
better suited for essential oil and potpourri purposes. Flowers for oil production are harvested
38
when at about 50% blooming. Dried flowers are harvested when the first few florets are open.
Essential oils are accumulated in the flowers and flower stalks. (McCoy, 2015)
2.3. Potential for expansion
Medicinal and aromatic plants are cultivated to all Greek regions. However there is diversity
in species cultivated in every area. Out of thirty different MAPs registered in the official
national registry of cultivated land (OPEKEPE) 28 are cultivated in Thessaloniki, 26 in
Larisa, 25 in Imathia etc. Details are presented in the following table.
Table 13 Cultivated MAP species per geographic area as declared in official registry (period 2015)
RegionalUnitCultivated
MAPs species
RegionalUnitCultivated
MAPs species
RegionalUnit
Cultivated MAPs
species THESSALONIKI 28 KARDITSA 15 KEA 8 LARISA 26 DRAMA 15 KEFALONIA 8 IMATHIA 25 EVROS 15 ARGOLIDA 7 EASTERNATTIKA 22 MAGNESIA 15 KASTORIA 7 CHALKIDIKI 21 MESSINIA 15 LEYKADA 7 EVOIA 20 RHODOS 15 ACHAIA 6 PIERIA 20 ARCADIA 14 IKARIA 4 RETHIMNO 20 AITOLOAKARNANIA 13 LEMNOS 4 VOIOTIA 20 GREVENA 13 LESVOS 4 LASITHI 19 SYROS 13 SANTORINI 4 PELLA 19 THESPROTIA 13 THASOS 4 SERRES 19 ILEIA 12 ARTA 3 KORINTHOS 18 LAKONIA 12 KERKYRA 2 KOZANI 18 RHODOPE 12 KOS 2 HERAKLEION 17 TRIKALA 12 EVRITANIA 1 WESTERNATTIKA 17 PAROS 11 TINOS 1 XANTHI 17 NAXOS 10 ZAKYNTHOS 1 FLORINA 16 PREVEZA 10 FTHIOTIDA 16 FOKIDA 9 KAVALA 16 SAMOS 9 KILKIS 16 SPORADES 9 CHANIA 15 CHIOS 8
39
From the data we can see that traditional agricultural areas present a wide range of cultivated
species. In contrast, classic tourism destinations do not cultivate a big variety of MAPs. The
variability of MAPs range cultivated per region does not seem to follow a specific pattern.
Therefore there seems to be no geographic or climate factor that affects the distribution of
species for example Serres and Trikala have about the same topography and climate and
share common agricultural products, while Serres host 19 and Trikala 12 cultivated MAP
species.
Table 14 Geographic areas that a MAP species is cultivated as they were declared in official registry (period 2015)
MAP species Location MAP species Location MAP species Location Oregano 59 Lemonverbena 32 Nettle 13Lemonbalm 56 St.Johnwort 32 Wildmint 12Thyme 50 Basil 30 Samphire 11Rosemary 49 Marjoram 30 Hyssop 10Sage 49 Fennel 24 Saffron 9Lavender 47 Californiabluebell 17 Mustard 8Peppermint 42 Anise 16 Curry 6Mountaintea 41 Dittany 16 Cumin 3Chamomile 37 Coriander 16 Licorice 3Spearmint 35 Cardamom 13 Clarysage 2
There are not so many restrictions in the species that could be cultivated. For example
Mountain tea would suffer in very hot areas but it is cultivated from Crete to the very
northern part of Greece, while the altitude that is selected for its cultivation is from 500 m
and above. Greece offers a great range of microclimates that can permit the cultivation of a
wide variety of MAPs all over the country. The existence of market or processing facilities
for the products is one determining factor that can affect the decision of which crop is
selected to be cultivated rather than climate, topography or soil. This fits perfectly the case of
lavender. Lavender if found in almost all country. However the vast majority of cultivated
area is in Kozani (37%), Kilkis (13%) and Thessaloniki (10%) followed by adjoined
Grevena, Chalkidiki, Florina, Serres and Kastoria.
40
Table 15 Locations of main lavender cultivated areas
LOCATION AREA % OF TOTAL LAVENDER AREA
KOZANI 232.86 37% KILKIS 84.42 13% THESSALONIKI 62.14 10% GREVENA 58.55 9% CHALKIDIKI 26.93 4% FLORINA 26.69 4% SERRES 20.75 3% KASTORIA 19.72 3% REST OF GREECE 11.67 15% TOTAL AREA 628.38
There is no technical reason why this happens. The only answer is that obviously in those
locations there was a rapid development of the cultivated lavender area because distilleries
that produce lavender oil are concentrated there. The same pattern is observed for oregano
that 50% of Greek oregano is cultivated in Thessaloniki area near oregano oil producing
distilleries and meat industry. Similarly anise is mostly cultivated in Evoia, Thessaloniki,
Chalkidiki, Florina, Larisa, Limnos and Lesvos where traditional greek spirits like ouzo and
tsipouro producing distilleries are and use it as first material.
From all the above the conclusion is that there are no serious climatic or soil dependent
factors that would restrict the development of MAPs all over Greece since there are suitable
conditions (microclimates) in almost all geographic locations. However if this will happen it
depends on how friendly will the economic environment be. It seems that at the regions that
processing companies operate, the cultivated areas producing MAPs used as first materials
exhibit rapid growth. In other words, if we want MAPs sector to be developed in this country
we should have a holistic approach and we should develop the MAPs supply chain as a whole
meaning primary production in combination with processing.
41
2.4 Technical systemic approach to Integrated Crop Management.
Preparation for cultivation of MAPs
Modern cultivation practice should incorporate the traditional farming knowledge together
with administration and organization of work and farming functions. For the building of a
successful business in agriculture there must be some preparation activities so that main
factors that can affect its success will be studied and taken under consideration. For MAPs
there are five distinct phases in order to go from the idea to selling ready to use products for
the final consumers. Those phases are:
1. Phase 1: From idea to Decision. In this phase a comprehensive market research should be
conducted in order to investigate what would be the best choice in terms of cultivated
species, in which form these should be sourced to the market (dry plant material,
essential oils etc.), what are the optimum soil and climate conditions and which is the
range of values of the above mentioned parameters that permit the viable production of
specific plant species. A master plan must be scheduled and this will be followed during
the investment realization.
IDEA
MASTER PLAN VIABILITY STUDY*
IS THE IDEA VIABLE? IS SUCCESS FEASIBLE?
NO
YES
CHANGE THE PLAN (PRODUCTION FACTORS,
FINANCE ETC).
IS THE IDEA VIABLE? IS SUCCESS FEASIBLE?
NO
YES
PLAN REVIEW
GO TO PREPARATION FOR CULTIVATION INSTALLATION
CONSULTANT SERVICE
Figure 6 Preliminary works from idea to preparation for cultivation installation
42
2. Phase 2: Preparation for cultivation. In this phase. This phase includes all necessary
actions for legal and financial arrangements as well as infrastructure construction so that
everything will be taken care for the installation of plantations. In this phase land must be
made available for the plantation and other facilities such as roads, irrigation networks,
nurseries and other facilities must be programmed and/or constructed.
43
CONSULTANT LEGAL
SERVICE
NO
NETWORKS AND INFRASTRUCTURE
ARRANGE LEGALITY ISSUES LAND
LAND USE SUITABLE FOR
THE INVESTMENT?
NO
YES
CHANGE LAND USE
YES
REJECT FIELD
LAND OWNERSHIP
PURCHASED
RENTEDRENTAL PERIOD
LENGTH APPROPRIATE FOR THE INVESTMENT
NO
REVIEW CONTRACT
CONSULTANT LEGAL
SERVICE
CONSTRUCTOR SERVICE
CONNECT TO IRRIGATION NETWORK
CONSTRUCT IRRIGATION INFRASTRUCTURE
ASSURE GOOD ACCESS TO THE FILEDS
CONNECTION OF THE FIELD WITH
MAIN ROAD
INTERIOR FIELD ROUTES
GREENHOUSES, NURSERIES, PRODUCT
CONCENTRATION POINTS, STORAGE
FACILITIES, MASHINERY AND VEHICLES PARKING
PLACES, WORKSHOP
ALL ARRANGED? GO TO CULTIVATION PHASE
CONSULTANT SERVICE LEGAL SERVICE
CONSULTANT LEGAL
SERVICE
Figure 7 Preparation for cultivation installation
44
3. Phase 3: Installation of cultivation to harvest. This phase starts with the preparations for
agriculture practice like soil analysis before seeding or planting. In terms of a modern
knowledge based agriculture all major issues concerning agriculture should be arranged,
programmed and all plants’ needs and alternative actions to meet them should be written
down in the form of management plans. Therefore there must be at least the following
management plans:
➼ Soil Management Plan, which describes the soil structure, its contained levels of
nutritional elements and handling of soil via specific practices in order to protect from
factors such as erosion or compaction and moreover to improve it in terms of
mechanical or nutritional composition.
➼ Propagation Material Management Plan which will describe what is the propagation
material used by the company, how it is produced or purchased, what are the desired
qualities, how they are assured and other technical issues like what is the time,
manner, distances etc. of seeding or planting.
➼ Irrigation Management Plan which describes the demands in irrigation, irrigation
timing, quantity of water and means for irrigating the plants.
➼ Cultivation techniques Management Plan, which describes the works done in the field
(tilling, pruning etc.), when how and by whom they are done.
➼ Fertilization Management Plan which describes the kind, timing, quantity and method
of fertilizers and other substances used for plant nutrition
➼ Plant Protection Management Plan which describes the exact actions that should be
taken in the appearance of a pest or disease in the plantation, what plant protection
product should be used, how, when, in what dosage etc.
➼ Harvesting Management Plan which describes what it the optimum stage for harvest of
the product, how the harvest should be done, by whom, so that the company would
assure that it gets the best of plant qualities in the harvested product.
➼ Infrastructure, Tools and Machinery Management Plan which describes maintenance,
adjustments, calibration and verification of the used machinery and tools in the
company.
45
➼ Personnel Health, Safety and Training Management Plan which describes all the
precautions taken by the company for the safety of personnel during work as well as
the training activities for the personnel so that it is highly qualified in order to “do the
job right”.
➼ Emergency Management Plan should describe standardized operational procedures
that should be applied in case of some emergency situation. This plan should include
cases of extreme weather conditions, accidents that personnel is involved, cases like
fire or even cases like changes in legislation or customer demands or even financial
related issues (capital controls!)
➼ Environment Management Plan should describe all necessary procedures applied by
the company in order to make sure that basic environmental legislation is met and its
operation does not harm the environment.
➼ Economics and Finance Management Plan should be designed so that cash flow in
critical periods of the season should be available for the smooth operation of the
company. This because unlikely other business in agriculture everything must be on
time because plant follow the rhythm of nature, so all works must be done when they
must be done and should not wait for later.
Except the above mentioned management plans, a modern company’s operation should be based
on written, well described operational procedures that would define its main functions.
Operational procedures implementation is a standardized way and is considered to be a
prerequisite for all companies that seek a good reputation in terms of organization of their work,
stable quality and continuous improvement. Nevertheless the existence and implementation of
standardized operational procedures is an integral ingredient of quality management system of a
company. The quality management system is the base for a company certificates that assure the
implementation of certain standards or protocols during cultivation or processing the product.
Especially for MAPs it is more than certain that a Greek company seeking for a place on the
selves of stores has to have valid certificates for organic production for its products.
46
M
S
SEEDING OR PLANTING
➩ CULTIVATION
SEASONS
PERENNIALS➨
S
SOIL MANAGEMENT PLAN
SOIL PREPARATION
PROPAGATION MATERIAL MANAGEMENT PLAN
SELF PRODUCED OR PURCHASED
PRODUCTION SET UP
SUPPLIERS EVALUATION
PURCHASE PROPAGATION MATERIAL
PURCHASED
SELF PRODUCED
FARMING PRACTICE
FERTILIZATION MANAGEMENT PLAN
PLANT PROTECTION MANAGEMENT
PLAN
IRRIGATION MANAGEMENT
PLAN
CULTIVATION MANAGEMENT PLAN
HARVESTING MANAGEMENT
PLAN
SUPPLIERS EVALUATION
PURCHASE
APPLICATION
ALTERNATIVETECHN
IQUES
ALTERNATIVETECHN
IQUES
SUPPLIERS EVALUATION
PURCHASE
APPLICATION
WATER LABOUR & MASHINERY USE
HARVEST
GO TO PHASE 4
CONSULTANT SERVICE
CONSULTANT SERVICE
CONSULTANT SERVICE
L
L
M M
M
M
S
CERTIFICATIONS
ORGANIC PRODUCTS I. C. M.
GLOBALG.A.P.
L
➩ ANNUALS
Figure 8 Integrated Crop Management flowchart
47
4. Phase 4: Past harvest product handling. This phase starts right after harvest and includes all
the processing of the harvested plant materials and the production of semi-finished and final
products. These can be as first materials in the industry or as ready to use products by the
consumer.
5. Phase 5: Sales and distribution. This phase include all necessary actions that take place from
the moment that a product is ready after processing to the final consumption by the
customer.
48
REFINE*
WHOLE
S
CONTAINER
HARVESTED PRODUCT STORAGE DRIYNG FOR
BEVERAGES
FRESH
ESSENTIAL OIL RECLAIM - DISTILLERY
LABELING
FINAL PRODUCT STORAGE
GO TO PHASE 5
CUTTING*
TEA-BAGS
CONTAINER
PLASTIC BAGS
CONTAINER
FINAL PACKAGING
CONSULTANT SERVICE
LEGISLATION
- - - - - - -- - - - - - - - - - - - - - - - - - FOOD HYGIENE AND SAFETY - - - - - - - - - - - - - - - - - - -
L
L
L
L
L
L
L
M
M
M
M
M
M
M
M
M
S
S
L M
L M
CERTIFICATIONS
ORGANIC PRODUCTS ISO 22000, ISO
9001, ISO 14001, RC, IFS, ETC
GLOBALG.A.P.
Figure 9 Post-harvest handling flow chart for MAPs
49
Consumer
YES
NO
MARKETING DEPARTMENT OWNED OR SUBCONTRACTOR
SALES DEPARTMENT OWNED OR SUBCONTRACTOR (AG BROKER) ORDERS MANAGEMENT, SALES,
CUSTOMER SERVICE
PRODUCT PROMOTION ACTIONS
COMPETITORS WATCH
MARKET RESEARCH
NOVEL PRODUCTS/MARKETS
ORDERS
EXECUTION OF ORDERS
SUPPLIERS EVALUATION
PRODUCTS DELIVERY TO THE CUSTOMER
OWNED LOGISTICS
LOGISTICS COMPANY
CUSTOMER SATISFIED?
CORRECTIVE ACTIONS FINANCIAL
DEPARTMENT ISSUE INVOICE
COLLECT PAYMENT
CONSULTANT SERVICE
CONSULTANT SERVICE
L
M
L
L
L
CERTIFICATIONS
ORGANIC PRODUCTS ISO 22000, ISO
9001, ISO 14001, BRC, IFS, ETC GLOBALG.A.P.
Figure 10 Sales and distribution flow chart for MAPs
50
2.5 Post-harvest treatment of MAPs
Medicinal and Aromatic plants in their majority are harvested either by hand, particularly with
regard to cases of wild collection or by special harvesters in case of organized farms. After
harvest the plant material needs to be taken care so that there will be no deterioration of its
quality and to be maintained until consumption.
The most common method is the drying or dehydration. The drying must be done quickly and
requires relatively high temperatures and appropriate handling for the effective removal of
contained humidity. The main drying methods are:
a) drying by exposure to air, where harvested MAPs are spread in thin layers and
ventilated to facilitate the drying process.
b) drying by heating using dryers, where several types of dryers are used. This
equipment increases temperature and ventilates the plant material for the effective and
quick removal of humidity.
c) The lyophilization is the an applied method where MAPs are frozen, so that water
passes from liquid into solid state and is placed in a suitable apparatus that operates
under vacuum, and very low temperature (about -60 to -70 oC). Then ice passes into the
gaseous state without passing through the liquid.
Essential oils are delivered by distillation. Depending on used technology there are three types:
a) hydro-distillation or distillation with water and ethanol. The type of distillation has
been widely used in the past but now it is not preferred because of side effects of the
method, which facilitates the hydrolysis of several components of the essential oil and
quite often leads to deterioration of quality with heating.
b) hydro-steam-distillation or distillation with water and steam. This type is better than
previous one because plant material is distilled in pot and does not come into direct
contact with the water, but it is instead placed in a grid, located just above the water
surface.
c) steam distillation, is widely used by industries for large distillation volume. The
difference from the hydro-steam-distillation is that there is no water in the bottom of the
still to produce steam. The steam is produced in a special boiler or steam generator and
51
then inserted into the alembic wherein the plant material is typically under pressure
above one atm.
For plant material that is susceptible to distillation such as flowers the method of extraction
used. Depending on the extraction material used there are three types of extraction.
a) Extraction with volatile solvents. It is the most convenient method for the reception
of essential oils from flowers. Ethyl alcohol is used as volatile. The product obtained by
extraction after removal of the volatile solvent is called calculus and apart from the
essential oil contains also various other substances (waxes, pigments, etc.). After
treatment with alcohol, those substances are removed and the end product is pure
essential oil.
b) Extraction with cold fat is simple and it is based on the property of fat to absorb
volatile substances that are in contact with it. The used fat has to be semi-hard and
clean, while plant material has to produce and disperse its fragrance after harvesting.
After extraction that usually lasts 24 to 30 hours, the pomade (fat and essential oil) is
treated with alcohol, whereby the fat is removed and pure essential oil is obtained.
c) Extraction with hot fat resembles the previous method and is applied in cases that of
flowers do not continue production and dissemination of their aroma after harvesting.
The extraction is at a temperature of around 80°C. When fat is saturated with essential
oil, pure essential oil is obtained with special treatment.
d) Extraction with hydrophilic solvents where water-soluble solvents like ethylene
glycol are used as extractants in or mixed with water, for receipt of more components of
natural products which are used mainly in cosmetology (Polysiou, 2008).
52
2.6 Uses of MAPs
Medicinal and aromatic plants are used in several industries all over the world. Their qualities
such as content of special substances, essential oils as well as the fact that can be used fresh, dry
or processed has created a range of applications.
• Seasonings to improve food flavor (spices). Use of aromatic plants for food flavor has
been applied from ancient ages. In Greece almost all meat recipes contain oregano while
there are other herbs used like thyme, rosemary etc.
• Herbal teas for medical reasons. Most known species is mountain tea Sideritis sp., while
a lot of Greek MAPs are used as herbal teas such as mint, wild mint, melissa etc.
• Food industry. MAPs are used in food industry for sensational reasons like special
flavor they add to food or for functional reason like the antibacterial action they show due
to high content of essential oils acting thus as preservatives.
• Pharmaceutical industry. MAPs are a rich source of chemical substances that are very
active against pathogen and generally beneficial to human health. Their action has been
noticed very early in human history and several well-known ancient doctors like
Hippocrates or Dioscourides have left us a valuable legacy on knowledge about their use
in medicine.
• Cosmetics industry. MAPs have been used in cosmetics as natural ingredients due to
their positive contribution to cosmetic efficiency. Today, natural cosmetics industry is a
continuously grown industrial sector and more and more consumers tend to use natural
cosmetics for their personal care.
• Perfumery. Due to highly volatile content of MAPs and their pleasant aromas they are
widely used as basic ingredients of perfumes, especially in the form of essential oils.
• Distillery. There are distilleries all over the world producing essential oils from MAPs.
They sell those oils to several industries which use them as first materials for their
products. Also there are spirits that their preparation demands the use of aromatic plants
like ouzo or tsipouro that use anise as basic ingredient.
53
• Confectionery. MAPs are used in confectionary for their aromas.
• Beekeeping. MAPs are considered to be very valuable bee pasture flora. Their special
aromas give the produced honey added value and the best example for this is thyme
honey which has double price in market in relation to other flower honeys.
• Ornamental use (rock gardens, flower pots). MAPs are used by landscape architectures
as ornamental and functional plants for their colors, their ability to overcome long dry
seasons and their aromas.
54
3. Medicinal & Aromatic Plants in Greece
3.1 Current situation in farming
In Greece MAPs have been used since ancient times for medicinal and other uses. Main source
of the plant material was always Greek nature. Other countries have started cultivation of MAPs
like for example Bulgaria, Serbia, Hungary and other European countries many years ago. These
countries are now the leaders having already been well established in world market. In our
country organized MAPs cultivation except of some specific examples such as saffron in Kozani,
mastic in Chios Island, mountain tea in Magnesia and oregano in Thessaloniki, is at its
beginning. Unfortunately data availability via Ministry of Agriculture is limited while after 2012
is almost extinct. (Kounetas, 2014)
MAPs cultivation presents an increasing trend lately in terms of utilized area.
Figure 11 Total utilized area for MAP production in Greece
0
500
1000
1500
2000
2500
3000
3500
4000
4500
2011 2012 2013 2014 2015
hectars
Year
Totalareau.lizedforMAPproduc.on
55
Detailed data from the official cultivated land registry (OSDE) are presented in the following
Table for years 2011 up to 2015.
Table 16 Cultivated MAPs in Greece period 2011-2015 (Area in Hectares)
Plant species Year
2011 2012 2013 2014 2015 1 Oregano 1039.56 974.81 961.48 1108.79 1366.99 2 Lavender 41.19 82.84 192.41 450.36 628.38 3 Anise 831.85 448.85 324.96 441.13 509.14 4 Saffron 232.48 222.31 260.19 331.68 390.43 5 Mountain tea 118.84 114.74 118.13 182.24 305.36 6 Mustard 8.96 97.63 7 Lemon balm 96.40 8 Chamomile 21.61 81.20 9 Sage 20.04 26.57 24.39 36.31 63.72
10 Thyme 17.92 14.07 16.64 24.10 57.88 11 Rosemary 7.62 12.29 16.65 25.75 46.80 12 Peppermint 5.66 7.17 9.55 15.39 25.15 13 Spearmint 2.53 24.47 14 St John wort 1.81 21.90 15 Coriander 4.29 1.92 3.85 3.42 18.65 16 California Bluebell 4.82 11.70 18.05 17 Lemon verbena 5.41 16.03 18 Fennel 22.86 4.18 5.00 5.07 14.26 19 Basil 6.82 4.69 3.26 7.35 10.40 20 Dittany 4.74 4.95 5.53 4.92 8.56 21 Marjoram 7.04 3.69 3.12 4.60 8.36 22 Critama 3.28 7.99 23 Ghee 2.20 2.44 3.65 24 Wild mint 0.09 2.03 25 Nettle 0.60 1.62 26 Cardamom 0.07 0.23 0.36 1.08 1.31 27 Hyssop 0.05 0.09 0.40 0.15 1.13 28 Licorice 0.15 0.21 0.67 29 Cumin 0.22 0.25 0.05 0.48 30 Curry 0.06 0.03 0.32 31 Clary sage 0.17 0.22 0.06 0.17 0.06 32 Jasmin 0.50 0.01
As it can easily be seen the majority of MAPs show a tendency to increase cultivated area, while
there are species that even if they occur in Greek flora, it is now that their production is starting
to become more organized in terms of cultivation (i.e. mustard).
56
Figure 12 Area cultivated with Oregano, Lavender, Anise, Saffron, Mountain tea
Figure 13 Area cultivated with Mustard, Lemon balm, Chamomile, Sage, Thyme
Figure 14 Area cultivated with Rosemary, Peppermint, Spearmint, St. John wort, Coriander
0.00200.00400.00600.00800.001000.001200.001400.001600.00
2011 2012 2013 2014 2015
AreainHectars
Year
MAPsCul.va.oninGreece
OreganoLavenderAniseSaffronMountaintea
0
20
40
60
80
100
120
2011 2012 2013 2014 2015
AreainHectars
Year
MAPsCul.va.oninGreece
Mustard
Lemonbalm
Chamomile
Sage
Thyme
0.00
10.00
20.00
30.00
40.00
50.00
2011 2012 2013 2014 2015
AreainHectars
Year
MAPsCul.va.oninGreece
RosmaryPeppermintSpearmintStJohnwortCoriander
57
Figure 15 Area cultivated with California bluebell, Lemon verbena, Fennel, Basil, Dittany
Figure 16 Area cultivated with Marjoram, Critama, Ghee, Wild mint, Nettle
Figure 17 Area cultivated with Cardamom, Hyssop, Licorice, Cumin, Curry, Clary sage, Jasmin
0
5
10
15
20
25
2011 2012 2013 2014 2015
AreainHectars
Year
MAPsCul.va.oninGreece
CaliforniaBluebell
Lemonverbena
Fennel
Basil
DiNany
0.00
2.00
4.00
6.00
8.00
10.00
2011 2012 2013 2014 2015
AreainHectars
Year
MAPsCul.va.oninGreece
MajoranCritamaGheeWildmintNeNle
0.000.200.400.600.801.001.201.40
2011 2012 2013 2014 2015
AreainHectars
Year
MAPsCul.va.oninGreece
CardamomHyssopLicoriseCuminCurryClarysageJasmin
58
3.2 Current situation in processing of MAPs by domestic industries
In Greece the most common form of used of MAPs is the utilization of dry one as food seasoning
or herbal teas. There are some small family based companies that usually have their own
cultivations and by products also from other farmers. They cultivate area about five hectares and
prefer to have perennial species in order to minimize works like seeding. They are found all over
the country. Such companies are Tea Odyssey, Holomon, Phytosophia, Organic Islands, Arogaia,
Drogi, Iliostasio etc.
Another type of relative industry is MAPs distillery facilities. They are found mainly in Northern
Greece and produce essential oils mainly from lavender but also from oregano and in smaller
quantities from other MAPs such as rose. Such distilleries are HERBS & OILS, Vessel essential
oils, Alpha lavender, PANAROMA LTD, Dioscourides, Coop of Medicinal and Aromatic plants
of Voio, Eth-oil etc.
KORRES S.A. NATURAL PRODUCTS and APIVITA SA are two companies based in Attika,
and they are specialized to produce natural cosmetics and fragrances from MAPs in Greece.
They have invested for years in development of knowhow for natural formulations and presently
they offer a wide range of products. Their presence in foreign countries is remarkable as they are
exporting the biggest part of their production.
There is only one industry Vergina Brewery based in Komotini industrial area which produces
ready to drink cold tea named “TUVUNU” which in Greek means Mountain tea. They are selling
to all over the country and they export the product to Western Europe while they have created a
daughter company in the USA for exporting the product to N. American market.
59
3.3 Stakeholder Brief description
An analysis will be presented containing the stakeholders (who are they, where they are located,
roles and functions). Emphasis will be focused on the potential and capacity of creating added
value after harvest (processing and sales).
Stakeholders of MAPs sector are all involved parts that have operational role, interests or by any
means affect the sector. Following the product flow from production to consumption they could
be categorized in three main categories: a) those related to farms, b) those related to processors
and c) those related to sellers and consumers, d) Consumers, and e) Governments, Universities,
colleges, research centers and scientific community.
a) This category includes farmers, propagation materials suppliers, pesticides and fertilizers
suppliers, equipment and machinery suppliers and farm consultants. All the above
stakeholders collaborate in order to realize primary production. They are suppliers of
material and services and help farmers produce MAPs. Farmers associations are umbrella
organizations of farmers that protect farmers’ interests, inform and represent them when
events or matters of high significance occur.
b) This category includes processors, constructors of processing facilities, equipment
suppliers, packaging materials suppliers, consultants. These stakeholders contribute to the
processing of MAPs in order to have end products ready to be bought by consumers.
They collaborate with processors and this collaboration may be multileveled. Processors
associations are umbrella organizations that protect processors’ interests, represent them
and negotiate on behalf of them with other parts, governments etc. They inform their
members about recent developments, news, technical advances etc.
c) The third category includes agents, importers, exporters, wholesalers, distributors, SM
chains, small retailers (including agrotourism sales), e-shops and consumers. They are all
stakeholders which collaborate so that processed MAPs reach the vast majority of
consumers. They are trading the products in internal market, they export them they
60
distribute and sell them. Their associations operate the same way as the associations of
category b.
d) Consumers are the moving power of the whole system. They are the ones who buy the
products supporting the rest of the stakeholders. Consumer organizations are protecting
consumer’s rights represents and informs them for all important issues that arise relevant
to the MAPs.
e) Governments play important role are as they the legislative mechanisms that define the
rules of the system, while they supervise the implementation of the rules by all parts.
Universities, colleges, research centers and scientific community are the knowledge
production mechanisms. By their activity they are in position to affect the performance,
the behavior and the choices of all other stakeholders including governments.
61
GOVERNMENTS-UNIVERSITIES–COLLEGES–RESEARCHCENTERS–SCIENTIFICCOMMUNITY
Farmersassociations
Farm
Consultants
Prop.Materialsuppliers
Pesticides/fert.suppliers
Equipmentandmachinery
suppliers
Processors
Packagingcompanies,distilleries,cosmetics,
perfumeries…
AgentsExporters
InternalmarketorExports
Consumers
Wholesalers
Distributors
SM/Chains
Smallretailers
E-shops
Consumers
ConsumersDirectlyorviaAgentsorExporters
ProcessorsassociationsTradersassociations
ConsumersOrganizations
Figure 18 Flow diagram of MAPs from production to consumers where main stakeholders are presented
62
4. Market Analysis
4.1 Domestic market
Description of customs and trends in consumption of MAPs in Greece (Consumer habits and
requirements, consumer profile)
The domestic market has been extensively researched. However there is limited availability of
data especially since the financial crisis began in about 2008. From that year on there is a
decrease in quantity and quality of available data by the Hellenic Statistics Authority. Based on
earlier data that clearly show what the trends are there were two analyses made, one for tea and
one for seasoning material from dried MAPs.
4.1.1 Domestic consumption of MAPs as herbal tea
Regarding tea consumption the Hellenic Statistics Authority has made available information on
household consumption. The data present separately consumption of imported tea and native
herbal teas.
Table 17 Household consumption of imported and native herbal tea in Greek Regions
AllR
egiona
lDevelop
men
tServices(P
DS)
1st PDS
Evros
, Xanthi,
Rhod
ope,
Drama,
Kavala
2nd PDS
The
ssalon
iki,
Imathia,
Kilkis,
Pella
, Pieria
, Ser
res, Ha
lkidiki,
3rdPDS
Grevena
, Kastoria
, Ko
zani
, Florin
a
4thPDS
Arta,
The
sprotia
, Ioannina
, Preveza
5thPDS
Karditsa,
Larisa
, Magne
sia, Trik
ala
6thPDS
Zakynthos
, Ke
fallinia,
Kerkira
, Lefkada
7thPDS
Aito
lo-akarnania
, Achaia
, Ilia
8thPDS
Boe
otia
, Evvoia,
Evritania
, Fthoiotida,
Fokida
9thPDS
Attiki
10thPDS
Argolida,
Arcadia
, Co
rinthia
, Lacon
ia,
Messin
ia
11thPDS
Lesbo
s, Samos
, Ch
ios
12thPDS
Cyclade
s, Do
decane
se
13thPDS
Heraklion,
Lasith
i, Re
thym
no, C
hania
Total number of households
3.992.964 214.408 665.301 101.524 111.256 263.222 58.945 242.341 177.168 1.581.107 196.314 75.417 99.110 206.851
Tea 0,25 0,24 0,27 0,24 0,00 0,12 0,19 0,13 0,16 0,33 0,17 0,16 0,38 0,26
Herbaltea,importedtea,Europeantea
0,15 0,08 0,17 0,16 0,00 0,07 0,10 0,07 0,10 0,19 0,12 0,16 0,25 0,19
Mountaintea, chamomile, dictamus, sage etc.
0,10 0,16 0,10 0,08 0,00 0,05 0,09 0,06 0,06 0,14 0,05 0,00 0,13 0,08
63
Households in Aegean region and Athens followed by those of Thessaloniki spend more on tea.
Thessaly and Western Greece spend less. Epirus region has not provided data however it is
expected to be low since in those areas there are not big cities and there is a developed wild
collection activity followed by direct sales that would not normally be recorded.
2.88
3.12
2.04
3.96
4.56
1.92 1.44
1.92
1.56
2.28
0
3.24 2.88
Figure 19 Total expenses per household for tea (imported και domestic)
64
In terms of market size we observe that Athens market is above 6 million euros while
Thessaloniki exceeds 2 million euros followed by Crete and Evros with market of 670 and 617
thousand euros respectively.
292389
670197
400480
6261183
45194
144800 379039
340162
378051
134394
0
2155575
617495
Figure 20 Yearly tea market size per region for household consumption
65
When markets of imported tea and native herbal teas are separately plotted we observe that in all regions of the country imported tea is
the type with biggest market (Greeks spend at least double money on imported than native herbal tea).
Figure 21 Yearly imported (left) and domestic (right) tea market size per region
194926
3604923
471620
282692
29733
144800 221106
212601
203566
70734
0
1357214 205831
97463
2656259
198576
117788
15461
0 157933
127560
174485
63660
0
798361 411663
66
2.47%
5.67%
3.39%
52.98%
0.38%
1.23% 3.21%
2.88%
3.20%
1.14%
0%
18.24%
5.22%
In terms of the percentage of money spent on tea in the country about 53 % is spent in Athens
and 18% is spent in Thessaloniki followed by Crete (5.7%) and Evros (5.2%) with all other
regions to cover very small percentages.
Figure 22 Percentage of the total consumption of tea per region
67
8.16
16.68
9.48
9.84
9.72
5.04 8.76
9.84
9.96
12.12
8.64
9.24 5.64
Figure 23 Average yearly expenses per household for food seasoning
4.1.2 Domestic consumption of MAPs as food seasonings
Regarding food seasoning materials from dry MAPs information on household consumption has
been made available by the Hellenic Statistics Authority. The data present separately
consumption for each the regions.
Table 18 Household consumption of food seasoning from dry MAPs in Greek Regions
AllR
egiona
lDevelop
men
tServices(P
DS)
1st PDS
Evros
, Xanthi,
Rhod
ope,
Drama,
Kavala
2nd PDS
The
ssalon
iki,
Imathia,
Kilkis,
Pella
, Pieria
, Ser
res, Ha
lkidiki,
3rdPDS
Grevena
, Kastoria
, Ko
zani
, Florin
a
4thPDS
Arta,
The
sprotia
, Ioannina
, Preveza
5thPDS
Karditsa,
Larisa
, Magne
sia, Trik
ala
6thPDS
Zakynthos
, Ke
fallinia,
Kerkira
, Lefkada
7thPDS
Aito
lo-akarnania
, Achaia
, Ilia
8thPDS
Boe
otia
, Evvoia,
Evritania
, Fthoiotida,
Fokida
9thPDS
Attiki
10thPDS
Argolida,
Arcadia
, Co
rinthia
, Lacon
ia,
Messin
ia
11thPDS
Lesbo
s, Samos
, Ch
ios
12thPDS
Cyclade
s, Do
decane
se
13thPDS
Heraklion,
Lasith
i, Re
thym
no, C
hania
Total number of households
3.992.964 214.408 665.301 101.524 111.256 263.222 58.945 242.341 177.168 1.581.107 196.314 75.417 99.110 206.851
FoodseasoningfromdryMAPs
0.47 0.77 0.68 0.72 0.73 1.01 0.83 0.82 1.39 0.82 0.42 0.81 0.79
5.64 9.24 8.16 8.64 8.76 12.12 9.96 9.84 16.68 9.84 5.04 9.72 9.48
% 2.6 13.1 1.8 2.0 4.9 1.5 5.1 3.7 56.0 4.1 0.8 0.2 4.2
Total 47065596.2 1209261.1 6147381.2 828435.8 961251.8 2305824.7 714413.4 2413716.4 1743333.1 26372864.8 1931729.8 380101.7 96334.9 1960947.5
Athens households spent about
17 euros for food seasoning
materials from MAPs, followed
by Ionian Islands with 12 euros
per household while the rest of
the regions are about the same
spending from 9 to 10 euros per
household.
A possible explanation for that
could be the fact that most
seasoning materials in Greece
are imported while eating
preferences are not so different
68
between regions and there is not big difference on the total amount spent for seasoning material.
In the case of tea consumption there was a significant quantity of tea that was wild collected or
purchased directly from farmers and the fact that this consumed quantity could not be recorded
was falsely reflected like difference in the preference of the populations living in different
regions of the country.
On the other hand there are wild herbs like oregano that are collected by people. One more
explanation could be the fact that people from Asia that use more spices in their food are mostly
habitants of Athens and they are enough that they make a significant difference to the relevant
statistics.
69
As we can easily see the 56% of total household consumption of MAPs (26.37 million euros) as food seasoning materials is realized in
Attika. This is expected since almost half of country’s population lives in the area. However it is not only that but also we can see that
each household in the area spends more for buying food seasoning that all the other regions in the country. Taking under consideration
that the cuisine of the area is not more spicy we can attribute this difference to the fact that in Attika all food seasoning is bought in
stores and thus it is recorded while in other provincial areas the collection of wild MAPs although is contributes to household
seasoning use it cannot be recorded or estimated.
1.8%
56%
4.2%
4.1%
0.2%
0.8% 4.9%
3.7%
5.1%
1.5%
2%
13.1% 2.6%
828435
26372864
1960947
1931729
96334
380101 2305824
1743333
2413716
714413
961251
6147381 1209261
Figure 24 Percentage of consumption and total market size (in euros) for seasoning in households in Greek regions
70
Oregano production and sales in Greece
According to Hellenic Statistical Authority in recent years the oregano production in
Greece has increased from 85 tons in 2010 to 113 tons in 2013. Similarly sales from
80 tons in 2010 increased to 110 tons in 2013. Price of oregano has though decreased
from 10 euros per kilogram in 2010 to 6 euros/Kg in 2013.
Table 19 Production and sales of oregano in Greece (period 2010-2013)
Year Production(Kg) Sales(Kg) Value Price(Euros)/Kg2010 85,319 79,500 775,038 10 2011 108,530 106,830 728,831 7 2012 172,607 193,542 956,482 5 2013 113,214 109,318 685,656 6
71
4.2 Global Markets
Demand for natural ingredients increases globally. This is mainly based on the
implementation of good sourcing practices in primary health care and traditional medicine. In
addition, UN organizations, such as WHO and FAO, have developed several Good Practices
in the last 15 years related to the industry. Global market in 2008 for herbs and spices was
about 1.5 million tons or 6 billion dollars with main markets to be North America, Western
Europe and Asia Pacific. (RTS resource, 2011)
Figure 25 World market for spices and herbs, year 2009. (Modified from RTS resource, 2011)
72
Available data concerning the main MAPs form FAO (FAOSTAT 2015) recover that top five
production countries for tea are China, India, Kenya, Sri Lanka and Viet Nam.
Figure 26 Top five tea producer countries
In terms of productivity (quantity per unit of area) these are Malaysia. Iran, Bolivia, Burundi
and Equator.
Figure 27 Tea producer countries top five yields
Spice production in terms of achieved volume is concentrated in Asia. More specifically the
top five countries are India, Bangladesh, Turkey, China and Pakistan.
Figure 28 Top five spice producer countries
0500000
1000000150000020000002500000
China,mainland
India Kenya SriLanka VietNamProd
uc8o
ninto
nnes
country
Topfivecountriesinteaproduc8on
0
2000
4000
6000
8000
Malaysia Iran(IslamicRepublicof)
Bolivia(PlurinaLonalStateof)
Burundi Ecuador
MeanYield(Kg/He
ctare)
Country
Teaproducercountrieswithtopfiveyields
0
500000
1000000
1500000
2000000
India Bangladesh Turkey China,mainland
Pakistan
Prod
uc8o
ninto
nnes
Country
Topfivecountriesinspiceproduc8ons
73
In terms of productivity (quantity per unit of area) these are Mauritius, Vanuatu, Colombia,
Malaysia and Kuwait.
Figure 29 Spice producer countries top five yields
For ginger the top five production countries are India, China, Nepal, Indonesia and Nigeria.
Figure 30 Top five ginger producer countries
In terms of productivity they are Fiji islands, USA, Nepal, Indonesia and Nigeria.
Figure 31 Ginger producer countries top five yields
02000400060008000
1000012000140001600018000
MauriLus Vanuatu Colombia Malaysia Kuwait
Meanyield(Kg/He
ctare)
Country
Spiceproducercountrieswithtopfiveyields
0
200000
400000
600000
800000
India China,mainland
Nepal Indonesia Nigeria
Prod
uc8o
ninto
nnes
Country
Topfivecountriesingingerproduc8on
0
5000
10000
15000
20000
25000
30000
35000
Fiji UnitedStatesofAmerica
China Japan MauriLus
Meanyield(Kg/He
ctare)
Country
Gingerproducercountrieswithtopfiveyields
74
Top five producer countries for nutmeg, mace and cardamoms are Guatemala, Indonesia,
India, Nepal and Lao.
Figure 32 Top five nutmeg, mace and cardamom producer countries
In terms of productivity the biggest one is achieved in Malaysia, Dominica, Madagascar,
Togo and Malawi.
Figure 33 Nutmeg, mace and cardamom producer countries top five yields
As far as cloves are concerned top five producers are Indonesia, Madagascar, Tanzania, Sri
Lanca and Comoros.
Figure 34 Top five cloves producer countries
0
10000
20000
30000
40000
Guatemala Indonesia India Nepal LaoPeople'sDemocraLcRepublic
Prod
uc8o
ninto
nnes
Country
Topfivecountriesinnutmeg,maceandcardamomsproduc8on
02000400060008000100001200014000
Malaysia Dominica Madagascar Togo MalawiMeanyield(Kg/He
ctare)
country
Nutmeg,maceandcardamomsproducercountrieswithtopfiveyields
020000400006000080000
100000120000
Indonesia Madagascar UnitedRepublicofTanzania
SriLanka Comoros
Prod
uc8o
ninto
nnes
Country
Topfivecountriesinclovesproduc8on
75
Biggest productivity is achieved in China, Tanzania, Kenya and Sri Lanca
Figure 35 Cloves producer countries top five yields
For anise, badian, fennel and coriander top five producers are India, Mexico, Syria, China and
Iran
Figure 36 Top five anise, badian, fennel, coriander producer countries
The biggest productivity is achieved in Palestinian Territory followed by Mexico,
Netherlands, Australia and Guatemala.
Figure 37 Anise, badian, fennel and coriander producer countries top five yields
0200400600800100012001400
China,mainland UnitedRepublicofTanzania
Kenya SriLanka
Meanyield(Kg/he
ctare)
country
Clovesproducercountrieswithtopfouryields
0
100000
200000
300000
400000
500000
600000
India Mexico SyrianArabRepublic
China,mainland
Iran(IslamicRepublicof)Pr
oduc8o
ninto
nnes
Country
Topfivecountriesinanise,badian,fennel,corianderproduc8on
0
2000
4000
6000
8000
10000
12000
PalesLnianTerritory
Mexico Netherlands Australia Guatemala
Meanyield(Kg/He
ctare)
country
Anise,badian,fennelandcorianderproducercountrieswithtopfiveyields
76
4.3 Import-exports analysis
Imports and exports of tea
Imports of tea in Greece are about 1300 tons costing about 7,260,000 euros per year. Exports
of Tea are 46 tons costing 545000 euros. Export price is 11.7 and import one is 5.6 euros/Kg.
Figure 38 Imports of tea in Greece
Figure 39 Exports of tea from Greece
Figure 40 Price of imported and exported tea
0
1
2
3
4
5
6
7
01,000,0002,000,0003,000,0004,000,0005,000,0006,000,0007,000,0008,000,0009,000,000
10,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsoftea
Imports(euro) Imports(kg) ImportPriceperKg
02468101214161820
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Exportsoftea
Exports(euro) Exports(kg) ExportPriceperKg
0
5
10
15
20
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/KgofteaImportPriceperKg ExportPriceperKg
77
Figure 41 Tea imports exports balance in Euros
Figure 42 Tea imports exports balance in Kg
Regarding tradebalance, this is negative both in terms of capital and of net weight (Kg of
product). (MINAGRIC, 2015)
-10,000,000
-8,000,000
-6,000,000
-4,000,000
-2,000,000
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Euros
Year
Importsexportsandbalanceineurosoftea
Imports(euro) Exports(euro) Balance(euros)
-2,500,000
-2,000,000
-1,500,000
-1,000,000
-500,000
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgoftea
Imports(kg) Exports(kg) Balance(Kg)
78
Imports and exports of Pepper
Imports of pepper in Greece are about 1740 tons costing about 8.6 million euros a year.
Exports are 84 tons costing 225,000 euros. Import and export price are 4.9 and 2.7 euros per
Kg respectively.
Figure 43 Imports of pepper in Greece
Figure 44 Exports of pepper from Greece
Figure 45 Price of imported and exported pepper
0.00
1.00
2.00
3.00
4.00
5.00
6.00
01,000,0002,000,0003,000,0004,000,0005,000,0006,000,0007,000,0008,000,0009,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsofpepper
Imports(euro) Imports(kg) ImportsPriceperKg
0.00
1.00
2.00
3.00
4.00
5.00
6.00
0
100,000
200,000
300,000
400,000
500,000
2002200320042005200620072008200920102011201220132014
Euros/Kg
Euros-Kg
Year
Exportsofpepper
Exports(euro) Exports(kg) ExportsPriceperKg
0.00
1.00
2.00
3.00
4.00
5.00
6.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/Kgofpepper
ImportsPriceperKg ExportsPriceperKg
79
Figure 46 Pepper Imports Exports balance in euros
Figure 47 Pepper Import Export balance in Kg
Regarding trade balance this is negative both in terms of capital and of net weight (Kg). (MINAGRIC, 2015)
-10,000,000
-8,000,000
-6,000,000
-4,000,000
-2,000,000
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euro
Year
Importsexportsandbalanceineurosofpepper
Imports(euro) Exports(euro) Balance(euros)
-2,500,000
-2,000,000
-1,500,000
-1,000,000
-500,000
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgofpepper
Imports(kg) Exports(kg) Balance(Kg)
80
Imports and exports of Matte
Imports of mate in Greece are about 3.5 tons at 2.2 euros per Kg, costing about 8.000 euros a
year. Exports are practically nonexistent.
Figure 48 Imports of Mate in Greece
Figure 49 Exports of Mate from Greece
Figure 50 Price of Imported and Exported Mate
0.00
10.00
20.00
30.00
40.00
50.00
0
10,000
20,000
30,000
40,000
50,000
60,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsofmate
Imports(euro) Imports(kg) ImportPriceperKg
0.00
5.00
10.00
15.00
20.00
25.00
02,0004,0006,0008,00010,00012,00014,000
2002200320042005200620072008200920102011201220132014
Euros/Kg
Euros-Kg
Title
Year
Exportsofmate
Exports(euro) Exports(kg) ExportPriceperKg
0.005.0010.0015.0020.0025.0030.0035.0040.0045.0050.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/Kgofmate
ImportPriceperKg ExportPriceperKg
81
Figure 51 Mate Imports Exports balance in euros
Figure 52 Mate Imports Exports balance in Kg
Regarding trade balance this is negative because Greece is only importing small quantities of mate (MINAGRIC, 2015).
-60,000
-40,000
-20,000
0
20,000
40,000
60,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Euros
Year
Importsexportsandbalanceineurosofmate
Imports(euro) Exports(euro) Balance(euros)
-8,000
-6,000
-4,000
-2,000
0
2,000
4,000
6,000
8,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Kg
Year
ImportsexportsandbalanceinKgofmate
Imports(kg) Exports(kg) Balance(Kg)
82
Imports and exports of Saffron
Imports of saffron in Greece are about 29 kilograms costing about 18,000 euros a year.
Exports are 831 Kg costing 1,083,000 euros. Import and export price are 620 and 1304 euros
per Kg respectively
Figure 53 Imports of saffron in Greece
Figure 54 Exports of saffron from Greece
Figure 55 Price of imported and exported saffron
0.00200.00400.00600.00800.001000.001200.00
0100,000200,000300,000400,000500,000600,000700,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsofsaffron
Imports(euro) Imports(kg) ImportPriceperKg
0.00200.00400.00600.00800.001000.001200.001400.001600.001800.002000.00
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Eu
ros/Kg
Euros-Kg
Year
Exportsofsaffron
Exports(euro) Exports(kg) ExportPriceperKg
0.00200.00400.00600.00800.001000.001200.001400.001600.001800.002000.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/Kgofsaffron
ImportPriceperKg ExportPriceperKg
83
Figure 56 Saffron imports exports and balance in euros
Figure 57 Saffron imports exports and balance in Kg
Regarding trade balance this is highly positive because Greece has a good production of
saffron in Kozani area. The production is managed by the cooperative of Crocus and it has
always been a premium exported product (MINAGRIC, 2015).
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
'2002'2003'2004'2005'2006'2007'2008'2009'2010'2011'2012'2013'2014
Euros
Year
ImportsExportsandbalanceofSaffronineuros
Imports(euro)
Exports(euro)
Balance(euros)
-2,000
0
2,000
4,000
6,000
8,000
10,000
12,000
'2002'2003'2004'2005'2006'2007'2008'2009'2010'2011'2012'2013'2014
Kg
Year
ImportsexportsandbalanceofsaffroninKg
Imports(kg)
Exports(kg)
Balance(Kg)
84
Imports and exports of Anise, Fennel, Coriander, Cumin, Caraway and Cedrus
Imports of the above products in Greece are about 380 tons costing about 800,000 euros a
year. Exports are 13 tons costing 37,000 euros. Import and export price are 2.1 and 2.9 euros
per Kg respectively
Figure 58 Imports of anise, fennel, coriander cumin, caraway and cedrus in Greece
Figure 59 Exports of anise, fennel, coriander cumin, caraway and cedrus from Greece
Figure 60 Price of imported and exported anise, fennel, coriander cumin, caraway and cedrus
0.00
0.50
1.00
1.50
2.00
2.50
3.00
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
ImportsofAnise,FennelCorianderCuminCaraway&Cedrus
Imports(euro) Imports(kg) ImportPriceperKg
0.001.002.003.004.005.006.007.00
020,00040,00060,00080,000100,000120,000140,000160,000180,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
ExportsofAnise,FennelCorianderCuminCaraway&Cedrus
Exports(euro) Exports(kg) ExportPriceperKg
0.001.002.003.004.005.006.007.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/KgofAnise,FennelCorianderCuminCaraway&Cedrus
ImportPriceperKg ExportPriceperKg
85
Figure 61 Anise, fennel, coriander cumin, caraway and cedrus imports exports and balance in euros
Figure 62 Anise, fennel, coriander cumin, caraway and cedrus imports exports and balance in Kg
Regarding trade balance this is negative both in terms of capital and of net weight (Kg).This
happens because only for anise there is a significant production in Greece while for the rest
crops practically imports cover the domestic needs (MINAGRIC, 2015).
-1,500,000
-1,000,000
-500,000
0
500,000
1,000,000
1,500,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Euros
Year
ImportsexportsandbalanceineurosofAnise,FennelCorianderCuminCaraway&Cedrus
Imports(euro) Exports(euro) Balance(euros)
-1,500,000
-1,000,000
-500,000
0
500,000
1,000,000
1,500,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgofAnise,FennelCorianderCuminCaraway&Cedrus
Imports(kg) Exports(kg) Balance(Kg)
86
ImportsandexportsofNutmeg,AmonumandGardencress
Imports of Nutmeg, Amonum and Garden cress in Greece are about 75 tons costing about 676,000 euros a year. Exports are 2 tons costing 24.000 euros. Import and export price are 9 and 11.5 euros per Kg respectively
Figure 63 Imports of nutmeg, amomum and garden cress in Greece
Figure 64 Exports of nutmeg, amomum and garden cress from Greece
Figure 65 Price of imported and exported nutmeg, amomum and garden cress
0.002.004.006.008.0010.0012.0014.0016.00
0100,000200,000300,000400,000500,000600,000700,000800,000900,000
1,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
ImportsofNutmegAmomum&Gardencress
Imports(euro) Imports(kg) ImportPriceperKg
0.002.004.006.008.0010.0012.0014.0016.0018.0020.00
05,00010,00015,00020,00025,00030,00035,00040,00045,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Eu
ros/Kg
Euros-Kg
Year
ExportsofNutmegAmomum&Gardencress
Exports(euro) Exports(kg) ExportPriceperKg
0.00
5.00
10.00
15.00
20.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/KgofNutmegAmomum&GardencressImportPriceperKg ExportPriceperKg
87
Figure 66 Nutmeg, amomum and garden cress imports exports and balance in euros
Figure 67 Nutmeg, amomum and garden cress imports exports and balance in Kg
Regarding trade balance this is negative both in terms of capital and of net weight (Kg) since
there is not a significant production in Greece (MINAGRIC, 2015).
-1,000,000
-800,000
-600,000
-400,000
-200,000
0
200,000
400,000
600,000
800,000
1,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Euros
Year
ImportsexportsandbalanceineurosofNutmegAmomum&Gardencress
Imports(euro) Exports(euro) Balance(euros)
-100,000-80,000-60,000-40,000-20,000
020,00040,00060,00080,000100,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgofNutmegAmomum&Gardencress
Imports(kg) Exports(kg) Balance(Kg)
88
Importsandexportsofcloves
Imports of pepper in Greece are about 95 tons costing about 877,000 euros a year. Exports are
12 tons costing 108,000 euros. Import and export price are 8.8 euros per Kg.
Figure 68 Imports of cloves in Greece
Figure 69 Exports of cloves from Greece
Figure 70 Price of imported and exported cloves
0.001.002.003.004.005.006.007.008.009.0010.00
0100,000200,000300,000400,000500,000600,000700,000800,000900,000
1,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsofcloves
Imports(euro) Imports(kg) ImportPriceperKg
0.00
2.00
4.00
6.00
8.00
10.00
12.00
14.00
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Exportsofcloves
Exports(euro) Exports(kg) ExportPriceperKg
0.002.004.006.008.0010.0012.0014.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/Kgofcloves
ImportPriceperKg ExportPriceperKg
89
Figure 71 Cloves imports exports and balance in euros
Figure 72 Cloves imports exports and balance in Kg
Regarding trade balance this is negative both in terms of capital and of net weight (Kg) since there is not production in Greece (MINAGRIC,2015).
-1,000,000
-800,000
-600,000
-400,000
-200,000
0
200,000
400,000
600,000
800,000
1,000,000
'2002 '2003 '2004 '2005 '2006 '2007 '2008 '2009 '2010 '2011 '2012 '2013 '2014Euros
Year
Importsexportsandbalanceineurosofcloves
Imports(euro) Exports(euro) Balance(euros)
-100,000
-80,000
-60,000
-40,000
-20,000
0
20,000
40,000
60,000
80,000
100,000
'2002 '2003 '2004 '2005 '2006 '2007 '2008 '2009 '2010 '2011 '2012 '2013 '2014
Kg
Year
ImportsexportsandbalanceinKgofcloves
Imports(kg) Exports(kg) Balance(Kg)
90
Importsandexportsofcinnamon
Imports of cinnamon in Greece are about 740 tons costing about 2.4 million euros a year.
Exports are 64 tons costing 90,000 euros. Import and export price are 3.2 and 1.4 euros per
Kg respectively.
Figure 73 Imports of cinnamon in Greece
Figure 74 Exports of cinnamon from Greece
Figure 75 Price of imported and exported cinnamon
0.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
ImportsofCinnamonandFlowersofcinnamontree
Imports(euro) Imports(kg) ImportPriceperKg
0.000.501.001.502.002.503.003.504.00
010,00020,00030,00040,00050,00060,00070,00080,00090,000100,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Eu
ros/Kg
Euros-Kg
Year
ExportsofCinamonandFlowersofcinnamontree
Exports(euro) Exports(kg) ExportPriceperKg
0.000.501.001.502.002.503.003.504.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/KgofCinamonandFlowersofcinnamontree
ImportPriceperKg ExportPriceperKg
91
Figure 76 Cinnamon imports exports and balance in euros
Figure 77 Cinnamon imports exports and balance in Kg
Regarding trade balance this is negative both in terms of capital and of net weight (Kg) since
there is not production in Greece (MINAGRIC, 2015).
-3,000,000
-2,000,000
-1,000,000
0
1,000,000
2,000,000
3,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Euros
Year
ImportsexportsandbalanceineurosofCinamonandFlowersofcinnamontree
Imports(euro) Exports(euro) Balance(euros)
-800,000
-600,000
-400,000
-200,000
0
200,000
400,000
600,000
800,000
1,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgofCinamonandFlowersofcinnamontree
Imports(kg) Exports(kg) Balance(Kg)
92
Importsandexportsofcurcuma
Imports of pepper in Greece are about 76 tons costing about 111,000 euros a year. Exports are
3 tons costing 5,600 euros. Import and export price are about 1.7 euros per Kg.
Figure 78 Imports of curcuma in Greece
Figure 79 Exports of curcuma from Greece
Figure 80 Price of imported and exported curcuma
0.00
0.50
1.00
1.50
2.00
2.50
3.00
0
50,000
100,000
150,000
200,000
250,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsofcurcuma
Imports(euro) Imports(kg) ImportPriceperKg
0.002.004.006.008.0010.0012.0014.0016.00
01,0002,0003,0004,0005,0006,0007,0008,0009,00010,000
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Eu
ros/Kg
Euros-Kg
Year
Exportsofcurcuma
Exports(euro) Exports(kg) ExportPriceperKg
0.002.004.006.008.0010.0012.0014.0016.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/Kgofcurcuma
ImportPriceperKg ExportPriceperKg
93
Figure 81 Curcuma imports exports and balance in euros
Figure 82 Curcuma imports exports and balance in Kg
Regarding trade balance this is negative both in terms of capital and of net weight (Kg) since
there is not production in Greece (MINAGRIC, 2015).
-300,000
-200,000
-100,000
0
100,000
200,000
300,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Euros
Year
Importsexportsandbalanceineurosofcurcuma
Imports(euro) Exports(euro) Balance(euros)
-150,000
-100,000
-50,000
0
50,000
100,000
150,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgofcurcuma
Imports(kg) Exports(kg) Balance(Kg)
94
Importsandexportsofginger
Imports of pepper in Greece are about 303 tons costing about 790,000 euros a year. Exports
are about 2700 Kg costing about 14,000 euros. Import and export price are 2.6 and 5.1 euros
per Kg respectively.
Figure 83 Imports of ginger in Greece
Figure 84 Exports of ginger from Greece
Figure 85 Price of imported and exported ginger
0.00
0.50
1.00
1.50
2.00
2.50
3.00
0100,000200,000300,000400,000500,000600,000700,000800,000900,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsofginger
Imports(euro) Imports(kg) ImportPriceperKg
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
02000400060008000
1000012000140001600018000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Exportsofginger
Exports(euro) Exports(kg) ExportPriceperKg
0.001.002.003.004.005.006.007.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/Kgofginger
ImportPriceperKg ExportPriceperKg
95
Figure 86 Ginger imports exports and balance in euros
Figure 87 Ginger imports exports and balance in Kg
Regarding trade balance, this is negative both in terms of capital and of net weight (Kg of
product). However, it should be noted that there are native ginger biotypes that are growing in
mountain slopes of N. Greece, especially Epirus. The domestication and systematic
cultivation of those populations are challenges for the scientific and agricultural community
of the country. In such case this could contribute to reverse trade balance, while that would be
a totally new crop for this country (MINAGRIC, 2015).
-1,000,000
-800,000
-600,000
-400,000
-200,000
0
200,000
400,000
600,000
800,000
1,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Euros
Year
Importsexportsandbalanceineurosofginger
Imports(euro) Exports(euro) Balance(euros)
-400,000
-300,000
-200,000
-100,000
0
100,000
200,000
300,000
400,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgofginger
Imports(kg) Exports(kg) Balance(Kg)
96
ImportsandexportsofThyme
Imports of pepper in Greece are about 57 tons costing about 142,000 euros a year. Exports are
2.7 tons costing 16,500 euros. Import and export price are 2.5 and 6.6 euros per Kg
respectively.
Figure 88 Imports of thyme in Greece
Figure 89 Exports of thyme from Greece
Figure 90 Price of imported and exported thyme
0.001.002.003.004.005.006.007.00
0
50,000
100,000
150,000
200,000
250,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsofthyme
Imports(euro) Imports(kg) ImportPriceperKg
0.00
5.00
10.00
15.00
20.00
0
20,000
40,000
60,000
80,000
100,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Exportsofthyme
Exports(euro) Exports(kg) ExportPriceperKg
0.00
5.00
10.00
15.00
20.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/Kgofthyme
ImportPriceperKg ExportPriceperKg
97
Figure 91 Thyme imports exports and balance in euros
Figure 92 Thyme imports exports and balance in Kg
Regarding trade balance, this is negative both in terms of capital and of net weight (Kg of
product). Greece produces excellent quality of thyme. Moreover, the climate in the biggest
part of the country is absolutely suitable for thyme production. Thyme is a herb that is well
appreciated in markets of western Europe and Greek thyme has best credentials in terms of
quality, which is reflected in its gross export price that overcome double of that of imported
one (MINAGRIC, 2015).
-200,000
-150,000
-100,000
-50,000
0
50,000
100,000
150,000
200,000
250,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros
Year
Importsexportsandbalanceineurosofthyme
Imports(euro) Exports(euro) Balance(euros)
-300,000
-200,000
-100,000
0
100,000
200,000
300,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgofthyme
Imports(kg) Exports(kg) Balance(Kg)
98
Importsandexportsoflaurelleaves
Imports of laurel leaves in Greece are about 10.4 tons costing about 25,000 euros a year.
Exports are 120 Kg costing 2,140 euros. Import and export price are 2.4 and 18 euros per Kg
respectively.
Figure 93 Imports of laurel leaves in Greece
Figure 94 Exports of laurel leaves from Greece
Figure 95 Prices of imported and exported laurel leaves
0.00
1.00
2.00
3.00
4.00
5.00
6.00
020,00040,00060,00080,000100,000120,000140,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsoflaurelleaves
Imports(euro) Imports(kg) ImportPriceperKg
0.00
5.00
10.00
15.00
20.00
010,00020,00030,00040,00050,00060,00070,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Eu
ros/Kg
Euros-Kg
Year
Exportsoflaurelleaves
Exports(euro) Exports(kg) ExportPriceperKg
0.002.004.006.008.0010.0012.0014.0016.0018.0020.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/Kgoflaurelleaves
ImportPriceperKg ExportPriceperKg
99
Figure 96 Laurel leaves imports exports and balance in euros
Figure 97 Laurel leaves imports exports and balance in Kg
Regarding trade balance, this is negative both in terms of capital and of net weight (Kg of
product). However laurel tree, or else Daphne of Apollo, has always been in Greece and it
produces good quality aromatic leaves that are essential ingredient of many traditional
recipes. Also there is a big abundance of that tree which is in most cases self-grown and it can
be found in all regions and all microclimates. There are not any serious pests or diseases and
generally it is very easy species for cultivation. With an export price 7 times that of import
this crop could contribute very much in MAPs sector sustainability. It should be of high
priority for near future to organize big scale laurel farms and focus on exports of the crop
(MINAGRIC, 2015).
-150,000
-100,000
-50,000
0
50,000
100,000
150,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Euros
Year
Importsexportsandbalanceineurosoflaurelleaves
Imports(euro) Exports(euro) Balance(euros)
-30,000
-20,000
-10,000
0
10,000
20,000
30,000
40,000
50,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgoflaurelleaves
Imports(kg) Exports(kg) Balance(Kg)
100
Imports and exports of curry
Imports of pepper in Greece are about 67 tons costing about 203,000 euros a year. Exports are
2.3 tons costing 10,000 euros. Import and export price are 3 and 4.5 euros per Kg
respectively.
Figure 98 Imports of curry in Greece
Figure 99 Exports of curry from Greece
Figure 100 Prices of imported and exported curry
0.000.501.001.502.002.503.003.50
0
50,000
100,000
150,000
200,000
250,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Euros-Kg
Year
Importsofcurry
Imports(euro) Imports(kg) ImportPriceperKg
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
0
2,000
4,000
6,000
8,000
10,000
12,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Eu
ros/Kg
Euros-Kg
Year
Exportsofcurry
Exports(euro) Exports(kg) ExportPriceperKg
0.001.002.003.004.005.006.007.00
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Importsandexportsprice/Kgofcurry
ImportPriceperKg ExportPriceperKg
101
Figure 101 Curry imports exports and balance in euros
Figure 102 Curry imports exports and balance in Kg
Regarding trade balance, this is negative both in terms of capital and of net weight (Kg of
product). Lately there is a small production of curry species in Greece. Presently the
cultivated area is 0.32 hectares and 8 farmers are trying to produce it. The farms are in
Thessaloniki, Imathia, Kavala, Kozani, Pieria (Central Macedonia) and Rethymno (Crete). It
is an interesting effort and if successful then Greek MAP sector will have the opportunity to
enlarge the range of produced crops (MINAGRIC, 2015).
-250,000
-200,000
-150,000
-100,000
-50,000
0
50,000
100,000
150,000
200,000
250,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014Euros
Year
Importsexportsandbalanceineurosofcurry
Imports(euro) Exports(euro) Balance(euros)
-80,000
-60,000
-40,000
-20,000
0
20,000
40,000
60,000
80,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Kg
Year
ImportsexportsandbalanceinKgofcurry
Imports(kg) Exports(kg) Balance(Kg)
102
Essential Oils - Imports and exports
Regarding Imports of essential oils (EU Extra - external trade) in Greece there is a sharp
decline that coincides with global financial crisis in 2008 and takes low values during the
continuance Greek crisis. However it seems that lately there is a trend to reach the pre-crisis
levels.
Figure 103 Imports of essential oils in Greece from non EU countries
For Internal trade (EU-Intra) although the value has remained relatively constant the
transacted quantities have been reduced for the period 2009-2012 and lately they show a trend
of recovery to pre-crisis levels. (Source: Eurostat, 2015)
Figure 104 Imports of essential oils in Greece from EU countries
In exports of essential oils there is an increasing trend that seems to have not been affected in
the beginning of the crisis. However there is a decrease of exports in internal European
market (EU-Intra) from 2012 on.
0
50000
100000
150000
200000
250000
300000
350000
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Qua
n8tyinKg
ValueinEuros
Year
Importsofessen8aloilsinGreece(EU-Extra)
ValueinEuros
QuanLtyinKg
0
2000000
4000000
6000000
8000000
10000000
0
20,000,000
40,000,000
60,000,000
80,000,000
100,000,000
120,000,000
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Qua
n8tyinKg
ValueinEuros
Year
Importsofessen8aloilsinGreece(EU-Intra)
ValueinEuros QuanLtyinKg
103
Figure 105 Exports of essential oils from Greece to non EU countries
Figure 106 Exports of essential oils from Greece to EU countries
Regarding the mean prices of essential oils in the market they follow a rather smooth course
with only exception the intra-European import prices that have been increased in 2008 and
reached a peak in 2009 of a threefold compared to the prices before financial crisis.
Figure 107 Essential oils mean price
0
200000
400000
600000
800000
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Qua
n8tyinKg
ValueinEuros
Year
Exportsofessen8aloilsfromGreece(EU-Extra)
ValueinEuros QuanLtyinKg
0
500000
1000000
1500000
2000000
0
2,000,000
4,000,000
6,000,000
8,000,000
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Qua
n8tyinKg
ValueinEuros
Year
Exportsofessen8aloilsfromGreece(EU-Intra)
ValueinEuros QuanLtyinKg
0
5
10
15
20
25
30
35
40
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Euros/Kg
Year
Essen8aloilsmeanprice(IntraandExtraEU-ImportsandExports)
EU28_EXTRAImportsEU28_EXTRAExportsEU28_INTRAImports
104
WorldMarket
Essential oils Imports and Exports
The world market of essential oils is more than 25 billion dollars, while the transacted quantities are 1.5 billion kilograms (UN COMTRADE, 2015). There is a constantly increasing trend both in terms of total turnover and kilograms traded.
Figure 108 World imports and exports of essential oils
Figure 109 Comparison between Greek and world essential oils mean price
The comparison of world price of essential oils and those achieved in Greece reveals two
interesting conclusions. First conclusion is the fact that Greece used to import essential oils in
a price far higher than world mean price, but nowadays there is no practical difference.
Second conclusion is that the prices Greece exports essential oils are lower than world mean
price. A more detailed analysis is necessary to understand the reasons why this is happening,
however due to lack of data regarding specific essential oils and their price this was not
feasible in this study. There is a general belief that the prices achieved by Greek firms when
selling products abroad are worse that prices achieved by companies based in other countries.
Classic example is the lavender oil that is sold to French cosmetics and perfumery companies
and Greek companies sell to them indirectly through Bulgarian mediator companies.
0
500,000,000
1,000,000,000
1,500,000,000
2,000,000,000
2,500,000,000
3,000,000,000
0
5,000,000,000
10,000,000,000
15,000,000,000
20,000,000,000
25,000,000,000
30,000,000,000
2010 2011 2012 2013 2014
Qua
n8tyinKg
Marketv
alue
in$
Year
WorldImportsandExportsofessen8aloils
ImportsTurnover ExportsTurnoverImportedQuanLtyKg ExportedQuanLtyKg
0
10
20
30
40
50
2010 2011 2012 2013 2014
Price($/Kg)
Year
Essen8aloilsmeanprice
Meanworldimportsprice($/Kg) Meanworldexportsprice($/Kg)MeanGreekimportsprice($/Kg) MeanGreekixportsprice($/Kg)
105
At world level the main essential oils importers in terms of commodity value are USA, France
Mexico, UK and Germany followed by Spain, Italy, China, Russian Federation and Indonesia
(UN COMTRADE, 2015).
Figure 110 Top ten essential oils importers in 2014 in US$
Regarding the quantity imported the main importing countries are Spain, UK, France, USA
and Germany followed by Philippines, Mexico, Poland, Italy and Netherlands (UN
COMTRADE, 2015).
Figure 111 Top ten essential oils importers in 2014 in net weight (Kg)
The main exporting countries in terms of trade value are Ireland, France, USA, Germany and
Switzerland followed by Singapore, UK, Netherlands, China and India (UN COMTRADE,
2015).
0500,000,000
1,000,000,0001,500,000,0002,000,000,0002,500,000,0003,000,000,0003,500,000,000
USA France Mexico UnitedKingdom
Germany Spain Italy China RussianFederaLon
Indonesia
Trad
evalue(US$)
Country
Toptenessen8aloilsimportersin2014-Tradevalue(US$)
0
20,000,000
40,000,000
60,000,000
80,000,000
100,000,000
120,000,000
Netweight(kg)
Country
Toptenessen8aloilsimportersin2014-Netweight(kg)
106
Figure 112 Top ten essential oils exporters in 2014 in US$
Regarding the quantity exported the main exporting countries are Germany, USA, Ireland,
France and Singapore followed by Switzerland, China, Brazil, Netherlands and UK (UN
COMTRADE, 2015).
Figure 113 Top ten essential oils exporters in 2014 in net weight (Kg)
0
2,000,000,000
4,000,000,000
6,000,000,000
8,000,000,000
10,000,000,000Trad
evalue(US$)
Country
Toptenessen8aloilsexportersin2014-Tradevalue(US$)
0
40,000,000
80,000,000
120,000,000
160,000,000
Netweight(kg)
Country
Toptenessen8aloilsexportersin2014-Netweight(kg)
107
Spice Market
The world spice market is about 9 billion dollars and the traded quantity is about 6 million
tons. (UN COMTRADE, 2015)
Figure 114 World imports and exports of spices in Kg and UD$
Regarding mean import and export prices Greek imports are generally realized in higher than
mean world price. However in exports the Greek companies achieve far better prices than
mean world spice price.
Figure 115 Comparison between Greek and world spice mean price
0
1,000,000,000
2,000,000,000
3,000,000,000
4,000,000,000
5,000,000,000
6,000,000,000
7,000,000,000
8,000,000,000
9,000,000,000
10,000,000,000
0
1,000,000,000
2,000,000,000
3,000,000,000
4,000,000,000
5,000,000,000
6,000,000,000
7,000,000,000
8,000,000,000
9,000,000,000
10,000,000,000
2010 2011 2012 2013 2014
Qua
n8tyinKg
Marketv
alue
in$
Year
Worldimportsandexportsofspices
Importsturnover Exportsturnover
ImportsQuanLtyKg ExportsQuanLtyKg
0
2
4
6
8
10
12
14
2010 2011 2012 2013 2014
Price($/Kg)
Year
Spicesmeanprice
Meanworldimportsprice MeanGreekimportsprice
Meanworldexportsprice MeanGreekexportsprice
108
At world level the main spice importers in terms of commodity value are USA, Germany,
India, Netherlands and UAE followed by Japan, Singapore, UK, Malaysia and France (UN
COMTRADE, 2015).
Figure 116 Top ten spice importer countries in US$
Regarding the quantity imported the main importing countries are Egypt, USA, UAE, India
and Malaysia followed by Pakistan, Germany, Netherlands, Japan and UK (UN
COMTRADE, 2015).
Figure 117 Top ten spice importer countries in net weight (Kg)
0
200,000,000
400,000,000
600,000,000
800,000,000
1,000,000,000
1,200,000,000
1,400,000,000
1,600,000,000
Trad
evalue(US$)
country
Toptenspiceimportersin2014-Tradevalue(US$)
0500,000,000
1,000,000,0001,500,000,0002,000,000,0002,500,000,0003,000,000,0003,500,000,0004,000,000,000
Netweight(Kg
)
Country
Toptenspicesimportersin2014-Netweight(kg)
109
The main exporting countries in terms of trade value are India, Viet Nam, China, Indonesia
and Netherlands followed by Brazil, Singapore, Germany, Spain and Madagascar, (UN
COMTRADE, 2015).
Figure 118 Top ten spice exporter countries in US$
Regarding the quantity exported the main exporting countries are India, China, Indonesia,
Netherlands and UAE followed by Spain, Peru, Singapore, Brazil and Turkey (UN
COMTRADE, 2015).
Figure 119 Top ten spice exporter countries in net weight (Kg)
0400,000,000800,000,000
1,200,000,0001,600,000,0002,000,000,000
Trad
evalue(US$)
Country
Toptenspiceexportersin2014-Tradevalue(US$)
0
200,000,000
400,000,000
600,000,000
800,000,000
1,000,000,000
Netweight(Kg
)
Country
Toptenspiceexportersin2014-Netweight(kg)
110
TeaMarket
Theworldteamarketisabout6billiondollarsandthetradedquantityisabout1.5million
tons.
Figure 120 World imports and exports of tea in UD$ and Kg
Regardingmeanimportandexportprices,Greekimportpricesaregenerallyslightlyhigher
than mean world import price. However in exports the Greek companies achieve prices
betterthandoublemeanworldteaprice.
Figure 121 Comparison between Greek and world tea mean price
0
500,000,000
1,000,000,000
1,500,000,000
2,000,000,000
2,500,000,000
3,000,000,000
3,500,000,000
4,000,000,000
0
1,000,000,000
2,000,000,000
3,000,000,000
4,000,000,000
5,000,000,000
6,000,000,000
7,000,000,000
8,000,000,000
2010 2011 2012 2013 2014
Qua
n8tyinKg
Marketv
alue
in$
Year
Worldimportsandexportsoftea
ImportsTurnover ExportsTurnover
ImportedQuanLtyKg ExportedQuanLtyKg
0
5
10
15
20
25
2010 2011 2012 2013 2014
Price($/Kg)
Year
Teameanprice
Meanworldimportsprice($/Kg) MeanGreekimportsprice($/Kg)Meanworldexportsprice($/Kg) MeanGreekexportsprice($/Kg)
111
AtworldlevelthemainspiceimportersintermsofcommodityvalueareRussianFederation,
USA,UK,EgyptandPakistanfollowedbyGermany,Morocco,Japan,FranceandCanada(UN
COMTRADE,2015).
Figure 122 Top ten tea importer countries in US$
Regarding the quantity imported the main importing countries are Russian Federation,
Pakistan,USA,UKandEgyptfollowedbyAfghanistan,Morocco,Germany,PolandandJapan
(UNCOMTRADE,2015).
Figure 123 Top ten tea importer countries in net weight (Kg)
0
200,000,000
400,000,000
600,000,000
800,000,000
Trad
evalueUS$
country
Toptenteaimportersin2014-Tradevalue(US$)
0
50,000,000
100,000,000
150,000,000
200,000,000
Netweight(Kg
)
country
Toptenteaimportersin2014-Netweight(kg)
112
ThemainexportingcountriesintermsoftradevalueareSriLanka,China,India,Germany
andPolandfollowedbyVietNam,UK,Indonesia,ArgentinaandUSA(UNCOMTRADE,2015).
Figure 124 Top ten tea exporter countries in US$
RegardingthequantityexportedthemainexportingcountriesareSriLanka,China,India,
VietNamandArgentinafollowedbyIndonesia,Uganda,Malawi,UnitedRep.ofTanzania
andGermany(UNCOMTRADE,2015).
Figure 125 Top ten tea exporter countries in net weight (Kg)
0
400,000,000
800,000,000
1,200,000,000
1,600,000,000
2,000,000,000
SriLanka China India Germany Poland VietNam UnitedKingdom
Indonesia ArgenLna USA
Trad
evalue(US$)
country
Toptenteaexportersin2014-Tradevalue(US$)
050,000,000
100,000,000150,000,000200,000,000250,000,000300,000,000350,000,000
SriLanka China India VietNam ArgenLna Indonesia Uganda Malawi Tanzania Germany
Netweight(Kg
)
country
Toptenteaexportersin2014-Netweight(kg)
113
European Market
Health ingredients
European market regarding health ingredients production has been mainly concentrated in
Germany, Italy, France, and UK while Eastern Europe is stronger in wild collection. An
overview of the main EU markets and their characteristics is presented in the following Table
(CBI, 2015a).
Table 20 Main EU markets for health ingredients and their characteristics (Modified from CBI, 2015a)
Production Processing Trade Herbal medicinal products market
Food supplement
market
Germany Large EU producer of MAPs
Largest extraction industry
Largest importer, highest share imports from developing countries
Largest market EU, also interest in aromatherapy Large market
Italy Large EU producer of MAPs
Strong extraction industry
Main importer MAPs/extracts Medium market Largest market
France Large EU producer of MAPs (use in cosmetics)
Strong extraction industry
Main importer MAPs/extracts
Large market EU, also interest in aromatherapy Large market
UK Small EU producer of MAPs
Strong traders MAPs/extracts
Medium market (relatively large Interest Ayurveda/TCM)
Large market; focus on multi- herb products
Eastern Europe
Large and growing producers, strong in wild- collection, sourcing from Ukraine, Russia, Poland
Strong extraction industry (Poland) for Western Europe, e.g. Germany
Latvia and Poland are regional trader, between Eastern and Western Europe (e.g. Germany)
Growing markets (Poland, Romania, Slovakia, incl. in terms of exports to and from Russia, Ukraine)
Growing markets (incl. in terms of exports to Russia)
Consumer health care products association has presented a compilation of known data on
over-the-counter (OTC) medicine retail sales in North America. The figures differ depending
upon the source and differing definitions as to what constitutes "OTCs". OTC Retail Sales are
reported for the period from 1964 to 2013 (CHPA, 2015).
114
Figure 126 Evolution of OTC medicine market in US$
(CHPA Disclaimer) Data on self-medication products are unavailable or incomplete from several European countries. Consumption is based on the following countries: Austria, Belgium, Bulgaria, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Italy, the Netherlands, Norway, Poland, Portugal, Slovenia, Spain, Sweden, Switzerland, and the UK. Therefore, care should be taken when drawing conclusions based on the figure below.
Regarding the type of self-medication product the biggest share of market is occupied by
Analgesics, followed by Cough and Cold, Digestives, Skin treatment and Vitamins and
minerals. MAPs are used as first materials by relative industry for the production of above
mentioned products.
Figure 127 European market for self-medication products, 2011-2013, in € billions
0
5
10
15
20
25
30
35
2014
2012
2010
2008
2006
2004
2002
2000
1998
1996
1994
1992
1990
1988
1986
1984
1982
1980
1978
1976
1974
1972
1970
1968
1966
1964
Billion
sof$
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OTCMarketSize
115
The development rates for OTC medicines have an increasing trend which overcomes the
development rates of conventional medicines. (AESGP, 2015).
Figure 128 Comparison of development rates for OTC and pharmaceutical products. Source AESGP Annual report 2014-2015
Biggest suppliers of MAPs imports in EU are Egypt, Morocco, China and Turkey.
Figure 129 Leading suppliers of European imports of MAPs 2010-2014, in 1000 tones
116
While biggest importer countries are Germany, France, Spain, Netherlands Italy and UK.
Figure 130 Leading European importers of MAPs 2010-2014, in 1000 tones
Regarding extracts imported to EU the biggest suppliers is China, followed by Iran, Brazil, Mexico
and India.
Figure 131 Leading suppliers of European imports of extracts, 2010-2014, in 1,000 tons
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Figure 132 Leading European importers of extracts, 2010-2014, in 1,000 tonnes
Netherlands used to be the leading European importer of extracts until 2012. It seems that this
has changed and now Germany has replaced it closely followed by France. Spain, Italy UK
and Belgium are big importers also.
Regarding exports of MAPs from European countries the biggest customers are Germany,
UK, France, Poland, Spain, Italy, Netherlands, still EU countries or else EU internal market
(EU-Intra) and USA.
Figure 134 Destinations of European exports of MAPs, 2010-2014, in 1,000 tons
Figure133LeadingsuppliersofEuropeanimportsofextracts,2010-2014,in1,000tonnes
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The same pattern is observed for exports of extracts from European countries. Biggest
customers are France, Belgium, Spain, Germany, (EU-Intra) Equatorial Guinea, Israel and
UK.
Figure 135 Destinations of European exports of extracts, 2010-2014, in 1,000 tons
According to European Spice Association (ESA) European spice and seasonal market is
constantly growing. The per capita consumption of spices, herbs and seasonings in Europe is
approximately 900 gr. The European Spice and Seasoning Industry, hence, represents
approximately 6.5 Billion EUR in annual turnover, as such being part of the much bigger food
and drink industry, with a share of stomach of less than 1%.
Spices are also grown in Europe, prominent examples being the paprika from Spain or
Hungary. However, most of the spices are coming from countries with a warmer climate. The
import of spices growing correspondingly to the market development. In 2014, around
415.000 mt of herbs and spices have been imported into Europe, the most important spice
being pepper with 60.000 mt alone (esa-industry-statement).
Culinary Herbs and Spices are edible parts of plants that are traditionally added to foodstuffs
for either their natural flavoring, aromatic and/or visual properties. ESA has issues a List of
Culinary Herbs and Spices that is presented in the following Table.
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Table 21 ESA List of Culinary Herbs and Spices
HERBS AND SPICES Common name BOTANICAL NAME
CLIMATE ZONE2)
TR = tropical TE = temperate SU = subtropical
HERB OR SPICE
Anise seed Pimpinella anisum TE Spice Asafoetida Ferula asafoetida TE, SU Spice
Basil Ocimum basilicum TE Herb Borage leaf Borago officinalis TE Herb Caraway Carum carvi TE Spice Cardamom seeds Elettaria cardamomum TR Spice Cardamom, whole pods Elettaria cardamomum TR Spice
Celery leaves Apium graveolens dulce TE Herb Celery seed Apium graveolens TE Spice
Chervil Anthriscus cerefolium TE Herb Chillies Capsicum frutescens or
annuum TR, TE Spice
Chives Allium schoenoprasum TE Herb
Cinnamon
Cinnamomum zeylanicum Cinnamomum burmannii* Cinnamomum loureirii * Cinnamomum aromaticum* TR Spice
Cloves Syzygium aromaticum TR Spice
Coriander leaves Coriandrum sativum TE Herb Coriander seed Coriandrum sativum TE Spice Cumin seed Cuminum cyminum TE Spice Curry leaf Murraya koenigii TR, SU Herb
Dill seed Anethum graveolens, Anethum sowa TE, SU Spice
Dill tops Anethum graveolens TE Herb Fennel seed Foeniculum vulgare TE Spice Fenugreek Trigonella foenum-graecum TE Spice
Galangal
Alpinia officinalis, Alpinia officinarum, Kaempferia Galangal, TR
Spice
Garlic Allium sativum TE Spice Ginger Zingiber officinale TR Spice Grains of paradise Aframomum melegueta TR Spice Juniper berries Juniperus communis TE Spice Kaffir Lime Leaves Citrus hystrix TR Herb Laurel (Bay) leaves Laurus nobilis TE Herb Lavender flower Lavandula officinalis TE Herb Lavender leaf Lavandula officinalis TE Herb Lemon Grass Cymbopogon citratus TR Herb Lovage Levisticum officinale TE Herb Lovage Levisticum officinale TE Spice Mace Myristica fragrans, Myristica
argentea TR Spice
Marjoram Majorana hortensis, Syn. Origanum majorana TE Herb
Mexican oregano Lippia graveolens TE, SU Herb
Mustard seed
Sinapis alba, Sinapis nigra Brassica nigra, Brassica juncea TE Spice
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HERBS AND SPICES Common name BOTANICAL NAME
CLIMATE ZONE2)
TR = tropical TE = temperate SU = subtropical
HERB OR SPICE
Nigella seeds (kaljoni seed, or improperly "onion seeds", or "black cumin seeds", or"black caraway seeds") Nutmeg
Nigella sativa Myristica fragrans TR, SU Spice
Onion and shallot, dried Allium cepa & allium cepa var. aggregatum
TR TE Spice
Oregano Origanum vulgare Origanum onites TE Herb
Paprika Capsicum annuum or frutescens TE Spice
Parsley Petroselinum crispum, Petroselinum sativum TE Herb
Pepper, green3) Piper nigrum TR Spice Pepper, black Piper nigrum TR Spice Pepper, white Piper nigrum TR Spice
Pink pepper Schinus terebinthifolius Schinus molle TR Spice
Cubeb pepper, Java pepper Piper cubeba L. TR Spice
Peppermint Mentha piperita TE Herb Pimento Pimenta dioica TR Spice Pimento (Allspice) Pimenta dioica TR Spice Rosemary Rosmarinus officinalis TE Herb Saffron Crocus sativus TE Spice
Sage Salvia officinalis, Salvia triloba TE Herb
Sumac/Sumach Rhus coriaria TE Spice
Summer savory Satureja montana TE Herb
Winter savory Satureja hortensis TE Herb Sichuan pepper Zanthoxylum piperitum TE Spice
Spearmint Mentha spicata TE Herb Star anise Illicium verum TE Spice
Tarragon Arteminisia dracunculus TE Herb
Thyme Thymus vulgaris ,Thymus zygis, Thymus serpyllum TE Herb
Turmeric Curcuma longa TR Spice
Vanilla Vanilla planifolia Vanilla tahitensis TR Spice
TeaMarket
European tea market shows an increasing trend. Market value has constantly been growing
for the last decade and there is a strong tendency to continue growing. All types of tea show
this tendency, however it is happening in greater degree at RTD tea. The countries that
contributed data are Austria, Belgium, Czech Republic, Finland, Germany, Greece, Hungary,
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Ireland, Italy, Netherlands, France, Denmark, Norway, Poland, Portugal, Russia, Spain,
Sweden, Switzerland, Turkey, United Kingdom and Romania. (Marketline, 2015).
Figure 136 Tea market value for several types of tea
Market prices are formed based on demand and supply of the commodities. Regarding MAPs
in Europe it seems that organic certification contributes significant added value to the
products. In the following table prices of the same period (Dec 2009 and Jan 2010) there is a
comparison of prices of the same MAP in organic and conventional status. (CBI, 2010)
Table 22 Comparison of prices of the same MAP in European market for organic and conventional products (Table modified from CBI, 2010)
Product
Price
Organic(Dec2009) Conventional(Jan2010)
1 Cardamom 20.7 € 20.9 - € 13.9
2 Caraway seed 6.10 – 6.45 € 2 - €1.7
3 Cinnamon bark 14.25 € 7
4 Cloves 9.70 – 9.90 € 3.5 - € 3,3
5 Coriander seed 3.6 – 7.7 € 1.2 - € 1.2
6 Ginger 7.4 – 8.60 € 1.3 - € 1.2
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
Valueinm
illionsofU
Sdo
llars
Year
TeamarketvalueBlackStandardTea Fruit/HerbalTea BlackSpecialtyTea
GreenTea InstantTea RTDtea
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5. The Greek Experience and modern times.
5.1 Modern times
Greek farms and processing facilities were visited for interviews. Brief information about the
visited farms and companies are presented below. Interviewed farms and companies profiles,
as well as interview findings are presented in Appendix I of the present study.
• AGRONEW company
The company was founded in 2013 and it is situated in Polykastro Kilkis. They are
specialized in lavender production. They possess nursery facilities and provide collaborative
farmers with necessary propagation material and they can do the planting for them. They also
cultivate seven hectares of lavender. In 2015 they have launched their first commercial
products. Except of the classic markets for lavender oil like Bulgaria they see an opportunity
in emerging markets such as China and other European markets such as Finland and Holland.
They strongly believe that young unemployed Greeks could profitably be involved in the
sector with an area of two hectares (for beginning) and a small distillery at a price of 3000
euros.
• ANEMOILEKTRIKI SA
Anemoilektriki SA is a company specializing in sustainable energy and has lately entered the
MAPs sector. The owner is former bank employee who has seen the sector as an opportunity
to invest. They cultivate mainly Olympus Mountain tea and a variety of another about forty
MAPs. They believe that young Greeks can enter the sector cultivating mountain tea. The
crop is easy to cultivate, there are not big demands for expensive machinery and the
cultivation in small fields can be entirely manual from planting to the harvesting. Moreover
the income of the produce is quite satisfactory.
• BIO-Pegasus (Giannis Moraitis)
The company has been created by a former pharmaceutical company employee. He has seen
the sector is dynamic and decided to cultivate MAPs and super-fruits, process them and
market the products. There are new facilities with increased capacity in terms of processing
tea and other MAPs and the company has been well established in the N. Greece market.
They believe that the sector is not saturated yet and young people can enter with small areas.
They should have vision and willingness and thus they will have a decent income because
good quality means good farmer price. He is buying almost all MAPs from other farmers and
he is willing to buy good quality products from young MAPs farmers.
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• Chalkias Dimitris
He has started his activity in 2007. He has taken advantage of the fact that he comes from a
village built in high altitude on Olympus mountain named Karia. The main disadvantage of
the area (high altitude and cold climate) has become the ideal opportunity to produce
Olympus mountain tea of high quality. He has started by collecting seeds from the wild
population. Nowadays he has an area of nine hectares of tea. He is well known and he can
make good profit by his activity, so good that he easily rejects offers at double price in
comparison to mean product market price.
• COOP of VOIO
The coop of Voio was founded in 2004. They have started cultivation of Damascus Rose
aiming at the market f essential oils of roses. Today they are 73 members with an area of
thirty hectares of roses and thirty hectares of lavender. They have distillery facilities where
members can distil their production while they prepare to build one more. This year they
expect member’s number to double by enrolling new members. The average profile of
members is unemployed young person who happens to possess a field in mountainous not so
fertile area. They believe that MAPs sector is most promising agricultural sector regarding
youth. Indicatively they support that a farmer can make 6000 or 3500 euros per hectare
cultivating roses or lavender respectively.
• DIOSCOURIDIS company
The company has been founded in Anarachi, Ptolemaida a mountainous area of N. Greece by
Mr. Stergios Tzimikas who is a doctor specialized in general pathology. They have started
with tea mainly but now they are also doing food seasoning having a great interest for Greek
Oregano. They believe that the secret of success is good quality. However it is also of great
importance to achieve critical quantity so that the products can enter the supermarkets. They
consider that attractive markets are found all over the world but specially in N. American and
Gulf countries. According to them MAPs sector is a good opportunity for young people
because there are not big demands in investment (regarding cultivation) and they are generally
speaking easy crops because they do not need fertilization and crop protection. Biggest
problem is weed control which can be done manually. The company buys from a pool of
collaborative farmers while there is a constant search for high quality produce especially for
greek oregano for which they are willing to pay double price as long as it is of good quality.
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• ETHOIL company
The company has been founded in 2004 and completed their investment in processing,
packaging and distillery facilities in 2008. They have their own cultivations of MAPs and they
provide service for others who want to process their products. They also have special
chamomile harvesters acquired in central Europe and they can do the harvesting for
themselves and other interested farmers. They recommend the sector for young and
unemployed Greeks and they think that there is a good future only in collaborative big scale
efforts. He buys from other farmers their production.
• Goulis Nikolaos
Mr. Goulis is an agronomist based in Agios Pavlos, Chalkidiki area. He cultivates anise that is
used in spirit industry for ouzo and tsipouro production. He incorporated long family tradition
and experience with good agricultural practices and the result is a quality produce that is sold
in a fair price. There are no problems in selling the produce and since the quality is good he
feels no threat from imported anise. He recommends to young Greeks to get involved in the
sector as long as the cultivated are is close to client industry (spirits).
• Herbs and Oils (Mallini Eirini)
Mrs Malini has studied business administration in UK and when she came back to her village
she decided to enter MAPs sector. Her main production is lavender but she also cultivates
mountain tea and sage. She has the dry herbs sector of the company while her brother left his
job at sales department of a multinational company and he is now marketing the essential oils
that the company produces since from 2015 they also have herb distillation production line.
They believe that the medicinal and aromatic plants have big potential and there are a lot of
available markets for the greek MAPs. They are a good alternative especially for replacing
cereals which do not offer any notable agricultural income any more.
• HOLOMON (Papakonstantinou Stella)
Mrs Papakonstantinou is continuing family tradition in collecting wild MAPs, processing
them and taking the final products to the market. She also cultivates small area with MAPs.
She has found her way to the market by taking advantage of the high tourist activity of
Halkidiki, so she sells to tourists through small retailers and hotel shops. She has now modern
facilities and can process a big quantity creating several final products. Because of the
increased demand she is willing to buy from young MAPs farmers.
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• Imprahim Seimi
He is a farmer in Simandra Xanthi. He has recently started cultivation of mountain tea. He
wants to sell the produce to Vergina Brewery for the TUVUMU RTD cold tea. He is currently
cultivating half a hectare but he plans to make the area bigger in near future. He feels quite
confident to have a big credible company that will buy his products and he also thinks that
these contractual schemes are good for young people who begin cultivating MAPs. He also
certifies the production as organic because this way he will get a better price for the product.
• Thessaromata (Giannis Karagkounis)
Mr. Karagounis is an agronomist with an MSc from medical Faculty of University of
Thessaly. He has started cultivation of MAPs in 2012 out of curiosity to discover what the
real potential of MAPs is but now this is his main income source. This year he finished
investment in processing and packaging facilities. He believes that the sector is ideal for
young unemployed people who can start with cheap land and without investing much money
in expensive agricultural machinery. Also in parallel with cultivation they will have the time
to search for appropriate markets.
• Vergina Brewery SA
The company is situated in industrial area of Komotini, Thrace. Their main activity is beer
production. However lately they have launched in market a RTD tea named “TUVUNU”
which in greek means “Of the mountain”. The product is found in most of Greece and also in
USA, Germany, Netherlands, Belgium, Sweden and France. They believe that there is a great
dynamic for the product since it is one of a kind (ready to drink greek mountain tea). They
also encourage local people to get in the sector and they help them find propagation material.
Also agronomists of the company are there to help all interested farmers before they decide to
enter the sector and during cultivation period. The company is committed to buy the produce
in pre-agreed prices. Obviously they are positive for young people to enter the sector and they
believe that they offer an alternative for a decent income.
• APIVITA SA
Apivita started from two pharmacies in Athens and then became involved in natural
cosmetics. One of two largest natural cosmetics companies in Greece. The main product
ranges of the company are Cosmetic care products: shampoos, face creams, face masks, and
shower gels. The domestic distribution channels are pharmacy shops, retail (Hondos center)
and privately owned shops (Athens, Athens airport). APIVITA also exports 30% of their
products to foreign markets. Apivita is using 80-100% of natural ingredients in all their
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products. Raw material sourcing: honey is 100% from Greek producers and herbs are more
than 95% from Greek producers. Problems faced by the company are the lack of
standardization of plant material and bee products in Greece, microbial and insect
contaminants and lack of Greek produced excipients for cosmetics.
• Korres SA
The company started in a pharmacy behind Kalimarmaron Stadium of Athens in the mid 60s
as Greece’s first homeopathic pharmacy. George Korres, joined in 1988 while he was still a
student of Pharmacology at the University of Athens. The first KORRES product, an aromatic
syrup with honey and aniseed, was inspired by ‘rakomelo’, a warming spirit which
grandfather Giorgos Korres used to make in his village, Skado of Naxos. By 1992 more than
3000 recipes were prepared. In 1999 the KORRES products are first exported to the USA.
From that time KORRES is expanding to major cities of Europe as natural cosmetics expert
company, while in 2007 the brand goes to Asia.
5.2 Major Problems faced by growers
During visits on farms and other MAP producing companies certain problems have been
indicated by the involved people. The problems reported are based on the interviewee’s
experiences so far. These are:
1. Limited working capital, cash flow, liquidity
MAPs cultivation activity demands lower capital than other agricultural activities.
However there are still demands especially in personnel awards because most jobs are
done manually by workers. This kind of expenses is not elastic as workers demand to be
paid at the end of working day. Also consumables and other materials related to
cultivation have to be paid at the time of purchase. There is not credit any more from
vendors to farmers. Also bank loans are not accessible at all. This creates a suffocating
business environment that does not allow the sector to grow.
2. No registered varieties available
One problem which affects the sustainability of involved people is the lack of registered
varieties. This leads to a situation that almost all farms cultivate in terms of propagation
material whatever is available in market, based on the description of the seller. The lack
of registered varieties leads to heterogeneity of final products and diversity of their
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chemical and physical properties. However in a market which is highly specialized,
where “good” variety and “bad” variety are just a few ppms away from each other there
is no room for this kind of amateurisms. The existence of official government or even
unofficial “Commercial” registry is the foundation for the standardization of production
and a ground for common language for marketing high quality MAPs products. This is
not so obvious when they are intended to be used for beverages but if for example the
intended use is self-medication sector (OTC medicines) then it is of critical significance
and can dramatically affect the price, affecting thus the total farm sustainability.
3. Lack of qualified personnel
The cultivation of MAPs is considered to be easier than other crops in terms of very low
demands in fertilization and plant protection from pathogens. This is sometimes
misunderstood leading to the false conclusion that MAPs are generally easy case.
However this is fault. There is a great deal of know how involved not only in cultivation
techniques but also in harvesting (time and developmental-phenological stage) and in
post harvesting treatment.
4. Competition form wild collection
The involved farmers in MAPs cultivation have invested money, time and a lot of
personal effort. They are waiting for harvesting and marketing the products. They suffer
unfair competition by opportunist who collect wild species and market them directly to
either open markets or to the final consumers, although there is a strict framework
covering the wild collection. This can be practiced after taking special permit and it is
usually meant to cover personal needs and not trade. However there are numerous
examples each year that big illegal cargoes are captured. The sector must be better
protected for two reasons
5. No support from the state to young/new farmers
In previous years there was no support from state to the candidate MAPs farmers. There
are many problems in the beginning of such efforts ranging from knowledge to
acquiring of propagation material. Recently the ministry of rural development and food
has included MAPs in the promoted crops. However still there are no tangible data
about active support from government to young persons who are willing to enter the
sector.
6. Difficult to rent land for long periods (perennial cultivation)
Most medicinal and aromatic plants are perennial. This means that in cases of rented
land the contracts should be for long time periods ranging from 8 to 10 years. These
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contracts are not easy to be made because land owners are not willing to be committed
for so long time. This could be resolved by renting public land to young unemployed
Greeks in order to make easier the initiation of a MAP producing farm or company.
7. Infrastructure (irrigation networks)
MAPs are generally cultivated in poor or marginal fields. This means that in those areas
there are no big investments in infrastructure. Of course they are less demanding than
other crops, but in case we provide good care they would by far more productive. There
were cases in our on-site investigation that farmers reported that they really had
problem with irrigation especially of newly established plantations that need to be
irrigated at least in the first summer until the plants acquire big and deep roots.
8. Lack or difficulty for obtaining of specialized machinery (i.e. harvesters) for some
cultivations
It is truth that there are not many cultivation tools and machinery specialized in MAPs.
Lately there are some harvesters that have appeared in the market. The use of them
could reduce production cost and increase thus the competitiveness of the farms. In
cases that this kind of equipment is not available in the market the production cost is
increased due to expenses for personnel. Also in cases that the equipment is available
this means a great amount of money for purchasing it, since in this country farm
machinery leasing is a sector that is simply inexistent. Development programs should be
more flexible in terms of approving the purchase of specialized machinery for MAPs
cultivation and harvesting.
9. Know-how gap especially in marketing and promotion
Cultivation is a process that more or less everybody can perform. Additional experience
is accumulated every season and a farmer in a time period of two to three years can
learn how to take care of the species he cultivates. The fact that they can do successful
production though does not mean that they can also find their way to the market.
Marketing is a totally different activity demanding other kind of capabilities and talents.
It is primarily communication related skills intensive. This sector is the weakest link of
a farm that intends to market the produce itself. Moreover it is something that cannot be
learnt by experience without someone to introduce the involved people in the principles
of marketing. This is the need that most of the interviewed farmers have admitted they
need help in order to perform.
10. High establishment cost
129
In order to establish a plantation there are certain expenses that are not elastic for
example field preparation, propagation materials purchase, irrigation networks etc.
Nowadays it is practically impossible to find capitals from banks since no loan are
approved for such investments. Also the young and unemployed persons are not people
who generally can afford money for initial establishment either for cultivation or for
processing facilities. This non accessibility to capital is a reason for discouragement of
young people to enter the MAPs sector.
11. Aggressive marketing practices of multinationals for SM shelf space (tea)
Generally speaking the Greek companies that are involved in marketing and trading
MAPs and MAP related products are not big ones. Even the biggest ones are included in
MME category. Therefore when they compete for shelf space or attractive markets
abroad they are facing competition by multinationals of big companies which apply a
variety of strategies in order to discourage or eliminate them from the market. This has
been reported to an interview by company that produces ready to drink cold tea.
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5.3 Critical Success Factors
Having completed the programmed interviews with MAPs producers and processors and after
the evaluation of the findings we can support that there are some critical success factors that
should be taken care of before someone decides to enter the sector.
1. Availability of capital to invest (+ banking finance)
MAPs related business either production or processing demands for high capital for initiation
of any activity. So there must be available money for the plantation and its maintenance until
someone can achieve capital flow from sales of the produce. The same stands in case of
processing facility. This money may belong to the owner of the company (own contribution)
or may come from bank finance. These days, bank loans are extremely difficult to be achieved
in this country as a result of financial crisis and under this situation one should not count on
them. Independently of the source of capital to be invested this should be available before the
initiation of the investment.
2. Availability of suitable fields for cultivation (land use)
MAPs are a plant group that can be cultivated in marginal land where most of the rest
agricultural products cannot be sustainably cultivated. This does not mean that they should
only be cultivated there. There are many field traits that can significantly affect the
sustainability of a medicinal and aromatic plants producing company. These include the
accessibility (road network), the topography flat or not fields, the existence of irrigation
water, soil quality and suitability for specific crops (mechanical and chemical composition),
distance from markets or from processing facilities. Before the establishment of a crop these
factors should be investigated and studied in depth so that the correct decisions can be made.
3. Availability of personnel (family)
As previously reported personnel cost in MAPs covers a big portion of production cost. This
happens because many of the tasks are done manually, mainly because of lack or weakness on
behalf of farmers to acquire suitable machines and tools. Most expensive tasks are weed
control and harvesting. For this reason personnel cost should be calculated and taken under
serious consideration when planning to invest in the sector.
4. Know-how in cultivation and processing (connection of science with practice)
A great proportion of newly involved in MAPs sector farmers are not of agricultural
background. This means that they lack basic agricultural knowledge and of course practical
experience. This can be acquired during practicing production. However it would be a totally
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wrong choice. The best one is to get prepared for cultivation by taking lessons about basic
farming works and acquire a minimum level of knowhow that will be readily available to be
implemented at the field. The same stands for processing MAPs. There are techniques related
to drying, processing or distilling them that at least in theoretical level someone should be
trained before attempting to practice as a profession, medicinal and aromatic plants processing
activity.
5. Solutions to technical problems like propagation material of specific qualification
availability
The problem of the lack of an official registry leads to the phenomenon that products that are
considered to be similar are proved to be absolutely different in terms of chemical content.
This happens because the used propagation material is not standardized and everybody uses
what is available in market. In other words the selection of plants is not made by the farmer
who invests in production of specific MAPs. It is rather made by the nursery that provides
propagation material. This way however there cannot be a focus, well organized and
technically constructed production effort because none guarantees the final result. This can
play significant role in the sustainability of the farm especially when products are
programmed to be used in expensive OTC medicines or perfumes and cosmetics. At these
cases the prices can show significant fluctuation, for example lavender oil can be sold from 50
to 100 euros per kg depending on the levels of content camphor, the less camphor the bigger
the price.
Of course there are numerous other factors affecting the sustainability of MAPs producing
company. The above mentioned are the critical ones that should be taken care of before even
initiate any investment in the sector. The success of a company depends in many indigenous
and exogenous factors and it can definitely be categorized as a multidisciplinary task.
Actually it is a combination of sciences of agronomy, processing and economics. They should
harmonically be combined in order to get the desired result of successful business.
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5.4 Identification of training needs of new farmers
One of the most important factors for success (or failure) is the knowledge available to
everyone involved in the supply chain. Knowhow is a critical factor not only because it is of
fundamental significance at decision making during production activities but also because of
the fact that it is a size that cannot easily be measured and it only proves its existence when
someone is called to implement it. In other words it is very difficult to measure the level of
knowledge of an individual and compare it with the appropriate levels defined in order to be
adequate for the specific activity. One of the challenges for the coming season should be the
definition of the exact knowledge packages someone should possess, in order to get active in
the sector.
However the minimum package of necessary knowledge should contain the combined
information regarding cultivation techniques and marketing of products. In cultivation
techniques the following should be included:
• Soil management
• Propagation Material management
• Irrigation management
• Cultivation works management
• Plant nutrition and Fertilization management
• Plant protection management
• Harvesting management including HACCP
• Infrastructure tools and machinery management
• Personnel health and safety management
• Environment management
• Economics and finance management
As far as promoting is concerned the following topics should be covered:
• Market research and stakeholder analysis with emphasis to synergies with other sectors
of economy
• Market demands – products qualification
• Certification and special demands from markets
• Marketing and Promotion of MAPs products
All of the above training sections should be organized keeping in mind that they should be
ready to be practically implemented in real life. Thus except of theoretical training, there
should be extensive practical training periods in real farms that are producing the crops. The
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trainees should be attending the theoretical part and after that they should “live the lesson”
during an interactive on farm practical training. This will provide valuable experience and
will prepare professional MAPs producers of high level of consciousness ready to
professionally be involved in the sector having significant potential to succeed.
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6. Future Prospects
6.1 SWOT analysis
The situation in Greece as it has been formulated, is quite harsh for any kind of investment.
The medicinal and aromatic plants are announced to be supported in the new Program for
Agricultural Development for 2014-2020. New dynamic crops are also supported in terms of
the implementation of Smart Specialization Policy. However until now the preparation on
behalf of the state does not seem to be at an advanced level. There are no specific integrated
plans for the research and development of the sector at a country level.
The current financial environment in Greece is definitely not investment-friendly. As a result
of the prolonged financial crisis in Greece internal consumption has collapsed. This fact is
forcing companies to search for new markets abroad. This is the reason for the observed
increase of agricultural exports. The crisis has also led to bank loan shortages in the market.
Bank finance is practically not an option any more, so investments are either realized based
on investor’s own contributions or are not realized at all. This is the main reason that
processing facilities are not following the same increasing trend as primary production. One
more negative effect of the financial crisis is the increase of unemployment rates, especially
for youth between 15-25 years old.
Consumers have shown a tendency towards healthy products that are certified, brand-named
and fully traceable. These kind of high quality materials are also demanded by all relevant
industries such as perfumery, cosmetics and OTC industry. In order to successfully respond to
these market needs, there will be an increased demand for R&D projects combined with
market oriented training of all involved parts. Main targets must be the lowering of
production cost in combination with increasing quality. In other words this sector is in urgent
need of innovation.
Primary production of MAPs in cultivated fields is a totally different activity than processing
them. For this reason two separate SWOT analyses have been prepared regarding MAPs
production (agricultural activity) and processing (industrial activity) of the sector.
The SWOT analysis was constructed as a matrix and was populated with a correlation
analysis of each internal factor (strength or weakness) with the external factors (opportunities
and threats). This was determined with the following method. When examining the
correlation of a strength with an opportunity, if the strength enhanced the ability to take
advantage of the opportunity, a (+) score was assigned, while if it had a negligible correlation
135
with the opportunity a (0) score was assigned. In examining the correlation of a strength with
a threat, if the strength protected against the threat, a (+) score was assigned, while if it had a
negligible correlation with the threat a (0) score was assigned. Similarly, when examining the
correlation of a weakness with an opportunity, if the weakness compromised the ability to
take advantage of the opportunity, a (-) score was assigned, while if it had a negligible
correlation with the opportunity a (0) score was assigned. In examining the correlation of a
weakness with a threat, if the weakness made the sector more susceptible to the threat, a (-)
score was assigned, while if it had a negligible correlation with the threat a (0) score was
assigned.
After populating the cells of the matrix with the scores (0, - or +), the sum of each factor is
obtained (horizontally for the internal factors and vertically for the external factors) by adding
all (+)’s and subtracting all (–)‘s. The total obtained horizontally gives an indication of the
relative importance of each strength or weakness for a given sector.
The total obtained vertically for each opportunity, gave an indication on how well the sector
was poised to take advantage of available opportunities, and for each threat, how susceptible
was the sector to existing threats.
The analysis of the scores was used as a tool for deciding which of the internal factors
(weaknesses) were good candidates for developing actions that would minimize these
weaknesses. In addition, the effect of each action on increasing the score of the opportunities
and reducing the threats was determined. Similarly, significant strengths were identified for
utilization.
SWOT Analysis - Primary sector
Strengths
• S1. Major firms have invested on MAPs. There are firms like ANTHIR SA that
have invested in the sector. This can lead to a significant production volume and
therefore in this large scale cases, a critical mass of production can become availble
and the distribution networks will be able operate. These leader companies can open
the market producing reputable Greek medicinal and aromatic plants and this can be
good for smaller companies that follow.
• S2. There are many market options available (beverages, seasonings, OTC
medicines, perfumes & cosmetics etc.). MAPs are first material for a range of
industries. This is so because of the fact that they can be used in several forms as they
are or after processing. Therefore they can be dried and used as beverages or herbal
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teas, they can be used fresh, or they can be further processed (i.e. distilled) and
essential oils reclaimed, can be used in perfumery, cosmetics industry or even certain
substances can be used in OTC medicines.
• S3. Several forms and long shelf life (fresh/dry - herbs/essential oils). MAPs can be
used in several forms. They can be consumed fresh in a period of some days after their
harvest. However in case we need to keep them for longer periods they can be dried
and be kept so for more than a year. Essential oils have also a very long period of
shelf life.
• S4. Microclimate favors production of high quality crops. There are so many areas
in Greece that their special microclimate contributes to the achievement of excellent
quality of certain species living there, i.e. Olympus mountain tea.
• S5. Can be cultivated in marginal land (mountainous, poor, small fields). MAPs are
a plant group that has limited demands in terms of fertilization or plant protection.
They are adapted to poor soil types without much nutrients content and essential oils
content can protect them from insects and diseases. More over the fact that produced
crops have far better price than traditional crops of the area (i.e. cereals) renders them
worth to be cultivated even in small fields that other crops cultivation would not be
sustainable.
• S6. Can be combined with other activities like hospitality (agro tourism) and bee
keeping. Medicinal and aromatic plants are cultivated in farms that are visited by
tourists and can be a separate income source in small agro-tourist unit. They can
achieve direct sales to visitors and the visit itself can be paid also. Medicinal and
aromatic plants contribute pollen and nectar to bees and in many cases they define
price of produced honey (i.e. thyme honey that is more expensive than other flower
honey types). Moreover the existence of plantations of MAPs near the vicinity of bee
hives can sustain been population and support them even in very harsh conditions like
an extremely hot summer.
• S7. A good track record of MAP-related research projects already exists. Because
of the extended use of MAPs many research projects have been implemented and
valuable knowledge has been acquired regarding their uses and the cultivation
techniques for the improvement of productivity and quality of produce.
• S8. The majority of produced MAPs are organically certified. MAPs are
considered to be crops of big added value. Because of their use as alternative medicine
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or health boosters there are demands for lack of pesticide residues. In Greece the
majority of medicinal and aromatic plants that are cultivated for commercial purpose
are organically certified. This certification gives them competitive advantages against
cheaper imported similar products.
Weaknesses
• W1. Shortage of certified propagation material. In Greek market there is a big
portion of propagation material that is not certified. This can be self-produced or
produced in non-approved nurseries. This fact does not provided the necessary
guaranties that the final products will have the desired by markets qualification.
• W2. There is not a National propagation material registry. The lack of an official
registry of cultivated varieties creates confusion and several sibling varieties or even
species are cultivated and taken to market under a common name (i.e. mountain tea,
oregano). However two products that are in the market under the same name can
significantly be different in terms of essential oils content and other characteristics.
This way the standardization and further development of commerce is very difficult to
be done.
• W3. Lack of farmers’ knowledge on adaptability, breeding, cultivation
techniques, plant protection demands and quality assurance of produce. The
farmers in the beginning of their activity usually do not have special knowledge
focused on the specific plants that they cultivate. There is little information about
adaptability of available in market propagation material under soil and climate
conditions prevailing in an area. Therefore the production effort results in smaller
quantity (which can be measured) and in lower quality (which is difficult to be
assessed because we do not know what the specific variety performance would be if it
was cultivated under favorable conditions). One more case is that especially MAPs are
a sector that many people not previously involved in agriculture choose to enter. This
can be partly explained by the big publicity that MAPs have taken in late years and
the thousands of relative advertisements and articles in newspapers, magazines,
webpages, portals and blogs. So young people from urban areas try MAPs production
aiming at quick and big profit, without having tasted before how it is like to cultivate
plants. Again the results are reduced quantity and quality of achieved produce. Quality
assurance is a general need for achievement of sales. It can be affected by all
cultivation procedures, while timing and way of harvesting and post-harvest handling
are of critical importance to final product quality.
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• W4. Lack of information on market needs in specific sectors. Most farmers make
decision for cultivation of MAPs based on some information they come across. This
however, is rarely credible. Very few are willing and capable of making an extensive
market research and analysis in order to plan their production towards covering
certain market needs.
• W5. Existing farmers do not easily shift from their crops to MAPs. Farmers
established in several areas of Greece are already oriented in the production of their
crops. They have acquired experience and knowledge about their produce and they
have many times invested time and money buying specialized equipment (i.e. corn
harvesters). It is not an easy task to make decision to shift from their crop to MAPs.
They need more information, certain training and most of all they need to be
convinced that this shift is worth doing and they will have better profit than what they
have with current crops.
• W6. In previous decades MAPs sector has not been boosted by development
programs. There is a delayed activation of Greece in professional, commercial scale
cultivation of MAPs. Although they were extensively used by the vast majority of
population they were either wild collected (mountain tea) or imported. Agricultural
development programs were not giving priority to the development of MAPs sector,
promoting other crops (i.e. cotton that was then called ”wild gold”). This is one of the
reasons that this sector has today a rather low capacity, although the potential is high.
• W7. Fragmented knowledge of spatial distribution of cultivated medicinal plants
in the country. The cultivation of MAPs in the country is not organized as other
crops or other models adopted abroad (i.e. cultivation zones). So practically any MAP
can be found anywhere without a constructed cultivation plan. However the
information who cultivates, what, where and how much is practically very difficult to
obtain. Without this knowledge it is extremely difficult to organize commerce and to
develop processing, transportation and distribution activities.
• W8. Increased staff cost because of lack of specialized machinery. Other crops that
have been widely cultivated in the past have been boosted by specialized equipment
that has on purpose been designed and developed for them (i.e. cotton harvesters). The
existence of that machinery has made the crops competitive with parallel increase of
the quality. However this is not the case for Greek MAPs reality. Most of the farms
are being cultivated using simple equipment and level of mechanization cannot be
compared with that of other crops. Other countries that have supported their MAPs
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sector have managed to develop certain machines (i.e. chamomile harvesters in
Central Europe, Hungary)
Opportunities
• O1. Growth of demand for several industries. The MAPs are used as first materials
in several industries. Especially for tea, perfumery, cosmetics and seasoning industries
there is an increasing demand for first material because of increased volume of
products realized. This is reflected in the realized imports of countries that have
developed strong related industries like Germany, France, USA, Italy etc.
• O2. There is room for growth for vertical integrated units of production. This
sector is not saturated yet as other sectors in Greece. There is a small number of major
processing facilities which are related to specific products (i.e. lavender) and specific
geographic areas (Crete, Athens, Agrinio, Thessaloniki, Kozani and Kilkis). However
MAPs are cultivated all over the country and there is certainly room for more
processing facilities near the production area. This would contribute more added
value, more income, more work jobs in the area, increasing competitiveness and
sustainability of the sector.
• O3. Opportunities for commercial production of propagating material. Although
in Greece there are many nurseries and seed producer companies, very few are
involved in the production of MAPs propagation material. There is place for more of
the existing nurseries to add MAPs in their portfolio or new nurseries to be
established. Especially if they put an order to the situation and provide certified
propagation material under commercial strict qualification they can significantly
contribute to the achievement of added value and the development of the whole
sector.
• O4. MAPs meet the need for restructure of agricultural production. It is widely
admitted that Greek agriculture has to be reformed. New dynamic crops should
replace old obsolete ones. MAPs can be a serious candidate for replacing some winter
cereals providing by far better profit to the farmers.
• O5. The initiation of official varieties registry can boost the sector. Lately there
was an initiation of the official MAPs verities registry. Dill, basil, chamomile, thyme
and oregano were included in the first attempt to describe MAPs varieties in the
country’s legislation (Newspaper of the Government, Nr 2266, 21 Aug 2014).
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• O6. Dietary and health qualities of several MAPs have been widely advertised
and many consumers incorporate them in their nutritional routine. There are
numerous advertisements, analysis and claims about MAPs beneficial effects in
nutrition and health of MAPs consumers. This fact creates a potential for the increase
in demand of MAPs by average consumer.
• O7. Domestication of wild plants can produce unique material with differentiated
qualities from competition. This country has a unique range of wild MAPs. Evan on
the same mountain one can meet several biotypes of the same species. This
biodiversity creates a valuable gene bank, a set of nature’s treasures amongst which
there may be the big success of future. They have to be studied and analyzed in terms
of commercial cultivation and use. However first of all they have to be protected by
illegal unsustainable wild collection from people that do not know how to collect them
without destroying those populations that are unique and are a product of million
years of evolution.
• O8. Large number of qualified scientists and experienced growers of other crops.
Greece has a large number of related scientists. It is estimated that more than a
thousand agronomists of all specialties graduate every year. This is a great reserve of
highly skilled personnel that could be mentors of agricultural population and
supervisor of production all over the country. There are also many skilled farmers that
have successfully cultivated other crops. They are professional producers capable of
achieving good performance in production. In case they are involved in a relatively
new sector as professional MAP cultivation they could maximize the effects and the
added value of the sector.
• O9. The biggest opportunity is that in Greece a very small part of its potential has
been utilized so capacity can be multiplied with the help of an organized strategy for
the development of MAPs sector
Threats
• T1. Illegally collected native plants compete in market with cultivated ones. The
cultivated MAPs have a cost to be produced especially in terms of personnel. On the
other hand wild collection has only harvesting cost. There is a risk that farmers are
discouraged and unsustainable, due to unfair competition by the wild collection.
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• T2. Uncontrolled wild collection threatens natural habitats, naturally occurring
populations and biodiversity. The competitive advantage of Greece having rich
biodiversity is at risk by damage caused by uncontrolled destructive wild collection
which can make several biotypes extinct.
• T3. Imports of similar products from Developing Countries at lower prices
compete with local production. This can be a great threat for the local production.
Usually imported MAPs come to lower prices than domestically produced ones. There
ae not many actions local producers can do about it. They should take measures to
lower the production cost by improving their methods in combination with actions to
create competitive advantages such as certification, creating strong trade names,
boosting products reputation, etc.
• T4. There is practically no bank finance of investments in the country - Increased
establishment cost. Financial crisis has changed the way the country is financed any
more. Banking system is not easily accessible as it used to be. Capital necessary for
establishment has to be found from other sources like investors or has to be previously
owned by the farmer.
• T5. Although there are many species cultivated, cultivation is mostly at the
experimental or small scale stage. There must be critical mass available for the
distribution networks in order to have a noticeable success of the sector. This critical
mass has not been achieved yet since the mean area cultivated per crop and farmer is
relatively small not allowing development of the products at a commercial level.
• T6. International standards for herbal preparations in the pharmaceutical sector
and the cosmetics industry lead to growing need for instant implementation of
standards and certifications. The Greek MAPs sector has adopted organic
production system. It is common sense that conventionally produced MAPs have no
future in this country. However the market’s demands are a dynamic situation and
especially for products purposed to come in contact with face skin or baby skin there
is an increased level of awareness and strict rules are applied. The MAPs sector
should be aware of current demands, what the trends are and it should also develop
mechanisms that can read market demands and can make sure that they are rapidly
implemented so that Greece can become attractive source of MAPs and MAP derived
products.
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SWOT Analysis - Processing and trade
Strengths
• S1. Existence of dynamic companies with increased export activity. There are
flourishing MAPs processing and trading companies that have achieved to penetrate
markets all over the world. These companies promote Greek MAPs and MAP related
products. They produce high quality products; they are certified against very strict
standards and production protocols and they are good examples for other smaller
companies.
• S2. Marketing, branding and promotion of MAPs and MAP products are
improving. Lately there is an improvement in packaging materials and design of
MAP products. Big firms have adopted international good packaging practices and
conduct structured promotion policy with success in very strong competition markets.
• S3. Technical expertise and know-how of scientific personnel are satisfactory
(already established techniques). Processing facilities that are operating for some
years have already accumulated a great amount of experience. There are for example
several distillery facilities that have tried different distillation protocols and have
improved the applied techniques towards optimum performance both in terms of
quantity and in terms of quality.
• S4. Quality assurance systems and certification culture already established. In
Greece the processing companies have very soon realized the need for quality
assurance and certifications. This happened mainly because of the need to achieve
exports in target attractive markets. Therefore the culture certification amongst
processors is widely spread and accepted. The same stands for MAP processing
companies.
• S5. Low operational cost of small scale vertical integrated firms. In Greece the
operational cost for small vertical integrated companies is relatively small in
comparison to other countries. This stands especially for herbal teas and dry herbs
production since these plants can be dried naturally due to favorable climatic
conditions (hot and dry summer season)
Weaknesses
• W1. Establishment of small business requires large capital. The establishment of
new company in new facilities is quite expensive in our Greece. Building licenses cost
much, building materials are many times imported, almost all equipment is imported
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and there is a high VAT. The European legislation sets high demands for construction
and operation of food industry while at the same time development countries are less
demanding by their processors in terms of facilities.
• W2. Lack of sustained quantity and quality of domestic raw material. Due to
relatively small acreage cultivated with MAPs there is a great instability and
fluctuation in achieved quantity and quality of produced MAPs. This happens mainly
because of weather extreme conditions. The low volume of produce cannot let the
sector develop since there is a lot of uncertainty about availability of agreed quantity
and quality.
• W3. Small scale production is unsuitable for big contracts. The markets need
specific quantities from companies that want to be suppliers. Although Greek MAPs
are famous about their quality the necessary critical quantities have not been achieved
yet. These quantities will enable distribution networks to introduce the products in the
market and supply big supermarket chains of foreign countries. The inexistence of
robust cooperatives in the sector is one more factor that leads to limited volume of
primary production.
• W4. Lack of financial support for MAPs processors. In the past there were no
motivations for MAP producers as other crops. This has functioned negatively and the
sector was not chosen from farmers. Also until recently the MAPs processing activity
was not promoted by the country in development programs.
• W5. The international standards, lead to more stringent specifications. Markets
always ask for more than just legality of production that is compulsory by law. They
focus on qualitative traits of the products, product related claims and companies
operation procedures. These standards tend to be stricter as years pass. The companies
that want to be part of the game should develop the mechanisms to read market
demands and implement necessary procedures updates and refinements so that they
keep selling their products.
• W6. There is a need for specialized personnel especially when reclaim of certain
chemical substances is concerned. In Greece industries are not satisfactorily
developed, as it happens for example in OTC medicines. So if there is no traditional
use of specific ingredients it is logical to assume that MAPs processors are not
familiar with the extraction or reclaim of specific active substances.
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Opportunities
• O1. Recently, institutional framework has been adopted for the sustainable
exercise of contract farming. Processing companies can help the sector development
by the formation of contractual schemes and thus finance of operation can be realized.
• O2. Developed artisan herb market sector. There are countries where artisan herb
market is developed. The only European markets that have an artisanal market share
at around 15% are Greece, Italy and the UK. All the other national markets are
completely dominated by branded and own label products. With Italy being a
competitor, this market structure makes UK the most attractive export destination for
small Greek producers. The uniqueness of the UK market could be explained by its
strong specialty and ethnic food sector, as shown by the Mediterranean Diet Study of
this project.
• O3. The geological and climatic diversity has created a great variety of genotypes
comprising a wide biodiversity which exhibit different chemical content providing
thus an increased commercial potential of excellent quality. The available biodiversity
comprise a range of potential differentiated products that can achieve the wanted
diversification in the market. The best example about it, is the Olympus mountain tea
Sideritis scardica which is one of many sideritis species naturally occurring in Greece
has recently been proven to have a positive contribution to fight Alzheimer disease.
• O4. Increasing cultivated areas can produce a higher crop volume to be used as
raw materials by the industry. It is common sense that the bigger the cultivated
area, the more the produced quantity and the less the cost per kilo for the products. Or
in other words, scale economy can reduce operational cost. So, by increasing the area
the total sector capacity will be larger and the potential to penetrate new and better
markets will be strengthened.
• O5. There is clear trend in consumer behavior to choose natural products
(medicines, cosmetics, household goods). In a market that demand for natural
ingredients is continuously increasing this is an opportunity for Greek MAPs sector to
supply more quantities.
• O6. MAP production facilities are now promoted in government development
programs. The importance of the sector for local and national economy has been
acknowledged and it is now included in all development programs, national and
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regional. In the coming program period MAPs processing facilities are strongly
promoted and subsidized.
• O7. MAPs processed products can easily penetrate tourism sector especially in
agro tourist units. MAPs products reflect agro-tourism sector customers will to live
and taste the area that they visit. They are ideal present to take back home either for
themselves as a souvenir or for their friends as a gift. So agro-tourism facilities can
serve as MAPs retail sales point.
• O8. Availability of qualified scientists and experienced personnel. Greece has a
big number of scientists and processing companies’ personnel available for
involvement in the sector. Also a big proportion of them are currently unemployed
and their absorbance by MAPs processing industry would be a good opportunity for
employment.
• O9. Good reputation about premium quality. Greek MAPs have a good reputation
concerning their quality. The most representative example about it is Greek oregano
which has managed to diversify itself amongst all other types of oregano and in many
cases firms located in other countries sell in market “Greek oregano”. There is a true
opportunity for Greek MAPs sector to take advantage of that reputation and build a
strong brand around that name.
• O10. Increased advertising urging consumers to prefer local MAPs products (i.e.
locally produced mountain tea instead of imported tea). There have been many
advertisements in newspapers, blogs, websites etc. about the good quality and health
effects of local MAPs. This has created an increased interest about the products on
behalf of consumers.
Threats
• T1. Further recession due to Greek current crisis will affect secondary products
like cosmetics and perfumes. In periods of crisis people take after primary needs like
food. All luxury products are not of priority. MAPs are first materials for natural
cosmetics and perfumes. Thus the continuance of crisis is a threat in terms of their
sales will go further dons.
• T2. Large customers are in target markets of foreign countries (cosmetics,
perfumes industries, etc.) and thus difficult to approach and penetrate. Companies
with a tradition and a well-established position in the world market regarding MAP
products are based in foreign countries. They have already suppliers from other
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countries which makes their approach and achievement commercial deals very
difficult task.
• T3. Imports of similar products compete with local production. Products from
developing countries are competitors to local products especially due to lower prices.
A portion of the customers will chose them based on the above criterion.
• T4. There is limited information flow between research and business sectors
(transfer of knowledge not in satisfactory level). Although there is a good track record
of related research projects conducted by academics, there is limited collaboration
between companies and researchers. In a sector that has the potential to grow a
constant communication line between business and academic world should be
established and in smooth operation.
• T5. There is limited participation of Greece and Greek companies in
international organization related to MAPs. In Europe the ESA (EUROPEAN
SPICE ASSOCIATION) has been established as an association dealing with herbs and
seasoning materials. In this association members are national organizations and
private companies. National organizations represent Austria, Belgium, Finland,
France, Germany, Italy Netherlands, Spain, Sweden, Sweden, Turkey and United
Kingdom. The only Greek membership is a private Company named
PAPADIMITRIOU SA (Sindos, Thessaloniki), with full members being based all
over Europe, while there are associated members based in the USA, Asia and Africa.
EUROPAM is the European Herb Growers Association. Full membership can only
have member states of European Union. Greece is not a member while Austria,
Bulgaria, Cyprus, France, Germany, Greece, Italy, Latvia, Poland, The Netherlands
and United Kingdom are full members. The same situation is found in THIE - Tea and
Herbal Infusions which is the European association representing the interests of
producers and traders of tea and herbal infusions as well as extracts thereof in the EU.
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SWOT analysis matrix - Primary sector
Totalopportunities Totalthreats
➯AC
TIONS
0 1 -2 2 1 5 4 1 4 1 1 2 1 1 0
S1.MajorfirmshaveinvestedonproductionofMAPs
+ 0 + 0 + + + + + 0 0 + + 0 + 10
Totalstrength
S2.Therearemanymarketoptionsavailable + + 0 + 0 + + 0 + 0 0 + 0 + + 9
S3.Severalforms&longshelfproductlife + + 0 0 0 + 0 0 + 0 0 + 0 + 0 6
S4.Microclimatefavorsproductionofhighqualitycrops.
+ + 0 + 0 + + 0 + 0 0 + 0 0 0 7
S5.Canbecultivatedinmarginalland + + 0 + 0 0 + + + + 0 + 0 + 0 9
S6.Canbecombinedwithotheractivitieslikeagrotourismandbeekeeping
+ + 0 + + + + 0 + + 0 + 0 + 0 10
S7.AgoodtrackrecordofMAP-relatedresearchprojectsalreadyexists
0 + + + + + + 0 + + + + 0 0 + 11
S8.ThemajorityofproducedMAPsareorganicallycertified
+ + + 0 0 + + + + + + + 0 + + 12
W1.Shortageofcertifiedpropagationmaterial
- - 0 0 - 0 0 0 0 0 0 0 0 0 - -4
Totalweakness
W2.ThereisnotaNationalprop.materialregistry
0 0 - 0 - 0 0 0 0 0 0 0 0 0 - -3
W3.Lackoffarmers’knowledgeoncultivationtechniquesandqualityassuranceofproduce
- - - 0 0 - - 0 - 0 0 - 0 - - -9 1
W4.Lackofinformationonmarketneedsinspecificsectors
- - 0 0 0 - - 0 - - 0 - 0 - - -9 2W5.ExistingfarmersdonoteasilyshiftfromtheircropstoMAPs
- - - - 0 0 0 - - - 0 - 0 - 0 -9 3W6.InpreviousdecadesMAPssectorhasnotbeenboostedbydevelopmentprograms
- - - - 0 0 0 0 0 0 0 - 0 - 0 -6
W7.Fragmentedknowledgeofspatialdistributionofcultivatedmedicinalplants
- 0 - 0 0 0 - 0 0 0 - - 0 0 0 -5 4
W8.Increasedstaffcostbecauseoflackofspecializedmachinery
- - 0 - 0 0 0 - - - 0 - 0 0 0 -7 5
Growthofd
emandforseveralindu
strie
s
Thereisroom
forg
rowthfo
rverticalintegrated
unitsofp
rodu
ction
Opp
ortunitie
sforcom
mercialprodu
ctionof
prop
agatingmaterial
MAP
smeetthe
needforrestructureof
agriculturalprodu
ction
Theinitiationofofficialvarietie
sregistrycan
boostthe
sector
Dietaryandhe
althqualitieso
fMAP
shavebe
en
widelyadvertise
dandmanyconsum
ers
incorporatethem
inth
eirn
utritionalrou
tine
Domesticationofwildplantsc
anprodu
ce
unique
materialw
ithdifferen
tiatedqu
alities
from
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Largenu
mbe
rofq
ualifiedscientistsa
nd
expe
rienced
growerso
fothercrops
Thebiggesto
pportunityisth
atinGreeceavery
smallparto
fitspoten
tialhasbeenutilized
Illegallycollected
nativeplantscom
petein
marketw
ithcultiv
ated
one
s
Uncon
trolledwildcollectionthreaten
snaturalhabita
ts,naturallyoccurrin
gpo
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nsand
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Impo
rtso
fsim
ilarp
rodu
ctsfromDevelop
ing
Coun
triesa
tlow
erpricescom
petewith
local
prod
uctio
n
Thereispracticallynobankfinanceof
investmen
tsinth
ecoun
try-Increased
establish
men
tcost
Althou
ghth
erearemanyspeciesc
ultiv
ated
,cultivatio
nismostly
atthe
experim
entalor
smallscalestage
Internationalstand
ardsinpharm
aceu
tical
sectorand
thecosm
eticsind
ustryleadto
grow
ingne
edfo
rinstantim
plem
entatio
nof
standardsa
ndcertification
O1 O2 O3 O4 O5 O6 O7 O8 O9 T1 T2 T3 T4 T5 T6
148
In order to decrease the negative effects of weaknesses, eliminate the threats consequences
and increase the positive contribution of the opportunities of the sector the following
proposals have been prepared:
W3. Lack of farmers’ knowledge on cultivation techniques and quality assurance of produce.
This weakness has concentrated a negative score of -9. Therefore it is necessary to proceed in
the implementation of the proposed action Nr 1. Establishment of training programs:
Training programs must be prepared and offered to all candidate MAPs growers. Training
will emphasize to exact cultivation techniques and quality assurance at farm level. By this
action the weakness consequences will be decreased while opportunities O1, O6, O7 and O9
will be further boosted.
W4. Lack of information on market needs in specific sectors. This weakness has also a high
negative score of -9. By the implementation of proposed action Nr 2. Creation of
framework for actions for Networking with markets at National level information
regarding market needs will be readily available and easily accessed by all interested parts of
Greek MAPs supply chain. By this action the weakness consequences will be decreased while
opportunities O1, O2, O6, O7 and O9 will be further boosted.
W5. Existing farmers do not easily shift from their crops to MAPs. Weakness score is -9. A
pool of capable, experienced farmers in this country have not yet got involved in MAPs
sector because there is not a clear picture about feasibility of a farm that enters the sector.
There is a need for technical approach to this issue and therefore the recommendation is
action Nr 3. Creation of web based tool to provide accurate customized business plans
for perspective MAPs growers. This tool will be user friendly and will provide a clear
picture of perspectives so that any farmer can check what could be the sustainability of
specific MAPs production activity. Having this decision making tool it would be easier to be
motivated to enter or deterred from it. By this action the weakness consequences will be
decreased while opportunities O1, O3, O4, O8 and O9 will be further boosted.
W7. Fragmented knowledge of spatial distribution of cultivated medicinal plants. Weakness
score is -5. Produced MAPs in the country are not easy to find. Especially for small farms it is
difficult and costly to find markets and advertise their activity. In order to decrease this
weakness the following action is proposed Nr.4 Creation of an Open Access Registry
where all interested Greek MAPs producers will be able to register their farm and products.
This registry will also serve as production and sales transparency tool. By this action the
weakness consequences will be decreased while opportunities O1 and O7 will be further
boosted.
149
W8. Increased staff cost because of lack of specialized machinery. Weakness score is -7.
Biggest portion of working capital during cultivation season consumed in an already
established MAPs plantation covers labor cost in terms of weeding and harvesting.
Sustainability of MAPs farms would be significantly boosted in case of further mechanization
of the activity. Thus it is of urgent need to adopt proposal Nr 5. Conduct short time
research related to available technologies and machinery for MAPs emphasizing to
harvesting. During this project there will be also proposed alterations of already existing
tools, machinery and technologies for their best adoption to domestic needs (i.e. alteration of
tea harvesting tools used in Far East in order to be used for harvesting indigenous MAPs). By
this action the weakness consequences will be decreased while opportunities O1, O2, O4, O8
and O9 will be further boosted.
150
SWOT analysis matrix – Processing and trade
Totalopportunities Totalthreats
➯AC
TIONS
1 2 0 3 1 2 0 3 -2 1 -1 1 -1 1 0
S1.Existenceofdynamiccompanieswithincreasedexportactivity
+ + + + + + + + + 0 + + + 0 + 13
Totalstrength
S2.Marketing,brandingandpromotionofMAPsandMAPproductsisimproving
0 + + 0 + + + + + + + + + 0 0 11
S3.Technicalexpertiseandknow-howofscientificpersonnelaresatisfactory
0 0 + + + 0 0 + 0 0 + + 0 + + 8
S4.Qualityassurancesystemsandcertificationculturealreadyestablished
0 + 0 + + 0 + + + + 0 + + 0 + 10
S5.Lowoperationalcostofsmallscaleverticalintegratedfirms
+ 0 0 + 0 + 0 + 0 + + 0 + 0 0 7
W1.Establishmentofsmallbusinessrequireslargecapital
0 0 - 0 0 - - 0 0 0 - 0 - 0 0 -5
Totalweakness
W2.Lackofsustainedquantityandqualityofdomesticrawmaterial
- - 0 0 - 0 - 0 - - - - - 0 0 -9 1W3.Smallscaleproductionisunsuitableforbigcontracts
0 0 0 0 - 0 0 0 - - - - - 0 - -7 2W4.LackoffinancialsupportforMAPsprocessors
0 0 - - - 0 - - - 0 - - - 0 - -10 W5.Theinternationalstandards,leadtomorestringentspecifications
0 0 0 0 0 0 0 0 - 0 0 0 0 0 - -2 W6.Thereisaneedforspecializedpersonnelespeciallywhenreclaimingofcertainchemicalsubstancesisconcerned
0 0 - 0 0 0 0 - - 0 - 0 - 0 0 -5 3
Recentado
ptionofinstitu
tionalframew
orkfor
thesustainableexerciseofcon
tractfarming
Develope
dartisanherbmarketsector
Thegeologicaland
clim
aticdiversityhasc
reated
agreatv
arietyofgen
otypes
Increasin
gcultivatedareasc
anprodu
ceahighe
r
crop
volum
etobeused
asraw
materialsbyth
eindu
stry
Cleartrend
incon
sumerbeh
aviortochoo
se
naturalprodu
cts
MAP
produ
ctionfacilitiesa
renow
promoted
ingovernm
ent
developm
entp
rogram
s
MAP
processed
produ
ctsc
aneasilypen
etrate
tourism
sectorespeciallyinagrotouristunits
Availabilityofqualifiedscientistsa
nd
expe
rienced
personn
el
Goo
drepu
tatio
nabou
tpremiumquality
Increasedadvertisingurgingconsum
erstoprefer
localM
APsp
rodu
cts
Furthe
rrecessio
ndu
etoGreekcurrentcrisiswillaffe
ct
second
aryprod
uctslikecosmeticsa
ndperfumes
Largecustom
ersa
reinta
rgetm
arketsofforeigncou
ntrie
s,
difficulttoapp
roachandpe
netrate
Impo
rtso
fsim
ilarp
rodu
ctsc
ompe
tewith
localprodu
ction
Thereislim
itedinform
ationflo
wbetweenresearchand
bu
sinesss
ectors
Thereislim
itedparticipationofGreeceandgreek
companiesininternationalorganiza
tionsre
latedtoM
APs
O1 O2 O3 O4 O5 O6 O7 O8 O9 O10 T1 T2 T3 T4 T5
In order to decrease the negative effects of weaknesses, eliminate the treats consequences and
increase the positive contribution of the opportunities of the sector the following proposals
have been prepared:
W2. Lack of sustained quantity and quality of domestic raw material. Weakness score is -9.
Fluctuations that are observed in terms of quantity and quality of MAPs in Greece are a factor
that affects the processing companies’ ability to have a standardized and adequate products
151
range and build strong brands, affecting thus significantly the total performance and
sustainability of the sector. Therefore it is necessary to proceed in the implementation of the
proposed action Nr 1. Creation of MAPs Quality Assurance Academy. Its curriculum will
cover most important commercial standards and protocols. The academy will be market
oriented. As accompanying measure to the academy it is also proposed the Creation of a
selection of Greek oregano varieties. The collection will be based in the area of American
Farm of Thessaloniki and among other activities there will be commercial evaluation of
Greek oregano varieties, development of GOP protocols (Good Oregano Practices) that will
cover production from farm to fork and the build-up of a sibling existing brand name by the
GOBI (Greek Oregano Branding Initial). By this action the weakness consequences will be
decreased while opportunities O1, O2, O5, O7, O9 and O10 will be further boosted.
W3. Small scale production is unsuitable for big contracts. Weakness score is -7. As
concluded during this study mean MAPs farm size in the country is quite small which does
not allow farmers to have a critical produce mass to supply the processors. These way
processors are not in place to achieve big contracts with buyers in the desired markets. In
order to decrease this weakness it is proposed to implement action Nr 2. Creation of Pilot
Coop. A cooperative of collaborating farms will have many advantages in terms of produce
volume. Framework and rules for formation and Standard Operation Procedures applied by
the Coop will be developed. By this action the weakness consequences will be decreased
while opportunities O5, O9 and O10 will be further boosted.
W6. There is a need for specialized personnel especially when reclaiming of certain chemical
substances is concerned. Weakness score is -5. Although there are some Greek companies
especially in perfumery and cosmetics sector there is not significant knowhow in terms of
certain substances isolated from MAPs that enables them to create modern industrial
processed products of big added value. In order to decrease this weakness it is proposed to
implement action Nr 3 Post graduate Professional Diploma Creation of highly focused
training sessions with Industrial tailor made curricula (Already proposed action).By this
action the weakness consequences will be decreased while opportunities O3, O8 and O9 will
be further boosted.
152
6.2 Access to markets
Greek MAPs producing companies declare that they want to successfully export their
products to good expensive market in order to create the desired profits and add value to the
sector. This should be done though under a well-designed long term strategy allowing them
to mature both in products specifications and experience. There is a set of factors that should
be taken under account and appropriate decisions should be made so that the products will be
successful in target markets.
Quality meaning is a complex one and although all people around the globe use it, it does not
mean the same for all of them. However in globalized economy and common market there is
an urgent need for common language describing a commonly understood minimum set of
qualifications. First of all Quality grade and Classification have to be established
(commercial quality standards). For each product there are qualifications that standardize it.
Advanced in medicinal and aromatic plants countries have already proposed several
standards to be adopted by the international market in the Second Session of Codex
Committee on Spices and Culinary Herbs (CCSCH) took place in India from 14th to 18th of
September 2015. In that meeting India has submitted proposals for setting up standards for
dried chili, ginger and garlic, Egypt submitted proposal for basil and coriander, Indonesia for
nutmeg, Nigeria for cloves and ginger, Iran for saffron and Argentina for Paprika (FAO,
2015) Details on the agenda, discussions, proposals and decisions can be found in Codex
Alimentarious web site. The Greek producers and processors of MAPs should watch and be
updated about any new development in Quality standards and classification of herbs and
spices in the market. International Standardization Organization (ISO) has issued relative
standard ISO/TC 34/SC 7 - Spices, culinary herbs and condiments. Standards and projects
under the direct responsibility of ISO/TC 34/SC 7 Secretariat can be found in Appendix II of
current study (ISO, 2015). The International Organization of Spice Trade Associations
(IOSTA) has developed a Good Agricultural Practices guide to be used as a resource in the
growing and harvesting of spices. This guide is available at Appendix III of the present study.
Also European Spice Association has prepared a specification about spice quality standards.
It is called Quality Minima Document and can be found in Appendix IV.
Food safety issues have to be taken care of according to common European legislation (EU,
2002) The beginning was made with General Food Law, Regulation (EC) 178/2002 - and all
the relevant legislation issued ever since. Legislation handles issues line food contaminants,
153
MRLs for pesticides etc. Other issues that have to be examined are food safety related one
with emphasis on microbial contaminants. Steam sterilization of herbs and spices is
increasingly asked by consumers and traders and a company should have enough proofs that
they are taking food safety very seriously. Regardless the methodology used,
decontamination is wanted by modern consumer. Greenfoodec an FP7 research project has
received funding from EU REA in order to study food safety of spices and herbs and
suggested advancements in technologies used to overcome problems created by conventional
methods like irradiation, fumigation with ethylene oxide and steam treatment. The advanced
methodologies that have been suggested are HPCD+Ultrasounds, cold plasma and
Microwave/Infrared decontamination (Greenfoodec, 2015).
Product packaging is very important for its success. Packaging is a complicated issue and
needs special attention on behalf of a company. There are many issues to be examined like
the use of inner, neutral and outer packing (Solomon and Stuart, 1997). Packaging functions
are protection of goods, reduction of losses, provision of convenience for product measure,
carry, transportation and storage (Rettie and Brewer, 2000)
Labelling plays double role. First of all it is part of legislation and provides food information
to the consumer (EFSA, 2015a). Currently labeling legislation in power in the European
Union is Regulation (EU) No 1169/2011 which describes what are the necessary data about
the product like name, physical condition, list of ingredients, contained allergens, exact
quantity, date of expiry, name of company, address and communication details, place of
origin etc. Labeling also is used in marketing of products. Front-of-package labels have been
widely used to boost sales (Nestle and Ludwig, 2010). However there are very strict laws
about either nutritional or health claims. Permitted nutritional claims in EU are listed in
Regulation (EC) No 1924/2006, as it was amended by Regulation (EU) No 1047/2012.
Permitted health claims are established in Commission Regulation (EU) No 432/2012.
(EFSA, 2015b)
Today, there are numerous standards and protocols that lead to certificates. A certificate
could be issued for a company proving that it applies such operational procedures to assure
constant Quality (ISO 9001), or Food Health and Safety (ISO 22000, FSSC22000, SQF), or
Environmental performance (ISO 14001), Social accountability (SA 8000, ISO 26000) etc.
Also there are product certificates issued to declare special production methods and special
features of final product such as private protocols IFS and BRC that were issued from
German-French and British retailers respectively and certify increased level of food safety.
154
Integrated Crop Production (GLOBAL.G.A.P. or Greek National Standards AGRO 2.1 and
AGRO 2.2) certify that a product has been produced applying Good GRICULTURAL
Practice in combination with a robust internal quality control operation system. Organic
Product (Reg (EC) 834/2007 and Reg (EC) 889/2008 for European Union, USDA-NOP for
United States, JAS organic for Japan etc.) certify the respect to environment, biodiversity and
non-use of GMOs and synthetic pesticides and fertilizers. Organic products produced in
Greece and certified under Reg. (EC) 834/2007 can directly be exported to the USA and
Japan since there are bilateral agreements about mutual recognition. The choice of a company
to acquire one or more of these certificates is voluntary but usually they are prerequisites
from buyers especially when they are big retailers. Each of the above mentioned certificates
can be obtained alone or a company may choose to acquire more than one. Organic farming
certification can help a product get a place on the shelve and in parallel can help it
differentiate and access more markets such as artisanal markets. It is of priority for any
company that wants to enter a new market to investigate what are the necessary certificates
that are demanded by the buyers for its evaluation as potential supplier.
However except of technical concerns there are other factors like consumer behavior that can
affect the success of Greek MAPs in International markets. There are several trends in
modern world. Any company implementing a contemporary strategic plan for the promotion
of Greek MAPs should consider the following latest developments in market. Consumer
awareness regarding health issues related to food is an important market driver affecting
market terms for herbs and spices. There is a large group of consumers that choose to be fed
in a healthier way. This trend has known a great acceptability especially in terms of reducing
intake of salt. Big companies like Unilever adopt recipes that contain less salt (Schwartz,
2015) or are salt free. Unhealthier ingredients of food such as salt, sugar and additives are
replaced by spices and herbs (CBI, 2015b). Another issue of great importance is food
convenience in terms of easy to prepare or prepared meals. Spices and herbs help these meals
keep or enhance taste.
Food companies have one more challenge in order to be preferred by a portion of consumers
which is sustainability. Sustainability of applied policies related to pesticides use, child labor,
environmental issues are important aspects. Thus certificates that verify these principles are
an advantage for products. Relative certificates are ISO 14001, Fairtrade, Organic Products,
ISO 26000, etc.
155
Adulteration of ground and crushed spices and herbs is an issue that becomes more and more
frequent in the EU market because of the good price of these products (The guardian, 2015).
This phenomenon has taken that much extent that some companies have started to advertise
that their products are not adultered (New Food Magazine, 2015). This type of events
represents a unique opportunity for Greek exporters to penetrate the market based not only on
the good reputation and high quality of the product but also on the credibility of the
companies that offer increased levels of confidence and have excluded any chance for
product adulteration.
Due to increasing demand and products scarcity the productivity increase should be priority
for every supplier. This can be achieved by many ways; however all of them are related to
improved cultivation techniques. Spices and herbs price is significantly increased due to
increasing demand that is not followed by respective increase in production, which remains
relatively stable (CBI, 2015b).
6.3 Synergies with other sectors
• Agro tourism opportunities
Greek MAPs are part of Greek rural population habits and customs and because of that they
are integral part of what we call Agro-tourism. MAPs are met in all areas of the country as
wild or as cultivated species, they are part of the landscape and in many cases they are
significant structural element of the special character of the area. Data analysis has revealed
that in greek regions that tourism activity is developed (mostly in islands and coastal areas)
the cultivation of MAPs has not followed that development.
Agro-tourism sector combines by definition the agricultural and tourism activities. MAPs are
an agricultural sector that are convenient to be utilized in agrotourism activity. This happens
because MAPs can be sustainably cultivated in limited area producing quantities that can
make profits when they are sold in final consumers. Also MAPs are used in modern
landscape architecture as ornamental and functional plants due to their flowers but mostly
due to their aromas. Native MAPs are doing well in the area of their origin and are part of
local flora which is a reason to be visited by agritourist. MAPs can be used as teas and are
appropriate for wellness utilization. Agritourist can relax after a very active day around,
sipping a warm cup of herbal tea. Of course MAPs are food seasoning material which gives
156
special taste to local dishes has thus an important contribution to food enjoyment keeping
visitors happy. For all the above mentioned reasons we could say that medicinal and aromatic
plants although they occupy a very small percentage of stomach space, they contribute very
much to the prosperity of agrotourism sector both in terms of delight of senses and in terms
of economic performance.
• Animal production - Aromatic plants and essential oils in animal nutrition
In livestock production systems, antibiotics are commonly fed to animals to prevent disease
and metabolic disorders, as well as improve feed efficiency. However in recent years, public
concern over routine use of antibiotics in livestock nutrition has increased due to the
emergence of antibiotic resistant bacteria that may represent a risk to human health. The
antimicrobial activity of essential oils against many pathogenic microorganisms can
contribute to the reduction of antibiotics use, and hence the emergence of antibiotic-resistant
bacteria, and their transmission from animals to humans. Their antioxidant activity can
contribute to stability and palatability of feed, and improve the lifespan and quality of animal
products due to reduced oxidation. In addition they can lead to enhanced digestibility and
thus reduce methanogenesis and nitrogen excretion in ruminants and potentially help to
reduce the greenhouse effect. Finally, there are indications for the promotion of development,
such as increasing the rate of feed conversion and daily weight gain after the incorporation of
essential oils in the animal diet.
• Bee Keeping
Medicinal and aromatic plants are one of the best crops for bee pasture. Their existence in the
vicinity of bee hives many times makes the difference in terms of quality of honey and
commercial value of the product. For example thyme honey is more expensive than other
flowers’ honey. One of the ways that are used to identify the quality of honey is the content
in each plant’s pollen grains that are contained in the honey. This content is also an ingredient
of the honey since it is consumed also. The creation of special honey types based on selected
bee pasture has the potential to differentiate the Greek honey and create market leader
products of high added value. This way Greek honey can differentiate itself in a global
market and conquest special shelves being sold as highly specialized premium product.
157
• The meat industry
The meat industry produced products that contain spices and herbs. Such products are pre-
spiced meat that is used in specific seasons like for example spiced barbecue in summer.
Spice mixes can be prepared in the meat industry or by other companies that prepare the
blends and sell not only to meat industry but also to bakery, and to final consumers as ready-
to-use spice mixtures for meat, fish or other dishes. Such products can be found in specialized
shops that sell artisan food and also in supermarkets.
• The food-processing industry
This industry uses spices, herbs and mixtures according to its recipes and quality
requirements. Blending companies have extended their service and lately use not only spices
or herbs, but also other items such as salt, dehydrated vegetables and other flavorings. The
major industrial users of their products produce snacks, soups, sauces, deep-freeze and oven-
ready meals and catering products. This segment is expected to grow, due to the fact that their
products meet busy contemporary people needs for convenience.
6.5 e-commerce opportunities
E-commerce is very widely developed way of trading goods nowadays. From the contacts we
had in the current study with relevant farms and companies there are some observations we
made that produce an image of the implementation of IT technologies in trading practice of
Greek MAPs sector. Farmers do not have a web page of their own while companies do have
one only for promotional reasons. They mainly use it so that interested people can find them
and become their customers. They want to find materials and other goods they buy from a
platform but most of them want to have a direct contact with their clients and not an
automated contact through a web based application. Most of them admit that they do not have
efficient methods to promote their products and they have not used Information Technology
to do it.
158
7. Indicative business plan
Anindicativebusinessplanwasdevelopedusingtechnicalandeconomicdatafromagricultural
holdingsandthedeterminationofthecostsfororeganocultivation.Thedatawerecollectedforthe
evaluationoftheproductioncostandthevariableandfixedcostsoforeganocultivation.
Oregano
COST
Variablecostsperha(€)Fertilizationcostperha €-Pestisidecostperha €-Labourcostperha €430.00Reproductivematerialcostperha €-Othercostperha(Certification) €-
DepreciationMaintenanceequipmentcost €-Equipmentinsurance €-Buildingdepreciation €4,000.00Equipmentdepreciation €500.00
IrrigationTotalirrigationcostperhayear €-
TOTALCOSTS €4,930
INCOME
Grossannuity
Cropyield(kg/ha) €1,000.00
Averagecropprice(€/kg) €10.00
Productionvalue €10,000
NETINCOME
NETINCOME
NETINCOMEperha(beforetaxes) €5,070
159
8. Conclusions
The MAPs sector is a relatively new agricultural sector in Greece. There is a great potential
in the sector for many reasons. They are dynamic crops with an increasing demand in the
markets. They are first materials for a wide range of industrial applications like herbal teas,
food seasoning, cosmetics, perfumes etc. There are several native biotypes of MAPs in
Greece belonging to a range of botanical species and most of them have been widely used in
the past, primarily for medical uses.
The cultivated area is limited, since systematic cultivation has only recently been
implemented. However there is an increasing trend lately in terms of utilized area, number of
involved farmers and cultivated species. MAPs producers face some difficulties, such as lack
of knowledge regarding their crops both in agronomic and in food health and safety issues.
They also do not know how to promote their produce. Experienced farmers on the other hand,
hesitate to enter the sector mainly because there is confusion about its sustainability. One
more important reason for that is the fact that these crops have not yet reached critical mass
in terms of production and therefore the distribution networks cannot appropriately deal with
them resulting in loss of added value for the sector. Further development of primary
production will create jobs for youth. Young people can work in fields as workers. They can
establish agricultural businesses and become farm owners. In case of significant increase of
cultivated area and/or farms there will be new job creation in already existing supply network
due to increased demands (machinery, tools, fertilizers, pesticides). New jobs will be created
in the services sector for farms (consulting, technical help).
Processing companies are few and most of them are very small, mainly family businesses.
The vast majority of processing companies are packaging facilities where only basic
processing is conducted like drying, cutting and packaging. There are some distillery
facilities where essential oils of MAPs are reclaimed and most of the produced quantities are
sold to companies abroad for the production of cosmetics and perfumes. However there are
many cases of “homemade” cosmetics that cannot be recorded since they are active at a very
local base and they are not registered in official registries. Two companies are robust with
international presence and have a good track record of exports. Only one company has
launched in the market (domestic and international) ready to drink cold tea. Further
development will create new job positions in existing processing companies and of course in
new companies that will be established. New jobs will not fit only to industrial workers.
160
MAPs processing is a sector that innovation has plenty of space to develop. Their
applications have a great range from simple use like herbal teas to complex medicines. It is a
knowhow intensive sector and thus there will be new jobs for specialties like food chemist,
food technicians, chemists and engineers who will develop the next generation of novel
innovative MAP products. Target markets are increasingly demanding. Any product that
attempts to acquire a place on the shelf should be well designed, and it should be contained in
an attractive, clever, functional and effective packaging. Industrial designers, in collaboration
with engineers and graphic designers will create new packaging of innovative products.
Marketers will conduct market research, locate new markets and suggest appropriate
strategies for market penetration. IT specialists will undertake the implementation of web
based tools for the global promotion of new products. This sector is a multidisciplinary one
bearing opportunities for employment for a range of young people of all educational levels.
In previous decades the sector was neglected by the state having as result a significant delay
in development in comparison with other European countries. Also there are technical
barriers, such as the non-existence of an official MAP varietiy registry. As a result the
position of Greek MAPs in the market is not currently favorable.
In modern markets there are certain trends. Customers chose to buy products that have
special packaging, appropriate labelling, produced by certified companies and the products
have certain claims, such as organic. Also there are artisanal markets that should be focused
upon by Greek companies with most significantly for the UK market.
Despite the problems created by the financial crisis the MAPs sector in Greece has a
remarkably high potential. However in order to transform this potential to real capacity there
are certain reforms that have to be implemented. This has to start from the state which should
immediately issue relative legislation that is missing (MAP variety registry) and actively
support the sector by development measures aiming to increase the production, improve the
quality and achieve exports. The scientific community should transfer knowledge to
producers, processors, logistics, traders, marketers and all other businesses involved in the
sector. The competition in the market is not only between Greek MAP farmers and ones from
other countries or between Greek MAP processors and processors from other countries. The
competition is actually between supply chains so the entire supply chain should be supported.
There should be a holistic approach of the sector with well-coordinated horizontal and
vertical measures. A common vision should be adopted and a set of short and long term
targets should be set with final destination a shift from “Agriculture” to Agribusiness.
161
9. Recommendation for consideration in the implementation
Phase
9.1 MAP Primary Sector Proposals for Phase II.
A) Opportunitiesforeasyvictories:1. DietaryandhealthqualitiesofMAPshavebeenwidelyadvertisedandmanyconsumers
incorporatethemintheirnutritionalroutine2. ThebiggestopportunityisthatinGreeceaverysmallpartofitspotentialhasbeenutilized
Strengthstorelyon,inordertotakeadvantageoftheseopportunities
• MajorfirmshaveinvestedonproductionofMAPs• Therearemanymarketoptionsavailable• Severalforms&longshelfproductlife• Microclimatefavorsproductionofhighqualitycrops• Canbecombinedwithotheractivitieslikeagrotourismandbeekeeping• AgoodtrackrecordofMAP-relatedresearchprojectsalreadyexists• ThemajorityofproducedMAPsareorganicallycertified
B)Opportunitiesthatcanbetakenadvantageofonlyafterredressingthebalanceofstrengths/weaknesses
1. Growthofdemandforseveralindustries
Weaknessestoalleviateinordertotakeadvantageofsuchopportunities
1. Lackoffarmers’knowledgeoncultivationtechniquesandqualityassuranceofproduce2. Lackofinformationonmarketneedsinspecificsectors3. Fragmentedknowledgeofspatialdistributionofcultivatedmedicinalplants4. Increasedstaffcostbecauseoflackofspecializedmachinery
Overall,mostpromisingcroptypestoplaceemphasison:
ProposalsforPartBoftheProject:
RelevanttoA) Opportunitiesforeasyvictories:
1. CreationofwebbasedtooltoprovideaccuratecustomizedbusinessplansforperspectiveMAPsgrowers
2. CreationanOpenAccessRegistry3. ConductshorttimeresearchrelatedtoavailabletechnologiesandmachineryforMAPs
emphasizingtoharvesting
162
RelevanttoB)Opportunitiesthatcanbetakenadvantageofonlyafterredressingbalanceofstrengths/weaknesses:
1. CreationofframeworkforactionsforNetworkingwithmarketsatNationallevel
2. Provide training and consulting and help organize a pilot MAP farmer cooperative
3. Create Centers for Organic Agriculture (long term)
a. Training program for new farmers
b. Trials and commercial evaluation of new varieties
c. Research in applied methods in organic farming
4. Create Prototype farms (Lighthouse Farms) for best practices and application of
technological advances in crop cultivation. Connect with Incubator Farms. Link with
a training program, where participants work and train in the prototype farms. (Long
term)
9.2MAPPROCESSINGANDTRADESECTORPROPOSALS
A) Opportunitiesforeasyvictories:3. Developedartisanherbmarketsector4. Increasingcultivatedareascanproduceahighercropvolumetobeusedasrawmaterialsby
theindustry5. Availabilityofqualifiedscientistsandexperiencedpersonnel
Strengthstorelyon,inordertotakeadvantageoftheseopportunities
• Existenceofdynamiccompanieswithincreasedexportactivity• Marketing,brandingandpromotionofMAPsandMAPproductsisimproving• Technicalexpertiseandknow-howofscientificpersonnelaresatisfactory• Qualityassurancesystemsandcertificationculturealreadyestablished• Lowoperationalcostofsmallscaleverticalintegratedfirms
B)Opportunitiesthatcanbetakenadvantageofonlyafterredressingthebalanceofstrengths/weaknesses
2. Recentadoptionofinstitutionalframeworkforthesustainableexerciseofcontractfarming3. Thegeologicalandclimaticdiversityhascreatedagreatvarietyofgenotypes4. Cleartrendinconsumerbehaviortochoosenaturalproducts5. MAPproductionfacilitiesarenowpromotedingovernmentdevelopmentprograms6. MAPprocessedproductscaneasilypenetratetourismsectorespeciallyinagrotouristunits7. Goodreputationaboutpremiumquality8. IncreasedadvertisingurgingconsumerstopreferlocalMAPsproducts
163
Weaknessestoalleviateinordertotakeadvantageofsuchopportunities
9. Lackofsustainedquantityandqualityofdomesticrawmaterial10. Smallscaleproductionisunsuitableforbigcontracts11. Thereisaneedforspecializedpersonnelespeciallywhenreclaimingofcertainchemical
substancesisconcerned
Overall,mostpromisingprocessedMAPproductstoplaceemphasison:
ProposalsforPartBoftheProject:
RelevanttoA) Opportunitiesforeasyvictories:
4. CreationofaselectionofGreekoreganovarieties
RelevanttoB)Opportunitiesthatcanbetakenadvantageofonlyafterredressingbalanceofstrengths/weaknesses:
5. CreationofMAPsQualityAssuranceAcademy6. PostgraduateProfessionalDiploma
164
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Appendix I: Profiles of interviewed farms and companies
169
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:22/10/2015
Companytitle:AGRONEW
CompanyType:O.E.
Address:Polycastro
Website:www.agronew.gr
Contactperson:PetridisPanagiotis,AnastasiadouEytyxia
Mobile:6976779919e-mail:[email protected]
GPSlocationN-40.399873E-22.572969
Mainactivitysector:
Production Processing Packaging&Distribution
Otheractivities:-
Yearofestablishment:2013 Management&ownership:Management:Petridis-Anastasiadou
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational exporter importer
Ifexporter,mainmarkets:BULGARIA,(NegotiationswithChina,FinlandandHolland).
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:N.GreeceShortcompanyhistory/researchernotes:Companystartedin2013andhasmadefirstattemptstosellproductsjustin2015.Theyarepreparingpropagationmaterialforcollaborativefarmersanddotheplantingforthem.
Insertphotos
170
Mini Report - Key outcomes and important notes Mr. Petridis together with his partner Mrs. Anastasiadou have started their activity in 2013 and have appeared in the market in 2015. They are specialized company in the production of lavender and lavender oil products. Their main customers are in Bulgaria while they have started negotiations with companies from China, Finland and Holland.
Production and Technological improvements
➘ The company has 2 greenhouses (6x40m each) where plants are being produced. They also have open field nurseries while they are now constructing another two greenhouses. ➘ For the moment they are using subcontractors for oil distillation however they have started procedures for building their own private facilities ➘ All production (7 hectares) is registered as organic.
Commercial potential
The company has multiple solutions for the final product. Therefore they are selling potted plants as ornamentals, lavender oil and products made from dried lavender like salts, oil containing products, pouches, aromatic pillows etc.
Marketing is focusing in women so the products of company are related to beauty and home products.
Also according to the company representative there is no serious competition since they have exclusivity in their variety. Their own variety has a big productivity in terms of oil production reaching about 120-160 lit/hectare while competition has varieties that achieve a productivity of about 4.5 lit/hectare.
Alternative crop for youth
They believe that it is a good alternative income. Lavender can be cultivated in non-irrigated fields. A farmer even with a small area can have a descend income selling essential oils at a price 0f 50-60 euros up to 100 euros per liter. In addition to this they can have distillery equipment covering the production from 2 hectares at a price of 3000 euros.
Problems
- No serious problems in production - There is no procedure established regarding the certification of propagation material so
that they could promote the advantages of their own variety. - There are demands for capitals for the installation of the cultivation (propagation
material) and purchase of equipment. - They feel they will need training on the promotion and advertising of their products.
General Comments/outcomes
- The company representative sees that there is potential in the lavender products. There are countries that have been established as suppliers of the international market (i.e. Bulgaria) however there are a lot of opportunities in emerging markets for essential oils in Far East and in N. Europe.
171
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:14/10/2015
Companytitle:AnemoilektrikiSA
CompanyType:SA
Address:I.Zirini19Thessaloniki–LivadiLarisa
Website:http://olympus-sideritis.com/
Contactperson:PapachristosChristos
Mobile:6945833962e-mail:[email protected]/
GPSlocationN-40.124883E-22.158278
Mainactivitysector:
Production ProcessingPackaging&Distribution
Otheractivities:Renewableenergyprojects
Yearofestablishment:2007 Management&ownership:Management:PapachristosChristos
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnationalexporterimporter
Ifexporter,mainmarkets:-
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:-Shortcompanyhistory/researchernotes:AnemoilektrikiSAhasplantedolympusmountainteaandotherMAPsoneyearagoandnowtheyarelookingforbuildingpackagingfacilities
Insertphotos
172
Mini Report - Key outcomes and important notes Mr. Papachristos has entered the sector two years ago when he retired from his previous job as bank personnel. He has chosen to cultivate Olympus mountain tea and try to cultivate many other Medicinal and Aromatic plants for beverages and for food seasonings.
Production and Technological improvements
➘ Production has been well organized using technological advancements like drip irrigation and fertigation. ➘ All cultivated area has been registered as organic. ➘ Special packaging materials were used for the packaging of products that could be categorized as “premium” and are focused in demanding markets such as five star hotels and expensive company gifts
Commercial potential
The company has just entered the market. However the first messages are quite positive. The products have easily been accepted in luxurious hotels, and distributors while exporters have been quite positive for the representation of the company abroad.
Main product is Olympus mountain tea which is sold alone or in several mixes with other species.
Quality of the product is very good. The only issue is that the quantity is not so big.
Alternative crop for youth
The herbs especially Olympus Mountain Tea are a good alternative for people that want to enter agriculture. There is some degree of independence from expensive machinery since almost all cultivation can be done with simple small machines (portable cultivators) or even manually.
Problems
- It is difficult to find certified propagation material - There are not so many experienced scientists to support a company during installation
and cultivation of the product - There are no development measures to help people to invest in the sectors even if there
are a lot of articles in newspapers about its potential. - Because of the nature of cultivation (most species are perennial) there is relative
difficulty to rent the land since the period should be prolonged from 8 to 12 years and land owners are not easily persuaded to make long contracts.
General Comments/outcomes
- MAPs are dynamic species with great potential in the market - MAPs have a great value for the farmer compared with other classic produce like
cereals, animal feed etc. - They are ideal choice for infertile, poor land, high altitudes etc. - The added value of processing and selling someone’s own produce is attractive and it is
an activity where a producer can develop direct connections with final consumers.
173
PROCESSINGCOMPANYStudyNo&title:#6-Medicinal&AromaticPlants
Researcher/s:ChristosVasilikiotis
Date:2/11/2015
Companytitle:APIVITA
CompanyType:NaturalCosmetics
Address:APIVITAS.A.IndustrialParkofMarkopoulo19003MarkopouloMesogaiasGreeceTel:+302102856350Fax:+302102843580
Website:http://www.apivita.com
Contactperson:A.Tsoukalas
Mobile:e-mail:[email protected]
GPSlocationN-E-
Mainactivitysector:ProductionProcessingPackaging&Distribution
Otheractivities:
Yearofestablishment:1979
Management&ownership:NikosandNikiKoutsiana,owners
Annualturnover:o Upto10.000o 11.000–100.000
o 101.000–200.000o 201.000andover(X)
Numberofemployees:305
Levelofactivity:local/regionalnationalexporterimporter
Ifexporter,mainmarkets:Spain,Japan,HongKong,theUSA,Cyprus,Ukraine,Romania,Bulgaria,BelgiumandtheNetherlandsIfimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:AllmarketsShortcompanyhistory/researchernotes:StartedfromtwopharmaciesinAthensandthenbecameinvolvedinnaturalcosmetics.OneoftwolargestnaturalcosmeticscompaniesinGreeceInsertphotos
x
x x
174
Mini Report - Key outcomes and important notes ApivitastartedfromtwopharmaciesinAthensandthenbecameinvolvedinnaturalcosmetics.OneoftwolargestnaturalcosmeticscompaniesinGreece.ThemainproductrangesofthecompanyareCosmeticcareproducts:shampoos,facecreams,facemasks,showergels.Thedomesticdistributionchannels are pharmacy shops, retail (Hondos center) and privately owned shops (Athens, Athensairport).APIVITAalsoexports30%oftheirproductstoforeignmarkets
Production and Technological improvements
Inearly2013APIVITAmovedtotheirnewbioclimaticfacilitiesintheIndustrialParkofMarkopouloMesogaias,Attica,Greece.Thebulkmaterialproductionunitconsistsof5hightechstainlessmixersenabledtohomogenize,vacuumandcreatehighpressure,withacoolingandheatingnetwork,and6000kgoftotalproductioncapacity.Thewater treatment unit is also extremely important, as water, except from being a preciouselementforall livingorganisms,constitutesthebasicrawmaterial inthecosmeticsmanufacturingprocess.APIVITA, inordertoensurethepurityofthewaterusedintheproductionprocesshas itsownwatertreatmentunit.Byusingthemostadvancedwatertreatmentmethods,thecompanyhasmanagedtobeusingthesuperpurifiedwaterwithaconductivityof0.6μS/cm.
Commercial potential
Naturalcosmeticscompriseonly3.5%ofthecosmeticsmarket.Thereisalotofpotentialforgrowth,aslongnaturalcosmeticsmaintaintheirqualityandbuildcustomerconfidenceApivitaisusing80-100%ofnaturalingredientsinalltheirproducts.Rawmaterialsourcing:honeyis100%fromGreekproducersandherbsaremorethan95%fromGreekproducers.
Rawmaterialsusedperyear:700kgessentialoils2.5tonsdryherbsOverall,cosmeticscompaniesdonotrepresentalargebuyerofaromaticplantsastheyusearelativesmallamountofrawmaterialsperyear.
Alternative crop for youth
RawmaterialssourcedfromGreekproducersaresimilarincostwiththoseimported.EssentialoilsaremoreexpensiveandthequalityofGreekproducedessentialoilsisinferior-lackofdistillerieswiththepropertrainedoperatorsandknow-how.Importantissuesthatcouldbecoveredintrainingforjobsinproductionare:
Storagepestmanagement(naturalinsecticidetreatment)MicrobialcontaminationHerbdrying-lackofproperequipmentandqualitycontrolDistilleryoperationtrainingGoodagriculturalpractices(GAP)andgoodhandlingpractices(GHP)Standardizationofproduction
175
Importantissuesthatcouldbecoveredintrainingforjobsinprocessingare:Pharmacognosy,greenextraction,physicalchemistryandformulation,biochemistry,molecularbiology,dermatology,businessadministrationAbilitytocommunicatechemicalanalyses
Problems
Problemsfacebythecompany:NostandardizationofplantmaterialandbeeproductsinGreece.Manyproblemswithmicrobialandinsectcontent.AlsolackofGreekproducedexcipientsforcosmetics,whichwasaproblemduringespeciallyduringcapitalcontrols.
Problemsfacedbytheirproducers:
Thereisnopropagationmaterials(seeds,seedlings)availableinGreeceMostfarmersdonothaveexperienceonpostharvestprocessingoftheircrop.There are fewdistilleries andmost arenotoperatedoptimally - noexperience inoperation(ΑΝΘΗΡisanexception)NeedforcultivationprotocolsQualityindicatorsinaromaticplantsthatproducersshouldknowtoproducequalityproduct.NoessentialoilsavailableatthequalityandpricerequiredThereIsaneedforthedevelopmentofspecificationsforeachplantandanationalregistryThereisnocontractbasedagriculture,sincetherearenotestablishedguidelinesThereisaneedtobeabletoidentifyvaritiesPropagationmaterial should be a goal with the collaboration of botanical gardens (for thecollectionofwildspecies),ELGO-Demetra,Universitiesandnurseries.
General Comments/outcomes
HethinksthatlavenderisnotagoodoptionforGreece,unlesslocalvarietieswithspecialcharacteristicsaredeveloped.ThelavendermarketiscontrolledbytheFrenchandBulgarianswhocontrolthetradewithFrenchmarket.
176
PROCESSINGCOMPANYStudyNo&title:#6-Medicinal&AromaticPlants
Researcher/s:ChristosVasilikiotis
Date:3/11/2015
Companytitle:KORRES
CompanyType:A.E.NaturalCosmetics
Address:KORRESS.A.Tel:+302262054616
Website:http://www.korres.com
Contactperson:IordanisSamanidis
Mobile:e-mail:[email protected]
GPSlocationN-E-
Mainactivitysector:ProductionProcessingPackaging&Distribution
Otheractivities:
Yearofestablishment:1979
Management&ownership:
Annualturnover:o Upto10.000o 11.000–100.000
o 101.000–200.000o 201.000andover(X)
Numberofemployees:230
Levelofactivity:local/regionalnationalexporterimporter
Ifexporter,mainmarkets:30countriesworld-wide,includingcompanystoresin23cities.Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:AllmarketsShortcompanyhistory/researchernotes:Startedfromapharmacist.Todaytheyaresellingtomorethan6000pharmaciesinGreeceInsertphotos
x
x x
177
Mini Report - Key outcomes and important notes KORRESStartedfromapharmacist.Todaytheyaresellingtomorethan6000pharmaciesinGreece.OneoftwolargestnaturalcosmeticscompaniesinGreece.ThecompanystartedinapharmacybehindKalimarmaronStadiumofAthensinthemid60sasGreece’sfirsthomeopathicpharmacy.GeorgeKorres,joinedin1988whilehewasstillastudentofPharmacologyattheUniversityofAthens.ThefirstKORRESproduct,anaromaticsyrupwithhoneyandaniseed,wasinspiredby‘rakomelo’,awarmingspiritwhichgrandfatherGiorgosKorresusedtomakeinhisvillage,SkadoofNaxos.
Commercial potential
By1992morethan3000recipeswereprepared.In1999theKORRESproductsarefirstexportedtotheUSA.FromthattimeKORRESisexpandingtomajorcitiesofEuropeasnaturalcosmeticsexpertcompany,whilein2007thebrandgoestoAsia.
178
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:8/10/2015
Companytitle:MoraitisJohn
CompanyType:Personalcompany
Address:2ndKmLaggadas-Kolchiko
Website:http://pegasus-bio.gr
Contactperson:MoraitisJohn Mobile:6937313409e-mail:[email protected]
GPSlocationN-40.754290E-23.110848
Mainactivitysector:
Production ProcessingPackaging&Distribution
Otheractivities:-
Yearofestablishment:2011 Management&ownership:Management:MoraitisJohn
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational exporter importer
Ifexporter,mainmarkets:EUROPE
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:N.GreeceShortcompanyhistory/researchernotes:Companystartedin2011andhasfinishedinvestmentinpackagingfacilitiesthisyear.Theyproducearomaticplantsandsuperfoods(gojiberry,AroniaandTruffle)
Insertphotos
179
Mini Report - Key outcomes and important notes Mr. Moraitis has started cultivation of MAR’s three years ago. At the same period he started processing and packaging. Now he has finished his investment in new facilities where he can make a variety of final products including tea bugs for final consumers.
Production and Technological improvements
➘ The company has new facilities containing all necessary equipment for the processing of MAPs as driers, pyramid tea bags automated machine, quality control, cutting and packaging equipment etc. ➘ All production has been registered and certified as organic. The company cultivates Goji berry (2 hectares), Aronia (2.5 hectars), rosemary (0.5 hectares), dictamus (0.2 hectares) and truffle (1 hectar).
Commercial potential
According to Mr. Moraitis there is a great potential for Greek MAPs because of their high quality, aromas and flavor. Also for the berries there is a big potential as fresh and processed as marmalades or dried. .
Foreign customers (exports) of the company consist of retailers, while in Greece main customers are organic products stores and supermarkets.
As far as alternative fruits are concerned the company has developed some marmalades using each fruit separately and several combinations of them and first messages from the market indicate promising results in the future.
Alternative crop for youth
The company considers that MAPs are a sector of agricultural produce that can fit the youth. It is not saturated yet and it is a sector that can permit family income with the utilization of smaller cultivated area than classic species. Also it is a knowledge intensive sector that demands for young people with vision and willingness to produce high quality because it is the factor that will affect the price and therefore the profit of the farmer.
Problems
180
- No serious problems in production - Levels of recession in economy are high and this is an obstacle for the development
of the sector. - Competition in MAPs and Alternative fruits are big companies well established, many
of them multinationals and with a long presence in the market. - Working capital and capital for purchase of machinery for the processing of primary
production.
General Comments/outcomes
The sector is a good choise for young people who want to be active in agriculture. There is no big need for equipment for primary production while not so fertile fields can be utilized since the sector can be categorized as low imput.
181
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:14/10/2015
Companytitle:ChalkiasDimitrios
CompanyType:Farmer
Address:KariaOlympus
Website:https://www.facebook.com/OlympouVotana
Contactperson:ChalkiasDimitrios
Mobile:6974302181e-mail:[email protected]
GPSlocationN-39.985274E-22.391645
Mainactivitysector:
Production ProcessingPackaging&Distribution
Otheractivities:-
Yearofestablishment:2007 Management&ownership:Management:ChalkiasDimitrios
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational exporter importer
Ifexporter,mainmarkets:UK,Germany,Netherlands
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:Thessaly,Athens,ThessalonikiShortcompanyhistory/researchernotes:Companystartedin2007insmallscaleandhasbeenexpandingcultivatedareaeveryyear.
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Mini Report - Key outcomes and important notes Mr. Chalkias has started his activity in 2007. He has taken seeds of Olympus mountain tea from native wild populations and started propagation of the plant. Each year cultivated area was growing and now he is cultivating 9 hectares of sideritis scardica, 1 hectare of oregano, 0.4 hectare of thyme and smaller area of peppermint, Melisa, mint, fliskouni and sage.
Production and Technological improvements
➘ The company has used only native propagation material. ➘ They produce plants in nurseries where they are supplying their own seeds and the nursery gives back seedlings ready to be planted. ➘ All production is registered as organic. ➘
Commercial potential
The company has customers in Athens, Thessaloniki and Larisa. Exports so far have been achieved in the UK, Germany and Netherlands. Exports represent 30% of total sales. There is a big interest for the mountain tea from all over the world (USA, Far East, Middle East countries) however the achieved production although it has been increased lately, it has not reached critical volume for opening bigger markets.
Because of the nature and reputation of the product they do not use distributors. They sell directly to the retailers (small shops) and final consumers. The company focuses on elderly (because of recent German university research that made clear implications about positive contribution of Olympus mountain tea to Alzheimer symptoms relief) and tea consumers because of its great taste, aromas and general satisfaction to the consumer.
Alternative crop for youth
The Olympus mountain tea is a special tea. It needs extra attention in the installation of the plantation. It is a very good choice for fields situated in high elevation at altitudes of 1000 to 2000 meters above sea level.
Problems
- Propagation material is very difficult to find. - Total production is low while mountain tea is quite good, Olympus mountain tea or else
Sideritis scardica is relatively scarce and therefore the logistics, distribution networks etc are not easy to be developed.
General Comments/outcomes
- There is a great potential for the specific product in the market. It concentrates all desired characteristics including healing properties, tradition and the “myth” since many of the people in the market use the term “nectar of the gods”. So it is a leading herb in the market which although it exists in some areas in Balkans and in Spain, the area around Olympus mountain is ideal for its cultivation and trade. That species is a unique competitive advantage for local youth and an excellent choice for someone who will enter agriculture activity producing MAPs.
183
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:21/10/2015
Companytitle:CoopofMed.AndAromplantsofVoio
CompanyType:Cooperative
Address:Kozani,Grevenon5st
Website:www.kozaniroses.gr
Contactperson:MariaPoutoglidou
Mobile:6980337157e-mail:[email protected]
GPSlocationN-40.295585E-21.785758
Mainactivitysector:
Production Processing Packaging&Distribution
Otheractivities:
Yearofestablishment:2004 Management&ownership:Management:TyrekidisDimosthenis
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational✲exporter✲importer
Ifexporter,mainmarkets:Germany,Switzerland,France,Cyprus
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:Kozani,Athens,Thessaloniki,IslandsShortcompanyhistory/researchernotes:Thecoopstartedoperationsin2004.Nowtheyare73memberswithmainproductsrosesandlavender..
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Mini Report - Key outcomes and important notes The cooperative was founded in 2006 while the first commercial production has been achieved in 2009. They have introduced in Greece Damascus rose cultivation. I 2010 they have made their first lavender plantations (Hemus). 73 members are cultivating an area of 30 hectares of roses and 30 hectares of lavender while production is about 1 ton of rose oil and 5 tons of lavender oil per hectare.
Production and Technological improvements
➘ The cooperative has owned distillery facilities. ➘ Propagation material has been purchased from Bulgaria which is the country with the highest level of expertise in the sector of Rosa damascena.
Commercial potential
The cooperative has clients in Greece mostly in tourist areas in retail shops of organic products, delicatessens, pharmacies and cosmetics industry.
Exports are made to Switzerland, Cyprus, France, Germany, Hong-Kong and Taiwan.
The achieved quality is high and there is demand that overcomes production.
Alternative crop for youth
Members of the cooperative are mostly young persons and unemployed. The membership in the cooperative allows the members to make some gross income which is about 6000 for roses and 3500 for lavender (euros/hectare).
Problems
- The main problem in this activity is to find working capitals. - Another obstacle for the increase of production is the lack of available water for
irrigation. - Another problem is to have the necessary personnel for the operation of the
cooperative. - Propagation material is prepared and purchased in Bulgaria and its production locally
has not been achieved yet.
General Comments/outcomes
- The cooperative has adopted multiple promotional activities including phone marketing, participation to exhibitions, leaflets and a website.
- All members are satisfied by the achieved profits they have out of this activity - This year they will expand processing facilities with the purchase of one more distillery,
while cultivated area is programmed to be four times bigger than the present total area. Moreover another 40 members will join the cooperative this year.
- The cooperative organizes training sessions with the agronomist and they also have common research activities with TEI of Industrial Design and Faculty of Pharmacy of Athens University.
185
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:21/10/2015
Companytitle:DioscouridesOE
CompanyType:OE
Address:AnarachiPtolemaida
Website:http://www.dioscurides.gr/
Contactperson:TzimikasStergios
Mobile:6973914591e-mail:[email protected]
GPSlocationN-40.490867E-21.580769
Mainactivitysector:
ProductionProcessing Packaging&Distribution
Otheractivities:
Yearofestablishment:2005 Management&ownership:Management:TzimikasStergios
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational✲exporter✲importer
Ifexporter,mainmarkets:Europe,N.AmericaandGulfcountries.
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:AllcountryShortcompanyhistory/researchernotes:Thecompanystartedoperationsin2005.Nowtheyhaveavarietyofproductsinmarket.
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Mini Report - Key outcomes and important notes Mr. Tzimikas is a doctor in Ptolemaida. He has been involved in medicinal and aromatic plants as a scientist with a good level of knowledge about their qualities and medicinal uses. He has built the factory in Anarachi, a village nearby Ptolemaida. In the beginning they were processing plant species for beverages but lately they have expanded to seasoning.
Production and Technological improvements ➘ The company is certified against ISO 22000 for Food Hygiene and Safety. ➘ Production has been certified as organic according to REG (EC) 834/2007 ➘ They have made innovative products such as ready to consume teas that consist of honey with essential oils, or brown sugar with essential oils. ➘ The company in the beginning has made some demonstration fields (about 2 hectares) but now they are not cultivating at all. However they are supporting with materials and consulting the collaborative suppliers (farmers).
Commercial potential
According to Mr Tzimikas there is a good potential for the products in Greece and abroad. For Greece there must be critical quantities so that the products can enter the supermarkets. Once they are on the selves the company has the necessary working capitals and can then expand and try new markets and new products. This scenario did not happen from the beginning when company was operating creating damages instead of profit. Now they know how they should organize the company.
There are good markets abroad. They are found in N. Europe, USA, Canada and Gulf countries. The company is selling to them. The most promising market they are preparing for is N. American customers who want to buy Greek seasoning materials especially oregano. For this reason they are willing to send their own harvester for harvesting the oregano directly in the fields of farmers. They are also paying a good price for the product if it meets their qualification.
Alternative crop for youth
They believe that the MAPs are a good choice for young persons that want to get involved in agriculture. This because one can enter the sector with small area and without investing in expensive equipment. MAPs are plants that can be handled with simple tools and the biggest problem of cultivation is weeding. Moreover there are no special needs for fertilization and plant protection.
Problems
- There are no registered varieties and therefore there is a high level of uncertainty regarding the qualities of plant that will be planted
- There is no policy in supporting young farmers entering the sector - The market is not so well defined. - Wild collection does not allow people to plan in long term, while imports are always
disturbing prices.
General Comments/outcomes
- The company believes that the MAPs sector has not been saturated yet, especially regarding Greek oregano production that has a good reputation abroad.
187
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:15/10/2015
Companytitle:EthoilOE
CompanyType:OE
Address:GrammatikoKarditsa
Website:http://www.ethoil.gr
Contactperson:GakisVangelis
Mobile:6977701538e-mail:[email protected]
GPSlocationN-39.250554E-22.215679
Mainactivitysector:
Production Processing Packaging&Distribution
Otheractivities:-
Yearofestablishment:2004 Management&ownership:Management:GakisVangelis
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational exporterimporter
Ifexporter,mainmarkets:
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:WholesalersfromalloverthecountryShortcompanyhistory/researchernotes:Companyhasbeenestablishedin2004andinvestmentwascompletedin2008.Mainactivityisproductionofessentialoilsanddriedaromaticplants.
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Mini Report - Key outcomes and important notes Ethoil Company has been founded in 2004. The investment (essential oils distillery and dry product production) was completed in 2008. The company produces lavender, rose, mint, lemon verbena, melissa, St. Jones wort, chamomile and sage.
Production and Technological improvements
➘ The company has distillery and they produce several types of essential oils.. ➘ They also have a fully equipped analytic laboratory which allows them to produce and test and do quality analysis and control in their products. ➘ They also have some customized field machinery specialized for the production and harvesting of MAP’s. The equipment has been acquired from technologically advanced countries in MAPs sectors such as Bulgaria and Hungary.
Commercial potential
The potential of aromatic plants and their products seems big enough. However the company has not made a big success entering the market.
Although they have a good quality of essential oils and dry product ready for use as beverages and food seasoning materials they have not managed to make the sales that are necessary for ensuring the sustainability of the company.
Alternative crop for youth
The company believes that there is clearly a promising future for the youth if they do produce medicinal and aromatic plants. They highly recommend this kind of products since there is a potential in the country and these plants can utilize the low value agricultural land because of the fact that they are not so much demanding in irrigation and soil fertility.
Problems
- Biggest problem is that the investment in this kind of products is capital intensive. - Moreover there is not only the investment but also the cash flow needed for the
realization of production (working capital). - Effective marketing is one more ingredient for promoting the products affecting thus
business sustainability.
General Comments/outcomes
- Generally speaking the company considers MAPs sector as a promising sector especially for the young farmers and those who want to enter farming.
- They suggest that this kind of actions should be made by young people as group efforts where they can share cost of equipment.
- Also the company has a policy that they want to promote contractual agriculture. In such a concept they offer free consulting to candidate farmers and fresh farmers while they can undertake harvest on their behalf.
189
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:K.Zoukidis,I.Kalfas
Date:16/10/2015
Companytitle:GoulisNikolaos
CompanyType:PersonalEnterprise
Address:AgiosPaulos,Halkidiki
Website:
Contactperson:GoulisNikolaos
Mobile:6944905648e-mail:[email protected]
GPSlocationN-40.33909268E-23.06262328
Mainactivitysector:
Production ProcessingPackaging&Distribution
Otheractivities:Agriculturalsupplystore
Yearofestablishment:1998 Management&ownership:Management:GoulisNikolaosOwnership:DimitriouIoanna
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational exporterimporter
Ifexporter,mainmarkets:
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:WholesalersfromalloverthecountryShortcompanyhistory/researchernotes:GoulisNikolaoscontinuesfamilytraditioninproductionandtradingofaniseespeciallyfordistilleriesforproductionoftsipouroandouzo.
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Mini Report - Key outcomes and important notes Mr. Goulis continues long family tradition in production of anise. He is cultivating
anise every year and has kept their customers who show increased levels of loyalty and each year buy his production. His customers use anise as an ingredient of tsipouro and ouzo distillery production.
Production and Technological improvements
➘ Seeding is made using modern pneumatic seeding machine. ➘ Using Good Agricultural Practices he has managed to produce stable high quality of product which allows the customers to use one kg of his product per lot while cheaper imported similar anise needs two kg per lot.
Commercial potential
According to Mr. Goulis the product is a good choice for a farmer because if one can produce it in such quality that is demanded from the market then there will be guaranteed absorbance of the product since main customers are distilleries and industry that use it in traditional spirit production.
Quantity of seed is about 2kg per hectare and mean production is about 1500 kg/hectare. The crop is planted in rows at a distance of 0.8m between them. When the product is ready for harvesting it is cut and left in the field for some days and when it is dry it is threshed on site and product then is transferred to storage facilities.
If quality is good then there should be no problem in selling it.
Alternative crop for youth
Anise is a classic cultivation in areas close to main distilleries producing an essential first material for the production of traditional spirits. There is no special initial cost for the production of the specific crop and cultivation could be realized using equipment of cereals production.
Problems
- No serious problems in production - No particular problems are faced in the cultivation and managing of the crop - Biggest threat for the product are some rumors spread by social media, blogs etc that
anise and anise products harm the prostate gland. - Also some change in trends that specially young people tend to prefer to consume
products without anise like grapa instead of tsipouro.
General Comments/outcomes
- Mr Goulis is an agronomist who has managed to incorporate family experience and scientific knowledge in everyday practice.
- He believes that as long as the produced anise is within the qualifications there is no problem in selling it at a descent price. Moreover he believes that the price he achieves is fair and appropriate for the product.
According to him there is no real threat for the product from imported cheap Turkish anise in the market since imported quantities are mostly utilized when domestic product has been absorbed.
191
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:21/10/2015
Companytitle:Herbsandoils
CompanyType:Personalcompany
Address:XirolimniKozani
Website:http://www.herbsandoils.gr/
Contactperson:EiriniMallini Mobile:6972875211e-mail:[email protected]
GPSlocationN-40.124883E-22.158278
Mainactivitysector:
Production Processing Packaging&Distribution
Otheractivities:
Yearofestablishment:2011 Management&ownership:Management:EiriniMallini
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational✲exporter✲importer
Ifexporter,mainmarkets:Germany,Switzerland
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:Kozani,AthensShortcompanyhistory/researchernotes:Thecompanyhasstartedfarmingin2007.In2014theyenteredpackagingactivitywhilein2015theybuiltthedistilleryfacilities.
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Mini Report - Key outcomes and important notes Mrs Malini cultivates 2 hectares of private land and 20 hectares on rented land. 20 hectares are cultivated with lavender, 1.2 hectares of mountain tea and sage 0.1 hectare.
Production and Technological improvements
➘ Mrs Malini has studied business administration in the UK and has organized very well production. ➘ All farms have been registered as organic. ➘ Mrs Malini has the primary and the production of dry products (beverages) while her brother has the production of essential oils (Herbs & Oils).
Commercial potential
They sell their products to both wholesalers and directly to consumers. Mrs Malini sells dried tea and sage. Mr Malinis sells essential oils of lavender and sage.
They have invested in quality and they have achieved critical mass for their customers.
They also are investing in good packaging and therefore they have developed packaging with the help of TEI of Western Macedonia Faculty of Industrial Design.
Alternative crop for youth
They believe that MAPs are a good choice for young people who want to try farming, because they have a big potential and there are available markets for penetration. These species can easily replace the less prosperous cereals that do not achieve good income any more.
Problems
- There is a need for working capitals - There is shortage of personnel for seasonal activities like weeding or harvesting. - Propagation material is not standardized and it is difficult to be sure about its quality and
reliability. - Long term land rental contracts are not easy to be achieved because owners do not like
to sign for 8 or 10 years. - One of the biggest problems in exports is the fact that a company has to prove that they
are reliable because our country has not a good reputation abroad regarding this market.
General Comments/outcomes
- The company has been increasing and will continues to increase cultivated land. - They believe that this kind of crops are utilizing the best way the pedo-climatic
conditions of the area and can maximize possible profits for a farmer - Main competitors are Bulgarian farmers and at a lower degree French. - They have made first plantations in 2011, they have processed tea in 2014 for the first
time while their first production of essential oils in new facilities was achieved in 2015.
193
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:13/10/2015
Companytitle:PapakonstantinouStella
CompanyType:Personalcompany
Address:TaxiarchisChalkidiki
Website:http://holomon.gr
Contactperson:PapakonstantinouStella
Mobile:6980123447e-mail:[email protected]
GPSlocationN-40.424403E-23.522502
Mainactivitysector:
Production ProcessingPackaging&Distribution
Otheractivities:-
Yearofestablishment:2010 Management&ownership:Management:PapakonstantinouStella
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational exporter importer
Ifexporter,mainmarkets:Germany
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:N.GreeceShortcompanyhistory/researchernotes:Stellacontinuesdeepfamilytraditioninaromaticplantsassecondgenerationcontinuingtogetherwiththeirbrothertheworkoftheirfatherwhichstarteddecadesago.Sheincultivating,collectingandpackagingaromaticplantsinmodernfacilities.
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Mini Report - Key outcomes and important notes Mrs. Papakonstantinou is continuing family tradition in collecting and selling MAPs. Her initial involvement in the sector was collecting wild species on the rich in flora mount Holomon. Second step of her activity was the cultivation of aromatic plants while a few years ago she entered the packaging of herbs.
Production and Technological improvements
➘ She cultivates lavender, sage, rosemary and oregano. ➘ She is collecting a lot of wild species after taking relative license by the local authorities. ➘ All production has been registered as organic, while processing facilities have been certified against ISO 22000 standard for Food Hygiene and Safety. ➘ She has chosen to cultivate perennial species and they are the mostly wanted by the market.
Commercial potential
There is a great potential in the area of MAPs.
She is taking advantage of the tourism in the area of Halkidiki and so she is focusing in hotels and other points accessible to tourists.
She has chosen to sell directly to retailers so that she avoids wholesales and distribution networks maximizing her profits.
New perspective market is that of Scandinavian countries.
Alternative crop for youth
There is potential in herbs. She would buy good quality products from young farmers. There are consumers nowadays that are looking for healthy products to consume and herbal teas belong to them.
One more advantage of MAPs according to Mrs Papakonstantinou is that the specific crops’ price is not calculated as euro/ton but as euro/gram.
There is demand in the market and one can start with a relatively small cultivated area.
Problems
- Promotion costs are quite big and therefore there is practically little promotion activity. - There are not specialized nurseries and propagation material is unclear regarding
qualities of final product, not guaranteed and not reliable. - It is difficult to trust collaborators that are involved in promotion of the products.
General Comments/outcomes
- She has already attended cosmetics production seminars and she is very interesting in entering the sector.
- She is also interesting to attend seminars regarding marketing and business management
- Traditional paper bags as a packaging option have been withdrawn and modern packaging solutions have been adopted.
195
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:7/10/2015
Companytitle:ImbrahimSeimi
CompanyType:Farmer
Address:SimandraXanthi
Website:-
Contactperson:ImbrahimSeimi Mobile:6988110466e-mail:-
GPSlocationN-41.137802E-25.025625
Mainactivitysector:
Production ProcessingPackaging&Distribution
Otheractivities:-
Yearofestablishment:- Management&ownership:Management:ImbrahimSeimi
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regional nationalexporterimporter
Ifexporter,mainmarkets:
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:WholesalersfromalloverthecountryShortcompanyhistory/researchernotes:ThefarmproducesmountainteafortheTUVUNUfirm(Verginabrewery)
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Mini Report - Key outcomes and important notes Imbrahim Seimi is a farmer living in Simandra Xanthi. He is a young person who has started cultivation of mountain tea one year ago and has entered a contractual agriculture scheme with Vergina Brewery Company.
Production and Technological improvements
➘ The company has helped group members by providing seeds and/or plants of mountain tea Sideritis raiserii. ➘ There are no special mashines or tools available for the production. ➘ Total cultivated area so far is 0.5 hectares.
Commercial potential
The farmer does not worry about selling the product since all produced quantity will be absorbed by the company which has launched the TU VUNU cold tea in the market.
His main concern is to manage to produce as big quantity as possible, also to acquire organic certificate since it can raise the product price almost two folds
Alternative crop for youth
He believes that the crop can give him a secure income and also he sees the company as a guaranty market for the product. He has no concerns about selling the production and his only worry is to cultivate the land and achieve successful production.
Problems
- Biggest problem is that there are needs for capitals in the beginning of cultivation (installation cost) for fencing the fields and for a small motor cultivator.
- Also there is a demand in available working capital.
General Comments/outcomes
- In such cases there is no concern about marketing the product. - The farmer is positive in participating in training projects and although there is
information in cultivation of the crop there are gaps in available practical knowledge - He wants to increase cultivated area so that he can achieve a descent income from
mountain tea production.
197
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:15/10/2015
Companytitle:Thessaromata
CompanyType:Personalcompany
Address:LoutroLarisa-Σίφνου99,Λάρισα
Website:http://thesaromata.gr
Contactperson:GiannisKaragkounis
Mobile:6944385038e-mail:[email protected]
GPSlocationN-39.625725E-22.412817
Mainactivitysector:
Production Processing Packaging&Distribution
Otheractivities:-
Yearofestablishment:2012 Management&ownership:Management:GiannisKaragkounis
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational exporterimporter
Ifexporter,mainmarkets:
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:WholesalersfromalloverthecountryShortcompanyhistory/researchernotes:Companyhasbeenestablishedin2012,startedwithcultivationandnowtheyareinthewaytocompletetheirinvestmentinpackagingfacilities
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Mini Report - Key outcomes and important notes Thessaromata company has been founded in 2012 by J. Karagkounis. Mr Karagounis is an agronomist and he has started the company more as a hobby than as main activity. Today however this activity has turned out to be main income source. In the late two years he has made an investment in processing and packaging facilities for dry herbs to be use for beverages.
Production and Technological improvements
➘ The company has organic certified fields, and packaging facilities. ➘ There are drying equipment and quality control room. ➘ Primary production consists of Chamomile 0.5 hectares, oregano 2.6 hectares, Melissa 0.1 hectars and sage (Salvia triloba) 0.3 hectares.
Commercial potential
He sees a big potential for MAPs and according to the owner the sales are constantly increasing.
He is mainly selling his products in local market (Larisa town) while big towns need better appearance and packaging of the products. This is the main reason he has decided to invest in packaging facilities and equipment.
Alternative crop for youth
He believes that MAPs are appropriate for young people to start being active in agriculture. They can start with a small area field and learn cultivation techniques also they can see what markets want, what kind of products and in what packaging.
Problems
- Biggest problem is that the investment in this kind of products is capital intensive. - Moreover there is a demand in available working capital. - Propagation material is a sector that there is little progress made. There are not specific
cultivars, recognized and readily available to be cultivated.
General Comments/outcomes
- The MAPs production and processing is a sector that has not been developed in our country.
- There are many products that could be produced for replacing imports and also by giving young people the opportunity to make it possible to be active in real economy.
- He believes that one should be specialized in a few species so that he will manage to achieve quality production.
- The local market cannot guaranty the sustainability of a company. So a spread of the market to local, national and international market is an appropriate strategy. For this reason modern packaging is necessary as well as product certification.
199
PRODUCTIONENTERPRIZEStudyNo&title:#6-•Medicinal&AromaticPlants
Researcher/s:I.Kalfas
Date:7/10/2015
Companytitle:ZythopoiiaThrakisSA
CompanyType:Processingcompany
Address:IndustrialareaofKomotini
Website:http://tuvunu.com
Contactperson:DimtsoudisChristos
Mobile:2531038718e-mail:[email protected]
GPSlocationN-41.068759E-25.494172
Mainactivitysector:
ProductionProcessing Packaging&Distribution
Otheractivities:-
Yearofestablishment:2012 Management&ownership:Management:PolitopoulosDimitrios
Annualturnover:o Upto10.000o 11.000-100.000
o 101.000–200.000o 201.000andover
Numberofemployees:0
Levelofactivity:local/regionalnational exporter importer
Ifexporter,mainmarkets:USA,Germany,Netherlands,Belgium,Sweden,France
Ifimporter,nationaloriginofmainimports:InGreece,maingeographicalMarkets:WholesalersfromalloverthecountryShortcompanyhistory/researchernotes:Companystartedcoldteaproductionin2007insmallscaleandhasbeenexpandingeveryyear.Tuvunuwasfoundeduponasimplepremise:SinceGreecehasbeenblessedwithsomeoftheworld’sfinestherbs,fruitandnaturalspringwater,acombinationofthesekeyingredientswouldinevitablyresultintheworld’sfinestsoftdrinksandnon-alcoholicbeverages(fromTUVUNU.COMofficialcompanysite)Insertphotos
200
Mini Report - Key outcomes and important notes Vergina brewery has entered the cold tea sector a few years ago. Today they have made a group of farmers producing mountain tea using the same approach as the group of farmers producing barley.
Production and Technological improvements ➘ The company has organic certified product and conventional one. ➘ There is production line for producing and packaging ice tea as well as quality control facilities and specialized personnel. ➘ Their suppliers are mainly situated in areas near the factory in villages belonging to Xanthi and Komotini prefectures, however lately they are seeking for collaborators in other areas on N. Greece such as Kastoria and Olympus area.
Commercial potential The company provides propagation material to the collaborative farmers and is committed to buy the production in pre-agreed price, as indicated in the relative contracts between them.
They have defined different prices for organic and conventional production with the former to be about four euros and the latter less than three euros per kilogram of dry product.
Their product is ready to consume cold tea. The product can be found in many retailers in the country except Peloponnese, in Europe (Holland, Belgium, Germany, Sweden and France), while in the USA the company has created a daughter company for importing the TU VUNU in the USA.
Alternative crop for youth Receiving the messages from the market the company believes that this product is a good alternative for young people since the demands are not so high as they are in other crops and also because of the fact that TU VUNU has been actively involved in the initiation of each one by providing propagation material and consulting.
Problems
- Biggest problem is that in the sector there are already big multinational corporations.
- The institutions are not properly operating, for example the Competition Committee do not do their job correctly, so there are cases of monopoly in the market.
- In other cases government mechanisms do not work normally and there are delays in work that cost a lot in the progress of the company. For example there is an investment on the company in Regional programs (ΠΕΠ) which has not been finalized by the regional services and therefore the investment cannot be fully funded and incorporated to routine company operation.
General Comments/outcomes
- The company believes that the product is promising and can bring very positive results, while it can be in all markets even the most demanding ones.
- As they have prioritized quality and food safety issues they would like to have training sessions in food handling and business ethics.
- They are satisfied with the market achievements so far while they see a good potential for the product in the market especially the organic one.
- Because of the relatively small turnover so far the promotional programs include low budget actions such as athletes sponsoring and taste promotional activities where they distribute products directly to final consumers and measure or estimate consumer satisfaction levels.
201
Appendix II - Economic analysis of the Aromatic plants sector
Astructuredquestionnairewasusedforthecollectionoftechnicalandeconomicdataoftheproductioncostsofthearomaticplantsector.Toensurethereliabilityofthedata,theinterviewersweretrainedinordertohavetheabilitytocontrolthequalityofthedata.
A1. Fertilization cost per acre
- Inthecaseoffertilizersforaromaticplantsactivemicroorganismsaremostlyused(54,36%)whileotherfertilizercategoriessuchascompoundfertilizer4,62%andfoliarfertilizer6,52%participateinverylowpercentinthecultivationodaromaticplants.
Fertilizer Participation(%)
Basicfertilizer 1,19
Foliarfertilizer 6,52
Potassiumsulphate
Sulphate 2,72
Potassium
Digestedmanure 0,20
CalciumAmmoniumnitrate 0,49
Activemicroorganisms 54,36
Organic 18,10
Micronutrientsmixture 5,38
Compound 4,62
WaterSoluble 4,49
Nitrogen 1,34
Anhydrouslime 0,60
202
A2. Pesticide cost per hectare
Inthearomaticplantholdingsthepesticidethatismostlyusedisinsecticide(82,28%)while
herbicideandfungicideareusedinapercent7,74%and10,08%respectively.
Pesticide Participation(%)
Insecticide 82,28
Herbicide 7,74
Fungicide 10,08
A3. Labor cost per time unit per hectare
Asitwasexpectedinthecaseofaromaticplantsthelaborthatcoversthehigherpercentofthetotal
laborcostiscarving(25,28%)whilegeneralcultivationandharvestingfollowswiththeirpercentto
28,41%and13,74%respectively.
Laborcost Participation(%)
Deepplowing 0,14
Seeding 1,82
Weeding 5,98
Fertilization 4,43
Planting 4,66
Generalcultivation 28,41
Cultivatorapplication 1,13
Herbicideapplication 1,57
Pruning 1,80
Transplantation 4,66
Grasscutting 1,37
Tillage 1,46
Cultivating 25,28
Harvesting 13,74
Milling 3,55
203
A4. Reproductive material cost per hectare
Thereproductivematerialthatisusedinthecaseofaromaticplantsaregraft(45,19%)followedby
seedling(36,9%)androotedcuttings(17,86%.
Reproductivematerial Participation(%)
Rootedcuttings 17,86
Seedling 36,19
Graft(Μόσχευμα) 45,19
A5. Supplies cost per hectare
Geotextileisthesupplythatismostlyusedinthecaseofaromaticplants(66,38%).Consideringthe
factthatwasmentionedabovethatcarvingisthelabourthatcoveranimportantpercentofthe
labourexpenses,theapplicationofgeotextileinthesoilmayreducelabourcosts.
Suppliescost Participation(%)
Bindingmaterial 6,58
Packagingmaterial 27,04
Geotextile 66,38
A6. Other costs
Thegeneralcostthatcovermostoftheexpensesinthiscategoryisdiesel(54,95%)whiletheELGA
feescoverthe22,89%
Othercosts Participation(%)
Certificationcost 2,96
Marketingcosts 1,83
ELGAfees 22,89
Lubricants 8,24
Diesel 54,95
Other 9,12
204
A7. Family labor per time unit per hectare
Inthecaseoffamilylabourcarvingisthelabourthatcovermostofthecost(27,25%),additionally
generalcultivationcostsandweedingcoverthe22,37%and11,82%ofthetotalfamilylabourcosts
respectively.
Familylabor Participation(%)
Deepplowing 10,41
Fertilization 1,48
Weeding 11,82
Generalcultivation 22,37
Cultivatorapplication 0,20
Destroyerapplication 0,08
Pesticidefertilization 0,10
Pruning 1,10
Defoliation 3,64
Drying 2,05
Thrashing 0,05
Seeding 6,50
Tillage 2,25
Cultivating 27,25
Harvesting 9,22
Postharvestingoperation 0,21
Milling 0,64
Grasscutting 0,62
205
A8. Equipment cost per year
Theequipmentthatismostlyusedinthecaseofaromaticplantsarecars(40%)andfollowingthat
comessoilworkingmachineanddieseltractor.
Equipmentcost Participation(%)
Car 21,11
Soilworkingmachine 28,94
Gasolinecar 17,52
Dieseltractor 11,37
Dieselcar 16,24
Mower 4,82
A8. Insurance interest and maintenance cost per year
Consideringtheinsuranceinterestandmaintenancecost,soilworkingmachineandcararecovering
morethanthe50%ofthetotalexpenses.
Insuranceinterestandmaintenancecost Participation(%)
Car 25,48
Soilworkingmachine 29,86
Millingmachine 0,11
Gasolinecar 17,16
Dieseltractor 7,77
Trailercultivator 1,95
Dieselcar 12,27
Harvester 5,41
206
Procedure of data collection
Aquestionnairewasusedforthecollectionoftechnicalandeconomicdatafromagricultural
holdingsthroughoutthecountry.
Thequestionnairewasdividedinninesections.
Section1
Collectionofdatarelatedtotheprofileoftheowneroftheholdingandallthepeopleworkingonit.
Moreoverthissectionincludesdataregardingage,education,incomederivedfromagriculture.
Thosedataarenotrelatedtotheeconomicresultsoftheagriculturalholdingbutareconsideringas
necessaryfortheprovisionofeffectiveadvisoryservicestotheholdings.
Section2
Generaldataregardingtheagriculturalholdingprofiledividedintwoparts.Thefirstpartinclude
informationrelatedtoplantproductionandaspectssuchascultivation,acres,ownershipandtype
oftheholding.
Section3
Inthissectioninformationregardingfertilizers,pesticides,reproductivematerialarerecorded.
Moreoverallthelabour,thetimespentfortheuseofthemachineryforeverycultivationduringthe
yeararealsoregistered.Labourisalsodividedinfamilyorforeignandallthefuelexpenditureare
alsomentioned.Followingthat,recordsrelatedtotheirrigationarealsonoted.
Section4
Datarelatedtothefixedcapitaloftheholding.Machineryusedforcropproduction,purchaseyear,
value,percentandhoursofuseinthesector,buildings,landreclamationandpermanentplantation
arerecorded.
Section5
Thissectionreferredtothegeneralcostofanagriculturalholding(power,fuel,othercosts)
Section6
Datarelatedtotheincomebytheholding.Specificallythispartofthequestionnaireisrelatedtothe
collectionofinformationregardingtheproductoutputforeveryagriculturalsectorandthesale
prices.Moreover,thecompensationforeachsectorisalsorecorded.
207
Section8
Datarelatedtotheproductsandsubproductsandinformationrelatedtosubsidies,insuranceclaims
andproductsdistribution.
Section9
Datarelatedtosubsidiesoftheholding,SinglePaymentSchemeinthecontextofCommon
AgriculturalPolicyoranyotherparameterthatinfluencethefarmer’sincome.
208
Appendix III - GENERAL GUIDELINES FOR GOOD AGRICULTURAL PRACTICES ON SPICES & CULINARY HERBS InternationalOrganisationofSpiceTradeAssociations
(AttachedasPDFfile)
209
Appendix IV ESA - Quality Minima Document
(AttachedasPDFfile)
210
Appendix V Standards and projects under the direct responsibility of ISO/TC 34/SC 7 Secretariat
211
Standardand/orproject Stage ICS
ISO676:1995Spicesandcondiments--Botanicalnomenclature 90.92
67.220.1001.040.67
ISO/CD676Spicesandcondiments--Botanicalnomenclature 30.00
67.220.1001.040.67
ISO676:1995/Cor1:1997 60.60
67.220.1001.040.67
ISO882-1:1993Cardamom(Elettariacardamomum(Linnaeus)Matonvar.minusculaBurkill)--Specification--Part1:Wholecapsules
90.93 67.220.10
ISO882-1:1993/Cor1:1996 60.60 67.220.10
ISO882-2:1993Cardamom(Elettariacardamomum(Linnaeus)Matonvar.minusculaBurkill)--Specification--Part2:Seeds
90.93 67.220.10
ISO882-2:1993/Cor1:1996 60.60 67.220.10
ISO927:2009Spicesandcondiments--Determinationofextraneousmatterandforeignmattercontent
90.93 67.220.10
ISO927:2009/Cor1:2012 60.60 67.220.10
ISO928:1997Spicesandcondiments--Determinationoftotalash 90.93 67.220.10
ISO930:1997Spicesandcondiments--Determinationofacid-insolubleash 90.93 67.220.10
ISO939:1980Spicesandcondiments--Determinationofmoisturecontent--Entrainmentmethod 90.93 67.220.10
ISO941:1980Spicesandcondiments--Determinationofcoldwater-solubleextract 90.93 67.220.10
ISO948:1980Spicesandcondiments--Sampling 90.93 67.220.10
ISO959-1:1998Pepper(PipernigrumL.),wholeorground--Specification--Part1:Blackpepper 90.93 67.220.10
ISO959-2:1998 90.93 67.220.10
212
Standardand/orproject Stage ICS
Pepper(PipernigrumL.),wholeorground--Specification--Part2:Whitepepper
ISO972:1997Chilliesandcapsicums,wholeorground(powdered)--Specification 90.93 67.220.10
ISO973:1999Pimento(allspice)[Pimentadioica(L.)Merr.],wholeorground--Specification 90.93 67.220.10
ISO1003:2008Spices--Ginger(ZingiberofficinaleRoscoe)--Specification 90.93 67.220.10
ISO1108:1992Spicesandcondiments--Determinationofnon-volatileetherextract 90.93 67.220.10
ISO/CD1208Spicesandcondiments--Determinationoffilth 30.00 67.220.10
ISO1208:1982Spicesandcondiments--Determinationoffilth 90.92 67.220.10
ISO1237:1981Mustardseed--Specification 90.93 67.220.10
ISO2253:1999Currypowder--Specification 90.93 67.220.10
ISO2254:2004Cloves,wholeandground(powdered)--Specification 90.93 67.220.10
ISO2255:1996Coriander(CoriandrumsativumL.),wholeorground(powdered)--Specification 90.93 67.220.10
ISO2256:1984Driedmint(spearmint)(MenthaspicataLinnaeussyn.MenthaviridisLinnaeus)--Specification
90.93 67.220.10
ISO2256:1984/DAmd1 40.00 67.220.10
ISO2825:1981Spicesandcondiments--Preparationofagroundsampleforanalysis 90.93 67.220.10
ISO3493:2014Vanilla--Vocabulary 60.60
67.220.1001.040.67
ISO3513:1995Chillies--DeterminationofScovilleindex 90.93 67.220.10
ISO3588:1977Spicesandcondiments--Determinationofdegreeoffinenessofgrinding--Hand
90.93 67.220.10
213
Standardand/orproject Stage ICS
sievingmethod(Referencemethod)
ISO3632-1:2011Spices--Saffron(CrocussativusL.)--Part1:Specification 60.60 67.220.10
ISO3632-2:2010Spices--Saffron(CrocussativusL.)--Part2:Testmethods 90.60 67.220.10
ISO5559:1995Dehydratedonion(AlliumcepaLinnaeus)--Specification 90.93 67.220.10
ISO5560:1997Dehydratedgarlic(AlliumsativumL.)--Specification 90.93 67.220.10
ISO5561:1990Blackcarawayandblondcaraway(CarumcarviLinnaeus),whole--Specification 90.93 67.220.10
ISO5562:1983Turmeric,wholeorground(powdered)--Specification 90.93 67.220.10
ISO5563:1984Driedpeppermint(MenthapiperitaLinnaeus)--Specification 90.93 67.220.10
ISO5564:1982Blackpepperandwhitepepper,wholeorground--Determinationofpiperinecontent--Spectrophotometricmethod
90.93 67.220.10
ISO5565-1:1999Vanilla[Vanillafragrans(Salisbury)Ames]--Part1:Specification 90.93 67.220.10
ISO5565-2:1999Vanilla[Vanillafragrans(Salisbury)Ames]--Part2:Testmethods 90.93 67.220.10
ISO5566:1982Turmeric--Determinationofcolouringpower--Spectrophotometricmethod 90.93 67.220.10
ISO5567:1982Dehydratedgarlic--Determinationofvolatileorganicsulphurcompounds 90.93 67.220.10
ISO6465:2009Spices--Cumin(CuminumcyminumL.)--Specification 90.93 67.220.10
ISO6538:1997Cassia,Chinesetype,IndonesiantypeandVietnamesetype[Cinnamomumaromaticum(Nees)syn.Cinnamomumcassia(Nees)exBlume,Cinnamomumburmanii(C.G.Nees)BlumeandCinnamomumloureiriiNees]--Specification
90.93 67.220.10
ISO6539:2014 60.60 67.220.10
214
Standardand/orproject Stage ICS
Cinnamon(CinnamomumzeylanicumBlume)--Specification
ISO6571:2008Spices,condimentsandherbs--Determinationofvolatileoilcontent(hydrodistillationmethod)
90.93 67.220.10
ISO6571:2008/DAmd1 40.00 67.220.10
ISO6574:1986Celeryseed(ApiumgraveolensLinnaeus)--Specification 90.93 67.220.10
ISO6575:1982Fenugreek,wholeorground(powdered)--Specification 90.93 67.220.10
ISO6576:2004Laurel(LaurusnobilisL.)--Wholeandgroundleaves--Specification 90.93 67.220.10
ISO6577:2002Nutmeg,wholeorbroken,andmace,wholeorinpieces(MyristicafragransHoutt.)--Specification
90.93 67.220.10
ISO6754:1996Driedthyme(ThymusvulgarisL.)--Specification 90.93 67.220.10
ISO7377:1984Juniperberries(JuniperuscommunisLinnaeus)--Specification 90.93 67.220.10
ISO7386:1984Aniseed(PimpinellaanisumLinnaeus)--Specification 90.93 67.220.10
ISO7540:2006Groundpaprika(CapsicumannuumL.)--Specification 90.93 67.220.10
ISO7541:1989Ground(powdered)paprika--Determinationoftotalnaturalcolouringmattercontent
90.93 67.220.10
ISO7542:1984Ground(powdered)paprika(CapsicumannuumLinnaeus)--Microscopicalexamination
90.93 67.220.10
ISO7543-1:1994Chilliesandchillioleoresins--Determinationoftotalcapsaicinoidcontent--Part1:Spectrometricmethod
90.93 67.220.10
ISO7543-2:1993Chilliesandchillioleoresins--Determinationoftotalcapsaicinoidcontent--Part2:Methodusinghigh-performanceliquidchromatography
90.93 67.220.10
215
Standardand/orproject Stage ICS
ISO7925:1999Driedoregano(OriganumvulgareL.)--Wholeorgroundleaves--Specification 90.93 67.220.10
ISO7926:1991Dehydratedtarragon(ArtemisiadracunculusLinnaeus)--Specification 90.93 67.220.10
ISO7927-1:1987Fennelseed,wholeorground(powdered)--Part1:Bitterfennelseed(FoeniculumvulgareP.Millervar.vulgare)--Specification
90.92 67.220.10
ISO7928-1:1991Savory--Specification--Part1:Wintersavory(SaturejamontanaLinnaeus) 90.93 67.220.10
ISO7928-2:1991Savory--Specification--Part2:Summersavory(SaturejahortensisLinnaeus) 90.93 67.220.10
ISO10620:1995Driedsweetmarjoram(OriganummajoranaL.)--Specification 90.93 67.220.10
ISO10621:1997Dehydratedgreenpepper(PipernigrumL.)--Specification 90.93 67.220.10
ISO10622:1997Largecardamom(AmomumsubulatumRoxb.),ascapsulesandseeds--Specification 90.93 67.220.10
ISO11027:1993Pepperandpepperoleoresins--Determinationofpiperinecontent--Methodusinghigh-performanceliquidchromatography
90.93 67.220.10
ISO11162:2001Peppercorns(PipernigrumL.)inbrine--Specificationandtestmethods 90.93 67.220.10
ISO11163:1995Driedsweetbasil(OcimumbasilicumL.)--Specification 90.93 67.220.10
ISO11164:1995Driedrosemary(RosmarinusofficinalisL.)--Specification 90.93 67.220.10
ISO11165:1995Driedsage(SalviaofficinalisL.)--Specification 90.93 67.220.10
ISO11178:1995Staranise(IlliciumverumHook.f.)--Specification 90.93 67.220.10
ISO13685:1997Gingeranditsoleoresins--Determinationofthemainpungentcomponents(gingerolsandshogaols)--Methodusinghigh-performanceliquidchromatography
90.93 67.220.10
216
Standardand/orproject Stage ICS
ISO/NP20249Spices--DeterminationofSudanI,II,IIIandIVDyes--MethodusingHPLC/HPLC-MS/MS
10.99
ISO/CD20377Driedparsley--Specifications 30.60 67.220.10
European Spice Association Quality Minima Document
Rev. 5
Adopted at the meeting of the Technical Commission on 27th October 2015
October 2015
2
European Spice Association Quality Minima Document Content 1. An introduction to the European Spice Association 2. Purpose of the ESA Quality Requirements Minima 3. Definitions 4. Specifications for sampling, contaminants/residues, purity, sensory properties
Appendix I Chemical / physical parameters
Appendix II Recommended analytical methods
Appendix III Other documents for information Appendix IV Legal requirements for herbs and spices in the EU
Appendix V ESA dehydration factors
3
1. An Introduction to the European Spice Association The European Spice Association, ESA, is the umbrella organisation of the European spice industry. Members of ESA are the national federations of the spice industry in the member countries of the European Union, Switzerland and Turkey. Associated membership of ESA is also available to national or international associations or organ-izations representing exporters/traders at origin and processors, packers/traders or associations from European countries (other than the European Union) that are able to satisfy the membership requirement. Companies within the European Union (EU), European Free Trade Association (EFTA) and Turkey with a major involvement in the processing, packing and/or mar-keting of herbs and spice products may apply for direct membership of ESA.
Objectives of the Association:
Represent the interests of its members with the representative bodies and departments of the European Union, as well as international institutions and organizations;
Promote the interests of members in respect of the products concerned and to protect the image of the products and the sector;
Promote the consumers’ and customers’ interest;
Investigate subjects of common interest to the members in the scientific, legislative, technological and economic fields.
ESA is member of the International Organisation of Spice Trade Associations (IOSTA) and supports its objectives.
For further information on the European Spice Association Quality Minima Document, please contact the ESA office:
European Spice Association Reuterstraße 151
D-53113 Bonn Germany
Tel: 00 49 228 210 180 Fax: 00 49 228 229 460
E-Mail: [email protected] http://esa-spices.org
4
2. Scope of the Quality Minima Document This document describes the quality minima for dried herbs and spices, which should be demanded by buyers when these products are purchased for further processing within the EU. This document applies to “business to business” transactions; it does not extend to products for direct sale to the final consumer. All products that have already been further processed (for example grinding, microbial reduction) are not in the scope of this document, unless otherwise stated. 3. Purpose of the ESA Quality Minima Document The purpose of this document is to ensure that herbs and spices, as agricultural com-modities, have been grown, harvested and further treated to ensure that the products meet the requirements of this quality minima document. To achieve this objective ESA supports the principles of Good Agricultural Practice (GAP) and Good Manufacturing Practice (GMP). These principles serve all parties involved in the supply chain as they focus on prevention and control rather than re-conditioning which is not always technologically possible. The harvest, cultivation, transport and post-harvest conditions should ensure the ma-terial is stored and handled in such a way as to prevent adulteration, contamination and the growth of micro-organisms. 4. Definitions 4.1. Extraneous matter:
All matter from the specific plant other than the desired part. Investigations by visual checks, not microscopic.
4.2. Foreign matter:
All matter that is foreign to the plant. Foreign matter can be hazardous or non-hazardous. Hazardous material includes other foreign vegetable matter with al-lergenic or toxic properties, sharp objects in addition to glass, metal, stones, wood etc.
4.3. Traces:
Low levels of volatiles (in general < 0.5 %) for which analytical quantification by using ISO 6571 is not accurate and reliable. The sensorial flavouring properties should be agreed between buyer and seller.
4.4. Good Agricultural Practice (GAP) in the Use of Pesticides (Codex Alimentarius
Definition):
"GAP" includes the nationally authorised safe uses of pesticides under actual
5
conditions necessary for effective and reliable pest control. It encompasses a range of levels of pesticide applications up to the highest authorised use, ap-plied in a manner, which leaves a residue, which is the smallest amount practi-cable.
Authorised safe uses are determined at the national level and include nationally registered or recommended uses, which take into account public and occupa-tional health and environmental safety considerations. Actual conditions include any stage in the production, storage, transport, distribution and processing of food commodities and animal feed.
The term 'pesticides' is used to summarize a group of active ingredients, which are used for the control of crop pests, crop diseases and weeds, stock protec-tion, animal ectoparasites and pests in public health. Residues should be the smallest amount practicable, legal limits must not be exceeded.
4.5. Traceability:
The traceability of food and any other substance intended to be, or expected to be, incorporated into a food shall be established at all stages of production, processing and distribution.
Food business operators shall be able to identify any person from whom they have been supplied with a food or any substance intended to be, or expected to be, incorporated into a food.
Food business operators shall have in place systems and procedures to identify the other businesses to which their products have been supplied. (see Article 18 of Regulation (EC) No 178/2002, page 4 of this document).
This means
each processor should be able to ensure that foodstuffs entering the prem-ises are traceable to the supplier;
each processor should be able to ensure that foodstuffs leaving the control of the business are traceable to the immediate customer.
4.6. Codex Classification of Foods and Animal Feeds (CAC/MISC)
Definition of herbs and spices at: (http://www.codexalimentarius.net/web/standard_list.do?lang=en)
5. Relevant ESA documents:
Available at: www.esa-spices.org are:
ESA definition of culinary herbs and spices
ESA list of culinary herbs and spices
ESA Adulteration Awareness Paper
6
6. European Spice Association Specifications of Quality Minima for Herbs
and Spices
SUBJECT
Sampling ISO 948
For mycotoxins: See the relevant Commission Regulation at: www.esa-spices.org
CHEMICAL/
PHYSICAL ANALYSIS
Ash For values see appendix I; for analysis see appendix II
Acid Insoluble Ash For values see appendix I; for analysis see appendix II
Moisture For values see appendix I; for analysis see appendix II
Volatile Oil For values see appendix I; for analysis see appendix II
Water Activity Water activity is a key parameter that affects microbiological growth. Therefore ESA recommends a target value of max. 0.65.
Bulk Density Due to methodology variability both method and value should be agreed between buyer and seller.
Microbiology The product shall be free from microorganisms at such levels which may represent a hazard to health. If the product is treated to reduce microbial loads before being im-ported into destination country the treatment will be such as to ren-der/ensure the microbiological safety of consumers. Specific requirements to be agreed between buyer and seller.
CONTAMINANTS/ RESIDUES
Pesticides Shall be utilised in accordance with good agricultural practice. Application and residue limits must comply with existing EU and/or national legislation.
Heavy Metals Must comply with national / EU legislation (e.g. cadmium, lead).
Mycotoxins Herbs and spices must be grown, harvested, handled and stored in such a manner as to prevent the occurrence of mycotoxins. If found, levels must comply with existing national and / or EU legislation.
Allergens Refer to ESA Position Statement
7
Treatments Only legally permitted processing procedures may be applied in any treatment used for product quality or safety.
EC approved fumigants may be used in accordance with manufacturers' instructions but this must be indicated on the accompanying documents. Ethylene oxide (ETO) treatment has been banned under European legislation. This ban covers both material with treated within and outside of the EU (i.e. the use of material that has been ETO treated before importation is also illegal).
Irradiation, at present, does not have full consumer acceptability, so the treatment has to be agreed between buyer and seller. If it is agreed irradiation is only permitted in EU approved irradiation plants. However EU legislation requires that the irradiated product is declared at all levels within the food chain.
Members of ESA support the use of environmentally friendly fumigants (Montreal protocol) and non-toxic processes (e.g. microbial reduction under pressure, steam treatment).
All products subject to processing (for example grinding, microbial reduction) are not in the scope of this document, unless otherwise stated.
PURITY
Botanical Species In compliance with Food Law Regulations. If not regulated:
ESA list of Culinary Herbs and Spices, or to be agreed between buyer and seller.
Adulteration Must be free from.
Infestation Should be free in practical terms from live and/or dead insects, insect fragments and rodent contamination visible to the naked eye (corrected if necessary for abnormal vision).
Extraneous matter Herbs max. 2%, Spices max. 1% by weight
Foreign Matter
The European food operator has to evaluate if products fully com-ply with safety requirements before selling them to the final con-sumer. If not, additional processing will be necessary.
SENSORY PROPERTIES
Must be free from off odour or off flavor.
PACKAGING The packaging must not be a source of contamination or migration, should be food grade and must protect the product quality during transportation and storage.
8
Appendix I Chemical / physical parameters; dry base for ASH, AIA, V/O
PRODUCT1) ASH % W/W MAX *
AIA % W/W MAX *
H20 % W/W MAX *
V/O ml/100g
MIN *
NOTES
ANISE 9.0 2.5 12 1.0
BASIL 16 2.0 12 0.5
CARAWAY 8.0 1.5 13 2.5
CARDAMOM 9.0 2.5 12 4.0
CELERY SEED 12 3.0 11 1.5
CELERY LEAVES 20 1.0 8.0 Traces**
CHERVIL 17 2.0 8.0 Traces**
CHILLI 10 1.6 11 -
CHIVES 13 2.0 8.0 Traces**
CINNAMON
(CEYLON)
(CASSIA)
7.0
2.0
14
0.7 – 1.0 (ISO 6539
ISO 6538)
Depending on
botanical species
The use of SO2 is only permitted for Ceylon cinnamon, Annex III part B Directive 95/2/EC
Styrene off notes can be prevented through the control of moisture content throughout the supply chain.
CLOVES 7.0 0.5 12 14
CORIANDER
SEED
Microcarpum
Macrocarpum
7.0
1.5
12
0.6 Traces**
CORIANDER LEAVES
15 1.0 8.0 Traces**
CUMIN 14 3.0 13 1.5
DILL SEED 10 2.5 12 1.0
DILL TOPS 15 2.0 8.0 Traces**
FENNEL 10 2.0 12 1.5
FENUGREEK 7.0 1.5 11 Traces**
GALANGAL (ground)
9.0 4.0 10 Traces**
GARLIC PRODUCTS
6.0 0.5 6.5 -
Due to the hygroscopic nature of these products lower moisture content may be required
* see Appendix II; ** see page 4
9
PRODUCT1) ASH % W/W MAX *
AIA % W/W MAX *
H20 % W/W MAX *
V/O ml/100g
MIN *
NOTES
GINGER 8.0 2.0 12 1.5
JUNIPER BERRIES 5.0 1.0 16 1.4
LAUREL LEAVES 7.0 2.0 8.0 1.0
LEMON GRASS 8.0 2.5 10 Traces**
MACE 4.0 0.5 10 5.0
MARJORAM 10 2.0 12 0.7
MUSTARD 6.5 1.0 10 -
NUTMEG 3.0 0.5 10 5 - 6.5
Depending on grade
ONION PRODUCTS
Allium cepa
5.0 0.5 6.0 - 8.0
(depending on origin)
-
Due to the hygroscopic nature of these products lower moisture content may be required.
OREGANO 10 2.0 12 1.5
PAPRIKA POWDER
10 2.0 11 -
PARSLEY 14 1.5 7.5 Traces** English origin is not covered.
PEPPER BLACK 7.0 1.5 12 2.0
PEPPER WHITE 3.5 0.3 12 1.5
PEPPER GREEN (dried) 3.0 0.3 13* 1.0
* If freeze dried: 8 %
PIMENTO Jamaica Other origins
4,5 5.0
0.4 1.0
12 12
3.0 2.0
PINK PEPPER (Schinus) 7.0 1.8 14* 2.0
* If freeze dried: 8 %
POPPY SEEDS 8 1 8 n.a.
* see Appendix II; ** see page 4
10
PRODUCT1) ASH % W/W MAX *
AIA % W/W MAX *
H20 % W/W MAX *
V/O ml/100g
MIN *
NOTES
ROSEMARY 8.0 1.0 10 1.0
SAFFRON WHOLE 8.0 1.0 12 -
SAFFRON GROUND
8.0 1.5 10 -
SAGE 12 2.0 12 1.5
SAVOURY -Mountain Type (wild grown)
12 1.0 12 0.5
SAVOURY – Garden Type (cultivated)
12 4 12 1.5
SPEARMINT 12 2.5 13 0.5
STAR ANISE 3.0 0.5 8.0 7.0
TARRAGON 12 1.5 8.0 0.5
THYME 12 3.5 12 1.0
TURMERIC WHOLE
GROUND
8.0 9.0
2.0 2.5
12 10
2.5 1.5
1) The parameters listed shall apply to the whole product unless otherwise specified.
* see Appendix II ** see page 4
11
Appendix II Recommended analytical methods Unless otherwise agreed between buyer and seller, ESA recommends the following methods:
1. Spices and condiments – Sampling EN ISO 948 – 2009
2. Spices and condiments – Preparation of a ground sample for analysis ISO 2825 - 1981
3. Spices and condiments – Determination of extraneous matter and foreign mat-
ter content ISO 927 – 2009 (see definition chapter 5)
4. Spices and condiments – Determination of total ash ISO 928 – 1997
5. Spices and condiments – Determination of acid insoluble ash ISO 930 – 1997
6. Spices and condiments – Determination of moisture content – (Entrainment method) ISO 939 - 1980
7. Spices and condiments – Determination of volatile oil EN ISO 6571 2009
8. Analysis of spices and condiments – Determination of loss in mass of capsi-
cum and allium species and of dried vegetables by vacuum oven drying – DIN 10236 (German standard)
These methods are available at the national standardisation bodies or at www.iso.org (click on ISO store) Appendix III Other documents for information To help suppliers meet the requirements of the ESA quality minima the following documents may be beneficial:
1. Code of hygienic practice for spices and dried aromatic plants CAC/RCP 42 – 1995, Codex Alimentarius Commission
2. Manual on the Packaging of dried herbs and spices – prepared by the Interna-
tional Trade Centre, ITC, Geneva 1999, ISBN 92-9137-114-9
3. With respect to cleaning and reconditioning, ESA supports the principles of Section 8 “Cleaning and Reconditioning” of the Clean Spices Booklet issued by ASTA, October 2000
4. Guidelines for the application of the Hazard Analysis Critical Control point
(HACCP) system Alinorm 93/13 A App. II Codex Alimentarius
12
Appendix IV Legal requirements for herbs and spices in the EU Legal requirements for herbs and spices in the EU In Europe there is European or national legislation applicable to herbs and spices. For example, the following legal requirements set by the EU-Commission apply to herbs and spices (Documents are available at http://europa.eu.int/eur-lex/lex/). General legislation:
Regulation (EC) No 178/2002 of 28 January 2002 laying down the general principles and requirements of food law, establishing the European Food Safety Authority and laying down procedures in matters of food safety (O.J. L 31, 1.2.2002)
This regulation addresses amongst others, risk analysis (Art. 6), precautionary principle (Art. 7), food safety requirements (Art. 14), traceability (Art. 18).
Labelling:
REGULATION (EU) No 1169/2011 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 25 October 2011 on the provision of food information to consumers, amending Regulations (EC) No 1924/2006 and (EC) No 1925/2006 of the European Parliament and of the Council, and repealing Commission Directive 87/250/EEC, Council Directive 90/496/EEC, Commis-sion Directive 1999/10/EC, Directive 2000/13/EC of the European Parliament and of the Council, Commission Directives 2002/67/EC and 2008/5/EC and Commission Regulation (EC) No 608/2004 (O.J. L 304, 22.11.2011)
This Regulation allows the consumer to make an informed choice that suits both their dietary and food intolerance needs. ESA recommends that particular attention is paid to potential for cross contamination within the food chain. This includes items such as cereals containing gluten, peanuts (ground nuts), nuts, celery, mustard, sesame seeds and products thereof. These are within the leg-islation (see Annex II of the Regulation) identified amongst others as potential allergens within our industry. Also due to allergenic reactions of some con-sumers the addition of sulphur dioxide also has to be declared if the level is above 10 ppm.
Foodstuffs that have been treated with ionising must be labelled "irradiated" or "treated with ionising radiation".
COMMISSION REGULATION (EC) No 41/2009 of 20 January 2009 concern-ing the composition and labelling of foodstuffs suitable for people intolerant to gluten (OJ L 16, 21.1.2009)
Regulation (EC) No 1332/2008 of 16 December 2008 on food enzymes and amending Council Directive 83/417/EEC, Council Regulation (EC) No 1493/1999, Directive 2000/13/EC, Council Directive 2001/112/EC and Regula-tion (EC) No 258/97 (O.J. L 354, 31.12.2008)
13
COMMISSION IMPLEMENTING REGULATION (EU) No 1321/2013 of 10 De-cember 2013 establishing the Union list of authorised smoke flavouring pri-mary products for use as such in or on foods and/or for the production of derived smoke flavourings (O.J. L 333 12.12.2013)
Council Regulation (EC) No 834/2007 of 28 June 2007 on organic produc-tion and labelling of organic products and repealing Regulation (EEC) No 2092/91 (O.J. L 189, 20.06.2007)
COMMISSION REGULATION (EC) No 889/2008 of 5 September 2008 laying down detailed rules for the implementation of Council Regulation (EC) No 834/2007 on organic production and labelling of organic products with regard to organic production, labelling and control (O.J. L 250, 18.09.2008)
Council Regulation (EC) No 967/2008 of 29 September 2008 amending Regu-lation (EC) No 834/2007 on organic production and labelling of organic products (O.J. L 264, 3 October 2008)
COMMISSION REGULATION (EU) No 271/2010 of 24 March 2010 amending Regulation (EC) No 889/2008 laying down detailed rules for the implementa-tion of Council Regulation (EC) No 834/2007, as regards the organic produc-tion logo of the European Union (O. J. L 84 of 24 March 2010)
COMMISSION REGULATION (EU) No 471/2010 of 31 May 2010 amending Regulation (EC) No 1235/2008, as regards the list of third countries from which certain agricultural products obtained by organic production must originate to be marketed within the Union
Contaminants:
Regulation (EC) No 1881/2006 of 19 December 2006 setting maximum levels for certain contaminants in foodstuffs (O. J. L 364, 20.12.2006)
This regulation covers amongst others, mycotoxins and heavy metals such as cadmium, lead, and mercury.
For aflatoxins EU legislation covers only the spices Capsicum spp (dried fruits including chilies, chili powder, cayenne and paprika), Piper spp. (fruits thereof including white and black pepper), Myristica fragrans (nutmeg and mace), Zingiber officinale (ginger), Curcuma longa (turmeric). For other spices national (aflatoxin) legislation is applicable.
COMMISSION REGULATION (EU) No 165/2010 of 26 February 2010 amend-ing Regulation (EC) No 1881/2006 setting maximum levels for certain contam-inants in foodstuffs as regards aflatoxins (O. J. L 50, 27.2.2010)
The Regulation extends the scope to mixtures of spices containing one or more of the abovementioned spices. Moreover it sets maximum limits for oilseeds such as mustard seeds, sesame seeds and poppy seeds.
14
COMMISSION REGULATION (EU) No 594/2012 of 5 July 2012 amending Regulation (EC) 1881/2006 as regards the maximum levels of the contami-nants ochratoxin A, non-dioxin-like PCBs and melamine in foodstuffs (O.J. L 176, 6.7.2012)
The Regulation sets maximum limits for ochratoxin A in spices, including dried spices, as follows:
Piper spp (fruits thereof, including white and black pepper), Myristica fragrans (nutmeg and mace), Zingiber officinale (ginger), Curcuma longa (turmeric)
Capsicum spp. (dried fruits thereof, whole or ground, including chillies, chilli powder, cayenne and paprika) and mixtures of spices containing one of the abovementioned spices.
COMMISSION REGULATION (EU) 2015/1933 of 27 October 2015 amending Regulation (EC) No 1881/2006 as regards maximum levels for polycyclic aromatic hydrocarbons in cocoa fibre, banana chips, food supplements, dried herbs and dried spices (O.J. L 282 of 28.10.2015)
Regulation (EC) No. 401/2006 of 23 February 2006 laying down the methods of sampling and analysis for the official control of levels of mycotoxins in foodstuffs (O.J. L 70, 9. March 2006)
In this Regulation methods of sampling as well as precision criteria for meth-ods of analysis for official control by enforcement authorities are defined.
COMMISSION REGULATION (EU) No 178/2010 of 2 March 2010 amending Regulation (EC) No 401/2006 as regards groundnuts (peanuts), other oilseeds, tree nuts, apricot kernels, liquorice and vegetable oil (OJ L 52, 3.3.2010)
This Regulation establishes the official sampling plan for OTA.
Guidance document for competent Authorities for the Control of Compli-ance with EU Legislation on Aflatoxins
The document focuses mainly on the official control of aflatoxin contamination in food products. At: http://ec.europa.eu/food/food/chemicalsafety/contaminants/docs/guidance-2010.pdf
COMMISSION RECOMMENDATION of 3 December 2013 on the reduction of the presence of dioxins, furans and PCBs in feed and food (O.J. L 323, 4.12.2013)
The recommendation sets action levels for dioxins in fresh and dried herbs.
15
Additives:
Regulation (EC) No 1333/2008 of the European Parliament and of the Council of 16 December 2008 on food additives
This Regulation replaces the 3 EC Directives on food additives (colours, sweeteners and other food additives). The annexes of the Directives have been merged into one annex.
COMMISSION REGULATION (EU) No 1129/2011 of 11 November 2011 amending Annex II to Regulation (EC) No 1333/2008 of the European Parlia-ment and of the Council by establishing a Union list of food additives (O.J. L 295, 12.11.2011)
Spices and spice blends are included in the Annex as foodstuffs which may not contain added colours.
Specific limits for SO2 are provided for dried ginger (150 ppm) and onion, gar-lic and shallot pulp (300 ppm).
SO2 in cinnamon (Cinnamomum zeylanicum) is permitted as additive (150 mg/kg).
Regulation (EC) No 1332/2008 of the European Parliament and of the Council of 16 December 2008 on food enzymes and amending Council Directive 83/417/EEC, Council Regulation (EC) No 1493/1999, Directive 2000/13/EC, Council Directive 2001/112/EC and Regulation (EC) No 258/97
This regulation requires that food enzymes are officially registered and permit-ted for use in foodstuffs. They are regarded as food ingredients and must be declared on the label.
Regulation (EC) No 1334/2008 of the European Parliament and of the Council of 16 December 2008 on flavourings and certain food ingredients with fla-vouring properties for use in and on foods and amending Council Regula-tion (EEC) No 1601/91, Regulations (EC) No 2232/96 and (EC) No 110/2008 and Directive 2000/13/EC
This regulation fixes limits for active principles in composite food. Active prin-ciples may be incorporated into food by herbs and spices or flavourings or other food ingredients with flavouring properties.
COMMISSION REGULATION (EC) No 669/2009 of 24 July 2009 implement-ing Regulation (EC) No 882/2004 as regards the increased level of official controls on imports of certain food of non-animal origin (O.J. L 194 of 25.7.2009)
This Regulation lays down rules concerning the increased level of official con-trols to be carried out pursuant to Article 15(5) of Regulation (EC) No
16
882/2004 at the points of entry into EU on imports of the feed and food of non-animal origin listed in Annex I to this Regulation.
Irradiation:
EU overview at: http://ec.europa.eu/food/food/biosafety/irradiation/comm_legisl_en.htm
Directive 1999/2/EC of 22 February 1999 on the approximation of the laws of the Member States concerning foods and food ingredients treated with ion-izing radiation (O.J. L 66, 13.3.1999)
Condition for authorising food radiation: 1. Food irradiation may be authorised only if:
- there is a reasonable technological need, - it present no health hazard and is carried out under the conditions pro-
posed, - it is of benefit to the consumer, - it is not used as a substitute for hygiene and health practices or for
good manufacturing or agricultural practice.
2. Food irradiation may be used only for the following purposes: - to reduce the incidence of food-borne disease by destroying pathogenic
organisms, - to reduce spoilage of foodstuffs by retarding or arresting decay pro-
cesses and destroying spoilage organisms, - to reduce loss of foodstuffs by premature ripening, germination or
sprouting, - to rid foodstuffs of organisms harmful to plant or plant products.
Directive 1999/3/EC of 22 February 1999 on the establishment of a Communi-ty list of foods and food ingredients treated with ionizing radiation (O.J. L 66, 13.3.1999)
Communication from the Commission on foods and food ingredients au-thorized for treatment with ionizing radiation in the Community (O.J. C 241, 29.8.2001)
Commission Decision of 23 October 2002 adopting the list of approved facili-ties in third countries for the irradiation of foods (O.J. L 287, 25.10.2002) amended by Decision of 7.10.2004 (O.J. L 314, 13.10.2004) and Decision of 4.12.2007 (O.J. L 323, 8.12.2007)
List of Member States’ authorizations of food and food ingredients which may be treated with ionizing radiation (O.J. C 56, 11.3.2003)
List of approved facilities for the treatment of foods and food ingredients with ionising radiation in the Member States (According to Article 7(4) of Directive 1999/2/EC of the European Parliament and the Council on the ap-proximation of the laws of the Member States concerning foods and food in-
17
gredients treated with ionising radiation ( 1 )) (This text cancels and replaces the text published in the Official Journal of the European Union C 336 of 17 November 2011, p. 14) (2012/C 265/04) (O.J. C 265, 1.9.2012)
Commission Decision of 7 October 2004 amending Decision of 23 October 2002 adopting the list of approved facilities in third countries for the irra-diation of foods (O.J. L 314, 13.10.2004) and amendments
Commission Decision of 22 March 2010 amending Decision 2002/840/EC as regards the list of approved facilities in third countries for the irradiation of foods (O.J. L 75 of 23 march 2010)
Pesticides:
Regulation (EC) No 396/2005 on maximum residue levels of pesticides in or on food and feed of plant and animal origin and amending Council Di-rective 91/414/EEC (O. J. L70, 16. 03. 2005) This Regulation harmonizes legislation on pesticide residues within the EU.
Regulation (EC) No 299/2008 of the European Parliament and of the Council of 11 March 2008 amending Regulation (EC) No 396/2005 on maximum resi-due levels of pesticides in or on food and feed of plant and animal origin, as regards the implementing powers conferred on the Commission
COMMISSION REGULATION (EU) No 212/2013 of 11 March 2013 replacing Annex I to Regulation (EC) No 396/2005 of the European Parliament and of the Council as regards additions and modifications with respect to the prod-ucts covered by that Annex ( O.J. L 68, 12.3.2013)
Spices and the aromatic herbs can be found in the categories VEGETABLES FRESH OR FROZEN – Fruiting vegetables – Solanacea (paprika) and Leaf vegetables and fresh herbs and SPICES.
COMMISSION REGULATON (EC) No 149/2008 of 29 January 2008 amend-ing Regulation (EC) No 396/2005 of the European Parliament and of the Council by establishing Annexes II, III and IV setting maximum residue levels for products covered by Annex I thereto.
Dehydration factors may be applied to dried peppers and dried herbs and all active substances listed in the Annexes of Regulation 396/2005 or not. http://www.esa-spies.org/download/dehydrationfactorsjournalofconsumerrotectionandfoodsafety.pdf
Based on these provisions ESA has proposed dehydration factors to be ap-plied when assessing pesticide residues in dried peppers and dried herbs. These dehydration factors have been presented to the EU Commission for consideration and inclusion into Annex VI of Regulation 396/2005. They have been published on the ESA website and in the Journal of Consumer Protection and Food Safety, German Federal Office for Consumer Protection and Food Safety (BVL), Heft 4, November 2008).
18
COMMISSION REGULATION (EC) No 839/2008 of 30 August 2008 amending Regulation (EC) No 396/2005 of the European Parliament and of the Council as regards Annexes II, III and IV on maximum residue levels of pesticides in or on certain products.
COMMISSION REGULATION (EC) No 260/2008 of 18 March 2008 amending Regulation (EC) No 396/2005 of the European Parliament and of the Council by establishing Annex VII listing active substance/product combinations covered by a derogation as regards post-harvest treatments with a fumi-gant
The pesticide database of the EU Commission can be found at:
http://ec.europa.eu/food/plant/pesticides/eu-pesticides-database/public/?event=homepage&language=EN and at http://ec.europa.eu/food/plant/protection/pesticides/database_pesticide_en.htm
Hygiene:
Regulation (EC) No 852/2004 of the European Parliament and of the Council of 29 April 2004 on the hygiene of foodstuffs (OJ L 139, 30.4.2004) This regulation stipulates that Food business operators producing or harvest-ing plant products are to take adequate measures, to ensure hygienic produc-tion, transport and storage conditions for, and the cleanliness of, plant prod-ucts. Food business operators are to keep and retain records relating to measures put in place to control hazards in an appropriate manner, commen-surate with the nature and size of the food business. Food business operators are to make relevant information contained in these records available to the competent authority and receiving food business operators on request.
As regards the hygiene of imported food, the following hygiene requirements are applicable: The operators: - Are to ensure that the products are protected against contamination and to
use potable water, or clean water, whenever necessary to prevent contam-ination;
- Are to comply with appropriate Community and national legislative provi-sions relating to the control hazards in primary production and associated operation;
- Are to keep clean and, where necessary after cleaning, to disinfect, all the equipment, containers and places the spices are in contact with;
- Are to take account of the results of any relevant analyses carried out on samples taken from plants or other samples that have importance to hu-man health
- Are to take appropriate remedial action when informed of problems identi-fied during official controls;
19
Guidance Document – Implementation of certain provisions of Regulation (EC) No 852/2004 on the hygiene of foodstuffs. At: http://ec.europa.eu/food/food/biosafety/hygienelegislation/guidance_doc_852-2004_en.pdf
Corrigendum to Regulation (EC) No 882/2004 of the European Parliament and of the Council of 29 April 2004 on official controls performed to ensure the ver-ification of compliance with feed and food law, animal health and animal wel-fare rules (O.J. L 191, 30.4.2004)
Import controls:
COMMISSION REGULATION (EC) No 669/2009 of 24 July 2009 implement-ing Regulation (EC) No 882/2004 of the European Parliament and of the Council as regards the increased level of official controls on imports of certain feed and food of non-animal origin and amending Decision 2006/504/EC (O.J. L 194, 25.7.2009)
COMMISSION REGULATION (EU) No 212/2010 of 12 March 2010 amending Regulation (EC) No 669/2009 implementing Regulation (EC) No 882/2004 of the European Parliament and of the Council as regards the increased level of official controls on imports of certain feed and food of non-animal origin (OJ L 65, 13.3.2010)
COMMISSION REGULATION (EU) No 878/2010 of 6 October 2010 amend-ing Annex I to Regulation (EC) No 669/2009 as regards the increased level of official controls on imports of certain food and feed of non-animal origin (O.J. L 264 of 7.10.2010)
Rapid Alerts:
Rapid Alerts at: http://ec.europa.eu/food/food/rapidalert/archive_en.htm
Relevant ESA documents are available at: www.esa-spices.org Appendix V Dehydration Factors
Product Dehydration Factor
Basil 7
Celery leaves 10
Chervil 5
Chives 7
Coriander leaves 13
Dill tops 7
Garlic 3
Laurel leaves 7
Lovage leaves 7
Marjoram 7
Onion 9
Oregano 6
Parsley leaves 6
20
Mint 7
Capsicums 10
Rosemary 7
Sage 7
Savory herb 7
Tarragon 7
Thyme 7
International Organisation of Spice Trade Associations
GENERAL GUIDELINES FOR
GOOD AGRICULTURAL PRACTICES ON SPICES & CULINARY HERBS
Produced by : IOSTA with assistance from the International Trade Centre, Geneva
June 2013
Issue II
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Acknowledgements
In preparing this Guide, IOSTA would like to acknowledge the support of the following organisations:
International Pepper Community The Spices Board of India The Spice Council of Sri Lanka International General Produce Association European Spice Association American Spice Trade Association World Spice Organisation
There are a number of spice specific guides that give advice on the growing and harvesting of spices. The growing and harvesting of spices is a complex matter and is dependant upon the local conditions, whether they are climatic conditions, soil conditions, varieties available and the agricultural practices followed.
As a point of interest they can be viewed via the Internet from the following sources –
Spices Board of India www.indianspices.com International Pepper Community www.ipcnet.org America Spice Trade Association www.astaspice.org World Spice Organisation www.wsospice.org
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Table of Contents
1. Introduction…………………………………………………………………………4 2. Mycotoxins………………………………………………………………………….6
Growing Harvesting Drying Processing Storage and Transportation Containers, Stuffing and Shipping
3. Heavy Metals………………………………………………………………….…...11 Potential Sources
4. Pesticide Residues………………………………………………………………..12 Integrated Pest Management (IPM) Growing Location Pest Monitoring Irrigation Pesticides
5. Allergens………………………………………………..………………………….15 Cross Contamination
6. Environmental Colours……………………………………….........……………..17 Bag markings Plant Protection Chemicals Fuel Emissions
7. Processing Aids……………………………………………………………………18 White Pepper Dressing
8. General……………………………………………………………………………..19 Worker Hygiene Field Sanitation
9. Microbiological Contamination.......................................................................20 At production At harvest At post-harvest
10. Conclusion…………………………………………………………………………23
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INTRODUCTION
Spices are dried seeds, fruits, berries, leaves, roots or bark of plants grown as herbs, shrubs, climbers and trees, used to enhance the flavour of foods. Examples include cumin, chilli, black pepper, oregano, ginger, and cinnamon. Like any other agricultural product, spices and culinary herbs may be contaminated by pathogens, naturally occurring toxins such as mycotoxins, agrochemicals such as pesticides, heavy metals, and accidental contaminants. Food safety is assuming considerable significance in the globalized era, both because of its health significance and economic importance. The safety of spices and culinary herbs depends on maintaining good agricultural including hygienic practices along the food chain during primary production, post-harvest, packing, processing, retail and at the point of consumption. Reconditioning is carried out throughout the supply chain to remove both foreign and extraneous matter, to improve the microbiological status or to improve the quality. However, for spices and herbs it is virtually impossible to recondition for the following potential contaminants:
• Mycotoxins • Heavy metals • Pesticide residues • Allergens • Undeclared colours • Processing aids
In such a scenario, the only option is to prevent these potential contaminants from either getting into the product or being formed during post harvest handling.
Purpose of the Guide
This guide is intended to aid producers of spices and culinary herbs in the prevention of the occurrence of the contaminants or to ensure that if present, the levels are acceptable from a food safety and legislative perspective. The purpose of this guide is not to duplicate the effort made by the existing guides, but to produce a specific document to the growing and post harvest handling of spices to ensure that the parameters that cannot be reconditioned, once the material has been dried for sale, are adequately addressed in the countries growing and handling spices and herbs. The guide extends a little beyond agricultural practices in recognition that the control of these non-reconditionable aspects does not just stop at the point of harvest to the contaminants. In addition, allergenic materials, environmental colours and processing aids are also aspects that can be issues associated with primary processing in a more agricultural environment and thus these too are addressed in this guide. This guide is not intended to be used as a reference point for good manufacturing practice as this area in itself should be the subject of separate and complimentary guide. Instead of reinventing the wheel, existing information from various sources are collated in this write-up.
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Importance of GAP
Good Agricultural Practices or GAP are "practices that need to be applied on farms to ensure food safety during pre-production, production, harvest and post-harvest. In many cases such practices also help protect the environment and safety of workers". They are a collection of principles to apply for farm production and post-production processes resulting in safe and healthy food and non-agricultural products while taking into account economic, social and environmental sustainability. Their purpose varies from fulfillment of trade and government regulatory requirements, in particular with regard to food safety and quality, to more specific requirements of specialty or niche markets. In addition to facilitation of market access, reduction in non-compliance risks regarding pesticide residues and microbial and other contaminant hazards may be achieved. GAP schemes are predominantly consumer driven and incorporate traceability requirements as an important part of their food safety measures.
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MYCOTOXINS
Introduction
Among the many subjects affecting food safety are contaminants caused by mould formation. Some moulds produce toxins that can be harmful to human health. Collectively these are known as mycotoxins. For spices there are two mycotoxins of concern, ochratoxin A (OTA) and aflatoxin. These are potentially carcinogenic to humans. Aflatoxins are produced by moulds/fungi of the genus Aspergillus and ochratoxini A is produced by both Aspergillus and Penicillum - hence one of the reasons why OTA can be produced in temperate storage. They are predominantly produced by two fungal species, Aspergillus and Penicillum. The toxin cannot be removed by further processing nor inhibited by heat treatment. Ochratoxin A and aflatoxins are found in many foodstuffs, predominantly in fruit and cereals but also it is sometimes found in spices, however globally aflatoxin appears to be the toxin of concern. These moulds will typically grow on foodstuffs that have been subjected to high temperatures and elevated humidity levels. Note: OTA can be formed at lower temperatures. Similarly it has been shown that, while the initial contamination may occur at farm level, the actual mycotoxin formation may happen throughout the entire supply chain, in every stage of transportation, storage and production. Preventative measures taken by all stakeholders in the chain from field to fork are the best way to prevent mould formation and thus enhance spice quality. The Authorities in consuming countries have already set maximum permitted levels for aflatoxins in spices and are currently discussing limits for OTA. Presence of these toxins, above the permitted levels, will result in the destruction of these deliveries. This Code of Practice is intended to assist operators throughout the chain to apply Good Agricultural Practices, Good Practices in Transport and Storage and Good Primary Processing Practices preventing mycotoxin formation. Growing Controls In general terms spices will have few mycotoxins problems if the spice is healthy and undamaged. Nevertheless, contact with any obvious sources of fungal contamination (soil, poor water quality and mouldy spices) should be minimised to help the spices natural defences. Harvesting The soil under the plant should be covered with a clean sheet of plastic during picking to avoid fruits getting contaminated by dirt or mixed up with mouldy fruits that have fallen prior to harvesting. Fallen fruit and leaves should be removed from the area as they provide the correct growing conditions for moulds.
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Fruits that have fallen to the ground are known to be susceptible to mould growth. Fruits that are affected by mould or infected should be removed. Alternatively, the raw spice fallen to the ground should be collected separately, washed, cleaned, dried and evaluated prior to any inclusion within the main lot. Process fresh spices as quickly as possible. Avoid storage of fruits, especially ripe and over-ripe ones, as any period of storage (in a bag or in a pile) increases the likelihood of mould growth. Wherever possible start drying on the day of harvesting. Wherever possible a system for differential harvesting should be applied, so that once products are ripe they are harvested. This ensures good quality and helps prevent mould growth and mycotoxins generation from overripe fruits. Wet Processing (if applicable) The above procedures (dry processing) should be used following the wet processing of product, such as the washing and peeling of Ginger. Particular attention should be paid to spices once they have been removed from the wash tanks. For reasons of microbiology and other contaminants it is essential that any wet processing is done using potable water. Once the product has been removed from the water it is best practice to remove any excess as quickly as possible so that the combination of excess water and heat does not encourage microbial growth. Sun Drying Do not dry on bare soil. Use trays, tarpaulins, bamboo mats or drying yards and make sure that these are clean as it is known that mould spores from previous use could re-contaminate product during drying. Techniques for cleaning all of the above should be taught to the farmers. The layer of drying fruits or leaves should not be more than 4 cm thick. Drying fruits or leaves must be regularly raked (5-10 times per day). Protect fruits during drying from rain and night dew and make sure that any fruit does not get any re-wetting during storage or any other time. Drying areas should be raised from the ground to prevent pest ingress and the potential effect this could have on mycotoxins generation, amongst other issues. Pathways should be made in the drying area to prevent anyone walking on the crop, as this can damage the pods and allows mould growth to occur. Controlled Drying To give better quality, reduced bacterial loads and ensure less risk of mycotoxin growth a system of controlled drying can be employed.
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Solar drying is one method, where crops are protected in polythene tunnels and the temperature is controlled through the use of air movement. Such tunnels should be designed so that the risk of condensation falling onto the drying crop is eliminated. Hot air drying can also be employed and care should be taken to ensure that there is no risk of fumes from the fuel coming into contact with the product. This can be best achieved through the use of a heat exchanger so that only clean air comes into contact with the product. A solar heat exchanger can also be used where hot air generated from the suns rays on a heat exchanger are fed into a unit which contains the spice spread on a fine wire mesh. Dry Processing The site processing plant should be in a dry area, as moist, humid conditions such as those found on swampy land, encourage the growth of mould. There should be separation between raw material receipt, cleaning, washing, processing and storage, to prevent any cross contamination. Dispose of waste from wet processing, such as the washing and peeling of ginger, away from clean dry spices. Keep equipment and facilities clean, make sure they have any debris removed prior to using and make sure the equipment is dry before use. Use clean dry bags for storing and transporting dry, cleaned spices and keep dried spices away from any damp material or areas. Processing should achieve a uniform moisture content that is as low as feasible and certainly not higher than 12.0% using ISO 6673 as the measuring method or using equipment calibrated to the same standard. Other comparable methods, such as AOAC, may also be used for this analysis. The drying area should be elevated, to prevent pest ingress and potential flooding, and should be constructed of a material that will not contaminate the spices in question. A concrete pad can serve this purpose and in this case it should have a slightly sloping surface to allow water to run away from the product and should have a perimeter fence to prevent farm animals, pets, pest etc. from walking on the crop as it is drying. It is important to ensure that the drying yard is cleaned prior to use.
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Storage and Transportation Under this chapter it must be stressed that, in view of the importance of temperature and humidity in relation to the formation of moulds and hence the possible occurrence of mycotoxins, improper harvesting, drying and rewetting are by far the most significant risks. Product should be stored in good, well maintained warehouses that do not allow the ingress of water whether through leaks in the roof or walls or under doors, through open windows etc. It is also important to ensure that product is stored off the floor and away from the walls so that any potential condensation does not rewet the product. In addition there should be good air movement through the warehouse to prevent sweating and mould formation. Temperatures within large warehouses can achieve levels ideal for mould growth, particularly towards the roof, thus suitable ventilation should be provided to ensure that both temperature and humidity are correctly managed. When product is moved into or out off the warehouse ensure it is protected from the rain during transportation. Make regular checks to ensure that the truck is covered and that there are no rips in the covers and no leaks on the undersides of trucks which would allow water from the road to get into the truck. Check from the inside by closing all doors and looking for holes where daylight is visible. Trucks must be clean, dry and odour-free. This also prevents cross contamination from previously transported products (see allergens). Do not load and unload trucks if the product is exposed to rain. Provide shelter so that the spice does not get wet during this operation. Containers Do not use damaged containers. Ensure there are no water leaks. Rust spots on the roof and sides of containers can be an indication of leakage. Check from the inside during daylight hours by closing all doors and looking for holes and undesirable smells. Ensure that the containers have not been previously used for dangerous and hazardous cargoes according to the criteria set by IMCO (International Maritime Organization). These are cargos such as solid or liquid chemicals and other materials, gases and products for and of the oil refinery industry, and waste chemicals and other cargos which have a damaging effect on foodstuffs. Make transit times as short as possible and avoid long stops to ensure that excessive heat does not build up within the container. In particular do not stuff any container too soon as it could get very warm sitting around awaiting shipment.
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Preferably use a shaded area or put another container on top to help to minimise the temperature increase within the container. The roof of an unprotected container can reach temperatures of over 80°C. The subsequent cooling off during the night results in condensation on the internal walls. Stuffing and Shipping
Make sure that pallets or wooden floors of containers are dry. Spices absorb moisture quickly if the bags get wet and as a result the moisture content increases considerably. Lining a container using cardboard, (single-side corrugated and waxed on the inside) has proven to be the best protection against condensation for bags in containers. Kraft paper has also been used successfully. Control that the lining is properly fastened, particularly in the ceiling so that the lining will not fall down and settle on the top bags When stuffing the container, bags or bulk, keep spices away from the roof. Bags should preferably be placed on a layer of pallets to avoid contact with the floor where condensation from the ceiling and walls may gather If available, fully ventilated containers are preferable for spices in bags, especially if shipped from a high humidity origin. Alternatively the standard dry container with added paper / cardboard protection (top, sides and doors) is fully acceptable. Ventilation holes in the container are to be kept clear. Do not cover with tape. Absormatic poles or boxes filled with calcium chloride absorb around 100% of their own weight in moisture and may be used for added protection if parties so agree. The number of bags used should be recorded on the documentation so that when being unloaded, they can all be accounted for. It is important that care is taken not to damage these dry-bags and any spillages should be cleaned up immediately. Enough top space between bags and the roof is important. Use the saddle stow method, which minimises side contact and maximises airflow between the bags. The storage, transportation and shipping advice in this section is also applicable to all other sections of this document.
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HEAVY METALS Introduction Heavy metals are chemicals that are known to be toxic to humans and are often impossible for the human body to metabolise. Therefore, there presence need to be controlled, and should not exceed the Codex maximum residue limits, to prevent a build up in the body over a period of time. Within the spice industry a number of potential heavy metal problems exist, and, whilst their presence is not currently considered to be a major problem, this guide offers advice to ensure that their presence in spices is prevented. Typical heavy metals found in spices are lead, cadmium, zinc, tin, arsenic and copper. Potential Sources It is important that in spice growing and processing areas the disposal of batteries, whether car or portable device batteries, should be disposed of correctly to ensure that they do not decay and contaminate growing areas. A monitoring programme should be established to ensure that any naturally occurring heavy metals, for example from natural ores present in the soil, do not become a potential problem for the spices. This is particularly important for spices where ore is processed locally having the potential to contaminate the local water supply.
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PESTICIDE RESIDUES Introduction The use of pesticides is often a key requirement in ensuring that products are produced in an economic manner and are supplied to the market free from insect damage. As our understanding about the effect of pesticide residues on the human population increases it is now key that any potential residues present are controlled, to both demonstrate good agricultural practices and protect the well being of the consumer. Integrated Pest Management (IPM) The principle of integrated pest management is to have a systematic approach to the use of plant protection chemicals so that their residues do not become a problem. IPM uses methods and disciplines that take care to minimize environmental impact and risks, and optimize benefits. It is a systems approach to pest management that utilizes decision making procedures based on either quantitative or qualitative observations of the pest problem and the related host or habitat. A key concept in IPM programmes is the application of decision making processes to determine whether a chemical pesticide or other action is needed or not. Such decisions depend on evaluation of the pest problem often in a quantitative manner. In the evaluation of agricultural crop pests, the point at which the economic benefit of pesticide use exceeds the cost of treatment is commonly referred to as the economic threshold. Academic definitions of the threshold concept may vary from discipline to discipline. Another term commonly accepted is action threshold, which is commonly applied to a set of conditions where action is warranted and may be based more on practical experience and judgment than on refined mathematical models relating biological and economic parameters. Since IPM decision making depends on field observations, the role of the pest scout, pest management advisor, or field biologist has emerged. Although do-it-yourself field observations may be widely practiced, most IPM programmes require a person in the field to collect relevant information on the pest populations in question and related parameters concerning the crop or host habitat. In addition, the restricted use of plant protection chemicals not only has the benefit that there is less chance of pests becoming tolerant to those chemicals but also has the benefit of achieving higher quality products within the m Growing Location The location of the growing area should be such that there is no additional risk of pest or disease attack of the plant due to the growing environment. This could be by ensuring that materials are grown away from waste disposal areas, or that they are
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grown away from other plants which are known to attract high levels of pests or disease. For any growing area it is important to identify which crops are growing adjacent to that area and also pay particular attention to any crops that are non food that are sited up wind of the growing area. If these crops are non food, such a cotton, when pesticides are applied the wind can carry these pesticides on to the food crop resulting in detectable levels of pesticide that are not permitted for a food crop. The presence of weeds within a growing area not only competes for nutrients but also encourages pests into the area. Before using weed killer chemicals mechanical removal of the weeds should be undertaken wherever possible. Pest Monitoring The use of trap crops, ie those crops that are more attractive to a particular pest than the spice being grown, can have a significant effect in identifying any potential pest before the level of pests become unacceptable. For example, a trap crop of castor can be a very good indicator of potential pest activity within a capsicum growing area as the pests that attack capsicums are more attracted to castor than they are to capsicum. In this scenario, regular inspections of the trap crop helps to identify any potential pest problems at an early stage in the process and removal of any affected leaves helps reduce pest population. The use of pheromone traps within a growing area not only helps to reduce the target pest by capturing them but also allows close monitoring of the pest so that when plant protection chemicals are applied it is done in an appropriate manner. The use of perimeter crops, where perhaps a band of crop is grown around the spice growing area, not only prevents physical entry to the growing area for pests but can also help reduce wind drift effects and insect attacks. The use of bird perches within a growing area can have the benefit of providing a perch for the bird to roost and thus the bird will stay in a particular growing area and will eat a proportion of any pests that are present on the crop. Wherever possible these bird perches should be located so that they are not directly above any individual plant, thus reducing the risk of bird excreta on the plant, and should be removed for a period prior to harvesting for the same reason. Irrigation With regard to disease spread it is better if trickle irrigation can be used as this has the benefit of ensuring that water supplies are used sparingly and also has the benefit that if plant protection chemicals are required these can be delivered directly to the plant. Flood irrigation techniques use excessive amounts of water and also increase the risk of spreading disease throughout any particular growing area.
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Pesticides If plant protection chemicals are required then, wherever possible, natural systems such as neem can be used as these types of plant protection chemicals are more acceptable to the importing countries. When synthetic plant protection chemicals are used it is important that these chemicals are permitted for the crop in question. It is important to establish whether this permission also extends to any country where it is envisaged the crop will be exported. It is important that when a plant protection chemical is used that it is purchased from an authorised dealer who can give assurances that the chemical that they are selling is authentic. PPCs should not be purchased from any other source as the active principles in these chemical may be at the wrong concentration or could even be prohibited chemicals. Once acceptability of the plant protection chemical has been established the levels of dose for a crop should be set which not only establishes the dilution to be used but also the number of applications that are permitted. There should be documentation on the use of plant protection chemicals. This should include their trade name, their active chemical ingredient, the product expiry date, the date that it is applied, the dilution that has been applied and also the target pest in question. Plant protection chemical operatives should be provided with suitable equipment to ensure that they can dose the plant protection chemical correctly, especially when this is done at field level. In this case the use of measuring cylinders, or measuring caps, as some plant protection chemical manufacturers provide, will ensure that the application level is acceptable and thus residue will be within accepted tolerances. It is important that the equipment being used for pesticide application is washed thoroughly to ensure that there is no cross contamination from previous use. A pesticide holiday, typically a period of 10 days where pesticides are not applied, will help ensure that any plant protection chemicals used have the opportunity to dissipate throughout the plant prior to harvesting. Note: many plant protection chemicals state on their labels the minimum length of time that should be allowed between the last application of the chemical and the harvest and this advice should always be taken into account. It is important that pesticide containers, whether pouches or bottles, should be disposed of correctly and not left within the growing fields where the application was carried out. It is important that any water used for irrigation is tested to ensure that it is free from pesticide residues from other crop run-off further upstream.
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ALLERGENS Introduction For reasons that are still to be fully understood it is now clear that in some parts of the world more and more people are becoming sensitive to potential allergens. This sensitisation can, in some instances, result in anaphylactic shock with the smallest amount of food ingredient causing this problem. It is therefore particularly important to ensure that spices are protected from potential allergens if they are destined for use on the world market. Details of applicable allergens are posted on the IOSTA section of the ASTA website. Cross Contamination Particular attention should be paid to ground nuts (peanuts) as it is now clear that these pose one of the highest risks for certain consumers and therefore it is imperative that during the growing, processing, storage and transportation periods that spices are protected to prevent contamination from peanuts. Care should be taken when rotating crops to ensure that a previous allergenic crop is has not left any potential cross contaminants in the growing area. It is also important that peanut derivatives, such as ground nut oil, are not used in any way for the processing of spices or for the lubrication of any spice processing equipment. With regard to allergenic materials that are sensitizers it is important to ensure that spices are kept separate from cereal products containing gluten, such as wheat, and other allergenic materials such as Soya beans and tree nuts. Care should be taken while harvesting spice and allergen crops which are grown side by side in the same area. If the harvest is more or less during the same period a suitable harvest gap should be given among these crops to avoid contamination. Certain spices have now been classified as having potential allergenic properties. It is therefore important that systems are put in place to ensure that when these spices are grown or processed there are suitable clean-down systems to ensure that there is no carryover of these spices into other spice products. At present the list of spices that come into this category are; Mustard, Celery and Sesame seed. In some countries Coriander is considered as an allergen, so please check the website for the most up to date information (see www.astaspice.org) It is now clear that certain consumers have allergic reactions to the presence of sulphur dioxide. Traditionally sulphur has been used within the spice industry, either to improve the visual appearance of spices or as a pest prevention method. The risk associated with sulphur dioxide should be carefully considered within any HACCP study.
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In the EU, for example, if a spice contains more than 10ppm of sulphur dioxide residues then it has to be clearly labelled as such so that the consumer can make an informed choice as to whether they should purchase and eat this material. One area that needs careful consideration is the transportation of spices, especially from farm to exporter or processing unit, where in the past it has not been uncommon for bags to be recycled for this purpose. In this instance it is important that these recycled bags are suitably controlled and that if they have had allergenic materials present then they are not used for spices. Care and attention should be taken in any common trading yard, where both allergenic materials and spices are handled, to prevent cross contamination. A suitable cleaning operation needs to be adopted to ensure this risk is eliminated.
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ENVIRONMENTAL COLOURS Introduction It is well documented in recent years that there has been an occurrence of deliberate adulteration of spices with artificial colours. In some cases these colours were not permitted as food colours and in other case these colours were not declared and thus were deemed to be misleading to the consumer. As a result of these adulteration incidents it became clear, through the thorough investigation that was carried out by the spice industry, that it is now possible using the most up to date analytical equipment to detect the presence of very low levels of colour which can be present in spices due to environmental contamination such as marking inks, colours to assist in applying plant protection products, fuel or dye contaminated water. Bag Markings To ensure that spices are not coloured when bag markings are used a food grade dye should be used wherever possible. Bags that have an open structure, such as jute bags, should not have bag marking made on the jute when the bag is already full of spices. In this case the use of liquid dyes can go through the bag and contaminate a small portion of the contents so it is better that the bags are marked prior to filling or are marked using a label or tag. Plant Protection Chemicals When purchasing plant protection chemicals particular attention should be given to the colour of any chemical purchased. Highly coloured pesticides have the risk of leaving minor traces of colour on the crop, especially if there has been a late application in the growing cycle. Fuel Emissions The fuel used for transportation and water pump operation is often coloured. Consideration should be given to the location of these pumps to ensure that the fuel itself or its exhaust residues do not add to the environmental and colours contamination. In addition, consideration should be given to the location of growing areas to avoid vehicle exhaust emissions becoming a problem if there are high traffic levels next to the growing area.
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PROCESSING AIDS Introduction With regard to this guide a processing aid is a chemical that is used to help improve the processing of spices whilst it has no technological function within the finished spice. For many years bleached spices have been a traded commodity, such as ginger, cardamom etc, and it is important that their packaging declares this bleaching and that the residues of any bleaching conform to international guidelines. For many years there have been a number of processing aids used in spices and thus it is important that it is fully justifiable, safe and gives the buyer an informed choice. Any processing aid must be food safe and approved for use within the country of consumption, and declared to the buyer. White Pepper During the manufacture of white pepper, microbial reduction agents such as Chlorine are used to ensure that the quality of the processing water is maintained. If agents like this are used then their dose should be controlled to prevent a carry over from the process onto the finished products, and the final product levels should be in accordance with International standards. Where this type of process is used it should be declared to the buyer so that he is aware of this and can make any labelling declaration required. Dressing The use of mineral oil to coat the surface of black pepper, paprika or other spices is not permitted. The use of vegetable oil (not peanut oil for reasons mention earlier in the guide) should be declared to the buyer.
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GENERAL Worker Hygiene Personnel handling the harvest should not be suffering from any contagious disease which will cause or act as a precursor to cause food born health problems. In the event of observing such signs of diseases the person responsible for supervising the harvesting should take the necessary measures to prevent the person(s) from handling the harvest until they are fully cured from the disease(s). Basic sanitary practices should be practiced by personnel before and during harvesting and handling of harvest. Where ever possible, especially in primary sorting centres or drying yards, care should be taken to prevent the potential ingress of glass. This includes the removal of jewellery, the replacement of windows with non glass material (such as Perspex), prohibiting the use of any glass container or bottle, etc. Workers involved in the handling of spices should be aware of the risk of contaminating the crop and thus eating and drinking should be prohibited in these areas. Field Sanitation The field sanitation standards require the person supervising the harvesting of the crop to provide toilets, potable drinking water and hand-washing facilities to personnel in the field, ensure that each person reasonable use of the above and make sure that each person understands the importance of good hygiene practices.
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MICROBIAL CONTAMINATION Introduction - Food Safety Begins on the Farm Outbreaks of food borne illness make news headlines around the world on a regular basis. In the U.S. alone, it is estimated that as many as 48 million people contract some type of food borne illness each year. As a result, over 128,000 are hospitalized and about 3,000 deaths occur. All agricultural commodities carry the risk of being contaminated with pathogenic bacteria. From planting to consumption, there are many opportunities for bacteria, viruses, and parasites to contaminate produce. On the farm, soil, manure, water, animals, equipment, and workers may spread harmful organisms. How much food borne illness originates on the farm? No one knows. Are there reasonable steps that a grower can take to reduce the risk that pathogens will contaminate the food produced on the farm? Absolutely. There is no way to guarantee that everything we grow and consume is free of harmful microbial contamination. However, the risk can be reduced if preventative steps are taken before produce leaves the farm. This guide contains detailed suggestions on how you can reduce risks of microbiological contamination on the farm. Clean Soil The improper use of manure can be a risk factor contributing to foodborne illness. Pathogens such as E. coli 0157:H7, Salmonella, and Campylobacter can be present in manure slurry and soil for three months or more, depending on temperature and soil conditions. Composting manure, incorporating it prior to planting, and avoiding top-dressing with fresh manure are important steps that can reduce the risk of contamination while making use of this important source of nutrients. Excluding domestic and wild animals as much as possible from production fields will help reduce the risk of manure (fecal) contamination. Manure Application Manure should not be applied to the crop area for three months prior to harvesting. If the field is side dressed with manure, only well composted manure should be used and care must be taken to make sure it does not touch the crop. Fresh manure and liquid manure should not be used once the crop is in the field.
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Irrigation Water When using surface water for irrigation, test quarterly for fecal coliforms, especially if water passes close to sewage treatment or livestock areas. Water may be filtered or put through a settling pond to improve water quality. Use potable water for crop protection sprays, such as fertilizer, herbicide or pesticide application. Where feasible, use drip irrigation to reduce crop wetting and minimize the risk of microbial contamination and spread of contamination or disease. If overhead irrigation is used, use it early in the day, so that leaves dry quickly and thus microbial growth is minimized. Clean Hands Attention should be paid to worker hygiene in the field especially during harvesting and during any on farm post harvest treatment. Workers who pick, sort, grade, or pack produce must wash their hands after using the restroom. Hepatitis A outbreaks have been linked to infected workers. Teach workers about microbial risks. Provide soap, clean water, and single-use towels in the field and insist that all workers wash hands before handling harvested products. Clean Surfaces Before harvesting or packing and at the end of each day, clean all bins or container that are being used. Harvesting and Post Harvest Processing Do not use decayed, mouldy or wormy fruit and remove and excess soil from crop before it is put into the transfer container. Do not use fruits that have been lying in contact with the soil for long periods of time, unless specific programs are in place to remove the contamination risk. Make sure that water used for produce washing, dipping, and soaking is drinkable (potable). As some spices undergo primary processing at the farm level, ensure that any equipment used, such as pepper threshers, etc. are thoroughly cleaned before being used. This is particularly important on equipment that has been sitting unused since the last harvest. Equipment like this should be cleaned to remove product debris before it is put into storage, to prevent pest and microbial contamination during the storage period. Ensure that any vehicle used to transport that crop around the farm is clean and dry. Pay particular attention to the previous use of the vehicle and clean it accordingly.
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Sun Drying Operations Ensure that sun drying surfaces are cleaned prior to use. If the cleaning involves water, ensure the water is potable and make sure the surface is dry before placing the crop on the surface. Through elevation or perimeter controls make sure that domestic animals, agricultural animals and pests are excluded from the sun drying area. Ensure that sun drying surfaces have sufficient slopes to prevent water from pooling. As with the mycotoxins guidance in this document, ensure that product is dried in thin layers and turned regularly to ensure that microbial growth during drying is prevented. On Farm Storage Sun dried product should be stored in an area that is free from contamination and where the product can be kept dry. The area should be able to be pest proofed to prevent contamination. The storage area should be well ventilated to prevent mould growth and it should be inspected on a regular basis. Transportation The vehicle being used for shipping should be cleaned prior to loading for shipment. Particular attention should be paid to the truck’s previous use; it should be dry, pest free and undamaged. If the truck is open, a suitable tarpaulin or other cover should be used to prevent the crop from getting wet during transportation. Worker Hygiene In addition to the practices mentioned above, make sure that workers who are sick are either excluded from areas where they could contaminate the product or are given no food handling jobs. Provide workers with a suitable area where they can take a break, educate them on hygienic practices, and provide them with hand wash facilities. Ensure that workers understand the food safety risk of smoking or eating, and where appropriate prohibit these activities.
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CONCLUSION As the use of spices continues to expand and develop it is now even more important to ensure that all stages of the supply chain play their role in ensuring food safe products, which are free from potential hazards, are provided to the global consumer market. Global food safety standards continue to develop, as do analytical techniques, and thus it is important to ensure that if you are using this guide you are using the most up to date version. For additional information and resources, contact the IOSTA office at [email protected].
