RAC, Cirencester, EnglandRAC, Cirencester, England

Agri Potential in the North East Agri Potential in the North East – The APEDA Perspective– The APEDA Perspective

Nitesh Kumar Pandey

Goals & Vision

Goals:– To maximize foreign exchange earnings through increased agro exports

– To provide better income to the farmers through higher unit value realization

– To create employment opportunities in rural areas by encouraging value added exports of farm produce.

Vision: – To establish India as a consistent supplier of quality and price

competitive agro products.

• Infrastructure for collection centers ,Transportation and Storage and centre for perishable cargo at Airports.

• Promotion of Export Oriented Production

• Market Development and Promotion

• Market Intelligence – Undertaking Surveys & Feasibility Studies

• Fixing of Quality Standards and Specifications for the Scheduled Products.

• Inspection & Certification of Processing Plants, Storage & Transportation Points for Meat Products

• Improving Packaging of Products.

• Training in Various Aspects of the Scheduled Products Industries

• Support for R&D and Quality Assurance

APEDA - Mandate

Head Office : New Delhi 

Regional Offices (5) :Mumbai HyderabadBangalore GuwahatiKolkata

Virtual Offices (13)

Bihar NagalandChhatisgarh OrissaGujarat PunjabJammu & Kashmir Tamil NaduKerala TripuraMadhya Pradesh Uttar PradeshManipur

APEDA’s Network

Scheduled Products

1. Fruits, Vegetables and their products2. Meat and Meat Products 3. Poultry and Poultry Products4. Dairy Products5. Confectionery, Biscuits and Bakery Products6. Honey, Jaggery and Sugar Products7. Cocoa and its Products, chocolates of all kinds8. Alcoholic and Non Alcoholic Beverages9. Cereal and Cereal products10. Groundnuts, Peanuts and Walnuts11. Pickles, Ppapads and Chutneys12. Guar Gum13. Floriculture and Floriculture Products14. Herbal and Medicinal Plants

Products Monitored

Export Performance

2004-05 Rs. 16,982.40 cr.

2005-06 Rs. 18,146.83 cr.

2006-07 Rs. 21,150.43 cr.

2007-08* Rs. 24,384.00 cr.

* Provisional estimated

24384

18146

16982

10169

13828

14184

21150

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

Value Rs. Crs.

Growth in ExportsGrowth in Exports(APEDA Products)(APEDA Products)

Export of APEDA Monitored Products

YEAR : 2006-07

Value in Rs 21,150.43 Crores

Floriculture & Seeds4%

Fruits and Vegetables11%

Processed Fruits & Vegetables

12%

Animal Products19%Other Processed Foods

18%

Non Basmati Rice20%

Basmati Rice13%

Wheat & Other Cereals3%

• Scheme for Market Development

• Scheme for Infrastructure Development

• Scheme for Quality Development

• Scheme for Research and Development

• Scheme for Transport Assistance

• Scheme for Inland Transport Assistance for NER

Financial Assistance Schemes

Fruits

Medicinal &Aromatic Plants

Organic Products

Citrus, Banana, Passion Fruit and Pineapple & honey

• Four items under Horticulture sector, mainly Fruits, Spices, Aromatics & Medicinal plants and Organic Products have potential for exports from N E R

Agro Products from NERAgro Products from NER

Source – CMI Social Research Centre - 2006

Export Potential of HorticultureProduce from North East

Contd…

Source – CMI Social Research Centre - 2006

Export Potential of HorticultureProduce from North East

Export of Fruits and VegetablesExport of Fruits and Vegetables Export of Fruits and VegetablesExport of Fruits and Vegetables

Value Rs. Crs.

2003-04 2004-05 2005-06 2006-07

Fruits & Vegetables 1139.42 1049.43 1201.521849.77

Exports from NER 6.63 2.50 4.85 9.05*

% Share of NER 0.006 0.002 0.003 0.005

*

- Ginger : 3.80 - Soya Bari : 2.66

- Oranges : 0.93 - Citrus Fruits : 0.31

Overview of Trade - 2006-07

Total Quantity Exported 19456 MT

Value of Exports (2005-06)

Rs. 30124 lakhs

Number of Products Exported

35

Rice, Ginger, Passion Fruits, Honey, Spices, Tea, Cotton, Pineapple and Citrus

Opportunities Organic Products

Strength

• NER presents high potentiality for Horti production due to topography ,agro-climatic factors & farmers’ familiarity

• Horticulture is a viable option for diversification in agriculture due to the higher returns it offers

Weaknesses

• Inadequate infrastructure

– Road / Rail connectivity

– Logistics for processing, cold storage, transport and packaging

– Irrigation

• Disadvantage in Economies of Scale

• Lack of quality plant material

• Weak Market linkages

SWOT ANALYSIS – N E R SWOT ANALYSIS – N E R

Opportunities

• Proximity to Bangladesh, Mayanmar, Bhutan and Nepal.

• Existing demand in these countries

Threats

• If necessary measures are not been taken in time, Thailand and Mayanmar will take over the market.

• NE farmers would loose a great opportunity.

SWOT ANALYSIS – N E R SWOT ANALYSIS – N E R

• Setting up of pack house and collection centres for export of Ginger in Assam

• Walk in type cold storage at Guwahati Airport which is being upgraded into centre for Perishable Cargo

• Setting up of pack house for export of Flowers at Rangpo (Sikkim)

• Provided refrigerated vans to NERAMAC Ltd (2 Nos) and Department of Horticulture of Tripura (2 Nos)

• Provided Financial Assistance to Patkai Lab at Guwahati for setting up of testing facilities for export

• A cold storage is to be set up at Dimapur, Aizwal, Tripur Airport.

• MoU signed with M/s. CONCOR where APEDA would create infrastructure facilities, CONCOR

to manage and M/s. Transworld to operate the facilities. Business plan submitted by M/s.

CONCOR

• CPC being set up at Bagdogra (Rs.2.99 Crs.)

N.E.R. APEDA Initiatives - Infrastructure APEDA Initiatives - Infrastructure

• Facilitated participation of North East entrepreneurs at some of the international fairs such as BioFach, International Horti Fair, Flowers Trade Show, Amsterdam and Wofex event, Phillipines

• Facilitation for export of organic Joha Rice from Assam to Switzerland

• Facilitation for export of fresh ginger to Germany from Assam

• Organised seminar and training programmes for spreading awareness about the market requirement

– Quality Management Programme on ISO & HACCAP certification

– Post harvest training on Oranges at Tamenlong

– Training on Organic Farming at Mao

– Training on packaging for export of oranges

– Post harvest management programme on Apple and Kiwi conducted in Association with Department of Horticulture, Arunachal Pradesh

N.E.R. APEDA Initiatives - Market PromotionAPEDA Initiatives - Market Promotion

APEDA Initiatives - ManipurAPEDA Initiatives - Manipur

Infrastructure• Sanctioned walk-in-type cold storage at Imphal Airport.• Sanctioned and released Rs.1.03 crs. to Good Samatarian

for Passion Fruit during 2004 through EDF. Further sanctioned Rs.2.5 crs. for Tetra Pack Unit in 2006 1st installment. Rs.1.66 crs. released. 2nd installment being considered for release.

• Sanctioned & released Rs.1.08 crs. To M/s Agri Exports for Ginger Cultivation/Exports.

• Sanctioned and released Rs.0.50 crs. to Rural Development Foundation for Turmeric Processing through EDF.

• Sanctioned and released Rs. 75.6 lakhs to Chivalry Poverty Association for Bee keeping

Quality Development

• Organized a training for Beekeepers in December 2006 through a German expert.

• Exporters have been registered from Manipur

Year Rs. / Lakh

2000-01 38

2001-02 252

2002-03 659

2003-04 373

2004-05 1250

2005-06 629

2006-07 474

2007-08 149

Expenditure under EDFExpenditure under EDF

(NER)(NER)

Path Forward

• Enhancement of quantum of exportable surplus

• Conducive environment for attracting investment

• Strengthening of infrastructure (airport, border custom points)

• APEDA is pursuing the organic initiative

APEDA Website

Dissemination of Market Intelligence

• Rs.1 per kg. or actual freight paid whichever is less, if the goods are transported from

anywhere in the North Eastern States by road for exports through any notified land customs

station in the North Eastern State or through Guwahati Airport.

• Rs.2 per kg or actual freight paid whichever is less, if the goods are transported from North

Eastern States to Kolkata or any other port by rail through ICD, Guwahati for exports.

• Rs.2 per kg or actual freight paid whichever is less, if the goods are transported from North

Eastern States by rail through ICD, Guwahati to any place in West Bengal for processing and

exports.

Revised Transport AssistanceScheme w.e.f. 11th July 2006

90% of the air freight charged by the airline from any airport in

the North Eastern States or Bagdogra to Guwahati or Kolkata for

exports and in case of highly perishable commodities, 50% of the

air freight charged by the airline from any airport in the North

Eastern States to Delhi or Mumbai Airport for exports

The scheme is valid for 2008-09.

Revised Transport AssistanceScheme w.e.f. 11th July 2006