APEDA-Undergoing A

Paradigm Shift
BY:
PURBA MUKHERJEE(137)
SUCHANDA SOM(149)
TRIPURA N.(151)

MBA IB 2009-2011
SECTION-A
Overview of Food Processing
Industry

• While India's food processing industry features an

array of products
like fruit and vegetables, meat and poultry, milk
and milk products

• The food processing industry plays a vital role in the

diversification and commercialisation of agriculture
by ensuring value addition to agricultural produce,
generating employment, enhancing the income of
farmers and creating markets for export of agro
foods.
What is APEDA

• The Agricultural and Processed Food Products

Export Development Authority (APEDA)-established
by the Govt of India

• Agricultural and Processed Food Products Export

Development Authority Act was passed in
December, 1985.
 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.

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 APEDA -FUNCTIONS

 Development of industries relating to the schedul

products for export by way of providing financial assistan

 Infrastructure for collection centers ,Transportation a

Storage and centre for perishable cargo at Airports.

 Promotion of Export Oriented Production

 Market Development and Promotion

 Market Intelligence – Undertaking Surveys & Feasibil

Studies6

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

 Inspection & Certification of Processing Plants,

Storage & Transportation Points to ensure quality
of the Products

 Improving Packaging of Products.

 Training in Various Aspects of the Scheduled

Products Industries

 Support for R&D and Quality Assurance

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 APEDA’s Network

Head Office : New Delhi 

Regional Offices (5) :

Mumbai Hyderabad
Bangalore Guwahati
Kolkata

Virtual Offices (13)

Bihar Nagaland
Chhattisgarh Orissa
Gujarat Punjab
Jammu & Kashmir Tamil Nadu
Kerala Tripura
Madhya Pradesh Uttar Pradesh
Manipur
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 Features

• Registered a 25% growth in 2008-09

• Farming to export concept initiated - where farmers shift gea
from
livelihood farming to market-oriented agriculture and
international trade
• Contract farming -altering the lives of small farmers with
fragmented holdings
• APEDA got the various pesticide test subsidized for the farm
• Drive exports at competitive prices
• APEDA does not provide any funding for participation in
international
trade fairs.
Products Monitored
• Fruits, Vegetables And Their Products
• Meat And Meat Products
• Poultry And Poultry Products
• Dairy Products
• Confectionery, Biscuits And Bakery Products
• Honey, Jaggery And Sugar Products
• Cocoa And Its Products, Chocolates Of All Kinds
• Alcoholic And Non-alcoholic Beverages
• Cereal And Cereal Products
• Groundnuts, Peanuts And Walnuts
• Pickles, Papads And Chutneys
• Guar Gum
• Floriculture And Floriculture Products
• Herbal And Medicinal Plants
• Rice (Non-basmati)
• Basmati Rice, Wheat, Coarse Grains And Sugar.
 Total Export of Export of Share in Share in
Merchan- all agri. products total all agri.
dise Products monitored merchandise Exports
Exports By APEDA Exports
(US $ Billion) (%)
(US $ Billion) (US $ Billion)
(%)

2005-06 99.44 9.15 4.09 4.12 44.74

2006-07 127.35 11.6 4.86 3.81 41.86

2007-08 159.25 16.83 7.93 4.98 47.11

2008-09 169 --- 8.7 5.15 ---

Source: DGCIS 10
Exports by APEDA
Value Rs. Crs.
2007-08 24384

2006-07 21150

2005-06 18146
2004-05 16982
2003-04 14184

2002-03 13828

2001-02 10169
Source: DGCIS Annual Data 12
 APEDA’s EFFORTS

APEDA’s strategy for development of

horticulture through

Provision of infrastructure facilities., viz pack houses, cold

storages, refrigerated transport units

Educating the farmers through

1. Pre and post harvest training programmes
2. Quality awareness programmes
3. Preparation of pre and post harvest manuals in local
languages and distribution among the farmers.

Building external market linkage for food processing units

with major players in food sectors like Hindustan Liver, Dabur,
ITC and other companies.
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Established model organic farms

Sanctioned a integrated pack house facility for handling

perishable products .

Training to Progressive Beekeepers

Cold stores at Airports.

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Financial Assistance Schemes

• 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
North Eastern Region
 Initiatives for
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.)

Latest Developments

• Restructuring of APEDA Act.

• Agri-export turnover is set to rise from $9 billion

to nearly $18 billion by 2014.

• APEDA intends to set up a traceability system for

all horticulture products exported from India-
TRACENET

• ‘Farming for Export’

• Deal with IPRs of special agricultural products
including Basmati rice.

• Cluster-based approach

• Initiative to develop Floriculture Industry in

Karnataka

• APEDA set target - farm products set to reach Rs 1

lakh cr in five years

• APEDA finalizing guidelines on good agri practices

(GAP)
Achievements

• APEDA monitored processed food products

including fresh and processed fruits and vegetables,
livestock products, cereals etc. have grown
exponentially by 24 per cent in rupees term (Rs
39,461 crore) and 10 per cent in dollar term ($8.67
billion) in 2008-09.

• Won the eAsia award for its Grape Net traceability

project
 ISSUES AND AREA OF
CONCERN
Lack of awareness and infrastructure in all the States
resulting in a very poor response from the exporters/farmers
to take up new ventures.

State Govts not responding to communications sent.

Perceived lack of clear strategies in promotion of organic

products by the States.

Multiple Departments / agencies in the States on the subject

(No Single window option for coordination with APEDA).

Need for an effective coordination channel in all the States,

A Nodal Officer may be identified for timely response and
action on all matters.

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Conclusion – The 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

THANK YOU
Sources
• www.apeda.com
• www.hinduonnet.com
• www.commodityonline.com
• www.agricultureinformation.com
• www.FnBnews.com
• www.freshplaza.com