Indian rice exports were off to a good start in the current financial year with volume of shipments increasing by about a tenth in the first two months to over 3.67 million tonnes (mt) compared with 3.36 mt in the same period a year ago on strong demand for basmati rice.

 

Basmati rice shipments during this period were up 21 per cent at 8.30 lakh tonnes (lt) against 6.85 lt a year ago. Similarly, non-basmati rice shipments, despite curbs on broken rice and export duty, were up by 6 per cent at 2.84 mt against 2.67 mt.

 

Basmati shipments to West Asia, the main market for the aromatic rice registered an increase of 13 per cent at 6.15 lt against 5.43 lt a year ago on higher demand from countries such as Iran, Iraq, Kuwait, Qatar and United Arab Emirates. However, shipments to countries such as Saudi Arabia and Yemen declined. Exports in dollar terms to West Asia were up 22 per cent at $665 million ($545 million in the year-ago period).

 

Gain in other geographies

To other geographies such as European Union and Asian countries, basmati shipments more than doubled during these two months. Shipment volumes to the European Union were up 154 per cent at 41,644 tonnes (16,407 tonnes) on demand from the Netherlands, Germany, Italy and Belgium. The basmati export value to the EU during April-May was up 196 per cent at $52.61 million ($17.74 million). In Asia, countries such as Bangladesh, Bhutan and Nepal among others stepped up the purchase of the aromatic rice with volumes rising to 15,339 tonnes (6,995 tonnes).

 

Similarly, in the case of non-basmati rice, shipments to Africa during April-May were up at 20.96 lt (15.49 lt), while exports to West Asia recorded a 24 per cent growth at 2.20 lt (1.77 lt). 'There is a good demand. Despite certain restrictions, shipments are growing,' said B.V. Krishna Rao, President, The Rice Exporters Association. India has placed curbs on exports of 100 per cent broken rice and has levied a duty of 20 per cent on white and brown rice exports since September 8, 2022.

India's export of spices in the year ended March declined 8.3% on year to 1.4 million ton, according to data from the Spices Board India. However, in value terms, exports rose 4.7% to Rs 317.6 billion in 2022-23. While exports of most spices fell, those that registered a rise included turmeric, garlic and coriander.

 

Garlic exports rose 159% on year to 57,346 ton in 2022-23. Exports of cumin declined 14% on year to 186,509 ton in 2022- 23, while turmeric exports rose 11% on year to 170,085 ton. India exported 54,482 ton of coriander in 2022-23, up 12%, the data showed.

 

Exports of small cardamom declined 30% on year to 7,352 ton and large cardamom fell 5% on year to 1,884 tn. Exports of chilli in 2022-23 declined 7% on year at 516,185 ton, while pepper fell 18% to 17,958 ton.

Food Corporation of India (FCI) has sold only 170 tonnes or 0.04 per cent of 3.86 lakh tonnes of rice offered in the first auction under the open market sale scheme (OMSS). On the other hand, 32 per cent offtake has been reported in the case of wheat in the second round, up from 21 per cent in the first round.

 

The average selling price of wheat in the auction was Rs.2,137.33 per quintal, against a reserve price of Rs.2,125/ quintal for the URS variety and Rs.2,150/quintal for the FAQ variety. There were 1,337 successful bidders, sources said. The pan-India average selling price was Rs.2,136/quintal in the first round.

 

Rice was sold at an average Rs.3,175.35/ quintal, higher than its reserve price of Rs.3,100/quintal.

 

Karnataka’s Shri Gouri Shankar Trading Company purchased 40 tonnes of rice at Rs.3,183/quintal, whereas four other buyers got it at Rs.3,173/quintal. Gujarat’s Shree Padmavati Rice Pulse and Oil Mills and Maharashtra’s Akshay Agro Sales Corporation have bought 50 tonnes each.

 

Sadguru Trading Company, also from Maharashtra, has bought 20 tonnes and Meghalaya’s Bothra Trading Company 10 tonnes, the sources said.

 

'The rice that FCI has offered under OMSS is available at around Rs.2,600/ quintal, which is much below the reserve price. The recycled rice from the public distribution system is sold at lower rates compared to 'normal' varieties,' a rice miller in Punjab said. Asked why there were no takers in Punjab for FCI rice, as a maximum of 1.5 lt was offered in the state, he said there was no demand in Punjab as it could not be sold elsewhere.

 

On wheat offtake, a miller in Madhya Pradesh said most buyers are re-selling their grain to big buyers at marginally lower than market rates since the FCI’s offer is the cheapest. Most buyers are bidding around the reserve price, as they know there is no competition due to the government’s cap of 100 tonnes.

 

'If the government wants prices to cool down, the maximum quantity should be raised to 500 tonnes from one depot, and one entity should be allowed to buy from at least five-six places. It will create competition, as well as higher lifting, that will result in increased availability,' said the roller flour miller from MP.

 

Japan's former Prime Minister Yoshihide Suga is leading a 100-member trade delegation to India to look at ways to boost investments in the country to reach their target of 5 trillion yen by 2027.

 

He met Prime Minister Modi along with the Ganesha group of Japanese MPs and Keidanren (Japanese Business Federation) CEOs.

 

'We had an engaging discussion on deepening our Special Strategic and Global Partnership in different areas, including Parliamentary exchanges, investment, economic ties, people to people links tourism and skill development,' said PM Modi.

 

Suga expressed optimism of enhanced investment in India as it is now the world’s fifth largest economy and is growing rapidly at a rate of 7.2 per cent.

 

'In Japan, the public and private sectors are in complete agreement on the importance of strengthening relations with India. Last year, the government of Japan had set a target of investing Yen 5 trillion in India over the next five years. I have witnessed India’s liveliness and was able to feel the momentum of the Indian economy,' said Suga who is also the President of the Japan-India Association.

 

India is upbeat about its growing partnership with Japan. 'As India embarks of its next phase of economic growth, improvement in agriculture productivity will be a key aspect and use of technology can provide the necessary breakthrough. Japan is a leading country in many areas of agriculture including precision farming, seed R&D, introduction of new molecules for crop protection, drones etc. This is a win-win opportunity for Japanese companies to tap the vast Indian market by introducing cutting edge products and services tailored for the Indian farmers,' Ajay S Shriram, CMD of DCM Shriram, told The New Indian Express.

 

Japan is a key global investor and player in supply chains, which are central to reshaping the future of global trade. India also plays an important part in this segment.

 

'The 5 trillion yen target can not just be achieved but also exceeded. One way of doing this would be through introducing mutual recognition agreements across various sectors in both countries and focus on resilient supply chains,' Bharat Joshi, Director Associated Container Terminals Limited (ACTL), told The New Indian Express.

 

Meanwhile, Suga is optimistic that strengthening economic ties and people to people exchanges with India will benefit both countries.

 

With robust trade ties between the two nations, the investment target will surely be achieved. Bilateral trade between the two nations was $20.57 billion in 2021-22.

The Indian economy has carried the momentum from the past year into the current fiscal year and there has been no evidence by far that suggests a slowdown in the current financial year 2023-24, said the Department of Economic Affairs under Ministry of Finance in its monthly review report.

 

According to the provisional estimates released by the National Statistical Office (NSO) recently, real GDP growth for 2022-23 stood at 7.2 per cent, higher than the 7 per cent as was projected earlier. An upward revision in the 2022-23 GDP numbers is expected going forward.

 

For 2023-24, the central government sees growth at about 6.5 per cent.

 

'A strong final quarter performance pushed the GDP growth for the full year to 7.2 per cent, higher than the 7 per cent estimated in February. This upside to the growth estimate takes the growth momentum deep into the current year,' said the finance ministry report.

 

Several forecasting agencies also share optimism as they have upwardly revised their growth estimates for India for 2023-24.

 

'The latest evidence also does not indicate any slowing of activity in the first two months of the current year. India is the fastest-growing major economy, is now no longer only a statistical fact,' it added.

 

The finance ministry stated that what has been clearly working for India's economy is the strength of its domestic demand.

 

'High-frequency indicators paint a healthy picture of the state of the economy. Urban demand conditions remain resilient, with higher growth in auto sales, fuel consumption and UPI transactions. Rural demand is also on its path to recovery, with robust growth in two and three wheelers sales.'

 

Goods and Services tax collection, Purchasing Managers' Index (PMI) for the manufacturing and services sector continues to expand, it noted.

 

Further, for the agricultural sector, it said the forecast of a normal monsoon despite the prevalence of El Nino, adequate availability of seeds and fertilisers and sufficient water in key reservoirs augur well for a healthy kharif season.

 

India has three cropping seasons -- summer, kharif, and rabi.

 

Crops sown during June-July and harvested in October-November are kharif. Crops that are sown during October-November and the produce harvested from January-March depending on maturity is Rabi. Crops produced after rabi but ahead of kharif are summer crops.

 

Farmers have meanwhile started sowing their Kharif crops. Paddy, moong, bajra, maize, groundnut, soybean, and cotton are some of the major Kharif crops.

Enthused by the massive response to two farmers’ varieties of jackfruit — iddu and Shankara — which were promoted by it, the Bengaluru-based Indian Institute of Horticultural Research (IIHR) has identified one more variety of jackfruit being grown by a farmer for promotion.

 

Its unique characteristic is that it is not only tasty and nutritious but also suitable for commercial processing for making products like jam, squash and fruit bar, said IIHR Director Sanjay Singh.

 

Unlike the earlier two varieties, whose fruits were small, the new one weighs 25 to 32 kg.

Unlike the earlier two varieties, whose fruits were small, the new one weighs 25 to 32 kg.

 

Heavier fruit

Unlike the earlier two, whose fruits were small, the new one weighs 25 to 32 kg, he said. It has been identified in the field of Nagaraj in Hessarghatta on Bengaluru’s outskirts. Presently there is only one such tree in his field.

 

Dr. Singh said IIHR scientists, who have been observing the tree for the last three years to study its characteristics, conducted tests to ascertain the nutritious value of the fruits from this variety.

 

 

It also gives fruit during the off season (August to October) which is a rare trait for jackfruit.

 

The new variety was identified in the field of Nagaraj in Hessarghatta on Bengaluru’s outskirts. Presently there is only one such tree in his field.

The new variety was identified in the field of Nagaraj in Hessarghatta on Bengaluru’s outskirts. Presently there is only one such tree in his field.

 

Registering the variety

The IIHR is helping the farmer to register his variety with the Protection of Plant Varieties and Farmers’ Rights Authority so that he will get exclusive rights over it. The farmer will become the custodian of this variety. After the completion of this process, the institution will enter into an MoU with the farmer to multiply the variety. This arrangement will bring financial benefits to the farmer as the IIHR will sell the saplings under its banner and provide 70% of proceeds to the farmer.

 

'This particular tree was planted 43 years ago by my father. Though we did not know its technical details, we knew it was attractive as there was a huge demand for its fruits, and people were willing to pay a premium to get this fruit,' said Mr. Nagaraj, who is an innovative farmer.

 

Fruit profiled

This fruit was noticed by scientist K.N. Jagadish, who is a subject specialist at the IIHR’s Krishi Vigyan Kendra in Hirehalli, Tumakuru. The IIHR scientists then conducted biochemical profile of the fruit.

 

The first such experiment by the IIHR to promote farmers’ variety by choosing the Siddu jackfruit was a success as the farmer has got a huge demand for its saplings which is helping him to earn handsome profits of over a crore just from a single tree.

In addition, the Aman variety of the fragrant Tulshimala rice from Sherpur has also acquired the GI tag, Md Zillur Rahman, deputy registrar (Trade Marks) of the Department of Patents, Designs and Trademarks (DPDT), said.

 

The department under the industries ministry issued GI certificates to the four products on 25 June.

 

With this, 15 Bangladeshi products, including Jamdani, Ilish, Muslin, Rajshahi silk, Rangpur's Shatranji, Kataribhog rice of Dinajpur and Fazli mango of Rajshahi and Chapainawabganj, have been recognised as GI products so far.

 

Bogura, often dubbed as the capital of yogurt, produces an average of 50 tonnes of yogurt per day in around 400 factories of various sizes. Demand for the fermented dairy product doubles during festivals like Eid.

 

Nurul Bashar Chandan of Asia Sweets, a leading name for yogurt in Bogura at present that produces around 1,000kg of yogurt per day, sees the GI certification as a great opportunity to boost the yogurt market.

 

'With GI recognition, we will get multifarious benefits in terms of exporting yogurt. But if the yogurt is to be taken to the world market, the cooperation of the government is very much needed,' he said.

 

'The GI recognition has established a distinct identity for Bogura yogurt in the world,' said Hasan Ali, chairman of reputed sweets and yogurts manufacturer Akbaria Group.

 

'Bogura city and Sherpur Upazila together sell at least one lakh pieces of yogurt, worth Tk1 crore, per day. The country can generate more revenue by exporting the product,' he added.

Valsad, in south Gujarat, is the mango capital of India, and its famed Alphonso mangoes, also called Valsadi Hapus, are on the brink of receiving the coveted Geographical Indication (GI) label, which is great news for mango fans and farmers.

 

This recognition will make Valsadi Hapus the second mango variety in Gujarat to receive the GI tag, following the famous Kesar mangoes cultivated in the foothills of Girnar mountains in Junagadh district. Nationally, Valsadi Hapus will be the third mango variety in India to receive GI registration, joining the ranks of ‘Gir Kesar’ and Dussheri mangoes.

 

The lush mango orchards surrounding Valsad district are well-known for their delectable Alphonso mangoes, which exude a captivating aroma and unmatched flavor. The Geographical Indications Registry of the Central government, based in Chennai, will bestow the GI tag upon Valsadi Hapus, thereby conferring a distinct identity to these mangoes in both the domestic and international markets.

 

DK Sharma, an official at the Navsari Agriculture University (NAU) in Pariya, Valsad, shared that the process for obtaining the GI registration of Valsadi Hapus is currently underway and is expected to be finalized within the next three months. The NAU’s Pariya campus has diligently addressed approximately 28 objections raised at the Chennai-based GI registry, demonstrating their commitment to securing this prestigious recognition from the Central Government.

 

In 2023, the southern region of Gujarat has emerged as the leading cultivator of mangoes among the state’s seven districts, surpassing Central and North Gujarat, Saurashtra, and Kutch. The mango cultivation area in South Gujarat spans approximately 98,672 hectares, with an impressive production volume of 5.73 lakh metric tonnes.

 

The GI tag serves as a testament to the unique characteristics and qualities of Valsadi Hapus mangoes, attributing their exceptional taste and aroma to the region’s specific environmental and geographical conditions. This recognition will not only enhance the mangoes’ market value but also protect them from imitations and counterfeits.

 

The GI-tagged Valsadi Hapus mangoes will offer consumers the assurance of authenticity and quality, boosting their demand in domestic and international markets. The recognition will also provide a significant boost to the local economy and contribute to the preservation of traditional agricultural practices in Valsad.

 

'The impending GI tag for Valsadi Hapus mangoes is a moment of pride for the farmers, traders, and mango enthusiasts who have long recognized the exceptional nature of these fruits. It is a testament to the rich agricultural heritage of Valsad and reaffirms the region’s status as a prime producer of superior mango varieties' said an Alphonso farmer in Vapi.

With regard to the upcoming World Food India-2023, an investor roundtable interaction was co-chaired by the Secretary, Department for Promotion of Industry and Internal Trade (DPIIT), and the Secretary, Ministry of Food Processing Industries with agri-food processing companies in New Delhi, yesterday. The roundtable witnessed participation from the leading global and Indian food processing companies. During the interaction, the future plans of the participating companies and their prospects of partnerships with MoFPI for the WFI-2023, being organized from 3-5 November, 2023 at Pragati Maidan, New Delhi, were discussed.

 

In his special address, Secretary, DPIIT emphasized on the importance of manufacturing sector in the growing Indian GDP. He also mentioned the favourable agro-climatic zones in India which are not just suitable for production of a wide variety of agri-commodities like cereals, pulses, fruits, vegetables etc., but also to process them in large quantities.

 

In her keynote address, Secretary, MoFPI mentioned about the growth and vast opportunities present in the food-processing sector. She added that the ministry is organizing the 2nd edition of the highly anticipated World Food India event, envisioning an even larger scale compared to the previous 2017 edition. The Secretary extended a heartfelt invitation to all companies to participate in the event with great enthusiasm.

 

During the roundtable, the participating companies expressed their optimistic outlook on the Indian market and lauded the various initiatives taken by the Government of India to improve the business environment, including the favourable policies such as the Production Linked Incentive Scheme and the flagship Pradhan Mantri Kisan Sampada Yojana initiated by MoFPI. The companies also expressed their interest in participating in World Food India-2023 and affirmed their willingness to sponsor the event and showcase their products and technologies through dedicated stall spaces. Many companies also showed keen interest on partnering with MoFPI for the sessions that are being planned as part of the event.

 

In his closing remarks, Additional Secretary, MoFPI mentioned that the Investment Facilitation Cell (Invest India) and event partner FICCI will stay in touch with the companies to firm up the participation details. EY is roped in as the knowledge partner for the event.

A comprehensive strategy to increase the procurement of coarse grains was discussed and formulated at the conference of State Food Ministers on Wednesday, the Union Food Ministry said in a statement. Accordingly, it is estimated that a total of 26.14 lakh tonnes (lt) of coarse grains would be procured in the Kharif Marketing Season (KMS) 2023-2024 starting October 1. The expected distribution is 22.31 lt.

 

'This strategic focus on coarse grains/millets reflects a broader objective to strengthen the nutritional security of the beneficiaries’' it said.

 

Minister of Food and Public Distribution Piyush Goyal appreciated the efforts of the State governments for procuring and distribution of foodgrains and said all the States should work together with the Centre in the spirit of co-operative federalism.

 

Pending claims

He urged all States to submit their pending claims on dues with the Union government expeditiously so that they can be settled at the earliest.

 

The scale of reforms in procurement process of foodgrains is key to providing food security and stability to domestic prices of foodgrains.

 

Goyal also launched a new sugar-ethanol portal, where mills will be made to file returns on production, sales data regularly.

 

A demonstration of the Automated Multi-Commodity Grain Dispensing Machine 'Annapurti' developed by the UN World Food Programme (UN-WFP) and Automatic Grain Analyzers developed for automated quality checking of grains was made at the conference.

 

Among other topics, grading of procurement centres to ensure uniformity and quality, effective implementation of Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY), implementation of the SMART–PDS scheme for end-to-end computerisation of procurement and distribution of foodgrains, and transformation of Fair Price Shops (FPS) were discussed.

 

An action plan for the implementation of Route Optimisation study to bring down the distance involved in intra-State distribution, diversification of food basket through distribution of coarse grains/millets was also deliberated.