Centre creates matrix for 50 agricultural products with good export potential to help boost agri exports

 

As part of the PM GatiShakti National Master Plan, APEDA collaborates with various ministries to ensure seamless logistics

 

Government focuses on boosting agri exports from Purvanchal, Himalayan region, North Eastern States, J&K and Ladakh

 

India’s agri exports crossed USD 50 billion for the year 2021-22, notwithstanding logistical challenges posed by COVID-19 pandemic in the form of high freight rates, container shortages, etc. Agricultural and Processed Food Products Export Development Authority (APEDA), which works under the Ministry of Commerce and Industry, has scripted a new history by exporting agricultural and processed food products to the tune of USD 25.6 billion, which is 51 per cent of the India’s total agriculture exports of USD 50 billion.

 

Besides, the APEDA has also surpassed its own export target of USD 23.7 billion for the financial year 2021-22 by registering shipment of USD 25.6 billion.

 

As per the provisional figures released by DGCI&S, the agricultural exports have grown by 19.92 per cent during 2021-22 to touch USD 50.21 billion. The growth rate is remarkable as it is over and above the growth of 17.66 per cent at USD 41.87 billion achieved in 2020-21 and has been achieved in spite of unprecedented logistical challenges in the form of high freight rates, container shortages, etc. The export of APEDA schedule products export may be seen from the Graph-1.  It depicts the comparative export of APEDA products for the current year, 2021-22 and previous year 2020-21.  Cereal sector in APEDA exports contributes more than 52 per cent share in 2021-22. Livestock products and other processed foods contributes 17 and 15 per cent in APEDA export respectively in 2021-22.

 

The historic achievement over past two years will go a long way in realising the Prime Minister Shri Narendra Modi’s vision of enhancing farmers’ income.

 

Compared to total agricultural export, APEDA’s exports registered 16 per cent growth when it touched USD 25.6 billion in 2021-22 from USD 22.03 billion in 2020-21.  The highest growth rate recorded by APEDA products (more than 30 per cent) in 2021-22 corresponding to previous year may be seen from Graph-2.

 

According to the DGCI&S data, export of rice was the top forex earner at USD 9654 million during 2021-22, growing 9.35 per cent from previous year when it touched USD 8829 million.

 

The export of wheat touched an all time high at USD 2118 million in 2021-22, growing 273 per cent from 2020-21 when it touched USD 567 million, while other cereals registered a growth of 53 per cent by fetching USD 1083 million in 2021-22 in compare to the previous financial year when it touched USD 705 million.

 

Export of pulses reported a growth of 34 per cent touching USD 358 million in 2021-22 from USD 265 million in 2020-21.

 

Dairy products grew over by 96 per cent standing at USD 634 million in 2021-22 from USD 323 million in 2020-21, while buffalo meat registered a growth of just 4 per cent as export of bovine meat increased from USD 3171 million in 2020-21 to USD 3303 million in 2021-22.

 

Export of poultry products rose to USD 71 million in 2021-22 from USD 58 million in the previous year and sheep/goat meat export is up by 34 per cent at USD 60 million in 2021-22 from USD 44 million in the previous year.

 

Fruits and vegetables exports were up by 12 per cent to touch USD 1676 million in 2021-22 against USD 1492 million in 2020-21, while processed fruits and vegetables exports were up by 7 per cent to reach USD 1202 million in 2021-22 against USD 1120 million in the previous year.

 

Exports of other processed food items grew by 34 per cent during 2021-22 to touch USD 1164 million against USD 866 million in 2020-21. The cashew exports also grew by 7 per cent to USD 452 million in 2021-22 from USD 420 million in the previous year. Floriculture products reported a rise of 33 per cent when it touched USD 103 million in 2021-22 from USD 77 million in 2020-21.

 

APEDA's major exporting destination as per 2021-22 data are Bangladesh, UAE, Vietnam, USA, Nepal, Malaysia, Saudi Arabia, Indonesia, Iran and Egypt.

 

The significant rise in agri-exports is seen as a testimony of the government’s commitment to enhance farmers’ income through giving thrust on boosting exports of agricultural and processed food products.

 

The rise in export of agricultural and processed food products has been largely due to the various initiatives taken by Centre through APEDA such as organizing B2B exhibitions in different countries, exploring new potential markets through product specific and general marketing campaigns by active involvement of Indian Embassies.

 

The government organized more than 300 outreach programmes in collaboration with state governments for enhancing the exports of agricultural produce.

 

“We have also created products matrix for 50 agricultural products which have good scope for expanding our exports portfolios,” said Dr M Angamuthu, Chairman, APEDA.

 

Centre has also taken several initiatives to promote geographical indications (GI) registered with agricultural and processed food products in India by organizing virtual Buyer Seller Meets on agricultural and food products with the major importing countries across the world.

 

In order to ensure seamless quality certification of products to be exported, government has recognized 220 labs across India to provide services of testing to a wide range of products to exporters.

 

Centre, through APEDA also assists in upgradation and strengthening of recognized laboratories for export testing and residue monitoring plans. APEDA also provides assistance under the financial assistance schemes of infrastructure development, quality improvement and market development for boosting export of agricultural products.

 

The participation of exporters in the International Trade Fairs was organized, which provides a platform to the exporters to market their food products in the global marketplace. National events like AAHAR, Organic World Congress, BioFach India etc. were organized to promote agri-exports.

 

Government, through the aegis of APEDA also initiates registration of pack-houses for horticulture products for meeting the quality requirements of the international market. Registration of export units for peanut shelling, grading and processing units, for instance, is to ensure quality adherence for the EU and non-EU countries.

 

APEDA also carries out registration of meat processing plants and abattoirs for ensuring compliance with global food safety and quality requirements. Another key initiative includes development and implementation of traceability systems which ensure the food safety and quality compliances of the importing countries.

 

For boosting exports, APEDA compiles and disseminates various international trade analytical information, market access information amongst exporters and address trade enquiries.

 

As part of the PM Gati Shakti - National Master Plan, APEDA is collaborating with various ministries including railways and roadways for enhancing connectivity through faster transportation of agricultural products, as they are perishable in nature so it requires immediate and fast delivery to its destination from the production points.

 

“The government has been focussing on boosting exports from Purvanchal, Himalayan, NER states, J&K and Ladakh,” Dr Angamuthu, said.

 

In line with the government’s Digital India policy, APEDA has implemented several new digital technology-based initiatives which have played a key role in enabling agricultural exports worth of $ 25 billion under the its basket in 2021-22.

 

APEDA has adopted multiple world class technology and software in IT division such as Blockchain technology implemented in hortinet traceability, Farmer Connect Portal, Geographical Indications (GI) Promotion Portal, Mobile App, iTrack System, TraceNet, Organic Promotional Portal, Agriexchange App, and Cloud Migration etc.

 

Given that demand of natural products is growing and consumers demand greater quantities of foods, cosmetics and medicines that contain natural ingredients, the Centre is in process to formulate a strategy for promotion of export of natural farming products in consultation with Ministry of Agriculture to develop the standards for production along with certification system.

 

A Farmer Connect Portal has also been set up on APEDA’s website for providing a platform for Farmer Producers Organisations (FPOs) or Farmer Producer Companies (FPCs), Cooperatives and women entrepreneurs to interact with exporters. Around 3,295 FPOs and FPCs and 3,315 exporters have been registered in the portal so far.  More than 24 lakh organic farmers registered with APEDA. India is the leading producers of organic products in the world.

Now the time has come for India to move towards natural farming. If India fulfils the demand for organic food all over the world, then India's economy will be transformed,' said Shah while addressing the Golden Jubilee celebrations of the National Cooperative Dairy Federation of India in Gandhinagar.

 

He further said that the Dairy sector can play a big role in achieving India's ambitions in the field of Organic Farming.

 

The National Cooperative Dairy Federation of India (NCDFI), based in Anand district of Gujarat, is the apex organization for the cooperative dairy sector.

 

Its members include federal dairy cooperatives of states and union territories. The primary objective of NCDFI is to facilitate the working of dairy cooperatives through coordination, networking and advocacy.

 

'At present organic farming is taken up in an area of 38.09 lakh hectares in the country including 6.19 lakh hectares under Paramparagat Krishi Vikas Yojana (PKVY), 1.23 lakh hectares under Namami Gange Programme, 4.09 lakh hectares under BPKP (Natural Farming), and 26.57 lakh hectares under National Program for Organic Production (NPOP),' according to Ministry of Agriculture and Farmers Welfare.

 

The government has been promoting organic/natural farming through dedicated schemes namely Paramparagat Krishi Vikas Yojana (PKVY) and Mission Organic Value Chain Development in North East Region (MOVCDNER).

Shri Piyush Goyal invites Australian businesses to Make in India and calls for more engagements between each other’s Startups

 

Proximity between Western Australia and India provides an opportunity for much deeper economic engagement: Shri Goyal

 

India and Australia, being strategic partners, will work together in the QUAD and the Supply Chain Resilience Initiative (SCRI) to maintain the Indo-Pacific area as a region of peace, prosperity, stability, tranquility and growth: Shri Goyal

 

Shri Goyal calls for deepening engagements with Australia in the space sector and sustainability

 

Cricket brought the people of the two nations closer and unless people came together, businesses cannot prosper: Shri Goyal

 

 

Union Minister for Commerce and Industry, Consumer Affairs, Food and Public Distribution and Textiles, Shri Piyush Goyal has invited Australian businesses to Make in India and said that the Startups from both nations must engage with each other. He underscored that Australia has fantastic innovations and research and new ideas and India has the talent pool to take these to the world. 

 

Expressing the hope that Investments will flow into India from Australia at a faster pace, he said that Western Australia can be at the forefront of the expanding relationship between the two nations.

 

'The proximity between the region and India provides an opportunity for much deeper economic engagement,' said Shri Goyal, addressing the gathering at the Business Luncheon hosted by Deputy Premier Roger Cook in Perth, today

 

Speaking of India’s bid to build strategic partnerships, the Minister said that India has become a part of QUAD and the Supply Chain Resilience Initiative (SCRI). Referring to the disturbances that afflicted some parts of the world, Shri Goyal asserted that two strong democracies, two friends working together for shared prosperity, trusting each other, believing in each other would send a strong message of unity, a message of ‘ekta’ to the world. 

 

'Together we will make our geopolitical presence stronger and work to maintain the Indo-Pacific area as a region of peace, prosperity, stability, tranquility and growth,' he said.

 

Shri Goyal said that that the India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA) will take relationships between the nations to greater heights and added that the spirit of cooperation and friendship with which the negotiations happened was truly remarkable.

 

Outlining areas of focus under the agreement such as education, research, innovation, technology, manufacturing etc, the Minister called for deepening engagements in areas such as the space sector and sustainability.

 

Commenting that despite challenging times, the relations with two nations were only getting better and better, he expressed his gratitude to Australians for the love and care they bestowed on every Person of Indian Origin who had made Australia their home.  This truly defined the brotherhood between the two nations, he said.

 

Speaking of the fruitful engagements he had during his tour, the Minister quoted Prime Minister Narendra Modi and said that ‘this EKTA (ECTA) is a watershed moment for our bilateral relations and our economies have great potentials to meet each other’s needs’. He opined that the Prime Minister’s vision clearly reflected the complementarity between our two economies.

 

The Minister termed the agreement as an important milestone which will contribute to development of many multi-sectoral relationships. 'This is but one step in a long journey and I hope that this journey will not be just a trot but a marathon,' he said.

 

Stating that the Ind-Aus ECTA is a very balanced and fair, equitable agreement that provided opportunities for all, Shri Goyal said that with ECTA, it is possible to take bilateral trade between the two nations to USD 100 billion by 2030. The Minister emphasized that India has a large aspiring population looking for a better quality of life and hoping to experience the prosperity that a large part of the world enjoys. This is an opportunity knocking at the doors of Australia, he said.

 

'We must continue working together, all the while respecting each other’s sensitivities, positions in terms of levels of prosperity, market size etc,' he said.

 

Speaking of the initial bilateral trade target of USD 45 billion set under the agreement, Shri Goyal said that after engaging with the businesses and the community of Australia during the visit and getting a sense of the immense opportunities for economic cooperation, he is confident of achieving the enhanced target. 

 

Shri Goyal stressed that this relationship comes very naturally to Indians and Australians who have always been natural partners. He reminded that at one point in time, the two nations were geographically contiguous.  Both India and Australia are members of the Commonwealth, vibrant democracies who are committed to the rule of law, transparent governments, he said. He also quipped about the shared love for cricket which brought the two nations closer together.

 

Shri Goyal said that Indian and Australian economies hardly compete with each other and added that the two economies complemented each other beautifully. Citing a few examples of this complementarity, the Minister said that Australian sheep wool woven to fabric or apparel in India, will make an excellent offering to the world and that Australia can benefit from the immense talent and skills of the Indian population, especially the youth. Observing that Australia has been a provider of raw materials and intermediate products to large parts of the world, the Minister said that India could convert these to finished products using its vast, skilled labor force and serve the world.

 

Later, delivering the Keynote address at the Tourism event in Perth, Shri Goyal said that education should be one of the key focus areas in the partnership between India and Australia. He called for further mutual recognition of each other’s education systems, efforts to take technology to students on both sides of the ocean and exploring ways to have dual degrees.

 

The Minister also said that the ECTA has received huge traction and support among the people and media in both nations. Referring to Australia’s competitive advantage in rare earth minerals, the Minister said that this will be absolutely crucial in the times to come because they can help technology flourish and create millions of jobs, particularly in a country like India with a vast, young skilled population aspiring for a better future.

 

Referring to WACA ground as the Mecca of cricket, the Minister said that though India and Australia competed fiercely in cricket but the love for the game in fact brought the two nations together. He observed that cricket brought the people of the two nations closer and unless people came together, businesses cannot prosper. At one level, leaders are committed to the relationship. But the subtext is that people work together, trust each other and enjoy the friendship that comes with the union, he said. 

Export of major agriculture and processed products, broadly divided under 27 categories by the Agricultural and Processed Food Products Export Development Authority (APEDA), have jumped 16 per cent to $25.6 billion during the last fiscal, from $22.03 billion in 2020-21. The target was $23.7 billion.

 

The country’s agricultural exports, including marine products and spices, surged nearly 20 per cent to touch $50.21 billion during 2021-22, in which APEDA-promoted products have an over 50 per cent share.

 

Wheat, dairy products, guar gum, cashewnut, maize, pulses, meat (other than buffalo meat) and floriculture were the top performers, which registered over 32 per cent growth, which is double the growth rate of all APEDA products. Wheat exports made a near four-fold increase to $2.12 billion from $0.57 billion. Other cereals, including maize (rice, wheat excluded), registered a 53 per cent surge to $1.08 billion in 2021-22, compared with $0.71 billion in the previous year.

 

In the APEDA basket, rice (both basmati and non-basmati) remained the top forex earner at $9.65 billion, against $8.83 billion. However, this was less than 10 per cent growth. Industry sources said while non-Basmati exports were impressive, Basmati dragged overall growth in the rice sector. APEDA is yet to compile Basmati data separately.

 

Basmati rice exports declined 14.4 per cent to $3.09 billion, whereas non-Basmati exports went up by 35.2 per cent to $5.55 billion during April-February of 2021-22, as against the year-ago period.

 

APEDA’s major exporting destinations last year were Bangladesh, the UAE, Vietnam, the US, Nepal, Malaysia, Saudi Arab, Indonesia, Iran and Egypt.

 

'The significant rise in agri-exports is seen as a testimony to the government’s commitment to enhance farmers’ income by giving a thrust to export of agricultural and processed food products,' said M Angamuthu, chairman, APEDA.

 

Pulses is one area where the government has not restricted export despite having to depend on imports to meet the demand. As a result exporters have developed their markets with consistent improvement in value addition. Export of pulses grew to $358 million in 2021-22, up 34 per cent from $265 million in the year before.

 

Dairy products grew by more than 96 per cent to $634 million from $323 million, while buffalo meat exports increased just 4 per cent to $3.3 billion from $3.17 billion. Export of poultry products rose 22 per cent to $71 million from $58 million, and that of sheep and goat meat by 34 per cent to $60 million from $44 million.

 

Fruit and vegetable exports grew by 12 per cent to touch $1.68 billionfrom $1.49 billion, while processed fruit and vegetable exports grew 7 per cent to touch $1.2 billion from $1.12 billion. Exports of other processed food items grew by 34 per cent to $1.16 billion from $0.87 billion, cashew nut by 7 per cent to $452 million from $420 million, floriculture products by 33 per cent to $103 million from $77 million.

 

APEDA organised more than 300 outreach programmes in collaboration with State governments to enhance exports of agricultural produce, Angamuthu said, adding 'we focus on boosting exports from the Purvanchal and Himalayan regions, as well as the NE States.'

India’s agriculture exports crossed USD 50 billion for the year 2021-22. Agricultural and Processed Food Products Export Development Authority (APEDA), has exported agricultural and processed food products to the tune of USD 25.6 billion, which is 51 per cent of India’s total agriculture exports of USD 50 billion.

 

'We have also created a products matrix for 50 agricultural products which have good scope for expanding our exports portfolios,' said Dr M Angamuthu, Chairman, APEDA.

 

APEDA’s major exporting destinations are Bangladesh, UAE, Vietnam, USA, Nepal, Malaysia, Saudi Arabia, Indonesia, Iran and Egypt. The significant rise in agri-exports is likely to enhance farmers’ income by giving thrust on boosting exports of agricultural and processed food products.

 

The rise in the export of agricultural and processed food products has been largely due to the various initiatives by APEDA such as organizing B2B exhibitions in different countries and exploring new potential markets through product-specific and general marketing campaigns with the active involvement of Indian Embassies. The government organized more than 300 outreach programmes in collaboration with state governments for enhancing the exports of agricultural produce.

 

The APEDA has also surpassed its own export target of USD 23.7 billion for the financial year 2021-22 by registering shipments of USD 25.6 billion.

 

As per the provisional figures released by DGCI&S, the agricultural exports have grown by 19.92 per cent from 2021-to 22 to touch USD 50.21 billion. The growth rate is remarkable as it is over and above the growth of 17.66 per cent at USD 41.87 billion achieved in 2020-21 and has been achieved in spite of unprecedented logistical challenges in the form of high freight rates, container shortages, etc.

 

For boosting exports, APEDA compiles and disseminates various international trade analytical information, market access information amongst exporters and addresses trade enquiries.

 

As part of the PM Gati Shakti – National Master Plan, APEDA is collaborating with various ministries including railways and roadways for enhancing connectivity through faster transportation of agricultural products, as they are perishable in nature so it requires immediate and fast delivery to their destination from the production points. “The government has been focussing on boosting exports from Purvanchal, Himalayan, NER states, J&K and Ladakh,” Dr Angamuthu, said.

 

The cereal sector in APEDA exports contributes more than 52 per cent share in 2021-22. Livestock products and other processed foods contribute 17 and 15 per cent to APEDA export respectively in 2021-22.

 

Compared to total agricultural exports, APEDA’s exports registered 16 per cent growth when they touched USD 25.6 billion in 2021-22 from USD 22.03 billion in 2020-21. The highest growth rate recorded by APEDA products was more than 30 per cent in 2021-22 corresponding to the previous year

 

According to the DGCI&S data, the export of rice was the top forex earner at USD 9654 million during 2021-22, growing 9.35 per cent from the previous year when it touched USD 8829 million.

 

The export of wheat touched an all-time high at USD 2118 million in 2021-22, growing 273 per cent from 2020-21 when it touched USD 567 million, while other cereals registered a growth of 53 per cent by fetching USD 1083 million in 2021-22 in comparison to the previous financial year when it touched USD 705 million. Export of pulses reported a growth of 34 per cent touching USD 358 million in 2021-22 from USD 265 million in 2020-21.

 

Dairy products grew over 96 per cent standing at USD 634 million in 2021-22 from USD 323 million in 2020-21, while buffalo meat registered a growth of just 4 per cent as export of bovine meat increased from USD 3171 million in 2020-21 to USD 3303 million in 2021-22.

 

Export of poultry products rose to USD 71 million in 2021-22 from USD 58 million in the previous year and sheep/goat meat export is up by 34 per cent to USD 60 million in 2021-22 from USD 44 million in the previous year.

 

Fruits and vegetables exports were up by 12 per cent to touch USD 1676 million in 2021-22 against USD 1492 million in 2020-21, while processed fruits and vegetable exports were up by 7 per cent to reach USD 1202 million in 2021-22 against USD 1120 million in the previous year.

 

Exports of other processed food items grew by 34 per cent during 2021-22 to touch USD 1164 million against USD 866 million in 2020-21. The cashew exports also grew by 7 per cent to USD 452 million in 2021-22 from USD 420 million in the previous year. Floriculture products reported a rise of 33 per cent when it touched USD 103 million in 2021-22 from USD 77 million in 2020-21.

 

The Centre has also taken several initiatives to promote geographical indications (GI) registered with agricultural and processed food products in India by organizing virtual Buyer Seller Meets on agricultural and food products with the major importing countries across the world.

 

In order to ensure seamless quality certification of products to be exported, the government has recognized 220 labs across India to provide services of testing to a wide range of products to exporters.

 

Centre, through APEDA also assists in the up-gradation and strengthening of recognized laboratories for export testing and residue monitoring plans. APEDA also provides assistance under the financial assistance schemes of infrastructure development, quality improvement and market development for boosting the export of agricultural products.

 

The participation of exporters in the International Trade Fairs was organized, which provides a platform for the exporters to market their food products in the global marketplace. National events like AAHAR, Organic World Congress, BioFach India etc. were organized to promote agri-exports.

 

Government, through the aegis of APEDA also initiates the registration of pack-houses for horticulture products for meeting the quality requirements of the international market. Registration of export units for peanut shelling, grading and processing units, for instance, is to ensure quality adherence for the EU and non-EU countries.

 

APEDA also carries out registration of meat processing plants and abattoirs for ensuring compliance with global food safety and quality requirements. Another key initiative includes the development and implementation of traceability systems that ensure the food safety and quality compliances of the importing countries.

Sources said in response to a clarification from Egypt, India has said the wheat Ergot plant disease has not been reported anywhere in the country.

 

An official delegation from Egypt, one of the biggest importers of wheat, will be visiting India from Monday to explore possibilities of sourcing grain from India to meet domestic demand.

 

Officials from agriculture quarantine and pest risk analysis of Egypt, which imported 6.1 million tonne (mt) of wheat in 2021, will visit processing units, port facilities and farms in Maharashtra, Madhya Pradesh and Punjab during their five-day visit.

 

Sources told FE that Egypt, which had imported around 81% of its wheat imports estimated to be close to $2 billion from Russia and Ukraine in 2021, has communicated to Indian authorities it would like to procure a significant amount of wheat from India. India is not on the list of accredited countries which can export wheat to Egypt.

 

The Agricultural and Processed Food Products Exports Development Authority (APEDA) has communicated to India’s wheat exporters to register with Egypt’s public procurement agency, the General Authority of Supplies and Commodities, which manages wheat and sugar imports to the north African country.

 

Sources said in response to a clarification from Egypt, India has said the wheat Ergot plant disease has not been reported anywhere in the country.

 

The Egyptian delegation’s visit to India will follow trade talks and meetings with various wheat-importing countries that are exploring possibilities of sourcing the grain from alternate sources as supplies have been disrupted because of the Russia-Ukraine conflict. India is aiming to export a record 10 million tonne of wheat in 2022-23 amid rising global demand.

 

“We will be taking a trade delegation to Morocco, Tunisia, Indonesia, Philippines, Thailand, Vietnam, Turkey, Algeria and Lebanon for exploring possibilities of boosting wheat exports from India,” M Angamuthu, chairman, APEDA said.

 

Meanwhile, the Andhra Pradesh Maritime Board, which operates Kakinada anchorage port, mostly used for rice exports, has communicated that the facility could be used for wheat exports as well. Currently, a bulk of India’s wheat exports are sourced from Madhya Pradesh because of its proximity to the Kandla and Mundra ports.

 

According to estimates by the Directorate General of Foreign Trade, India has exported a record 7 mt of wheat in 2021-22, which is valued at $2.05 billion. Around 50% of the wheat was exported to Bangladesh in the last fiscal.

 

India has been the world’s largest rice exporter in the last decade with export earnings that stood at a record $9.6 billion in 2021-22. But the country had been a relatively marginal player in global wheat trade until 2020-21.

 

APEDA, which functions under the commerce ministry, has set up a task force on wheat exports with representatives from various ministries, including commerce, shipping and railways, and exporters.

 

The current wheat stocks with the Food Corporation of India are roughly three times the buffer norm, and the ongoing rabi procurement will buttress the stocks. FCI has more than 23 mt of wheat stocks against a buffer norm of 7 mt on April 1.

 

Government agencies are likely to procure around 33 mt of wheat from farmers during the procurement season (April-June) for the 2022-23 marketing session against a target of 44 mt because of the possibility of surge in exports.

After two years of low export volumes, mango traders are hopeful of a good year, with some hoping that the export volume this year will cross even the average 50,000-ton export. A bumper crop in many parts of the country as well as demand from overseas markets are expected to give some momentum to exports.

 

Kesar, Baiganpalli and Alphonso are among the most popular varieties of mangoes exported from the country.

 

Sunil Pawar, managing director of Maharashtra State Agricultural Marketing Board (MSAMB), said they have given the green signal to exporters to start their operations.

 

The arrival of a phytosanitary inspector from the US, at the Vashi irradiation facility in Navi Mumbai, was a major boost for exporters.

 

Mangoes headed to the USA have to be irradiated before they are exported. For countries like Japan and those in Europe, hot water treatment and vapour heat treatment are prescribed. MSAMB officials have earmarked 50 ton of exports from the Vapour Heat Treatment facility for Japan and South Korea each, and 200 ton for European Union countries.

 

This year, a total of 18,677 mango farms have registered with the MangoNet trace-ability system of the Agricultural Products Exports Development Authority (APEDA). The largest number of registrations are from Karnataka (8,768), followed by Maharashtra (4,269) and other states.

 

The last two years have been exceptionally bad for the export sector due to Covid-19 and global supply chain constrains. The absence of an inspector, who could not travel to India due to the pandemic, had halted access to the US export market.

 

For the financial year 2020-21, India had exported 27,187.53 tonnes of mangoes, a sharp drop from the 49,658.97 ton exported in 2019-20.

 

While some mango growers in Maharashtra and Karnataka are expecting a bumper harvest this year, late flowering in some regions may lead to a gap in arrivals. Currently, in domestic markets, Alphonso mangoes from Konkan coast are trading between Rs 800-1,200/dozen. Arrivals in the major markets of Pune and Mumbai, however, have been steady.

Egypt’s public procurement agency General Authority of Supplies and Commodities (GASC) has expressed interest to import essential commodities such as wheat and sugar from India. 

 

As a first step, it has requested that firms interested in supplying wheat to Egypt register with it through any local agent or representative, the Indian embassy in Cairo has said. 

 

Indian firms will have to complete necessary procedures to be eligible to enter into a supply contract with GASC, it said. 

 

Cairo team arriving on April 10

 

According to Agricultural and Processed Food Products Export Development Authority Chairman M Angamuthu, the details have been shared with active wheat exporters 'to initiate the process of getting registration with GASC at the earliest'. 

 

Angamuthu told BusinessLine that a trade delegation from Egypt will arrive in India on April 10 to get first-hand knowledge of the country’s phytosanitary regime, wheat production systems, grading, monitoring and control.

 

Besides, the team will learn about the storage systems, private and official inspection procedures and fumigation facilities. The delegation will be in the country until April 15 and tour Punjab, Madhya Pradesh and Gujarat, he said. 

 

Change in import norms

Meanwhile, in what is being interpreted as a change in food import regulations, Cairo has said shipments into Egypt will have to comply with the requirements of the National Food Safety Authority (NFSA). Earlier, the General Organization for Export and Import Control was supervising imports. 

 

NFSA has introduced a food consignment certification programme requiring imports to be verified for meeting the stipulations of Egyptian standard requirements by a conformity assessment body such as Intertek. One of the advantages of this change is that the inspections at the destination will be reduced. 

 

Exporters said Egypt could relax quality norms to import Indian wheat. 'No official statement has been made but it is likely that the norms for Ergot (infection and toxin produced a fungus) and foreign matter in the foodgrain could be lowered,' said an exporter.

 

Delhi-based exporter Rajesh Paharia Jain said 'Egypt has no alternative but to relax the norms to get the required quantity of wheat. Till now, Egypt had been buying wheat from Russia and Ukraine.' 

 

Russia, Ukraine share

The current Russia-Ukraine conflict has disrupted supplies to Cairo, which imports over 12 million tonnes (mt) over the last few years. 

 

According to the US Department of Agriculture, Egypt has imported 62.6 mt of wheat over the last five year with Russia (59.7 per cent) and Ukraine (22.3 per cent) making up a combined 82 per cent. 

 

Cairo buys wheat from Russia and Ukraine as prices are competitive, freight costs are low and the time taken for the consignment to reach Egyptian ports compared to other exporting nations is less. Last year, Russia and Ukraine made up 77 per cent of Egypt’s total wheat imports with the private sector importing 60 per cent and the government the rest. 

 

Global prices

India has emerged as the best option in view of its competitive prices. Indian wheat prices are quoted at around $350 a tonne free-on-board (f.o.b). In comparison, the US and Europe are quoting above $410 a tonne and Argentina $396 a tonne f.o.b.

 

Currently, benchmark wheat futures on the Chicago Board of Trade are ruling at $10.35 a bushel ($380.30 a tonne). Prices have gained 10 per cent after Russian troops entered Ukraine on February 24. They have also surged on poor condition of the US crop.

 

Freight charges from India are lower compared to these destinations. On the other hand, India is trying to establish itself in the global wheat market and targeting to export at least one mt of the grain every month. 

 

Its efforts come on the heels of a record 111.32 mt wheat production this year and the Food Corporation of India holding about 20 mt of wheat as stocks against the mandatory norm of 7.6 mt of wheat, including 3 mt of strategic reserves. 

 

Last fiscal, India is estimated to have exported a record 7.5 mt of wheat. The record wheat exports has helped domestic prices rule higher than the minimum support price (MSP) of  Rs2,015 a quintal. Currently, prices in Punjab and Haryana are at par with the MSP, but they are ruling higher at around  Rs2,200 in Gujarat and Madhya Pradesh and about Rs2,050 in Uttar Pradesh. 

 

An importer group in the Philippines is believed to have bought around 55,000 tonnes of animal feed wheat expected to be sourced from India in an international tender which closed on Wednesday, European traders said on Thursday.

 

Traders estimated the purchase was made about $365 to $370 a tonne c&f for shipment in August.

 

Large volumes of low-cost Indian wheat are currently being offered in Asian markets, traders said. Offers of Australian wheat in the tender were considerably higher at around $400 a tonne c&f, they said.

 

The tender had sought between 50,000 to 55,000 tonnes of wheat for shipment in each month between July to December, but traders had not expected every shipment position to be purchased.

Jordan's state grain buyer has issued an international tender to buy 120,000 tonnes of milling wheat which can be sourced from optional origins, European traders said on Thursday.

 

The deadline for submission of price offers in the tender is said to be April 13.

 

Shipment in new tender is sought in a series of possible combinations in 60,000 tonne consignments.

 

Possible shipment combinations are between May 16-31, June 16-30, July 1-15 and July 16-31.

 

A new announcement had been expected after Jordan made no purchase in its previous tender for 120,000 tonnes of wheat on Wednesday. GRA/TEND

 

Jordan is among grain importers hit by surging prices after the war in Ukraine disrupted shipments from Ukraine and Russia, traditionally among the Middle Eastern country’s main cereals suppliers, traders say.