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OUTLINE

Uses of grapes

Export status of grapes

Function of grape processing board

Financial assistance by NCDC

Post harvest management schemes

Schemes for supply chain infrastructure

Ministry of Food Processing Schmes

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INTRODUCTION

A grape is a non-climacteric fruit

specifically a berry, that grows on the

perennial and deciduous woody

vines of the genus Vitis and can be

crimson, black, dark blue, yellow,

green, orange, and pink

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USES OF GRAPES

Table grapes

Wine

Raisin

Grape juice

Canned grape.

Jam

Juice

Jelly

Molasses

Grape seed

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INTERNATIONAL SCENARIOThe total world production is estimated to be about 63 million tonnes

which amounts to about 16% of total fruit production next to citrus and bananas and followed by apples  

The major world producers are Italy France Spain, U.S.A Turkey Argentina Iran, Portugal South Africa Chile.

Unlike in India, 70% of the world grape production is used for wine making. 

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INDIAN SCENARIO

Annual grape production in the country is estimated to be 1.6 million

metric tonnes and area under cultivation about 60 thousand hectares.

It accounts for only 0.02% of total fruit production and occupies the 7th

position among all fruits.

India is credited with achieving the highest productivity of grape with

the average productivity of 25 tonne per ha as against the world

average of 8 tonne per ha and also the record yield of 100 tonne per ha

in the tropical region of the country.

The conducive climate in most of the important grape growing areas,

well developed production technologies and the progressive

entrepreneurship with easy availability of institutional finance for the

crop made it possible to increase the grape production and productivity

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WORLD TRADE

About 20% of the table grape production is exported as compared to

9% export of other fruits.  The major exporters are Chile, Italy, Spain,

USA.

World trade in grapes has increased from 1 million tonnes in 1980 to

more than 2.7 million tonnes in 2010.

Chile accounted for almost half of the growth in export of grape

followed by South Africa, Argentina, Brazil and Australia. 

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GRAPE EXPORT FROM INDIA

Of the total grapes produced in the country around 1.2% is processed into

wine

The grape export from India started in the year 1991 with the initiation of

economic liberalization.

Total export is about 20,646 tonne, which amounts to only 2% of total

production.  The importers of Indian grapes are UK, Netherlands,

Germany, USA, UAE, Saudi Arabia, Quatar, Oman, Bahrain, Sri Lanka,

Bangladesh, Mauritius, Singapore and Hongkong. 

Our export to the Middle East accounts for 90% of the export while 8% is

accounted by European countries and the rest by the South East Asian

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The grape export from India started in the year 1991 with the initiation of

economic liberalization.

 Total export is about 20,646 tonne, which amounts to only 2% of total

production. 

The importers of Indian grapes are UK, Netherlands, Germany, USA,

UAE, Saudi Arabia, Quatar, Oman, Bahrain, Sri Lanka, Bangladesh,

Mauritius, Singapore and Hongkong. 

Our export to the Middle East accounts for 90% of the export while 8% is

accounted by European countries and the rest by the South East Asian

countries.

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EXPORT CONSTRAINTS

Lack of export varieties

Lack of post harvest treatment facilities such as vapor hat treatment

Lack of post houses from farm to port

High cost of obtaining export certification

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Agri Export zone for Grapes in India

Maharashtra - Nasik, Sangli, Sholapur, Satara, Ahmednagar

Andra Pradesh - Rangareddy, Medak, Mehboobnagar

GOVERNMENT SCHEMES AND POLICIES FOR

MARKETING GRAPES

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Functions of Indian Grape Processing Board

To focus on Quality up gradation, market research and information,

domestic and international promotion of Indian wine.

To foster sustainable development of Indian Wine Industry

To formulate a vision and action plan for the growth of Indian Wine

Sector including research and development for quality up gradation in

new technologies/ processes.

To set up facilities for wine analysis, testing for “quality” defining and

label standards, certification of wine and promoting Good Manufacturing

Practices (GMP)/Hazard Analysis and Critical Control Points

(HACCP)/ISO 22000; 2005

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National Cooperative Development Corporation

The National Cooperative Development Corporation supports fruit

marketing (including grapes) and processing cooperatives.

It is a unique organization plays both developmental role and

provides financial assistance for creating infrastructure for marketing,

processing and storage of fruit produce

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Financial assistance by NCDC

Strengthening of share capital base of fruit cooperatives

  Under this scheme, assistance up-to Rs.10 lakhs is provided for

increasing the capital base of the beneficiary Cooperative societies

for improving their marketing operations.

Margin money assistance for raising working capital

Assistance is provided to enable the cooperative society to raise

working capital from Banks for increasing business operations. 

This assistance is available to State Federations, District Level

Federations and Commodity Marketing Societies.

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CONT.

Assistance for purchase of transport vehicles

The Corporation provides assistance to the beneficiary societies for

purchase of transport vehicles for moving stocks from growing areas to

consuming centers.

 Construction of packing and grading sheds and godowns

For construction of godown and sheds, assistance is provided to

cooperatives at the primary and mandi level.

Construction of Cold Storages

Assistance to the cooperatives is provided for setting-up of new Ice plants

and cold storages as also for expansion/modernisation of the existing units.

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Creation of marketing infrastructure including retailing

Assistance is provided to create integrated marketing

infrastructure including that of retail outlets.

Setting up of Processing Units

Assistance is provided to Cooperatives for establishment of

Processing units of fruits and vegetables including that of other

products like Ayurvedic Medicines, Honey & Spices Processing units.

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Direct Finance by NABARD on Concessional Terms

Project funding for capital investment relating to post harvest

management, processing, storage and transportation

Export credit/packing credit

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Post Harvest Management Schemes

Various Government Organisations which provide incentives for

post harvest schemes include APEDA, NHB, MoFPI and MSEB.

APEDA has a number of schemes for providing subsidy ranging

from 25% to 50% subject to certain ceilings for development of

various infrastructures and also conducting feasibility studies,

APEDA

Infrastructure Projects Initiated by APEDA

Established NRL for exports of table grapes for testing of pesticides residue

through NRC Pune

Up-graded laboratory for AGMARK, Lab, Delhi, for testing of pesticide

residue for issuance of certificate of conformity for exports of fresh fruits

Up-graded laboratory for AGMARK, Lab, Mumbai, for testing of pesticide

residue for issuance of certificate of conformity for exports of fruits

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Upcoming Infrastructure Projects

Common multi product project (Pack House) for fruits at Ludhiana,

Punjab by MARKFED, Punjab.

Common multi product project for fruits at Fatiabad, Kolkatta (Pack

House) by WBSFPHDCL.

Setting up of integrated Pack House for fruits at Muhana, Rajasthan

Scheme for Development of Supply Chain Infrastructure

Component 1

Establishment of common infrastructure facilities at ports

/airports, integrated pack house, vapour heat treatment plants,

electronic beam processing or ionizing irradiation facilities.-100%

grant-in-aid for APEDA.

Component 2

Setting up of sheds for intermediate storage and grading,

storage/ cleaning operation of the produce - 25% of the cost of

equipment subject to a ceiling of Rs.5 lakhs per beneficiary.

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Component 3

Setting up of mechanized handling facilities including sorting,

grading, washing, waxing, ripening, packaging and palletisation - 25%

of the cost subject to a ceiling of Rs.10 lakhs per beneficiary

Component 4

Providing facilities for pre shipment treatment such as

fumigation, X-ray screening, hot water dip treatment, Water softening

Plant - 25% of the cost subject to a ceiling of Rs.25 lakh per

beneficiary

Component 5

Establishment of market facilitation centres (MFC) - 100%

assistance for APEDA recognized exporters’ associations

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National Horticulture Board Scheme

NHB has a scheme for commercialization of horticulture under which

subsidy is available to the extent of 20% of the outlay with a limit of

Rs.25 lakhs. 

NHB also operates the capital investment subsidy schem for

construction/expansion/modernisation of cold storage facilities

through NABARD/ NCDC under which  subsidy is available to the

extent of 25% of the capital cost subject to the limit of Rs.50 lakhs. 

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National Agricultural Cooperative Marketing Federation

NAFED is the apex Cooperative Marketing Organisation dealing in

procurement, distribution, export and import of selected agricultural

commodities.

NAFED is a central nodal agency of the Government for undertaking

price support operations for nonperishable commodities such as

pulses, oilseeds and for Market Intervention in perishable horticultural

items like - Potato, onion, grapes, kinnow, oranges, eggs, apples,

chillies, black pepper .

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Ministry of Food Processing Industries schemes

Establishment of post harvest infrastructure upto 50% of the capital

cost with ceiling varying from Rs.75 lakh to 200 lakh depending on

type of organisations, areas.

Assistance for dissemination of low cost preservation technology on

grant basis upto Rs.5 lakh.

Assistance to non-profit organistions / universities / NGOs / public

sector units @ 100% of the project cost and  to private sector @

33.3% of the project cost to undertake R &D projects relating to post

harvest management.

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Scheme for development of manpower requirements covers the cost

of training as also creation of infrastructure facilities and get an

assistance ranging from Rs.2 lakh to50 lakh.

Specific grant basis schemes available for marketing (Rs.10 lakh to 25

lakh); strengthening of backward linkages (Rs.10 lakh) and

participation in international exhibitions, conduct of market surveys

(Rs.3 lakh).

Scheme for setting up Modernisation/Expansion of Food Processing

Units with assistance varying from Rs.25 to 50 lakh.

Scheme for setting up of mobile fruit processing unit with assistance

up to Rs.60 lakh.

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Establishment of Marketing Infrastructure for fruits (INCLUDING GRAPES)

Terminal Markets

25% to 40% (limited to Rs.50.00 crore) as Public private

Partnership mode through competitive bidding in accordance with

operational guidelines issued separately.

Wholesale Markets

Credit linked back-ended subsidy @ 25% of the project

capital cost of project in general areas and 33.33% in case of Hilly &

Scheduled areas for individual entrepreneurs

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Rural Markets

Credit linked back-ended subsidy @ 40% of the

mandies/Direct capital cost of project in general areas and 55% in

markets case of Hilly & Scheduled areas for individual entrepreneurs.

Retail Markets/ outlets

Credit linked back-ended subsidy @ 40% 51(environmentally

controlled) of the capital cost of project in general areas and 55% in

case of Hilly & Scheduled areas for individual entrepreneurs

Functional Infrastructure for Packing , Grading & Sorting

Credit linked back-ended subsidy @ 40% of the Infrastructure:

for capital cost of project in general areas and 55 % in collection,

sorting/ case of Hilly & Scheduled areas for individual grading, packing

units entrepreneurs.

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Market Information Service scheme for fruit Crops

To generate information on wholesale prices, arrivals and trends in

various markets of the country for important fruits and also on retail

prices for increased number of selected markets.

To analyze the trends of arrivals, prices and other related factors of the

selected fruit and vegetables such as stock in storage, crop stand etc

and generate Market Intelligence Reports

To establish a nation-wide communication network for speedy

collection and dissemination of market information data for its efficient

and timely utilization.

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To prepare farmers’ advisory and issue the same for the benefit of

producer farmers especially by making use of statistics so generated

and collected for optimizing returns to the producers

To collect and disseminate information on international prices

prevailing in potential foreign markets

To collect and compile horticulture database and strengthen existing

system of Crop Estimation Survey-Fruits

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Maha Grapes in Maharastra

Maha Grapes came into existence in 1991. It owes its origins to the

Maharashtra State Agricultural Marketing Board (MSAMB).

The objective of the MSAMB was to promote the marketing of fruits by

assisting farmers technically and financially and linking them to new

domestic and international markets.

The creation of Maha Grapes is unique in other ways, as it is the first of

its kind to make use of a special provision under section 20(1) of

Maharashtra Cooperative Act.

Maha Grapes is the first organization in the State to have the

characteristics of both a cooperative and a private sector partnership firm.

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The role of Maha Grapes as a marketing entity itself is a policy

innovation. Producer organizations might not be most adept at

marketing their products and thus the need for a specialized

marketing entity.

MahaGrapes could establish itself easily and firmly as it built upon the

existing Grape Growers’ Association (Draksha Bagitdar Sangha).

The Sangha has been in existence since the 1950’s and boasts of

20,000 member farmers

Also, called the Prayog Parivar meaning family for experimenting, it

has since organized the grape growing farmers to encourage the

improvement of produce quality and facilitate marketing domestically

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Assesment

What are the uses of Grapes?

What are the functions carried by Indian Grape Processing Board ?

How much scale of finance given NCDC ?

What are the schemes for Supply Chain Management infrastructure?

what are the Establishments of Marketing Infrastructure for fruits ?

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REFERENCES

Department of Agriculture and Co-operation , Ministry of Agriculture,

Govt. of India., New Delhi.

Agricultural & Processed Food Products Export Development

Authority (APEDA), New Delhi.

Ministry of commerce and Industries , Govt. of India., New Delhi.

www.nabard.org

www.apeda.gov.in

www. indianwine.com

www.igovernment.in

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