pitam chandra
TRANSCRIPT
ASSOCHAM Food Processing Investment Summit
AGRICULTURAL PRODUCE PROCESSING AND VALUE ADDITION
(SECONDARY AGRICULTURE) IN PRODUCTION CATCHMENTS
Pitam ChandraDirector
Central Institute of Agricultural EngineeringBhopal (MP)
January 21, 2012
PRESENT SCENARIO
• Food production in the country is adequate but it is not accessible to all.
• Inadequate income earned by about 25% population
• High post harvest losses on farm and in the supply chain linking farmers to markets (estimated annual loss of Rs. 44,000 crore)
• Inadequate livelihood opportunities in the production catchments and rural sector
PRESENT SCENARIO
• High level of women and child malnutrition• Mismatch between agri-exports and agri-
imports• Huge quantities of under-utilized crop
residues and processing by-products leading to loss of income and environmental sustainability
• Low levels of agro-processing and value addition
CROPCROP % Loss, minimum% Loss, minimum % Loss, % Loss, maximummaximum
CEREALSCEREALS 3.93.9(Sorghum)(Sorghum)
6.06.0(Wheat)(Wheat)
PULSESPULSES 4.34.3(Chickpea)(Chickpea)
6.16.1(Blackgram)(Blackgram)
OILSEEDSOILSEEDS 2.82.8(Cottonseed)(Cottonseed)
10.110.1(Groundnut)(Groundnut)
FRUITSFRUITS 5.85.8(Sapota)(Sapota)
18.018.0(Guava)(Guava)
VEGETABLESVEGETABLES 6.86.8(Cabbage)(Cabbage)
12.512.5(Tomato)(Tomato)
POST HARVEST LOSS : SUMMARYPOST HARVEST LOSS : SUMMARY
S. No
Crop
PLANTATION& SPICES
Total Loss
in Farm Operations
Farm Level Stora
ge
Godown/
warehouse/ Cold Stora
ge
Wholesale
r Level Stora
ge
Retailer
Level Stora
ge
Processing Unit
Level Stora
ge
Total Wight
ed Loss
in Stora
ge
OVERALL TOTAL LOSS
32 Arecanut 6.6 1.5 0.0 1.2 1.8 0.7 1.3 7.9
33 Cashew 0.9 0.1 0.0 0.2 0.4 0.2 0.2 1.1
34 Coconut 4.1 1.9 0.2 1.1 2.1 1.4 1.3 5.4
35 Sugarcane* 7.8 0.8 - - 0.1 1.2 0.9 8.7
36 Black Pepper
3.6 0.3 0.0 0.6 0.5 0.0 0.3 3.9
37 Chilli 3.9 0.9 0.6 1.8 2.0 1.0 1.7 5.6
38 Coriander 6.8 1.9 0.0 0.5 0.4 0.0 0.5 7.3
39 Turmeric 6.7 1.3 - 0.9 0.8 - 0.7 7.4
Loss (%) at National Level in different operations/channels
S. No
Crop
LIVESTOCK PRODUCE
Total Loss
in Farm Opera-tions
Farm Level Stor-age
God-own/ Cold Stor-age
Whol-esaler Level Stor-age
Retail-er
Level Stor-age
Processing Unit
Level Stor-age
Total Wighted Loss in Stor-
age
OVERALL TOTAL LOSS
40 Egg 4.9 0.8 - 1.7 1.7 2.1 1.7 6.6
41 Inland Fish
5.2 1.0 - 2.4 1.4 - 1.7 6.9
42 Marine Fish
1.8 - - 0.6 1.7 1.7 1.0 2.8
43 Meat 1.4 - - 1.0 0.8 - 0.9 2.3
44 Poultry Meat
2.7 - - 0.6 1.5 0.1 1.0 3.7
45 Milk 0.7 0.1 - - - 0.2 0.1 0.8
Loss (%) at National Level in different operations/channels
Global PictureHigh income countries add US$ 180 worth of value to one tonne of agricultural produce
98% of agricultural produce in high income countries undergoes industrial processing
About 30% only is processed in developing countries
Average value added per tonne in developing countries is only US$ 40
The level of processing was estimated to be
about 40%
Value Addition in Agro-processing
value addition on gross output basis 10.96 %
CRITICAL GAPS
• Agricultural produce processing and value addition technologies are financial resource and knowledge intensive leading to slow absorption of these technologies by the entrepreneurs and industries• Agro-produce processing industry is insensitive to utilizing residues and by-products for converting them into value added products
CRITICAL GAPS
• Acute shortage of trained scientific and academic manpower to propel these programmes commensurate with the country’s needs. • Agro-produce processing infrastructure needs considerable strengthening to meet the present and emerging challenges• Lack of enabling policy framework for adoption of these technologies in production catchments
To Sum Up• Reduce post harvest losses
• Enhance income and employment generation in farm and rural sectors
• Make high quality raw material available to agro-processing industries
• Make food accessible to all
• Ensure environmental sustainability
Production to consumption chain of agro-processing activities
Priorities• expanding the level of processing in the food grains, fruits &
vegetables and dairy sectors on priority,• raising the level of processing from primary/ secondary to
secondary/ tertiary for all commodities,• modernizing the food processing sectors using the efficient
equipment and processes for cost competitiveness and better quality products,
• ensuring adequate training of workers, supervisors and managers in food processing industries to ensure efficient operations and product quality,
• providing skills and knowledge to farmers for ensuring quality of produce through adoption of GAP, and
• promoting seamless value chain including post harvest management and value addition in production catchments to obviate the quantitative and qualitative losses.
Agenda of Agro-processing facilities in Production
Catchments
• Primary/ secondary processing of main produce
• By-products utilization
• Supply/cold chain management
• Custom hiring services
• Product quality and safety
• Marketing
Sourcing of Technologies
• Home grown Post Harvest Technologies
• ICAR institutes/ AICRP on PHT
• CSIR Labs
• State Agricultural Universities
Value addition to Soy, sorghum, millets and their by- products
Establishment of Commercial plant
200 (10 TPD) Bakery productsDefatted soy, sorghum and pearl millet flour
4250TOTAL
1000 (10 TPD) Dhal analogues/ Extruded snacks Defatted soy, sorghum and pearl millet flour
1000 (50 TPD) Food grade defatted soy flour Defatted soy-meal
950 (30 TPD of SPI and 70 TPD of SPC )
Soy isolates and concentrates Defatted soy-meal
400 (50TPD) Stabilized sorghum and pearl millet flour
Sorghum and pearl millet
700 (120 TPD)Defatted soymealSoybean
Cost in lakh rupeesValue added ProductPrimary produce/ product
Soy-Foods in Mid-Day Meal (MDM) Programme –
At present, the solvent extracted soy-meal is being exported. To ensure availability of defatted soy flour in enough quantity encouragement to producer/processor through financial incentives:
10% incentive to convert soy-meal into defatted soy-flour
CIAE
Soy-Foods in Mid-Day Meal (MDM) Programme –
Decision to fortify the mid-day meals with soybean defatted flour, whole soybean and other products.
Directive from the Central Ministry to State Govt. Ministry for incorporation of properly processed soybean in the mid-day-meal scheme operational in schools of different States.
CIAE