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Role of Agro-industry in Reducing Food

Losses in the Middle East

and North Africa Region

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Role of Agro-industry in Reducing Food

Losses in the Middle East and North Africa

Region

Prepared by:

Dr. Adel A. Kader

Professor Emeritus of Postharvest Physiology

Department of Plant Sciences

University of California, Davis, California 95616, USA

Dr. Lisa Kitinoja

Postharvest Training Specialist

The Postharvest Education Foundation

La Pine, Oregon 97739, USA

Dr. Awad M. Hussein

Professor Emeritus of Postharvest Physiology

Alexandria Postharvest Center (APHC)

Department of Pomology

Faculty of Agriculture, Alexandria University

Alexandria, Egypt

Dr. Omar Abdin

Assistant Professor of Crop Science

Alexandria University

Alexandria, Egypt

Dr. Amer Jabarin

Associate Professor of Agricultural Economics

Dept. of Agricultural Economics and Agribusiness

University of Jordan

Amman, Jordan

Dr. Ahmed E. Sidahmed

Associate Director for Development and Partnership

International Programs Office, CAES, University of California, Davis, California 95616; USA

Agro industry and Infrastructure

Food and Agriculture Organization of the United Nations

Regional Office for the Near East,

Cairo, Egypt

February 2012

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Table of Contents

List of Authors……………………………………………………………………………………2

Executive Summary (Adel A. Kader)…………………………………………………………….5

1. General background on 19 MENA countries in terms of natural and financial resources, food

security and poverty index (Amer Jabarin)………………………………………………….9

2. Estimates and causes of losses during postharvest handling, processing, storage, and

distribution of locally produced and imported agronomic food crops (cereals, legumes). (Omar

Abdin)……………………………………………………………………………………………16

3. Estimates and causes of losses during postharvest handling, processing, storage, and

distribution of locally produced and imported horticultural food crops (fruits and vegetables).

(Awad M. Hussein)………………………………………………………………………………29

4. Estimates and causes of losses during postharvest handling, processing, storage, and

distribution of locally produced and imported animal source foods (dairy, meat, poultry, fish).

(Ahmed E. Sidahmed)……………………………………………………………………………36

5. Socioeconomic factors affecting postharvest losses and food waste, and scale appropriate

strategies for overcoming these factors. (Lisa Kitinoja) ………………..……………………….53

6. References……………………………………………………………………………………..77

Appendices

A. Biographical statements of authors…………………………………………………………...89

B. Background statistics on the MENA region…………………………………………………..93

C. The Gini Index………………………………………………………………………………100

D. Production and trade of animal source foods in the MENA region…………………………101

E. Morocco Traceability decrees……………………………………………………………….104

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Executive Summary

The Middle East and North Africa (MENA) region includes nineteen countries spread over

Asia and Africa including Algeria, Bahrain, Egypt, Iran, Iraq, Jordan, Kuwait, Lebanon, Libya,

Mauritania, Morocco, Oman, Qatar, Saudi Arabia, Syria, Tunisia, UAE, West Bank & Gaza, and

Yemen. In terms of natural resources, the vast majority of MENA countries suffer from severe

water shortage and deterioration of water quality due to many reasons including high population

growth rate, urbanization, traditional agricultural sectors which produce traditional low value

agricultural products that demand huge volumes of water, and inefficient marketing and food

processing systems. About seventy percent of water resources in the MENA region are used for

irrigation, with declining supplies.

The MENA region is characterized as one of the major food importers in the world. The

production of cereals, the major staple food, is the lowest among all of the major crops. Also the

harvested area of cereals represents only about 3% of the total harvested area of all crops. As a

result, the MENA region is considered as the main importer of cereals in the world. In 2008, the

value of imported cereals by MENA countries amounted to US$ 28.7 billion. Iran, Egypt,

Algeria and Saudi Arabia are the largest importers of cereals in the region. In 2008, cereals

imports formed 35 percent of the total agricultural imports of the MENA region. The region‟s

dependence on imports continues to increase. In general, it is difficult to find reliable data about

the agro-industries in the region and this situation must be changed to facilitate assessment of

needs to improve quality of the produced products and to plan future developments of agro-

industries to increase self-sufficiency within the region.

Postharvest technology is an inter-disciplinary science and includes techniques applied to

agricultural produce after harvesting for its protection, conservation, processing, packaging,

distribution, marketing and utilization to meet the food and nutritional requirements of

consumers. Preventing postharvest losses, improving nutrition and adding value to food products

will generate jobs, reduce poverty and enhance food security and the growth of economy by

improving the livelihoods of people. Studies of postharvest food losses can be based on surveys

or sampling at different points between the production and consumption sites. Both quantitative

losses (loss in weight) and qualitative losses (loss in sensory quality, nutritional value, and

market value due to reduced grade) should be determined in all MENA countries. Any attempt to

reduce food losses must begin with identifying the location, magnitude, and causes of the losses

to be able to select the most appropriate intervention to reduce the losses.

Although only limited data on the magnitude of food losses in the MENA region are available, it

is generally estimated that about 15% of cereals and legumes and 33% of perishable horticultural

crops are never consumed by humans. Gustavsson et al (2011) provide a summary of current

estimated food losses by region, and report losses for the food supply chain (FSC) in North

Africa, West and Central Asia during postharvest period (including handling, packaging, storage,

processing and distribution) to be 14 to 19% for grains, 26% for roots and tubers, 16% for

oilseeds and pulses, 45% for fruits and vegetables, 13% for meats, 28% for fish and seafoods,

and 18% for dairy products. A diagram of where losses occur in the food supply chain is shown

in Figure 0.1. Reducing these losses in order to increase food availability and food security for

the MENA population is much less costly than increasing production by expanding production

area and/or productivity per hectare and/or by increasing imports.

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Figure 0.1. Diagram of where losses occur in the food supply chain (developed by Lisa Kitinoja

and Adel Kader)

Storage practices and facilities in the MENA region on the whole remain woefully inadequate.

Strategies for reducing losses and waste of agronomic food crops include: (1) drying to reduce

moisture content to below 8 to 14%, depending on the commodity ; (2) effective insect dis-

infestation and protection against re-infestation; (3) storage temperature management (storage

potential doubles for every 5 ºC reduction in temperature); (4) maintaining storage relative

humidity in equilibrium with moisture content of the product to reduce the incidence of molds;

and (5) proper sanitation procedures to minimize microbial contamination and avoid mycotoxin

formation. International development organizations and governments should give highest priority

to improving storage facilities of agronomic food crops at the national, regional, village, and

household levels in all MENA countries.

Availability and efficient use of the cold chain for perishable foods (i.e. fruits, vegetables, dairy

products, meats and fish) is much more evident in developed countries than in developing

countries, including MENA countries. Unreliability of the power supply, lack of proper

maintenance, and inefficiency of utilization of cold storage and refrigerated transport facilities

are among the reasons for failure of the cold chain in developing countries. Cost of providing the

cold chain per ton of produce depends on energy costs plus utilization efficiency of the facilities

throughout the year. The extent of proper use of the cold chain is generally greater for exported

food products than for those that are handled through modern retail distribution channels, while

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food products that are handled through the traditional marketing channels are often exposed to a

broken or no cold chain.

Strategies for reducing postharvest losses and waste of perishable foods in developing countries

include: (1) application of current knowledge to improve the food handling systems and assure

food quality and safety; (2) removing the socioeconomic constraints, such as inadequacies of

infrastructure, poor storage facilities and marketing systems, and weak research and development

capacity; and (3) overcoming the limitations of small-scale operations by encouraging

consolidation and vertical integration among producers and marketers of each commodity or

group of commodities.

The following are some examples of the recommended scale-appropriate loss reduction

interventions for horticultural food crops: (1) improved containers to better protect produce from

damage; (2) providing shade to reduce temperature and provide a natural source of cooling; (3)

improved curing of root and tuber crops; (4) use of water disinfection methods and other

sanitation procedures; (5) use of cost-effective cooling methods, such as evaporative forced air

cooling, and hydro-cooling with well water; (6) effective insect control (dis-infestation and

protection against re-infestation); (7) improved small scale storage methods such as a cold room

with a CoolBot-controlled air conditioner; and (8) improved food processing and packaging

methods.

The following are highlights of actions and strategies that could assist in the reduction of waste

and loss of animal source foods: (1) Promote the development of effective value adding steps on

the commodity value chain (input, breeding, feeding, health improvement, technology adoption,

market information, micro-finance) that provide sufficient incentives to the producers through

enhanced competitiveness and access to markets; and (2) Adopt better technologies to enhance

the effectiveness and reliability of the food supply chain (processing, transport, distribution and

consumption). Much of the needed infrastructure, both physical and institutional, remains to be

developed before food losses and food waste will be reduced. Examples include weather

forecast messages to growers, fishermen and pastoralists; community supported rural roads, cold

chains and other kinds of appropriate infrastructure for linking producer to markets.

There are many socio-economic and cultural factors affecting implementation of changes in

postharvest technology aimed at reducing food waste along the value chain. How best to address

these factors while taking into account the social and cultural norms of the MENA region is a

key element in any agro-industrial development plan. Specifics will vary by country and by type

and market value of food product, so a first step will be to better characterize local food sector

development needs on a case by case basis.

Food security and food loss reduction efforts go hand in hand with promoting improved food

safety. Recommendations include: (1) assure consumer health and food safety through

compliance with public health, food safety and other sanitary and phytosanitary standards (SPS)

requirements; (2) establish policies and resources for control and prevention of trans-boundary

animal diseases (cross border control and certification and zoonotic; (3) training and awareness

building of the producers, food supply chain (FSC) stakeholders about food hygiene, handling

and safety measures; (4) animal feed improvement (i.e. quality, safety e.g. dry fish feeding for

cattle in southern Yemen and the coast of Oman, preparation of fishmeal for poultry feeding); (5)

creation of salmonella free environments for the poultry sector; and mastitis free environment for

the dairy sector; (6) promote the development of appropriate cold chain infrastructure; and (7)

establish and implement an effective traceability system for all food products.

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Future actions needed to reduce postharvest food losses and enhance food security in the MENA

region include the following:

1. Survey the magnitude and causes of losses in quality and quantity during harvesting and postharvest handling of major commodities and food products in each country in the

region (establish baseline data).

2. Encourage coordination and collaboration among FAO and other international organizations with national organizations in capacity building activities within the

MENA region.

3. Assess locally available tools and facilities for harvesting, packaging, transport, storage, processing and marketing of each commodity.

4. Simplify and harmonize food quality and safety standards and their enforcement within the MENA region.

5. Determine return on investment of application of improved technologies intended to reduce losses, maintain quality and food safety.

6. Disseminate information on scale appropriate postharvest practices and technologies to a wide range of target audiences and end users.

7. Identify problems in the agro-industrial sector which will need further problem-solving research to improve the quality of the products up to international standards and to

produce new products that meet consumer demands.

8. Support activities related to data collection, analysis, and evaluation aimed at continually improving the agro-industries in the MENA region.

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1. General background on 19 MENA countries in terms of natural and

financial resources, food security, and poverty index

1.1 Introduction

The MENA region includes nineteen (19) countries spread over Asia and Africa and includes

Algeria, Bahrain, Egypt, Iran, Iraq, Jordan, Kuwait, Lebanon, Libya, Mauritania, Morocco,

Oman, Qatar, Saudi Arabia, Syria, Tunisia, UAE, West Bank & Gaza, and Yemen. The region is

currently facing serious populist uprisings that are affecting the whole economic and social

structure of the region. The countries of the region share many common political and

socioeconomic characteristics, namely highly suppressive political systems led by long-serving

leaders and citizen anger against corruption. Demographic statistics show that about one fourth

of the population is poor and around seven percent are undernourished.

In terms of natural resources, the vast majority of MENA countries suffer from severe water

shortage and deterioration of water quality due to many reasons including high population

growth rate, urbanization, traditional agricultural sectors which produce traditional low value

agricultural products that demand huge volumes of water, and inefficient marketing and food

processing systems. About seventy percent of the water resources in the Middle East and North

Africa (MENA) region are used for irrigation, with declining supplies.

This section of the report focuses on the general background of the 19 countries in terms of

natural and financial resources, food security and poverty index.

1.2 Natural and financial resources

The total area of the MENA region countries is 1,222 million hectares. There is a huge variation

among the 19 countries of the region in terms of area. Bahrain is the smallest country with only

76 thousand hectares, while Algeria is the largest country in the region with 238 million hectares

(refer to Appendix B for a complete list in table B.1).

The development in the area devoted to agricultural land in the targeted MENA region countries

during the last two decades shows a huge variation in the agricultural lands among the different

countries. In general, the total area of agricultural land increased from 371 million hectares in

1990 to 413 million hectares in 2008 (FAO, 2010). According to these statistics, Saudi Arabia

possesses the largest amount of agricultural land while Bahrain has the smallest. (Refer to

Appendix B for a complete list in table B.2).

Despite the huge area of agricultural lands, the total arable land consists of only one fourth of the

total agricultural lands. Arable land are defined as land that can be used for growing crops, has

good production resources in terms of water supply and richness in nutrients, and is located in an

area of suitable climatic conditions. The total area of the arable lands in the region is estimated

at 55.5 million hectares as of 2008 (FAO, 2010). Table B.3 (see Appendix B) indicates that Iran

has almost one third of the total arable land in the region followed by Morocco.

1.3 Demographic characteristics

One of the demographic characteristics of the MENA region is the high population growth and

fertility rates. The total population has increased from 285 million in the year 1995 to 380

million in 2010. The region‟s total population is expected to increase to new record number of

445 and 502 million, by the years 2020 and 2030 respectively. This would mean putting too

much pressure on the limited natural resources of the region to produce more food and to meet

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the increasing demand on water for the other purposes. Actual and projected population for the

19 countries of MENA region have been reported by FAO Stats (refer to Appendix B for a

complete list in table B.4). Egypt‟s population is the highest followed by Iran. The population of

the two countries represents 42 percent of the total population of the region.

Agricultural population in the MENA region represents about 21 percent of the total population

as of 2010. The ratio varies among the different countries based on the total area of arable lands

and the level of urbanization. Egypt has the largest number of agricultural population while

Bahrain and Qatar have the lowest (refer to Appendix B for a complete list in table B.5). One of

the major challenges facing the region in meeting food demands is the lack of the skilled

agricultural labor force needed for adapting new and advanced technologies. Agricultural

education, at all levels, is still lagging behind advanced education in the MENA region as it is in

most developing countries.

1.4 Employment and agricultural labor force

The level of unemployment is a major concern facing all countries and decision makers in the

MENA region, especially non-oil producing countries. FAO Stats provides the actual and

projected total economically active population distributed by country (refer to Appendix B for a

complete list in table B.6). In 2010, the total economically active labor force amounted to 135

million individuals. Over the next 10 years an additional 29 million new laborers are expected to

enter the labor market in MENA region which means additional challenges to the current

economies. Statistics show that in 2010 the agricultural labor force formed about 20% of the total

employed individuals in the region. Iran and Egypt are the leading countries in terms of labor

force. The two countries account for 42 percent of the total labor force in the region.

An alarming signal from the records of the International Labor Organization (ILO) indicates that

the MENA region witnessed the highest unemployment rates among the developing regions both

in the 1990s and during last decade. Despite the lack of detailed numbers on unemployment in

many countries of the region, the unemployment rate has been hovering around 12%. Although it

is hard to conduct direct comparisons among the different countries due to the differences in

measurement tools used, in some countries of disturbance (i.e. Iraq, Palestine and Lebanon) the

employment rate exceeded the 15% level as indicated in table B.7. (See Appendix B)

1.5 Agricultural Production

The level of agricultural production in the MENA region varies from one country to another

depending on the land and water resources, climatic conditions, skilled labor, capital investments

and other socioeconomic factors. The available statistics classify agricultural production in the

region into the following groups:

Hazelnuts, with shell

Cereals

Citrus Fruit

Coarse Grain

Fiber Crops Primary

Fruit excl Melons

Oil crops Primary

Pulses

Roots and Tubers

Vegetables & Melons

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Table 1.1 demonstrates the trend of agricultural production of the above mentioned agricultural

groups. The table indicates that the production of these groups increased from 153 million tons in

1995 to 233 million tons in 2009. Egypt, Iran and Morocco are the largest agricultural producers

in the MENA region. However, the pace of increase in agricultural production didn‟t increase at

the same rate of population growth and consequently the food gap was enlarging during the last

two decades.

Table 1.1. Total production of main agricultural commodities in MENA region during 1995-

2009 (1000 tonnes) 1995 2000 2005 2006 2007 2008 2009

Algeria 8,084 6,835 14,065 14,859 13,285 11,347 18,753

Bahrain 35 34 28 40 38 37 39

Egypt 44,023 55,042 62,486 64,405 64,525 67,287 70,145

Iran (Islamic Republic of) 46,191 47,793 68,180 67,621 70,909 55,671 66,563

Iraq 9,245 7,502 10,638 10,803 10,093 7,706 8,006

Jordan 1,853 1,475 2,030 2,036 1,860 1,894 2,034

Kuwait 121 207 271 288 290 284 293

Lebanon 3,268 2,526 2,876 2,650 2,900 2,937 2,986

Libyan Arab Jamahiriya 1,595 1,837 2,006 1,914 1,962 1,955 2,032

Mauritania 474 360 352 346 366 381 408

Morocco 8,808 11,175 16,140 24,147 14,835 19,184 26,860

Occupied Palestinian Territory 573 1,082 1,066 1,086 1,059 1,105 1,179

Oman 440 593 501 498 538 556 596

Qatar 70 89 59 73 89 86 93

Saudi Arabia 7,520 5,799 7,790 7,877 7,809 7,413 6,695

Syrian Arab Republic 13,036 9,705 13,457 14,887 13,214 10,393 13,659

Tunisia 3,636 5,217 6,977 6,623 7,293 6,630 8,344

United Arab Emirates 1,024 3,962 1,261 1,246 1,253 1,236 1,260

Yemen 2,675 2,938 2,854 3,488 4,068 3,564 3,468

Total 152,669 164,170 213,036 224,888 216,387 199,666 233,412 Source: Online FAOSTAT, 2011

Citrus fruits are the leading agricultural crop produced in the MENA region. As indicated in

figure 1.1, Citrus production forms 44% of the total agricultural production of the region

followed by primary oil crops. Cereals, the basic food staple in the region, are the least produced

crops. The majority of the citrus trees is under irrigation and consumes lots of water. Iran is the

leading country in citrus production (33%) followed by Egypt (26%) and then Morocco (13%).

Figure 1.1. Agricultural production in the MENA region in 2009 by product (in 1000 MT)

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Figure 1.2 shows the acreage of main crops produced in MENA region in 2009. As in the case of

production, citrus is the leading crop in cultivated area. Citrus occupies 29% of the total

cultivated area in the region followed by fiber crops with 11%.

Figure 1.2. Acreage of main crops in the MENA region in 2009 by product (in M ha)

The MENA region is characterized as one of the major food importers in the world. As indicated

above, the production of cereals, the major staple food is the lowest among all of the major

crops. Also the harvested area represents about 3 percent of the total harvested area in all crops.

As a result, the MENA region is considered as the main importer of cereals in the world. In

2008, the value of imported cereals by MENA countries amounted to 28.7 billion US$. Iran,

Egypt, Algeria and Saudi Arabia are the largest importers of cereals in the region. In the year

2008, cereal imports were 35% of the total agricultural imports of the MENA region. Figure 1.3

demonstrates the region imports trends of all agricultural imports over the period 1995-2008. It is

very clear from the graph that the region is becoming more dependent on imports, especially in

the recent years.

Figure 1.3. Total agricultural imports in the MENA region 1995-2008 (M$)

Courtiers of the MENA region also export some agricultural products (Figure 1.4). The total

exports amounted to 15.4 billion tones in 2008 of which fresh fruits and vegetables represented

about one third. The major horticultural exporters are Egypt, Morocco and Jordan.

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Figure 1.4. Total agricultural exports of the MENA region 1995-2008 (M$)

Using the same sets of agricultural trade data, the gap between imports and exports can be

estimated. Figure 1.5 shows that the gap has been widening during the last decade and reached to

a new record in 2008. The gap amounted to an alarming level of 66 billion US$ in 2008. The

main reason for this gap is the continuous increase in the pace of imports at a rate higher than the

increase in exports rate.

Figure 1.5. Total agricultural gap in the MENA region 1995-2008 (M$)

1.6 Poverty and Inequalities

The issue of poverty and inequality can be partially explained by analyzing income and

expenditure of a given country. However, there are other factors believed to play a role in the

level of poverty in the MENA region. Income and expenditure are monetary welfare measures

that require additional socioeconomic indicators of well being in order to fully understand the

situation and to draw conclusions. The indictors may include life expectancy at birth, maternal

and child health, nutritional status, access to health facilities, literacy, school enrollment, female

education attainment, etc. Published social indicators by many of national and international

organizations show that the situation in the MENA region has remarkably improved during the

last two decades.

Poverty is observed through the measuring the well-being of a population which depends on both

monetary and non-monetary variables. A justifiable measure of poverty should depend on

income indicators as well as non-income indicators that may help in identifying aspects of

welfare not captured by incomes.

Table 1.2 demonstrates the per capita Gross Domestic Product (GDP) in constant prices of 2000

for all countries in the MENA region. The table shows a huge variation in the per capita income

between the different countries. On average of the period 2005-2009, Qatar ranked first with a

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per capita income of 34,700 US$ while the lowest was Mauritania at 473 US$. The shaded rows

in the table mark the oil producing countries in the region. It should be stated here, that the per

capita GDP does not correctly reflect the actual per capita income since it cannot take into

account the inequalities among the different individuals in the society.

Table 1.2. Per capita GDP for MENA countries in constant prices of 2000 US$ (1995-2009)

Country Name 1995 2000 2005 2006 2007 2008 2009 Average

(05-09)

Qatar

28,793 29,878 31,357 34,960 38,960 38,466 34,724

Kuwait 19,048 17,223 22,070 22,646 23,072

22,596

Bahrain 11,170 12,262 14,719 15,369 16,299 16,968

15,839

Saudi Arabia 9,085 9,128 9,816 9,887 9,854 10,035 9,863 9,891

Oman 7,749 8,271 9,024 9,334 9,763 10,779

9,725

Libya

6,340 7,009 7,272 7,554 7,685 7,692 7,442

Lebanon 4,605 4,576 5,085 5,064 5,403 5,859 6,342 5,551

Tunisia 1,651 2,033 2,407 2,518 2,652 2,747 2,805 2,626

Jordan 1,723 1,764 2,130 2,245 2,378 2,499 2,497 2,350

Algeria 1,662 1,796 2,117 2,128 2,159 2,177 2,190 2,154

Iran, Islamic Rep. 1,409 1,584 1,924 2,008 2,137 2,158 2,168 2,079

Egypt, Arab Rep. 1,214 1,423 1,539 1,614 1,697 1,786 1,836 1,694

Morocco 1,128 1,270 1,526 1,624 1,648 1,718 1,781 1,659

Syrian Arab

Republic 1,181 1,170 1,242 1,274 1,295 1,330 1,350 1,298

West Bank and

Gaza 1,246 1,369 1,056

1,056

Iraq

1,030 668 691 684 731 743 703

Yemen, Rep. 465 519 552 554 556 560 565 557

Mauritania 420 415 441 514 472 478 462 473

Source: Online World Development Indicators (WDI), World Bank 2011

The Gini index is usually used in economic and social research to measure income inequalities

within a country and to compare income inequality between countries and between separate

geographical regions of a country, where higher Gini coefficients indicate more unequal

distribution, with 100 corresponding to complete inequality. Appendix C provides more details

on the Gini index and how it is calculated.

The Gini index for some of the countries in the MENA region was obtained from the World

Development Indicator (WDI) database of the World Bank. The index is available only for a few

countries in scattered years. Table 1.3 shows the Gini index for Algeria, Egypt, Iran Jordan,

Mauritania, Morocco, Tunisia and Yemen. The values of the index for these MENA countries

are all in the low to middle range, falling between 33.4 and 44.5.

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Table 1.3. Gini Index for some MENA countries

Country GINI Index

Algeria 35.3

Egypt, Arab Rep. 33.5

Iran, Islamic Rep. 44.5

Jordan 38.8

Mauritania 39.0

Morocco 40.0

Tunisia 40.0

Yemen, Rep. 33.4

Source: Online World Development Indicators (WDI), World Bank 2011a

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2. Estimates and causes of losses during postharvest handling, processing,

storage, and distribution of locally produced and imported agronomic food

crops (cereals, legumes)

2.1 Introduction

World demand of food is on the rise not only in order to cover the increase in population growth

but also to meet the needs of increased per capita consumption. In a report done by the

International Institute for Strategic Studies (IISS) "Bread and Protests; the return of high food

prices" (March 2011), it was noted that as a consequence of the limited resources of land and

water in the MENA region and the rise in demand due to population growth, the region imports

more food per capita than any other, accounting for 25–50% of national consumption. MENA is

now the world's largest cereal-importing area by tonnage (International Food Policy Research

Institute-IFPRI, 2010). Given an annual population growth rate in MENA region of 1.7% and the

limited available resources from land and water, the gap between food consumption and food

demand will widen unless measures are taken to maintain the gap at its current state or to work

on reducing it. Consumer habits are also shifting from staple food products to higher-value food

products, and given the limited resources of land and water, this will increase the region's food

trade deficit. This together with the recent climate changes that are happening across the globe

caused a surge in food prices in 2007-08 and again in 2010-11.

The increasing demand on food will have to be compensated with more production, however

given the sometimes limited resources of land and water this could be a challenge. Efforts to

close the gap between production and consumption have historically been focused on increasing

agricultural land area and increasing food productivity through improving the yield per unit area,

while reducing the losses that occur in the supply chain of food grain was a secondary approach.

Significant quantities of food produced in developing countries are lost pre-harvest and post

harvest. Securing food will require several strategic choices through better crop yields and

reduction in the postharvest handling losses of food along the supply chain until it reaches the

consumer.

Given the importance of grains and other field crops in production and food security and the

urgent need to cover the gap between supply and demand, MENA countries must adopt

measures to reduce the losses of locally produced and imported food crops. Reduction in the

postharvest losses not only will save on the availability of the food but will also improve the

efficiency of production. Given the partial liberalization of the market in the MENA region and

the rising food prices this will offer the private sector an opportunity to capitalize on the

opportunities to invest in the postharvest supply chain of grains (e.g. dryers, silos, mills, hermetic

storage facilities and trucks).

2.2. Estimates of Postharvest Losses

A study by the World Bank estimated food grain losses to be between 7-10% from the field to

the market, and another 4-5% along the full supply chain (World Bank,2011b). These losses in

the MENA region would translate to an annual loss of 12-16 million tons of grain, which is

enough to feed between 70 and 100 million people. The main causes of these losses were due to

the improper methods of harvesting, storage, transportation and processing of the crop.

According to Harris and Lindblad (1978) identifying new technology and improving existing

ones will be the key to reducing postharvest grain losses. The lack of finance and adequate

training are two key constraints as well as political and cultural constraints in some cases. As

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early as 1975 an FAO subcommittee identified four constraints that might hinder the use of

available technology to reduce on-farm losses: (1) Lack of arrangement for producing the

necessary inputs; (2) Inadequate distribution channels for the necessary inputs; (3) Lack of

purchasing power or credit arrangements for the farmers to buy the inputs; and (4) Inadequate

information for the farmer on how to use the inputs.

Despite some improvements, farm losses are still significant today. Losses vary by crop, variety,

year, infestation magnitude, storage type, drying method, handling techniques, transportation

method and distribution system. The diagram in figure 2.1 shows examples of postharvest losses

for grains at the farm level. Given such enormous variability, reliable statistics on the magnitude

of postharvest losses are not readily available.

Figure 2.1. Losses in the food grains system (Courtesy of American Association of Cereal

Chemists).

The value chain of field crops is composed of a series of interconnected activities that includes

harvesting, drying, threshing, storing, milling, storing, packing, transportation and marketing. A

loss in any link of the chain contributes to the total losses encountered. Postharvest losses can

be quantitative or qualitative. Quantitative losses are physical loss of a product in any part of the

chain. Qualitative losses are losses in quality, market value or nutritional value, or in the worst

case, of a having a non-marketable product that is not fit for human consumption.

Postharvest losses lead to losses in market opportunities and nutritional value through the

reduction in food quality and food safety. Good postharvest management can reduce food losses

18

and can improve the quality and safety whilst enhancing supply-chain efficiencies, rural income

and employment.

There has been a tendency to overestimate storage losses, and figures of 30% or more are

commonly reported for humid countries in Asia. By contrast the results of detailed field studies

in the MENA region suggest that under traditional storage systems losses are typically around 5

to 10% over a storage season. Storage loss figures around the 5 to 10% level should not however

be considered insignificant.

Ahmad (2003) summarizing the status of production and losses of some major strategic crops in

Iran, noted that the total production of cereal group including wheat, maize and barley in 2006-

2007 agricultural year was about 24 million tons and based on expert estimates, relative

percentage of crop losses (qualitative and quantitative) of cereal crops was about 12.9%.

Therefore the absolute losses of this group of crops were 9.8 million tons. Considering the non

linear relationship between the amount of losses and increasing production in order to

compensate for those losses, an additional amount of 3.54 million tons has to be imposed on

cereal production systems.

In this section of the report, focus is on the three main cereal crops (wheat, rice and maize) and

pulses that are produced and/or imported in the MENA region; and on the magnitude of losses

encountered during their supply chain that have a big impact on the region's economy and its

state of food security.

The MENA region imports approximately 31 million tons of wheat, 20 million tons of maize

and 4.7 million tons of milled rice, totaling approximately 55 million tons of imported grain.

This quantity needs to be handled, stored and processed in line with good material handling

practices, good storage practices and good manufacturing practices to minimize losses happening

across the chain.

Elements and major causes of grain losses across the supply chain are almost the same regardless

of the type of grain and include improper practices related to time of harvest, method of

harvesting (manual or mechanical), threshing, packaging, storage, transportation and processing

methods.

2.2.1 Wheat

Major wheat producers in MENA region are Iran with a total production of 13.5 Million tons,

Egypt (8.5 million tons), Syria (3.7 million tons), Morocco (3.8 million tons), Algeria (3.0

million tons) and the Kingdom of Saudi Arabia (2.0 million tons). The total MENA region local

production of wheat is approximately 35 million tons. If the wheat losses of 15% reported in

Iran and Egypt apply to the rest of MENA region then expected annual losses of wheat in the

MENA region could reach more than 5 million tons.

Wheat losses in Iran are estimated to be 2.38 million tons representing 15% of total wheat

production; given an estimated yield per acre of 2.38 tons an area of 1 million acres must be

planted to compensate for the grain loss.

El-Lakwah (1984) stated that the principle causes of losses in quality and quantity of stored

grains in Egypt were rodents, insects and birds. Estimated annual losses caused by rodents alone

are about 4-10% in weight of stored grain. Losses at the wheat grain collection centers at the

Principle Bank for Development and Agricultural Credit (PBDAC) ranged from 2 to 12% with a

19

mean value of 6.5%. High loss values are obtained when wheat is heavily infested by

Trogoderma granarium or under heavy rodents attack. Figure 2.2 is a photo of stored wheat in

Egypt, where it is stacked outdoors, exposed to heat, pests and dust.

Figure 2.2. Stored Wheat produced from local farms in Egypt (Photo courtesy of the World Food

Program (WFP) of the United Nations (UN), Cairo)

Results also indicate that the longer the storage period the higher the losses. Wheat in Egypt is

typically stored for 4 to 8 months. Transport losses are generally due to spillage. Figures 2.3 and

2.4 illustrate two types of spillage, from bulk loads where wind carries loose grain away during

uncovered transport, and from poor quality sacks, which can tear and results in losses of grain

during handling. Uncovered loads can also easily be subject to losses due to theft.

Estimated losses at the farmer's and merchant's level ranges from 4-10% for grain and pulses and

equals 20-50 million $US annually (El-Lakwah, 1995 unpublished). Kamel, (1977) estimated

losses due to pest damage alone to be 3.7% of the annual production of cereal grains and 2.1% of

main pulses (broad beans and lentils).

Figure 2.3. Local transportation of wheat in Egypt (Photo courtesy of the World Food Program

of the United Nations, Cairo)

20

Figure 2.4. A photo illustration of the amount of losses encountered in transportation of locally

produced wheat in Egypt (Photo courtesy of the World Food Program of the United Nations,

Cairo)

A report by Mansour and Iglesias (2011), noted that a recent study was conducted in Egypt

showing that total losses in wheat from harvesting until baking is estimated at 13 to 15 % of the

total amount of wheat consumed in Egypt, which is approximately 8 million tons. Therefore

losses could reach more than one million tons annually. According to the same report, another

important source of losses that could not be quantified is theft in the form of selling the

subsidized wheat flour in the black market to beef and dairy producers as they believe that

adding flour to the feed ration increases milk production. Low quality bread is another

contributor to loss, as it forces the consumer not to eat all the bread they buy. Some traders

collect the leftover bread, dry it and sell it by the kilo to the poultry, beef and milk breeders at

0.22$/kg.

2.2.2 Maize (Corn)

Egypt is the largest corn producer in the MENA region with an estimated 5.9 million tons of

grain followed by Iran at 2.3 million tons. The entire MENA region imports about 19.5 million

tons of maize according to the USDA, of which Algeria, Egypt and Saudi Arabia comprise more

than 57% of that figure. Any losses that could be identified and reduced will have a big impact

on availability of the corn.

Figure 2.5 shows a diagram developed by AGROTEC/UNDP/OPS in 1991 showing the type and

causes of losses along the postharvest pipeline for maize. Losses are traced back to exposure to

heat, rain, humidity and contamination which lead to a host of losses due to birds, insect and

rodent pests, spillage, molds, rancidity, sprouting, breakage and poor processing practices.

21

Fig.2.5. The postharvest pipeline for maize (Mejia, 2003)

Scarce and very limited data are found on assessing maize losses in MENA region therefore this

study also draws on data from other similar regions to try to estimate the expected losses in

maize producing countries in the MENA region.

Although grains must be harvested at a moisture content of 13 to 15% in order to avoid microbial

spoilage, maize is harvested mainly at a moisture content of 18 to 20% in Lower Egypt and at

around 15% in Upper Egypt. This is mainly due to the hotter and dryer climate of Upper Egypt

which assists the corn in drying down to 15% in the field. At the 18- 20 % moisture level the

corn must be dried as fast as possible, but unfortunately due to the non-existence of corn dryers

in Egypt, the corn is left to dry in the open air either shelled or as cobs. This long drying period

causes losses in terms of quantity and quality of the grain.

Quantity losses are due mainly to insects and bird infestation in addition to spillage, while the

quality losses are due to higher mycotoxin levels which are detrimental for the feed industry. In

response to loss of locally produced grain quality after long term storage, the local feed mills opt

for imported corn grain rather than locally produced grains. Establishing corn grain collection

centers with proper drying and storage methods at the farmer's level or at the cooperatives level

will be crucial in minimizing the level of losses and increasing the value of the corn and hence

providing better income for the farmers.

According to Mejia (2003) in an FAO report on Maize Postharvest Operations, the magnitude of

the losses during field drying and harvesting is likely the highest in the entire postharvest supply

chain of maize as it is influenced by several factors. These factors include the time of harvesting,

maize variety, weather conditions, harvesting practices in terms of time period and whether the

harvest is done by hand or machine. The aforementioned factors also make the maize grain

vulnerable to infestation by pests during storage. The magnitude of losses will differ from one

country to another depending on climate and local pest populations, and losses could be as low

as 5% or as high as 50% in heavily infected areas. Mejia (2003) estimated that average losses

during this phase range from 7 to 12 percent.

In a report published by the FAO, "Discovering the Full Story" (Grolleaud, 2002) it was

mentioned that overall maize losses in Brazil were 17.7%, comprising 4.4% for harvest, 7.8% for

storage and the remaining postharvest operations accounted for 5.5%. According to the

22

Postharvest Information System maize losses in Sudan and South Africa are 18 and 12.3%

respectively.

Ahmad (2003) reported that the estimated corn losses in Iran were a minimum of 11% of the

total maize production. Iran imported around 3.2 million tons in 2010, according to the USDA

figures, and produces locally around 2.3 million tons, so local losses could then reach

approximately 260,000 tons. Inevitably approximately 292,000 tons more production has to be

imposed to grain production system which will increase the cost of production by 12.3 percent.

Therefore through better management and reduction of losses of grain maize this increase in the

cost of production could be avoided and the extra land can be freed and allocated to other

strategic crops. In a recent study in Iran (Asadi et al. 2010) it was estimated that waste at the

harvesting stage was 0.5 - 2 %, plus there were cutter plane losses (0.5 - 1 %), masher unit

losses, (0.2 – 0.4 %) separator losses, (0.04 – 0.2 %), cleaner losses and other factors. During the

postharvest stage, waste was classified into four categories including transportation (5.5 %),

winnowing (0.2 %), storing (4 %) and converting wastes (5 %) respectively.

2.2.3 Paddy Rice

Major Rice producers in the MENA region are Egypt, Iran, Iraq and to a lesser extent

Mauritania. Figure 2.6 presents a diagram representing the main areas of losses during handling

of rice throughout the traditional and mechanized value chains.

Fig. 2.6 Rice losses across the supply chain (Hodges et al. 2010).

Several studies in Egypt documented the losses that occur in the rice supply chain. Abdelbary et

al (1981) declared that the average losses during harvesting, transportation and threshing on a

national basis were 25.3%. Estimated losses of paddy rice are 5% in Iran (Ahmad,2003). Even

this low figure translates to absolute losses of 130,000 tons; 138,000 tons more production is

required to compensate for these losses. This compensation will cost approximately 60 million

US dollars to plant the extra area.

In developing countries transportation of paddy rice from field to the processing areas is

performed mainly by humans and animals. These traditional methods of transport are related to

the harvesting and field drying activities, and very often result in high grain losses. Another

study (FAO,1982) concluded that camel shattering losses was about 4.4% for a distance of 2km.

However, threshing using tractors accounted for 3.5% losses in addition to the presence of mud

balls and a higher percentage of breakage of the milled rice according to Ramos (1982). A report

by El-Hissewy (1999) concluded that the harvest and post harvest losses in rice ranged from 8.16

23

to 28.5% and differs according to the methods used. Most of these losses were due to the use of

traditional mills.

A recent assessment of rice postharvest losses showed that manual harvesting and tractor

threshing results in 2.5 percent losses compared to 1.4 percent with combine harvest. In addition

to that, the longer the storage period the higher the breakage percentage, they found that at three

months storage breakage was 2.9 percent and rose to 5.4 percent with 12 months storage.

Moisture content of the rice grain was another important factor in increasing the breakage. A

14% moisture breakage was 5.3% compared to 9.3% at 20% moisture. Therefore pre-harvest

conditions during rice harvest are a major factor for reducing losses in rice production. A well

aerated store improved the breakage percent by 1.2 points according to the same study.

It was shown in Proceedings of the 20th Session of the International Rice Commission (2002)

that grain losses range from 5.6 to 60% if harvesting is done one week to 4 weeks beyond the

maturity date. In general the correct time to harvest is one week before the maturity date.

Threshing is another contributor in rice losses mainly due to:

Some grains remain in the panicles and a repeat threshing is required

Grains are scattered when the bundles are lifted just before threshing

Grain can stick in the mud floor

Birds and domestic fowls feed on the grain

Rice grains must be kept at a moisture level between 12 to 14% for best results during milling

and storage. However, paddy rice is often harvested with moisture content of 24 to 26%

(typically if irrigation is not managed properly or it rains at the time of harvest), and therefore it

has a high respiration rate and is susceptible to attacks by microorganisms, insects and other

pests. The heat released during the respiration process is retained in the grain resulting in losses

in terms of both quantity and quality. Therefore harvested grain with high moisture content must

be dried within 24 hours to 14% for safe storage and milling. Losses due to poor drying

practices range between 1 to 5% and good drying is crucial for minimizing postharvest losses

during storage.

The cheapest source of drying is sun-drying; however heated-air dryers speed up the drying

process, reduce handling losses, maintain grain quality and provide better control during drying.

Main causes of losses during the drying process:

Grains shattering from stalks or spilling out from bags during transport.

Birds and domestic fowl.

Spillage outside the drying area.

Over-drying, especially during sun drying.

Delayed drying or no grain aeration, resulting in stack burning.

The main causes for losses during storage are:

Attack by insects, rodents and birds as a result of inadequate protection.

Spoilage due to high moisture content and improper drying.

Losses in farm storage have been estimated to be about 6.2%

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Unfortunately small scale farmers often lack the resources to store large amounts of grain and do

not have a large storage structure, they are therefore obliged to sell their rice to traders or buyers

immediately after harvest because of their need for cash. These factors create a lack of

incentives to dry the rice properly.

An FAO report on the International Year of Rice (2004) summarized an efficient approach to

reducing rice losses in that most of the rice losses were a result of inadequate storage and drying

operations. Efficient storage is critical for rice as 4 to 6 percent of the total rice crop is lost

during storage and that FAO recommended the use of small metal silos as means for reducing

small and medium scale rice losses. The rice postharvest systems should focus on both

preventing food losses and improving the efficiency of technology that are used to add value to

rice and its products.

2.2.4. Pulses

Faba beans (dry broad beans), chickpeas and lentils are among the most important food crops in

Egypt, Sudan and Yemen. The legumes are a major part of the daily diet and an important

source of protein. Faba beans are the most important pulse representing 80% of the pulses

produced in Egypt (Hassanein et al, 2000).

Production of these pulses does not meet the demand and hence the MENA region imports over

one million metric tons of pulses every year (FAOSTAT, May 2005). These include crops such

as broad beans, lentils, chickpeas, dry beans and dry peas (BenBelhassen, 2005). Major

importing countries are Egypt (36%), Algeria (16%), United Arab Emirates (8%) and Saudi

Arabia (7%). Pulses represent a major portion of the diet of many countries in the region as they

are a cheap source of protein and energy compared to meats. The MENA region produces

around 3.7 million tons of pulses comprising of chickpeas (29%), lentils (23%), dry broad beans

(20%), dry beans (15%) and other pulses (13%).

Despite legume seeds being classified as "durable", during storage they may be attacked by a

number of biological agents that can lead to a total loss of the stored crop. These agents include

fungi, rodents and insects (Dobie 1982). As with grains, pulses stored with excessive moisture

content and/or in humid storage conditions are vulnerable to fungal attacks that can rapidly result

in the complete destruction of the crop, and to prevent that the crop must be dried to below 14%

moisture content. In addition to that care must be taken to prevent subsequent wetting of the

product to prevent the rehydration of the seed.

Very limited data are available on the losses of pulses in the region. Rats and mice can cause

considerable losses during storage, in addition to the fact that seeds could be contaminated by

droppings and considerable spilling may take place through holes chewed into bags. Insect

infestations, mainly due to beetles of the family Burchidae, cause considerable damage due to

the tunneling activity of the larvae in the seed. Estimated losses of cowpea according to Brooker

(1967) are between 3.4 to 5.4 percent.

Hashem (1999) concluded from a study done in Egypt that dry weight losses in faba bean caused

by the burchid beetle after 3 months of storage ranged from 11% to over 38%, depending on the

variety. Exposing the seeds to a modified atmosphere of 85% CO2 for 3 days protected the seeds

from infestation and maintained good quality seeds for one year.

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2.3. Major Causes of Losses in Cereals and Pulses

2.3.1. Incomplete Drying

Most grains at harvest contain high percentage of moisture, at that level of moisture respiration is

high and hence deterioration is rapid. High moisture promotes the rapid development of insects

and molds that spoil the grains and pulses. Proper drying is therefore crucial to prevent the

deterioration during storage and minimize losses.

The purpose of drying in any grain or pulse is to reduce the moisture content to a safe level for

storage, it is very important to dry the grains or pulses quickly and as soon as possible after

harvesting, ideally within 12 hours to 13% or less for the safe storage from 8 to 12 months.

Grains and pulses stored at higher than 14% moisture will experience growth of molds and rapid

loss of viability.

Drying grains and pulses involves exposing the seeds to ambient air with low relative humidity

in order to evaporate the moisture from the grain or pulse. This process is crucial to the success

of the drying operation and reducing losses from this operation will depend mainly on how

efficiently this process is carried out. A common practice in some countries of the region is to

spread the grains and pulses in the open air for drying for number of days until the product is

dried to acceptable levels. This process lacks any control over the time required, the relative

humidity of the ambient air, the sanitary status of the drying grounds and hence more

contamination and higher losses due to molds, insects and rodents are to be expected. Should the

air not be dry enough the grains or pulses will never reach the desired moisture level or it will

take a longer time than the recommended maximum of 12 hours. This will give an opportunity

for mold to attack and higher levels of mycotoxins will be expected in the dried product.

According to the Agriculture Engineering unit of the International Rice Research Institute (IRRI)

(2009)when exposing rice to ambient relative humidity (77%) and 32ºC air temperature paddy

rice will attain 13.9% moisture content which is safe for storage. If at the same temperature, the

relative humidity rises to 85% or higher, grain exposed to the ambient air over time will reach an

equilibrium moisture content of approximately 15.5% making the grain prone to quality

deterioration.

The same IRRI unit (2009) concluded also that grain moisture content of paddy stored in jute

bags will automatically increase in the rainy season to unsafe levels regardless of how well the

grain was dried before storage. Therefore, for long term storage of grain or seed in tropical

climates it is crucial to prevent re-wetting of grain by humid air by using moisture proof

containers.

Improper drying of the grains and pulses often leads to low quality after storage. Some of the

problems associated with the improper drying include:

(a) Buildup of heat in the grain, as wet grains or seeds will respire at a higher rate generating heat which will provide a good media for the molds and insects to grow thus deteriorating

quality.

(b) Mold development in the grain that will result in releasing toxins into the grain rendering the grain unfit for human or feed consumption. This constitutes a major barrier to the

sale of locally produced stored grains to the feed industry in Egypt where the feed mills

are now more strict regarding the levels of aflatoxins in the grain. (Personal

communication)

26

(c) Insect infestation is higher with high moisture grain than with lower moisture, despite the fact that insect infestation will always be present even at lower moisture levels. A

combination of proper drying and storage will keep insect infestation to acceptable levels.

2.3.2. Inadequate Storage Facilities

The majority of farmers in the MENA region store grain under traditional conditions. In Egypt,

for example the storage capacity for the proper storage of wheat, corn, rice and legumes is very

inadequate. It is expected as per the Ministry of Agriculture and Land Reclamation (MALR)

announcement that the amount of received wheat in 2011 is expected to reach 4 million tons, that

is in addition to around 4 million tons of imported grain, totaling 8 million tons of wheat grain

channeled to produce the subsidized bread. Yet the total storage capacity in Egypt is only 2.1

million tons and these modern facilities are normally dedicated to the imported grain and not the

locally produced wheat. Therefore the locally produced wheat is being stored in jute bags and in

some instances in woven polyethylene bags in open storage areas throughout the country. It

would be expected that under these conditions of storage the infestation with fungi, insects and

rodents would be high. The proper grain storage facilities are not enough in numbers to handle

the quantity produced nor they are hygienically or physically compatible to store all the grain.

Under current Egyptian production levels, the country will need to build proper grain storage

capacity to accommodate four million tons of the locally produced wheat that are consumed at

the rate of 350,000 tons per month, in addition to a one million ton storage capacity for imported

wheat; therefore total capacity inside the country should be around five million tons of wheat to

store the 8 million tons needed for the subsidized bread. A three year plan to expand the storage

capacity is under way and 25% of the plan is already in place.

The same is true for maize as there are no drying facilities in which the maize could be dried fast

enough to reach 14% moisture and guarantee good and hygienic storage that is fit for animal

consumption and food consumption if mixed with wheat to make bread. Currently there are no

maize storage centers that have dryers or silos to store the locally produced grain. Available

silos are only used for the imported corn with low moisture content; while the local product is

sold as fast as possible to avoid deterioration during storage.

Lack of proper storage facilities for grain and pulses contributes to losses that currently cannot

be quantified due to a lack of data from MENA countries. More research on postharvest losses

of grain and pulses must be performed in the region in order to be well informed regarding the

magnitude of the losses.

As noted before complete drying of grain and pulses to reach 14% moisture or below is key to

saving the crop. It was always noted that countries like Egypt have enough sunshine to warrant

any investment in drying facilities but since the market does not put any trading specifications,

putting up a drying facility was not a priority. It is well known that the faster the grain is dried

the better the storability and the lower the losses. The growth of the poultry sector in Egypt is

putting pressure on the local suppliers to conform to certain grain standards that will be very hard

to meet unless the grains are properly dried, handled and stored. Having grain laying in the sun

for a long period of time give the fungi an opportunity to attack and aflatoxin contamination

becomes a serious issue in the poultry industry. Grain processors and feed millers realize this

matter and would prefer importing grain from abroad than using the locally grown grain to avoid

the aflatoxin risk. Apart from a few private sector individuals who realize the importance of this

process in selling or using the grain drying facilities for grain, drying facilities are very

inadequate in Egypt.

27

In general the damage caused by insects is much higher than those caused by other agents like

rodents and micro-organisms. Twiddy (1994) reported that fungi are the major microorganisms

causing spoilage in stored grains and seeds, resulting in significant losses to farmers, traders and

food and feed manufacturers, and the major storage fungi are Aspergillus, Fusarium and

Penicillium spp.

2.3.3. Processing

According to a study by the World Food Program and TNT (personal communication, 2010),

Egypt has about 158 wheat flour mills processing over 13 million tons and about 17,000 bakeries

processing "Baladi" bread from approximately 9 million tons.

Processing of rice in the MENA region is mainly done in Egypt and, Egypt has over 600

registered rice millers that process over 2 million tons of paddy rice. When approached to

discuss the subject of rice losses during the milling operation, most millers attribute the losses to

quality of rice, moisture percent and the type of milling machine used. Some machines yield low

quality rice with lots of breakage and other modern mills can achieve high quality rice with

minimal losses. Mills vary in size and capabilities according to the amount of investment made.

Losses due to milling could be lower if new machines and well trained personnel are available.

The main causes of losses during milling operations can be attributed to poor technical

performance of the milling machines or low capabilities of the operator that results in yield

conversion losses. For example some rice milling machines are notorious for breaking the grain

in the milling process and yielding only 53% milled rice compared to the desired 67%. It is

sometime difficult to distinguish losses during the milling operation that are caused by the drying

process and those due to the milling process itself, it would be important to differentiate to avoid

double recording of the losses.

Regarding the processing of corn in Egypt there are only two processing companies that perform

wet milling to extract glucose, starch and corn syrup. They mainly use imported yellow corn

which has better conversion characteristics than the locally produced white corn, according to an

industry expert. The rest of the corn is used by feed mills either directly or mixed as

concentrated feed. Egypt imports close to 5 million tons of corn annually. A few companies

import de-germed corn grits for snack purposes and it is estimated that 10,000 tons are used for

that purpose (personal communication). Losses during corn processing used to be due to the

unavailability of proper storing capacities at the ports of arrival, where the corn would be

dumped on the ground in the open air until the processor picked it up, and losses due to the

weather, birds, insects and rodents were high. However in the past years many modern grain

storage facilities were established at the ports and the corn is currently being handled properly

and losses are estimated to be between 1 to 1.5% according to the leading corn

importer/processer.

Information on losses occurring inside the factories is limited. The following are data collected

through the Egyptian Chamber of Food Industries (CFI) regarding a count of the companies

working with cereal grains in Egypt. A total of 216 companies process wheat, 362 companies

process corn mainly as feed, snacks, oil starch and sugars and 86 companies are processing and

milling rice. All companies process in excess of 30 million tons from wheat, rice and corn.

According to industry interview losses from imported grains are less than those from the locally

produced crop due to better product handling at source and at port of destination, however no

figures are available to document this statement.

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2.4. Recommend Actions for Loss Reduction

1. Harvesting at the proper grain moisture; low moisture ( 8 to 13%, depending on the commodity) reduces significant loss of product due to deterioration in the quality of the product.

2. Drying facilities are considered particularly important in light of climate change that has sometimes caused wet spells just before harvest resulting in inadequately dried grain leading to

mycotoxin formation and poor quality.

3. Encouraging the development of an on-farm, low-cost drying process that is able to bring down the moisture content of grains to 13% as fast as possible to reduce losses.

4. Encouraging the establishment of grain collection centers where farmers can outsource the drying operation to a third party service provider, be it a farmer's cooperative or a totally private

enterprise.

5. Governments should have installed in their silo storage facilities dryers capable of drying large quantities of grain at the municipality, governorate or region level.

6. With adequate investment and training, food losses could be drastically reduced. Good practices include proper drying and storage to avoid rotting and contamination of the grains with

mycotoxins for example. Heated-air dryers are means of achieving less grain losses both

quantitatively and qualitatively and reducing the risks inherent in the sun-drying process where

the product is subject to the weather conditions that are not stable. Low cost hermetic storage

systems can protect grains, beans and pulses from moisture, insects and oxygen during storage,

greatly reducing postharvest losses while extending the storage period.

7. Encouraging the collaboration between the private and public sector to jointly reduce food waste and share responsibility (Hodges et al 2010).

8. Providing true estimates of the national grain waste and information on where to target resources to reduce the losses (Hodges et al 2010)

9. Developing a realistic cost-benefit analysis for postharvest interventions, in order to guide policy making and the efficient use of resources (Hodges et al 2010).

10. Educating farmers on the causes of postharvest losses and the economical benefits of addressing those issues leading to the losses.

These recommendations are very challenging to achieve in developing countries, and any

improvement in storage will only be attractive to farmers, traders or governments if the

perceived benefits substantially outweigh the costs. Technical superiority is generally

insufficient and farmers and traders are likely to tolerate quite higher storage losses before

undertaking complex or expensive changes to their storage systems. Given the current and

future pressure on availing more food to a growing population in our regions, governments must

educate, train and avail financial and technical incentives to all the parties involved in the supply

chain to invest in methods of better handling of grains to save on losses that could be crucial for

evading hunger.

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3. Estimates and causes of losses during postharvest handling, processing,

storage, and distribution of locally produced and imported horticultural food

crops (fruits and vegetables)

3.1 Introduction

Available data and accumulated experience of many authorities and authors indicate that one-

third of food produced for human consumption is lost and wasted globally which amounts to 1.3

billion tons per year. Other sources report that worldwide food losses that up to 50% of food

grown and produced for human consumption is lost and wasted along the value chain “from farm

to fork”. More of the losses occur between production and retail sites in developing countries

while in the developed countries more of the losses occur at the retail, food services, and

consumer sites (Gustavsson et al, 2011). Losses of foods reflect also loss of water, land and

energy used to produce them, along with wasted calories as a significant contribution to global

greenhouse gas emissions.

Given the limited availability of natural resources, it is more effective to reduce food losses than

to increase food production in order to feed the growing world population. Consumer behavior,

food storage, distribution infrastructure, packaging, and transport practices are factors to be

considered when planning for food losses reduction. It is also worth mentioning that a sixth of

the world's population is undernourished and therefore losing food at this high rate should be

unacceptable.

Fresh fruit and vegetables plus roots and tubers should receive greater attention since these crops

experience the highest wastage rates of any food. From a review of the available data and

consultation with local and international experts regarding the postharvest losses of fresh fruit

and vegetables in MENA countries, it can be concluded that a common array of problems lead to

such losses, and these are shared by most of the countries in most cases.

There are no exact figures to report of how much is lost each year in the MENA region due to the

fact that the causes and magnitude of losses differ according to the commodity, production

region, year, weather and other circumstances. Our approach in this report is to present the

available data and follow the flow of the commodities from the production phase, harvesting, and

postharvest handling system until it is consumed by humans. Indication of the problems at each

stage which are contributing to the losses will be discussed across the MENA region.

Constructing a database and map for the magnitude of losses in perishable commodities from

production to consumption in developing countries is the first step toward reducing the severe

losses in fresh produce. It is extremely necessary to identify the key factors leading to losses

across all production steps as well as at harvesting and during postharvest handling in order to

conduct zonal management for each challenge according to crop type, environmental factors, and

socioeconomics conditions.

3.2. Magnitude of losses in fresh fruit and vegetables: Although postharvest losses range from 20 to 50% in perishable commodities, only 5 percent of

the total funds for international horticultural development projects was allocated to postharvest

projects (FAO, 1981; Kader, 2003 & 2005; Kitinoja et al., 2011; and National Academy of

Sciences, 1978). In Egypt it was estimated that the average postharvest losses in fresh fruit was

20 percent while it was 30 percent of fresh vegetables (Blond, 1984). In Oman losses in fresh

produce were reported to be 3 to 19 percent (Opara, 2003), and in Jordan losses in tomato,

30

eggplant, pepper, and squash are 18, 19.4, 23, and 21.9 percent, respectively (El-Assi, 2002 &

2004).

Table 3.1. Examples of reported postharvest losses of fresh fruit and vegetables in selected

MENA countries

A study funded by IFAD and conducted by ICARDA on pomegranate and winter onion in Upper

Egypt (Tolba et.al., 2009) indicated that percentages of unmarketable fruits in pomegranate for

early, mid and late season harvests averaged 23%, and the accumulated percentage of

unmarketable bulbs in onion was 18.8% calculated at three levels (at harvest, after 15 day field

curing, and a windrow storage period of 30 days). The results of this study reconfirmed the

findings of the ADS study in the 1980s (Blond, 1984). Official estimates of losses in some

commodities in Iran are six-fold the world‟s mean (table 3.1), and the non-official estimates of

losses ranges from 35 to 70 percent from the 44 million ton of produced commodities, which if

saved can be used to feed approximately 20 million humans (Jowkar et al., 2005). In Saudi

Arabia, the postharvest losses during marketing of tomato, cucumber, figs, grapes and some date

varieties were 17%, 21.3%, 19.8%, 15.9 % to 22.8%, and 15% respectively (Al-Kahtani and

Kaleefah, 2011).

Prigojin et al., (2005) reported that fruit quality and postharvest losses in tomato and table grapes

produced in several Middle Eastern countries differed across the postharvest handling chain in

each country depending on the available commercial postharvest technology as well as on the

experience and education level of producers.

3.3. Pre-harvest factors affecting losses in fresh commodities

A broad spectrum of pre-harvest and postharvest factors such as cultural practices, climatic

conditions, plant material and other on-farm factors, harvesting systems, and postharvest

handling procedures each play a role in determining crop yield and nutritional and flavor

qualities, as well as the postharvest-shelf life of fresh produce (de Jager and de Putter, 1999;

Ferguson et al., 1999; Lee and Kader, 2000; Sams, 1999; Sió et al., 1999; Tomala, 1999).

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In most MENA countries, the agricultural sector is the major user of water with a share of up to

85% of the total demand of water. The per capita share of water in 2006 was 850 m3/capita/year

which is expected to drop to 600 m3/capita/year in 2025-- a figure that according to international

standards is below the water poverty limit for a country. It is estimated that by the year 2017

Egypt needs to reclaim more desert lands of approximately 3.5 million acres using the same

available water resources in order to reduce the gap between food production and consumption

and to be able to meet the socio–economic and environmental needs of the country (El-Beltagy

and Abu-Hadid, 2007). This goal can be partially achieved when using the on-farm modern

principles of controlled irrigation management, improving the water use efficiency in

horticulture, and obtaining high quantity and quality production per unit of water applied and

unit of water consumed (El-Ansary and Okamoto, 2007a&b; El-Ansary et al., 2005). An

environmental and health concern is rising up in developing countries such as Egypt due to the

use of untreated wastewater to produce fruit and vegetables which contain high levels of heavy

metals above the maximum allowed daily intake by humans (Mahdy et al., 2009).

Optimizing organic and/or mineral fertilization programs under local environmental and cultural

conditions is crucial to increase productivity and quality of fresh produce (Abul-Soud et al.,

2010a&b). Research conducted in Egypt on sweet potatoes indicated clear effects and

interactions of pre-harvest fertilization program, harvest time (early and late), and curing were

observed on total sugar content, dry matter, weight loss, crude fibers and decay incidence during

storage. Balanced fertilization programs as well as good curing after harvest increased the

marketable sweet potatoes (Feleafel et.al., 2004a, 2004b, 2005).

Sometimes tomatoes are left un-harvested in the field during summer due to low market price

and high harvest and transportation cost. We have evaluated the sun drying of newly introduced

processing tomato varieties in Egypt as a useful tool to reduce losses in tomatoes and can provide

recommendations regarding the profitable varieties (Hussein, unpublished data, 2009-2010).

3.4. Harvesting and postharvest factors affecting losses in fresh commodities

In most MENA countries you can observe that there are examples of modern and well managed

postharvest handling facilities and technologies (with very good sanitation, temperature

management, quality sorting, quality and safety awareness and assurance, and adhering to quality

requirements and market regulations) but it is always the case for export markets (El-Saedy et

al., 2011). On the contrary, you can observe very poor examples of handling which lead to many

possible causes of losses and lack of produce safety (fig 3.1 and 3.2). As indicated in table 3.2, it

is clear that quantitative and qualitative losses occur in horticultural corps between harvest and

consumption. In order to reduce such losses we must understand the causes and apply the proper

postharvest technologies to maintain their quality and safety after harvest (Hussein, 2005).

Qualitative losses such as loss of edibility, nutritional quality, caloric value and consumer

acceptability of the products are much more difficult to assess than quantitative losses. Standards

of quality, consumer acceptability of the products and purchasing power (affordability) vary

greatly among countries and cultures. Elimination of defects from a given commodity before

marketing is much less rigorous in developing countries than in developed countries. It may be a

good approach to introduce some applied standards of the horticulture crops to each country with

the emphasis on food safety first i.e., to classify any commodity into safe and unsafe categories

and eliminate of the unsafe food from marketing and use only the safe food for consumption.

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Figure 3.1 Over-loading of transport vehicles is a common cause of postharvest damage in Egypt

(photo credits Awad Hussein)

Figure 3.2. Wholesale market in Tunis, Tunisia (photo credit Soad Kader)

Table 3.2. Causes of losses in fresh produce occurring from production until consumption in

developing countries

Operation Causes of losses

Relative

contribution to

total losses (%)

Pre-harvest

1- Unsuitable site and variety selection 2- Poor crop management (irrigation, fertilization, Pest management, etc.)

Unknown

Harvesting

1- Immature or over-mature harvesting 2- Direct exposure of commodity to sunlight 3- Inadequate field containers 4- Mechanical damage due to improper picking and packing 5- Delays before delivery to packinghouse or transporting to market or to processor plant

4 – 12 %

Preparation for market

(in the field or at the

packaging house)

1- Failure to pre-sort defected and decayed commodities and inadequate cleaning

2- Inappropriate handling, and inadequate ventilation and cooling

3- Lake of precooling prior to shipment 4- Lake of sanitation

5 - 15

Transport

1- Rough handling leading to increased mechanical damage 2- Improper management of temperature, relative humidity, and ventilation during transit

3- Mixing non-compatible commodities in the transit vehicle (different types of containers, commodities with

2 - 8

33

different temperature requirements and ethylene

production rates)

4- Delays during transport

Handling at destination

1- Rough handling during loading and unloading 2- Exposure to undesirable environmental conditions 3- Delays in getting the commodity to the consumer 4- Improper ripening and storage practices 5- Over packing in unsuitable containers 6- Contamination due to lack of sanitation

3 - 10

Handling at home 1- Delay before consumption 2- Improper storage

1 - 5

Total Most causes of losses are additive 15 – 50

Adapted from Kader (1979)

Cosmetic quality factors as shape, color, size etc. should be given less value as quality standards

in developing countries. Cosmetic defects may be allowed to get in the marketing channels from

developed counties to developing countries packed in reasonable good packaging but less fancy

(economical consumer package). It may be suggested to direct cosmetic rejects to find its way to

food industries whenever possible to be processed either at the origin or in the receiving

countries.

Lack of knowledge regarding the optimum safe temperature for cold storage of fruit and

vegetables grown under local micro-climatic conditions can lead to appearance of several

profound postharvest physiological disorders such as chilling injury during cold storage,

shipping or marketing (Hussein et al., 2002).

3.5. Biological and environmental factors affecting fresh produce

Losses in fresh fruit and vegetables could be due to biological and environmental factors. The

biological factors (internal) causes of deterioration of fresh produce are known (respiration,

ethylene production, water loss, and growth) which are affected by environmental factors

(external) under which the produce is handled. Temperature outside the optimum range during

postharvest handling can cause rapid deterioration due to the following disorders freezing,

chilling injury, and high temperature injury (sunburn and sun scald). Relative humidity can

influence water loss, decay development, incidence of some physiological disorders and

uniformity of fruit ripening, condensation of moisture (sweating). Fruit require 85 to 95% RH,

most vegetables 90 to 98%, dry onion and pumpkin 70 to 75%, carrot and radish 95-100%. RH

can be modified by providing air movement and ventilation, adding moisture (water mist, spray,

or steam), humidification, dehumidification, maintaining temperature within about 1°C of air

temperature, provide moisture barriers (storage walls and transit vehicles), use of polyethylene

liners in containers, wetting the floor, adding crushed ice (for commodities not inj