TABLE OF CONTENTS

Section – 1
1. Introduction. Page
1.1 India’s role in world Agriculture………………… 4

1.2 Agriculture Trade………………………………….4

1.3 Focus on Export…………………………………...5

Section - 2
2.1 Objective of Project…………………………….....7
2.2 Research Methodology…………………………...8
2.3 Scope of the Study……………………………….10
2.4 Limitations of the Study…………………………11
Section - 3
3. APEDA’s Profile.
3.1 Details about APEDA……………………………13
3.2 Overview of APEDA……………………………..15
Section – 4
4. Review of Literature.
4.1 Agricultural Trade. (Mr. S. Dave)……………19
4.2 Foreign trade policy 2004 – 09…………………..20
4.3 Export competitiveness of Indian Agriculture…..21

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 4.4 Agriculture economy & policy report Jan 2009…22
Section – 5
5. Result & Analysis.
5.1 Maharashtra Agricultural Export……………..25
5.2 Terminal Market Nashik……………………….25
5.3 Agri Export Zone – Grape……………………..28
5.4 Agri Export Zone – Onion……………………..30
5.5 Agri Export Zone – Pomegranate………………31
Section – 6
6. Discussion & Implication.
6.1 APEDA’s Schemes for Agri export region…..36
6.2 Strategy for 10th year plan period……………..37
6.3 Recommendation of 10th yr. plan for Nashik region..46
6.4 Common constraints on export of Agricultural produce.49
6.5 Major constraints of Agri export sector……….50
Section – 7
7. Conclusion & Recommendation.
7.1 Conclusion……………………………………….55
7.2 Recommendation………………………………...56
Section – 8
8. References & Appendices.
8.1 References……………………………………….58
8.2 Appendices……………………………………...59

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Section 1
Introduction
– India’s role in worlds Agriculture.
– Agricultural trade.
– Focus on export.

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 INTRODUCTIONS
India's Role in World Agriculture

India is one of the fastest growing economies today and among the world's leading agricultural
producers and yet its trade flows are relatively small. However given the size of Indian
agriculture, even small changes in its trade have a potentially large impact on world markets.
India is also a major consumer, with an expanding population to feed. The average size of
holding is just 1.4 hectares and 60% of the work force depends on agriculture for a living. Its
agriculture and trade policy partly stem from its goal of self-sufficiency and have an impact on
trade.

Agriculture in the Indian economy

India is the third largest economy in Asia and the second fastest growing economy in the world.
From 2003, its high growth rates of 8% were surpassed only by China. However, it is still ranked
as a low income country, with an estimated GDP/capita around US $ 820 in 2006. The share of
agriculture in India's GDP fell from 29% in 1991 to below 17.5% in 2009. Yet, around 60% of
the labour force is still employed in the agriculture, compared to 70% in the early nineties.
There are 116 million farmers in India, a large number of them managing small scale holdings,
on average just 1.4 Ha in the late nineties.

Agricultural Trade

India is one of the leading members of the G-20. Moreover, it has begun free trade agreement
talks with the EU and ASEAN. And it also has a preferential trade agreement with the US since
2008.
India has an overall trade deficit since the nineties but has been a small net exporter of
agricultural products since 1990. In 2007, its agricultural trade generated a small surplus of just
under $4 billions. Agricultural trade flows in India appear relatively modest compared with those
of other main players on the world agricultural markets. Agriculture accounts for 9% of total
exports and 5% of imports. This can be explained by the fact that although India is a leading
world producer of agricultural products it is also a major consumer.

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Focus on exports

The EU is India's top market, followed by ASEAN, USA, Bangladesh and China. Commodities
represent around one third of agricultural exports. The single biggest export is milled rice,
accounting for over 15% of the value of exports in 2007-2009.

About APEDA

The Agricultural and Processed Food Products Export Development Authority (APEDA) was
established by the Government of India under the Agricultural and Processed Food Products
Export Development Authority Act passed by the Parliament in December, 1985.

The Act (2 of 1986) came into effect from 13th February, 1986 by a notification issued in the
Gazette of India, Extraordinary: Part-II [Sec. 3 (ii): 13.2.1986).

The Authority replaced the Processed Food Export Promotion Council (PFEPC).

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Section 2
– Objectives of Project.
– Research Methodology.
– Scope of the Study.
– Limitation of the Study.

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Objectives of Project

Primary Objective

– To Study Functions of Agricultural & Processed Food Export Development Authority

(APEDA) in Nashik for agricultural produce & it’s export.

Secondary Objective

– To study and analyze the Farmers satisfaction level of it’s exporting agricultural produce
from APEDA.

– To study and analyze the major exporting agricultural produce from APEDA.

– To analyze the problems faced by APEDA for application of there schemes.

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Research Methodology
Facts, information or premises systematically collected and presented for the purpose of the
drawing inferences may be called data. The first hand information bearing on any research,
which has been collected by we or his agent or assistant, may call data.

For collecting the information for this project I have used the source of data. For the
collection of the data I have used in-depth interview method for that purpose. I have taken a
general interview of potential Farmers who export there agricultural produce majorly Fruits,
vegetables & processed food & Exporters of this area particularly government Agricultural
produce Market Committee (APMC). Thus the data obtained through this method is primary one
and true.

First the Farmers and the Exporters were surveyed with the help of Questionnaire and
interview method in which the perception problem and suggestion of Farmers and Exporters and
distribution penetration, exportation were recorded.

Methods& Source of Data Collection

Primary Data

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The data was generally collected by structured questionnaire, the technique applied through
personal direct survey, indebt interviews were taken and by observations.

Primary data’s most important role is in knowing the –

1. Farmers & Exporter’s attitude & opinion.

2. Farmers & Exporter’s awareness about the Agricultural produce & it’s export.

Secondary Data

Secondary data consist of information that is already in existence, having been collected for
another purpose.

1 Website: http://www.apeda.com from this website information collected like the history of
organization regions, market, various Agricultural produce, objectives & welfare activities of
organization

2 APEDA information broacher 08-09 Board of directors, their recent Export and others
important project relating data.

Sampling

The sample was a non-probability convenience sample, in which one the chance of choosing
a particular universe element is unknown. The convenience sample is chosen purely for the sake
of convenience that is items are selected because they are easy to get and cheap to find measure.

Sample Market

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Probability sampling is more reliable. It is more time and money consuming. The sample size of
10 for Exporters and total number of potential Farmers surveyed 10. All the Exporters, Farmers
and respondents belonging sample region. The areas covered are, Malegaon rural, Baglan rural,
Nifad rural, Kalvan rural, Deola rural & nearby Nashik.

Methodology

First the Farmers and the Exporters were surveyed with the help of Questionnaire and interview
method in which the perception problem and suggestion of Farmers and Exporters and
distribution penetration & exportation were recorded.

Scope of the study

Decision-making requires relevant and correct information for collecting the data, which can
be used for decision-making. Objectives of data collection should be very clear, objective guide
us to collect the right data from the right source.

The study carried out in Nashik region so its scope is mainly limited to Nashik region (Rural
& cultivated area of the district only).

The study will serve Farmers in better manner.

The study gives information about the services given by APEDA to their Exporter.

The study gives information about the size of the agricultural export network.

The study provides suggestions to the organization to improve their functions.

The study gives information about the exporting quality agricultural produces.

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Limitations of the Project

Awareness of APEDA

Because of no advertising of APEDA & beneficial schemes in Nashik district, awareness level
among farmers as well as Exporters is very negligible. So to get demand organization through
APMC should spread awareness among Farmers through advertisement.

Time Duration

The time duration for conducting the research was very short; due to this one could not do
justice to the Market Survey.

Sample Size

The sample size does not cover maximum number of Farmers and Exporters of Nashik district.
The sample size was restricted to certain number.

Some of the respondents were reluctant / hesitant to provide proper information.

It was assumed that the findings from the respondents were correct. Due to lack of knowledge of
the geographical area, the survey was made randomly.

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Section 3
– APEDA Profile
– Details about APEDA
– APEDA Organizational Overview

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Details about APEDA
The Agricultural and Processed Food Products Export Development Authority (APEDA) was
established by the Government of India under the Agricultural and Processed Food Products
Export Development Authority Act passed by the Parliament in December, 1985. The Act (2 of
1986) came into effect from 13th February, 1986 by a notification issued in the Gazette of India:
Extraordinary: Part-II [Sec. 3(ii): 13.2.1986). The Authority replaced the Processed Food Export
Promotion Council (PFEPC).

ASSIGNED FUNCTIONS

In accordance with the Agricultural and Processed Food Products Export Development Authority
Act, 1985, (2 of 1986) the following functions have been assigned to the Authority.

– Development of industries relating to the scheduled products for export by way of

providing financial assistance or otherwise for undertaking surveys and feasibility
studies, participation in enquiry capital through joint ventures and other reliefs and
subsidy schemes.

– Registration of persons as exporters of the scheduled products on payment of such fees as

may be prescribed.

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– Fixing of standards and specifications for the scheduled products for the purpose of
exports.

– Carrying out inspection of meat and meat products in slaughter houses, processing plants,
storage premises, conveyances or other places where such products are kept or handled
for the purpose of ensuring the quality of such products.

– Improving of packaging of the Scheduled products; Improving of marketing of the

Scheduled products outside India.

– Promotion of export oriented production and development of the Scheduled products.

– Collection of statistics from the owners of factories or establishments engaged in the

production, processing, packaging, marketing or export of the scheduled products or
from such other persons as may be prescribed on any matter relating to the scheduled
products and publication of the statistics so collected or of any portions thereof or
extracts there from.

– Training in various aspects of the industries connected with the scheduled products; Such
other matters as may be prescribed.

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Products Monitored

APEDA is mandated with the responsibility of export promotion and development of the
following scheduled products:

– Fruits, Vegetables and their Products.

– Poultry and Poultry Products.

– Dairy Products.

– Confectionery, Biscuits and Bakery Products.

– Honey, Jaggery and Sugar Products.

– Cocoa and its products, chocolates of all kinds.

– Alcoholic and Non-Alcoholic Beverages.

– Cereal Products.
– Groundnuts, Peanuts and Walnuts.
– Pickles and Chutneys.

– Floriculture and Floriculture Products.

– Herbal and Medicinal Plants
– Rice (Non-Basmati).

In addition to this, APEDA has been entrusted with the responsibility to monitor exports of some
non-scheduled items such as Basmati Rice, Wheat, and Coarse Grains and also import of sugar.

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Overview of APEDA Organization

Administrative Set Up

Chairman – Appointed by the Central Government

Director – Appointed by APEDA

Secretary – Appointed by the Central Government

Other Officers and Staff - Appointed by the Authority

Composition of the APEDA Authority

As prescribed by the statute, the APEDA Authority consists of the following members namely.

A Chairman, appointed by the Central Government.

The Agricultural Marketing Advisor to the Government of India.

One member appointed by the Central Government representing the Planning Commission.

Three members of Parliament of whom two are elected by the House of People and one by the
Council of States.

Eight members appointed by the Central Government representing respectively; the Ministries of
the Central Govt. Dealing with; Agriculture and Rural Development, Commerce, Finance,
Industry, Food, Civil Supplies, Civil Aviation, Shipping and Transport.

Five members appointed by the Central Government by rotation in the alphabetical order to
represent the States and the Union Territories.

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Seven members appointed by the Central Govt. representing;

– Indian Council of Agricultural Research.

– National Horticultural Board.
– National Agricultural Cooperative Marketing Federation.
– Central Food Technological Research Institute.
– Indian Institute of Packaging.
– Spices Export Promotion Council.
– Cashew Export Promotion Council.

Twelve members appointed by the Central Government representing;

– Fruit and Vegetable Products Industries.

– Meat, Poultry and Dairy Products Industries.
– Other Scheduled Products Industries.
– Packaging Industry.

Two members appointed by the Central Government from amongst specialists and scientists in
the fields of agriculture, economics and marketing of the scheduled products.

Goals
– To maximize foreign exchange earnings through increased agro exports

– To provide better income to the farmers through higher unit value realization

– To create employment opportunities in rural areas by encouraging value added

exports of farm produce.

Vision
– To establish India as a consistent supplier of quality and price competitive agro
products.

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Share of Agri. Exports in total Export of India

2005-06 2006-07 2007-08 2008-09

Total Merchandise Exports 99.44 127.35 159.25 169

Export Of All Agri. Products 9.15 11.6 16.83 ---

Export Of Products Monitored By

APEDA 4.09 4.86 7.93 8.7

Share In Total Merchandise

Exports 4.12 3.81 4.98 5.15

Share In All Agri. Exports 44.74 41.86 47.11 ---

APEDA Export Performance in 2008 – 2009

Products April - Feb April – Feb Growth

2008 2009 (%)

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 Floriculture & Seeds 108 93 - 13.23
Fruits & Vegetables 617 821 32.95
Processed Fruits & Veg. 427 451 5.53
Animal Products 1138 1382 21.42
Other Processed Foods 898 1038 15.53
Cereals 3206 2949 - 8.02

TOTAL ( in US $ million ) 6395.25 6734.24 5.30

TOTAL ( in Rs. crores ) 25708.92 30640.80 19.18

Section 5
Review of Literature
– Agricultural Trade (Mr. S. Dave).

– Foreign Trade Policy 2004 – 09.

– Export Competitiveness of Indian Agriculture.

– Agricultural Economy & Policy Report, Jan 2009.

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Mr. S DAVE (Director of APEDA)

Agricultural Trade

Despite being an agrarian economy, where the agricultural sector provides employment to
approximately 60 per cent of the population and contributes 25 per cent to the GDP of the
country, India has remained a marginal player in world agricultural trade.
Currently, it has a share of less than 1 per cent of the world trade in agriculture. The share of
agricultural products including coffee, tea and fisheries in the total exports of India was around
10.95 per cent in the year 2005-06.

There has been decline in agricultural imports. The agricultural imports decreased from Rs
22057.49 crore in 2004-05, to Rs 21025.54 crore in 2005-06. The share of agricultural imports to
the country’s total imports has remained steady around 3.33 per cent. Imports have registered a
relative decline during April-September 2006, when it was only 2.88 per cent of the country’s
total import. The import of vegetable oils fixed (edible), pulses, cashew nuts, cotton (raw and
waste) and wood products dominate our agricultural imports.

Agricultural exports, on the other hand, have an increasing trend. India’s agricultural exports
have increased from Rs 39863.31 crore in 2004-05, to Rs 49802.92 crore in 2005-06. During the
current year (April–September 2006), the value of agricultural exports was worth Rs 28157.52
crore compared to Rs 21673.25 crore for the corresponding period of last year, registering a
growth of 29.91 per cent. The export of marine products, oil meals, rice, wheat, tea, coffee,
cashew and sugar dominate our agricultural exports.

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Generally, there has been a surplus in agricultural trade over the years. The trade surpluses in
terms of value have been Rs 17805.82 crore in 2004-05 and Rs 28777.38 crore in 2005-06
respectively. The surplus is continuing during the current year and is worth Rs 17025.74 crore.

In brief, agricultural trade during April-September 2006 shows a healthy balance which can be
boosted further if the export of agricultural products like marine products, rice (Basmati), other
cereals, tea, coffee, cashew nut, oil meals, and sugar, which dominate our agricultural exports
can be increased further. It may be seen from the trend that while in certain cases, exports have
increased, in others, a decline has been registered.

The factors, which are acknowledged to have limited our export and infrastructural inadequacies,
as well as unfavorable international prices, are mainly due to domestic support given to
agriculture by developed countries. Meeting the sanitary and phyto-sanitary requirements of
most trading partners also calls for substantial investment in developing quality standards and
infrastructure facilities.

Foreign Trade Policy 2004-09

The Special Focus Initiative for Agriculture in the new Policy includes:

– A new scheme called Vishesh Krishi Upaj Yojana, which has been introduced to boost
the exports of fruits, vegetables, flowers, minor forest produce and their value-added
products.

– Duty-free import of capital goods under the Export Promotion Capital Goods (EPCG)
scheme.

– Capital goods imported under EPCG for agriculture permitted to be installed anywhere in
the agri export zones.

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 – Assistance to States for Infrastructure Development of Exports (ASIDE) funds to be also
utilized for the development of agri export zones.

– Import of seeds, bulbs, tubers and planting material has been liberalized.

– Export of plant portions, derivatives and extracts has been liberalized with a view to
promote exports of medicinal plants and herbal products.

Repeal of Cess

The Agriculture Produce Cess Act, 1940, and the Produce Cess Act, 1966, were repealed
through a fresh parliamentary enactment. The Produce Cess Laws (Abolition) Act, 2006, was
notified in the Gazette of India on 26 September 2006, in order to remove the cess on export of
agricultural products and to encourage the export of agricultural products.

Export Competitiveness of Indian Agriculture

Liberalization of world trade in agriculture has opened up new vistas of growth. India has a
competitive advantage in several commodities for agricultural exports because of near self-
sufficiency of inputs, relatively low labour costs and diverse agro-climatic conditions. These
factors have enabled export of several agricultural commodities over the years such as marine
products, cereals, cashew, tea, coffee, spices, oil meals, fruits and vegetables, castor and tobacco.
For certain commodities like Basmati Rice, India have a niche market access in spite of
competition. Agricultural export has sizeable share of about 18 to 14 per cent in total exports of
the country.

Agricultural imports are about 5 to 6 per cent of total imports in the country. Only a few
commodities like edible oil, cotton, pulses and wood and wood products are imported.
Raising the level of productivity and quality standards to internationally competitive levels is one
of the major challenges following the dismantling of quantitative restrictions on imports, as per
the WTO Agreement on Agriculture. For several commodities, our national productivity is less
than the world average.

Within the country, there are wide variations in productivity levels. Punjab, Haryana, Andhra
Pradesh may have attained productivity levels of a world standard. But other regions are way
behind. Thus the issue of competitiveness is also region specific. A regionally differentiated
strategy, taking into accounts the agronomic, climatic and environmental conditions, is therefore,
and sought to be pursued to realize the full potential of yield in every region.

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Comparative advantage in itself is a relative concept and it depends upon the relative changes in
the International Market. A major difficulty faced by India in the international market is the high
level of domestic support and export subsidies given by developed countries for agri exports.
l Hence it is imperative to evolve concrete strategies to make Indian agriculture competitive and
enhance its efficiency. For this purpose, on the one hand we should be seeking substantial
reduction in the support given to agriculture by developed countries, on the other hand, Indian
agriculture would also require to be supported to maintain and improve its competitiveness.

India – Agricultural Economy and Policy Report

January 2009

The economy as it relates to agriculture

India remains an agricultural economy in many important respects. The share of agriculture in
the country’s GDP constitutes about 18 percent. Agriculture provides a livelihood for
approximately 600 million citizens, at least indirectly. However, Indian agriculture is not very
efficient, and the sector continues to limit overall economic growth.

India is endowed with rich land, water, and labor resources, although water resources are
overexploited in some states due to non-economic pricing of irrigation water and power. Indian
agriculture is characterized by low productivity, with average crop yields for most crops well
below world levels..

With the beginning of economic liberalization in 1991, the Indian Government (GOI)
encouraged foreign direct investment in agriculture and food processing.

Domestic agricultural policy overview

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Agricultural price policy is primarily focused on achieving self-sufficiency in India’s two food
staples - wheat and rice. Concerns about the widening supply/demand gap for basic food items
such as wheat, rice, and pulses have prompted the government recently to launch a National
Food Security Mission (NFSM), which aims to increase the country’s wheat, rice, and pulse
production by 8, 10 and 2 million tons, respectively, by the end of the 11th Five Year Plan
(2011/12) to ensure food security.

The approach of the NFSM is to bridge the yield gap in these crops through dissemination of
improved technologies and farm management practices.

Marketing chains are highly fragmented, often including six to eight intermediaries, and are
dominated by small scale enterprises. Transportation infrastructure and the cold-chain system
remain inadequate. Farmers tend to receive a small share of the final consumer price. However,
“organized” retailing is now in full swing in India, with several large Indian corporations
entering and expanding their operations.

Optimism in the food retail sector stems from a vibrant and growing economy, increasing
purchasing power, and a growing number of urban consumers demanding a modern shopping
experience.

Concerns over adequate supplies of essential food items have led the government to both reduce
some import restrictions and impose export restrictions on items such as wheat, rice and
vegetables oils.

This has led to stock-building of government supplies in wheat and rice during the 2008/2009
period. India was one of the first Asian countries to invest in agricultural biotechnology research
and to set up a biosafety system to regulate the approval of genetically modified (GM) crops.

General and agricultural trade situation

Although a founding party of both the General Agreement on Tariffs and Trade (GATT) and the
World Trade Organization (WTO), the Indian government continues to use high tariffs and non-
tariff barriers to limit imports of agricultural products.

India’s average WTO bound agricultural tariff is 112 percent; however, the median applied
agricultural duty is 35.2 percent. This differs significantly from tariffs on non-agricultural

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products which have been gradually reduced to the current peak level of 10 percent. Some
sensitive food items such as wine, alcoholic beverages, poultry meat, raisins, rice, wheat, and
vegetable oils, are protected by much higher bound duties, ranging from 50 to 150 percent.

For most agricultural products, the government levies a countervailing duty equal to domestic
excise taxes, a three percent education cess (surcharge), and a four percent “special”
countervailing duty on all direct and indirect taxes, including custom tariffs, which results in
higher tariff rates.

India is a net agricultural exporter with exports valued at $19.33 billion and imports valued at
$7.5 billion in 2007/08. Imports are growing and include vegetable oils, wheat, pulses, raw
cashews, dry fruits, cotton, wool, hides and skins, and fruits and vegetables.

India’s agricultural exports to the United States, valued at $1.5 billion in 2007.

Section 6
Results and Analysis
– Maharashtra Agricultural Export.

– Terminal Market Nashik.

– Agri Export Zone – Grapes.

– Agri Export Zone – Onions.

– Agri Export Zone – Pomegranate.

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Maharashtra Agricultural Export

– Fruit Production – 100 Lakhs Mt.

– Vegetable Production - 45 Lakhs Mt
– Cotton Production - 2.6 Million Bales (30 % Of Country Production)
– Topes in Production in the Country For
 Grape 9.88 Lakhs Mt
 Banana 36 Lakhs Mt
 Orange 8.81 Lakhs Mt
 Pomegranate 3.40 Lakhs Mt

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Terminal Market – Nashik (For agricultural Export)

– Location - Near Nasik

– Area - 100 acre out of which 35 acres in 1st phase.
– Handling capacity - 11 lakhs MT per annum.
– Expected throughput - 1500 MT/day during peak.
– Under National Horticulture Mission during 2007-08 & 2008- 09, the development of
Wholesale /Terminal market at Igatpuri, Nasik, at a cost of Rs 60 Crores with a total
financial outlay of Rs 15 Crores is proposed.
– The outlay proposed for year 2008-09 is Rs. 5-7 Crores.

Modern Infrastructure in the Market

1. Central Electronic Auction.

2. Mechanized Handling with Pre-cooling units.

3. Wholesale block cum Godowns (75 big shops).

4. Four Electronic Grading Lines with State-of-Art Facility for Exports.

5. Pack-house Facilities.

6. Color Vision System Quality Station.

7. 5000 MT Cold Storage and 6 Ripening chambers for Banana / Mango of 25 MT each.

8. State of Art Testing/Certification Lab & R&D center to meet International SPS standards.

9. NCDEX Platform for Electronic Trading.

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10. Provision for Food Processing Unit, Hotel and Social Infrastructure in phase-II

Off-market site Infrastructure

1. 20 Collection centers providing facilities

2. Sale outlets in ten major cities of India for “Nasik Fresh” Brand

3. Cash & Carry stores (in city areas on Franchise basis)

Investment Profile

1. Share Capital (29.43%) - Rs. 1764.93 lakhs

2. Subsidy (23.54%) - Rs. 1411.44 lakhs

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3. Term Loan (47.03%) - Rs. 2820.00 lakhs

Total - Rs. 5996.37 lakhs

Turnover

– Everyday 3 truck loads of fruits and vegetables received by each sale centers.

– On an average the markets will operate for 300 days in a year.

– Total quantity handled by each sale center - 8100 MTs.

– All the 10 sale centers will handle 8100 MTs of Fruits and Vegetables annually.

– The Annual turnover of the all sale centers would be worth Rs.64.80 Crores.

Agri Export Zone for Grape and Grape Wine in Nashik District Region.

- The project in the first stage entails a total cost of Godavari Wine Park, Vinchur, Nashik
is Rs. 9.37 crore Out of which Rs.4.00 crore for Park will come from various Central
Govt. agencies like APEDA, National Horticulture Board, Ministry of Food Processing
Industries, and Ministry of Agriculture. The rest of the expenditure will be borne by the
State Government.

- The AEZ would lead to exports of Rs.68.47 Crores.

- It was also proposed to setup Maharashtra Grape Board (MGB), an autonomous

development agency, which will work as a facilitator to ensure a smooth and orderly
development of the grape & grape wine industry in the state.

Present Status

- The MOU for this Agri Export Zone was signed on 7th Jan 2002.
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- 120 applications have been finalized by MIDC (the Nodal Agency) from entrepreneurs
for plots for Wine Park and the plots are allotted.

- 474 farmers have also been identified by the State Government for intensive training. 92
training programmes organized to cover 5042 farmers.

- MIDC has allotted 2,000 Sq. Mtrs. Plot to M/s. Vinchur Grape Wine.

- A Project has also been sanctioned for evolving new varieties of processing grapes as
well.

- Grape wine is exported from this zone from the year 2003-2004 onwards from the new
units. Four units have already started exports of wine from the zone.

- The State government has taken initiative to set up wine parks in Nasik district. MFPI has
sanctioned/disbursed Rs.2.0 Crores as grant-in-aid assistance for setting up a food park
for grape wine at Vinchur in Nasik. Total 120 plots have already been allocated.

- 36 wineries in the AEZ are already producing wines.

- A Concession of 25% in excise duty has been offered by the state Government. ( 100%
exemption from Excise duty for Ten years from 2001)

- State Govt. declared exemption in Sales Tax (4%) for grape wine.

- The Govt. of Maharashtra has constituted a ten member Task Force Committee under the
Chairmanship of Commissioner (Agriculture) for the development of the AEZ.

- MIDC has requested Crisil, Kirloskar, Tata, NRC and Cebeco, for submitting project
report for establishment of Wine Institute in Nasik District.

- During the year 2003-04, export of fresh grapes was made to Europe for a quantity of
approx. 18,000 MTs and to the Middle East for a quantity of 8000 Mts. The export of
fresh grapes and wine has amounted to Rs. 108 Crores.

- The total exports are 384.67 Crores.

- The total investment of Rs. 110.17 Crores has been achieved so far.

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Agri Export Zone for Onion in Nashik District Region.

- The Project entails an investment of around Rs. 32.24 crores out of which Rs. 9.13 crores
will flow from the Central Government Agencies, Rs. 9.99 crores from State Government
Agencies and private sector is expected to invest around Rs. 13.12 crores.

- In the next 5 years it is expected that there would be an export worth Rs. 154.49 crores
from this zone, which includes around 20000 MT per annum by end of 5 th year of special
variety of yellow onion to Europe and Japan, and processed onion such as dehydrated
onion, frozen onion and preserved onion.

- Around 3000 farmers are also likely to benefit from the setting up of this zone.

Present Status
- MoU signed on 16th January, 2003
- MSAMB with the help of Agriculture University, State Agriculture department, Local
APMC & grower’s cooperative arranged 155 one day training programs and trained
10329 farmers under AEZ.

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 - Nasik – Lasalgaon, Sinnar, Nandgaon, Rahud, Bramhnagaon, Umrane, Satana, Deola.
- To develop scientific Onion storage structures in the State MSAMB & State Agriculture
Department has decided to increase the amount of subsidy from Rs. 300/- to Rs. 500/- per
MT by MSAMB & from Rs. 500/- to Rs. 1000/- per MT by State Agriculture
Department.

- An Export facility center for Onion is proposed to erect in Kalwan taluka Dist. Nashik.

- M/s. KMS Swarna Traders, Malaysia has approached to MSAMB and they are in process
of exporting 2 containers of Onion to Malaysia.

- To increase the export promotional activity more effectively worldwide, MSAMB is

preparing for ISO 9001:2000 certification.

- Exports worth Rs. 588.00 Crs (App) have been affected from the State.

- The total investment so far has been Rs 38.33 Crs.

Agri Export Zone for Pomegranate in Nashik District Region.

- The project envisages an investment of Rs. 14.98 Crores with central government
contribution of Rs. 3.89 Crores and the state government contribution of Rs. 3.97 Crores.
Private investment to the tune of Rs 7.12 Crs
- This would result in incremental exports of Rs. 35 Crores over a period of five years.

Present Status

- MOU signed on 9th June, 2003

- MSAMB with the help of Agriculture University, State Agriculture department, Local
APMC & grower’s cooperative arranged 134 one day training programs and trained 9258
farmers under AEZ.

- Nasik – Satana, Matane, Nampur, Astagaon, Kodbel, Satana.

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- MSAMB with the help of APEDA and APMC, Baramati erected Pomegranate export
facility center at Jalochi Baramati Dist. Pune. The private exporters have exported around
605 MTs. of Pomegranate to Europe & Middle East in current season by using this
facility centre.

- Along with the Export facility centre at Nashik, the export of Pomegranate has been
started from MSAMB’s Export. Till date around 86 MTs of pomegranates have exported
from this facility centre.

- To increase export of Pomegranate to European markets, MSAMB has announced 50 %

subsidy scheme for Global GAP certification to Mango & Pomegranate growers. The
procedure of finalization of the agency for Global GAP certification is in progress.

- To convince the mango growers for Global GAP certification to their farms, the
awareness programs are planned in the pomegranate growing pockets.

- Around 45 pomegranate growers have registered under P.M.O for Global GAP
certification for their Farms

- MSAMB has set up partnership organization of the co-operative societies of mango

growers named “MAHAANAR” in the year 2005 for increase the export of pomegranate
from Maharashtra... Till date they have exported 77 MTs of pomegranate to The
Netherlands.

- The project proposal for strengthening of this society has been drafted and sent to
Steering Committee for finalization. The proposal will be further submitted to Ministry of
Agriculture, Govt. of India.

- MAHAANAR has approached to MSAMB for getting the working capital needed for
their export and MSAMB is planning to provide the loan as a working capital to
MAHAANAR.

- To increase the export promotional activity more effectively worldwide, MSAMB is

preparing for ISO 9001:2000 certification.

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 - Export worth Rs 20.24 Crores (App) has been effected from the State during the
year 2004-05.

- Investment of Rs. 1.53 Crores has been sanctioned in AEZ.

APEDA’s Agriculture Export Zone.

Agri Export Zones in Maharashtra (for Nashik region) in 2008 - 09

– AEZ – Onion

– Signed – 16th January 2003

– Location – Rural Onion producing region of Nasik district.

– Total expected Investment – Rs.3224 lakhs

– No. of trainings organized -121

– No. of Farmer trained -7890

– Infrastructure Development by MSAMB (Maharashtra State Agricultural Marketing

Board)

– Export Facility Center at Indapur

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 – Additional Export of 59000 MT of fresh onion is expected over a 5 years period of
implementation

– Additional Export of 16775 MT of processed onion products expected over a 5 years

period of implementation.

AEZ – Pomegranate

– Signed – 9th June 2003

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 – Location – Rural parts of Malegaon, Baglan, Deola, Kalvan of Nashik district.

– Total expected Investment – Rs.6146 Lakhs

– No. of trainings organized -107

– No. of Farmer trained -7189

– Infrastructure Development by MSAMB

– Export Facility Center at Nashik (under construction phase)

– Additional Export of 48000 MT of Pomegranate is expected over a 5 years period of

implementation.

Section 7
Discussion of Implications.

– APEDA’s Schemes for Agricultural Export Region.

– Strategy for 10th Plan Period.
– Recommendation 10th year Plan for Nashik Region.
– Common constraints on Export of Agricultural Produces.
– Major constraints of Agri Export Sector.

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APEDA’s Schemes for Nashik Agricultural Export region.

Financial Assistance Schemes of APEDA

Transport Assistance Scheme

Financial assistance is provided for export of identified products to compensate exporters against
disadvantages faced in respect of sea and air freight rates.

Infrastructure Development Scheme

Financial assistance is provided for developing post-harvest infrastructure; sorting and grading
lines; intermediate storage sheds; effluent treatment and water softening plants; laboratory
equipment; pre-cooling units; high humidity cold storages; refrigerated transport etc.

Scheme for Market Development

Financial assistance is provided to exporters for development of packaging standards and use of
modern packaging material; development and dissemination of market information; holding of
buyer-seller meets; participation in exhibitions and fairs etc.

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Quality Development Scheme

Financial assistance is provided for purchase of laboratory equipment, adoption of quality

control systems (ISO, HACCP, EUREGAP etc.) and testing of products for meeting importing
country requirements of product standards, pesticide residue etc.

Research & Development

Financial assistance is provided for R&D projects in the Government and co-operative/ private
sector having direct impact on export promotion of agricultural and processed food products.

Strategy for 10th Plan Period for agricultural export

The State’s policy for the 10th plan period is marked by increased emphasis given to technology
transfer to farmers for globally competitive production in terms of quality and cost. The post
harvest handling, value addition, processing, scientific storage, modem marketing system and
export promotion are the main features of the policy.

The State is sensitive towards the need of techno infrastructure and market intelligence, product
development and product promotion. During this period the identified problems are being
handled by adopting the following strategy -

– Undertaking studies to scientifically define the constraint and identify the alternative
solutions.

– Making gap analysis in infrastructure, technology and trained manpower.

– Identify areas requiring policy and institutional reforms.

– Organizing awareness campaign for the farmers of the State for the new regime of WTO.

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 – Removing the structural barriers in tackling the issues of production, PHM, processing
and marketing.

Diversification of agriculture towards horticulture, medicinal and aromatic plants, spices etc
Application of IT in agriculture for addressing mass of farming community for transfer of
technology.

– Capacity building for extension workers.

– Giving due importance to frontier technology as R & D policy.

Long Term Strategy

Long-term strategy towards agro-exports may be defined, in view of terms of reference of the
Committee, as strategy, which visualizes long-term problems and suggest solutions accordingly.
Following are the milestones for long-term policy in this regard -

– Setting quality parameters for various agricultural produce on scientific lines.

– Standardization of production technology for export quality production at globally

comparative prices to serve dual purpose of protecting domestic market from imported
farm produce and getting increased access to export market

– Mapping of PHH infrastructure such as cold chain, sorting and grading / pack houses,
packaging, transport and storage and marking gap analysis.

– Identifying the need for varietal changes in crops from point of view of requirement of
end user.

– Identification of technology gap in production, plant protection, PHH, processing etc.

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 – Market sector reforms for domestic marketing system.

– Setting a system for market survey, market intelligence, market information, product
development, product promotion in place - especially with respect to transit markets
(domestic) and export destinations.

– Application of IT in agriculture extension and information dissemination.

– Assessment of HRD needs in changed scenario.

– Increased participation of private sector and women.

Infrastructure Required

Postharvest handling by scientific methods not only reduces post harvest losses of farm produce
but also makes quality material available for agribusiness and raw material for value addition and
processing.

Agriculture engineering wing of the sector of agriculture in public sector has remained almost
stagnant so far as development of latest infrastructure in terms of plants and machinery is
concerned. Even the ‘minimum technical specifications, performance parameters of such
equipment do not match the actual requirement of farmers. Except for the segment of items
reserved for SSI units others have undergone a lot of technological up gradation by private
sector’s effort.

Road, water and power are other important infrastructure whose support is required for increase
in agribusiness. Out of this road development plans are better implemented than irrigation and
power sector. Cold chain, pack houses, scientific storage, advance markets are some other
essential ingredients of infrastructure.

Access to rail-head, port and cargo terminals of air-port are of equally high significance.

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In case of the State of Maharashtra the farm mechanization is of moderate nature. Road, water
and power availability is better than many other States.

Except the liberal water and power policy for irrigation water has adversely affected our valuable
land resources. The state has too much cold storage, which are not economically viable. There is
strong need to do the mapping of cold chain infrastructure and have a policy to make them viable
by getting them business for minimum of 300 days in a year.

Controlled atmospheric storage systems are still not standardized for tropical fruits grown in the
State. The state has international air-port at Mumbai and sea ports at BPT and SNPT, which puts
it in advantageous position. However, small ports can be developed in mango producing area to
save cost on transport. Air cargo terminal at Sahara (Mumbai) is not yet provided with cold chain
of adequate capacity.

Following infrastructures are required to be developed as a long term strategy.

– Cold chain as per requirement identified after proper mapping as discussed above
(At present there are about 161 cold storages in the state but majority of them are
concentrated in Western Maharashtra and hence there is no uniform distribution of them
leading to under utilization of this facility in some areas and cut throat competition in
other area)
Techno-Infrastructure Gap

In WTO regime non-tariff barriers are going to be more difficult to counter than the tariff
barriers. Techno-infrastructure helps us in maintaining quality of farm inputs and output.
Following are major techno-infrastructure required for maintaining quality of inputs and quality
of production in context of the State.

– The laboratories should be established for testing of genetic purity, Eliza test and other
important Tests.

– Tissue culture laboratories should be established for production of quality planting

material by using tissue culture i.e. micro- propagation techniques.

– Development of facilities for production of disease / virus free planting material.

– Leaf and Tissue Analysis labs.

– Residue testing labs at Nashik.

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– Facilities for VCU testing of planting material under new (draft) Seed Act.

– Creation of facilities for DUS testing as per National Guidelines under Plant Variety
Protection Act 2001.

– Phytosanitary labs at the level of phytosanitary certificate agency.

– Modernizing of quarantine testing facilities.

– Short term and medium term Weather Forecasting Facilities.

– Pest and Disease Forecasting Centers.

– Bio-technology Park to facilitate availability.

– Bio-agent labs.

– Advance Fertilizer, Pesticide and Seed Testing Labs.

– Food testing labs- to check quality standards of food material targeted for exports (In
addition to test the samples of fruits, flowers, vegetables and processed foods imported
in India).

– Upgraded Virology labs.

– Advanced Soil & Water testing labs

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Technology and R & D Needs

Varietal changes in F & V to meet the requirements of end users

(Majority of the available varieties of horticultural crops are not suitable for processing on
account of low TSS contents, color, pulp ratio etc. Unless varietal changes are made this sector
can not be exploited properly.)

– Scanning of planting material from various sources all over the world in F & V for
selective imports for multiplication in public sector till public sector R & D has yielded
desired results.

– (Contribution of public sector in releasing varieties is very mire. Considering the

international market trend, market potential for India, relevant germ plasm from all
available resources must be screened to become self sufficient in getting varieties of
International quality).

– Advanced Technology for food processing including fruit processing for citrus, banana,
pomegranate, sapota etc. for making RTS (Ready to serve) drinks etc.

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– Technology for advance packaging.

– Technology for CA storage of tropical fruits.

– (The controlled atmosphere storage facilities today available are not tuned to the need of
tropical fruits. There is also need for multi-crop, multi-chamber type of cold storages.
This technology should be environmentally friendly.)

– Application of bio-technology in food processing and plant genetics

– INM and management of micro nutrients to crops with special reference to horticulture
crops
– (Integrated nutrient management is still in its childhood. Except for few crops such as
grapes, it is not yet thought of the basic limitation is non availability of proper fertilizers.
Maharashtra has recommended few grades of liquid fertilizers. The department has
extended assistance to SAU’s for setting up of leaf and tissue analysis laboratories)

– Complete IPM package in horticulture crops, maize etc.

– Further R & D for varietal development of hybrid seeds in paddy for Nashik region, tur,
pulses and oilseeds including need base Breeder seeds.

– Improving efficacy of bio fertilizers.

– Short term and medium term weather forecasting system.

– Pest and disease forecasting.

– Crop health monitoring and area survey by satellite imageries for kharif and horticulture
crops.

– Technology for leaf and tissue analysis for making recommendations for INM.

– Preparation of Crop wise Good Management practices should be made available to the
farmers.

– Guide to the farmers for maintained of GMP record for export purpose.
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 – To finalize the packaging standard for all horticultural commodities which have export
potential?

– To finalize the codex standard for exportable horticultural crops like grape, mango,
onion, pomegranate, etc.

– Establishment of Vapour Heat Treatment plant at Nashik district for export of Mangoes.

Strengthening of marketing facilities

– Marketing cooperatives should be established in horticultural areas. This would link

producer with consumers.

– Rayat Bazaars on the lines of Andhra Pradesh should be organized all over Maharashtra.
All municipal bodies should create necessary in fracture for that.

– Weekly bazaars for sale of vegetables, fruits and lowers should be organized in every
village. The village panchayat should be creating necessary in fracture for weekly
bazaars.

– The village women are given training in scientific preservation fruits and vegetables.

– The micro-credit Groups movement whish is known as ‘Bachat Gats’ has been widely
spread all over Maharashtra. This movement has empowered women both rural and urban
areas. Self-employment for women would be generated both in rural and urban areas.

– Co-op marketing societies to be established in each village.

– Credit facilities for horticulture / Agriculture produce should be given by NABARD on

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 5 to 6 % interest rate.

Policy and Structural Reforms

– Introduction of New Seed Act and setting up support system for VCU testing.

– Finalization of subordinate legislation’s for PVP Act 2001 and Setting support system for
DUS testing in Order.

– Market Reforms - APMC Act.

– Public sector investment in non profit making key infrastructure.

– Reorganization of Director of Agriculture on Farming System Approach.

– Tax policy for food processing industries.

– Tariff policy for Hi-tech agriculture.

– Tariff policy for imports to be sensitive to domestic producers’ protection.

– Import policy for planting material in F & V in public sector for making new hybrids
available to common farmers SSI related policies.

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 – Labour laws-amendment.

– Market Access Initiatives -New Role of Indian Consulates Abroad.

– Synergy of Director of Agriculture, Marketing.

– Synergy of ICAR and CSIR.

– Forum for Coordination among Air Port Authority, Customs, Air Lines and Exporters,
railway.

Major recommendation for strategy of 10th plan period for Agricultural

Export from Nashik district region

Major recommendations.

Infrastructural requirements.

– Post harvest handling by scientific method.

– Food, water and power.

– Cold chain, pack houses, scientific storages and advance markets. Access to rail heads,
ports and cargo terminals of air ports. Processing units.

– Food parks, Bio-technology parks.

– Fully developed agri-export-zone.

– Modern flower auction house.

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 – Air cargo terminal with cold chain at Mumbai and Nagpur.

– Rural godowns for storage of non perishable farm produce.

– Farm level improved onion storage structures.

– Advanced and developed markets.

– Web based market information system and formation of kiosks Video conference
facilities.

Techno Infrastructure.

– Leaf and tissue analysis labs.

– Residue testing labs.

– Facilities for VCU testing for planting material under new (Draft) seed act.

– Facilities for DUS testing as per PVP act.

– Phytosanitary labs at the level of Phytosanitary certification agencies.

– Modernization of quarantine testing facilities.

– Weather / pest and disease forecasting centers.

– Bio-technology Park to facilitate availability.

– Advanced fertilizers and seed testing labs.

– Food testing labs.

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 – Up-graded virology testing labs.

– Advanced soil and water testing labs.

Policy and Structural Reforms.

– Introduction of new seed act and setting up support system for VCU testing.

– Finalization of subordinate legislation for PVP act 2001 and setting support system for
DUS testing.

– Modification of APMC act.

– Public sector investment in non-profit making key infrastructure.

– Tax policy for food processing industry.

– Tariff policy for imports to be sensitive to domestic producer’s protection.

– Import policy for planting material in fruits and vegetables in public sector for making
view hybrids available to common formers.

– Labor laws amendments.

– Markets access initiatives and new role of Indian consulates abroad.

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Common Constraints on Exports of Agricultural Produces.

1. Restrictive and ad hoc trade policy towards agricultural products.

2. High cost of production and export transactions.

3. Lack of sound and efficient infrastructure for post harvest.

4. Management such as storage, cold storage, and bottlenecks at mandies Insufficient &
inadequate storage & handling facilities at ports of shipment.

6. Absence of adequate & timely market intelligence for producers & exporters.

7. Poor quality of the products & absence of standard, presence of high level of pesticide
residues.

8. Poor quality assurance system & absence of certification system to conform to international
requirements.

9. Lack of modern & technologically sound certification agencies & laboratories.

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10. Absence of appropriate technology protocols for handling, storage, and transportation.

11. Inadequate efforts in market development & brand building.

12. Over-dependence on few markets.

Major Constraints of Agri-Export Sector

– Lack of a broad raw material base in terms of the kinds and varieties of fruits and
vegetables suitable in all respects for processing and their availability in commercial
quantities at prices economical to the processing industry. Invariably, the cost of the raw
material is high.

– Low productivity and poor quality of the produce as compared to the very high levels
obtained in the advanced countries affect processing and none of the processing units
work to full capacity utilization. Much of the produce taken up for processing is devoid
of the quality attributes or characteristics required for processing

– Despite the WTO and the Agreement on Agriculture (which focuses primarily on
reduction of tariffs, increased market access, reduction in Aggregate Measure of Support
in the form of subsidies) subsidies continue as a result of which the expected gains have
eluded developing countries like India.

– Imposition of non-tariff barriers like sanitary and phytosanitary (SPS) conditions on

imports from developing countries. Lack of awareness and knowledge about the SPS
measures and quality standards required to be adopted by the processing industry and
exporters.

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 – Fruits and vegetables are generally constrained by poor price support, credit support and
delivery system which affect processing.

– The quality of packaging is poor. Importing countries demand specific packaging for
each produce and the use of bio-degradable materials resulting in high cost of packaging.

– The emergences of trading blocs in Asia, Europe and North America have also
considerably affected India’s agri-export trade.

– Due to poor infrastructure in handling, transport, marketing and processing, horticulture,

as an industry, has not grown in our country. Poor infrastructure, particularly
transportation, road networks, and freight and cargo facilities, cold storage facilities, etc.,
coupled with inadequate post-harvest management affect the produce and products.

– Inadequate supply of power, water and research and development support add to the
constraints.

– The freight rates in India are reported to be around 50 to 100 per cent higher than those
prevalent in some other countries which does very little to improve our competitiveness.

– It is the residual rather than the fresh produce that is often taken up for processing, which
has a bearing on quality.

– Lack of a proper marketing strategy geared to meeting the raw material requirement of
processing units and ensuring a sustainable export market for the processed products.

– Poor and inconsistent quality of processed products and inadequate export promotion are
some of the constraints plaguing the processing industry.

Market Access and Information:

There is a need to provide continuous updating of data on market information, market access,
procedures and processed etc.

Trade Related Intellectual Property Rights:

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India should launch genetic and legal literacy movements immediately to sensitize panchayat and
rural families on the implications of the protection of plant verities and Farmers Rights Act 2001
and Biodiversity Act 2002, since they contain provisions for recognizing and rewarding the
contributions of the primary conservers of biodiversity and holders of traditional knowledge.

Credit Facilities.

The EXIM Bank, in consultation with APEDA and the Ministry of Agriculture, may set up Farm
Export Promotion Cells in each AEZ and provide necessary technical support and guidance to
the exporters. It can also open offices in each state in order to promote agri export and also
establish overseas branches in countries where Indian exports are favorite destinations.

Economies of scale:

Economies of scale and brand-banding can only happen when large and big companies enter the
sector. In this respect, contract farming and corporate farming should be extended credit facilities
with liberal terms and making storage, movement, processing, marketing and trade of farm
commodities free from regulations and controls.

It is necessary to consider streamlining the procedure for export financing of agricultural

products which are perishable in nature and making it entrepreneur-friendly. Likewise, the
procedure for obtaining export credit guarantee cover should be streamlined and made exporter-
friendly and in this respect a comprehensive insurance cover right from the stage of production
to export can also be considered.

Policy Challenges

The following policy options should receive our attention at the earliest with a view to preparing
ourselves meeting the full impact of WTO.

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– Increased investment in agriculture.

– Increased flow of institutional credit to facilitate agricultural exports.

– Diversification from cereals to high-value crops such as fruits and vegetables,

floriculture, spices, animal husbandry, fisheries, medicinal and herbal crops etc.

– Promoting and encouraging public-private partnership to facilitate investment in

infrastructure such as in irrigation, agriculture research, electricity, roads, rural markets,
cold storage and transportation etc in an Endeavour to reduce transportations costs.

– Organizing farmers into associations that would jointly produce and process commodities
for international markets at both the regional and global levels including formation of,
and motivation to, SHGs for cultivation, processing, marketing, nurseries, seeds
production etc and linking such initiatives through contract farming and corporate
farming.

– Increased investment on developing viable and cost effective seeds industry.

– Developing institutions and providing support to them for the vertical integration of
production, processing, packaging and marketing of agricultural produce with public-
private partnership.

– Policy framework for the contract and corporate farming should be streamlined.

– Improving sanitary and phytosanitary measures as wells as the adoption of codex

alimentations standards of food safety and simultaneously evolving SPS standards for out
domestic products as well as imports including strengthening the capacity of the state
government institutions for educating the farmers with regard to SPS requirements.

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Section 8
Conclusion & Recommendation

55 | P a g e
 CONCLUSION

Agriculture occupies a prominent position in Indian policy-making not only because of its contribution to
GDP but also because of the large proportion of the population that is dependent on the sector for its
livelihood.

Results indicated APEDA (Agricultural & Processed Food Products Export Development
Authority of India) for export of agricultural products specially fruits, vegetables & processed
food from Nashik region requires high level of managed coordination to synchronize the supply
processing chain for APEDA.

The results also suggest that APMCs with the help of APEDA can be used as a way to link
small-scale growers with agri-business, however on condition that correct governance structures,
good relation between the parties and reduction of transaction costs are taken into account for
export agricultural commodities like fresh fruits ,vegetables, raw processed food, raw wine etc.

The also suggests with the APMCs that agriculture market is unlikely to be as synchronized as
contracting with respect to ensure the continuous supply of a uniform quality of the raw
materials and also supports the overwhelming empirical evidence of the relationship between the
transaction characteristics of the firm and governance structure.

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 RECOMMENDATIONS

Because of European Union is major agricultural produce export destination of India maximum
high & export quality agricultural commodities such as fruits (pomegranate, grapes) some
vegetables & processed as well as raw food products like wine etc. Majorly exported From AEZ
of Nashik region.

There are some Agricultural commodities which enjoy a commanding position in the EU, US &
Asian markets viz. Fruits like pomegranate, grapes, onion, processed raw food products, raw
wine etc. Nashik (District’s) is not likely to face any tough competition in these markets in the
near future but a little value addition in these products could fetch India handsome foreign
currency.

There are markets where Nashik district region has lot of potential but the product quality,
variety, volume, transportation, infrastructure are not adequately developed. A majority of
APEDA products falls in this category viz. all fruits and vegetables, ethnic and ready to eat food,
floriculture.

APEDA monitor the exports of more than 400 agriculture products for which there is vast
untapped market in the European Union. These products are registering export growth higher

57 | P a g e
than any other agriculture product in the EU and other India’s major exporting destinations
should be developed and promoted more vigorously so as to establish their sustainability in the
EU, USA,UAE, market.

Then there are some traditional items like tomato, papaya, guava etc. from the region which is
not keeping pace with the import growth of EU, USA. APMCs with the help of APEDA have to
revitalize the product and market in terms of applying workable measures to boost exports. A
fresh approach to the development and promotion programmes and value addition especially in
packaging and branding of these products could make a lot of difference.

Organic farm produce (agricultural commodities) enjoys a good demand in European Union
(EU) market and Nashik district’s region has an opportunity to export its organic produce to this
market. The demand for organic products has risen because the EU consumer has become more
health conscious and greater environmental awareness. The demand for organic food in the EU
has now penetrated even to the rural areas.

Section 9
References & Appendices

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 REFERENCES

Books & Publications

Aksoy, M.A. and Beghin, J.C. (2005) Global Agricultural

Trade and Developing Countries. Manas Publiacations, New Delhi.

Dehadrai, P.V. and Yadava, Y.S. (2004)

Agriculture export development In: State of Indian Farmer.
A Millennium Study. Volume 13.
Ministry of Agriculture, Government of India, New Delhi.

APEDA (2009).Export Statistics for Agro & Food Products: India 2008–09
New Delhi, India: Agricultural and Processed Food Products Export Development Authority.

Websites –

www.apeda.com
www.agricultureinformation.com
www.tradeget.com

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www.exportersindia.com

APPENDICES

Questionnaire

Farmer Questionnaire

Farmer Name:

Contact no.

1] Which Agricultural commodities do you produce?

□ Fruits □ Vegetables □ Cereals □ Flowers

2] Would you prefer to sell your agricultural produces of high quality, to APMCs?

□ Yes □ No

3] Have you sold agricultural commodities earlier?

□ Yes □ No

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 4] If YES, which commodities give maximum returns?

□ Grapes □ Pomegranate □ Tomato □ Onion.

5] How do you come to know about APEDA?

□ Agriculture Officers □ APMCs

6] Do you take schemes & benefit from APEDA?

□ Yes □ No

7] Do you satisfy to sell your agri produce to APMCs?

□ Yes □ No

Exporter Questionnaire

Name of Exporter or Company

Contact no.-

1] Which commodity has maximum demand for export from this area?

□ Grapes □ Pomegranates □ Tomatoes □ Onions

3] Which Commodity fetches higher prices in international market exported by you

in recently?

□ Grapes □ Pomegranates □ Tomatoes □ Onions

4] Do you find effective export in a particular season?

□ Yes □ No

5] Which activities do you think helps agri export?

□ Own activities □ APEDA activities

6] Which agri commodities do you export more from this region or prefer the most?

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 □ Grapes □ Pomegranates □ Tomatoes □ Onions

7] Why?

□ High Margin □ Demand

8] What are the problems associated with the exporting of agri produces?

□ Exporting cost □ Timely supply □ APEDA norms □ others

9] Whether the APEDA provides any advertisement kit?

□ Yes □ No

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