Fruits of Success !!
Continuation of Changing Food Habits of India(http://agribiznlife.blogspot.com/2011/01/changing-food-habits-of-india-do-we.html)
Farmer Vishal Satpude (Fictitious) lives in a 40,000 sq ft farm house in Telangwadi near Solapur, 30 years ago a dream, now a reality. Over the period, Satpude borrowed money from friends and bought a few farmyard animals. In 1985, he purchased 27 acres of barren land. Using drip irrigation, Satpude cultivated pomegranate, and his toil has yielded his dream come true. Today, his orchard extends to 300 acres, and he owns, in addition to the farm house, a cold storage and packaging house worth crores, a few cars and much more. (Over the last few years, pomegranate area is replaced by Bananas, as the story progresses we know why)
None the less, Satpude's transformation is the stuff of case studies in B-schools of India and abroad. But more than that, it is representative of a silent fruit revolution in the state's drought-prone areas, and some of the hilly regions in the North.
Farmer Vishal Satpude (Fictitious) lives in a 40,000 sq ft farm house in Telangwadi near Solapur, 30 years ago a dream, now a reality. Over the period, Satpude borrowed money from friends and bought a few farmyard animals. In 1985, he purchased 27 acres of barren land. Using drip irrigation, Satpude cultivated pomegranate, and his toil has yielded his dream come true. Today, his orchard extends to 300 acres, and he owns, in addition to the farm house, a cold storage and packaging house worth crores, a few cars and much more. (Over the last few years, pomegranate area is replaced by Bananas, as the story progresses we know why)
None the less, Satpude's transformation is the stuff of case studies in B-schools of India and abroad. But more than that, it is representative of a silent fruit revolution in the state's drought-prone areas, and some of the hilly regions in the North.
The government too is nurturing this growth - the Maharashtra government decided to align its employment guarantee scheme with horticulture, providing a 100% subsidy to set up fruit orchards and extending subsidies for drip irrigation systems in the early nineties. The entire socio-economic landscape of many fruit cultivating regions have been transformed. On account of this initiative, Aran village in Maharashtra's Solapur district and Atpadi and Jat in Sangli districts, known for severe famines from the British era till a decade ago, are today leading export hubs of premium quality grapes and pomegranates. A decade ago, Aran villagers would march up to the district collectorate if it did not run the employment guarantee scheme that year. But today, it is hard to get farm labour here, as the village has a 1,000 acres reserved for the sought-after , deep-red Bhagwa variety of pomegranate. With the bhagwa variety of pomegranates, popular in Europe because of their bright red cover, India has beaten traditional exporters Iran, Egypt and Israel. Annual pomegranate exports grew from a meagre 7 tonnes to 35,000 tonnes in the last decade(1991-2011) . The variety was discovered by accident, when research on pomegranates was pilfered out of an agricultural university in Maharashtra some years ago. As the university had not officially developed the variety, the farmers themselves named it bhagwa, or saffron in Marathi.
Not only are grapes and pomegranates bringing in money, fruits like strawberries and kiwi, which are not indigenous crops, too have established themselves as revenue-earners for farmers in the domestic market. Kiwi was introduced in the 1960s by the central government in Himachal Pradesh.
"The Indian market is so big that we cannot even think of exports," says Mr Prashant Kashyap (name changed), a 58-year-old kiwi farmer from Solan district of Himachal Pradesh who grows 160 fruit-bearing trees on just under two acres. He began on barren land in 1995. This year, he has sold kiwi produce worth Rs 20 lakh.
Today, demand for the fruit has picked up in the domestic market. Grown over 128 hectares in the mid-hills of Himachal Pradesh (1000-2000 m above sea level), 2010-11 production grew by 25% over 2009-2010 on the back of strong domestic demand, according to state government data. Farmers have gone so far as to import the stalks from China, Japan and New Zealand.Though initial investment is high, farmers get 50% profit in the first year of harvest.
Processing has played a big part in the development of Mahabaleshwar, a hill station near Pune. For many years, the local population found work only during the summer months, when tourists would come visiting. In the mid-90 s, the state government and local farmers took up commercial plantation of strawberries, which were first introduced by the British and were grown till then only for tourist consumption. The import of strawberry seedlings from California has helped the areas under plantation to increase to increase from negligible to 20000 Ha in a decade.
Not only are grapes and pomegranates bringing in money, fruits like strawberries and kiwi, which are not indigenous crops, too have established themselves as revenue-earners for farmers in the domestic market. Kiwi was introduced in the 1960s by the central government in Himachal Pradesh.
"The Indian market is so big that we cannot even think of exports," says Mr Prashant Kashyap (name changed), a 58-year-old kiwi farmer from Solan district of Himachal Pradesh who grows 160 fruit-bearing trees on just under two acres. He began on barren land in 1995. This year, he has sold kiwi produce worth Rs 20 lakh.
Today, demand for the fruit has picked up in the domestic market. Grown over 128 hectares in the mid-hills of Himachal Pradesh (1000-2000 m above sea level), 2010-11 production grew by 25% over 2009-2010 on the back of strong domestic demand, according to state government data. Farmers have gone so far as to import the stalks from China, Japan and New Zealand.Though initial investment is high, farmers get 50% profit in the first year of harvest.
Processing has played a big part in the development of Mahabaleshwar, a hill station near Pune. For many years, the local population found work only during the summer months, when tourists would come visiting. In the mid-90 s, the state government and local farmers took up commercial plantation of strawberries, which were first introduced by the British and were grown till then only for tourist consumption. The import of strawberry seedlings from California has helped the areas under plantation to increase to increase from negligible to 20000 Ha in a decade.
Grapes, too, are profitable when exported and processed. Domestic wholesale prices have increased marginally during the past 25 years from 10 a kg in 1985 to 15-20 a kg in 2010. However, last year raisins earned farmers 150-160 a kg. "Considering it takes four kg of grapes to make one kilo of raisin, processing helped farmers double their income," says Sanjog Patel, a farmer from Sangola in Solapur district.
Farmers in Himachal have been making a fortune from apples. Production has risen to 15 crore boxes in August-December 2010 from 8-9 crore boxes (50 boxes make one tonne) in 2009 and traders and corporates such as Adani, Concor, Bharti and Dev Bhumi Cold Chain are queuing up to procure the fruit. With a bumper crop this year, farmers received a good 35-50 a kg for the premium varieties.
One of the issues is a shortage of new varieties of crops and pest control. Custard apple is one fruit that feels the pinch, in the absence of late maturing varieties which will bear fruit when there is no competition. During the peak season, fruits tend to flood the market, bringing down prices and costing farmers dear. With good management, one can earn 3 lakh an acre from custard apple. But the income can be higher and that too without any processing if we get these varieties.
Pomegranates have felt the crush of disease. Failure of the scientific community to address the bhagwa variety's susceptibility to disease has resulted in the area under pomegranates declining to 70,000 hectares in 2010 from 92,000 hectares four years ago. Satpude, who cultivates fruits on 300 acres, has cut down 150 acres of pomegranate orchards and replaced it with banana plantations. Attractively packaged gooseberries, locally called 'ber' , saw rates fall to 4-5 a kg in 2010 from 15-20 a kg in 2000. Fruit lost some of its sharp taste due to the overuse of chemicals. Exporters are also working overtime to educate farmers about the risks associated with pesticide residues. The Agricultural and Processed Food Export Development Authority, on its part, has established the Grapenet and Anarnet chemical residue traceability systems for grape and pomegranate exports to the EU respectively. The Maharashtra government, too, bears part of the cost of procuring a Global GAP certification, which gives farmers access to the qualityconscious European market.
Quality and shelf life are also an issue with some fruits. The Indian kiwi, for instance, does not match imported ones on these criteria.
Perhaps the greatest counter-balance to these can come from growing domestic demand, as a middle-class , health-conscious India spends more on fruit and fruit-based products. Fruits are the hottest new symbols of prosperity. At most weddings, at least five varieties of exotic imported fruits, ranging from rambutans to milky peaches, adorn buffet tables. No longer do consumers need to look out for imported fruits from the US, Malaysia, Australia and China either. Indian farmers have begun growing most varieties.
Fruits like pomegranates or apples fetch high prices for their medicinal properties or exotic value. Research in the West has shown that pomegranates contain anti-oxidants which prevent heart ailments.Today, there is so much international demand for Indian pomegranates but we meet only a small portion of that. Domestic consumers are ready to pay 200 a kg.
Fruits are the new convergence point of middle class lifestyles and rural profits. A new green revolution may just be round the corner. Engels theory still holding good and soon we are to see a civilization surviving on fruits and vegetables in 10-15 years.
(Still to be continued)
Quality and shelf life are also an issue with some fruits. The Indian kiwi, for instance, does not match imported ones on these criteria.
Perhaps the greatest counter-balance to these can come from growing domestic demand, as a middle-class , health-conscious India spends more on fruit and fruit-based products. Fruits are the hottest new symbols of prosperity. At most weddings, at least five varieties of exotic imported fruits, ranging from rambutans to milky peaches, adorn buffet tables. No longer do consumers need to look out for imported fruits from the US, Malaysia, Australia and China either. Indian farmers have begun growing most varieties.
Fruits like pomegranates or apples fetch high prices for their medicinal properties or exotic value. Research in the West has shown that pomegranates contain anti-oxidants which prevent heart ailments.Today, there is so much international demand for Indian pomegranates but we meet only a small portion of that. Domestic consumers are ready to pay 200 a kg.
Fruits are the new convergence point of middle class lifestyles and rural profits. A new green revolution may just be round the corner. Engels theory still holding good and soon we are to see a civilization surviving on fruits and vegetables in 10-15 years.
(Still to be continued)
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