Exports of preserved food double in five years

The export of Indian preserved food articles like pickles, murabbas and chutneys have more than doubled in the past five years.

In terms of quantity, achaar-murabba exports have risen from 21,138 tonnes in 1998-99 to over 56,384 tonnes in 2002-03. In value terms, exports have doubled from Rs 75.96 crore to over Rs 154.16 crore during this period.

According to the National Achaar-Murabba Association (NAMA), this has been largely due to an increase in the number of food preservation and processing units, both in the SME (small and medium enterprises) and largescale categories. However, the maximum number of achaar and murabba producing units continue to be in the cottage industries sector.

There are a total of about 2,000 units producing achaar and murabbas in the organised sector, with a combined annual turnover of nearly Rs 400 crore. About 15-20 per cent of these have a modest annual production capacity of between 50 tonnes and 250 tonnes. Only 7-8 per cent of these units have relatively higher capacities.

The size of the market for such traditional products is growing at over 20 per cent a year. The prospects of exports, too, are considered good.

At present, these exports are confined largely to countries having a sizeable Indian population, such as the UK, the US, Saudi Arabia and Kuwait.

The country's major commodity-based news service, NNS, together with the NAMA and the All-India Food Processors' Association (AIFPA) has organised the 3rd national seminar on pickles and murabbas in Delhi on April 4 to highlight the problems facing this sector and prepare strategies for boosting their domestic market and exports.

It would apprise the participants of the emerging export opportunities in various countries and how to capitalise on them.

According to NAMA president Omprakash Sahu and NNS managing director Rajesh Gupta, the high growth in this sector could be sustained only if the issues related to hygienic production and quality were sorted out.

Besides there was need to develop infrastructure for increasing production of export quality stuff by using modern technology.

The industry need to prepare itself to meet the norms set by the World Trade Organisation for international trade of processed food products.

They also voiced the need for prompting the tiny units to get organised in view of the anticipated tough competition after the imminent entry of the multi-national companies in the achaar-murabba sector.

At present, though India is the world's second largest producer of fruits and vegetables, its food preservation and processing base is rather narrow. Less than 2 per cent of the total output is preserved or processed for value-addition and shelf life enhancement.

This situation is bound to change with the growth in the number of units producing achaar, murabba, candy and chutney in the organised sector.