Export Potential of Horticultural Products from North Eastern States

Transcription

EXPORT POTENTIAL OF HORTICULTURAL PRODUCTS
FROM NORTH EASTERN STATES
INDEX
EXECUTIVE SUMMARY
1.
INTRODUCTION
1.1
1.2
2.
HORTICULTURE IN NORTH EASTERN STATES
2.1
2.2
3.
4.
5.
14-35
ARUNACHAL PRADESH
ASSAM
MANIPUR
MEGHALAYA
MIZORAM
NAGALAND
SIKKIM
TRIPURA
NORTHEASTERN STATES
EXPORTABLE SURPLUS IN NORTHEASTERN STATES
5.1
5.2
5.3
5.4
5.5
5.6
5.7
5.8
5.9
5.10
11-13
OBJECTIVES OF THE STUDY
SCOPE OF THE STUDY
METHODOLOGY OF THE STUDY
LIMITATION OF THE STUDY
STATE WISE STATUS OF HORTICULTURE
4.1
4.2
4.3
4.4
4.5
4.6
4.7
4.8
4.9
8-10
THE NORTH EASTERN STATES
HORTICULTURE IN NORTH EASTERN STATES
STUDY ON HORTICULTURE IN NORTH EAST
3.1
3.2
3.3
3.4
1-7
HORTICULTURE IN INDIA
EXPORT OF HORTICULTURE PRODUCES
CITRUS
BANANA
PINEAPPLE
PAPAYA
JACKFRUIT
GINGER
TURMERIC
POTATO
CHILLIES
OTHER CROPS
36-48
5.11
5.12
6.
EXPORT PROMOTION OF HORTICULTURE PRODUCES
FROM NER
6.1
6.2
6.3
6.4
6.5
6.6
6.7
6.8
7.
FLORICULTURE
EXPORTABLE SURPLUS FROM NORTH-EAST
EXPORTS OF HORTICULTURE PRODUCE FROM NER
SUPPORT STRUCTURE FOR EXPORT PROMOTION
TRANSPORT NETWORK IN NER
AIR LINKAGES IN NER
MARKET INFRASTRUCTURE
PROCESSING FACILITY
COLD CHAIN
IN LAND TRANSPORT ASSISTANCE SCHEME OF APEDA
RECOMMENDATIONS
7.1
7.2
7.3
7.4
7.5
7.6
7.7
49-59
MODIFICATIONS RECOMMENDED IN IN-LAND TRANSPORT
ASSISTANCE SCHEME
TRANSPORTATION
AGRICULTURAL SUPPLIES
PACKAGING MATERIAL
COLD CHAIN
MARKET CONSIDERATIONS
RESOURCE REQUIREMENTS
ANNEXURES
60-65
Executive Summary
The States in the North Eastern Region of India offer immense
scope for exploiting the export potential of their horticulture products.
These States have been producing substantial quantities of fruits and
vegetables, which have considerable potential for exports to the
international markets. With the integration of Indian Economy with the
global markets, the potential of horticulture exports from this region can
provide a huge competitive advantage in international trade in the coming
years.
The North Eastern Region has been producing many such products,
which have a very high potential for supplying to the export markets in
fresh and processed forms. However these States have not been able to
achieve much growth in this sector due to many inherent weaknesses such
as lack of transport infrastructure, lack of awareness and poor marketing
linkages.
It was in this background that the Agricultural and Processed Food
Products Exports Development Authority (APEDA) decided to conduct a
quick assessment study on export potential of horticulture products from
the North Eastern Region. The study was assigned to CMI Social Research
Centre and was conducted during October – November 2005.
The study was aimed at assessing the exportable surplus quantities
of horticulture products in the Northeastern States and to suggest an
action plan for providing the necessary support for export promotion of
these products. In-depth discussions with the State Government officials
of these States, Members and representatives of various organizations
i
CMI Social Research Centre
were held during the study. An exhaustive desk research on various
published documents was under taken under the study. Chapter – 3
provides the detailed objectives, scope and Methodology of the study.
Major findings of the Study:
The data on production of major horticulture crops was collected
from each of the State in the region and surplus quantities were estimated
after taking into consideration the local consumption and average post
harvest crop loss of each of the produces. It was found that the region has
huge surplus quantities available to market in the other States and for
exports to the international markets. It was also observed that a lot of these
products are also being marketed to the other States within the country
and a few of them are also being exported to the neighbouring countries
like Bangladesh and Myanmar. Chapter – 4 terms to a detailed assessment
of the production and surplus quantities of the major horticulture crops in
each State.
The major potential crops, which are in surplus quantities and have
the potential of exports from the region are Citrus (Orange), Banana,
Pineapple, Papaya, Jackfruit, Ginger, Turmeric, Chilli and Potato etc. other
crops like Apple, Passion fruit, Green vegetables, Cut flowers, Spices also
can be successfully developed and commercially exploited for targeting
international markets. The floriculture in these States is also expected to
increase and can be explored for international markets. The crop wise
surplus quantities available over all the Northeastern States is provided at
Chapter –5.
It was observed that the exports of horticulture produce from the
Northeastern States have been mainly of Orange/Citrus fruits, Ginger and
Pineapple etc. The geophysical condition as well as lack of infrastructure
ii
facilities has restricted these exports to only neighboring South-Asian
countries.
The promotion of exports of horticulture produces from the NER
requires a major support in building the necessary infrastructure and
support systems. The existing infrastructure for the development of
horticulture is highly inadequate in many ways. The low technological
base and limited market infrastructure with virtually no storage facilities
and inadequate means of transport have resulted in a very low or even no
growth in this sector.
The status of air facilities in the region is also very poor. The L.G.B.
international airport at Guwahati has recently commenced some
international flights however they only link to the far Eastern countries
and are of not any help for the export promotion of horticulture produces.
Very small cargo space is available in the domestic flights connecting to
major cities like Delhi and Mumbai.
The markets in the region are largely unorganized and dominated
by the small private traders. The infrastructure, procurement practices and
marketing approaches are the major constraints in development of
markets in the region. The basic infrastructure facilities like storage,
warehousing and transportations are missing and thereby affect the
storage and mobilization of goods.
The processing capacity is developed on the potential of supply of
raw material of that area, however despite of huge surpluses available in
the region, the development of processing industry has been negligible in
these States.
iii
It was attempted to assess the reasons of the failure of the in-land
transport assistance scheme, operated by APEDA, which provides for
transport assistance to exporters for exporting notified horticulture
products and many Stakeholders of the trade, State Government officers
from the States and officers of other organizations were consulted to get
their views on the same. It was found that the main reason for the scheme
not picking up was largely limitations in the guidelines and the criteria
specified for availing the assistance. The major reasons for this scheme
not being able to work for the exports promotion from the NER are
provided below:

Since due to no direct international connections from Guwahati
international airport to the export destinations of the horticulture
products from the Northeast, no major consignment has taken place
through this route and thereby the assistance has been of no use to
the exporters.

There are very few direct connections from Kolkata airport to the
potential export destinations of these products and the lack of
facilities at Kolkata port to handle perishable commodities does not
make it suitable for the exporters to route their shipments through
Kolkata.

Further the rail network in the Northeastern States is also not very
extensive and requires multiple trans-shipments for transporting
goods through railways.

The hilly terrain of the area creates huge problems in transporting
the produces from the fields to the small markets and further
transportations for exports. In the absence of any suitable
iv
assistance, the local traders are procuring the produce through their
own channels and some of the produce is being exported to the
neighbouring countries like Bangladesh and Myanmar. These
exports are taking place by road through the land custom stations
in these States and no transport assistance can be provided under
the present scheme for such exports.
Recommendations
Chapter 7 provides a detailed action plan for export promotion of
horticulture products from NER, it contains recommendations for
modifications in the existing In-land transport assistance scheme,
implemented by APEDA and other suggestions for improving market
infrastructure,
technology
support
and
integrated
post
harvest
management. Following modifications were suggested in the scheme:
The scheme should provide for transport assistance subsidy for all
the APEDA scheduled products produced in the NER at the following
rates.
a) Rs. 1 per kg if the goods are transported by road from
Northeastern States for exports to the adjoining countries through
notified land custom stations at the borders.
b) Rs. 2 per kg, if the goods are transported by road from the
Northeastern States to Mumbai or Delhi, for further exports to
international destinations.
c)
Rs. 2 per kg, if the goods are transported by road to notified
processing units anywhere in the country for processing for
exports. This assistance shall be provided only to notified units
v
for purchase of notified fruits for processing on the basis of predetermined input-output norms by APEDA.
d) 50% of the airfreight charged by airlines from an airport in
Northeastern States and Bagdogra (West Bengal) to any
international airport in India for exports. This assistance shall be
available only for floriculture and horticulture produce of
extremely perishable nature.
e) Rs. 2 per Kg, if transported from Northeastern States to Kolkata
by rail through ICD Guwahati for exports.
In order to ensure that the assistance is provided to only to the
deserving beneficiaries and ensure that the product exported is actually
sourced from the NER, a control measure in terms of various certifying
documents are also suggested to prevent any misuse of the scheme.
vi
1. Introduction
1.1 Horticulture in India
India with diverse soil and climate comprises of several agroecological regions, produces variety of horticulture crops. These crops
form a significant part of the total agriculture produce in the country
comprising of fruits, vegetables, root and tuber crops, flowers, medicinal
and aromatic plants, spices and condiments etc.
These crops occupy almost 8.5% of the gross cropped area of the
country and contribute 28.5% to the GDP of agriculture and 52% of export
earnings in agriculture. India is the second largest producer of fruits and
vegetables next to China. Total productions of fruits have been estimated
at 43.00 million tonnes from 4.01 million ha. Vegetables occupy an area of
6.15 million ha.with a production of 88.62 million tonnes. India’s share in
world fruit and vegetable production is 10% and 13.40% respectively.
India is the largest producer of Mango and Banana with a share of 54.20%
and 11 % respectively in total world production.
India is the largest
producer of cauliflower, second largest in onion and third in cabbage in
the world. Floriculture which is estimated to cover an area of 0.106 million
ha., is the another area where India is has made noticeable advance with
production of 0.53 million tonnes of lose and 2585 millions cut flowers.
India is also the largest producer and exporter of spices and spice products
and cashewnuts, besides, being the largest producer of coconut and
arecanut in the world. After the Green Revolution it became very clear
that horticulture, for which the Indian topography and agro-climate are
well suited, is an ideal method of achieving sustainability of
smallholdings.
Adoption of horticulture both by small and marginal
farmers has brought prosperity in many reasons of the country of which
1
Andhra Pradesh, Karnataka and Maharashtra are the examples.
Horticulture development in the country continues to make steady
progress in terms of production and exports. The time bound removal of
quantitative curbs on import and other barriers to access to domestic
market under WTO of which India is a signatory, will require Indian
horticulture produce and products to be competitive both in the domestic
and export markets. Last few years have seen a significant increase in the
area, productions and productivity in horticultural crops in the country.
Area and production figure of horticultural crops in India is provided in
table 1.1 below.
Table-1.1: Area and production of important horticultural crops in India
(Area: million ha., production: million tonnes, Yield: tonnes/ha)
Commodity
1991-92
2001-02
% Increase
Area
Production
Yield
Area
Production
Yield
Area
Production
Yield
Fruit
Vegetables
2.87
5.59
28.63
58.53
9.98
10.47
4.01
6.15
43.11
88.62
10.72
14.41
39.7
10.0
50.2
51.4
7.5
37.6
Spices
2.05
1.9
0.93
2.31
3.00
1.30
12.7
57.9
40.11
Coconut
1.53
6.93
4.53
1.89
8.82
4.67
23.5
27.3
3.0
Cashew
0.53
0.30
0.57
0.77*
0.50*
0.65*
45.2
66.6
14.0
Arecanut
0.21
0.24
1.14
0.31
0.38
1.23
47.6
58.3
7.3
Others
0.21
0.26
1.24
1.46
1.84
1.26
595.2
607.6
1.61
12.33
96.53
7.83
16.59
146.27
8.79
34.6
Total
51.0
12.2
*Figures for 2002-03.
As apparent from table 1.1 above, the period has seen an increase of
34.6%, 51% and 12.2% in area, production and yield respectively in
horticultural crops in India. A comparison of area, production and yield
of the major fruits crops during the same period is provided at table 1.2
below.
Table-1.2: Area and production of major fruit crops in India
(Area:’000ha., Production:’000tonnes)
Crops
Apple
Banana
Citrus
Grapes
Guava
Litchi
1991-92
2001-02
% Increase
Area
Production
Yield
Area
Production
Yield
Area
Production
Yield
195
384
387
32
94
49
1148
7790
2822
668
1095
244
5.88
20.27
7.21
20.87
11.64
4.97
241.60
466.20
618.50
49.40
154.60
58.10
1158.40
14209.90
4789.10
1209.70
1715.50
355.90
4.80
30.50
7.50
24..40
11.10
6.10
23.9
21.4
59.8
54.3
64.4
18.6
0.9
82.41
69.70
81.09
56.67
45.86
-18.36
50.46
4.02
16.91
-4.64
22.73
2
Mango
Papaya
Pineapple
Sapota
Others
Total
1078
45
57
27
526
2874
8752.1
805
769
396
4144
28632
8.11
17.88
13.49
14.66
7.87
12.07
1575.80
73.70
77.20
52.00
643.10
4010.30
10020.20
2590.40
1182.10
593.50
5176.40
43001.10
6.40
35.15
15.30
11.41
8.00
14.60
46.2
63.8
35.4
92.6
22.2
39.5
14.49
221.78
53.72
49.87
24.91
50.18
-21.08
96.59
13.41
-22.17
1.65
20.96
As provided in table 1.2 above, India accounts for an area of 4.01
million ha., under fruit crops with a production of 43 million tonnes.
During the period the area, production and productivity of fruit crops
increased by 39.53%, 50.18% and 20.96% respectively. Fruit production
increased from 28.63 million tonnes to 43.00 million tonnes.
The crop wise area, production and yield of major vegetables are
provided at table 1.3 below.
Table-1.3: Area Production and Yield of major vegetable crops
Area ‘000 ha., Production ‘000 tonnes
1991-92
Crops
Brinjal
Cabbage
Cauliflower
Okra
Onion
Pea
Potato
Sweet Potato
Tapioca
Tomato
Others
Total
2001-02
% Increase
Area
Production
Yield
Area
Production
Yield
Area
Production
Yield
N.A
177
203
222
332
178
1135
N.A
N.A
289
260
5137
N.A
2771
2998
1886
4706
1296
18195
N.A
N.A
4243
22436
58532
N.A
15.7
14.8
8.5
14.2
7.3
16
N.A
N.A
14.7
86.3
11.4
502.4
258.1
269.9
347.2
495.8
303.3
1259.9
131.9
238.9
458.1
1890.6
6156.1
8347.7
5678.2
4890.5
3324.7
5252.1
2038.2
24456
1130.3
6515.9
7462.3
19526.2
88622.1
16.6
2.2
18.1
9.6
10.6
6.7
19.4
8.6
27.3
16.3
10.3
14.4
45.8
32.9
56.4
49.3
70.4
11.0
58.5
627.1
-
104.91
63.12
76.28
11.60
57.26
34.41
75.87
-12.96
-
40.12
22.29
12.94
-25.35
-8.21
21.25
10.88
-88.06
-
The area under vegetable is 6.15 million ha.with a production of
88.62 million tonnes and an average yield of 14.4 tonnes per ha.
China with an area of 29.60 million ha. produces 454.06 million
tonnes of horticulture produce and occupies the first position in the world.
India occupies the second position with an area of 16.59 million ha and a
production 146.27 million tonnes. Brazil occupies the third position
contributing 42.31 million tonnes of fruits and vegetables from an area of
2.84 million ha. Although India occupies the second position in global
3
horticulture production, it contributes only 1.18% and 0.20% of share in
global fruit and vegetable exports respectively.
1.2 Export of Horticulture Produces
The Horticultural Crops are considered a better option for
diversification of agriculture due to the higher returns available from them.
It also helps in improving productivity of land, generating employment,
improving economic conditions of the farmers and entrepreneurs,
enhancing exports and foreign exchange earnings. In developed countries,
the growing concern for health and nutrition has caused consumer
preferences to shift from high-fat, high-cholesterol foods, such as fish to
fruits and vegetables. This has also resulted in increasing imports of
horticultural products, especially from the developing countries like India.
The environment for increasing production of horticultural crops is
also very favourable in India because production of horticultural crops in
general is labour-intensive.
India endowed with abundant labour in
relation to capital has competitive advantage in production and exports.
Horticultural products not only have good potential for generating
employment in cultivation but also in processing, marketing, and
distribution and they are frequently produced on small farms, thus
providing an important source of additional income for poor farmers in
developing countries. There are many horticultural products, especially
fruits that fetch high prices in the international markets. The growing
attention in horticultural exports is also aimed at increasing foreign
exchange earnings so that the country can meet rising import
requirements for accelerated economic growth.
4
Export of Fruits
The varied climatic and soil conditions in the country are facilitating
production of a large variety of fruits like Apple, Apricot, Almond,
Avocado, Cashew, Cherries, Dates, Fig, Grapes, Guava, Jackfruit, Lime,
Lemon, Litchi, Mango, Oranges, Papaya, Pineapple, Prunes, Pear, Peach,
Plum, Pomegranate, Strawberry, Walnut etc. India is not only growing a
large variety of fruits very successfully and substantially (India emerged
as the largest producer of fruits in the world) but is also exporting to
global markets. There is an impressive growth in the exports of fresh
fruits from Rs 184.53 crore in 1994-95 to Rs 489.08 crore in 2003-2004.
Exports of Vegetables
A large variety of vegetables are also exported from the country mainly in
fresh form and partly in frozen form.
Onions, Potatoes, Cucumbers,
Mushrooms, Garlic, Peas and Mixed vegetables are the major items. In
addition, exports of potatoes and mixed vegetables in frozen form are also
significantly huge. Exports of vegetables from India have also grown from
Rs 249 crore in 1994 –1995 to Rs. 968.15 crore in 2003 - 2004.
Exports of processed fruits and vegetables are also growing. It has reached
Rs 1125.81 crore in 2003-2004 from Rs 348.20 crore in 1994-1995. A large
number of companies have entered in the processed food industries in the
last few years, which has resulted into an increased thrust on exports of
products such as pickles, jams, juices etc. The exports of Fruits and
Vegetable seeds during 1994-95 were Rs 24.77 crore, which has risen to Rs
53.60 crore. India’s share in the exports of floriculture has grown to Rs
249.55 crore from Rs 30.83 crore. Mainly the cut flowers, foliage,
houseplants and dry flowers have contributed to the increase in exports
earnings of floriculture products. The detailed statements of the quantities
exported and value of exports of horticulture produces from India is
provided at Table 1.1 & 1.2 below.
5
EXPORT QUANTITIES OF HORTICULTURE PRODUCES
(1993-94 TO 2003-04)
QTY IN MTS
1993-94
1994-95
1995-96
1996-97
1997-98
1998-99
1999-00
2000-01
2001-02
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
9138.87
6288.01
9446.52
5208.62
5850.88
6062.38
8179.89
12299.44
6188.68
10657.65
5169.83
9138.87
6288.01
9446.52
5208.62
5850.88
6062.38
8179.89
12299.44
6188.68
10657.65
35829.36
Fresh Onions
357132.25
401281.52
350989.17
427011.77
333348.96
215693.61
260475.27
343253.69
441849.60
588711.75
859938.76
Other Fresh Vegetables
33366.58
58551.75
83411.74
71850.94
98348.91
64654.63
115626.37
133992.02
170090.00
183019.33
188320.82
Dried Nuts (Walnuts)
6326.05
6459.09
6925.74
5807.94
3889.60
5327.90
4992.83
7742.44
7411.97
7631.24
6417.98
Fresh Mangoes
22793.87
25414.36
22269.17
24773.48
42894.93
45407.59
34631.18
37109.67
44429.33
38003.43
60551.32
Fresh Grapes
15931.57
16876.95
22414.03
20999.29
23808.12
11525.41
14082.58
20647.58
14606.00
25680.62
26783.83
Other Fresh Fruits
39781.39
45962.55
58095.21
166172.61
64605.09
44820.43
72969.80
81243.00
110520.68
90608.46
149294.26
475331.71
554546.22
544105.06
716616.03
566895.61
387429.57
502778.03
623988.40
788907.58
933654.83
1291306.97
Dried & Preserved
Vegetables
53512.27
65463.67
104067.95
88675.54
200262.70
145049.55
235637.74
286927.20
209157.78
216640.16
211160.09
Mango Pulp
26219.55
34460.03
36023.33
40302.22
45874.53
38133.73
72384.22
57303.53
76735.18
96107.31
89514.84
Pickle & Chutney
13106.16
17719.44
15597.26
18390.31
24372.27
21138.05
26737.60
40703.54
38758.97
56384.37
63052.73
Other Processed Fruits &
Vegetables
27683.97
26678.90
37821.02
27884.42
28421.78
34322.16
39152.26
70821.97
61332.36
54792.77
66070.26
120521.95
144322.04
193509.56
175252.49
298931.28
238643.49
373911.82
455756.24
385984.29
423924.61
429797.92
604992.53
705156.27
747061.14
897077.14
871677.77
632135.44
884869.74
1092044.08
1181080.55
1368237.09
1756934.25
Item
2002-03
2003-04
Floriculture & Seeds
Floriculture
Fruits & Vegetables Seeds
Total for Floriculture &
Seeds
Fruits and Vegetables
Total for fruits and
Vegetables
Processed Fruits &
Vegetables
Total for Processed
Fruits & Vegetables
Grand Total
0.00a
30659.53
Table 1.1
6
VALUE OF EXPORTS OF HORTICULTURE PRODUCES
(1993-94 TO 2003-04)
(Rs. In Crore)
1993-94
1994-95
1995-96
1996-97
1997-98
1998-99
1999-00
2000-01
2001-02
2002-03
2003-04
Floriculture
18.83
30.83
60.14
63.39
81.20
96.60
105.15
123.12
115.39
165.86
249.55
Fruits & Vegetables Seeds
24.50
24.77
43.08
44.34
55.93
66.33
83.94
67.51
64.58
100.97
53.60
43.33
55.60
103.22
107.73
137.13
162.93
189.09
190.63
179.97
266.83
303.15
Fresh Onions
182.67
204.61
230.72
265.21
202.46
176.05
202.70
276.22
332.43
361.8
715.87
Other Fresh Vegetables
23.30
44.12
70.47
75.94
114.07
102.33
144.15
190.85
249.88
287.64
252.28
Dried Nuts (Walnuts)
67.17
60.63
82.40
78.93
56.48
68.92
60.56
109.94
117.98
121.23
101.43
Fresh Mangoes
43.87
45.02
38.51
44.88
73.60
79.14
71.55
68.61
80.99
84.19
110.52
Fresh Grapes
33.92
40.84
54.75
52.65
66.00
37.89
55.54
82.98
60.21
110.15
105.89
Other Fresh Fruits
34.46
38.01
54.27
64.71
72.66
71.72
112.72
115.50
146.12
121.74
171.27
385.39
433.23
531.12
582.32
585.27
536.05
647.22
844.09
987.61
1086.75
1457.26
Dried & Preserved Vegetables
107.07
146.52
247.65
231.07
479.89
383.05
589.90
738.29
537.15
561.03
520.49
Mango Pulp
57.98
80.71
84.61
105.01
125.31
138.56
196.53
263.85
241.34
297.01
241.99
Pickle & Chutney
36.13
49.74
52.55
56.43
76.71
75.96
89.98
136.46
120.34
154.16
119.75
Other Processed Fruits &
Vegetables
67.30
71.23
106.76
81.26
79.59
108.11
117.23
206.94
201.74
194.73
243.58
268.48
348.20
491.57
473.77
761.50
705.68
993.64
1345.54
1100.57
1206.93
1125.81
697.20
837.03
1125.91
1163.82
1483.90
1404.66
1829.95
2380.26
2268.15
2560.51
2886.22
Item
Floriculture & Seeds
Total for Floriculture &
Seeds
Fruits and Vegetables
Total for fruits and
Vegetables
Processed Fruits &
Vegetables
Total for Processed Fruits
& Vegetables
Grand Total
Table 1.2
7
2. Horticulture in North Eastern States
2.1 The North Eastern States
The North Eastern Region of India comprising the States of Assam,
Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Tripura
and Sikkim has vast bio-diversity and is a home to a unique but fragile
ecology. It constitutes about 8% of the country’s geographical area and 4%
of its population. The North-Eastern Region has the total geographical
area of 2,62,185 Sq. Kms. Arunachal Pradesh having an area of 83,740 Sq.
Km is the largest State while Tripura with 10,490 Sq Km areas is the
smallest state of the region. About 70% of the region is hilly, and the
topography varies within each state. Mountains and hills cover most of
Arunachal Pradesh, Manipur, Mizoram, Nagaland, Meghalaya, Sikkim
and about half of Tripura, one-fifth of Assam. The rainy season in this
region generally commences from March and lasts till the middle of
October. The total annual rainfall varies significantly in the region. In
Khasi and Jaintia Hills, the annual intensity of rainfall reaches the
8
maximum of about 1080-cm around Cherrapunjee and Mawsynram
(having highest rainfall in the world). It is significantly low in the rain
shadow area of Nagaon district in Assam.
2.2 Horticulture in North Eastern States
Diverse agro climatic conditions ranging from the temperate to
tropical, fertile soils and abundance of rainfall offer immense scope for
development in the horticulture sector. The major horticulture crops of
the region are potato, onion, tapioca, sweet potato among vegetables and
tuber crops; ginger, turmeric and chillies among spices; banana, pineapple,
orange/other citrus fruits, mango, litchi, jackfruit among fruit crops and
coconut and areca nut among fruit-nuts. Other horticultural crops, which
are produced in the region, are cabbage, brinjal, cauliflower among
vegetables; apple, pears, plums/peach and passion fruit among fruit
crops.
Total production of fruits in the region is estimated about 23.35 lakh
tonnes, which is only 5.1% of the total production of the country. As
regards production of vegetables, the contribution of the region is only
4.5% of the total production in the country.
The geo-climatic situation in the region offers excellent scope for growing
different horticultural crops including fruits, vegetables, spices, plantation
crops, medicinal and aromatic plants. A wide range of tropical, subtropical and temperate fruits such as banana, Mandarine orange,
pineapple, jackfruit, papaya, hatkora (Citrus microphylla) etc. and
vegetables, both indigenous and exotic, are grown in the region. The high
altitudinal places in the region provide good opportunities to grow offseason vegetables, including potato etc during the rainy season.
The region has a huge potential of horticulture development both in terms
of market expansion and production growth. The Planning Commission
9
has recommended that the Centre must get together with the States to give
a new thrust to horticulture and vegetable gardening. This will include
everything from plant breeding and tissue culture propagation,
demonstration, training of manpower, including barefoot extension agents
to post-harvest technology, marketing, cold storage, processing and
pricing. The North Eastern Region has the potential to be a major player in
the emerging South East Asian Markets in view of its close proximity to
those markets.
10
3. Study on Horticulture in North East.
The North Eastern States of Arunachal Pradesh, Assam, Manipur,
Meghalaya, Mizoram, Nagaland, Sikkim and Tripura are highly conducive
for the growth of various horticulture crops. These states have been
producing many such crops, which have a very high potential for
supplying to the export markets in fresh and processed forms. However
due to the various problems such as lack of transport infrastructure, poor
connectivity and lack of awareness etc., the potential of these crops have
not been explored satisfactorily. It is due to this concern about the poor
growth of this sector with respect to the opportunities available in the
international market, The Agricultural and Processed Food Products
Exports Development Authority (APEDA) decided to conduct a quick
assessment study on Export Potential of horticulture products from the
North Eastern Region. The study was undertaken by CMI Social Research
Centre during October-November 2005.
3.1 Objectives of the Study
The study had the following objectives:
1.
To assess the exportable surplus quantities of horticulture
products in the North Eastern States.
2.
To estimate the resource requirement for providing support in
terms of inland transport assistance for exporting these
products.
3.
To identify various potential international markets for exporting
these products.
11
3.2 Scope of the Study
The scope of the study was as follows:
Analysis on Existing and Potential Markets
Analysis on Existing and Potential Market Infrastructure and
system
Analysis on Existing and Potential Product Mix
State wise trend analysis of production and consumption etc.
Analysis of Export Facilitation relating to Cold Chain, Gateway
Airports, International connections etc.
3.3 Methodology of the Study
The research, design and methodology followed for conducting the study
was as follows:
1. Exhaustive desk research was undertaken based on published
information such as state profiles, research reports, Publications of
APEDA and other sources.
2. Internet Scanning was also undertaken to collect relevant data,
abstracts, papers and reports.
3. A team of experts undertook the study and in-depth discussions
were held with the relevant organizations and experts. A partial list
of contacts made during the field survey is provided at Annexure-I.
3.4 Limitation of the Study
The study has been undertaken with some constraints and its would be
useful to understand the same while using the report:
12
1. The level of commercial horticulture in most of the States is on a
very low key.
2. The reliability of the State-wise data on area, production and yield
of crops should be judged keeping in mind that in most of the cases,
it has been collected from the respective Departments of
Horticulture/Agriculture.
3. The actual feasibility of exporting certain horticulture produce
could vary to a certain degree based upon factors such as quality
produced, current prices and market trends etc.
13
4. State wise Status of Horticulture.
The North Eastern region due to its peculiar agro-climatic
conditions has considerable potential for horticulture production. Banana,
pineapple and orange are the most important crops among fruits. These
cover about 60% of the area and account for 66% of the production of fruit
crops. Next important crops are Litchi in Tripura and Assam, Apple in
Arunachal Pradesh, Passion fruit in Nagaland, Mizoram and Manipur,
Cashew nut in Assam and Tripura and Coconut in Assam, Tripura and
Nagaland. However the region seems to have missed the opportunity of
penetrating the international markets for marketing the horticulture
produces so far. The horticulture markets in almost whole of the northeast states are largely unorganized and controlled by private players and
despite of having a wide range of horticulture crops the desired growth in
the sector has not happened. The topography of these States is also not
favourable for movement of the produce. The lack of infrastructure,
procurement & marketing practices, processing & packaging facilities is
the major constraints in marketing of the produces.
4.1 Arunachal Pradesh has tremendous potential for development of
14
fruits & vegetable crops, spices, plantation crops, flowers and medicinal &
aromatic plants. The total area of fruits during 2004-2005 has been
estimated as 54212 hectare with a total production of 1,03,234 Metric Tones
and 13372 hectare under spices with 37,371 Metric Tones production.
However the productivity status of various crops is still low as compared
to all India level. The area under production and production of major
horticulture crops in the State is provided at Table 4.1 below.
Area and Production of Major horticulture Crops in Arunachal Pradesh
Year: 2004-05
S.No
1.
2.
Area under Cultivation
(in ha)
Name of Crop
Fruit
a) Apple
b) Kiwi
c) Walnut
d) Citrus
e) Banana
f) Pineapple
g) Others
Spices
a) Ginger
b) Large Cardamom
c) Black Pepper
Table 4.1
Production
(in MT)
8403
190
3516
23360
4914
7913
5916
9474
62
58
27251
14817
36310
15262
7618
4142
1612
36666
572
133
Source: Deptt of Horticulture, Govt of Arunachal Pradesh
There are no regulated markets and the trade moves around the private
traders who procure the produces at local markets in the village areas.
Some traders from Assam have been procuring mandarin orange and
exporting to Bangladesh. During the last season approximately 1200 MT of
orange has been exported through this channel. It was also reported that
good quantities of Ginger is also being sold outside the State however no
organized market information system is in place to assess the quantity and
price of such transactions taking place.
There is only one processing unit in the State in Bagra (West Siang
District) set up by the Industries Department, which has been leased out to
15
an individual entrepreneur. The unit is extracting fruit juice and pulp. The
unit is also reportedly having problems in production due to lack of
technical support. An estimation of surplus quantities of horticulture
produces after local consumption has been done and the crop wise
availability of surplus quantities is provided at the Table 4.2 below.
Surplus quantities of Major horticulture Crops in Arunachal Pradesh
S.No
1.
2.
Name of Crop
Fruit
a) Apple
b) Kiwi
c) Walnut
d) Citrus
e) Banana
f) Pineapple
g) Others
Spices
a) Ginger
b) Large Cardamom
c) Black Pepper
Surplus (in MT)
6502
40
42
18702
10168
24919
10512
25163
392
91
Table 4.2
The state also has the potential of taking up commercial floriculture also,
however there is a lot of work needed before planning to export orchids
cut flowers in a big way. The production of potato and tomato has also
increased over the years and has the potential of growing much more if
proper processing and marketing infrastructure is provided.
4.2 Assam due to its agro-climatic condition is traditionally a
horticulture-based State. The major horticulture crops occupy 5.46 lakh
hectares (14.2%) of the total gross cropped area of 38.43 Lakh hectares. The
major horticultural crops in the State are Banana, Pineapple, Jackfruit,
Oranges, Assam Lemon, Garlic, Coriander, Potato and Chillies. Plantation
crops, Medicinal & Aromatic plants and floriculture are also gaining
significant
expansion.
The
Technology
mission
for
Integrated
Development of Horticulture in the Northeastern states was launched in
16
2001-02. The lack of infrastructure, insurgency problems and frequent
floods have adversely affected the growth of the sector however it is
believed that in the coming years the impact of these interventions will
surface in terms of higher production, area expansion, quality
improvement, better marketing and processing capacities and increase in
export earnings. The area under production and production of major
horticulture crops in the State is provided at Table 4.3 below.
Area and Production of Major horticulture Crops in Assam
Year: 2003-04
S.No
1.
Name of Crop
(in ha)
Fruit
a) Banana*
b) Pineapple*
c) Papaya *
d) Orange
e) Assam Lemon
f) Guava
g) Litchi
h) Jackfruit
i) Mango
42000
13000
7000
7000
9000
4000
4000
18000
4000
17
Production
(in MT)
581000
199000
99000
83000
59000
63000
20000
170000
30000
2.
3.
4.
j) Other fruits
* Estimates for 2004-05
Vegetables
a) Khariff Vegetable
b) Rabi Vegetable
2000
7000
67000
143000
922000
2360000
Spices
a) Chillies
b) Turmeric
c) Onion
d) Ginger
e) Coriander
f) Garlic
g) Black Pepper
h) Other Spices
15000
12000
7000
18000
20000
7000
3000
2000
10000
8000
17000
116000
17000
22000
4000
2000
Tuber Crops
a) Potato
b) Tapioca (04-05)
c) Sweet Potato
78000
3000
8000
543000
13000
28000
Table 4.3
Source: Directorate of Horticulture, Govt of Assam
An analysis of the data published by the Department of
Agriculture, Govt. of Assam shows that only in Vegetables and Spices
there has been some growth in the area under crops, production and yield
and no major growth has been recorded in Fruit crops during the last 5
years.
‘Village haat bazaars’ and regulated markets are the two major
channels of marketing of the agricultural produce in the State. The
Cooperatives are almost non-existent or very weak and a large quantity of
the cash crops and fruits and vegetables are sold in the rural haats. The
market infrastructure in the regulated markets is in a very poor shape and
there are very few cold storages in private sector and government
godowns for use of farmers and traders.
The Food processing activities are also almost insignificant size and
numbers in the State and the private entrepreneurs have also not done
much in terms of quality improvement and better marketing practices.
However APEDA has provided a refrigerated van to the State
Government for safe transportation of fruits and vegetables. The market
18
information systems need to be developed to improve the access of current
market information to the producers.
An estimation of the surplus quantities of major horticultural
produces of the State is provided at the Table 4.4 below.
Surplus quantities of Major horticulture Crops in Assam
S.No
1.
2.
Name of Crop
Surplus (in MT)
Fruit
a) Banana
b) Pineapple
c) Orange
d) Papaya
e) Assam Lemon
f) Guava
g) Jackfruit
Spices
a) Ginger
b) Other Spices
85000
29000
12000
15000
8000
9000
25000
42000
16000
Table 4.4
The above estimation is based on the data provided on the
consumption patterns and production of the crops after estimating an
average post harvest crop loss of 30% in case of fruits. A large share of
these surplus quantities can be easily explored for exports in fresh and
processed forms. Ginger offers a tremendous potential for exports from
Assam and Government of India has set up an Agri Export Zone for
Ginger in 8 districts of Assam.
The other potential areas of export are flowers and cultivation of
tuberose, marigold and gladiolus are being taken up for development of
floriculture on a commercial basis. A commercial venture for the
cultivation of hybrid orchids is running successfully in the State and all
the cut flowers are being specially packed and sent to cities like Delhi,
Kolkata and Bangalore etc.
19
4.3 Manipur has very small and scattered holdings and therefore very
little quantity of agriculture produce available individually as marketable
surplus to be disposed off. Thereby it becomes expensive and
uneconomical to carry the small quantity of produce to the markets
located at the distant places. Due to lack of road infrastructure to connect
most of the production areas, the farmers find it difficult to bring their
produces to the markets for sale and thus deprive themselves of
remunerative prices. However because of the peculiar agro-climatic
conditions some horticulture produces like pineapple, orange and ginger
etc. are being grown in considerably huge quantities and the latest
additions like papaya, passion fruit and cabbage etc. are also picking up
and have huge potential of developing into exportable horticulture
produces. The total area of fruit crops during 2003-04 has been estimated
at 27008 hectares with the total production of 167738 metric tonnes and
7670 hectares under vegetable crops with 57018 metric tonnes production.
The area under cultivation for spices was 9952 hectares with an estimated
production of 5279 metric tonnes. The area under production and
20
production of major horticulture crops in the State is provided at Table 4.5
below.
Area and Production of Major horticulture Crops in Manipur
Year : 2003-04
S.No
1.
2.
3.
(in ha)
Name of Crop
Fruit
a) Pineapple
b) Banana
c) Papaya
d) Mango
e) Peach/Pear/Plum
f) Guava
g) Jack fruit
h) Lime
i) Orange
j) Passion fruit
k) Others
Production
(in MT)
10652
1950
1945
196
598
732
325
1227
1243
1425
6715
79889
15308
21282
997
3738
2298
3137
7890
5097
15747
12355
Vegetables
a) Cauliflower
b) Cabbage
c) Tomato
d) Pea
e) Radish
f) Carrot
g) French bean
h) Lady’s finger
i) Brinjal
j) Knol-khol
k) Bitter Gourd
l) Bottle Gourd
m) Other vegetable
1123
1724
579
1281
198
263
712
824
315
235
51
65
300
9658
21033
4632
7686
1762
1973
1994
2802
1481
1081
273
468
2175
Spices
a) Ginger
b) Turmeric
c) Chillies
d) Onion
e) Allium Tuberosom
f) Coriander
g) Others
1265
372
7324
695
31
145
120
12524
4092
29296
5908
295
493
182
Table 4.5
Source: Department of Horticulture, Govt. of Manipur
The Manipur Small Farmers Agri-business Consortium has started
integrated farming systems for contract farmers in three districts of the
21
State. The 31 contract farmers in cultivation of turmeric and passion fruits
are being held by providing training on the concept of integrated farming
system to run a sustainable farming. The initiative has the potential of
being successfully replicated in the State for future development of
horticulture sector thereby creating addition employment and increased
export earning in the future. An estimation of the commodity –wise
surplus quantities available is provided at Table 4.6 below.
Surplus quantities of Major horticulture Crops in Manipur
S.No
1.
2.
3.
Name of Crop
Fruit
a) Pineapple
b) Orange
c) Papaya
d) Passion Fruit
Spices
a) Ginger
b) Chillies
Vegetables
a) Cabbage
b) Other Spices
Surplus (in MT)
24000
1962
5320
5300
7045
22200
2750
16000
Table 4.6
These quantities are being sold to other states through the local traders
and a major share of them can be potentially explored in fresh and
processed forms. In addition to the above the State has the potential of
growing floriculture plants like rose, gladiolus, marigold and tuberoses
etc. A significant amount of work has been done by Department of Science
and Technology in promoting commercial cultivation of gladiolus,
particularly in Senapati district of the State.
4.4 Meghalaya being a difficult hilly terrain has only about 10% of the
total land available for cultivation. Paddy is the main food crop grown in
the State. Besides maize, wheat, pulses, potato, ginger turmeric and areca
nut are some of the important cash crops produced in the State. Among
22
the horticulture crops, banana, pineapple and oranges etc. are grown in
abundance in medium and lower altitude regions and fruits like plum,
pears and peaches are grown in the high altitude regions. Though the
State is deficit in terms of food grains production it has surplus of cash and
horticultural crops. However lack of marketing infrastructure in the State
is the major deterrent factor for increasing productivity and production.
Other constraints such as lack of transport, communication weak cooperatives organizations and primary markets in the rural areas are also a
serious problem in development of the horticulture trade in the State. The
fluctuating price of the surplus produces like fruits, ginger, vegetables etc.
also are serious disadvantages for the farmers.
The area under production and production of major horticulture crops in
the State is provided at Table 4.7 below.
Area and Production of Major horticulture Crops in Meghalaya
Year : 2004-05
S.No
1.
2.
Name of Crop
(in ha)
Fruit
a) Pineapple
b) Citrus Fruits
c) Banana
d) Papaya
Vegetables
23
Production
(in MT)
9565
8291
6271
582
92036
36805
67779
4484
11947
144180
3.
4.
5.
Tuber Crops
a) Potato
b) Sweet Potato
c) Tapioca
Spices
a) Ginger
b) Turmeric
c) Chillies
Plantation Crops
a) Tea
b) Areca nut
c) Cashew nut
18037
4974
3975
160757
16172
20644
9222
1673
1822
47138
9242
1193
1072
11231
6762
3899
14294
6837
Table 4.7
Source: Directorate of Horticulture, Govt. of Meghalaya
The huge quantities of horticulture produces in the State is not matched by
sufficient marketing and processing facilities and disposal of huge
quantities of perishable horticulture produce in terminal markets with
poor infrastructure is a serious problem for the local producers due to long
distances, high transportation cost and in-transit damage etc. in order to
exploit the potential and optimum utilization of the production centrally
located, professionally managed multi product horticulture processing
units need to be setup in the State. The local consumption of majority of
the horticulture produce is very small in size and better management of
farming practices and use of technology will create huge surplus and a
wonderful opportunity for exporting fresh and processed horticulture
produces from the State.
The estimation of surplus quantities of major horticulture produces in the
State is provided at Table 4.8 below.
Surplus quantities of Major horticulture Crops in Meghalaya
S.No
1.
2.
Name of Crop
Fruit
a) Pineapple
b) Orange
Spices
a) Ginger
Surplus (in MT)
70000
23000
35048
24
3.
4.
b) Turmeric
c) Bay Leaves (Tez Patta)
Tuber Crops
a) Potato
Plantation Crops
a) Areca nut
6900
15160
117500
9200
Table 4.8
The State has huge potential of agro-based industries and the substantially
surplus quantities of fruits such as pineapple, oranges and banana etc. can
be exploited for exports to international markets very successfully. The
State also grows plenty of ginger, bay leaves (TezPatta) and Potatoes with
unique characteristic value matched for successful marketing abroad. The
turmeric (Lakadong variety) has the highest curcumin content (7.1%) and
is considered the best in the world. Strawberry has been at the heart of a
horticultural revolution in this northeastern state and a pilot project
funded under the Technology Mission has created a lot of awareness
amongst the farming community in the area.
4.5 Mizoram has 41270 hectares of land covered under horticulture crops
25
with a total production of 165550 metric tonnes. The area under food crops
is 22644 hectares with the total production of 46968 metric tonnes. The
major fruit crops are mandarin orange, hatkora, banana, grapes and
passion fruit etc. The State also has high potential for the growth of
various commercial fruits like kiwi fruit. The area under production and
production of major horticulture crops in the State is provided at Table 4.9
below.
Area and Production of Major horticulture Crops in Mizoram
Year : 2003-04
S.No
1.
2.
3.
4.
Name of Crop
(in ha)
Production
(in MT)
Fruit
a) Mandarin Orange
b) Assam lemon
c) Hatkora
d) Banana
e) Pineapple
f) Mango
g) Peach & Plum
h) Papaya
i) Grape
j) Jack fruit
k) Guava
l) Passion fruit
7651
858
1732
3278
898
540
536
259
457
162
262
4821
18930
3037
2834
8059
2456
1283
1431
821
637
1065
1061
2972
Plantation Crops
a) Arecanut
b) Betelvine
c) Tung
2040
357
1144
5318
446
297
900
10718
4481
275
1295
29582
2258
2307
Vegetables
a) Iskut (Chowchow)
Spices
a) Ginger (green)
b) Turmeric (green)
c) Chillies
Table 4.9
Source: Department of Horticulture, Govt. of Mizoram
The mild climate of the State has a unique advantage of growing almost all
types of flowers round the year. Flowers like anthurium, roses, bird of
paradise and gladiolus etc. are successfully grown in the State and are
26
being exported outside the State regularly. The estimation of the surplus
quantities of horticulture produces is provided at Table 4.10 below.
Surplus quantities of Major horticulture Crops in Mizoram
S.No
1.
2.
3.
Name of Crop
Fruit
a) Mandarin Orange
b) Hatkora
c) Banana
d) Passion Fruit
Spices
a) Ginger
b) Turmeric
c) Chillies
Vegetables
a) Iskut (Chowchow)
Surplus (in MT)
5300
850
1200
1100
16500
400
424
6400
Table 4.10
Various exotic varieties of anthurium are also now being grown in the
State and the surplus is being sold outside the State. The necessary
infrastructure in terms of transport, roads and communication is found to
be lacking and an improvement in providing these facilities can give a
boost to the export earnings of the State.
4.6 Nagaland has huge potential for development of horticulture crops
such as pineapple, citrus, passion fruit, banana and potato etc. The total
area of horticulture has been estimated as 93686 hectares with a total
production of 55229 metric tonnes. The technology mission for integrated
development of horticulture has adopted a strategy to focus on fruit crop
cultivation in a compact area, involving the entire community, local NGOs
and farmers groups. The State has pioneered an excellent method of
upgrading jhum (shifting) cultivation by interposing a strong and
increasing component of agro-forestry through assisted tree planting of
selected fast growing economical timber.
27
Area and Production of Major horticulture Crops in Nagaland
Year : 2003-04
S.No
1.
2.
Name of Crop
(in ha)
Production
(in MT)
Fruit
a) Apple
b) Banana
c) Grapes
d) Mango
e) Pomegranate
f) Guava
g) Litchi
h) Papaya
i) Pineapple
j) Citrus fruits
75
1017
23
282
125
275
149
677
2040
3311
15
5000
115
50
50
200
80
672
24800
12500
Vegetables
a) Brinjal
b) Cabbage
c) Cauliflower
d) Pease (green)
e) Onion
133
99
96
1240
75
158
150
108
255
200
28
3.
Tuber Crops
a) Sweet Potato
b) Tapioca
c) Potato
175
430
1015
86
2200
1750
Table 4.11
Source: Department of Horticulture, Govt. of Nagaland
The production of horticulture crops in the State has been still low as
compare to other northeastern states. In order to promote cultivation and
development of horticulture crops the State has setup a nursery cum
mushroom development centre, a fruit canning factory, a citrus farm and a
research farm in the State. The marketable surplus quantities of
horticulture crops are provided at Table 4.12 below.
Surplus quantities of Major horticulture Crops in Nagaland
S.No
1.
Name of Crop
Fruit
a) Pineapple
b) Orange
Surplus (in MT)
5400
2000
Table 4.12
Although some increase in area cultivated and production of crops such as
ginger and other spices have been noticed, no data on the production of
these crops was available in the State. The floriculture Development in
Nagaland is centered on cultivation of orchids, gerbera and gladiolus. In
the recent years dry flowers have also gained in total of popularity.
4.7 Sikkim has horticulture as one of the major economic activities for the
people now. Large cardamom, ginger and turmeric are the principal crops
while mandarin orange, guava and banana etc. are the major fruits grown
in the State. The State is also producing substantial quantities of flowers
such as gladioli, anthuriums, lilliums, primulas, rhododendrons and
orchids etc. It has 400 species of exotic orchids in the State. The floriculture
29
development in the State has been so far the best in all the northeastern
states and has the potential to develop into a full-fledged export oriented
industry.
Area and Production of Major horticulture Crops in Sikkim
Year : 2004-05
S.No
1.
2.
Name of Crop
(in ha)
Production
(in MT)
Fruit
a) Mandarin Orange
b) Passion Fruit
c) Other Fruits
5220
850
2171
8350
120
3740
Vegetables
a) Kharif
b) Rabi
c) Off-season
2950
3520
2540
13143
16243
12015
30
3.
4.
5.
Tuber Crops
a) Kharif Potato
b) Rabi Potato
c) Other root & tuber crops
3725
3780
485
14775
17837
2242
Spices
a) Ginger
b) Turmeric
c) Large Cardamom
6515
520
24800
34710
1735
3740
Flowers (In Nos.)
a) Cut/Pot Flowers
b) Plants/Bulbs
3200
4800
1399400
1370000
Table 4.13
Source: Department of Horticulture, Govt. of Sikkim
The ginger and large cardamom grown in Sikkim can be successfully
developed and commercially exploited for targeting international markets.
The floriculture in the State is also expected to increase and with the
setting up of an agri-export zone it is expected that there would be an
export of around Rs. 36 crores worth of orchids in the next three to four
years. The estimation of the surplus quantities of horticulture produces is
provided at Table 4.14 below.
Surplus quantities of Major horticulture Crops in Sikkim
S.No
1.
2.
3.
Name of Crop
Fruit
a) Mandarin Orange
Spices
a) Ginger
b) Turmeric
c) Large Cardamom
Flowers
a) Cut Flowers
a) Plants/ Bulbs
Surplus (in MT)
1100
24300
1300
3500
(In Nos.)
1300000
1300000
Table 4.14
31
4.8 Tripura is a very small State in the northeastern region of the country.
The important crops grown in the State are paddy, jute, cotton, oilseeds
like mustard, groundnut, sesame and the major horticultural crops are
potato, pineapple, orange, jackfruit, cashew nut etc. The area under
production and production of major horticulture crops in the State is
Area and Production of Major horticulture Crops in Tripura
Year: 2004-05
S.No
1.
Name of Crop
(in ha)
Fruit
a) Mango
b) Pineapple
c) Orange
d) Jackfruit
e) Banana
f) Litchi
g) Lemon
h) Papaya
i) Sapota
j) Guava
k) Others
3623
4980
2698
9032
5374
2212
1982
956
125
353
1036
32
Production
(in MT)
9360
105086
17044
254945
69330
12449
10170
9633
1247
1490
12672
2.
Vegetables
a) Summer Vegetable
b) Winter Vegetable
3.
4.
5.
13607
12645
125191
146096
Tuber Crops
a) Potato
5280
93472
Spices
a) Ginger
b) Turmeric
c) Chilli (Green)
d) Black Pepper
1180
1102
1700
169
2774
3751
16279
37
Nuts
a) Areca nut
b) Cashew nut
4465
3814
9042
1542
Table 4.15
Source: Department of Horticulture, Govt. of Tripura
Most of the food grains are consumed within the State to cater the needs of
the local markets while other crops such as jute, cotton, pineapple, orange,
jackfruit, ginger and vegetable crops such as cabbage, cauliflower and
potato are produced in considerable surplus quantities. The estimation of
the surplus quantities of horticulture produces is provided at Table 4.16
below.
Surplus quantities of Major horticulture Crops in Tripura
S.No
1.
2.
Name of Crop
Surplus (in MT)
Fruit
a) Pineapple
b) Jackfruit
c) Orange
d) Lemon
Spices
a) Ginger
31000
93000
10500
1350
960
b) Turmeric
3.
1600
c) Chillies
Vegetables
a) Cabbage
b) Cauliflower
11650
2000
2000
Table 4.16
If market demand exists, the State has the potential to increase production
of those fruits and vegetables with the increasing demand by way of area
33
expansion. The current scenario is such that due to excessive supply of
these crops, the price is pulled down and the farmers find it most
profitable to arrange transporting their horticulture across the border to
Bangladesh in order to fetch a better price.
4.9 Northeastern States has excellent scope of export promotion of
horticulture produces. Almost all the States have huge surplus quantities
available and a few of them are also being exported to neighbouring
countries like Bangladesh and Myanmar. The production of major
horticulture crops in all the Northeastern States is provided at Table 4.17
below.
Major Horticulture Produces of North East
Commodity
Citrus
Banana
Pineapple
Papaya
Jackfruit
Ginger
Turmeric
Potato
Chillies
Arunachal
Pradesh
27251
14817
36310
--36666
----
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
Total
142000
581000
199000
99000
170000
116000
8000
543000
10000
12987
15308
79889
21282
3137
12524
4092
-29296
36805
67779
92036
4484
-47138
9242
160757
1193
21967
8059
2456
821
1065
29582
2258
-2307
12500
5000
24800
672
---1750
--
8350
----34710
1735
32612
--
17044
69330
105086
9633
254945
2774
3751
93472
16279
278904
761293
539577
135892
429147
279394
29078
831591
59075
Table 4.17
The economy of these States is predominantly dependant on agriculture
and horticulture activities. The markets are largely unorganized in these
States and are dominated by the private traders. The States have observed
high production of horticulture produces in the past but could not fetch
the market price to the farmers at par with the markets in the mainland.
The basic infrastructure facilities like road links, transportation facilities,
storage and warehousing etc. perform a significant role in stocking and
movement of the goods. These facilities are lacking in these States and
have been a disadvantage in promoting the marketing of horticulture
produces. A large quantity of the produce is also consumed in the local
34
markets and even thereafter-huge surplus quantities are available to
market in the other States and for exports. An estimation of surplus
quantities of major horticultural produces in the Northeastern States is
Surplus quantities of major horticultural produce in the Northeastern States
Commodity
Citrus
Banana
Pineapple
Papaya
Jackfruit
Ginger
Turmeric
Potato
Chillies
Total
Arunachal
Pradesh
18702
10168
24919
--25163
---78952
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
Total
12000
85000
29000
15000
25000
42000
---208000
1962
-24000
5320
-7045
--22200
60527
23000
-70000
--35048
6900
117500
-252448
5300
1200
---16500
400
-424
23824
2000
-5400
----1750
-9150
1100
----24300
1300
32612
-59312
10500
-31000
-93000
960
1600
-11650
148710
74564
96368
184319
20320
118000
151016
10200
151862
34274
840923
Table 4.18
The above quantities are estimated after calculating the local consumption
and an average post harvest crop loss and can be easily explored for
exports in fresh and processed forms.
35
5. Exportable Surplus in Northeastern
States.
Horticulture sector plays a unique role in India’s economy by
improving the income of the rural people. The cultivations of these crops
are largely labour intensive and as such they generate a lot of employment
opportunities for the rural population. Fruits and vegetables are used for
domestic consumption in huge quantities and processing into various
products. Substantial quantities are also exported in fresh and processed
form, there by generating the much-needed foreign exchange for the
country. India with more than 28.2 million tonnes of fruits and 66 million
tonnes of vegetables is the second largest producer of fruits and vegetables
in the world next only to Brazil and China.
India with its good natural resource base, R & D infrastructure and
excellence can change the horticulture scenario of the country and can
boost itself as a leading horticulture country in the world. Along with
many efforts in this direction, the promotion of exports of under utilized
crops from the distant and under developed regions like the North Eastern
States is the need of the hour.
The North Eastern States of Arunachal Pradesh, Assam, Manipur,
Meghalaya, Mizoram, Nagaland, Sikkim and Tripura are highly conducive
for the growth of various horticulture crops. The mild climate of the hills
in the States also has the unique advantage of growing various types of
medicinal and aromatic plants and flowers. These states have been
producing many such crops, which have a very high potential for
supplying to the export markets in fresh and processed forms. However
due to the various problems such as lack of transport infrastructure, poor
36
connectivity and lack of awareness etc., the potential of these crops have
not been explored satisfactorily. It is due to this concern about the poor
growth of this sector with respect to the opportunities available in the
international market, The Agricultural and Processed Food Products
Exports Development Authority (APEDA) has decided to conduct a quick
assessment study in order to ascertain the exportable surplus quantities of
horticulture products in the North Eastern States and the resources
required to assist and promote the exports of these products to the
international markets. This chapter provides details of the surplus
quantities available in all the Northeastern States of major horticulture
crops, which can be taken up for exports to the international markets.
5.1 Citrus
Mandarin Orange (Citrus reticulata) is
the
most
available
common
in
India.
citrus
fruits
Citrus
ranks
second in the total area with 0.488
million hectares and 13% of the area
under fruit crops in India. Citrus
fruits are grown mainly in the States
of Maharashtra, Andhra Pradesh,
Punjab, Karnataka and in the Northeastern States. This is one of the most
commonly grown fruit amongst the Northeastern States. It is being
exported mostly in processed form and in fresh form also. An increased
thrust on processed products such as juices, squash etc. has increased the
demand for this fruit. Orange is also exported as fresh fruit to countries
like UAE, Saudi Arabia, Bangladesh and some EU countries. The surplus
quantities available in the Northeastern States of citrus fruit are provided
at Table 5.1 below.
37
Surplus Quantities of Citrus Fruit in Northeastern States
S.No
1.
2.
3.
4.
5.
6.
7.
8.
State
Arunachal Pradesh
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
TOTAL
Surplus (in MT)
18702
12000
1962
23000
5300
2000
1100
10500
74564
Table 5.1
As provided in table above the surplus quantities available of the
citrus fruit available with the northeastern states is 74564 metric tonnes
which has been calculated after estimating the consumption of the local
population and a post-harvest loss due to improper storage and handling,
over-ripening and other reasons on an average of 20 to 30 percent of the
total production in each State. The surplus only signifies availability of the
quantity available for exports; however the extent of possibility of export
of such quantity will largely depend on quality of produce, processing and
collection facilities and marketing of the products in the international
markets. A sizeable quantity of Mandarin Orange is being exported to
Bangladesh from the Northeastern States. The Orange largely being
exported to Bangladesh is sourced from districts of Meghalaya, Assam and
Arunachal Pradesh. It was also found that a large quantity of Orange goes
un-officially or illegally into countries like Bangladesh very easily, due to
its porous borders with the Northeastern States. These exports (illegal) are
known to fetch very low profits to the farmers whereas the traders on both
the sides have been making huge profits.
38
5.2 Banana
Banana is widely grown in India
and ranks third in area with 0.464
million hectares covering 12.46% of
the total area. It is first in total
production
with
15.07
million
tonnes, being nearly 34.22% of the
total
fruit
production
of
the
country. India occupies first position in banana production globally.
Andhra Pradesh, Assam, Bihar, Gujarat, Karnataka, Kerala, Madhya
Pradesh, Maharashtra, Orissa and West Bengal are the largest banana
growing states. The highest productivity/ yield (52.18 tonnes per hectare)
is recorded in Maharashtra followed by Gujarat (40 tonnes per hectare)
and the lowest productivity is from the northeastern region. Banana is
exported largely in processed form to many countries. The major markets
for fresh and processed banana are UAE, USA, UK, Saudi Arabia, Sri
Lanka and Singapore. The surplus quantities available in the northeastern
states of banana are provided at Table 5.2 below.
Surplus Quantities of Banana in Northeastern States
S.No
1.
2.
3.
4.
5.
6.
7.
8.
State
Arunachal Pradesh
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
TOTAL
Surplus (in MT)
10168
85000
--1200
---96368
Table 5.2
The surplus quantity of banana with the northeastern states is 96368
metric tonnes. The post-harvest loss has been estimated at 10 to 15 percent
of the total production and the surplus quantity mentioned above is
available for export to international markets. The biggest constraint in
39
promotion of banana exports was the lack of transportation infrastructure
and organized markets. The largest contribution in the surplus mentioned
above comes from the State of Assam and can be easily exploited for
exports with better organization of markets. There is a huge demand of
banana as pulp and banana chips in the international markets.
5.3 Pineapple
Pineapple (Ananas Comosus) is an important
fruit crop in India. A good source of vitamins A
and B, pineapple is fairly rich in vitamins C,
calcium, magnesium, potassium and iron. It is
also a source bromelin, a digestive enzyme. The
cultivation of pineapple is confined to high
rainfall and humid coastal regions in the
peninsular India and hilly areas of the
northeastern region. It is commercially grown
in Assam, Meghalaya, Mizoram, Tripura, West Bengal, Kerala, Karnataka
and Goa and on a small scale in Gujarat, Maharashtra, Tamil Nadu,
Andhra Pradesh and Orissa. Pineapple covers an area of 0.074 million
hectares with the total production of 1.006 million tonnes and is 1.99% of
the total area under fruit crops. It contributes 2.28% to the country’s fruit
production. The surplus quantities available in the northeastern states of
pineapple are provided at Table 5.3 below.
Surplus Quantities of Pineapple in Northeastern States
S.No
1.
2.
3.
4.
5.
6.
7.
8.
State
Arunachal Pradesh
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
TOTAL
Surplus (in MT)
24919
29000
24000
70000
-5400
-31000
184319
Table 5.3
40
The surplus quantity of pineapple in all the northeastern states is 184319
metric tonnes after providing for the local consumption and 25-30 percent
of post-harvest crop loss. There is a huge demand for this fruit in the
international markets and is being successfully exported to many
countries like UAE, USA, UK, Netherlands, Saudi Arabia etc. Pineapple is
exported largely in processed form such as juices, pulp and slices.
5.4 Papaya
Papaya (Carica Papaya) ranks 6th in area
with 0.68 million hectares (1.82%) of the
total area under fruit crops and 1.582
million tonnes (3.59%) of the total
production under fruits. It requires the
less area for tree, comes to fruiting in a
year and produces fruits throughout the year. The surplus quantities
available in the northeastern states of papaya are provided at Table 5.4
below.
Surplus Quantities of Papaya in Northeastern States
S.No
1.
2.
3.
4.
5.
6.
7.
8.
State
Arunachal Pradesh
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
TOTAL
Surplus (in MT)
-15000
5320
-----20320
Table 5.4
The total surplus quantity of papaya is 20320 metric tonnes and the
highest quantities available for exports were found in Assam State. It was
41
also observed that the State has the potential of increasing the
production/yield on availability of markets by way of area expansion and
improved farming practices. The demand for papaya is expected to rise in
the future due to its highly nutritive and medicinal value. Papain prepared
from dried latex of its immature fruits is also used for meat tenderizing,
manufacture of chewing gum, cosmetics, for de-gumming natural silk and
to give shrink resistance to wool. Besides, it is also used in pharmaceutical
industries,
textile
and
garment
cleaning
paper
and
adhesive
manufacturing etc.
5.5 Jackfruit
Jackfruit (Artocarpus hetrothyllus) has diverse
uses, besides being hard and well adapted to
different agro-climatic conditions. The latex from
the bark of the tree contains resin. Pickles and
dehydrated leather are its preserved delicacies.
The potential markets for this produce are UAE,
Saudi Arabia, USA, UK and Singapore. The
surplus quantities available in the northeastern states of jackfruit are
Surplus Quantities of Jackfruit in Northeastern States
S.No
1.
2.
3.
4.
5.
6.
7.
8.
State
Arunachal Pradesh
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
TOTAL
Surplus (in MT)
-25000
-----93000
118000
Table 5.5
42
The surplus quantities of Jackfruit in the northeastern states are 118000
metric tonnes, which is only in Assam and Tripura.
5.6 Ginger
Ginger (Zingiber Officinale) is one of the
oldest spices with a distinct flavour and
pungency. It has a wide range of uses that
include culinary, flavourant in soft drinks,
alcoholic
and
non-alcoholic
beverages,
confectionary, pickles and pharmaceutical
preparations. India is the largest grower of ginger and also the largest
producer of the dry ginger in the world. In India Kerala, Orissa, Andhra
Pradesh, Himachal Pradesh, Meghalaya and West Bengal are the major
ginger growing states. The export of ginger from India is largely to UK,
UAE, Saudi Arabia, Netherlands and Japan. Fresh and Dry ginger and
pickles etc. are the most common form in which ginger is exported to these
countries. The surplus quantities available in the northeastern states of
Ginger are provided at Table 5.6 below.
Surplus Quantities of Ginger in Northeastern States
S.No
1.
2.
3.
4.
5.
6.
7.
8.
State
Arunachal Pradesh
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
TOTAL
Surplus (in MT)
25163
42000
7045
35048
16500
-24300
960
151016
Table 5.6
The total surplus quantity of Ginger in northeastern states is 151016 metric
tonnes. Ginger offers tremendous scope for commercialization in North-
43
East and with India already providing for more than half the quantity of
ginger oil and oleo resins traded in the world market, the surplus
production can be very successfully exploited for exports with a minimal
effort. A huge quantity of Ginger is also being exported legally and
illegally to neighboring countries like Bangladesh.
5.7 Turmeric
Turmeric (Curcuma Longa) is an important
common flavouring spice with growing
demand with variety of applications such
as condiment, dye and drugs. India is the
world’s largest producer of turmeric with
an annual production of 0.66 million tonnes from an area of 0.16 million
hectares. Andhra Pradesh, Tamil Nadu, Orissa, Karnataka, West Bengal,
Maharashtra, Meghalaya and Assam are the major producers for turmeric
in India. The major importing countries of Indian turmeric are UAE, USA,
Bangladesh, Iran, UK and South Africa. Almost 15% of the total export of
spices is attributed to turmeric. The surplus quantities available in the
northeastern states of Turmeric are provided at Table 5.7 below.
Surplus Quantities of Turmeric in Northeastern States
S.No
1.
2.
3.
4.
5.
6.
7.
8.
State
Arunachal Pradesh
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
TOTAL
Surplus (in MT)
---6900
400
-1300
1600
10200
Table 5.7
44
The potential for exporting turmeric from northeastern states is very high
and it was observed that the best quality comes from Meghalaya with
highest curcumin content (7.1%), best in the world.
5.8 Potato
Potato (Solanum Tubersum) is grown in
almost in all the states of India under
diverse conditions. Nearly 90% of the
potato is grown in the vast indogangetic plains of North India during
short winter days from October to
March. Uttar Pradesh has the largest
area and production of potato followed by West Bengal and Bihar. Limited
quantities of potato are exported from India as fresh potato, seed potato
and frozen potato. Major potato exports are to the neighbouring countries
of South-East Asia and South Asia. The surplus quantities available in the
northeastern states of Potato are provided at Table 5.8 below.
Surplus Quantities of Potato in Northeastern States
S.No
1.
2.
3.
4.
5.
6.
7.
8.
State
Arunachal Pradesh
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
TOTAL
Surplus (in MT)
---117500
-1750
32612
-151862
Table 5.8
The total surplus quantity of Potato in northeastern states is 151862 metric
tonnes.
45
5.9 Chillies
Chillies (Capsicum Annuum) are valued for
its diverse commercial uses. India is a major
producer and exporter of chilly. Indian
chillies are exported to many countries of
the world mainly Bangladesh, Bahrain,
Canada,
Italy,
Israel,
Japan,
Malaysia,
Netherlands, Philippines, Singapore, Spain, Sri Lanka, Saudi Arabia, USA,
UAE. The surplus quantities available in the northeastern states of Chillies
are provided at Table 5.9 below.
Surplus Quantities of Chillies in Northeastern States
S.No
1.
2.
3.
4.
5.
6.
7.
8.
State
Arunachal Pradesh
Assam
Manipur
Meghalaya
Mizoram
Nagaland
Sikkim
Tripura
TOTAL
Surplus (in MT)
--22200
-424
--11650
34274
Table 5.9
The total surplus quantity of Chillies in northeastern states is 34274 metric
tonnes.
5.10 Other Crops
The other horticultural crops found to be in surplus quantities like
Large cardamom, Bay Leaves, Black pepper from the spices, Cabbage,
Cauliflower, Sweet potato, Iskut (Chowchow) from vegetables and
Kiwifruit, Walnut, Assam Lemon, Passion fruit and Hatkora from Fruits
are other surplus quantities available for exploring the export markets.
46
Areca nut is also found in surplus in the Meghalaya State and has the huge
potential for export to international markets like UAE and Saudi Arabia.
5.11 Floriculture
The northeastern region with its
rich and dense forests, exotic
and cultivated floral treasure is
a storehouse of exotic flora of
which many are indigenous to
this part of the country. The
climate of this region has given
rise
to
huge
wealth
of
ornamental plants like Rose, Carnation, Gerbera, Chrysanthemum and
Orchids like Dendrobium, Cymbidium, Anthurium etc. However a major
initiative is necessary to explore export potential of floriculture from this
reason. The existing infrastructure for the development of commercial
floriculture is highly inadequate. Micro-Irrigation methods, transport
infrastructure, refrigerated vans, frequent air connectivity, adequate
planting material and information dissemination systems need to be built
up to exploit this highly potential market.
5.12 Exportable Surplus from North-East
There has been a considerable increase in the export of horticulture
produce from India during the past one decade. However the comparative
growth from an equally high potential area of north-eastern states has not
happened. The present Study is an effort to identify the potential crops,
which are in surplus quantities and have the potential of being exported to
international markets. The summary of crop-wise surplus quantities
available over all the north eastern states is given below at Table 5.10
47
Exportable Surplus from North-East
S.No
1.
2.
Name of Crop
Fruit
a) Citrus
b) Banana
c) Pineapple
d) Papaya
e) Jackfruit
Surplus (in MT)
74564
96368
184319
20320
118000
Spices
a) Ginger
b) Turmeric
c) Chilli
151016
10200
34274
3.
Potato
151862
4.
Other Crops
51965
Table 5.10
The promotion of horticulture exports from the NER is a very challenging
task and requires enormous efforts from all the stakeholders. Based on the
export performance of the same products produced in the rest of India, a
very moderate product wise target for exports has been suggested in the
Table 5.11 below.
S.No
1.
Name of Crop
Surplus (in MT)
Export Target
(in MT)
Fruit
a) Citrus
b) Banana
c) Pineapple
d) Papaya
e) Jackfruit
74564
96368
184319
20320
118000
3728
4818
9215
610
2360
Spices
a) Ginger
b) Turmeric
c) Chilli
151016
10200
34274
7550
600
1050
3.
Potato
151862
3037
4.
Other Crops
51965
2500
2.
Table 5.11
48
6. Export Promotion of Horticulture
Produces from NER
The previous chapters of the report have noted that there are
surplus quantities existing of various horticulture produces such as Citrus,
Ginger, Pineapple, Banana and Papaya etc. in the Northeastern States,
which can be explored for exports to international markets. It was also
observed that though there is a very little organized production of flowers
or other floricultural products in these States, the floriculture also has the
potential to graduate to a full-fledged commercial activity with a huge
potential of exports.
6.1 Exports of Horticulture Produce from NER
The exports of horticulture produce from the Northeastern States
have been mainly of Orange/Citrus fruits, Ginger and Pineapple etc. The
geophysical condition as well as lack of infrastructure facilities has
restricted these exports to only neighboring South-Asian countries. The
details of export of horticulture produces from the Northeastern States
during the last three years are provided at Table 6.1 below.
2002-03
S.
No
Produce
Qty
(MT)
2003-04
Value
Qty
(Rs. in
(MT)
Crore)
2004-05
Value
(Rs. in
Crore)
Qty
(MT)
Value
(Rs. in
Crore)
1224.51
0.712
1635.54
1.30
1996.02
1.81
Pineapple
17.80
0.005
--
--
--
--
3.
Other fresh fruits
44.00
0.031
15.20
0.012
20.42
0.017
4.
Ginger
4145.00
3.22
1556.51
1.61
3197.00
3.34
5.
Fresh onion/potato
32.00
0.017
80.00
0.04
73.00
0.04
1.
Orange/Citrus fruits
2.
Table 6.1
Source: Superintendent, Customs Department
49
The figures provided in the above table represent the volume and
value of exports of horticulture produces, which has taken place through
the land custom stations on the borders with the neighbouring countries.
It was also observed that a large quantity of exports also goes through
illegal channels and is not recorded. These exports (illegal) are through
private traders based in Assam and Meghalaya, who buy at very low
prices from the farmers of these States.
6.2 Support Structure for Export Promotion
The promotion of exports of horticulture produces from the NER
requires a major support in building the necessary infrastructure and
support systems. The existing infrastructure for the development of
horticulture is highly inadequate in many ways. The low technological
base and limited market infrastructure with virtually no storage facilities
and inadequate means of transport have resulted in a very low or even no
growth in this sector. The role played by Government Departments like
the Department of Horticulture/Agriculture of the State Governments is
highly inadequate. Due to many other problems like insurgency and
political instability, the growth of private sector in this area has also been
very poor. The existing players in the market are mostly the same age-old
traders (operating like ‘Mahajans’), who lack the long-term vision and are
exploiting the farmers for meager gains. The Northeastern States can
become a key center for production of a variety of fruits and vegetables
and also has the potential to emerge as a major supplier of floriculture
products to the international markets. The location of these States having
extensive international border also provides remarkable opportunities for
border trade and exports to the neighbouring countries.
50
6.3 Transport Network in NER
The inadequate transport facilities and difficult terrain are the
major reason for the very low level of commercial horticulture in the NER.
There are a number of national highways in the region connecting the
State capitals and the State highways and other roads connect the district
headquarter and towns. However the condition of these roads are very
poor and gets worse even during the long monsoon seasons. The distance
of majority of these States from Guwahati or Kolkata is long and
transporting of goods from these States to them is very expensive. The
distance from State capitals of the Northeastern States to Guwahati and
Kolkata is provided at Table 6.2 below.
Distance from State capital to (in Kms)
State
Guwahati
Kolkata
421
1502
--
1081
Manipur
484
1565
Meghalaya
100
1181
Mizoram
466
1547
Nagaland
339
1420
Sikkim
589
720
Tripura
599
1680
Arunachal Pradesh
Assam
Table 6.2
The status of road network in the Northeastern States is provided at Table
6.3 below.
51
Table 6.3
Status of Road Network
State
Total
Surfaced
Un-surfaced
Length
Roads
Roads
(In Kms)
(In Kms)
(In Kms)
% of surface
Roads/100
Roads
sq. km
Arunachal Pradesh
18365
5689
12676
30.97%
21.93
Assam
89486
12882
76604
14.40%
114.08
Manipur
11434
3863
7571
33.78%
51.21
Meghalaya
9565
6560
3005
68.58%
42.64
Mizoram
5075
2877
2198
56.69%
24.07
Nagaland
21021
6451
14570
30.69%
126.79
Sikkim
2019
1546
473
76.57%
28.45
Tripura
16296
4393
11903
26.96%
155.40
Source: Basic Road Statistics, Deptt. of Road Transport and Highways, GOI
The railway network in the Northeastern States is also very poor and
majority of the areas are not connected in these States. The status of rail
network in the NER is provided at Table 6.4 below.
Railway Network in the NER
State
Broad gauge
Meter gauge
Narrow gauge
Total gauge
0
1.27
0
1.27
902.94
1470.58
0
2373.52
Manipur
0
1.35
0
1.35
Meghalaya
0
0
0
0
Mizoram
0
1.50
0
1.50
Nagaland
7.63
5.22
0
12.85
Sikkim
0
0
0
0
Tripura
0
44.72
0
44.72
Arunachal Pradesh
Assam
Table 6.4
Source: NEDFI Data Bank
6.4 Air linkages in NER
The status of air facilities in the region is also very poor. The L.G.B.
international airport at Guwahati has recently commenced some
international flights however they only link to the far Eastern countries
52
and are of not any help for the export promotion of horticulture produces.
Very small cargo space is available in the domestic flights connecting to
major cities like Delhi and Mumbai. The other domestic airports in the
region are at Imphal, Dimapur, Tezpur, Jorhat, Dibrugarh, Lilabari, Silchar
and Agartala etc. However the capacities to carry cargo is minimal on
these sectors and are of not much use to the horticulture exports. The other
nearest airports with international connections is the Kolkata airport.
However the connections are again largely to Eastern countries, which do
not have the desired market potential for the products of NER. It was also
reported that the infrastructure and facilities at Kolkata airport were also
found to be lacking in proper handling of perishable commodities for
exports.
6.5 Market Infrastructure
The markets in the region are largely unorganized and dominated
by the small private traders. The infrastructure, procurement practices and
marketing approaches are the major constraints in development of
markets in the region. Though the economy of the region is essentially
agro-based with majority of population engaged in agricultural
operations, the development of agricultural marketing systems has been
very poor and only a very small quantity of marketable surplus is sold in
the regulated markets. The basic infrastructure facilities like storage,
warehousing and transportations are missing and thereby affect the
storage and mobilization of goods. Only a few States have market
regulation act and enacted the same and the middlemen in the process
take advantage of the farmers’ poor conditions and weak bargaining
power. The farmers, in general bring their surplus produce from distant
villages to the nearest markets for disposal and at times, not being aware
of the prevailing market trends, resort to distress sales.
53
6.6 Processing facility
Export of processed fruits and vegetables is another thrust area for
increasing export of value added products. The processing capacity is
developed on the potential of supply of raw material of that area, however
despite of huge surpluses available in the region, the development of
processing industry has been negligible in these States. Many socioeconomic factors affecting the business environment of these States have
resulted in the poor growth in this sector and thereby have caused a huge
opportunity loss to the region.
6.7 Cold Chain
The NER has a very limited number of cold storages and only a few
of them are operational. NHB has funded a few cold storages in the
region; Guwahati airport also has a walk-in–cooler of 15 MT capacity,
which is lying inoperative. A same kind of cold storage installed at
Agartala airport was also reported to be inoperative. APEDA has provided
100% assistance for purchase of 4 refrigerated trucks in the region for
promotion of export of horticulture products. The cost of hiring
refrigerated trucks for transporting horticulture produces from Guwahati
to the major cities in the country for further exports is very high.
6.8 In land Transport Assistance Scheme of APEDA
The Ministry of Commerce, Government of India had introduced a
scheme for providing transport assistance for export of horticulture
produces from the NER under the Export Development Fund. The
scheme, operated by APEDA, provides for transport assistance to
exporters for exporting notified horticulture products. An amount of Rs. 1
54
crore was released to APEDA for the purpose. However the scheme has
failed to invoke much response and no utilization of funds has taken place
so far. The detailed guidelines of this scheme may be seen at Annexure-II.
Considering the huge potential of horticulture produce available in
the region and the disadvantaged location of the NER, a scheme to
provide subsidy for transport assistance should have evoked a huge
response but it did not happen. Therefore it was attempted to assess the
reasons of its failure and many Stakeholders of the trade, State
Government officers from the States and officers of other organizations
were consulted to get their views on the same. It was found that the main
reason for the scheme not picking up was largely limitations in the
guidelines and the criteria specified for availing the assistance. A critical
analysis of the various aspects of the present scheme is provided below.
As provided in the guidelines of the scheme the rate of transport
assistance for the eligible products is as under:
a) Re. 1 per kg if transported by road from North Eastern states to
Guwahati for export by air from Guwahati international airport.
b) Rs. 2 per kg if transported from North Eastern States to Kolkata
by rail through ICD, Guwahati.
c)
Inland Transport Assistance on transportation by rail through
ICD Guwahati @ Rs. 2 per kg for the products which can be taken
by rail from North Eastern Region to any place in West Bengal for
processing and export.
d) 90% of the airfreight charged by airline from an airport in the
northeastern states and Bagdogra airport to Guwahati or Kolkata
for exports.
e) APEDA to ensure appropriate verification of the goods that have
been procured from North Eastern Region for exports.
55
f)
The above rates are applicable to all fresh and processed fruits as
mentioned in the ‘State-wise Table’ in the guidelines.
The major reasons for this scheme not being able to work for the exports
promotion from the NER are provided below:
1. Since due to no direct international connections from Guwahati
international airport to the export destinations of the horticulture
products from the Northeast, no major consignment has taken place
through this route and thereby the assistance has been of no use to
the exporters.
2. There are very few direct connections from Kolkata airport to the
potential export destinations of these products and the lack of
facilities at Kolkata port to handle perishable commodities does not
make it suitable for the exporters to route their shipments through
Kolkata.
3. Further the rail network in the Northeastern States is also not very
extensive and requires multiple trans-shipments for transporting
goods through railways.
4. The hilly terrain of the area creates huge problems in transporting
the produces from the fields to the small markets and further
transportations for exports. In the absence of any suitable
assistance, the local traders are procuring the produce through their
own channels and some of the produce is being exported to the
neighbouring countries like Bangladesh and Myanmar. These
exports are taking place by road through the land custom stations
in these States and no transport assistance can be provided under
the present scheme for such exports.
56
The exports of the horticulture produces from the NER to the adjoining
countries have so far been through the land custom stations on the borders
with these countries. The list of land custom stations in the NER is
S.No
1.
Shillong
Division
Land Custom Stations
Dawki
Borsora
Shella Bazar
Bholaganj
2.
Dhubri
Mohendraganj
Ghasuapara
Dalu
Mankachar
Baghmara
Hatisar
3.
Agartala
Agartala
Srimantapur
4.
Karimganj
Karimganj (SFS)
Sutarkandi
Manu
Old Ragna Bazar
5.
Imphal
Moreh
6.
Guwahati
Guwahati Intl. Airport
ICD Amingaon
Table 6.5
The
majority
of
exports
of
horticulture
produce
from
the
Northeastern States have been reported from Mahendraganj, Dalu, Dawki,
Karimganj (Steamer and Ferry Station), Agartala, Old Ragna Bazar and
Moreh land custom stations. The value of exports of horticulture
produces reported from these stations is provided at Table 6.6 below.
57
(Value in Rs.)
Land Custom Stations
2002-03
2003-04
2017710.00
0.00
Dalu
237649.00
0.00
Dawki
861250.00
2800903.00
34308526.00
14723899.00
Agartala
5160274.00
2025532.00
Old Ragna Bazar
2534433.00
1636209.00
50018680.00
94059922.00
Mahendraganj
Karimganj (SFS)
Moreh
Table 6.6
Source: Superintendent, Customs Department
The locations of these LCS may be seen at the Map provided at Annexure
III. These land custom stations are gateways for the transit of goods,
services and human beings between neighbouring countries and the
Northeastern States. There is a huge demand for the products from the
Northeastern States in these countries and it was found that the volume of
these exports could be increased drastically by providing the necessary
support to the exporters. However huge transport costs and inadequate
transport infrastructure are seriously hampering the country's trade
prospects with the neighbouring countries. Due to negligible imports
through these Land Custom Stations, the truckers are reluctant to carry the
products to these stations and in case they agree, they charge a very heavy
transport cost (both sides). It therefore becomes very necessary to provide
assistance to these exporters, which will not only boost trade and
commerce in the NER but also will help in creating a niche market for
these products in the South-Asian countries.
The areas from where the produce from the North eastern States are
largely procured for exports and the LCS through which their produce is
exported is provided at Table 6.7 below
58
Exports through Land Custom Stations in the NER
State
Arunachal Pradesh
Production Areas
LCS
Pasighat and Along
Karimganj SFS
NC Hills, Karbi Anglong,
Assam
Cachar, Kamrup, Nalbari &
Dhubri Districts
Thoubal, Churchandpur &
Manipur
Senapati
Karimganj SFS &
Mahendraganj
Moreh & Karimganj SFS
East Khasi Hills, Jaintia Hills,
Meghalaya
East Garo Hills & West Garo
Dalu, Dawki, Karimganj
Hills
Mizoram
Aizawl & Khawzawl Division
Karimganj SFS
Nagaland
Dimapur & Wokha
Karimganj SFS
Sikkim
--
--
Tripura
North, West & Dhalai Districts
Agartala, Old Ragna Bazar
Table 6.7
It was found that in majority of these areas, the cost of
transportation is very high and it varies from Rs 2.00 per KG to Rs 3.75 per
KG depending upon the product and the distance of the farms to the
markets and the markets to the LCS. It is therefore suggested that a
minimal transport assistance of Rs. 1 per kg on horticulture products
exported through the land custom stations to the neighbouring countries
will go a long way in supporting the promotion of exports of these
products from the NER.
59
7. Recommendations
The previous chapters have brought out the surplus quantities and
potential of exports of horticulture produces from the Northeast. The
potential markets for each crop have also been mentioned in the concerned
chapters. It was also observed that the region has not been able to match
the success of other states in the country due to many constraints in
development
of
horticultural
exports.
These
included
lack
of
transportation, communication, agricultural supplies, packing material,
cold chain, market considerations and above all the difficult terrain and
isolation of the area. In order to exploit the potential of this region in
exports of horticulture produces, resources need to be placed for
supporting the difficult task of export promotion from this region.
The action plan for export promotion of horticulture products from
NER, suggested here contains recommendations for modifications in the
existing In-land transport assistance scheme, implemented by APEDA and
other suggestions for improving market infrastructure, technology
support and integrated post harvest management.
7.1
Modifications
recommended
in
In-land
transport
assistance scheme
The In -land transport assistance scheme has been assessed in the
previous chapter of this report and following modifications are suggested
in order to make it more effective and useful for promotion of exports
from the region.
60
The scheme should provide for transport assistance subsidy for all
the APEDA scheduled products produced in the NER at the following
rates.
a) Rs. 1 per kg if the goods are transported by road from
Northeastern States for exports to the adjoining countries
through notified land custom stations at the borders. (List of
suggestive land custom stations most suitable for export of these
products is provided at Table 7.1 below.)
b) Rs. 2 per kg, if the goods are transported by road from the
Northeastern States to Mumbai or Delhi, for further exports to
international destinations.
c)
Rs. 2 per kg, if the goods are transported by road to notified
processing units anywhere in the country for processing for
exports. This assistance shall be provided only to notified units
for purchase of notified fruits for processing on the basis of predetermined input-output norms by APEDA.
d) 50% of the airfreight charged by airlines from an airport in
Northeastern States and Bagdogra (West Bengal) to any
international airport in India for exports. This assistance shall be
available only for floriculture and horticulture produce of
extremely perishable nature.
e) Rs. 2 per Kg, if transported from Northeastern States to Kolkata
by rail through ICD Guwahati for exports.
61
List of suggestive land custom stations
S.No
Land custom Stations
Station State
Assam
1.
Mahendraganj
2.
Dalu
Meghalaya
3.
Dawki
Meghalaya
4.
Karimganj (SFS)
Assam
5.
Agartala
Tripura
6.
Old Ragna Bazar
Tripura
7.
Moreh
Manipur
Table 7.1
In order to ensure that the assistance is provided to only to the
deserving beneficiaries and ensure that the product exported is actually
sourced from the NER, a control measure in terms of various certifying
documents are suggested to prevent any misuse of the scheme. The
transport assistance to the exporters shall be considered when their
applications are received with the following documents duly stamped and
signed by the respective authorities:
i.
Custom certified export promotion copy of the shipping bill
(air/sea/road) as applicable, in original;
ii.
Self certified photocopy of the original transport bill (or bill
issued by the transporter) for domestic rail/road transport and
corresponding airway bill/bill of lading for International
transportation;
iii.
Custom/Bank certified copy of the commercial invoice in original,
and;
iv.
A certificate of realization of foreign exchange furnished in the
form no.1 from the Bank. The format is as given in the Appendix 22
of the Handbook of procedures issued by Ministry of Commerce.
This would ensure that the exports from the North Eastern Region
are through the official channel.
62
v.
A certificate by District Horticulture Officer and /or State
Agriculture Marketing Board certifying that the product is the
produce of the District/State in NER.
vi.
Duly stamped transport bill by Srirampur land check post on
Assam-West Bengal border, in case products are transported by
road to Mumbai or Delhi. In case of products exported from
Sikkim, the transport bill should be stamped by the authority at the
exit check post at Sikkim Border on the NH 31A.
The other guidelines for In-land transport assistance scheme
regarding the procedure and terms and conditions of the existing scheme
may remain unchanged.
7.2 Transportation
Major constraint in promotion of horticultural exports is in the
transportation area. The high cost of road transportation and highly
inadequate railway network has made the development of this sector
virtually impossible. The region has poor air linkages and lacks reliable
and frequently air cargo space. The airfreight rates are exorbitantly high
making the activity economically unviable. The present scheme of APEDA
of inland transport assistance for horticulture products from the northeast
region needs to be modified as already mentioned above. It was also
observed during discussions that awareness about availability of such
scheme is very poor and needs to be publicized effectively for the benefit
of the traders and farmers.
There are no refrigerated vans in regular use within the region. The
vans provided by APEDA are inadequate and have not been of much help
so far. The scheme has to provide for many more such vans to make any
substantial impact in assisting the community.
63
7.3 Agricultural Supplies
For any agriculture based activity, supplies such as planting materials,
fertilizers, pesticides, and other farm equipments are to be made available
to the farmers and the concerned State Governments need to be sensitized
for taking up this in a big way. Government of India through its existing
schemes like the Technology Mission for Integrated Development of
Horticulture needs to give more thrust on exportable produces.
7.4 Packaging Material
Proper packaging and presentation is critical for success in the export
market of high value horticulture crops. Good quality packaging material
and local sources of supply needs to be provided to the region for
promoting the exports of horticulture produces. Efforts in terms of
obtaining duty free or duty drawbacks for packing materials used for
export produces from the region will go a long way in ensuring this.
7.5 Cold Chain
At present there are no pre-cooling or cooling facilities for the produces
of the region. In order to exploit the potential of horticultural exports, an
efficient cold chain needs to be developed, best done by private
enterprises or farmers co-operatives.
7.6 Market Considerations
Horticultural exports are strictly demand driven therefore local
markets capacity to absorb surplus and dissemination of market
64
information is a must for promoting exports from the region. The region is
ideally located to tap exports to the neighbouring countries. Efforts to
advocate opening of borders at the policy level maybe considered for
promoting the trade with these countries.
7.7 Resource Requirements
Many agencies/departments of the Governments such as NEDFI,
NABARD,
NHB,
Ministry
of
Agriculture,
Govt
of
India,
State
Governments offer financial assistance in form of loans, subsidies and
equity participation for taking up projects for promotion of Horticulture in
the NER. APEDA has also been implementing many programmes and
supporting projects for development of Horticulture produces in order to
make them competitive in the export markets. However to give the
necessary impetus to the existing efforts, take up new initiatives and
implement the modifications in the present schemes more financial
investment shall be required and it is therefore suggested to have an
additional budget allocation of Rs. 10 crore for the purpose. The detailed
statement on the resource requirement for the proposed investment is
provided at the Table 7.2 below.
(Rs in crore)
S.No
Particulars
Resources Required
1
In-land Transport assistance
3.00
2
Refrigerated Vans (12)
1.80
3
Supply of planting material
2.00
4
Development of Cold chain
2.00
5
Marketing and information management
1.20
Total
10.00
Table 7.2
65
ANNEXURE I
TRIPURA
Mr. I. S. Singh
Director,
Deptt. of Horticulture, Govt. of Tripura
Mr. Pran Ballav Saha
Deputy Director,
Uday Shankar Debnath
Assit. Director
SIKKIM
Mr. G. K. Gurang
Secy. Dept. of Agriculture & Horticulture
Govt. of Sikkim, Krishi Bhavan
Tadong, Gangtok – 737102
Sikkim
Mr. P. Tshering Bhutia
Addl. Director,
Deptt. of Horticulture, Govt. of Sikkim
Krishi Bhavan
Mr. D.K. Mukhia
Jt. Director (Hort. Marketing),
Govt. of Sikkim
Krishi Bhavan
Mr. B. J. Roy
Assit. Director (Marketing)
Govt. of Sikkim,
Spices Board, D.P.H. Road,
Gangtok, Sikkim – I
Mr. H. S. Srinivasa
Deputy Director,
Spices Board,
Govt. of Sikkim
ARUNACHAL PRADESH
Mr. J. Jaloh, I.A.S
Secy to C.M
Secy Agriculture (Addl. Charge)
Govt. of Arunachal Pradesh
Mr. G. Koyu, I.A.S
Secy Horticulture
Dr. Alok Tagi
Director Horticulture
(State Co-ordinator – SFAC)
Mr. Tago Basar
Director Agriculture
Mr. Egam Basar
Horticulture Devp. Officer
ASSAM
Dr. A.M. Paul
Director of Horticulture,
Govt. of Assam
Dr. H. Baruah
Addl. Director of Horticulture
Govt. of Assam
Krishi Bhavan, Agriculture Campus,
Khanapara, Guwahati -22
Mr. Bidyut Kr. Baruah
Regional Manager
APEDA
Mr. R. Dutta
Regional Project Co-ordinator
Govt. of Assam
Small Farmers Agri-Business Consortium
Jain complex, IIIrd Floor, G.S. Road, Guwahati - 5
Dr. Ariz Ahmed, C.E.O
Govt. of Assam
Assam Small Farmers Agri-Business Consortium
Agriculture Campus, Khanapara, Dispur
Dr. Rajendra Prasad Das (Prof.)
Horticulture Deptt.,
Govt. of Assam
NAGALAND
Mrs. Thangi Menon
Secy Agriculture (Horticulture)
Govt. of Nagaland
MANIPUR
Mr. Jay Kumar/Mr. Rattan Kumar
Mr. Kiran Kumar
Director Horticulture,
Govt. of Manipur
MIZORAM
Dr. Sameul
Director Horticulture.
Govt. of Mizoram
Mr. J. Lalthlantlinga (tlinga)
Marketing officer
Trade & Commerce Department
Govt. of Mizoram
ANNEXURE II
GUIDELINES FOR INLAND TRANSPORT ASSISTANCE
Subject:
Procedure
for
Grant
of
Inland
Transport
Assistance
of
Horticulture Products from the North East Region including
Sikkim for the period of 10th Five Year Plan i.e. from 15.07.2002 to
31.03.2007
For promoting exports of agricultural products and processed food from
NE Region it is proposed to grant Inland Transport Assistance for export of
identified products as contained in Annexure I (A). The benefit will be available
for ultimate export made with effect from 15.07.2002 to 31.03.2007. Assistance
will be released through APEDA. The procedure and terms and conditions for
claiming Transport Assistance will be as under and valid for exports shipment
effected from 15th July, 2002 upto 31st March’2007.
1)
The application for Transport Assistance may be made in the prescribed
form enclosed as Annexure II.
2)
The applications received shall be considered on first come first served
basis and subject to availability of funds.
3)
Applications for Transport Assistance should be addressed to APEDA
offices as per the details given here under:
a)
In case of shipments effected from
Regional Manager
Calcutta or Guwahati airport or
APEDA,
Calcutta seaport and / or the beneficiary
Guwahati/ Calcutta
belongs to Eastern or North Eastern
India.
4)
The date of submission of claim in any APEDA office shall be the date of
claim for consideration. Exporters should claim transport assistance on
per shipment basis. However, application for shipments would be made
on fortnightly basis, i.e. 1st to 15th and 16th to end of the calendar month.
5)
Each claim should be accompanied by all the required documents
mentioned in para (8) below along with a detailed statement furnishing
shipment details (in the format given in Annexure - III). All claims for
shipment made within a fortnight should be bunched together and
submitted as a single application with a summary statement on the top as
per the format given in the application form at Annexure (IV).
The date of flight/mentioned on the shipping bill/ date of Ship movement
mentioned on ‘Bill of Lading’ will be deemed to be the date of shipment.
6)
The information not provided in full for all shipments covered under the
application, in the prescribed format, will be summarily rejected.
7)
Consignment of eligible and non-eligible items should be sent separately.
This means that documents to be submitted along with application i.e.
shipping bills, roadways bill, Airways bill/ ‘bill of lading’ and Invoices
should show only eligible items clearly specifying number of boxes, items,
weight etc.
8)
Applications should be accompanied with the following documents duly
stamped and signed by the respective authorities:
a) Custom Certified exports promotion copy of the shipping bill (Air/
Sea) in original.
b) Self-certified photocopy of the original transport bill (or ‘Bilti’ issued
by the transporter) for domestic road/ rail transport.
c) Self-certified photocopy of the original Roadways/ Airway Bill, for
Domestic (if any) and Airway bill/ ‘Bill of Lading’ for International
transport.
d) Custom certified short shipment Certificate in original, if any.
e) Photocopy of APEDA Registration Certificate.
f) Custom/ Bank certified copy of the commercial Invoice in original.
g) Certificate of realization of foreign exchange by Bank in original in
Form No. 1 of Appendix 22 of Handbook of Procedures of Ministry of
Commerce.
9)
Alterations in the documents, if any, should be authenticated by Airlines /
Custom Authorities /Other Authorities as the case may be. The
documents with alterations in amount, quantity or any material facts
alterations, not authenticated by acceptable authority, shall be rejected by
APEDA.
10)
Transport Assistance shall be paid only to the exporter effecting
shipments for export only and not to any other party
11)
The items exported along with their respective quantities should be
individually mentioned on the invoice and the shipping bills along with
HS Code.
12)
The shipping bill as well as the invoice must clearly indicate the
description of items, number of their packages / cartons along with the
gross weight of each item separately. The Transport Assistance shall be
paid on gross weight actually shipped and paid for. In case item wise
details are not mentioned in the shipping bill or the invoice, exporters
may produce any other material documentary proof in support of the
items exported along with a sworn in affidavit.
13)
The flight number as well as its date must be mentioned on the export
promotion copy of the shipping bills as well as the airway bills.
14)
Applications will be received by APEDA by following PRESCRIBED
DATES:
a)
Applications for the period from 15th July, 2002 to 31st March, 2007
(fortnight wise) to be submitted on or before the end of 7
fortnights from the expiry date of concerned fortnight. (see
Annexure -VII)
15)
In case of delay in submission of applications beyond the above
prescribed date, the following penalties shall be imposed:
Period of Delay
Penalty cut in % of
Assistance
admissible
a)
Applications received after prescribed date
but within 30 days from the prescribed date
5%
b)
Applications received from 31 days to 60 days
10 %
of the prescribed date.
c)
Applications received from 61 days to 90 days
20 %
of the prescribed date.
d)
Applications received after 90 days of the
Total
(rejection) prescribed date shall not be accepted.
16)
Wherever the details are incomplete and a letter has been issued by
APEDA for resubmission of application with details and the exporter does
not resubmit such details within the stipulated time, such applications
shall also be rejected after 180 days of the “prescribed date”.
17)
In case of any doubts / disputes the matter will be referred to Ministry of
Commerce, Govt. of India, whose decision shall be final and binding.
18)
While submitting claim for Transport Assistance, the exporter shall also
send a statement showing the Transport Assistance already received from
APEDA (fortnight wise), or claims pending in APEDA.
19)
If the information furnished by the applicant is found to be incorrect at
any stage, the applicant shall be liable to return the whole amount of
Transport Assistance received by him. APEDA shall also retain the right
to impose any other penalty as it considers fit.
20)
The Transport Assistance shall be released only after verification of the
documents as contained in this letter and after verification of details and
relevant documents/as may be required by APEDA. Exporters are
advised to refer to the checklist at Annexure- VI while submitting the
documents.
21)
The rate of Transport Assistance for the eligible products shall be as
under:
a) Re. 1 per kg if transported by road from North Eastern states to
Guwahati for export by air from Guwahati international airport.
b) Rs. 2 per kg if transported from North Eastern States to Kolkata by rail
through ICD, Guwahati.
c)
Inland Transport Assistance on transportation by rail through ICD
Guwahati @ Rs. 2 per kg for the products which can be taken by rail
from North Eastern Region to any place in West Bengal for processing
and export.
d) 90% of the airfreight charged by airline from an airport in the
northeastern states and Bagdogra airport to Guwahati or Kolkatta for
exports.
e) APEDA to ensure appropriate verification of the goods that have been
procured from North Eastern Region for exports.
f)
The above rates are applicable to all fresh and processed fruits as
mentioned in the ‘State-wise Table’ enclosed as Annexure I(A).
22)
Items transported from NE Region for processing and export outside the
North Eastern States and Sikkim except West Bengal will not be eligible
for assistance.
23)
Transport Assistance shall be paid to the exporters only when a certificate
of realization of foreign exchange on eligible products has been furnished
in Form no. 1 (as given in Appendix 22 of the Handbook of Procedures
issued by Ministry of Commerce) from the Bank. FOB realization of the
products shall be maintained in US $ terms (please refer Annexure-V).
24)
Transport Assistance shall be payable on GROSS WEIGHT basis only.
25)
All claimants must ensure before sending the documents to APEDA or
any regional office of APEDA that applications has been filed only for
eligible items and for applicable destinations within the prescribed time
along with the requisite documents certified by the concerned authorities.
26)
H S Code (Annexure-I (B) is required in respect of all products in the
Invoice and Shipping Bills.
27)
In case the quantity shipped as per Air Way Bill is more than as per
shipping bill, exporter’s claim should be restricted to the quantity as per
the Shipping Bill.
28)
Before filing application, the applicant shall ensure that the application is
complete in all respects as per the above guidelines and the Check List in
Annexure VI
ANNEXURE NO. I (A).
1.
All fresh & processed items (under APEDA Schedule) covered by
approved AEZs.
2.
All certified Organic products under the APEDA schedule.
3.
States
The other select list of items on which transport assistance are as follows:
Banana
Guava
Lemon
Orange
Pears
Pine-
Plum
apple
Arunachal
Pradesh
Assam
a
Manipur
Meghalaya
a
Mizoram
a
Nagaland
a
a
a
a
a
a
a
a
a
a
a
a
a
a
a
a
a
a
a
a
Sikkim
a
Tripura
a
a
a
a
Ginger
Flowers
a
a
Cut
a
a
a
a
a
a
a
A.
Cane
a
a
a
a
a
a
a
a
a
IN LAND TRANSPORT ASSISTANCE
Items covered under this scheme
Bamboo
a a
ANNEXURE – I(B)
1)
Apple
a
a
a
Kiwi
Fruit
a
a
Passion
HS Code
Fresh
a) Pineapple
08043000
b) Orchids and other flowers
06031000
c) Ginger
07099009
d) Banana
08030000
e) Cut Flowers
06031000
f) Ginger
19052000
g) Guava
08045001
h) Lemon
08053000
i) Orange
08051000
j) Passion Fruit
08109009
k) Pears
08082000
l) Plum
08094000
m) Rice
All codes under 1006
n) Pepper
07099040
o) Apple
08081000
p) Kiwi
08105000
B. Processed
a) Processed guava
20079920
b) Guava fruit
20089994
c) Lemon fruit
20089912
d) Processed citrus
20079100
e) Citrus fruit
200830
f) Oranges
20083010
g) Orange juice frozen
20091100
h) Orange juice frozen
20091200
i) Pear fruits
20084000
j) Single citrus fruit
20093100
k) Processed pineapple
20079930
l) Pineapple fruit
20082000
m) Pineapple juice
20094100
n) Pineapple Prepared/ Preserved
20082000
o) Pineapple Juice
20094000
p) Pineapple Squash
20089904
q) Jaggery
17011110
r) Pepper in Brine
07119010
s) Processed Apple
07119010
t) Processed Kiwi
20089913
Annexure II
APPLICATION FOR INLAND TRANSPORT ASSISTANCE
For the Fortnight ending …… to ……….
1)
a)
Name :
……………………………………
Address:
……………………………………
……………………………………
……………………………………
b)
City:
……………………………………
Pin code:
……………………………………
APEDA Registration No…………………………
Registration Date…………………………………
2)
a)
Total amount of transport assistance claimed
.…………..
b)
Transport assistance already received
……………
c)
Claims pending
……………
a) Fortnights
b) Date of submission ……………
c) Office where submitted ……….
Declaration
a)
The full text of the scheme under which this request for assistance is made
available to me / I/we and us have read and understood the same. I am/
we are familiar with the procedures and terms and conditions of grant as
set out in the scheme and understand and accept that these are binding on
me / us.
b)
I / we declare that the particulars stated above and in the annexure are
correct and nothing has been withheld or concealed.
c)
In case any portion of the goods is re-imported, the same would be
brought to the notice of APEDA and the amount of transport assistance
received in respect to such items would be immediately refunded.
Authorized Signatory
Place:
Date:
Name (Block Letters)
(Designation with seal of company)
ANNEXURE-III
DETAILS OF THE SHIPMENT
S.No
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
Name of the Exporter
Fortnight Ending
Port of Embarking
Invoice No.
Airway/ Transport bill/R.R
Port of Disembarking
Invoice Date
Airway/ Lading Bill Date
Country Code
Shipment No.
Port of Shipment
Airway Bill No.
Airway date
ANNEXURE -IV
SUMMARY OF SHIPMENT AND CLAIM FOR INLAND TRANSPORT
ASSISTANCE
S.No.
1.
2.
3.
4.
Bilti No./ RR/ Airway
Invoice
Amount of Assistance
Page
Bill No.
No.
Claimed (Rs.)
Nos.
5.
6.
7.
8.
9.
10.
Total
(Signature of the applicant)
Note: Each shipping claim should be enclosed in sequence, page numbering
should be done and page number of documents of the start of each
shipping bill and end of the shipping bill may be indicated for facilitating
processing.
ANNEXURE -V
APPENDIX-22
BANK CERTIFICATE OF EXPORT AND REALISATION
FORM NO.1
To _________________________________________ (Name and address of Licensing Authority) we
___________________________ (Name and address of the Exporters) hereby declare that we have
forwarded a documentary export Bill to _________________________ (Name and address of the
bank i.e., Branch and City) for collection/negotiation/purchase as per particulars given
hereunder.
Invoice
Export
Description
promotion
of goods as Lading/PP/Receipt of goods
copy
Bill
of Destination Bill
of given in the Airways Bill
Country
duly
name
authenticated
CIF/C&F/FOB
(In
Shipping Bill customs
the
Customs
No.
Date No.
Date
(1)
(2)
(4)
(3)
(5)
No
Date
(6)
(7)
(8)
foreign
exchange
authenticated Shipping bill
by
amount
(9)
Freight
Insurance Commission /
Whether
FOB
Date of
GRI/PP No. date
amount
amount
Discount/Pai
the
value/
realisation
/ SDF
&
as per
as per
d /payable
export is
FOB
of export
form
category
Bill of
insurance
in freely
value
proceeds
Lading/
Compan
convertib
actually
applicab
Freight
y’s
le
realised
le
memo
Bill/Rece
currency
in free
licence
ipt
or in
Foreign
Indian
Exchan
Rupees
ge /
of
Rupees
(10)
(11)
(12)
(13)
(14)
(15)
(16)
(17)
We further declare that the aforesaid particulars are correct. (Copies of invoices
relevant to these exports and Customs attested EP. Copy of relevant Shipping
Bill is attached for verification by the bank).
Signature of the exporter: ……………………………..
Name in block Letters:
…...…………………………..
Place:
………………………………
Designation:
………………………………
Full official:
………………………………
Address
Full Residential Address: ………………………………
Official Seal/stamp
BANK’s CERTIFICATE
Authorised Foreign Exchange Dealer
Code No. allotted to the Bank by
RBI
RefNo. _____________________________
Dated______________________________
Place ______________________________
1.
This is to certify that we have verified the relevant Export Invoices, Customs
attested E.P. Copy of Shipping Bill and other relevant documents of M/s.
____________________________________. We further certify that the particulars
given in Co. 1 to 17 have been verified the F.O.B. value mentioned in Col 14
above with reference to following documents : -
2.
(i)
Bill of Lading/PP receipt /Airways Bill
(ii)
Insurance policy/Cover/Insurance Receipt
We have also verified that the date of the connected mate receipt as
indicated in the relevant Shipping Bill is ___________________________ (date to
be given).
3.
We have also verified that the date of Export is ___________________
(Applicable only in respect of Exports by Air)
4.
This is to certify that we have certified the amount of the Commission
paid/payable,
as
declared
above,
by
the
___________________________________________________________
export
(in
i.e.
figures
and words) with G.R. Forms and found to be corrected
_______________________
(Signature of the Bankers)
Full address of the Bankers _____________________________________
Branch and City _______________________________________________
Official Stamp.
Note:
1.
Bank can issue a consolidated certificate (consignmentwise) for
more than one consignment)
2.
FOB actually realised and date of realisation of export proceeds are
to be given in all cases except where consignment has been sent
against conformed irrevocable letter of credit
3.
This shall be required wherever specifically prescribed in the
Policy/procedure.
Annexure-VI
INLAND TRANSPORT ASSISTANCE SCHEME FOR THE PERIOD
FROM 15th JULY’2002 TO 31st MARCH 2007 CHECKLIST FOR PROCESSING
OF INLAND TRANSPORT ASSISTANCE CLAIMS
(The objective of the Check List is to facilitate the beneficiary in filling and filing their claims with APEDA. It does not
necessarily means that the beneficiary will be eligible for the Financial Assistance on compliance of following check
points)
CHECKS
YES NO
REMARKS
(Please tick and ensure that all details are filled up)
1.
Whether the beneficiary is registered with
APEDA?
2.
Whether the copy of PAN No. allotted by
Income Tax Deptt. Is mentioned in the
application or alternatively the copy of
acknowledgement received from Income
Tax
Deptt.
Is
given
alongwith
the
application ?
3.
Whether the claim is sent to the respective
designated
office
of
APEDA
as
per
Notification ?
4.
Whether
the
photocopy
of
APEDA
Registration Certificate has been enclosed.
CHECKS
5.
Whether the registration
YES NO
valid for the
period during which the export was made.
6.
Whether Annexure II i.e. Application for
the subsidy is duly filled in the prescribed
format and signed by the exporter.
7.
Whether the fortnight is eligible period of
respective Financial Year, within the AFS
Scheme?
8.
Whether the claim has been submitted
within the prescribed time ? (otherwise it is subject
to deduction of penalty/Total Rejection)
9.
Whether the country to which export has
been made is covered under the scheme ?
10. Whether all the claims submitted in a file,
pertain to a single fortnight ?
(There should be
separate claim for each fortnight)
11. Whether the items are eligible as per
Annexure I (A) of the Notification?
REMARKS
CHECKS
YES NO
12. Whether Annexure IV i.e. Summary of
Shipping
Bill
wise
claim
has
been
submitted and that is duly signed by the
beneficiary and there is no correction or
alteration ?
13. Whether Annexure V - Bank Certificate
for realization of foreign currency, giving
Shipping Bill wise realization, has been
submitted in prescribed format?
In case of certificate of realization of
foreign exchange by Bank, Check:
i)
Whether it is in the standard format
(Form I)?
ii) Whether it is on the Bank Stationary?
iii) Whether the name and address of the
banker is clear on the certificate and it
is properly signed and stamped?
iv) If there is any alteration, whether
they are authenticated by the bank
with signature and rubber stamp?
14. Whether Annexure III i.e. claim for
airfreight subsidy has been submitted
separately for each shipment?
REMARKS
CHECKS
YES NO
15. Whether Annexure III has been signed by
the beneficiary?
16. Whether a declaration to the effect that
items
are
not
air
freighted
by
Special/Chartered flights has been given
on Annexure III ?
17. Whether
the
beneficiary
has
made
separate Shipping Bills for eligible and
non eligible items?
18. Whether H.S. Codes {Annexure – I(B)}of
the items exported have been correctly
mentioned on the shipping bill ?
19. Whether the declaration on shipping bill (on
the reverse side) has been verified by the
Custom authorities?
20. Whether No. of packets and gross weight
as mentioned on shipping bill reconcile
with the same mentioned on other
documents ?
REMARKS
CHECKS
YES NO
21. Whether the shipment has been effected
within the period of the fortnight, for
which claim has been submitted? (For this
purpose flight date given on declaration
on shipping bill is considered to be the
actual date of shipment).
22. If there is any alteration on shipping bill,
declaration on shipping bill, or on short
shipment
notice
whether
that
is
authenticated by the custom authorities
with stamp and signature of the custom
authorities?
23. If there is any alteration on Airway Bill
whether that is authenticated by the cargo
agent with his rubber stamp and initials?
24. Whether the weight, on which subsidy
has been claimed, has been actually
exported?
25. Whether CIF Values, Airfreights and FOB
Values as given in Annexure III are the
same as given in the Certificate of
realization of foreign currency?
REMARKS
CHECKS
YES NO
26. In case of Papaya and Onion, whether the
variety of papaya has been mentioned on
shipping bill as well as on Invoice?
27. Whether the beneficiary has submitted
the complete set of documents along with
each Annexure III.viz.
i) Copy of the commercial invoice (in case of
floriculture copy of Performa invoice)
signed by the beneficiary in original and
certified by the Custom Authorities or
Bank ?
ii) Self Attested photocopy of Airway Bill?
iii) Custom certified Export promotion copy
of the Shipping Bill in original?
iv) A copy of short shipment notice, if any,
certified by the Custom Authorities in
original?
v) All alterations, cuttings, overwriting are
authenticated?
28. Whether
(a)
Correct
English
names
and
relevant HS codes have been
mentioned in all documents?
REMARKS
CHECKS
(b)
The
YES NO
application
has
REMARKS
been
completely filled up and the
declaration has been signed?
(Signature with Name and Seal
Place…………………..
Date……………………
of the company)
Annexure VII
PRESCRIBED DATES FOR SUBMISSION OF CLAIMS
FORTNIGHT
LAST DATE OF
SUBMISSION OF CLAIMS
(in 2003--2007)
(in 2003-2007)
1st – 15th April 2003
31st July 2003
16th – 30th April
15th August
1st – 15th May
31st August
16th – 31st May
15th September
1st – 15th June
30th September
16th – 30th June
15th October
1st – 15th July
31st October
16th – 31st July
15th November
1st – 15th August
30th November
16th – 31st August
15th December
1st – 15th September
31st December
16th – 30th September
15th January 2004
1st – 15th October
31st January
16th – 31st October
15th February
1st – 15th November
28th February
16th – 30th November
15th March
1st – 15th December
31st March
16th – 31st December
15th April
1st – 15th January 2004
30th April
16th – 31st January
15th May
1st – 15th February
31st May
16th – 28th February
15th June
1st – 15th March
30th June
16th – 31st March
15th July
16th – 31st March’2007
15th July,2007
STATEMENT TO BE FORWARDED BY REGIONAL OFFICES ON
FORTNIGHTLY BASIS FOR APPROVAL
The Regional Office shall forward the following information on E-Mail to
APEDA Delhi for taking prior approval before disbursement of amount.
Abstract I
(Each Exporter’s File wise in horizontal format)
1.
File No.
2.
Name of Exporter
3.
Fortnight ending
4.
Date of Receipt
5.
Shipping Bill details
6.
Port of shipment
7.
Destination Port
8.
Description of Products
9.
Quantity Claimed (Kgs.)
10.
Gross Eligibility (Kgs.)
11.
CIF Value (Rs.)
12.
FOB Value (Rs.)
13.
25 % of IATA Rate (Rs.)
14.
1/3rd of or 50 % of FOB value (as the case may be) (Rs.)
15.
Eligible ceiling of per Kg. Assistance (e.g. Rs. 10/- or Rs. 25/-)
16.
Claimed Amount (as per application) (Rs.)
17.
Entitlement of Exporter (least of Col. 13 to 15 above) (Rs.)
18.
Penalty Amount (%)
19.
Recommended Amount (Rs.)
Abstract II
1.
Certificate of Chartered Accountant recommending the amount of
assistance.
Abstract III
(Consolidated statement of disbursement for which approval sought for)
1.
File No.
2.
Name of Exporter
3.
Amount Recommended as assistance (Product wise)
ANNEXURE III