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Marketing and Export of Fruits and Vegetables in Punjab

Marketing and Export of Fruits and Vegetables in Punjab. M.S.SIDHU Senior Economist (Marketing)-cum-Head Department of Economics & Sociology Punjab Agricultural University Ludhiana 141004. Introduction.

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Marketing and Export of Fruits and Vegetables in Punjab

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  1. Marketing and Export of Fruits and Vegetables in Punjab M.S.SIDHU Senior Economist (Marketing)-cum-Head Department of Economics & Sociology Punjab Agricultural University Ludhiana 141004

  2. Introduction • India with its wide variability of climate and soil produces a large range of horticultural crops such as fruits and vegetables. • India is the second largest producer of fruits and vegetables in the world. • Horticultural crops occupy about seven per cent of the gross cropped area of the country, constituting about 25 per cent of the gross value of agricultural output. • The per capita consumption of vegetables in the rural areas has increased from 2.71 kgs per month in 1993-94 to 4.04 kgs per month in 2009-10. • The corresponding figures for urban areas were 2.91 kgs and 4.12 kgs per month. • Punjab is a progressive agricultural state.

  3. Wheat and paddy are two principal crops and cover about 80 per cent of the total cropped area. • The pre-dominance of wheat-paddy rotation has some far reaching implications for the state. • Diversification of agriculture is need of the hour. • Fruit and vegetable cultivation is one of the sustainable alternatives in place of water intensive crop like paddy. • It can provide more employment opportunities to the marginal and small farmers because these crop enterprises are labour intensive. • Kinnow is the major fruit crop having a share of about 64 per cent in the total fruit production in the state. • Other important fruits are guava and mango.

  4. Potato is the principal vegetable crop having a share of about 57 per cent in the total vegetable production of Punjab. • Other important vegetables are peas, cauliflower, onion and tomato. • There are a number of middlemen between the producer and consumer of fruits and vegetables. • Producer’s share is small in the consumer’s rupee. • The organized sale of fruits and vegetables has been introduced in the recent years in major urban centres of the country but the share of organized retail is hardly 4 to 5 per cent in the total sale. • The Government of India has allowed FDI in the multi-brand retail in September, 2012 but there is opposition to this decision by various State Governments including Punjab. • The export of fresh fruits and vegetables is meagre from Punjab due to various reasons.

  5. Objective: • The present study has been planned to study the scenario of fruit and vegetable marketing and its export in the state.

  6. Data base • The study is mainly based on the secondary data taken from the reputed published sources.

  7. Area under fruits and vegetables vis-a-vis total cropped area in Punjab, 2000-01 to 2010-11 (000 ha) Note: Figures in parentheses indicate percentages to total cropped area. Source: i) Department of Horticulture, Punjab, Chandigarh ii) Statistical Abstract of Punjab, various issues

  8. Production of fruits and vegetables in Punjab, 2000-01 to 2010-11 (lakh tons Note: Figures in parentheses are percentages to total fruits and vegetables production. Source: As given in Table 1.

  9. Area, yield and production of principal fruits and vegetables in Punjab, 2010-11 Source: Department of Horticulture, Punjab, Chandigarh

  10. Disposal of Kinnow orchards (area basis) by the selected farmers in Punjab, 2002-03 (Area in hectares) Note: Figures in parentheses are percentages. Source: Singh (2004)

  11. Price spread of fruits for sale in Delhi market (Channel: Producer-pre- harvest -Contractor-retailer (through commission agent) - consumer. (Rs/qtl) Note: Figures in parentheses indicate percentages to consumer’s price. Source: i) Singh and Sidhu (2005); ii) Sekhon, Bhullar and Sidhu (2006); iii) Anchal (2005)

  12. Sale pattern of vegetables in Punjab, 2009-10. (Figures in parentages) Source: Sidhu, Sidhu and Singh (2010)

  13. Price spread of potato in Jalandhar market (Punjab) (Channel: Producer- wholesaler- retailer- consumer), February, 2010. Source: Sidhu and Singh (2011)

  14. Price spread of potato in Jalandhar market (Punjab) (Channel: Producer-retailer-consumer), September, 2010. Source: Sidhu and Singh ( 2011)

  15. Exports of fresh fruits and vegetables from India, 2004-05 to 2010-11 (US $ million) Source: CMIE (2011)

  16. Country-wise export of fresh fruits from India, 2008-09 to 2010-11 (US $ million) *Other countries are Yemen, Kuwait, Egypt, Nepal, USA, etc. Note: Figures in parentheses are percentages to total export Source: CMIE (2011)

  17. Country-wise export of vegetables from India, 2008-09 to 2010-11 US $ million) *Other countries are Indonesia, Saudi Arabia, U.K, etc. Source: CMIE (2011)

  18. Export of fresh fruits and vegetables from Punjab, 2005-06 to 2009-10 (qtls.) *By rail and air Source: Statistical Abstract of Punjab, Various issues

  19. Conclusion and Suggestions • Fruit and vegetable cultivation is one of the sustainable alternatives in place of water intensive crops like paddy. • The production of fruits and vegetables is about five million tons in Punjab. • The producer’s share in the consumer’s rupee is low in fruit and vegetable marketing. • The share of fresh fruits in the agricultural and allied exports of the country is about two per cent. • This figure for vegetable is around two to three per cent.

  20. India exported the maximum fresh fruits to UAE followed by Saudi Arabia, Netherlands, Bangladesh and U.K. during the year 2010-11. • The maximum exports of fresh vegetables were to Bangladesh followed by Malaysia, UAE, Sri Lanka and Nepal in 2010-11. • Punjab is not a major exporter of fresh fruits and vegetables because the state is land-locked. • The sea-ports like Mumbai, Kandla, etc. are far away from the state which make our export uncompetitive due to high freight charges and perishable nature of fresh fruits and vegetables. • The state exported only 1038 quintals of fresh fruits and vegetables by rail and air during year 2009-10.

  21. Suggestions • The farmers ay prefer group/cooperative marketing for sale of fruits and vegetables in the distant markets like Delhi, Mumbai, Kolkatta, Ahmedabad, Bangalore, Hyderabad, etc. There are 53 cities in India having a population of more than one million each. • For export of fruits and vegetables also, the group/cooperative effort is better option. • The need of the hour is public-private partnership to develop market infrastructure of international standard. • The contract farming may be legalized in overall interest of Punjab agriculture. • These measures will bring efficiency in the marketing of fruits and vegetables in the state.

  22. Thanks

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