QUALITY PARAMETERS FOR EXPORTING OF FRIUTS

INTRODUCTION

At its Fourth Session, the Sub-Group on Tropical Fruits recommended that the Secretariat carry out a market update on India, and a market overview of the Near East. The Secretariat was not able to carry out a market overview of the Near East due to resource constraints. An attempt at desk research also proved futile due to a paucity of information on the markets for tropical fruits in the region. Therefore, this document is devoted entirely to the major developments in supply, demand and trade of tropical fruits in India and the likely future prospects.

 

PRODUCTION

The main tropical fruits produced in India include banana, mango, guava, pineapple, papaya, lychee (or litchi), and to a lesser extent sapota, jackfruit, phalsa, annona and ber. The 3major tropical fruits (mango, pineapple, and guava) accounted for 33 percent of total fruit production in 2004. Mango output was 10.8 million tonnes in 2004, a 6.2 percent increase over1998/2000, while production of papaya and pineapple was 700 000 and 1.3 million tonnes, respectively, in 2004. Papaya grew by 4.3 percent over the 1995/2004 period, while pineapple production increased by 2.3 percent over the same period. India is the largest producer of mangoin the world, accounting for about 41 percent of world output in 2004, and the second amongst papaya producing countries.

 

Tropical fruit production could be further developed by,

• improving productivity and quality from the existing crop areas,
• developing infrastructure for post-harvest marketing,
• increasing the availability of quality seed/planting material,
• stimulating transfer of technology,
• improving product harvesting and handling, and
• promoting export into existing and new markets.

 

Table 1: Production of selected Fruits in India

	Average (1992/1994)	2002	2003	2004
	('000 tonnes)
Bananas	9718	16820	16820	16820
Mangoes	10108	10640	10780	10800
Oranges	1743	3120	3070	3070
Apples	1205	1160	1470	1470
Lemons and Limes	863	1440	1420	1420
Pineapples	956	1180	1310	1300
Grapes	684	1210	1150	1200
Papayas	470	700	700	700
Pears	127	200	200	200
Peaches and Nectarines	83	150	150	150
Grapefruit and Pomelos	83	140	142	142
Plums	55	80	80	80
Figs	6	11	11	11
Apricots	7	10	10	10
Cherries	4	8	8	8

 

Food quality : Food quality involves the entire production process, from raw materials, processing and packaging up to consumption of the product. As the idea of quality is continuously evolving, any attempts to classify it are immediately overtaken by events, as new meanings are added to existing ideas without replacing them. It is helpful to simplify the different quality requirements into two categories - "musts" and "wants":

 

• musts have to be present and measurable in order for the product or service to be assessed as acceptable;
• wants depend on the wishes or expectations that influence choices.

 

 

1.    What is Food Quality?
In the marketing and consumer economics literature, two main approaches are taken to define food quality (Grunert, 2005). The holistic approach includes within the concept of food quality "all the desirable characteristics a product is perceived to have". By contrast, the excellence approach views food quality as referring only to characteristics that pertain to a higher, more restrictive or "superior" specification of the product. The holistic approach has been adopted in this report to cover the whole range of quality assurance schemes currently existing.

The holistic approach leaves wide scope for interpretation: quality can mean conforming to standards (including standards pertaining to the environment, local specialities, organic production, ethics, and even taste and smell) and it can refer to subjectively perceived quality attributes.

Quality is also a factor that involves the entire production process, from raw materials, processing and packaging up to consumption of the product. As the idea of quality is continuously evolving, any attempts to classify it are immediately overtaken by events, as new meanings are added to existing ideas without replacing them. It is helpful to simplify the different quality requirements into two categories - "musts" and "wants":

1. musts have to be present in order for the product or service to be assessed as acceptable;
2. wants depend on the wishes or expectations that influence choices.

In the past quality was mainly a question of "musts", whereas nowadays it also includes a large proportion of "wants" (Figure 1.1).

Food product attributes can be grouped into search attributes, experience attributes and credence attributes (Table 1.1):

• "Search attributes" are characteristics that can be identified and recognised from the outside before choosing the product (look, price, variety, etc.).
• "Experience attributes" are characteristics which are not directly perceivable when the product is chosen, but become so when it is consumed (tasty, solid, easy/quick to prepare, etc.) and prompt users to decide whether or not they will consume that product again.
• "Credence attributes" are characteristics which are not perceivable when the product is purchased or consumed, and which users cannot personally and directly assess. For this group of attributes the trust required of users becomes fundamental, as does the role of information to bridge this sort of "knowledge gap" on the part of consumers. The credence attributes category includes all the characteristics related to places and methods of production, use of certain substances and, in a broad sense, the level of safety associated with the product.

2. What are Quality Assurance and Certification Schemes (QAS)?

Definition: Quality Assurance and Certification Schemes (QAS) enable stakeholders of the food chain to guarantee that their products or processes fulfil defined quality requirements.

QAS can generally be defined as any code of practice, standard or set of requisites, which enables stakeholders of the food supply chain to guarantee compliance with what is declared and to signal this to the end or next user, underlying this statement there is some independent verification process that adds authority to the stakeholders' statement.

For the purpose of this report, QAS are schemes implying a voluntary participation and enabling stakeholders2 involved in the food chain to claim that products or processes fulfil defined quality requirements. This definition of QAS includes two categories of schemes. The first is a category of schemes known as "quality management systems" or "within-chain standards", of which the consumer may hardly be aware at the point of final food purchase. The second category of schemes covers those food QAS that explicitly aim to segment the final product market by differentiating the product(s) covered under the scheme, using labelling or branding to signal specific quality attributes to consumers.

Historical development

The first QAS was created in Europe in the 1930s...

The first food QAS created in Europe were Italy's "Consorzio del Grana Tipico" (1934) for the protection of "Parmigiano-Reggiano" cheese and the French "Appellation d'Origine Contrôlée" (1935) for the protection of wine and, later, cheese

During the 1990s, the ISO 9000 (third party audit) was introduced with the objective of establishing one general standard for all industrial sectors. However, as Figure 2.1 illustrates, the ISO 9000 certification did not meet the requirements of all industries and the diffusion of sector-specific certification and audit schemes started again. Further complicating the picture, public authorities and other stakeholders have begun to use QAS to serve their own interests. As a consequence of several food crises many countries have chosen to develop national QAS.

Starting from a single relatively general certification scheme (ISO 9000), a wide variety of different systems has been developed. Driving forces behind the increasing number of QAS in recent years are: (Jahn et al., 2004)

• The notion of quality has changed. "Quality" is no longer defined as a uni-dimensional attribute, but has undergone a differentiation process itself.
• The use of a QAS depends on the respective target group, i.e. whether it is used in Business-to-Consumer (B2C) or Business-to-Business (B2B) Marketing. The particular aims are laid down by the respective standard owner, which ranges from international standardisation organisations to stakeholder schemes.
• Similar QAS are built up in different countries and regions to protect local producers. In the meat industry, for instance, the Dutch IKB ("Integrale Keten Beheersing"), the British ABM ("Assured British Meat"), the Belgian Certus or the German QS ("Qualität und Sicherheit") are basically certifying the same standards.
  

Objectives: The following two main objectives of QAS can be singled out:

• QAS aiming to standardise and guarantee certain aspects or requirements of the company or production unit (QAS belonging to the family of ISO, BRC, IFS, etc.);
• QAS aiming to differentiate and guarantee the product according to some peculiar characteristics of the product, production process or production factors used (e.g., Label Rouge, Calidad Certificada, Heart Label, etc.).

 

APPARENT CONSUMPTION

Favourable growing conditions permit the production and supply of a large variety of tropical fruits throughout the year. These are consumed not only in the regions where they are grown but throughout India. Terminal markets in major Indian cities receive large quantities of tropical fruits, which are then sold through retail dealers in the other cities and towns. Statistics on consumption of tropical fruits are not available, so estimates need to be derived based on other information available on production and trade.
Total apparent consumption of fruits in India was estimated at 39 million tonnes in 2002 (the latest year for which consumption data is available), about 8 million tonnes larger than in 1995, with consumption of fresh tropical fruits estimated at 16.3 million tonnes. Annual per capita consumption of fruit was evaluated at 37 kilograms (kg) in 2002, a 12 percent increase over 1995, with major tropical fruits at 13.3 kg (bananas at 7.7 kg), temperate fruits at 4.2 kg and other fruits at 5.9 kg. According to the National Sample Survey Organization, 64 percent of rural households reported fresh fruit consumption in 1999 compared to 84 percent of households in urban areas.

Research studies into the consumption of tropical fruits in India showed that among major states, Kerala, Tamil Nadu in the South and Goa in the West have the highest level of consumption of fruits both for rural and urban areas. These states are followed by Punjab, Haryana, Delhi, and Union Territories of Chandigarh in the North. Bihar and Orissa in the east and Rajasthan and Madhya Pradesh in central India have much lower levels of consumption.

 

FACTORS AFFECTING DEMAND IN INDIA POPULATION:

         

Population growth in India was estimated at 1.67 percent per year between 1995 and 2004. According to official statistics, population growth is expected to decline to 1.3 percent per year by 2015 when the total population of India is expected to reach 1.2 billion. Research studies revealed a sizable potential to expand fruit consumption in rural areas, states with currently low per capita consumption rates and growing urban areas.

 

 

INCOME AND PRICES

 

Indian economic development has been strong recently with GDP growth averaging 5.6 percent between 1990 and 2003, largely as a result of robust domestic demand. Inflation has been contained and exports have been strong. These facts contributed to a 3.75 percent rise in per capita income between 1990 and 2003, with household expenditure for fruits and vegetables estimated to have increased about 5 percent per year over the same period. Annual per caput fruit consumption also increased, from 30 kg in 1992 to 37.7 kg in 2002.

The consumption of tropical and other fruits is largely correlated with per capita income. Research conducted by the Indian Agriculture Research Institute indicated that the proportion of the population that make up the highest income group consumes about six times more fruits than the lowest income group, in both rural and urban areas. Urban households spend 2.25 percent of their income on fresh and dried fruits, while rural households spend 1.8 percent of their income on the same items. For rural areas, income elasticity of fruit demand for the highest income group was evaluated at 0.283, while that of the lowest income bracket was 0.826. Similarly for urban areas, the income elasticity's were 0.293 for the highest bracket, and 0.782 for the lowest. Lower income groups are, therefore, more likely to account for most of the future growth of the market in India.

Prices of fruit have increased more than the General Price Index between 1999/2000 and 2003/2004: the All Commodities Wholesale Price rose by 21 percent, while the Fruits wholesale price increased by 39 percent. A substantial price differential exits between wholesale and retail prices. This might be due to rising costs in processing, distribution, and marketing, or due to a non-competitive market structure. High retail prices constitute a major constraint for increasing consumption, particularly among the middle to low income household groups.

 

CONSUMPTION HABITS AND PREFERENCES

Upon further analysis it became apparent that the trend toward healthier  food consumption in India reflected in growing interest in the nutritive attributes of tropical fruits, particularly as household incomes grow. The interest in healthier diets has led to an expansion in the consumption of all fruits, of which a large share has been that of tropical fruits. Temperate fruits are found to be consumed mostly by the high income group, while tropical fruits consumption is more wide-spread among all income groups. Large quantities of fresh unripe mangoes are used in household preparation of pickles and chutneys. Consumption of lychee and sapota is mainly concentrated among the middle and high income group. The tourism industry is also contributing significantly to the rise in tropical fruit consumption. The growth in air travel and tourism in India has enabled foreigners to experience the taste of a large variety of tropical fruits. This contributes positively to a rising market demand for tropical fruits in Asia, Europe, and North America. Another factor contributing to rising consumption is domestic promotional activities. The Government of India has recently carried out various nutritional education programmes to raise awareness on the importance of a varied diet, and the benefit of fruit consumption. In addition, promotional programmes carried out by the fruit juice processing industry through television, newspapers and in-store promotional activities encouraged overall demand for fruits.

Prior to 1997, imports of fresh and dried fruits, with the exception of dates and figs, were prohibited. Following the liberalisation of trade in agricultural commodities, imports of all fresh fruit (except citrus, grapes and lychees) have been permitted generally on Open General License (OGL) bases. In the case of South Asian Association for Regional Cooperation (SAARC) countries1, an import tax of 44 percent ad valorem is levied, while for other countries it is set at 45.6 percent. There are no reported export duties on fruits from India.

 

CONCLUDING REMARKS

Domestic demand for fresh fruits in India has been on the increase in line with rising incomes, population growth, and increased health consciousness among consumers. Fruit consumption in India is anticipated to increase by about 4 percent per year according to projected growth rates for income, population, and trends in food preferences. In addition, growth in demand for Indian fresh and processed tropical fruits has been strong in recent years and this trend is likely to continue in the medium term.

 

This holds considerable potential for domestic producers and suppliers of tropical fruits in India, and in the case of the Indian market, for the overseas suppliers that are able to compete effectively with domestic supplies. Growth in the fruit production and processing sub-sectors provides employment opportunities and income generation, and contributes positively to food security. Furthermore, tropical fruit production provides an alternative option for crop diversification, as well as support to rural entrepreneurs engaged in the supply of inputs for production and purchasing of fruit for marketing. However, to fully realise this potential requires changes in the value chain, particularly to compete in the quality sensitive international markets.

Development of efficient post-harvest handling infrastructure, transportation facilities and the quality of the produce must be priorities, especially for fruits that are grown for the lucrative export market. Improvement to the existing system is challenging and requires considerable support from Government, research institutions, and technology suppliers to develop appropriate facilities and practices at all stages of the value chain

 

Processed Foods Blending of Continental flavours

• IQF: fruits & vegetables - Baby corn , Bell pepper,Lettuce
• Alcoholic spirit & beverages -Wines, Beer
• European pickles

-       Gherkins in brine or vinegar

-       Green peppers in brine

• Export destinations -

Frozen & Preserved vegetables : UAE, Saudi Arabia Kuwait, Bahrain, Singapore,

Russia, Canada, UK, USA,Switzerland. Belgium, Singapore, Malaysia, Germany,

Netherland, UK, Spain, France, Denmark, USA

 

 

Food Industry In India:

• Pepsi Inc
• Kellog Co.
• Nestle Ltd.
• Alfa Laval
• Dalsem
• Agrolimen
• Ovobell Ltd.
• Mc Dowell Corp.
• Coca Cola
• Cadbury
• Fosters Brewing
• Cargil
• Conagra

 

 

Production of Major Fruits in India:

Item	Production		Share of India	India's	(in '000MT)	in the world	Position
	India	World
Mangoes	12,000	23,455	51.1	1
Bananas	10,200	58,618	17.4	1
Pineapples	1,100	12,100	9.0	3
Guava	620	7,786	3.0	4
Oranges	2,000	66,212	4.0
Apples	1,200	53,672	2.4	9
Grapes	700	57,397	1.2	15
All Fruits	43,000	4,13,932	9.8	2

 

(Source : FAO Total Fruit Production : 43Million MT, NHB 99)

 

PRODUCTION OF MAJOR VEGETABLES IN INDIA:

 

 Item                      Production        Share of India        India's  

                              (in '000MT)        in the world         Position                                 

                          India    World                                                                  

 Potato            17,942   2,94,834          6.08                      5 

 Onion               4,058     35,644         11.38                      2

 Tomato           4,800     84,873           5.65                       5

 Cauliflower      4,800    12,725          37.72                        1

 Cabbages         3,300    46,656            7.00                       3

 Green Peas          270      5,214             5.17                      2

 All Vegs.        64,672    5,65,523        11.43                        2

GUIDANCE ON OBJECTIVE TESTS TO DETERMINE QUALITY OF FRUITS AND VEGETABLES AND DRY AND DRIED PRODUCE:

In recent years there has become an increased awareness of the need for the consumer to have fruit available to eat which has reached a satisfactory state of ripeness and which exhibits the true organoleptic characteristics of the produce and of the variety concerned. In the framework of the Scheme, internal quality of fruit is defined as: "The degree, measured with objective criteria, to which a commodity has reached a sufficient stage of development such as to enable its quality, after harvesting and post harvest handling (including ripening, where required) to be at least the minimum acceptable to the final consumer".  This document describes those methods of objective testing of fruits that have emerged as beneficial to both Inspection Services, and the fruit industry in general in determining acceptable levels of ripeness and quality.

QUALITY STANDARDS OF MANGO EXPORT FROM INDIA

Mango varieties exported:

• Alphonso
• Banganapalli
• Dashehari
• Langra
• Kesar
• Chausa

 

Potential Exportable Varieties:

• Ratoul
• Mallika
• Himsagar

 

Strength of India in Mango export:

• Climatic variability - allows to harvest mango for a longer period
• Availability of different type of variety, which suits the different groups of consumers
• Research and R&D system inplace
• Developed infrastructure for export through air and sea.

 

Consumer Preference of Importing Countries:

• In most of the importing countries - Appearance of fruit (peel colour - yellow / red colour)
• Fruit quality

-       Fleshy with attractive pulp colour

-       Fiber less pulp

-       Firmness

-       Sugar and Acid blend

-       Free from any damage

Minimum quality standards of mango: Fruit shall be:-

• whole, firm, sound and fresh in appearance;
• clean, practically free of any visible foreign matter;
• free of marked bruising,
• free from damage caused by low/or high temperature;
• free of any foreign smell and/or taste;
• free of damage caused by pests;
• sufficiently developed and display satisfactory ripeness;
• when a peduncle is present, it shall not be no longer than 1.0 cm.
• Mangoes shall comply with the residue levels of heavy metals,

           pesticides and other food safety parameters as laid down by the

           Codex Alimentarius Commission for exports.

Honey :

• Export according to EU quality standards
• Diverse Variety of Bee Flora like organic,Lychee,Karanj and Orange Blossom
• No pesticide residue in Indian consignments
• Production / Packaging standards notified and sent to EU commission
• Procedures formulated to ensure any possible presence of pesticide residue.

 

QUALITY STANDARDS OF POMEGRANATE EXPORT FROM INDIA

 

Grading of fruits-

Grading based on size and colour.

1.     Super size - Fruits are free from spots and individual fruit weight is more than 750grams.

2.     King size - Fruits are attractive and individual fruit weight is 500-700 grams. 

3.     Queen size - Fruits are attractive, red and individual fruit weight is 400-500 grams.

4.     Prince size - Fruits are attractive, red and individual fruit weight is 300-400 grams.

 

The desirable fruit characters of fresh pomegranate for export purpose:

•   Dark rose pink colour of the fruit.
•   Fruit weight around 500 gms.
•   Round shape of the fruit.
• Uniform size and shape of the fruit in a pack or box.
•   Dark rose pink arils.
• Softness of the seeds.
• Higher sugars near about 16-17⁰ Brix.
• Free from scars, russetting, disease spots, insect injury, scratches, etc.
• Smooth cutting at the stem end.
• Bracts/calyx without any damage and having freshness.
• Pleasant flavour and aroma.

 

Marketing and Export Potential :

• No organized marketing systems for pomegranate.
• Domestic marketing for pomegranate is fairly balanced as of now.
• Farmers normally dispose their produce to contractors who take the responsibility of transport to far off markets.
• Some progressive farmers who have developed contacts in urban areas despatch them on their own and are able to get a reasonable price for their produce
• Changes in varietal selection and in cultivation practices.
• Pest and disease incidence, fall in demand and price - effect on the cultivation of pomegranate in the state.
• Cultivation for export purpose - improved due to exploring of market potentialities.
• Farmers of Bijapur and Bagalkot districts - exporting pomegranate through their associations to Gulf and European Union for the last 5 years.
• Koppal district -  New entrant - Exports began in 2004.

 

Export Potential:

• The pomegranate fruit is considered an exotic in European and Middle East countries.
• There is scope for exporting Indian pomegranates to Bangladesh, Bahrain, Canada, Germany, United Kingdom, Japan, Kuwait, Sri Lanka, Omen, Pakistan, Qatar, Saudi Arabia, Singapore, Switzerland, U.A.E. and U.S.A.
• The other potential markets are, Belgaum, Spain, France, Italy, Netherlands, Philippines, South Africa, Brazil and Mexico. 

 

Pomegranate in Karnataka:

• Advent of Ganesh variety revolutionized pomegranate cultivation in Northern Karnataka especially in the districts of Bijapur, Bagalkot, Koppal and Raichur.
• In the initial years, big sized fruits with TSS 15° Brix were exported mainly to the Gulf countries. 

Packaging & Labelling

• Production & Packaging standards already under application
• Bar code system followed
• Complete Labelling system describing all contents, nutritional value and additives

Natural additives used in packaged foods.