Thursday 7 April 2011

The Imminent Opportunity in India

Hello Readers,

India the most magnificent country has number of food products. Right from cereals, pulses, oil seeds, spices to fruits and vegetable India has huge number of variety in it. This season is on set of summer and the most delicious part of summer is Mango, India is very well known for it and is largest producer of Mangoes in the world, India produced 12,000,000 tonnes of mangoes as against the world's total production of 23,455,000 tonnes -- 51.1 per cent, second is China and Thailand is on third position. Brazil is the 10th  largest producer, it is producing 970 thousand tones while its processing and exporting counts for 942 thousand tones, which is 97 %.
In India hardly 5 % of the fruit produced are getting processed, as against 50% in Israel, 70% in Brazil & USA and 83% in Malaysia. More than 30 % produced goes to waste. Many times farmers are not getting true price for their crop. The storage facilities for raw mango are not at all adequate and farmers are not able to store it for long period due to financial problems.
Jain Irrigation System Pvt. Ltd. is largest mangoes processor in India. . The Fruit Processing Sector in India has grown by about 20% while the demand for fruit juices in the country is growing at about 40%. The country produces 200,000 tonne of mango pulp annually, of which a half is used locally. The domestic demand has grown four times in the last five years and is expected to double in the next five years.
Mango as a fruit has great international acceptability. Mango pulp/puree/concentrate provides a way out with extremely positive outcome both commercially and financially. Indeed, mango consumption by the food processing industry revolves around the availability of user friendly intermediate products like mango pulp/puree/concentrate. The biggest markets for these products are Middle East, South-East Asia and North America. Large numbers of expatriates from South Asia have settled in North America and they are the main consumers of mango products.
There is a huge scope for potential investors to invest in Indian market, many firms like YARI INC is prepared to assist the private sector in various ways, ranging from financial to non-financial support, in line with its BusinessEngagement Policy. Countries from non producing zone like Europe and North America can have direct contact with Indian Processors for importing processed mangoes. This can turn into a big business model.

Food Technologist

Apoorva Singh Rajawat [B Sc, M Sc] 
Sr. Nutritionist-Dietitian 
Jehangir Hospital and 
Shri Balaji Super Speciality Hospital