Fruits and Vegetables

nullFruits and Vegetables (F&V) Supply Chains in India: Emerging Models and IssuesFruits and Vegetables (F&V) Supply Chains in India: Emerging Models and IssuesOutline Outline Background of the Study Literature Review: Situation in other Developing Countries Emerging Models Requirements for setting up Supply Chains Issues in Setting up the Chain Areas of Intervention by Govt. agencies/donor groups Examples: Co-ordination between different players in setting up the chain (Role of Govt, NGO, Credit, supermarket chains)Http://www.tjnxdfqz.com C型钢 工字钢吊架 铸铁老虎夹 http://www.u51688.com http://www.qiwhy.comBackground of the StudyBackground of the StudyThe marketing of F&V in India is changing dramatically Change from the traditional markets to modern formats Entry of big retail names – Reliance, ITC, Aditya Birla Group, Godrej, Bharti Airtel, Adani Group Initiation of organized retailing and wholesaling of F&V: Reliance Fresh, Chopal Fresh, Namdhari’s Fresh FAO and MoA undertook the current study to understand the ground situation Emerging models for backward and forward linkages Issues in setting up the chains Literature ReviewLiterature ReviewThe perception of retail chains being a phenomena of the developed countries has changed significantly Significant presence in developing countries – Latin America, Asia, Africa What does retail chains have to do with development? Development perspective: farmers involved in modern value chains earn much higher by bypassing the traders Large and medium farmers have the resources to meet the requirements of the chains, easier to co-ordinate Development efforts: linking small farmers to these chainsEmerging ModelsEmerging ModelsCo-operative (HOPCOMS, Karnataka; Mother Dairy, Delhi) Exports with EUREPGAP Certification (Namdhari Fresh, Bharti Airtel) Farm to Fork -- Complete Chain (Godrej, Reliance, ITC) Wholesaling – (Adani Fresh, Metro) Front end – Convenience Stores (Food Bazaar, 3Cs) Economy Stores (Subhiksha) Requirements for Setting Up the ChainRequirements for Setting Up the ChainInfrastructure (Back end to front end) Collection center Soil-testing Laboratory Packing House/Distribution Center Packing infrastructure -- tables Cold-Storages Transportation – Refer trucks Retail outlets Real estate Investment in refrigeration facilities at the storesRequirements for Setting Up the ChainRequirements for Setting Up the ChainKnowledge Inputs Extension advice to farmers: use of different varieties production techniques harvesting (time of harvesting, harvesting techniques) grading/sorting, packaging Setting up Grades and Standards for purchase by the company Training staff at packing centers (grading, sorting, packing) Post-harvest experts (handling and storing needs of different F&V) Cold Storage Technology (?) Packaging Technology for Fresh Requirements for Setting Up the ChainRequirements for Setting Up the ChainCo-ordination Developing linkages with farmers Inputs for farmers (Credit, seed, fertilizers, pesticides, harvesting tools, packaging materials) Information flow Communication regarding the quantity and quality needs in the company Communicating the requirements to the farmers Issues in setting up the chainsIssues in setting up the chainsDeveloping linkages with farmers Post-harvest manpower Commitment from farmers Infrastructure (level of operation, not everyone needs to invest or can invest in packing house) APMC Act (paper work, operational hindrance, time involved, grading, sorting, packaging) Farmer’s training in pre-cooling, storing, grading, sorting, packaging Packaging technology for freshAreas of Intervention by Govt/Donor GroupsAreas of Intervention by Govt/Donor GroupsCreate an enabling policy environment that promotes mutually beneficial partnerships between farmers and organized sector To give credibility to the project (low faith/fear) in dealing with corporations, Develop linkages with small farmers Training to farmers regarding post-harvest issues Investment in Infrastructure: Not all firms dealing in fresh fruits and vegetables have the level of operations to set up cold stores and packing houses. To give a level playing field to the smaller firms, govt. investment in cold storages and packing houses will be useful. Investment in transportation infrastructure – refer trucks, (import taxes? subsidy?) Air-port infrastructure for shipping, cold-storages,Example (USAID)Example (USAID)USAID/Michigan State University Partnerships in Food Industry Development in Nicaragua, (Weatherspoon and Membreño, 2004). US university facilitates the market connections for small farmer organisations with the local supermarket chains, NGOs (Technoserve) provide technical assistance Supermarket chains -- CSU and La Colonia provide the guaranteed market Donor funds from USAID provide the financing. The project has a graduation policy whereby the small farmer organisations progressively take over the needed investments and then maintain the market link themselvesExampleExampleGovernments, NGOs, and donors can facilitate tri- or quadri-partite relationships that facilitate smaller farmer participation. Example, melons in Indonesia, Reardon (2004) Small farmer organisation (Makar Buah), Supermarket chain (Carrefour), Seed/chemical company (Syngenta), Government extension programme, Specialised/dedicated wholesaler (Bimandiri) Carrefour provided guaranteed market, Syngenta the financing, and the wholesaler the intermediation and coordination