India has exported organic products worth $515 million in the financial year 2017-18, showing that the demand for Indian organic food products is on the constant rise worldwide.
The country registered an increase of about 39%, which is more than the products worth $370 million exported in the previous year. The total volume of exports during 2017-18 was 4.58 lakh tones.
Tarun Bajaj, General Manager, Agricultural and Processed Food Products Export Development Authority (APEDA), said, "The major demands under the organic product category are for oil seeds, cereals & millets, sugar, fruit juice concentrates, tea, spices, pulses, dry fruits, medicinal plant products etc. Though USA, European Union member countries and Canada were the biggest buyers of organic products, many new countries like Israel, Vietnam, Mexico are also taking interest recently."
"India is also negotiating with Canada, South Korea, Taiwan and Japan for equivalency with NPOP. In addition, the traceability system Tracenet established by APEDA for certification and export of organic products also helps India to maintain the credibility and traceability of certified products." Bajaj added.
The retail arm of the National Agricultural Cooperative Marketing Federation of India Ltd. (NAFED) is set to enter the online food market by selling the organic food products through e-commerce portals, that too at cheaper prices. The organic food products will be available on the leading e-commerce sites, Amazon and Grofers.
The Managing Director of NAFED, Sanjeev Chadha confirmed in a statement that the decision to sell the organic food products is in its final stages. “The agricultural trading agency has got the in-principle nod in this regard, and talks with the e-commerce sites have commenced,” Sanjeev said.
“We are tying up with online platforms such as Amazon and Grofers,” Sanjeev told, quoted a media report.
Referring to NAFED’s business margins i.e., total revenue minus total costs, Sanjeev added, “Our products will be cheaper because we will reduce our margins. The main idea is to help organic growers, especially small farmers.”
The domestic food market in India is expected to grow at about 25 per cent over the next five years.
The plan is being implemented under the Indian Government’s Paramparagat Krishi Vikas Yojana (PKVY). The PKVY is a cluster-based programme that encourages small farmers to promote organic farming; the Government provides requisite aid and assistance under the scheme.
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