An Analysis of Production and Export Performance of Fresh and Processed Fruits and Vegetables in India

Abstract

newline India is the second largest producer of fruits and vegetables in the world after China. Since 1991, the global export of fruits and vegetables has improved rapidly. The number of commodities as well as the number of varieties produced and traded have increased manifold during the past 30 years. There is an overall increase in the demand for fruits and vegetables for consumption in the fresh and processed form. Also there is a wide diversification in production pattern globally. In spite of being one of the largest producers of fruits and vegetables in the world, the export share of India is very low. The food processing industry in India is one of the largest in terms of production, consumption, export and growth prospects. However, only 2.2 percent of fruits and vegetables are processed in India against 83 percent in Malaysia, 30 percent in Thailand, 60-70 percent in United Kingdom and 70 percent Brazil. Therefore, the production of fruits and vegetables has been remarkable but its export share is very low / negligible and processing of fruits and vegetables is only 2.2 percent. newlineIndia exports fresh fruit and vegetables to many countries of the world. The fruit and vegetable processing sector in India has a tremendous potential for export due to existence of diverse horticultural production and seasons. Fruit and vegetables have a strong export potential in India provided the domestic market becomes more stable in production of standard and quality products. During the nineties particularly after liberalization, there was substantial increase in export of processed fruit and vegetable products. newline