The organic foods divide in India
The recently-held Biofach India 2013 in Bengaluru – which is an annual meeting about and exhibition of organic producers and products – has helped confirm three disturbing trends concerning Indian organic produce.
(1) that the urban market for organic products is growing at a rapid pace and a ‘junior’ food retail system (junior as compared with established, large-scale food retail as a consumer goods sub-sector) devoted to these products is aggressively rounding up consumer interest and budgets;
(2) that under central government programmes to encourage and promote cultivation based on organic principles (like the Rashtriya Jaivik Kheti Pariyojana, or National Project on Organic Farming) state governments have administrative and budget capacities (even though small) to develop organic produce but these efforts are evolving into parallel, local-specific knowledge and practice networks; [update in response to the valuable comment below: the networks coming about is a good thing for the long term, but there is apparently less and less connection between the produce from these networks (if there is a surplus townspeople can buy) and the retail frontrunners in the organic foods business. If this separation continues along this path, organic foods and beverages will be an upper middle class consumable that bears no relation with the human-scale cultivation these networks locally are fostering.]
(3) that the connection between the organic farming family in the rural district and the consumer is being exploited in a sophisticated manner by a growing roster of new companies whose profit margins do not lead to higher or necessarily more secure incomes for the cultivating household. [Read the full article at Infochange India.]
The real destiny of most organic foods grown in India, processed and packaged by *Indian organic food traders (under third-party certification), and promoted abroad (particularly in Europe and North America) is as exports. The Agricultural and Processed Food Products Export Development Authority (APEDA), which is responsible for promoting food exports, said that India exported almost 70,000 tons of organic products, valued at around US$ 130 million (around Rs 715 crore) in 2010-11. This rose to 115,000 tons worth over US$ 360 million (around Rs 2,090 crore) for 2011-12. An APEDA statement quoted in the business press attributed the financial assistance it has given the organic foods export sector (about Rs 210 crore) as being responsible for this growth. Furthermore, APEDA has forecast that exports of organic foods and beverages from India could double by 2014.
At Biofach India 2013 (held during 2013 November 14 to 16), the pavilions of the major organic foods and beverages retailers – such as Phalada, Organic Tattva, 24 Mantra, Sanjeevani Organics, Amira Organic, Mother India Farms, Ecolife Organic and Morarka Organic – resembled those to be seen at a conventional food and agriculture industry exposition (like those routinely organised by major industry associations such as CII, FICCI and ASSOCHAM). In contrast were the tables and small kiosks (at times no more than a pair of posters, a desk and two stools) of the state government-supported organic cultivation agencies – yet these were the ones that had brought cultivators to the fair, who were wandering the air-conditioned aisles astonished by the prices they read printed on the packets of the organic foods on display.