Biofach is the world’s biggest organic food trade fair. A fair that
showcases food free from pesticides, chemicals and antibiotics,
it is conducted in Messe, Nuremberg, Germany every year. The Biofach
2002 annual organic fair, which was held during 14th - 17th February,
witnessed the largest ever-organic business crowd, with over 1,900
exhibitors and about 30,000 business visitors. Majority 
of
the participants were from the European Union and the American continent.
Considering the fast growing rate of organic agriculture and high
market penetration, two other Biofach fairs are held every year,
one in Japan, in the month of December, and the other in the United
States, in the month of May.
India had a major presence in this trade fair, with the nodal agency,
Agriculture and Food Products Export Development Authority (APEDA)
taking initiatives in coordinating with the Indian exhibitors and
providing exhibiting facilities for the start-up companies. The
major players in Indian organic agriculture and food that participated
in the exhibition were Coffee Board, Spices Board, Ion Exchange
Enviro Farms, Indian Organic Food, Ecofarms India, Atik, Narmada
Agropharma, and Ananda Bag Tea Co. Most of the Indian exhibitors
could clinch more than half a dozen business deals and had hundreds
of business enquiries to their credit.
World
trade in organic foods
The
world trade in organic products is estimated to be about US $25
billion. Organic food is always sold at a premium. The premium ranges
from 10 per cent to 50 per cent over conventional foods. While the
growth rate in the conventional food market is less than 5 per cent
a year, the average growth rate of the organic food market is about
20 per cent. The growth has geared up in the recent years, due to
the fear of genetic risk involved in genetically engineered (GE)
crops; and the scare created by the outbreak of Foot and Mouth disease
in Europe. The organic market growth rate is highest in Japan, USA,
Australia and the European Union. Australia has the maximum area
under organic cultivation, followed by Europe and the American continent.
The estimated retail sale of organic foods is approximately $17
billion. The biggest market for organic foods is USA, followed by
Japan and the European Union. Almost every type of food product
is available in the organic form starting from fruits and vegetables,
processed food, meat, dress, wine, paper, and cosmetics.
Indian opportunities
The past fifty years have witnessed the biggest changes in the Indian
agriculture sector. Through the green revolution and principles
of intensive agriculture, we could attain food sufficiency. But
we have achieved this food safety at the cost of our environment.
Even after having the largest arable land in the world, and twelve
months of sunshine, and being the second largest producer of fruits
and vegetables, we are nowhere in the agri-business map of the world.
Indian exports of organic foods, at present, are only worth around
$0.32 million. By fixing minimum support prices for more and more
crops we have made the quantity of produce a measure of success
at the cost of quality. The result is the lack of incentives to
bring quality produce to the market. At this juncture India has
to think in a different way to position itself in the world agribusiness
market. We should study our own strengths and weaknesses and should
focus on our strengths. One such area, where India has strength,
is the field of organic agriculture.
Agriculture
in many parts of the country is naturally organic, the reason being
the high cost of pesticides and fertilizers. So there is no need
of conversion to organic agriculture. The fertilizer consumption
in India is only 69.66 kgs per hectare and pesticide consumption
only 600 grams per hectare, which are well below the world averages.
Manual weeding is a practice still followed in different parts of
the country. Cheap and easy availability of labour also suits India
to the labour intensive organic cultivation.
Another plus point for India is that genetically engineered crops
are not cultivated in the country. The availability of good sunshine
throughout the year, and availability of wide geographical and agro
- climatic conditions enables us to cultivate almost every crop
in the world. There has also been a very positive approach from
the government in supporting organic agriculture. The nodal agency
APEDA has accredited three certification agencies, ECOCERT, SKAL
and IMO for certifying organic farms in India. APEDA has also designed
an organic certification program for Indian conditions.
The author is manager - marketing, Ion Exchange Enviro
Farms, Pune
