Grape growers in Maharashtra have already exported 8,326 tons of grapes to the EU this year - 2,000 tons more than they had exported at this stage last year.
The price they are receiving per kg - Rs 40 to 60 ($0.80-$1.20 US) is higher tham the domestic market prices, according to Pandurang Watharkar, director, processing and planning, state department of agriculture.
At this stage last year grape exports to the EU were at 6,360 tons.
Though this represents considerable growth it is unlikely to match the levels witnessed in 2009, which were at 37,000 tons. Watharkar said, "In 2010, some retail companies from the European Union rejected grape containers from Maharashtra, claiming higher than the prescribed usage of plant growth regulator or growth hormones. The losses were so heavy that many farmers stayed away from export to EU, despite it being the most lucrative market. Farmers instead concentrated on west Asian (Gulf) market and some preferred selling their produce in the domestic market to cut losses."
Most of the state's grape growers acted accordingly last year and sold their grapes domestically.
Grapes exported to the Gulf countries, like those sold domestically, do not attract thie prices offered by exports to the EU.
A grape grower from Narayangaon said, "We have to fill various documents and conduct chemical residue tests on the fruit before exporting grapes to EU countries. The number of tests has increased from around 70 to nearly 170. A farmer's business is generally based on borrowing money and repaying it after harvesting the crop. Small farmers cannot afford the delays in payment realization from export, so they prefer selling their produce in the local market."
Therefore, despite high returns, the risk involved is also high and the cost of export high also. Many are expected to shy away from such marketing activities.
Source: articles.timesofindia.indiatimes.com
The price they are receiving per kg - Rs 40 to 60 ($0.80-$1.20 US) is higher tham the domestic market prices, according to Pandurang Watharkar, director, processing and planning, state department of agriculture.
At this stage last year grape exports to the EU were at 6,360 tons.
Though this represents considerable growth it is unlikely to match the levels witnessed in 2009, which were at 37,000 tons. Watharkar said, "In 2010, some retail companies from the European Union rejected grape containers from Maharashtra, claiming higher than the prescribed usage of plant growth regulator or growth hormones. The losses were so heavy that many farmers stayed away from export to EU, despite it being the most lucrative market. Farmers instead concentrated on west Asian (Gulf) market and some preferred selling their produce in the domestic market to cut losses."
Most of the state's grape growers acted accordingly last year and sold their grapes domestically.
Grapes exported to the Gulf countries, like those sold domestically, do not attract thie prices offered by exports to the EU.
A grape grower from Narayangaon said, "We have to fill various documents and conduct chemical residue tests on the fruit before exporting grapes to EU countries. The number of tests has increased from around 70 to nearly 170. A farmer's business is generally based on borrowing money and repaying it after harvesting the crop. Small farmers cannot afford the delays in payment realization from export, so they prefer selling their produce in the local market."
Therefore, despite high returns, the risk involved is also high and the cost of export high also. Many are expected to shy away from such marketing activities.
Source: articles.timesofindia.indiatimes.com
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