Beverages & Food Processing Times June 2018

Postal Reg No. THW/210/2016/2018 Posting Date is 20th & 30th of Every Month Ann1i2v10te1hr8sary India�s Only Monthly Newspaper for Food, Beverage & Allied Sectors  
 
  A Supplement of Beverages & Food Processing Times Times Group Publication of MashAd MultiCom P Ltd. www.agronfoodprocessing.com www.agronfoodprocessing.com Vol. 11, Issue 01, June 2018, 20/- Presents Indian Expo�2018 8-9��c��2018���all�2-3� ��ennai��Trade��en�re���ennai �or��ar�icipa�ion �all�or�email Tel:+91-22-28555069/9022092302 [email protected] Food processing sector set to create 4 lakh new job: Badal Briefing four years achievement of her min- a lending agency driven by private sector, istry food processing minister Harsimrat where we will have a stake,” she said. The Kaur Badal said, “Central government is government will hold 20 per cent stake in all to create 4 lakhs new job in food processing the firm and will soon issue a RFP invit- sector. We are planning set up a non-banking fi- ing both private and foreign sector finan- nance company (NBFC) dedicated for funding cial firms to hold the residual stake, said companies in the food processing industry.” Min- officials from the ministry. “Once the ister also said that more than 4 lakh jobs would structure is decided, the government will be created by March 2019 as 15 new mega food seek approval from the sectorial regulator parks become operational and another 3.4 lakh which is RBI,” she said. “It will be a lend- direct and indirect jobs will be generated created ing agency driven by private sector, where we will with operations of 122 projects approved under have a stake,” she said. The governemnt will hold the Pradhan Mantri Kisan SAMPADA Yojana. 20 per cent stake in the firm and will soon issue a RFP inviting both private and foreign sector finan- “We are in the process of creating a new finan- cial firms to hold the residual stake, said officials cial institution that will exclusively fund food from the ministry. “Once the structure is decided, processing projects and create capacity building the government will seek approval from the secto- in the field of risk assessment and lending to the rial regulator which is RBI,” she said. fod processing sector,” said Badal. She added that the name of the company would be Agro Process- Highlighting her ministry’s achievement in the last ing Financial Institution and by July they would four years, Badal said more than 3.85 lakh jobs issue the request for proposal (RFP). “It will be have been created in the food processing sector. “There is an investment commitment of nearly Rs . 1, 00,000 crore in the last one year alone, out of which investments worth Rs. 73,000 crore have started materialising,” she said. Besides, 3.4 lakh direct and indirect jobs will be created with oper- ations of 122 projects approved under the Pradhan Mantri Kisan SAMPADAYojana, she said, adding that more avenues will open up as both domestic and global firms commit investment in a big way in the sunrise sector. Follow us on: Get updates: join us: www.facebook.com/foodprocessing.india Twitter@ BeveragesFood Agro-FoodprocessingIndia

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 India�s Only Monthly Newspaper for Food, Beverage & Allied Sectors FSNM Federation of Sweets & Namkeen Manufacturers World Convention 2019 9th-10th January 2019, Grand Hall, Brilliant Convention Center, Indore www.agronfoodprocessing.com Vol. 11, Issue 01, June 2018, 20/- MashAd MultiCom P Ltd. Cold Chain grid will reduce food wastage: Badal ............................................................................ 121, 1st floor, Rassaz Multiplex, Station Road, Mira Road (E), Mumbai-401107. India T: +91-22-28555069, Food processing minister Harsimrat Kaur Badal said. Infrastruc- istry is also in the process of implementing a Rs. Badal said the government is working to ture gaps in cold chain 500-crore ‘operation greens’ programme to create Firoz H Naqvi : +91-9867992299, [email protected] reduce wastage of food by creating a cold and processing facil- a value chain for growers of tomato, onion and Fiza Parkar: 9076310034, [email protected] chain grid across the country. ities has led to con- potato. siderable wastage of Website: www.wmnc.in On current initiatives, the minister said the gov- agricultural produce in “The scheme’s goal is to help farmers get better ernment is working to reduce wastage of food India. price and ensure that consumers do not pay more,” income by 2022 as envisioned by the Prime Minis- by creating a cold chain grid across the country. the minister said, adding, “the Kisan Sampada ter Narendra Modi,” said Union Minister for Food “We have created an environment for businesses According to a 2015 scheme launched by the government has schemes Processing Industries Harsimrat Kaur Badal, while to partner with the government and help farmers,” study by the Central for everyone from large food companies to groups addressing the media on the achievements of the Institute of Post-Har- of farmers to set up processing units.” Ministry during the last 4 years . vest Engineering and Technology, Ludhi- To address this problem, the centre in 2017 Badal informed media that four years back when ana, India’s post-har- launched the Pradhan Mantri Kisan Sampada she took over, food processing sector was totally vest losses in fruits Yojana (PMKSY) with a financial outlay of Rs. disorganized and the industry was apprehensive and vegetables were 6,000 crore for four years. of launching new projects or products and com- a staggering Rs. 31,500 crore. Between 7-12 per mitted projects were being delayed and shelved. cent of vegetable production was wasted, the study The program targets to create an efficient supply After four years she has reversed the business en- showed. chain from the farm gate to the retail outlet by cre- vironment and turned it into the most buoyant and ating an integrated cold chain and value addition happening sector. “We are attempting zero wastage of agricultural infrastructure and expand India’s food processing produce at farm gate, transport and storage lev- and preservation capacities. Minister informed, “from a dismal situation four els… current levels of wastage are humungous for years back today we have investment commitment a country where millions of children are malnour- “Food Processing is all set to become the most ro- of nearly Rs.1,00,000 crores which we got in last ished,” Badal said. Following an announcement bust sector in India to contribute majorly to India’s one year alone and out of which investment worth in the budget this year, the food processing min- growth and the sector is all set to double farmers’ Rs.73000 crores have started grounding. Minister said that four years back industry was apprehensive of the Food Regulator FSSAI and today FSSAI has harmonized itself to world stan- dards. FSSAI has transformed into the most po- tent and business friendly regulator for those con- forming to rules.

6 Vol. 11, Issue 01 - June - 2018 FOOD PROCESSING NEWS Food processing industry must be Food from Indian Railways to an employment provider: Naidu get expensive Ch a n d r a b a b u As per a tax reform, Goods and Services Naidu, Chief Andhra Pradesh Food Processing Society (AP- Tax (GST) will be levied on food and ruling. According to a report, the AAR ruling for Minister of An- FPS), in collaboration with Indian Institute of beverages made available in the trains. food supplied on trains came about in response to dra Pradesh voiced his Food Processing Technology (IIFPT), was setting The tax reform that was implemented last year in a certain Deepak & Co, a company that had come thought that the food up a technology cum business centre. July, had imposed 5 percent on canteen services into an agreement for the supply of food and bev- processing industry then levied the 5 percent on the food delivery from erages to the Indian Railways. must be developed in Additionally, the micro small and medium enter- the canteen and mess as well in November and such a way that it be- prises (MSMEs) made a contribution of 80per cent now the same tax has been imposed on the Indian “Incidental services provided with supply of goods comes an employment towards employment and contributed 34per cent Railways. being the dominant intention would be treated as provider too, in addition to contributing towards towards gross state domestic product (GSDP). supply of goods in GST. Hence supply on board state’s economic growth. The Chief Minister was also briefed about the ma- The Delhi Authority for Advance Rulings (AAR) a train would be treated at par with like goods in jor business development needs of the MSMEs, said that train cannot be deemed as a restaurant a retail shop from a GST rate perspective,” said For this every department needs to take a universal which primarily were – credit, turnover, exports, and that the food suppliers will be affected by this M.S. Mani, a partner at the consultancy firm De- approach to prosperity. Food processing in India quality, certification and e-commerce. loitte India. is growing at only 10per cent and there is urgent need to aim for 25 per cent. Consumer spending is back on track with high fast food sales Naidu stressed that it is important to ideate wheth- er you want a new food park, processing plant, or Fast food sale is booming though all know want to bring out new incentives. Keep working that it is not so good for health. Anyway on it and then only it would result in a great val- this also indicates that consumer spending ue addition. We need to develop a smart ecosys- is back on track. After a stillness that spanned more tem for this and develop this industry in such a than a year, quick service restaurants (QSRs.) are way where food processing industry is not just a reporting record-breaking numbers. growth factor but also an employment provider. Westlife Development, master franchisee of McDonald’s in west and south India, said it has achieved its highest ever annual revenues of Rs. 1,100 crore – 22 per cent growth year on year. The company, which operates 277 outlets, also wit- nessed same-store sales growth (SSG) of around 25 per cent in the January-March quarter – a five- year high. SSG shows a difference in revenue gen- erated by a QSR company’s outlets over a period of time as compared with an identical period a year ago. Jubilant Foodworks, which operates pizza chain Domino’s in India, reported SSG of 26.5 per cent in the fourth quarter of FY18, compared with 7.5 per cent in the year ago period. The company’s quarterly profit surged 10-fold, from Rs. 6.7 crore ayear ago to Rs. 68 crore. Even KFC, which operates around 300 outlets across the country, reported 19 per cent system sales growth (as KFC calls it) in the March quar- ter, compared with 2 per cent in the corresponding period last year. Sales had been sluggish after demonetisation with the confusion over GST adding to the gloom. In 2016-17, sales had dipped to all-time lows with major brands shuttering outlets by the hundreds. For instance, SSG for Domino’s Pizza, whose sales indicate the health of the Indian QSR indus- try, had dipped into negative territory. But a 5 per cent levy in most restaurants has re- duced the burden for consumers, although that is not driving them into eateries. Trends across in- dustries show that hikes have been better and dis- posable income is a little higher due to moderate inflation. GST helped bring uniformity in pricing across all our restaurants in the country as well as taxes within the category. In the long run, the effect was neutral or largely positive. www.agronfoodprocessing.com

7 Vol. 11, Issue 01 - June - 2018 FOOD PROCESSING NEWS PepsiCo, ITC to invest more in food processing sector in Punjab will invest in the dairy sector,” he added. He also suggested enhancing the production of fruits and vegetables in the state. While hailing the efforts of the Punjab government, Bhavdeep Sardana from Sukhjit Starch and Chemicals Limited said, “We are setting up a Mega Food Park in Phagwara”. Rating the new Industrial and Business Devel- He urged the commerce and industry minister to opment Policy-2017 of the Punjab government increase maize production in the state rather than as excellent, the leading industrial giants in food that of rice and wheat. Akshay Bector of Cremica processing sector said conducive environment and Food Industries Limited said apart from new busi- ease of doing business had become a reality in the ness policy, the abolishment of truck unions by the border state. Elated from the policy, Pepsico India state government was a welcoming step. He also and ITC Limited have announced to expand their appreciated holding of agri and food conclave. operations in the state in the agro-food processing sector. Later, Industry and Commerce Minister Sunder Sham Arora said agriculture and allied activities Rinkesh Satija from PepsiCo India told Industry contributed 27.38 per cent to the state GDP during and Commerce Minister Sunder Sham Arora that 2016-17. the company was going to invest in snacks busi- ness in Punjab and more units would be coming “With total cultivable area of 4.2 million hectares, up here. He appreciated the Punjab government, Punjab constitutes only 3 per cent of the net area its new business policy and holding first of its sown in the country. This small area produces 19 kind Punjab Agri and Food Conclave in partner- per cent of wheat, 10 per cent of rice, 10 per cent ship with the Confederation of of milk, 20 per cent of honey, 48 per cent of mush- Indian Industry (CII) and Punjab room and 5 per cent of cotton in the country,” he Agricultural University (PAU), added. Ludhiana. Satija suggested that such conclaves should be held on Speakers dwelled in a session a regular basis to give more atten- for opportunities and challeng- tion to the agro-food processing es in food sector and focused on sector. Sanjay Singhal from ITC problems faced by the industry in Limited said the company had agro-food processing sector. Also recently launched new juices and discussed on how the state could biscuits. “Soon, the company provide project development sup- port to private sector entrepre- neurs. The final session focused on developing linkages in the food chain. STERILIZER ( Retort ) For Your Food Products HOT WATER SPRAY STERILIZER 30x40 inches Guaranted long shelf life for your product. R 89 / 90, T.T.C. Industrial Area, Rabale M. I. D. C. Thane Belapur Road, Navi Mumbai - 400 701. India Sutaible for Glass bottles, Plastic - bottles / jars / trays, Contact No. +91 9324653092 / + 91 8976553185 Retortable pouches, Metal cans etc. Email : [email protected], Website : www.machinfabrik.com Rapid heating and cooling to prevent product degradation. Laboratory Model Available Flexible model to suit your production needs. Automatic PLC control ( with F0 calculator ) for highest process accuracy and reliability. FrPueiSttJaFFuuoricecoeesAdshs,p,,M/pPBFleaielcasavattve,atoriS,aouRegnreaeiscdseF:,,MoRNoiTldokE,,oSdFloeousop.d,, Rotating carriage models available.

8 Vol. 11, Issue 01 - June - 2018 FOOD PROCESSING NEWS Suguna Foods Ltd invests Poland interested in Bihar food Rs. 100 Cr in feed mill plant processing sector Abiggest and leading poultry player— Su- our commitment on the growing consumption for Modi’s presentation at the EEC meet re- guna Foods Limited has custom-built a poultry products across the country. The new feed fers to the new strides made by Bihar in 5 lac tons (60 TPH) capacity Upgraded plant in Maharashtra will ensure smooth supply of vegetable cultivation, maize farming and Pellet Technology Feed Mill plant in Maharashtra poultry products in the region. This plant further production and organic farming, besides valued at Rs. 100 crores located in Khadakjamb, strengthens our commitment to the rural develop- pointing to the state’s strength in fruit near Nasik. ment. We have been extremely successful in South production. India, we plan to move to other geographies and The feed mill plant will act as catalyst for the de- newer regions and consolidate our presence in Bihar deputy CM Sushil Kumar Modi, told In an email from Poland, Modi said that velopment of poultry activities in the farm. The newer market places. The Pellet Feed Mill project newsmen about Poland’s interest of in- Poland has expressed its interest in the feed mill will be supplying high quality feeds for here is part of Suguna’s Growth strategy into the vesting in food processing sector of they food processing and higher education sectors in fowl birds, broiler, layers, and parent bird farms Western Region.” state. Modi further added that during his visit we Bihar. In fact, ‘Made in India’ slogan of the cen- and other livestock and facilitate the famers to en- have succeeded in inviting interested parties from tral government in India, Poland has given a call hance the feeding system. This modern technology feed mill is a fully auto- Poland to invest in the food processing and higher for ‘Go India’ to its investors, Modi added. mated process with imported & original machin- education sectors in Bihar. Bihar deputy CM was The plant is intentionally built to support the farm- eries with steel silos, godown facility for finished on a 3-day visit to Dutch country. This invitation comes in the wake of 5 percent ing community of Maharashtra. The plant will product & other ingredients. The total plant will be wastage in food processing of Poland as against procure large amount of Maize (3,00,000 tones), operated from a single point through PLC control On a visit to Poland, Modi addressed the three- 70 per cent of India in the same sector, said Modi , soya meal ( 150,000 tones) among other agricul- system. The finished product will be also handled day 10th European Economic Congress (EEC) Bihar can benefit from Poland in the higher edu- ture commodities to create a market for the pro- automatically from bagging to loading. that began at Katowice. Representatives from 27 cation sector, as 5,000 Indian students are already duce for the state. European Union (EU) countries and 700 delegates getting higher education there. States like West Suguna is already augmented with many state of from other nations are taking part in the EEC meet. Bengal, Uttarakhand, Andhra Pradesh, Maha- With installation of the feed mill, the farmers can art modern feed mill facilities such as the 3.2 lac rashtra and Gujarat have already reached separate depend on Suguna Foods for right prices for their tone capacity unit Tamil Nadu, 6 lac tones capac- agreements with it for higher education sector. produce. Also, with the development of poultry ity in Karnataka, 5 lac tone capacity in Andhra farming in the region consumers would benefit by Pradesh, 1.5 lac tone capacity in Rajasthan and MOFPI not to sanction new getting quality protein at affordable price. Also the others. mega food parks plant will create economic impetus in the regions thus creating direct and indirect employments and Feed generally is considered to be the major in- Out of 42, 12 are operational and 30 are under implementation. During the current year it is hoped livelihood for thousands. put for poultry production and may account for 70 to make others (parks) operational as well. per cent of the total production cost. Since poultry It is estimated that the annual growth rate for the feed is composed of several raw materials, the cost As of now, the ministry does not have capacities. Sampada with an allocation of Rs 60 Broiler Industry to be approximately 9per cent per and supply of raw material either produced locally the freedom to sanction any more mega billion is expected to leverage the investment of cent. With an annual production of 3000 million or imported determines poultry prices. food parks because the target has been Rs 314 billion, handling of 33.4 million tonnes broilers, India is the Fifth world’s largest poultry reached. However, there are some parks where agro-produce valuing Rs 1041.25 billion, bene- meat producing country which indicates the huge Poultry feeds are composed of ingredients like land has been an issue and may cancel those parks fitting 2 million farmers and generating 5,30,500 consumption by Indian population. With rising maize/corn millets, grams and soya bean meal. A if they do not come up, which will be bidded after direct and indirect employment in the country by income levels, the consumption of poultry prod- good poultry feed contains a proper balance of nu- cancelling. the year 2019-20. ucts and eggs are predicted to continue to rise. trients which helps in development of the chicken Sundararajan GB, Managing Director-Suguna be it a layer or broiler or starter. Good feed means Foods Limited said “Such estimates only validate healthy chickens. Is it a tough time for It may be noted that Sampada (Scheme For In Odisha, the union government has sanctioned food processing industry? Agro-Marine Processing And Development Of two mega food parks. While the one is operational Agro-Processing Clusters) is an umbrella scheme at Rayagda district in the name and style of MITS Food processing industry and crop diversi- lenges. On one hand we are asked to push crop incorporating ongoing schemes like mega food Mega Food Park Pvt Ltd, the other park, which fication are facing several challenges in diversification and at the same time, we are given parks, integrated cold chain and value addition is developed by state-run Odisha Industrial In- Punjab. “Inadequate availability of raw the wheat and paddy production cultivation tar- infrastructure, food safety and quality assurance frastructure Development Corporation (Idco), is material, inadequate post-harvest infrastructure, gets to be met each year. So how can we expect infrastructure and also new schemes like infra- under implementation.The government of India inadequate research and development by process- that farmers will abandon wheat-paddy,” said structure for agro-processing clusters, creation provides financial assistance up to Rs. 0.5 billion ing industry, fragmented value chains and policy Vice-Chancellor. The assembly was inaugurated of backward and forward linkages, creation and per Mega Food Park project. distortions are some of the challenges that food by Punjab industry and commerce minister Sham expansion of food processing and preservation processing industry is facing in the state,”claimed Sunder Arora who said that Punjab which till now Dr. B.S. Dhillon PAU vice-chancellor . is known as ‘Food Bowl of India’ will soon be Patanjali cancels mega food park known as ‘Food Processing Hub of India’ too. Dhillon was speaking during the inaugural session Baba Ramdev has cancelled its Rs the requisite clearances to start the project. When of Punjab AgriFood Conclave held at Punjab Ag- “Soon Punjab will be the food processing hub of 6,000-crore mega food processing proj- contacted Food Processing Secretary, J P Meena ricultural University (PAU) in Ludhiana. He said the country. From the largest producer, it will be ect along the Yamuna Expressway in Ut- told “Patanjali was given four months time to meet that PAU has been continuously developing latest the largest processor too. A high tech manufactur- tar Pradesh, citing non-cooperation from the state the conditions required to get the final approval. food processing techniques to promote cultivation ing cluster at Ludhiana and an integrated manufac- government. There are four to five conditions, including land of fruits and vegetables but the real challenge lies turing cluster are being built at Rajpura apart from and bank loans, which any party that wants to set in their adoption by farmers and other stakehold- three mega food parks at Ladhowal, Phagwara and However, the UP government said it has given one up mega food park has to fulfill.” ers. “We are developing several techniques to Fazilka. Punjab has total cultivable area of 4.2 mil- more month to Patanjali to meet the conditions promote crop diversification so that farmers come lion hectares. It produces 19 per cent of wheat in required to get the final approval. The Yamuna Meena further said, “We have not cancelled the out of wheat-paddy cycle. But the real challenge India, 10 per cent rice, 10 per cent milk, 20 per Expressway Industrial Development Authority project. We have given one month extension to Pa- is their adoption. Not many farmers are adopting cent honey, 48 per cent mushroom and 5 per cent (YEIDA) could not get the required clearances for tanjali... they have to meet the condition. In case, them because it is difficult for them to come out cotton with just 3 per cent of net sown area in the transfer of land from the state government, said a Patanjali does not meet the condition, we have of wheat-paddy cycle as still there are many chal- country,” he said. top company official. no choice but to cancel. We have done it earlier in many projects.” Patanjali had already got sup- Meghalaya Cabinet gives a “yes” to With Rs. 6,000. the Hairdwar-based company had port from the financial institutions for the project, food processing directorate proposed to invest in a plant with 425 acres of land Balkrishna claimed. at YEIDA to cater the domestic and export mar- The Meghalaya government has decided to Prestone Tynsong told reporters after the cabinet kets through its step-down firm Patanjali Food & “We got extensions two times from the Ministry create a directorate of food processing for meeting. He said financial involvement would be Herbal Park. of Food Processing Industries and now it (time) is better utilisation and value addition of ag- minimal and the state agriculture department had lapsing as we could not get the required clearances ricultural products, including fruits, in the state. been asked to work out the details that would not Confirming the development, Patanjali Ayurved from the state government,” Balakrishna said. incur much expenditure for creating the director- Managing Director Acharya Balkrishna said: The proposal to create the directorate was ap- ate. “We are cancelling the project as we did not get Mega food parks are to be implemented within proved by the state cabinet chaired by Chief Min- required clearances and cooperation from the UP 30 months and financial assistance is provided to ister Conrad K. Sangma. “This directorate will Agricultural produces in Meghalaya are wasted in state government for this project. We have waited them by the central government. Earlier, Patanjali take care of various items such as fruits and oth- the absence of food processing units. for long time for the clearances and now we have had said that its Yamuna Expressway-based plant er agricultural produces,” Deputy Chief Minister decided to shift the project.” The company now would produce goods worth Rs.25,000 crore an- plans to shift the project to some other state, he nually, if it runs to its full capacity. It would create said without disclosing further details. Patanjali 10,000 direct jobs, Patanjali had said. Patanjali is was given one-month extension by the Ministry of presently investing in mega food park projects, in- Food Processing Industries till end of June to get cluding Nagpur (MP) and Tejpur (Assam).

9 Vol. 11, Issue 01 - June - 2018 SPICE NEWS Spices export record 20per cent rise in volumes for nine months Spices exports recorded 20 per cent rise in volumes and 4per cent in value for nine months to December 2017 from a year ago. India exported 797,145 tonnes valued at Rs. 13167.89 crore for the period. In dollar terms, spices exports were pegged at $2041.23 million as compared with $ 1880.02 million, notching an increase of 9 per cent in value. “India has been able to sustain the demand for its trademark spices in international markets in the face of stiff competition and stringent food safe- ty regulations that now define the international commodity trade,” said Spices Board chairman A. Jayathilak. He noted that exports of spices like chilli showed a decrease in value despite increase in export vol- umes. “This has happened because of volatility in international spices trade. The fact is Indian spices have become a trusted global brand, but there is an imperative need to give a huge impetus to value added products and sustain their quality and fla- vour.” Chilli was the largest exported spice at 353,400 tonnes, Cumin was the second-most exported spice, recording an increase of 15 per cent in vol- ume and 19 per cent in value. Small cardamom registered maximum export growth both in terms of value and volume during the period with an increase of 44 per cent in vol- ume and 53 per cent in value from last year. Garlic has also contributed substantially recording 92 per cent rise in quantity and 30 per cent increase in value at 37830 tonnes. Other big gainers included mint products, curry powder and spice oils and oleoresins. Adulterated Cumin (zeera) seized by Spices Board of India The Spice Board of India seized a major ex- port consignment of cumin seeds (zeera) of a Gujarat-based firm from Kandla Port af- ter the tests confirmed adulteration. India is one of the major exporters of cumin in the international market and to maintain the reputation globally, the board had to take stringent steps. “Surveillance sampling and testing conducted by the Board found adulteration in a cumin seed ex- port consignment of 12.5 MTs in a Gujarat-based Exporting Unit. Quality Evaluation Laboratory of the Board at Kandla (Gujarat) reported the pres- ence of 23.33 per cent extraneous matter against maximum limit of 3 per cent in the sample which was a clear indication of adulteration,” the state- ment from Spice Board of India said. “The Board informed Food & Drugs Control Ad- ministration, Gujarat and the department seized the consignment,” it said. The name of the firm has not been disclosed by the board. “We have set up state-of-the-art regional laboratories and are taking stringent measures to monitor the quality of export consignments of spices and stop the adul- teration through surveillance sampling at major export centres,” Spices Board Chairman Dr. A. Jayathilak was quoted as saying in the statement. During April-December 2017, cumin was the sec- ond-highest exported spice from India with a vol- ume of 1,04,260 tonnes and fetched Rs. 1,761.70 crore.

10 Vol. 11, Issue 01 - June - 2018 BEVERAGES NEWS Downward journey Hydrich launched in Chennai of Manpasand Beverages cal collaboration with GLOCOM Ltd, a Korean Shares of Manpasand Beverages have seen margins, against the competition which paid 20- Company which is well known for its Research & a downward journey for seven consecutive 25 percent margins. The company launched fruit Development. Following the introduction, he tes- sessions, losing 55 per cent of its value juice-based ‘Fruits Up’ premium category bever- tified a live demo of Hydrich alkaline water’s rich since the end of May 2018. Founded by Dhiren- age. Fruits Up carbonated fruit drinks are available health-oriented composition. dra Singh, Manpasand Beverages launched its first in grape, orange and lemon flavors. product Mango Sip in 1997. The product was stra- Alkaline water is a lesser acidic version of your tegically focused on semi-urban and rural markets. Further, the company launched Siznal a healthy normal drinking water which means that it is rich vegetable and fruit drink with honey thereby di- in alkalizing compounds, including calcium, sili- As a successful step, Mango drink make up for 85 versifying its product portfolio to cater to every ca, potassium, magnesium, etc. This alkaline na- per cent of the juice drinks segment. Mango based customer segment across the price pyramid. ture of the water can neutralize the pH of blood drink category market is worth Rs. 6,300 crore in and helps the body to metabolize nutrients more India. The company created an extensive network These products reported revenues, EBITDA, PAT, effectively which in turn help with better health. to sell its product. Manpasand’s beverage brands CAGR of 52 per cent, 59 per cent, 64 per cent, re- are present in over 20 states through more than spectively, over FY12–17. ​Manpasand Beverages’ Hydrich is a new International brand for Hydrich is already in the process of conducting 200,000 retailers, over 2000 distributors and 200 Rs. 400-crore IPO in 2015 witnessed the demand Alkaline water that has launched in In- awareness campaigns all over the country, spread- plus super stockists. for 1.4 times the number of shares on sale. dia for the first time. The launching was ing the news about the benefits of alkaline water. A in Chennai, attended by special invitees with the one-liter bottle of Hydrich is priced at Rs. 99 for a Manpasand Beverages as the fruit juice maker Manpasand Beverages last raised Rs. 500 crore Chief Guests Eugin Fernando, Principal of Apol- 500ml bottle is priced at Rs. 60. failed to provide with “significant information” on in September 2016. Several of the existing share- lo Institute of Hospital Management & Allied the financial results for the year ended March 31, holders including Motilal Oswal, SBI Magnum Science, R. G. Kulkarni, MD of Prakalpa Mo- Hydrich is also planning to produce 5-liter bottles 2018 to their auditor Deloitte Haskins & Sells In- Fund, ICICI Prudential and Nomura participated tors Pvt Ltd and MitheshSurana, Vijay Ventures. in the future and is looking into exporting their dia. This spooked investors, for whom Manpasand in the issue. Hydrich introduced the gathering to the techni- product to other Asian countries like Singapore, had been the flagbearer of rising rural consump- Malaysia, Srilanka and Middle-eastern countries tion, the company that reflected the importance of In the first nine months of FY18, Manpasand re- like Dubai, Saudi Arabia, etc. Bharat - rural India - in the Indian economy. ported net sales of Rs. 701 crore, 28 per cent high- er on year, and net profit of Rs. 73 crore, up 44 Manpasand invests Rs. 150-cr After all, Manpasand Beverages has the unique per cent. fruit juice plant in Odisha distinction of being the sole listed company from the beverages sector. T​ he company’s manufactur- The mayhem of this week has taken off much of have a capacity of 50,000 ing facilities are located at Vadodara in Gujarat, the sheen of the stock. cases per day,” company’s Varanasi in Uttar Pradesh and at Dehradun in Ut- chairman and managing di- taranchal. The company blamed system upgrades for the de- rector Dhirendra Singh said, lay in providing data and information to the au- adding this plant will be the The choice of market - Mango Sip was targeted to- ditor. All the distribution related information was company’s first facility in wards consumers in Tier II and Tier III cities - was passed to the auditors and the results will be de- the eastern region. strategically right. Bigger peers like Maaza and clared soon, the company had informed exchang- Slice, which control more than 50 percent market es. The Manpasand Beverages is setting up a Of the four new plants being share, are urban centric brands. fruit juice manufacturing facility at Chha- set up at an investment of In a filing to the BSE, Manpasand Beverages had tabar Industrial Area, Khurdha in Odisha, Rs. 600 crore, the first at Va- In July 2017, Manpasand launched ‘samosa said, “It is very unfortunate that we had to part at an investment of Rs. 150 crore, inaugurated by dodara has already been commissioned, while the packs’ of Mango Sip, which now came at Rs. 5 ways with our long-term associate. Everything Odisha chief minister Naveen Patnaik, a top exec- second one at Varanasi is expected to be functional for a 80ml pack. This leveraged on the company’s related to financial results announcement and the utive said. “The new plant is a part of company’s soon, he said, adding, the construction work at the understand of the rural market. timing of this event is purely coincidental and has expansion plans which are on at full swing. This third plant is on at Sri City in Andhra Pradesh. no direct correlation.” would be our ninth facility in the country, and will This worked well because Maaza, Slice and Frooti He said the company has built a robust network of played more in the Rs. 15 and above packs. Thus, But questions remain on the information that De- dealers and is well equipped to cater to the rising Manpasand now kept competition at bay.​ loitte was seeking by the company. Three broker- demand in the eastern market. ages—Kotak Securities, Motilal Oswal Securities Mango Sip contributed 75 per cent of revenues and India Infoline—have withdrawn their rating Prabhat Dairy enters in FY17 of which around 55 per cent of revenues on the stock. Manpasand Beverages now has 83 beverages segment were from rural areas, 20 percent of overall reve- per cent ‘Buy’ calls compared to 90 per cent at the nues through IRCTC and the remaining from ur- beginning of the month. head on researching and churning ban areas. out new products which helping in Its market capitalisation has come down to Rs. growing its presence in the mar- In 2016, for Manpsand’s less than Rs. 10 packs 3,946 crore, down by Rs. 1,200 crore, within a ketplace. formed 40 per cent to total revenues thus indicat- week. The continued slide in the Manpasand Bev- ing its focus on small towns and hinterland. Its erages stock has hit the value of mutual funds who distributors were also happy to stock Mango Sip had invested in the company. as Manpasand awarded them with 35 per cent People prefer ‘desi’ beverages The dairy market has witnessed a to aerated drinks in summer growth of 20-23 per cent annual- ly and is expected to grow three Patnaites are switching to desi thirst- variety of drinks — creamy and fruit filled lassis Prabhat Dairy has entered the beverages seg- times by 2020. And due to the high quenchers to stay healthy and cool rather and thandai made from milk and dry fruits, shi- ment to tap the high potential of the market demand for healthy drinks, milk than drinking aerated water in ruthless kanjis of water, sugar and lemon, aampanna from and plans to expand the beverages market beverages have become popular summer when the temperature has already crossed unripe mangoes, chillies and mint leaves, ‘chhach’ in two phases. In Phase 1, it will launch these bev- among customers, witnessing a 44 degrees Celsius. and regular fruit drinks and coconut water are also erages in Maharashtra. In the second phase, it will growth of almost 54 per cent on among the favourites. distribute these products in other metros and smart year. Summer brings with it a yearning to guzzle down cities. soda-based carbonated cold drinks as the body Elaborating on the harmful effects of having car- The company also launched Goodness Zone, a craves for some flavourful hydration drinks. bonated drinks, Dr. Ravi Kirti, a general physician franchise based chain of retail outlets in Maha- But, this summer is seeing a dipping demand for at All India Institute of Medical Sciences (AIIMS), rashtra. Prabhat Dairy aims to open 500 such out- bottled beverages as a number of people prefer Patna, said, “Sugar sweetened carbonated drinks lets by the fiscal year 2022. It has already piloted healthy traditional drinks available in this season. are good in taste, but are really harmful for our the Goodness Zone in Ahmednagar district. body in some way. People are gulping down more of chilled juices The company will start off by selling tetra packs The Goodness Zone will sell milk-based products and sherbets or natural drinks like coconut water. Increased risk of heart attack, obesity, diabetes is of lassi, chaas, and milkshakes. Prabhat Dairy is such as packaged and toned milk, ghee, cheese, People are opting to drink something desi as it’s some of the most prominent health issues that can an integrated milk and dairy products company, chaas, lassi, dahi, shrikhand, paneer, milkshakes, healthy and pure. Celebrating summer, the refresh- be attributed to these drinks.” He suggested that catering to retail and institutional customers. etc. under its umbrella brand ‘Prabhat’. It is fo- ing Bihari coolers that find place on the priority one should rather go for homemade lemon shi- cusing on expanding its product portfolio in the list include the humble ‘sattu’ drink to the earthy kanji, jaljeera, aampanna and give up carbonated It manufactures dairy products and also sells consumer segment and is aiming to expand its ‘shikanji’ to the lavish lassi and sherbet. A wide drinks. co-manufactured products to a slew of institution- presence across major cities in India. al and multinational companies. The company is

11 Vol. 11, Issue 01 - June - 2018 BEVERAGES NEWS Manpasand Beverages intro- duces ‘Siznal’ Vadodara-based Manpasand Beverages is looking to take on soft drink majors with its latest health drink brand ‘Siznal’. Tar- geting the healthy drinking consumers, Manpas- and Beverages has rolled out a wave of juices that are blends of fruits and vegetables, sweetened with honey. Currently, it is offering four different blends of vegetables and fruits including beetroot-carrot, orange-carrot, pomegranate-carrot, and cucum- ber-spinach under the Siznal brand targeting urban consumers. “Sugar consumption is becoming a major impedi- ment in the juice market in urban areas. Hence, we have come up with a fruits-cum-vegetable drink which is sweetened by honey under the ‘Siznal’ brand name targeting the urban consumers. With this, we would be one of the very few companies to have a wide range of products in the juice mar- ket, right from a small mango drink priced at Rs. 5 to a premium drink product priced at over Rs. 100,” said Abhishek Singh, promoter and director of Manpasand Beverages. From being a merely mango pulp drink maker un- der the flagship brand ‘Mango Sip’, Manpasand Beverages has been enhancing its product port- folio, with Siznal being its latest offering. Going forward, the company wants to establish itself as an affordable fruit and vegetable based healthy alternative to other soft drinks in the market. Man- pasand Beverages is banking on the low per capita consumption of juices and soft drinks in the coun- try for the same. “In the next six months, we will be launching more health drinks for urban areas as well as drinks for mass market. Per capita consumption of juices and soft drinks is very low in India. And there are hard- ly couple of players with reach of over 3-4 million outlets. In the coming years, by enhancing our product portfolio and distribution we want to es- tablish ourselves as a widely available affordable healthy drink player,” Singh said. For this, the company is not only doubling its capacity but also speeding up its distribution net- work. On the back of this, by 2020, Manpasand expects to process five times the quantity of pulp at 12,000 tonnes per annum to produce more vari- eties of vegetables and fruit juices. Currently, apart from its flagship brand ‘Mango Sip’, Manpasand Beverages’ product portfolio comprises Fruits Up (carbonated and juices), Coco Sip (coconut water), flavoured ORS, Jeera Sip, Aprilla (carbonated apple juice), and Siznal (veg- etable and fruit based health drink), among others. “Our current production capacity of 150,000 cases per day is being doubled in next four months. This is being done by establishing new manufacturing plants in Vadodara, Varanasi and Sri City. We are also going to amplify distribution at a large scale,” said Singh. While currently its distribution channel reaches out to 600,000 outlets across the country, the com- pany is looking at ways to grow its distribution channel to match the MNCs. “One of the ways is by tying up with Parle for distribution. While Parle has 10,000 distributors reaching out to 6 million outlets, we have 4000 distributors overseeing only 600,000 outlets. We will have common distribution with Parle. With the new channel, in the coming years, Mango Sip will be the most widely available mango drink. We are hoping to add one million more outlets in the next one year on the back of the tie-up with Parle, taking our total outlet reach to 1.6 million,” Singh added.

12 Vol. 11, Issue 01 - June - 2018 FOOD SAFETY NEWS Mobile food lab to roll out in Bihar Badal inaugurates food testing By the end of next month, the government’s lab at the NIFTEM food safety wing will roll out a mobile ratories to the food safety wing. Each of the labs food testing laboratory in Patna to col- cost around Rs. 40 lakh. The first laboratory will Harsimrat Kaur Badal, the Union Food Pro- by paying fee which is yet to be fixed. According lect food samples and conduct on-spot tests. The be handed over to the food safety wing in a month cessing Minister has inaugurated four pilot to Badal the pilot plants are at par with industry mobile laboratory will go to people’s doorsteps to while the second will reach Bihar in three-four plants and a food testing lab at the Na- level in terms of scale and standard. The purpose check for adulteration in food, create awareness on months. tional Institute of Food Technology Entrepreneur- is to encourage more and more entrepreneurs who the dos and don’ts on handling food, and how to ship and Management (NIFTEM) campus so as can be job providers. The NIFTEM’s pilot plants check food adulteration at home. The laboratory The mobile food testing laboratory will be to provide business incubation for entrepreneurs. offer modern facility to develop products and test will conduct tests for common adulterants in milk, equipped with milk analyser, hot air oven, hot This new facilities at the NIFTEM is set up with production in four categories — ready-to-eat and water, edible oil and other food items. plate, mixer grinder, digital weighing scale, digital an investment of Rs. 50 crore and can be utilised traditional food, milk and dairy product, fruits and multi parameter hand-held meter, power generator, by both in-house students as well as entrepreneurs vegetables and meat and poultry processing. But the flaw in this step is that no action will, air conditioner and refrigerator. Five personnel, in- however, be taken on the basis of the test report of cluding a lab assistant and technician, will be as- The pilot plants will be self-sustaining as these the mobile laboratory, as according to food safe- signed to the units. would generate revenue from target user groups to ty wing norms, action can be initiated only on the meet operational expenses and would also recover basis of reports produced by government-certified Even residents can avail the service of the mo- capital investment in due course of time. And the laboratories. The Food Safety and Standards Au- bile food testing laboratory by paying a nominal new food testing laboratory would not only serve thority of India have allocated two mobile labo- charge of Rs. 100-200 once it is launched in Patna. as a centre for certification of food products but also for undertaking research and innovation for Shortage of Food Safety solving problems of the food industry and other Inspectors in Hyderabad stakeholders. which haven’t yet been addressed. The recent India needs a systematic overhaul in incident of cockroaches found in food served agriculture to ensure food security in a Subway outlet definitely stirred things up The sprawling city of India, Hyderabad at the food safety department of Hyderabad. Food insecurity continues to be one of the crisis in India’s agriculture sector indeed requires world-famous for its cuisine, is continu- The incident went viral and turned attention most pressing challenges before India. De- immediate measures but ignoring the ecological ously seeing rise in the number of restau- to the lack of food inspectors to monitor the spite high rates of economic growth, the crisis and the challenges that climate change poses rants and hotels, local dhabbas mushrooming city so that such incidents do not happen. “A prevalence of under-nutrition declined marginal- for India’s longterm food security is likely to be a around. More the number of eateries, more the majority of our complaints come on the phone, ly from 210.1 million in 1990 to 190.7 million in grave policy mistake. number of food safety professionals required to but we cannot address them immediately. What 2016. make sure the food safety and hygiene standards can we do? We are just three people expected As a large developing country with a growing pop- are being maintained around the city. to cover an entire city,” said an official. Out of the Currently over one fourth of the children are stunt- ulation, which is dependent on rainfed agriculture, five zones in GHMC, the north and west zones are ed in large states like Gujarat, Jharkhand, Karna- India is particularly vulnerable to climate change. Surprisingly, in wake of the latest survey, it has completely ignored due to the absence of officers. taka and Madhya Pradesh, and over 40 per cent The most significant impact of climate change will come to the notice that there aren’t enough food of the children are underweight in Jharkhand, be felt through its impact on the country’s already safety inspectors in Hyderabad to keep up with “Besides doing our official duty, we additional- Madhya Pradesh and Bihar. On the other hand, stressed water resources. Several studies indicate the increasing food safety hygiene at the outlets. ly have to oversee protocol arrangements of the due to rising incomes, the rich and middle classes that climate change will cause significant changes Hyderabad has two gazette food inspectors and Chief Minister, President, Vice-President, etc. It’s in urban areas are demanding a more diversified in interannual and interseasonal variability of the one second-grade commissioner holding higher not just one thing we are doing. We also have to go and protein rich diet. The composition of the food monsoon. The number of dry days and wet days offices. to the courts. Each officer is handling at least 30 basket is increasingly shifting away from cereals has steadily increased since the 1970s. cases from the court and has to be present when to high value agricultural commodities like fish, With the lack of food safety inspectors, the task the court summons us,” the official added. eggs, milk and meat. Currently about 54 per cent of the ground water of addressing the grievances, inspecting hotels wells are receding. Fluctuation in rainfall due to and restaurants fall on the shoulders of these of- According to the officer, before 2010, there were As incomes continue to rise, this trend will contin- climate change will adversely affect India’s al- ficials. Owing to this severe shortage of officials, 7 food safety inspectors in Hyderabad, which ue and the indirect demand for food from feed will ready depleted groundwater resources. The World the Greater Hyderabad Municipal Corporation dropped to 5 in 2012, following the retirement of grow rapidly in India. Will India’s food production Bank predicts that with a global mean warming of (GHMC) is flooded with complaints, most of two. The number further dwindled to four, among be able to meet the growing demands of its popula- 2°C, above preindustrial levels, India’s food water which one officer was caught by the Anti-Corrup- tion? The current agrarian situation does not pres- requirements will exceed green water availability. tion Bureau for indulging in corruption, resulting ent a particularly optimistic picture. Agricultural A mismatch between demand and supply of water in just three officers in post right now. “For the productivity in India is extremely low. will have far reaching consequences on the coun- past three years, just three of us are overseeing ev- try’s foodgrain production. erything. The government should employ food in- The deep crisis, which afflicts India’s agriculture spectors and reduce our burden,” the officer urged. sector, is not unknown. Farming has become an Climate models also predict an increase in the unviable occupation. About one third of the farm- frequency of droughts in the northwestern re- City sees a rise in Food Safety ers in India do not like farming because it is not a gion. Increased frequency of droughts will have complaints through texting profitable activity and 40 per cent are willing to adverse impacts on foodgrain production, partic- give up farming if they could find a better source ularly kharif output. Rice, India’s staple food crop Gone are the days when registering a com- food vendors on how to maintain high food quali- of livelihood. Despite this, agriculture employs is found to be most sensitive to extreme climate plaint about adulteration in food products, ty,” said Dr. Senthilkumar Ramakrishnan, the des- about 49 per cent of the labour force in India. events. According to a report by the Intergovern- unhygienic eateries, and poor food quality ignated officer (DO) for Trichy district food safety Indebtedness, the main reason behind the rising mental Panel on Climate Change, water shortage was a long-drawn process that many never even and drug administration department. The food number of farmer suicides in India, has increased and thermal stress will severely impact rice yields made the effort. With technological advance- safety department receives a complaint and for- dramatically. in India. Impacts on foodgrain productivity will be ments transforming our lives every day, it might wards it to designated officers from the respective particularly severe in un-irrigated areas. However, not come as a surprise that the Tamil Nadu Food districts, which are given 24 hours to investigate According to figures from the 70th round of the full impacts of climate change on agriculture are Safety and Drug Administration Department now the issue and send back a report to the Chennai of- National Sample Survey, about 52 per cent of the still not known to researchers. That is what makes provides the option of making your complaints fice. Not surprisingly, many of the complaints are agricultural households in India are indebted with climate change a particularly “wicked” problem. and grievances known to them through Whatsapp on the roadside eateries and their lack of hygiene an outstanding loan of Rs. 47,000 per household. text messages. and inferior quality of food. The states of Andhra Pradesh, Telangana and Tam- Unfortunately, India is completely unprepared to il Nadu have the highest share of indebted house- tackle the impending crisis. Public investment in This feature has been active since May and the As complaints keep pouring in from the public, the holds at 92.9 per cent, 89.1per cent and 82.5 per agriculture has declined steadily and policy ap- complaints that have been coming in have seen a traders and proprietors of eateries and food stalls cent respectively. Research on agrarian distress proach towards the sector has been piecemeal. distinct rise according to official reports. Poor hy- claim that they are making enough efforts to main- has proliferated and most studies agree that a com- India’s long term food security concerns must giene, prominently at roadside eateries, food adul- tain the hygiene and the quality of food. Some bination of policy induced, technological and eco- feature more prominently in the policy discourse. teration and the use of synthetic food colours are people feel that the Food Safety department’s logical factors is responsible for India’s agrarian Given the challenges that climate change poses the complaints that are most often made via texts. rules and guidelines aren’t clear enough and are crisis. Despite the fact that agrarian distress has and the country’s vulnerability, India needs a sys- hard to follow. “Through our association, we reg- been a favourite topic for economic research and tematic overhaul in its agriculture. Indian agricul- “We are getting complaints such as serving recy- ularly discuss about increasing the food quality. the subject is now slowly getting the attention of ture cannot afford to rely on unsustainable ways. cled food at restaurants, the sale of expired food But we don’t necessarily agree with all the rules India’s media, which has so far callously ignored Sustainable agriculture, which applies less pres- products and poor quality of packaged drinking and regulations,” was V. Govindarajalu, the gen- the issue, long term food security is no one’s con- sure on natural resources, is the need of the hour. water. We have been taking action on such issues eral secretary of Tamil Nadu Vanigar Sangangalin cern. Policy actions have typically been in the swiftly. We are also educating manufacturers and Peramaippu’s response to the rising complaints. form of loan waivers for agitating farmers. There Small farmers also need support from the govern- have been counter reactions from the brigade, ment to adapt to climate change and public invest- which is against any form of government spend- ment in agriculture and research also needs to be ing in favour of the poor and destitute. The deep stepped up. But is anyone listening?

13 Vol. 11, Issue 01 - June - 2018 NEWS USHYDRATIONS CHOOSES SIDEL FOR solutions, combined with THEIR COMPLETE PET PACKAGING LINE the strong service support in North America.” A partnership built on inno- To support this global con- vative technology, flexible tract manufacturer, the Sidel solutions and great service Group supplied a complete support line solution as well as a data A key factor behind the success management system to mea- of a premium brand is its price sure the performance of the positioning, when compared to line and help identify causes mainstream offerings. of downtime, which will ul- timately maintain or increase USHydrations recently acquired a com- The added benefit offered by a the uptime. relationship with this customer. He comments: “It plete PET line from Sidel, equipped with top brand must be immediately is particularly pleasing to help the company grow a Matrix™ Combi, for their company’s recognised by the end consum- The complete line offers full and prosper in pursuit of its business ambitions. headquarter in Pittston, Pennsylvania (USA). er, be it superior taste, more flexibility and is able to bottle different formats, By providing the advantage of a low total cost of Installation of the line began in April 2018 and attractive packaging, or simply bottle designs and products, such as water and ownership, flexible packaging capabilities, and it will be able to bottle soft drinks and water, its origins from a safe source. The last one is cer- carbonated beverages. The Sidel Group offered an global expertise, our solutions are perfectly estab- both still and carbonated, at a speed of 36,000 tainly the case for USHydrations, which leverag- optimal and ergonomic line design with a reduced lished to support USHydrations on its journey.” bottles per hour (bph). Technology, innovation, es natural springs from the pristine mountains of footprint adapted to USHydrations’ needs. and services support capabilities in the North Pennsylvania. The President and CEO of USHydrations con- American region, combined with the global ex- Prashant Shitut continues: “More and more, bev- cludes: “The last few years have been fantastic pertise of the Sidel Group, were the driving fac- Prashant Shitut, USHydrations’ President and erage brands are looking for extensive packaging for the company, from a financial and operational tors for this premium beverage manufacturer CEO, explains what convinced him to choose options. They require solutions able to handle sin- perspective. In 2019, the plan is to produce around to select Sidel as their equipment supplier. Sidel for their most recent complete PET line: gle and multi-pack configurations for greater ver- two million bottles a day and Sidel will help us “What attracted us to the Sidel Group was their satility. Sidel’s complete line will clearly allow us accomplish this mission.” reputation, innovative technology, and flexible to tackle this opportunity in a very efficient way.” Fabien Charbonnier is the Sidel Account Manager North America, and as such handles the business Strong leadership and focus on quality to serve Designers, Engineers & Manufacturers of Machinery & Filteration Equipments for: 2ofOwsvGeietrrhvroiwTcreinutgsotDSI&entrdcIonuantsdegtgeerirsreitsy. global brands Pharmaceuticals, Packaging, Chemicals, Food, Beverages, Distilleries, USHydrations was founded in 1996 serving Breweries, Paints, Food, Oils & Consumers Northeastern Pennsylvania in home delivery ser- vice. Four years later, they moved to a much larger facility and fully renewed their production equip- ment. Thanks to this investment and strong leader- ship, USHydrations expanded its market reach, es- tablishing itself as a global contract manufacturer. Today, USHydrations operates in the premium beverage category and produces over a million bottles a day. Their facility in Pittston has easy access to several major interstates and many large distribution cen- tres: while reaching over 100 million consumers in the area, it also allows for reduced shipping costs to Eastern U.S. locations. Premium water, strong performance in a grow- MAJOR PRODUCTS MANUFACTURED AT UNIPACK ing market The global bottled water market has enjoyed sta- Linear Vial/Bottle Washing Machines Sterlity Testing Units in S.S. ble annual volume growth of 6% during the last Sizes: vials 2ml to 100 ml & Bottles 15 ml to 500 ml Sizes: Single Place, Three Place & Six Place five years, reaching 214 billion litres in 2015. Scramblers/Unscramblers Plate and Frame Type Filter press in SS Growth has been driven by increased consumption Sizes:24” dia, 36” dia. 48” dia 60” dia Size: 20 cm X 20 cm, 40 cm X 40 cm, in emerging markets including Asia Pacific, Africa Hydraulic Loading Platforms 60 cm X 60 cm, 100 cm X 100 cm and the Middle East as well as a positive trajec- Inspection Tables Zero hold up/Sparkler Filter press tory in other markets, such as North America and Loading and unloading Conveyors Size : 600 LPH to 15500 LPH Western Europe. Liquid Filling, Rubber Stoppering & aluminium Sterile Pressure and Storage Vessels Cap sealing Machines for Vials Size : 10 ltrs to 500 ltrs Factors influencing growth in packaged water Powder Filling, Rubber Stoppering & aluminium Membrabe Filter Holders (Size: 293 mm, 142mm, 90mm) sales include an improvement in the economic Cap sealing Machines for Vials Inline Filter Holders (Size:47mm, 25mm, 13mm) performance of a number of countries and corre- Basket/Bag/Catridges Filters sponding higher levels of consumer confidence, driving people to start purchasing products that We Supply different sizes of Filter Sheets and Filter Modules of Major International Brands were previously sacrificed. Our Achievements: Over 2500 installations of our major products manufactured Additionally, other growth drivers include an in- in-house are supplied to all Leading Companies in India & Multinationals abroad creasing awareness of good health, encouraging consumers to switch from carbonated soft drinks and fruit juice to low-calorie alternatives, such as still and flavoured water. Increased demand for convenient ‘on-the-go’ products has also benefit- ted bottled water in small formats. Within the global packaged water market, the pre- mium segment performed well, growing by 6.0% to 10.7 billion litres. With a value of almost US$15 billion, it sees North America and Western Euro- pean regions dominating the global volume.

14 Vol. 11, Issue 01 - June - 2018 AGRO NEWS Agriculture Ministry Awaits India restricts on import of pulses Nod from Russia Members of the World Trade Organization export-related measures, exceptions are allowed The agriculture ministry is in talks with the sanctions on the country for its role in the Ukraine (WTO) including the US, Canada, Aus- under specific circumstances such as to safeguard Russian government to expedite testing crisis. However, no exports happened. tralia, European Union and Japan have the balance of payments, to protect an industry at and clearing of Indian dairy, fish and meat raised concern over India’s quantitative restric- an early stage of development or to prevent sudden processing units for exports, a long-standing de- “Opening of Russian market for Indian dairy sec- tions on import of pulses. increases in imports. mand of Indian food processors who are keen to tor will be a good opportunity for India farmers. tap its market. There is market of over 2 lakh tonnes only for India restricted imports of green gram (moong) India’s decisions in November to raise import du- cheese, which we can tap,” said Parag Milk Foods and black gram (urad) at 300,000 tonnes and that ties on pulses by up to 50 per cent and put stringent “Russia is in the process to approve several pro- chairman Devendra Shah. of pigeon peas (arhar) at 200,000 tonnes in August fumigation requirements have also irked pulse ex- cessing plants for dairy, meat and fish. This will in the wake of domestic harvest and concerns over porting countries. Canada even raised the matter give market access and lead to rise in exports,” In 2016-17, India had exported 78,000 tonnes of the slump in prices of traditional pulses. bilaterally during the visit of Canadian Prime Min- said an agriculture ministry official. dairy products, including casein, cheese, flavour ister Justin Trudeau to India in April. milk and ghee, valued at Rs. 1,500 crore. The sec- The issue came up in a 20 April meeting of the According to the official, in the past one month tor has been growing at 10-12per cent annually, committee on import licensing at the WTO with Canada used to supply pulses of around $1 billion there have been deliberations between the two according to government data. countries alleging that quantitative restrictions by to India every year. India gave less time to Canada countries and various ministries. Officials from India on import of pulses distort global prices and to comply with the new fumigation norms com- food safety, agriculture and trade recently met to Fauzan Alavi, spokesperson for All-India Meat put the future of farmers across many countries in pared to the US and Australia, prompting com- facilitate trade in agriculture and food processing, and Livestock Exporters Association, said Russia peril. India has been the largest producer, as well plaints of discrimination. he said. only wants Indian companies to comply with the as traditionally the largest importer of pulses to animal health requirements as per OIE Terrestri- ensure steady supply of the protein-rich diet to its “We are extremely concerned over India’s increase Indian exporters are looking at new markets to al Animal Health Code, and have foot-and-mouth citizens. in duties by 50 per cent of all imported peas with- expand and Russia has a huge potential, said the disease free notification for two years from the out providing any advance notice. The Prime Min- official. “Marine exports have seen a 25 per cent state. “Indian manufacturing units are very mod- A commerce ministry official speaking under con- ister will undoubtedly be raising it at the first op- growth in the last 3-4 years, with over 1.2 million ern and it will be a huge boost for units in Uttar dition of anonymity said India defended the import portunity he gets,” Canadian agriculture minister tonnes, valued at Rs. 40,000 crore, being exported Pradesh and Telengana if they are allowed to ex- restrictions as they are compliant with WTO rules. Lawrence MacAulay told the House of Commons in 2016-17. We are the largest exporter of shrimps port,” said Alavi. “However, India promised to notify the quota al- in November after India’s decision. to the European Union and the US, and Russia can locations and procedures for 2018 and 2019 soon be the next market,” the official said. According to government data for 2016-17, over for the benefit of other countries,” the official said. A joint statement issued after the meeting between 1.2 million tonnes of bovine meat, valued at Rs. India’s agriculture ministry has projected that pro- Trudeau and Modi in February this year promised In 2015, Russia’s federal inspection agency, Ros- 23,000 crore, was exported. The annual growth in duction of pulses would touch a record 24 million to finalize “mutually acceptable technological pro- selkhoznadzor, had given approval to some dairy export was 8-9 per cent, it said. tonnes in 2017-18, up from 23 million tonnes the tocols” within 2018 to enable the export of Cana- units to export after some Western nations imposed year before. While WTO mandates elimination of dian pulses to India free from pests of quarantine quantitative restrictions covering all import- and importance. Farmers Abandoned Their Crops Mango exporters in South worried by new norms grown on leased land using hired labour. “Due to a bumper harvest in Haryana and other states pric- to import from Thailand and Australia where the es have crashed… we are getting fewer calls from pest is known to be present. But these are allowed buyers from outside the state,” said Ajay Punya, a because of trade agreements, according to Ezhilan. trader at the mandi. APEDA (Agriculture and Processed Food Prod- ucts Export Development Authority) officials said The glut has reached a point where goshalas— the issue can be addressed. shelters for abandoned cows —are flush with so Abumper harvest in Haryana and other much free tomatoes that they are refusing to take South Indian mango exporters, particularly There is no cause for concern among exporters. In states have led to a crash in tomato pric- anymore. “The cows are suffering from loose mo- in Tamil Nadu, are worried about being ex- addition, mango exporters have expressed worry es, fuelling farm distress. tions after eating too many tomatoes,” quipped cluded from Malaysia, a traditional market. over the inadequate treatment facilities in South another trader. It has insisted on irradiation treatment of fruits and India. Apart from irradiation, exporters need treat- The Charkhi Dadri Mandi in Haryana, about restricted the States from which the fruits can be ment facilities such as automatically controlled three hours from Delhi, wore a forlorn look quiet Rakesh Sangwan’s farm is half-an-hour’s ride sourced. hot water baths. and clean except for some tomatoes littering the from the mandi. A week back Sangwan, took a ground, an old man scavenging the good ones, and tough decision: he stopped irrigating his sev- Exporters understand that the irradiation treatment European countries expect mangoes to be dunked some crates of tomatoes left behind by farmers. en-acre tomato field. “Current prices will not pay is to kill mango weevil, an insect pest that lives in 50 degrees centigrade water for one hour to kill for plucking and transport costs… so no point in inside the seed. But their concern is that import the fruit fly that lives in the pulp. Japan insists on It is here that hundreds of farmers staged a protest wasting water, I am letting the crop wither on the permits are limited to mangoes from Maharashtra, water vapour treatment for 30 minutes. a few days ago as wholesale tomato prices crashed field,” said Sangwan, who increased the area un- UP and Gujarat which it considers weevil-free. to as low as less than a rupee a kg. der the vegetable, partly because he had earned a But the irradiation facility, which Australia and the handsome profit last year. According to official statistics, these three States US also insist on, is only available in Bengaluru; A small truck of tomatoes sold for Rs. 6 per crate account for one-third of India’s mango production vapour heat treatment in Tirupati; and the hot wa- of 25 kg—or about 24 paisa per kg. The same eve- Sangwan is not the only farmer reeling under a of about 186 lakh tonnes. ter treatment in Bengaluru and Tirupati for entire ning, tomatoes sold in Delhi’s retail markets be- price crash. Consecutive years of record harvests South India. More such facilities are needed, Ezhi- tween Rs. 15-20 per kg. It takes at least Rs. 4 to of foodgrain, oilseeds and perishable horticulture lan said. grow a kilo of tomato, and between Rs. 5-7 when crops have led to a crash in prices, fuelling distress in India’s farms in a year when several agricultur- Malaysian mango imports is estimated at about In addition, in Tamil Nadu mango farmers are not ally important states such as Karnataka, Madhya Rs. 100 crore annually, about 10,000 tonnes, and aware on the need for registering with APEDA to Pradesh, Chhattisgarh and Rajasthan go to polls. exports from India had been allowed free till 2016. be eligible to supply to exporters. Last year, over But over the last couple of years the challenges 1,200 orchards were registered from the State but Govt. fixes subsidy on seed for have emerged, according to the Tamil Nadu Agro this year just 63. They do not realise that the regis- kharif season Products Exporters Forum. tration has to be renewed, he said. The State government has fixed the amount and Rs. 500 per quintal for more than 10- year- The Forum’s coordinator KaVeEzhilan said that For the current season, the registrations have been of subsidy on various seed to be supplied old paddy varieties of government seed. After government should take up the issue as Malaysia closed. A concerted effort is needed to educate or- to farmers under Central and State schemes subsidy, the sale price of government seed for red- has insisted on irradiation treatment of mangoes chard owners, he said. for the coming kharif season. gram would be Rs. 5,184 per quintal, Rs. 5,460 but continues with limiting imports of fruits to the for greengram, Rs. 5,297.50 for blackgram and Rs. three States which it says are weevil-free. According to APEDA, over 23,000 orchards are In the issued orders, Principal Secretary (Agricul- 4,160 for groundnut. registered across the country for the current sea- ture) C. Parthasarathi said 35 per cent of the sale In an official representation, the Forum had point- son with the highest registrations of over 11,000 price fixed would be given as subsidy on redgram, On private hybrid seed of maize, jowar, bajra, ed out that all other mango producing States have from Karnataka. Andhra Pradesh, Telangana, Kar- greengram, blackgram and groundnut seed devel- castor, sunflower and paddy crops, the subsidy al- been excluded. Exporters from South India had nataka, Tamil Nadu and Maharashtra account for oped by government agencies. lowed is Rs. 3,500 per quintal or one-third of the previously subjected fruit consignments to random nearly half of India’s mango production. base price, whichever is lower, according to the check for the pest by plant quarantine authorities The amount of subsidy is fixed as Rs.1,000 per government order. before shipment. But, in 2016, Malaysian authori- APEDA (Agriculture and Processed Food Prod- quintal for less than 10-year-old paddy varieties ties had detected the pest in three shipments from ucts Export Development Authority) officials said India and all three had been from Maharashtra, the issue can be addressed. There is no cause for according to the Forum. Also, Malaysia continues concern among exporters.

15 Vol. 11, Issue 01 - June - 2018 NEWS Testo presented its Cooking Truefarm foods to go global Oil Tester testo 270 to the Food market with organic food & Safety Vehicle Lab in Gujarat After a success of their organic food prod- growth,” declared Jakhar. The good response from with testo’s cooking oil tester. With FSSAI norms ucts in India, Truefarm Foods is the Indian market for of 25 per cent TPC (Total Polar Compounds) soon looking to venture into the global their organic food is to be implemented from July 1, 2018 onwards, an market. The move is to be initiated in June the reason behind tap- increased awareness and importance of checking ping into the global cooking oil quality is seen in all big & small food 2018. “We have fared very well market for Truefarm entities. Foods. According to a since its inception. A lot study, India’s organic market can grow more of consumers are buy- than 25 percent every year and can even ing our products and the touch $1.36 billion feedback has been really by the year 2020. “People in India understand the importance of organic food slowly. India is capa- good,” Ravi Jakhar, the ble of growing all kinds of organic foods. Farmers should be educated to boost organic cultivation. Re-using of cooking oil for frying causes cer- company’s founder. Organic farming not only protects land and water tain oxidative & thermal reactions due to which resources, but also improves farm incomes,” stat- Testo presented its Cooking Oil Tester tes- changes occur like development of dark colour, “We will also expand to international markets ed Jakhar. to 270 to the Food & Safety Vehicle Lab increase in viscosity and free fatty acid content. starting from this June. Products will be sold that was launched by Mr. Kishore Kanani The resulting compounds are unhealthy to such an through global tie-ups with top online retailers, “We are staying in a country where the air and wa- – Minister of State, Health and Family Welfare, extent that it is essential to monitor the quality of such as Amazon, as well as through physical ter are polluted, but food is something which we Medical Education- Gujarat and Dr. H.G Koshia used cooking oil which in turn affects the quality stores via distribution channels,” said Jakhar. “We can choose and stay healthy. It is very important to – Commissioner – Food & Drugs Control Admin- of fried foods. would be investing $10 million in the next two raise awareness among the consumers regarding istration – Government of Gujarat on 19th May years. Being totally funded by the four founders the importance of organic products,” said Jakhar. 2018 in Surat. There is need to have quantitative limits for rel- of Truefarm, we will gather more investment in evant parameters beyond which a vegetable oil the coming two years, which will be used to for The food testing vehicle along with FDCA officials is not safe for further use. In order to safeguard more production and developing more organic will be visiting various sites and cites across Guja- consumer health, FSSAI has therefore fixed a limit products. Protein Plus Flour, Organic Muesli, Red rat and testing food samples including cooking oil for Total Polar Compounds (TPC) at 25 per cent Kidney Beans and Organic Amaranth are the prod- beyond which the vegetable oil shall not be used. ucts by Truefarm Foods that have seen the fastest 11 Agri Schemes Merged With Over Rs. 33,000 Crore Outlay The government has approved the contin- uation of the agri umbrella programme, ‘Green Revolution — Krishonnati Yoja- na’, with a central outlay of Rs. 33,269 crore till March 31, 2020. The programme, which was launched last year af- ter clubbing 11 schemes for the sector, has now been approved for continuation beyond the 12th Plan ended last March. “The Cabinet Committee on Economic Affairs ap- proved the umbrella scheme “Green Revolution – Krishonnati Yojana — in agriculture sector beyond 12th five-year plan for the period from 2017-18 to 2019-20 with the central share of Rs. 33,269.976 crore. The CCEA approved the scheme as part of its objective to double farmers’ income by 2022, he said, adding that this move would help in better monitoring of all the schemes. All these schemes/missions were appraised and approved independently as separate scheme/ mission. In 2017-18, it has been decided to club all these schemes / missions under one umbrella scheme ‘Green Revolution – Krishonnati Yojana. The 11 merged schemes are: National Food Securi- ty Mission (NFSM), Mission for Integrated Devel- opment of Horticulture (MIDH), National Mission for Sustainable Agriculture (NMSA), Sub-Mission for Agriculture Extension (SMAE), Sub-Mission on Seeds and Planting Material (SMSP), Sub-Mis- sion on Agricultural Mechanisation (SMAM) and Sub-Mission on Plant Protection and Plant Quar- antine (SMPPQ). Integrated Scheme on Agricul- ture Census, Economics and Statistics (ISACES), Integrated Scheme on Agricultural Co-operation (ISAC), Integrated Scheme on Agricultural Mar- keting (ISAM) and National e-Governance Plan (NeGP-A) have also been merged into the umbrel- la scheme.

16 Vol. 11, Issue 01 - June - 2018 BUBBLING NEWS India�s Only Monthly Newspaper for Food, Beverage & Allied Sectors IDENTIFYING OPPORTUN www.agronfoodprocessing.com Vol. 11, Issue 01, June 2018, 20/- Who can forget how our mothers handed us a glass of milk every morning before heading for school. Milk is conceivably one of the healthiest food items of our daily diet. It is enriched with nutrients like calcium, protein, vitamin B2, potassium, iodine, etc. However, some people do not address the benefits of this beverage the way it deserves to be. For this, the Food and Agriculture Organization of WHO marked the 1st of June as World Milk Day. The first time World Milk Day was observed in the year 2001 and started with an aim to reiterate the need and importance of milk in people's daily diet. The primary objectives of World Milk Day are tospread information about the need and importance of milk in a person's life. And to promote and celebrate the contribution and importance of milk and dairy products in various industries, the economy and people's lives. And of course the world Milk Day 2018 theme in India is, \"Drink More Be Strong\". India is the largest producer of milk. While our country celebrates the World Milk Day on June 1 each year, it also celebrates National Milk Day on November 26th. This day marks the birth anniversary of Varghese Kurien, the Father of White Revolution in India. Talking of milk, dairy co-operative Amul is aiming to grow at 20 per cent this financial year, to touch a group turnover of close to Rs. 50,000 crore, on the back of growing consumer portfolio, premiumization and rising demand. Amul registered only 8 per cent increase in turnover to Rs. 29,220 crore in financial year 2017-2018, owing to a decline in commodity prices. But as the consumer product portfolio has been growing at nearly 15 per cent on a volume basis, it has helped the performance of the Amul's branded products, despite lower commodity prices. A very positive step taken by the food processing ministry is that it will collaborate with multiple international laboratories testing various food products so that the food products approved by laboratories at National Institute of Food Entrepreneurship and Management (NIFTEM) get worldwide acceptability. Three main facilities that have been developed Over a billion people drank close to 6.2 billion litres of soft drinks last year in In- here; Pilot plant for ready to eat food, Pilot plants for milk and dairy products and pilot dia. Now, while this may seem like a sig- growth in rural areas in recent years, which have nificant number, it pales in comparison to some received only a tepid response, as rural consump- plant for fruit and vegetable processing. of the other markets. In fact, the amount of soft tion levels still stand at two-third of that of con- drinks consumed here is just 1/20th of that of the sumption in urban areas. The laboratory at NIFTEM Centre for Food Research and Analysis would not only serve as US. With a volume growth of five per cent CAGR over the last couple of years, the category is still Where the industry stands today a Centre for certification of food products but would also serve as a centre for undertaking to catch up with the pace of other popular FMCG The challenge for this industry therefore, is to segments. This issue of featured insights takes a restore its pace of volume growth by increasing research and innovation for solving the problems of the food industry and the other stake look at the avenues of growth for soft drinks in the per capita consumption of soft drinks in India, India and how the seasonal tag can be shaken off. catch up with international consumption levels of holders of the food sector. The Center would work in unison with the regulators and the soft drinks and perform at par with other FMCG Even though traditional and homemade drinks categories in India, like salty snacks, chocolates policy makers for providing them all support for developing standard test protocols for will always remain popular, packaged beverages and biscuits. are gaining traction with Indian consumers who various parameters of quality essential for domestic and international market and would are now frequently reaching for their more conve- When it comes to quenching their thirst, con- nient-to-consume counterparts soft drinks. While sumers typically choose between soft drinks and serve as the National Reference facility in the years to come. consumption is on the rise, soft drink manufac- packaged drinking water. When we look at the turers have some distance to go before they fully numbers, there are 2X more players in packaged Food safety is undoubtedly the most important part of food processing and its watch capitalise on the opportunity. water than in soft drinks. The retail water segment, therefore, is far more fragmented, as the top two dog FSSAI has now become quite vigilant in implementing newer policies and law in its Over the past two years, the soft drink industry players contribute only 35 per cent of the volume. has seen a value growth of 11 per cent compound Comparatively, the top two soft drink players con- accordance. The general idea is to make bring safe food and standardize the Indian food annual growth rate (CAGR) and a volume growth tribute 80 per cent of the volume in their category. of 5per cent CAGR. In total, 1.25 billion people industry to international levels. in the country drink 5.9 billion litres of soft drinks The other trend working in favour of soft drinks in a year. This makes India’s per capita soft drinks is the relatively lackluster appetite for packaged In its latest FSSAI has decided to bring down the trans-fatty acids (TFA) in vanaspati/ consumption large, but just 1/20thof that of the drinking water. In fact, the relative growth num- U.S., 1/10thof Kuwait, 1/8thof Thai- l a n d bakery shortenings/margarine to less than 2 per cent in a phased manner, which would and Philippines, and one-third of Ma- bers aren’t encouraging for wa- laysia’s. ter, indicating that consumers effectively bring the level of trans-fats to zero level in food in India. Since the industry has would rather choose Driving up per capita consump- soft drinks over branded agreed on the issue, the regulator said it will soon notify a draft regulation and release the tion of soft drinks in India, calls for decisive action packaged drinking water. Among all final one in the next 3-4 months. by the industry to catch beverages, we see that carbonated up with the growth rate soft drinks (CSD) are firmly in Many countries around the world, such as Denmark, Chile, Norway, Singapore, South Africa of other fast mov- the lead, followed by ing consumer non-carbonated and Equador already limit trans-fat in all foods to 2 per cent, while a few other countries goods (FMCG) mango-flavoured including the drinks. such as Austria, Hungary and Latvia limit it to 2 per cent level with some exceptions. food basket, which currently Some segments within soft Research has shown that higher intakes of trans-fatty acids are associated with increased outpace soft drinks drinks have seen value growth (Food CAGR is 9per on the back of price increases, risk of high cholesterol and heart diseases. But trans-fatty acids can be easily eliminated cent). Over years, the soft drinks cate- but consumption trends by adopting newer technologies which allow use of healthier oils in place of partially gory has also been have definitely shifted affected by issues re- over the last three years hydrogenated vegetable oils at negligible costs. lated to health concerns with growing preference and pressure from govern- for health-based drinks in- Recently, the UN body World Health Organisation (WHO) has given a call to eliminate ment policies. However, there cluding dairy products. have been sporadic efforts to drive industrially-produced trans-fats from the food supply by 2023 and has released an action Dealmaking in the Soft Drink Market package 'REPLACE' for the same. The non-alcoholic beverage space in India has witnessed strong investor interest in the past Indian aquaculture sector is sensing alarming condition, the plunge in the average exports and will continue to do so in the future. Typically, realisations for shrimps is hitting the bottom-line of the stakeholders across the supply chain associated with the USD five billion Indian seafood export market. The export prices of shrimps, the key contributor to the country's seafood basket, have plunged by more than 20 per cent in past few months, due to increased supply from competing nations Vietnam, Thailand, Ecuador. But the exporters are stating that there has been a sharp drop of two dollar per kg in prices of key verities compared to last year which is over 30 per cent. While the shrimp farmers, mainly in Andhra Pradesh, are forced to go for one crop against the normal practice of doing three crops annually spelling havoc for them, the feed suppliers will also experience the wrath of reduction in the crops. Hatchery owners are also likely to feel the hit. In fact the export rates for Indian shrimps have dived by more than 20 per cent compared to last fiscal. Upliftment and promotion of the food processing sector is very important to provide pure food to consumers, create employment opportunities for people and provide fair price to farmers for their produce. The government is working towards linking its objective of doubling farmers' income with the need to promote food processing industry and providing consumers with easy access to quality food.India got investments worth over Rs. 31,000 crore in the 'World Food India,' held in November last year. We need to make great use of these investments to create food security in India, which is the need of the hour. The government is definitely taking positive steps but more work is required in this sector. Hopefully the government, industry and consumers synchronize their undertakings to build a strong Indian food Industry.

17 Vol. 11, Issue 01 - June - 2018 BUBBLING NEWS ITIES FOR THE GROWTH OF SOFT DRINKS IN INDIA • Making the category season-neutral fro- zen snacks, have been per capita consumption, but the potential to • Focus on execution grow even further in the Indian retail space Continuous and aggressive focus on innova- trying to overcome is tremendous. Just like other established tions FMCG categories including biscuits, refined Global New Product Innovation Survey in 2017 the chal- oils and washing powder, soft drinks too can found that 68 per cent of consumers say they like possibly become a product of daily consump- it when manufacturers introduce new products, lenge of sea- tion. and 57 per cent say they purchased a new product during their last shopping trip. Despite that, anoth- sonal demand Expansion in the soft drinks cat- er study on innovation trends in India found that egory has to be matched with a the FMCG sector has a low focus on innovation in for years by cre- corresponding growth in support tough economic situations. Interestingly, the soft infrastructure, like visi-coolers drink industry has shown a contrary appetite for ating campaigns and other refrigeration equipment risk by investing in new launches in recent years— which can operate without elec- even during the difficult times of 2013. However, and communication to tricity, especially in rural areas. soft drink brands pulled back in 2014, when new these transactions have been dominated by compa- launches dropped by 14 per cent. drive consumption occasions that are not tied to Key players have been regularly nies that have launched new and innovative prod- seasons. The soft drink category can take a cue investing to bring in growth by in- ucts suited to evolving the tastes and preferences Genuine innovations, as distinguished from ‘me- from chocolate manufacturers, who managed to creasing the number of stores stocking soft drinks. of consumers. too’ drinks, have paid off for the soft drink indus- increase consumption over the years by broad- This, coupled with an increase in cooling infra- try, and may be a significant driver of consumption ening its base from children to people across age structure, will have a positive impact on visibility The soft drink market continues to attract high for the future as well. groups. There’s also opportunity around events. and in-store execution for the players and hence interest from private equity (PE) and venture Recent value off take trends in the soft drink cate- on increasing the volume consumption growth of capital (VC) investors. Innovation in pack size:The existing 600 ml pack, gory indicates that it is possible to leverage festive the soft drink category. popularly known as “On the Go or mobile pack,” occasions across the year to drive consumption. The new beverage companies have been able to was split into two sizes of 400 ml and 750 ml by Occasions like Raksha bandhan in the North, Ga- Research shows that effective store visibility has demonstrate strong traction from consumers and top players. This made it possible to aim for a gain nesh utsavin the West, Durga Pujain the East and the potential to generate incremental sales of any- hence, their popularity continues to rise. A com- of an additional 61 million unit cases in offtake other parts, and Holi, Christmas and New Year thing between 1.2 and 1.4 times. Cognisant of this mon theme that runs through most of the new start- sales and get double-digit volume growth for this across the country have proved to be ideal occa- potential there has been an increase of 13per cent ups is around healthy beverages with no preser- specific pack size. sions for soft drink brands to try and push sales. in coolers provided by manufacturers, and an even vatives. Consumers are increasingly realising the larger 38 per cent increase in retailers’ own cool- perils of sugary drinks and have started looking for Pack innovations led to volume growth in the A study across the festive months from August ers, refrigerators and deep freezers. alternatives.Companies that are able to serve these soft drink category to November, particularly across Northern India, consumers at favourable price points will continue This innovation is making an impact by creating shows better growth for the category during this With the ever present challenge of cost to man- to grow. Large players such as Coca Cola and Pep- more consumption opportunities, as it has translat- time. These festive months generate almost 30per ufacturers versus cost to consumers, innovative siCo have realised these evolving trends and are ed into 8.7 lakhs of additional servings. It is now cent of the annual volume and 5.3 times the vol- cooling equipment with smaller sizes and low adapting to the changes. For example, Coca Cola easier for people to consume 400 ml as a single ume CAGR as against sales of the rest of the year electricity consumption has been increasing their invested 90 million USD in a cold-pressed juice drink, while the 750 ml makes three glasses of including the peak summer months. presence in geographies with poor infrastructure company called Suja Juice in the US. Given this approximately 250 ml each. Neither of these op- like smaller towns and rural areas to ensure that landscape, it is expected that strategic players will tions was possible with the original pack of 600 Festive Cheer the trials and per capita consumption sees some continually look for acquisitions in the healthy ml. These innovative pack sizes also provide a The carbonated drink segment is the primary boost in the days to come. beverage space. spectrum of price points for consumers to choose driver of the spurt in sales during festive seasons from as lower price points like Rs.10 are difficult because of sustained communication campaigns As one of the key growth drivers, new regional The Three Growth Drivers for the Soft Drink to sustain for manufacturers with increase in cost aimed at consumers. The category has bucked the players in the soft drinks category are likely to Segment pressures for the soft drink industry. trend of slow growth during the winter months in bring both investment as well as variety to the in- Small evolving segments like dairy may not be north and parts of the east to show growth, demon- dustry. sufficient to either drive the per capita consump- Innovation in flavour strating the possibility that brands and retailers can tion or bring in the desired growth for this cate- With more and more Indians open to the idea of drive growth through communication and store Though the category is dominated by two na- gory. The first challenge that this category faces is trying out newer and different flavours, it is a visibility. Smaller segments, like fruit, vegetable tional players, regional players are steadily gain- to outpace other impulse consumption and tradi- good time for beverage companies to launch new and energy drinks, are also trying to ride the wave ing ground in pockets. Large markets like Tamil tional options available and clock high single-digit variants. Currently, apple, orange and mixed fruit of growth during festive events. Surprisingly, the Nadu, Uttar Pradesh, Delhi and Madhya Pradesh growth in volume. Moreover, the category is de- flavours account for 55 per cent of the non-carbon- juices segment, which has always been positioned have seen the emergence of regional brands that pendent on soaring summer temperatures across ated market, with brands like Tropicana (PepsiCo) on a year-long health and wellness platform, has have grown the pie as far as both consumption as the country, and a delayed onset of rain and winter and Real (Dabur) dominating the segment. But the not been able to take advantage of festive months. well as retail presence is concerned. can affect demand. other half of non-carbonated soft drinks, compris- Marketers trying to stay ahead of the curve should ing flavours like guava, pomegranate and litchi, spread their marketing efforts across segments of Conclusion Strategies that give growth impetus to India’s soft has contributed 38per cent incremental volume soft drinks instead of concentrating on just the The Food basket within FMCG is seeing some drink category over the last three years, thereby driving sustain- leading segments like carbonated drinks. stress to attract consumers to keep consumption • Continuous and aggressive focus on innovations able growth for the category. Other non-carbon- growths alive. This task becomes all the more ated brands like Tata Gluco+ and Paper Boat are Focus on Execution challenging for categories that are not able to con- successfully innovating with flavours. In the current scenario of tight wallets across or- sistently connect and resonate with changing con- ganisations and evaluation of every rupee spent, sumer needs. Currently apple, orange and mixed fruit flavours execution of the strategies remains the priority. account for more than 50per cent of the non-car- Execution on the retail store is two-fold - increas- Going forward, soft drink manufacturers would bonated segment beyond mango and dairy based ing distribution and in-store execution. With the need to products, with brands like Tropicana and Real consumer becoming smarter and picking up cues • Keep consumers satiated with innovations - on dominating the segment. But the other half about a product from all the available sources and the go pack. which comprises flavours like guava,pomegran- getting influenced by the clutter of information, • Leverage the potential of off-season or non-fes- ate and litchi, have contributed 38per cent incre- in-store execution becomes one of the key factors tive months - create occasions for consumption. mental volume over the last three years. behind the final purchase. And this applies more to • Continue to focus on execution - support small- categories that have a larger impulse consumption er stores with infrastructure to drive visibility and Making the category season-neutral component. Soft drinks top the charts in terms of chilled soft drinks to maximise growth. Brands in the soft drink category, alongside oth- ers categories like chocolate, Chyawanprash and

18 Vol. 11, Issue 01 - June - 2018 DAIRY NEWS After cows, MP to give unique IDs to 2.77 crore cattle in state While the apex court is still debating on so far since then. The decision to have unique IDs also be ascertained. In case of stray animals dam- the privacy issue about making Aadhaar for all cattle has come after public representatives aging crops, it would be easy to shift them away. mandatory, the Madhya Pradesh gov- from the Bundelkhand region of the state gunned Cattle spoiling the fields are a major problem in ernment has gone a step forward and has decided for it. Baghelkhand and Bundelkhand regions of Mad- to have unique IDs for it 2.77 crore cattle popu- hya Pradesh. lation. They said they receive several complaints of cattle damaging standing crops and when villagers seek Priyakant Pathak, additional deputy director of It comes after the decision of tagging or making compensation, the owner of the stray cattle discard animal husbandry directorate, said 90 lakh cat- unique IDs of 90 lakh breedable cattle population them. Now, with unique IDs, the owners cannot tle would be tagged with assistance from Centre, was undertaken in the state in September last. Six disown the cattle. The cattle can be tracked on the while the cost of tagging remaining 1.87 crore cat- lakh breed-able cattle population has been tagged click of a mouse and its details of ownership can tle would be met by the state government. Tagging costs Rs. 10 per cattle, he added. No compromise. ment, health monitoring and production, said of- Cows in Madhya Pradesh are a privileged lot — ficials. Also, a buyer can check the cattle’s history On Quality, they are first to get Aadhaar cards… tags to be pre- and it will help track missing cattle. Besides, the Trust & Value. cise. Official said the aim is to finish the tagging animals straying from other states with contagious of entire 2.77 crore cattle of state within a year. disease can be tracked. Making speciality oils & fats calls for not just use of highly e cient Tagged in the ear, the yellow Aadhar chip have the processing but a ne understanding of consumer tastes too. At cattle’s date of birth, address, milk yield, repro- The cattle Aadhaar will also help keep a check on Bunge, we take into consideration oil chemistry, application duction and health details. And is available at the slaughter and illegal transportation,” said an offi- parameters and the tropical nature of the country to deliver click of a mouse. cial. The National Dairy Development Board in clients just the kind of oils & fats you desire - anywhere, all the Gujarat is the nodal agency for Aadhaar tagging of time. Like Aadhaar, the UID number given to a cattle cattle in the country. will not be repeated anywhere in the country, so The Bunge package includes: that even if it is transported from one place to an- The state government has trained over 3,600 • Partnering with clients to develop customised products that meet their specific needs other, its record will remain intact and can be up- workers for the task. Armed with ‘tablets’, they • Delivering products that conform to stringent norms of quality and reliability dated from time to time. Dedicated software has will go to every village, block, tehsil and district to • Ensuring consistency in product characteristics and texture in every batch been developed to host details of cattle, which can locate cows and punch unique identification num- • Providing value-added logistics support through creative planning and execution be accessed from anywhere in the country. Aad- ber on their ears, after filling a form comprising • Maintaining client confidentiality and trust at every stage of business operations haar cards of cattle will help in breed improve- complete details of the bovine and uploading it on the software. Get in touch with us. Let us partner for quality innovations and solutions. Branded & Non-Branded Milk BUNGE INDIA PRIVATE LIMITED Samples deemed Sub-Standard #1 Victor Mansion, 1st Floor, Airport Road, Kodihalli, Bangalore 560 008 Phone: (080) 4115 1120, 24, Fax: (080) 41265075. www.masterlineonline.com Following a series of tests conducted by the Pune: No. 23, 3rd Floor, Kedar Empire, Paud Phata, Nr. Dasabuja Ganapati Mandir, Kothrud, Pune - 411 038. Tel: 020 4120 4069; Delhi Government recently on branded and Delhi: First Floor, NH-2, C-Block, Community Centre, Naraina Vihar, New Delhi - 110 028. Tel: 011 4587 0740; Kolkata: Block C, unbranded milk samples, Health Minister First Floor, Gooptu Court, No.7-A, Middleton Street, Kolkata - 700 071. Tel: 033 2289 1100; Mumbai: 601-C & 601-D, 6th Floor, Satyendra Jain has revealed that 21 samples were The Capital, C-70, G Block, Bandra Kurla Complex, Bandra (East), Mumbai, Maharashtra - 400051. Telephone No: 022 66819500. found to be “sub-standard”. 19 x 15 cm The test was conducted on a batch of 177 samples mixed,” Jain said, adding that the test drive would collected from across the city between April 13 continue and extend to milk products like ‘paneer’ and 28. Of the 165 samples whose results have ar- and ‘khoya’. rived, 21 were found to be sub-standard, the Min- ister said. However, the minister added, “sub-stan- dard” does not translate to unhealthy; it just means that these samples lack the prescribed levels of components like fat among others. “Sub-standard means that if the fat content had Responding to the test results, Mother Dairy said to be 5 per cent, it was found to have only 3 per that it had not yet received the reports. The dairy cent. In simple terms, water was mixed. In most giant added that each batch of its milk underwent of the 21 samples which failed, milk powder was stringent quality tests at four levels to ensure that safe and quality milk became available for con- sumption. NOW PACK UPTO Introducing TPI 912 Duplex system - “We have recently received Quality Mark certifi- 180 BAGS/MIN your 3-in-one solution to filling, cation for all our poly pack milk variants sold in bagging and packaging. Delhi NCR to ensure our consumers 100 per cent conformance to the prescribed norms,” Mother Equipped with 2 baggers, it enhances your packaging Dairy said in a statement. speed significantly, reducing costs and saving time. To ensure that the Capital consumes the healthiest • Made with Robust steel foods, 18 food inspectors have joined the Delhi • Tri motion controllers government recently. This comes shortly after the • Servo drive jaw actuation respective department was falling short of almost • Vacuum pull belts 200 food inspectors. This deployment has helped • Quick film splice table up the sampling process extensively. Jain revealed • Jaw obstruction detector that he had given orders to do testing in private • 120 - 180 bags/min labs also so that the process would not face any obstacle. Extremely cost Enjoy quality Involves low Comes with effective assurance maintenance service guarantee End result, what will become of all the 21 de- faulters? According to AAP minister, all the cas- For enquiries, call +91 9911103573 es would be forwarded to the court and will take or visit http://vspackit.com/global_site/duplex/ strict action against defaulters. Adding that a pen- alty ranging from INR 5,000 to INR 5 lakh would Plot 41 G DLF Industrial Area Phase 1, Faridabad 121003 IN be imposed. Moreover, any form of “unsafe food T: +91 129 2259169 would not be allowed in Delhi”, Jain added. E: [email protected] W: http://www.vspackit.com “If any food products are found unsafe, there are provisions to award imprisonment of six months to three years,” he added.

19 Vol. 11, Issue 01 - June - 2018 TRADE NEWS Traders oppose Walmart-Flipkart IIFL acquires stake in Bikaji deal, industry gives thumbs up Foods International field. Expressing contrasting view, Alternative investment fund, IIFL Special country. Bikaji, with its strong leadership, well di- Assocham Secretary General D. S. Opportunities Fund, has acquired a mi- versified product portfolio, strong brand and grow- Rawat said the industry body saw the nority stake in Bikaji Foods International ing pan-India presence, is strongly positioned to “Walmart-Flipkart (deal) as a salute for Rs. 251 crore. The investment also marks part capture this growth. IIFL Special Opportunities to the success of an Indian Start-Up exit of existing investors Lighthouse Funds and In- Fund was launched in 2017 and has invested in that pioneered the fledgling online re- tensive Softshare from Bikaji Foods. companies including Reliance Nippon AMC, ICI- tailing in a country where bulk of the CI Lombard, National Stock Exchange and NSDL trade is in the unorganised sector.” Organised snacks market is expected to clock a e-Governance among others. In FY18, Bikaji 15 per cent CAGR whereas organised namkeen Food’s revenue stood at Rs. 800 crore. market is set to witness 19 per cent CAGR in the “Isn’t it so great that a start up goes Walmart‘s acquisition of homegrown on- on to fetch an enterprise valuation COLDRUSH Logistics awarded line retailer Flipkart for USD 16 billion of about USD 21 billion, making faced opposition from traders and an the Walmart equity infusion as the largest ever the 1920s, it was a normal part of how locals RSS affiliate, though industry body Assocham said FDI into India,” Rawat said in a statement. When across the globe got the food they eat each it was a ‘salute’ to the success of Indian start-ups. reached out for his comments, Biyanisaid , “I think day starting with its roots in the Americas. While industry leader Kiran Mazumdar-Shaw saw nothing changes, only the ownership has changed. the deal as a “huge endorsement for India’s first The model is still the same. It’s just an event. It Double The Celebration We are Summer Ready! e-tailing” company, Future Group CEO Kishore is the change of hands from one foreign investor Coldrush Logistics strives to offer total As the burning hot summer months of April Biyani termed it as “just an event of change of to other foreign investor; from a financial investor client satisfaction and top class services in & May, the Indian subcontinent gets en- ownership” and everything else in the market re- to a strategic investor.” Welcoming the deal, Bio- all that they do. The testimony to that is the re- gulfed in soaring high temperatures. Some- mained the same. con Chairperson Shaw tweeted that the deal was a cent winning of two of the most coveted awards times they go up to as much as 50 Degrees “huge endorsement” for India’s first e-tailing com- in the cold chain and warehousing industry. The Celsius in some regions and in such severe The Confederation of All India Traders (CAIT) pany and e-commerce is a capital intensive busi- company was awarded: Best Cold Chain Transfor- conditions, it is highly important that food said the deal is nothing but a clear attempt to ness that needs deep pockets, which Walmart has. mation Of The Year by the Tata Strategic Manage- & beverage commodities and goods stored control and dominate the retail trade in India by ShopClues Co-founder & CEO Sanjay Sethi said, ment Group in February & the Mahindra Trans- at the warehouse are transported meticulously and Walmart through e-commerce in the long run. “This is a great endorsement of the large opportu- port Excellence Award as the Dream Chaser. Not are delivered to the end destination with complete RSS-affiliate Swadeshi Jagran Manch (SJM) al- nity that Indian market presents as well as the met- only were these awards showcased on prime time care and perfection. Here are some safety mea- leged that Walmart was “circumventing” rules for tle of the Indian entrepreneur.” Thit also proves television across the globe but also gives the team sures undertaken by Coldrush Logistics to ensure a “back-door entry” into India and sought Prime that there is a lot of money to be made in the Indian and the management of the company a boost to set the same: Minister Narendra Modi‘s intervention to safe- startup ecosystem, he said, adding “Flipkart team higher goals and achieve greater milestones. • Customized temperature control for industry spe- guard “national interest”. This will further elim- has done an awesome job in bringing the world’s cific goods as required inate small and medium businesses, small shops, largest retailer to India”. With this ethos in mind, Coldrush truly hopes to • Independent chambers dividing products & con- and opportunity to create more jobs. Most of these outdo themselves each time and thank all their es- signments small entrepreneurs are already battling for their Indo-American Chamber of Commerce (IACC) teemed clients to have had faith in the conglom- • Computerized storage management system from existence; entry of Walmart will further create said the deal brings together synergies from both erate. arrival to dispatch, ensuring efficient handling problems for them,” the SJM said in a letter to the the parties, global experience and best practices of • Total hygiene & cleanliness assurance prime minister. the retail giant. IACC Senior Vice President Lalit Did You Know? • Smartly designed warehouse & delivery systems Bhasin said. “It (the deal) reaffirms the economic Chilled Transportation sport started with fish in to avoid penetration of insects, dust or contami- The Retailers Association of India asked the gov- stability as well as growth prospects of India, and the late 1700s.Frederic Tudor of Boston in USA nates ernment to take strong steps to ensure adherence also highlights the strengthening bilateral com- is said to have popularized the ice trade. By the • Palette storage to encourage efficiency & avoid to the FDI policy. “We believe that some e-com- mercial ties between India and the US,” Bhasin time railroads were being used in the mid-1800s, product damage merce companies in India have not been adhering said. PHD Chamber of Commerce and Industry meat was being transported in ships in ice-storage • Customized storage options available to the guidelines issued under the Press Note 3 said the deal will open new chapters in the world cargo units. Early 1900’s mechanical refrigeration • Preset desired temperature control & timing of the FDI Policy for marketplaces. These com- of e-commerce and the growth of the sector ex- technology, however, was the real turning point in • Drivers provided with lemon and adequate drink- panies have been directly or indirectly participat- pected to increase. Walmart Inc said it would ac- creating a temperature controlled cold chain. By ing water for hydration ing in pricing and discounting, which is against quire 77 per cent stake in Flipkart for about USD • Investment is the latest GPS technology to track the policy that seeks to create a level playing 16 billion in its biggest acquisition till date. The mobile vehicles when on the road deal values the 11-year old Indian e-commerce • Easy product traceability at every stage firm at USD 20.8 billion. • Timely checks for vehicles to avoid over heating for tyres& motor mechanism Import of inferior cashew has • Disaster management guide to drivers ensuring to be stopped complete safety of the consignment • Efficient & easy administration the government to impose a complete ban or impo- sition of 100 per cent duty with increased MIP as Indian railways food in a new menu well as inclusion of cashew husk imports under the The domestic cashew industry had wind- negative list. The import duty on raw cashew nuts After receiving condemnation from the istry official said. The report further says that this swept Vietnamese competition in 2014 -15 should be brought back to zero per cent as earlier food auditors and the passengers for might reduce the losses faced by IRCTC as they on its own strength. But resultant to the to help small non-exporting units. Such gestures quite some time, Indian Railways has have been selling a full plate meal costing more ASEAN agreement, low quality broken kernels should be continued till self-sufficiency is attained chosen to reduce the quantity of food served under than Rs.150 at a rate of Rs.112. are finding their way into the domestic market, in domestic production. Suggesting mechanisation their catering and increase the quality according to broken kernels are mixed in husk and smuggled in, and automation as a long-term solution, the Coun- a report. This change will first be seen in the pre- The proposal by IRCTC has also looked at re- and HS Code of Raw Cashew is used to import at cil pointed out that this was the reason Vietnam mium trains like Rajdhani and Shatabdi wherein ducing the quantity of dal from 150 grams to 100 low duty by traders.Imports during April-Decem- was able to procure raw cashew nuts at high price. 150 grams of food quantity will be reduced. grams and also to provide passengers with a 120 ber 2017 were over five lakh tonnes (lt) valued at grams of boneless chicken gravy by replacing the Rs. 7,325 crore. The mechanized units process 80 kg cashew for The report says that the Indian Railway Catering chicken pieces and addition of dry vegetables. Rs. 1,300-1,500 while manual units do it at Rs. and Tourism Corporation (IRCTC) has drawn up Because of this Import of inferior cashew kernels 3,000-4,000. The government should promote a proposal that might do away with some of the “IRCTC has sent its proposal to the Railway from Vietnam have to be stopped and policy loop- mechanisation by extending soft loans that will mealtime favourites. Like for instance, the com- Board, the top decision-making body of the Indian holes plugged to protect the ailing domestic ca- help in scaling up production and open more job bo of soup, butter and breadsticks might be taken Railways. Once approved, the new services will shew industry. These issues have been highlighted opportunities. off the menu. Also, there might be rice combos be first introduced in 27 Rajdhani and Shatabdi in the revival package sought by the Cashew Ex- instead of a complete meal that came with a vege- trains,” said the official. port Promotion Council of India (CEPCI) to the Cashew plantations have to be promoted across table/chicken, pickle, salad, roti, rice and dal. Centre for the resurgence of the crisis-ridden in- the country to reach self-sufficiency in raw materi- The report also adds that this is not the only change dustry. CEPCI, as a short-term measure, has urged al. The raw cashew production in India is 700,000 This change has come after a panel of catering ex- in the IRCTC meals as they are also looking at lakh tonnes against the requirement of 1.6 lakh perts had suggested IRCTC that their food trays are meal packaging. The proposal hence adds that dis- tonnes inviting an import of 900,000 tonnes. CEP- overloaded. They also said that it has 900 grams of posable plates by provided to passengers instead CI cited this as the main reason for the present cri- food whereas a normal Indian diet contains of only of using plastic trays. “It will help us maintain the sis of the industry. The revival package also em- 750 grams. “These measures would ensure that the hygiene standards,” the official added. phasised the need for a special economic package quality of food is maintained,” a senior rail min- and reinstating the five per cent export incentives to bring in additional operational capital.

20 Vol. 11, Issue 01 - June - 2018 AGRO NEWS Seminar on Pradhan Mantri Climatic situation in West Asia Kisan Sampada Yojana affects mango pulp In a row to provide information on the key N.P Mohapatra explained the efforts made Mixed crop outlook in the domestic pro- nagiri Fruit Processors Association, says features of the “PradhanMantriKisanSampa- by various cooperatives and self help groups duction centres and erratically political in Tamil Nadu the season is expected to da Yojana” to the industry representatives, in the field of food processing in the state. climate in major markets in West Asia start by June with arrivals of Thothapuri entrepreneurs and beneficiaries, self-help groups He gave example of strawberry of Jashpur, are troubling the mango pulp units in Tamil Nadu variety of mangoes. etc, A one-day seminar on “Pradhan Mantri Kisan cashew nuts of Korba and Raigarh district and Andhra Pradesh ahead of the coming process- Sampada Yojana” was jointly organized by PHD and Custurd apple from Kanker, Mohapatra ing season. Crop outlook is not a major concern af- Chamber of Commerce and Industry (PHDCCI) informed that in the Rajnandgaon district ter last year’s drought-hit low. The units and Union Ministry of Food Processing Industries the production of Zimikand is being made Krishnagiri and Chittoor, the neighboring districts, in this hub are likely to process about (MOFPI). in huge quantities, which has huge demands in the two States together account for 8-10 lakh 2-2.5 lakh tonnes of fruits to produce abroad. tonnes of mango pulp production during a good about 75,000-1 lakh tonnes of pulp. This The Chairman of the Agriculture Committee, PHD season accounting for the bulk of the domestic will add to the carryover stocks of about Chamber of Commerce and Industry, New Delhi, Sunil Mishra, Managing Director, CSIDC output. 15,000 tonnes of pulp available from the V.K. Mishra in his welcome address explained in said that the government, with the comple- last season. This is a rough estimate as processors detail about the efforts being made by the Cham- tion of the 14th Finance Commission cycle, for This year is a different story; out- do not give out such information, he said. ber for making the necessary publicity for the im- the year 2016-20 till the allocation of Rs. 6,000 put could be down by more than plementation of the “PradhanMantriKisanSampa- crores, a new central sector scheme – Prime Min- half in Krishnagiri because of the Primarily, their main markets in West Asia are da Yojana”. ister Farmer Asset Scheme (Agro-Marine Process- fluid marketing situation in West strife-torn and sales have been impacted. Units ing and Agriculture – Processing Cluster Develop- Asia. will now have to look more to domestic fruit juice He also said that programs like Form to Fork and ment Scheme) has been approved. makers to sell their pulp. Last year export prices Agri Harti Tech are being held annually by the For the same reason Chittoor had started at about $750 a tonne and dropped to Chamber, where farmers get more and more infor- The implementation of this scheme will be done could also be affected and in ad- about $575. mation related to new technologies and buyers. He by Ministry of Food Processing Industries. Mega dition the crop outlook is uncer- said that this scheme is a new and excellent ver- Food Park is being constructed by the state gov- tain. Unseasonal rains earlier this Normally, the processors sell three-fourth of the sion of all the schemes made by the Government ernment for which big companies like Patanjali year hit mango orchards during mango pulp in export markets for the benefit of the farmers. While addressing will set up project in the state. the flowering season say pro- and the balance in domestic. the seminar, Chief General Manager, NABARD, cessors there. D. Mathiazhagan, But now they hope to sell at Dr. Kamalpreet Singh, Secretary, Department of President, Dharmapuri and Krish- least half the output in the do- Commerce and Industry, while addressing the mestic market, he said. seminar, said that the food processing industry is a unique industry by itself. They expect to produce up to 3 lakh tonnes of pulp this On the occasion Ashok Kumar, Joint Secretary, season though things will be Government of India, Ministry of Food Processing clearer later this month as the Industries, said that in the field of food processing processing units will start in in India, there is a possibility of a great increase June. In a good season the in foreign investment from all over the world and output can go up to 5 lakh large potentials are emerging in the areas of food tonnes. Fruit arrivals have production. been delayed this time around due to unseasonal rains.

21 Vol. 11, Issue 01 - June - 2018 PACKAGING NEWS HP and Coca-Cola brings Arla-Sig introduces plant-based ‘Share a Coke’ campaign to India. renewable packaging significant investment. Bringing India’s first HP Arange of packaging has been launched in Scandinavia, the home Indigo 20000 should be seen as Huhtamaki’s step- developed in Germany by Sig- of Arla, Tetra Pak’s drink packaging ping stone into digital printing. And this invest- nature Carton and adopted by is constructed solely from Forest ment into digital comes with a much bigger com- a food manufacturer- Arla in the country Stewardship Council (FSC)-cer- mitment and confidence.’ that offers major environment-friend- tified paperboard and controlled ly over fossil fuel-based alternatives: a sources, with all its ingredients fully Coke cans and bottles are available with 20 Explaining the complexities on the ‘Share a Coke’ carton pack that is 100 per cent linked to traceable to its plant origin. special relationships printed on them, in- label printing job, Chhajed commented: ‘The plant-based renewable materials. cluding Bae, Bro, Dude, BFF, Dad, Mom variable data printing for the job comprised of 32 Commenting on the latest work Sig and Daughter, amongst others. Labels have been relationships, 12 different languages, and five de- Arla, has begun to use the Signature has done with Arla, the Europe pres- created in 12 languages, which are English, Hin- scriptors to each relationship, which summed up Pack cartons for its latest range of or- ident at Sig, Martin Herrenbrueck, di, Tamil, Telugu, Kannada, Bengali, Malayalam, to 3,000 artworks getting printed simultaneously.’ ganic dairy products, part of a commit- said: “With Arla we have found a Oriya, Assamese, Gujarati, Punjabi and Marathi. ‘Share a Coke’ campaigns have run in multiple re- ment from the company to lessen its im- partner who shares our vision of gions around the world, notably in Australia, the pact on the environment. The Signature creating a more sustainable future Each relationship is accompanied by a description, US and across Europe. cartons are made from 77 per cent paper board and by doing more for the environment and reducing such as Grandad (Old School. Yet Cool), Grand- 23 per cent plant-based polymers through mass the consumption of fossil resources,” who added ma (Scolds me. Spoils me), Daddy (My teacher. A. Appadurai, country manager, HP Indigo Graph- balancing, a process that means an equivalent that by choosing it, Arla was getting the full bene- My friend), Mom (Above the rest.Simply the best) ics Solutions Business, India said: ‘The campaign amount of bio-based feedstock went into the man- fit of what he called a “global innovation”. Son (My devil.My angel), Sis (Supermodel.Super comes at a time when brands are increasingly ufacturing of the polymers. role model), Bro (Troublemaker.Merrymaker), focusing on targeted marketing campaigns to en- In related news, the food and drink manufactur- Boss (Pushes me. Promotes me) and nicknames gage with customers on a personal level and this The latest partnership with Sig furthers an envi- er Princes, which produces Napolina, Flora and including BFF (Laughs with me. Cries with me) has resulted in the rise of customization and per- ronmental commitment from Arla that at the be- Batchelors, has said that by the beginning of Oc- and Bae (Bugs me. Hugs me). A total of 110 mil- sonalization. The changing tastes of consumers in ginning of the year helped the packaging giant, tober it will use plastic that is made up of 51 per lion labels will be printed digitally using the HP packaging of goods has the potential to chip away Tetra Pak, to hit the half a billion unit mark for cent recycled polyethylene terephthalate (RPET). Indigo 20000 digital press installed at Huhtamaki market share of brands as customers value pack- its plant-based packaging product, Tetra Rex. First PPL in Mumbai. aging with a personalized touch which adds to the overall emotional quotient of the customer.’ Chocomel opt for plant-based Jay Bathija, director, colas, Coca-Cola India and packaging South West Asia said: ‘We are delighted to partner Michael Boyle, vice president, Graphics Solutions with HP for the Indian spin of ‘Share a Coke’ which Business, Asia Pacific and Japan, HP, concluded: Chocomel is the first food cent sustainability. Compared takes a refreshing new look at relationships. This ‘As brands continue to look for ways to connect producer in the world to with the previous packaging, campaign aims to encourage Indian consumers to with their audiences, we are seeing a growing opt for a new and inno- the new Chocomel pack yields celebrate relationships that have evolved over the trend of mass personalized packaging, including vative cardboard litre pack made a CO2 saving of 17 per cent, years and reignite them by creating a moment of desktop label printing campaigns in stores. The from 80 per cent of raw materi- according to the independent happiness that comes from sharing a Coke.’ HP Indigo 20000 opens a realm of possibilities for als extracted from plants, wood Swedish environmental re- flexible packaging converters, by enabling them to and sugar cane. With successful search institute IVL. Amar Chhajed, president of the labeling business efficiently and profitably cope with changing mar- growth in their sustainable pro- at Huhtamaki PPL, added: ‘It is an advantage to ket demands for shorter runs, more varied SKUs, duction, using raw materials is The choice for this innovative have a sound customer with us as we made this and customized campaigns. HP Indigo is the only high on the agenda for diary industry leader, packaging is completely in line digital color printing process that matches gravure FrieslandCampina. with the company’s strategy named route2020, quality and is safe for primary food packaging.’ and purpose, Nourishing By Nature. In addition to the cardboard, a product made from Maharashtra food processing wood that is 100 per cent sourced from FSC-cer- Nourishing by Nature aims for better nutrition for industry braces for plastic ban tified forests, the plastic cap and the outer plastic consumers around the world and good income for layer of the iconic yellow-coloured get-up are now farmers. To achieve climate-neutral growth, Friesl The impending policy decision barring sin- advance. Further, if PET bottles are also banned, created from plants. and Campina is working on an efficient and sus- gle-use plastics and a ban on PET bottles the end-product would be impacted, grape juice tainable production chain, ‘ we aim to use only after a 3-month window has left the Maha- and wines are all mostly sold in PET bottles. What The international accredited organisationVincotte, agricultural raw materials and paper packaging in rashtra food processing industry in a state of flux. we need is to invest in research to seek viable re- has issued Friesl and Campina the highest possible 2020, from fully sustainably managed sources’, cycling mechanisms, instead of a blanket ban on 4-star certificate, ‘Ok Biobased’ for their 80 per- said a spokesman. Several horticulture associations have opposed the plastics,” he added. move and have urged the government to deliberate PepsiCo soon to upon alternative packaging solutions. In the middle of peak summer, a ban on PET bot- launch plant-based packaging tles will impact a major segment of fruit-based Maharashtra is a major producer of oranges (40per consumer goods — specifically cold beverages Food and beverage major PepsiCo, de-the beverage bottle made partially cent), grapes (50per cent), mangoes, strawberries like juices, squash, pulp and puree. clared that it will launch from plants and which looks and and guavas, accounting for 14.5 per cent share in functions just like traditional PET the country’s fruit production. In case the authorities decide to ban PET bottles first-ever 100% com- plastic bottle” — accounts for 30 per after the 3-month window, consumers, fruit grow- cent of the company’s packaging volume Additionally, Maharashtra is among the largest ex- ers and suppliers will end up suffering in this heat, postable, plant-based packaging in North America and 7 per cent globally, porter of grapes, mangoes and about 97 per cent Kanchan stated. it may be a while before it finds its way of India’s total grape wine produce comes from for Lay’s and Kurkure snacks to Indian shelves due to its high the state. According to the National Horticulture The ban will not only have an adverse impact on Board data, Maharashtra stands second in the fruit farmers but also on several food processing products this year. Constant manufacturing costs. country with fruit production of 103.96 lakh met- companies, causing losses to the economy, espe- ric tonne. cially in the fruit belts of Maharashtra like Rat- worry about plastic pollution Nestle, too, has aimed at nagiri, Nagpur, Nashik, Solapur, Pune, Amrava- 100 per cent reusable and According to Akhilesh Bhargava, chairman, En- ti, Sangli, Satara, Jalna, Latur, Sindhudurg and has forced FMCG to rethink recyclable packaging by vironment Committee, All India Plastics Manu- Raigad known for the production of mango, grape 2025. When asked whether the company is work- facturers Association (AIPMA), 20,000 tonne of and oranges. and redesign their packaging ing on sustainable packaging for Maggi, a Nestle PET goes into the packaging of fruit drinks and India spokesperson said, “Nestlé India shares the fruit produce packaging annually in Maharashtra “Citrus — including the Nagpur mandarin and solutions. ambition that no plastic waste should end up dis- alone. Sopan Kanchan, president, Grape Grower sweet lime — accounts for more than 60 per cent carded in the environment and believes that with Association of India says the plastic ban has put of the fruit-based beverages market in India. Most “As a responsible leader in the the right approach it can be collected or recycled the grapes industry in complete distress. of the popular citrus-beverage FMCG brands use food and beverage industry, our Perfor- without a detrimental impact. PET bottles for packaging. mance with Purpose 2025 goal is to design all “We are facing challenges even at the nurseries, packaging to be recoverable or recyclable, and where plastic is used to securely keep the saplings. In case the authorities decide to enforce a ban on supports increased recycling of plastic waste,” Now, suddenly, we have been forced to seek al- PET bottles, it will have a significant business im- said Ahmed ElSheikh, president & CEO at Pepsi- ternatives without any form of support or viable pact on the entire industry,” Amol Totey, president, Co India. “India will be among the first countries alternative. The implementation of the ban should Orange Grower Association of India said. to pilot this new, sustainable packaging solution have had a longer deadline, for us to prepare in developed by PepsiCo.” Rival Coca-Cola, too, has launched plant-based We are committed to finding improved solutions bottles in some markets. “The origin of this plant- to reduce, re-use and recycle. As a responsible based packaging material lies in India,” a Co- company, we have initiated various projects on ca-Cola India spokesperson said. However, while waste management by engaging with relevant the PlantBottle — a “fully recyclable PET plastic stakeholders.”

22 Vol. 11, Issue 01 - June - 2018 PRESS RELEASE Driving efficiency in meat and poultry coding and in order to combat this, advanced code assur- James Wolff, Global Marketing Manager at ance technology has been developed to make this Videojet Technologies, looks and coding tion has decreased, dollar sales have increased that consumers are more aware of how their food occurrence a near impossibility. Bar code scan- and marking in the meat and poultry sector is produced and under what conditions. Consum- ners are a relatively inexpensive way to reduce the and how technology has advanced to adapt to this due to heavily marketed value-added products. ers’ instant ability, via social media channels, for risk of selecting the wrong code when changing often challenging environment. example, to make their dissatisfaction public can- over to a different production run. A handheld Time-strapped consumers are increasingly being not be overlooked. bar code scanner plugs into the bottom of a coder that either has internal memory or is connected to targeted with convenience and on-the-go prod- Regulatory compliance helps mitigate the risk a network. At installation, all codes used for the of recalls specific line are pre-programmed into the coder or ucts, often in portion-controlled pack sizes. Damage to your brand and product recalls can on the network along with a UPC code for each have a significant financial impact on a business, package type. Then, during a changeover, the line Fur- ther, consumer demand for a and are often experienced because of a substan- manager simply scans the new package UPC or as- dard or mislabelled product reaching a consum- sociated bar code from a job card to automatically Global production in the meat and poultry industry broader variety of product er. Strict regulatory guidelines are in place in a retrieve the correct code format and content. No number of areas in order to ensure everything in a required typing means no room for code errors. has only seen modest growth in recent years. selections is driving prod- processor’s power is done to protect public health, and compliance ensures the best possible working In addition to using a bar code scanner to load Beef and veal production is fore- uct proliferation. In ad- practices are maintained. In addition to bacterial product codes in a multi-product operation, cod- contamination, mislabelling and undeclared aller- ers can be networked to help ensure product code cast to grow by 2% in 2018 dition, higher end meat gen information are common causes for product accuracy. Multiple coders can be connected using recalls and can be avoided through the use of the common software through a company network to 62.6 million tons. purchases have helped correct software at the coding and marking stage and an internet or Ethernet connection. Network- of production. With increasing SKU complexity, it ing enables centralized message creation and Pork production is to stabilise sales, as those con- is ever more likely that human error could lead to message loading to multiple coders on a line or incorrect information being printed onto a product, in a facility. Once all the coders are connected to experiencing similar sumers with higher levels of dispos- a single network, a production manager can use a computer to create or load specific codes from the growth at 2%, growing able income continue to select more premium saved database. Immaculate sanitation is key to 113.1 million tons, cuts. Wherever food products are concerned, sanitation must be a priority for a number of reasons. First- while broiler meat (poul- try) is ly, regulatory requirements will often dictate that a line must be washed down at regular intervals. forecast to increase by 1% to 91.3 million Meat and poultry processors, to keep pace with Secondly, the risks of contamination, particularly demand, have to ensure that production lines are where meat and poultry are concerned, are very tons. China is a key driver for the export market, optimized – particularly given that profit margins real. Sending contaminated product into the retail in this sector are notoriously slim – and the trend supply chain not only puts a business at severe risk as its domestic production cannot keep pace with towards automation to reduce human contact with – but more importantly, also puts the end consum- the product has gathered serious momentum in re- er at risk. One of the challenges of such vigorous growing national demand. In developed markets, cent years. Additionally, sanitation is a key factor sanitation requirements is downtime. A line will in meat and poultry production - particularly given have to be stopped to be sanitized, therefore speed such as the US and Europe, red meat consumption is of the essence if lost production time is to be kept to a minimum. Where coding and marking has seen declines in recent years, in part due to systems are concerned, an expert provider will work closely with its customers to identify the consumers cutting back amidst fears of negative pain points such as removing the printer or placing plastic bags over printers during a wash down. health effects. However, even though consump- For example, Continuous Inkjet (CIJ) Printers are available on the market today that enable effi- cient cleaning operations without the need to use bags. The Videojet 1860 CIJ printer, for example, enables an efficient cleaning operation and faster restart of your line. Hygienic design following industry guidelines incorporates slanted surfaces that help to prevent fluids or debris build-up, and help eliminate potential dirt traps. In addition, an optional IP66 ingress protection rating enables operators to clean printers without removing them from the production line. This further enhances the speed at which washdowns can be carried out, as the printer effectively lives on the line – having been designed specifically to deal with its intended environment. Driving down operational costs Profit margins in the meat and poultry industry can be slim, therefore any measures that reduce opera- tional costs will add significantly to a processor’s bottom line. Advanced coding and marking sys- tems can have an important role to play. In order to meet regulatory requirements, food products must be coded and marked. A line will not run if the cod- er is down for any reason, and if errors occur due to incorrect codes, for example, this can also lead to downtime and product waste. Coding and mark- ing systems have evolved alongside industry chal- lenges to reduce costs and withstand challenging environments. Smart CIJ printers, commonly used in the meat and poultry industry, now have several built-in features that help to streamline costs. Ink consumption, for example, where through an inno- vative condenser and solvent recirculation design, consumption levels have been reduced by up to 20% compared to older printer models. Intelligent printer air flow systems also allow for smart tem- perature regulation without the need for expensive factory air systems. Intelligent printer air flow sys- tem directs clean, cool air to critical components Contd on pg no 24

23 Vol. 11, Issue 01 - June - 2018 FRUITS & VEGETABLES NEWS Onion exporters waiting for ex- India’s fruit processing ports incentives industry on global footing The Director General of between Rs 20/kg to Rs 30/kg, ty and low capacity utilization of processing Foreign Trade (DGFT) hitting a high of Rs 36/kg. How- units. This, coupled with low farm productiv- increased the Merchan- ever, prices are now ruling below ity, makes fruit processing a non-starter or a dise Export from India Scheme Rs 10/kg since March as rabi crop high-cost producer at best. (MEIS) benefits for dehydrated was being harvested. Onion pric- onions from 3per cent to 5per es normally remain subdued be- India ranks second in production of fruits and Presently, both fruit and fruit juice concentrate cent, taking all stake holders tween March to May every year. vegetables. It has 15 agro-climatic zones, prices in India are way higher than the global by surprise, since the trade and which can support most of the fruits. Despite prices. For example, the average ex-factory farmer representatives have With forecast of a normal mon- that, the level of fruit processing in India is very gate prices for oranges for the last three years been trying to incentives for ex- soon, which is expected to arrive low (around 2.2per cent) as compared to countries have been 60per cent higher than Brazil. Bra- port of fresh onions on time, farmers are likely to in- like the US (65per cent), China (23per cent) & zilians segregate their fruit at source, have better crease area under kharif onion, Philippines (78per cent). irrigation, and big financial houses in fruit pro- Pasha Patel, chairman of Ma- which had given good returns in cessing. Furthermore, Brazilian oranges are juicier harashtra State Commission of the previous year. With large stor- and sweeter than Indian oranges. Therefore, they Agricultural Costs and Prices said, We have been age of rabi crop, any increase in kharif production use 40per cent less oranges to make 1kg of juice demanding MEIS benefits at 7per cent for fresh of onions can lead to a glut in the market. concentrate. The case is no different for lemons or onion from past several weeks. However, there apples. seems to have been some confusion while issuing Onion exporters too have been demanding export the May 24 notification pertaining to de-hydrated incentives as the government has stopped MEIS The biggest challenge faced by the fruit processing However, there is a significant opportunity for us. onions, which account for a small percentage of benefits for fresh onion from October 1. Ajit Shah, industry is perhaps, limited and inconsistent avail- Globally, the three big crops that are processed are the fresh onion.” From the seven months between president, Onion Exporters Association said that ability of fruits. Due to low per capita availability tomato, orange and apple. India is among the top August 2017 to February 2018, onions had given they have requested the government to re-instate of fruits in India, most fruits find their way to retail 5 producers of all these commodities but have a good returns to farmers as average prices rules it. markets, and almost nothing is left for processing. negligible presence in their processing. A meagre In the absence of consistent fruit supply, the in- target of 5per cent would lead to processing of 4 Nipah outbreak results UAE im- dustry cannot assure supply to its customers. They million tons of fruits. We need to work towards port ban of fruits and veggies are reduced to marginal players processing table significantly improving, both overall fruit avail- varieties and filling the gap left by crop failures in ability and farm productivity. other parts of the world. This leads to uncertain- The United Arab Emirates (UAE) has Kerala has sent 116 suspected cases for testing in Mangoes go banana banned imports of fresh vegetables and recent weeks, 15 have been confirmed with the in Odisha’s Mayurbhanjt fruits from Kerala where 14 people have deadly disease and 13 of these people have died, died due to an outbreak of the rare brain-damaging with two patients still undergoing treatment. No After years of exploitation at the hands of Dairy, the farmers of Mayurbhanj district have Nipah virus. confirmed cases of the virus have been found out- traders, mango growers in Mayurbhanj formed Mayurbhanj Fruits and Vegetable Farmers side the state. district are happy and finally reaping Produce Company (MFVFPC) that is being mon- The UAE’s ministry of climate change and en- profit. This was only possible after the interven- itored by Deputy Director of District Horticulture vironment also notified other local authorities, There is no vaccine for the virus, which is spread tion of the district administration in marketing and unit. including the Abu Dhabi Food Control Authority through body fluids and can cause encephalitis, or trading of the fruit to other States. and the municipalities of its emirates, to prevent inflammation of the brain, the World Health Or- “Ignorant about the market price of mangoes, the entry of any fresh produce from Kerala, it said ganisation (WHO) says. The mango growers came together and formed the poor farmers were exploited by traders. The in a statement. groups called Fruit and Vegetable Unit. There are scenario has changed now. Odisha Rural Devel- Last week, the UAE consulate in Kerala advised 14 Fruits and Vegetable Units in the district, from opment Marketing Society (ORMAS) assists the The ministry suspects that fruit bats are the source travellers to take precautions and follow safety in- where the produce is being sent to Delhi, Bokaro, farmers in marketing their products,” said District of the virus. It said it was banning fresh produce, structions issued by the Indian authorities. Banaras, Jharkhand and other parts of the country. Supply and Marketing Society chief executive including mangoes, dates and bananas — the bats’ The units have trading tie-ups with reputed com- Kesab Jha. preferred fruits. The Gulf state has also banned imports of live an- panies outside the State and are actively carrying imals from South Africa, based on a notification out their business in Baskitala in Bangiriposi, Rai- Recently, Collector Vineet Bharadwaj visited ma- Indian health officials have not been able to trace from the World Organisation for Animal Health rangpur, Bisoi, Kaptipada, Udala, Moroda, Khu- jor mango orchards in the district and collected the origin of the Nipah outbreak and have begun a (OIE) of the registration of Rift Valley Fever dis- nta, Kuliona and Baripada blocks of the district. information about production, market linkage, fresh round of tests on fruit bats from Perambra, ease, the ministry said. existing cold storages, packaging and grading of the suspected epicentre of the infection. These units have apparently helped the growers in mangoes. Several farmers have been benefited by reaping profits. Baskitala Dasheri Producer Group the steps taken by the district administration. North East will taste Nashik earned a profit of Rs. 16 lakh in 2015-16 by sup- veggies soon plying 83 tonnes of mango to Mother Dairy, New The farmers said the demand was high for len- Delhi and Bokaro Fruits and Vegetable Coopera- gada, dashri, mallika and amrapalli varieties of Maharashtra government is planning to tive Society in four months. Despite poor harvest mangoes. They are selling the fruit between Rs. send vegetables and fruits by air cargo in 2016-17, about 650 farmers earned profit of Rs. 60 and Rs. 70 per kg. In 2016-17, the produce from Nashik’s Ozar Airport to the seven 8.7 lakh from mango trade. Sources said the group was reportedly poor. However, the group recorded states in north eastern part of the country. had generated several business orders from differ- Rs. 16 lakh profit. “This season, the group and its ent farms through their participation in mango fes- member farmers will earn good profit as around The government has entered into talks with their tival in Delhi and fruit expo in Bhubaneswar. After 20 tonnes have already been supplied to Mother counterparts in these seven states — Arunachal achieving success from sales tie-up with Mother Dairy, New Delhi,” Jha added. Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland and Tripura — for dispatching the vege- and fruits at competitive price,” the official added. The Durian, The World’s Smelliest tables and fruits grown in the district. According to him, at present there is infrastructure Fruit is ready for space journey is the major issue in the north eastern states and “The air cargo operations from Ozar Airport to vegetables are costly. Whether we love or hate help of a U.S. rocket company. The these seven states are likely to start within the Durian, commonly packages will initially stay in space next six months,” sources in Halcon, a joint ven- Apart from vegetables, Nashik is known for pro- acknowledged as the for just five minutes before coming ture between Hindustan Aeronautics Ltd and Con- ducing grapes and onions at large. Over 1 lakh world’s smelliest fruit. Howev- back to the blue planet for an ex- tainer Corporation of India Ltd (CONCOR), said. tonne of grapes are exported from the district to er, the fruit is all set to become amination of any textural changes, Nashik is a major production centre of several European and non-European countries every year. a universal phenomenon, as Thai- vegetables and fruits. The district supplies about Moreover, the district contributes 80per cent of to- land is planning on sending it into according the news. That informa- 750 tonne of vegetables, including 250 tonne of tal onion export from the country. Halcon has set space so its astronauts can feast on tion will be used to develop Thai onions, to Mumbai on a daily basis. Another 200 up the Inland Container Depot (ICD) and air com- Thai food. food suitable for space. tonne of different types of vegetables are supplied plex adjacent to Ozar airport. The facility at ICD to different cities in Gujarat. and air cargo complex comprises warehousing, in- According to Ammarin Pimnoo of the Geo-In- If the test-run goes well, an agency tegrated packing center for perishables, cold stor- formatics and Space Technology Development spokesperson said they could try to “bring other “It is going to be a win-win situation for the farm- age, screening, comprehensive ground handling Agency (GISTDA) baked durians have already Thai food that is well known, like pad Thai or ers of Nashik and consumers in these north east- services for airlines, CCTV surveillance, bar-cod- been packaged for their trip into space. The agen- mango sticky rice, up to space for more tests. Fin- ern states. While the farmers will find new mar- ing, labelling and customs clearance facilities. cy plans to launch the Durian from Earth with the gers crossed that we’ll be able to munch on Thai kets for their products and get the right prices, the curry when we ditch the earth for Mars.” consumers of these states will get fresh vegetables

24 Vol. 11, Issue 01 - June - 2018 NEWS Contd from pg no 22 Financial assistance for Tea Development and Promotion in the printer, extending the stable operating tem- packaging. One trend is an increased use of flex- perature range to 0-50°C, even in the most chal- ible films. Flexible packaging often offers greater lenging environments. Print head design for CIJ sustainability over its rigid counterparts and, due units has also evolved to deliver better line inte- to the ability to vacuum seal certain varieties, also gration through more mounting options and closer allows for extended shelf lives. In addition, sin- As the Tea Board of India has proposed Rs. 400-crore Tea Development and Pro- proximity to the product. Printheads can now get gle serve portions are easily packaged in flexible motion Scheme, both small and big tea tives planned including assis- growers are hoping big. The tea industry, includ- tance to Farmers’ Producers as close as 2mm to the package, delivering crisper, films, catering for both on-the-go convenience ing the large and small tea growers, hopes organisations (FPO); setting to benefit from this proposal. According up mini factories; and pro- better quality codes and therefore reducing prod- and for ever more popular smaller portion sizes – to Arijit Raha, Secretary General, moting organic farming. Indian Tea Association, the uct waste and improving quality. Ink build up sen- whether for a single person or a smaller current 3-year plan is a part of Special packages have also the 13th Plan outlay. Most of been proposed for the small sors are now available, which significantly reduce family. Coding and marking these are ongoing schemes and tea growers of the North-East, many are being continued from the Idukki (Kerala), Kangra and the main cause of unplanned printer flexible packaging can be un- 12th Plan. Uttarakhand. downtime. Printheads dertaken with CIJ printers, The Union government recently approved the Tea Bijoy Gopal Chakraborty, President, Board’s proposal for the three-year programme, Confederation of Indian Small Tea Growers As- incorporate unique sen- but often Thermal Transfer effective till 2020. The scheme includes plantation sociation, said, “The small tea growers, who ac- development; quality upgrade and product diver- count for nearly 47 per cent of the country’s tea sors, which enable the Overprinters (TTO) are deployed, sification; market promotion (domestic and inter- production, immensely benefit under the scheme, national); human resource development; research as it has set aside Rs. 59 crore for promotion of tea printer to detect ink build particularly where coding applications require and development and national programme for tea both in domestic as well as international markets. regulation. up in the printhead, alert- ing a significant amount of content, such as ingredi- The fund outlay under quality upgrade and prod- As per the proposal, the Board has set aside a cor- uct diversification is close to Rs.46 crore. This the user with advanced no- tification before ent lists and traceability information, for example. pus of nearly Rs.136 crore for big and small tea will provide for value-addition by way of creating growers. The small tea growers are expecting to additional infrastructure for cleaning, blending, significant faults occur. In addition, continuous They are suitable for high speed applications and move up the value chain with the slew of initia- colour sorting and packaging of tea and speciality tea units. monitoring of the health of the printer – carried offer significant uptime advantages. Clutchless out by inbuilt sensors – means potential issues can ribbon drives maintain consistent tension making be identified, diagnosed and avoided before they ribbon breaks virtually a thing of the past, while even happen. Keeping abreast of packaging trends simple cassette design means changing ribbons is Manufacturers of meat and poultry products right- fast and has minimal impact on production. ly must stay in touch with the latest trends in India�s Only Monthly Newspaper for Food, Beverage & Allied Sectors www.agronfoodprocessing.com Issue Exhibition Name Coffee going bitter for Tata Global Beverages Month Event Focus Packplus Event Focus (25th-28th July 2018) New Delhi After tea plantation, another ed to keep Arabica prices under July 2018 Event Focus hurdle for Tatas is coffee. check. London coffee prices for August 2018 Dairy tech India 2018 Due to adverse climatic con- Robusta also dipped through the September 2018 Event Focus (31st Aug -2nd Sept 2018) dition, the coffee plantation did poorly year opening at $2,150 a tonne to Bangalore Interna�onal E�hibi�on in the last fiscal year wherein the cur- $1780 a tonne. Conilon (Robusta October 2018 Event Focus Centre Bangalore rent performance is also predicted to be in Brazil) is expected to have high Event Focus the same. crop leading to pressure on pric- November 2018 FI- HI India es,” Sanjiv Sarlin managing direc- December 2018 (11thSeptember2018) New Delhi Seeing the current position, it will be tor and CEO of Tata Coffee, told equally difficult for Tatas to maintain analysts. Interna�onal Food Services a hold on coffee, mainly because of a (27th-28th Sept 2018) bumper crop expected in Brazil this Global coffee supplies would shift Bombay e�hibi�on Centre year for both Robusta as well as Ara- to a surplus position in 2018-19 (NESCO)Mumbai bica varieties. with Brazil, the largest producer, expected to come up with a record Interna�onal Food tech “There has been a significant Robusta crop short- crop of 60 million 60-kg bags, made up of 44 mil- (27th-29th September 2018) Mumbai fall due to extreme unseasonal weather pattern. lion bags of Arabica and 16 million bags of Ro- Arabica prices dropped from 138 cents at the be- busta. AnnaPoorna ginning of FY18 to 118 cents per pound at the end (27th-29th September 2018) Mumbai of the year. A record harvest in Brazil is expect- In India, the crop suffered in the previous year be- cause of adverse conditions. Agritex India (4th-6th Ocrober 2018) Hydrabad,India Indian Ice Cream Expo (8th-9th October 2018) Chennai Hall No. 2 & 3, Chennai Trade Center, Nandambakkam, Chennai. Drink Technology (24th-26th October 2018) Mumbai Gulfood Manufacturing (6th 8th-November 2018) Dubai Indian Cold Chain December 2018 Mumbai “Robusta in Coorg saw a very low harvest, proba- bly the lowest in the last 10 years due to unseason- al rain pattern last year,” Sarlin said. Tata Global Beverages has a 57.48 per cent stake in Tata Coffee and would get impacted. “Oper- ating income and profit was lower impacted by abnormal weather conditions, resulting in lower coffee crop coupled with lower offtake in coffee extraction business,” Tata Global said in a presen- tation. Tata Global has been finding it difficult to sustain its tea plantation businesses and has been even try- ing to sell them off. Tatas have demerged its tea plantation into two separate associate companies controlling estates in Eastern parts of the country. Tata Global has been trying to divest or turn around the tea estates in Assam and West Bengal on account of unpredictable weather and an on- slaught of low-cost small plantations. www.agronfoodprocessing.com

25 Vol. 11, Issue 01 - June - 2018 TRADE NEWS ITC emerges leader in potato To speed up product innova- chips in South tion Nestle streamlines its R&D rounding Aashirvaadatta. It had also filed Swiss Food giant Nestle is set to combine food market – small challenger brands could ac- complaints with the police and injunction its scientific research opera- count for 15 percent of a $464 billion sector in a orders restraining circulation of such vid- tions into a single unit in an eos on social media were also obtained effort to speed up development of decade’s time, up from about 5 per- from the civil court. These interventions new products at a time when com- cent last year, Bernstein Research helped in effectively mitigating the short- petition from smaller rivals is predicted last year. term impact of the malicious videos on escalating. sales momentum, with the brand staging Palzer, who took over Nestle’s progressive recovery subsequently. The company will merge its innovation and research and de- Nestle Research Center and Nes- ITC Ltd said it is has implemented several ITC’s FMCG business sales grew by 10 tle Institute of Health Sciences (NIHS) into one velopment operations in Janu- initiatives for the packaged food business en- per cent in last fiscal which was relatively organization called Nestle Research.The new en- ary, is also supplementing long- compassing cost management, supply chain soft owing to the Aashirvaad Atta contro- titywill continue to be based in Lausanne, Switzer- term research projects with incremental product optimisation, smart procurement and recipe opti- versy. The business touched Rs. 11,329 crore in land and will employ around 800 people. launches made faster by experimenting with new misation which helped in mitigating the escalation 2017-18 while profit for the year improved to Rs. ideas more quickly. in input costs and enhancing profitability. 164 crore from Rs. 28 crore in 2016-17. By linking the “blue-sky” research done at NIHS with the more commercially focused Research Other steps include efforts to apply specific de- The Kolkata-based conglomerate, FMCG, hospi- ITC said it has achieved market leadership on an Center; it hopes to accelerate the translation of velopments to more products, such as Nestle’s re- tality and agri-business, said it is one the fastest all-India basis in the bridges segment driven by a scientific discoveries into marketable products. cent designer sugar crystals launched in low-sug- growing branded packaged foods player in the robust portfolio of products under the TedheMed- ar Milkybars in March, which will go into other country. The company’s potato chips portfolio he, Mad Angles and Tangles sub-brands. products in the future. emerged as the leader in the South markets lever- aging an optimised portfolio, revamped pack and In the nascent dairy business, ITC said it has It also hopes this will help it compete with smaller, The importance of agility was underlined by Nes- fresh communication, it said. launched its ghee to the Delhi-NCR markets and nimbler rivals who have been eating away at the tle’s recent struggle to capitalize on resurgent also forayed into the pouch milk segment in select market share of Nestle and other big firms like Da- demand for frozen foods.The company says it re- markets in Bihar in the vicinity of its Munger dairy none, Unilever, Kraft Heinz and Kellogg. formulates one third of its product portfolio every plant. year. Nestle spent 1.72 billion Swiss francs ($1.73 Nestle Chief Technology Officer Stefan Palzerac- billion) on R&D last year, down slightly from ITC said it posted healthy growth and fortified its ITC said the FMCG industry faced another chal- knowledged earlier this month that his company 2016 but up 22 per cent from 2012. The compa- leadership position in packaged atta market with lenging year in 2017-18 with demand conditions had to keep pace with rising demand for goods ny’s sales fell 2.6 percent over the same period. Aashirvaad Atta during 2017-18 despite increas- remaining sluggish for the fifth year in a row. that are organic, gluten-free or vegan. He added As a percentage of sales, its expenditure has been ing competitive pressure triggered by the imposi- that big trends are embraced by smaller compa- fluctuated only a little, but demands on the unit tion of 5 per cent GST on branded atta as com- The slowdown in the broader economy – as re- nies a bit more actively than the big companies. In has increased. pared to nil value added tax (VAT) earlier in most flected by the marked deceleration in nominal the United States – the world’s biggest packaged states while non-branded atta remained at nil duty. GDP and private consumption expenditure growth The company said it also had to contend with a – headwinds in rural demand and supply chain Swiggy Launches Single Serve concerted attack on social media with rumour disruptions during the transition to the GST re- Meal Services across India mongers circulating malicious videos and falsely gime were manifest in the company’s operating alleging that Aashirvaadatta contains plastic. ITC segments in the FMCG space. The year also wit- na Bhavan in Chennai, Paradise had launched a 360-degree campaign to reassure nessed commodity prices settling at an elevated Biryani in Hyderabad, Rolls consumers and dispel the baseless rumours sur- level, exerting pressure on margins, it said. Mania in Pune, Dum Matka in Mumbai and some other popular Haldiram Ventures Into Travel chains like Subway, Rajdhani, Burger King and Taco Bell have tied up with Swiggy POP. Snacks and travel have always had a sub- ists all kinds of travel experiences like packaged Aiming at the young professionals, Swig- “POP was conceptualized keep- liminal connection but top Indian snacks tours, treks, heritage, spiritual, adventure, business gy has come up with new services called ing in mind the time-pressed firm Haldiram’s is making it concrete and and others in India and around the world. “Our POP across seven cities in India. The working professionals who do branching into travel and tourism business to tap model is to make all kind of travel experiences delivery service will have single serve meals that not have access to a kitchen and India’s booming tourism industry. accessible to the public,” said Siddharth Sharma, come at a price range of Rs. 99 to Rs.200 and of- need a hassle-free and foolproof fix to their daily general manager of Travhos. Haldiram’s is further fers food and beverages from nearby restaurants. meals,” said AnujRathi- VP, Product,Swiggy. Haldiram, a top snacking brand of the country has reported to begin with tapping the Delhi region made the connection of snacking and travelling first for its travel venture. The single-serve meal menu includes the Indian The company also said that the customers ordering stronger. Through a new firm initiated by Haldi- favourites and has meals like thalis, like Sarava- food from the single-serve menu will have to pay ram’s called Travhos Experience, the brand has Haldiram’s will start its travel services in the Delhi the same price as shown to them and it won’t have ventured into the growing tourism industry. region in coming weeks and will market its travel additional delivery charges at checkout. The ser- products in its sweet outlets and restaurants. Lat- vice has begun in Bangalore, Delhi-NCR, Mum- The report further says that six professionals have er on, the company plans to sell its travel services bai, Pune, Hyderabad, Chennai and Kolkata. been hired as of now to take the new venture for- from its outlets and restaurants. ward. Travhos Experience will be giving the tour- Hindustan Unilever launches breakfast option No Investment in Food-Walmart India report. “It doesn’t make sense to sell only food ei- With instant noodles and soups, Hindustan segment. With our brand vision of traditional in- ther through brick-and-mortar or through online,” Unilever the country’s largest consum- gredients being made contemporary, we will be said a source. “With all those riders, it is even er goods firm is making plans to launch able to democratize the benefits of Ayurveda in- harder to do it.” traditional South Asian breakfast dishes like Pon- spired recipes to the Indian consumer and do our gal, khichdi, and upma. part in making India healthy,” said Geetu Verma, Walmart is likely to stay away from in- Walmart is taking a complete opposite approach as executive director - foods at HUL. The new range vesting in food-only ventures after compared to its direct competition, Amazon as the The new products will be launched in its Ayurveda will be test-marketed in Chennai. acquisition from Flipkart. The compa- latter has invested $500 million in food retail in brand Ayush and will be made of millets such as ny will only hold stock and sell groceries online India along with adding 15 warehouses to expand jowar and bajra. Their competition is with MTR, Experts say that the consumers now have a great- through third-party retailers. the grocery delivery business. However, Devang- Kellogg’s, PepsiCo and Marico. er liking for protein over carbohydrates. “Indians shuDutta, chief executive officer of retail consul- are moving to packaged breakfast options and The report further says that the US-based company tant Third Eyesight sees it in a different light as The consumers are increasingly switching over the main switch is happening between tradition- does not want to bear the burden of the conditions he told thata company like Walmart has come to from western cereals to healthier traditional break- al, home-cooked breakfast to easier solutions like that come with foreign direct investment which is India for a long term and may not rush into mak- fast. ready to cook or eat options,” said Aditya Bagri up to 100 per cent in food-only ventures says the ing hasty decisions. “They are looking at India as , director at Baggry’s that sells muesli, oats, and a long-term game — if it may not happen now, This move by Hindustan Unilever is seen to aim cornflakes. it will happen two years down the line when the to compete with Patanjali, which sells dalia, corn- regulations become friendly,” he saigs. “If you are flakes, and oats but is planning to bring out similar “There is a segment looking for healthy or func- in for the long haul, you are not in a rush as the products in coming months. “Lever Ayush Foods tional stuff and also for solutions to our traditional window of opportunity is not closing.” marks our entry into the health and naturals food foods made easy.”

26 Vol. 11, Issue 01 - June - 2018 CHOCOLATE NEWS Ferrero aims Rs. 2,000 crore Barry Callebaut expands into investments in India dairy-free chocolate Italian confectionery ma- Once, Ferrero has right products. Laura Bergan, Di- jor Ferrero will invest kind of portfolio and rector of Innovation and Mar- another Rs. 500 crore to have right through the ket Development at Barry take its total investment to market, and then definite- Callebaut says: “Dairy-free is Rs. 2,000 crore in India, as ly India would be among a driving trend and consumer part of plans to expand its its “three biggest priority lifestyle food choice affecting production facility and dis- market for us,” Pelle add- many dessert and confectionery tribution network, said a top ed. On being asked about categories that Barry Callebaut company official. the investment, Pelle has brands within, including said: “There are plans to ice cream, snack/energy bars “India is an important market because the potential and confections.” is very big… Today, it is relatively small but the increase it.” idea is that India would grow many folds. The am- bitions are big. The idea is to multiply our turnover “Now we have invested already more than Rs. Barry Callebaut has announced the expan- “The sector has evolved from of today and it would take some time,” Ferrero In- 1,500 crore but we have plans to cross easily Rs. sion of its dairy-free chocolate product catering to individuals with dia Managing Director Stefano Pelle said. 2,000 crore in some time to come. It could also be portfolio, the new Pathway range pre- dairy allergies or lactose intolerances to consum- more depending opportunity in the market. Cer- miered it in annual Sweets & Snacks Expo in Chi- ers opting to live a dairy-free or vegan lifestyle. The company is now aiming to further penetrate tainly, the group is very clear that India is a prior- cago, Illinoiso this May. Consumers are looking for dairy-free products for into tier II and III cities by doubling its distribution ity,” he added. more than just allergy reasons, but incorporating network over the next 2-3 years. Besides, Ferrero With consumers demanding more dairy-free op- more plant-based food products into their diets,” — which has brands like Ferrero Rocher, Kinder, On being asked about the strategy, Pelle said af- tions across food categories, Pathway offers a she explains. Tic Tac and Nutella — is considering getting into fordable “packaging would be a part of it”. The range of dairy-free chocolate solutions, that is the affordable segment in the sugar confectionery company has a plant in Baramati, half of its pro- ready to use for myriad applications, including “We believe that dairy-free products will continue with value-based offerings and small SKUs (stock duction is for the domestic market and rest is for confectionery, baked goods, cereals and snack their momentum, given how many consumers are keeping units) in chocolate side. markets of South Asia, South East Asia and Mid- either switching to plant-based food diets or in- dle East. cluding plant-based choices in their everyday food choice,” Bergan says. �rganised��� “We view the confectionery market as ideal for dairy-free offerings. Dark chocolate is often pro- FSNM duced using no dairy ingredients. So on its own, it is a great foundational start and offers those living Federation of Sweets & Namkeen Manufacturers a dairy-free lifestyle an option in the chocolate cat- egory,” she notes. World Convention 2019 9th-10th January 2019, Grand Hall, Brilliant Convention Center, Indore “Given many consumers do prefer milk choco- late, we anticipate a dairy-free substitute for milk Meetings chocolate will continue to grow in popularity and Discussions drive chocolate innovation towards more creamy Knowledge and milky variations without using dairy ingredi- Exhibition ents. Barry Callebaut offers a ‘milk-like’ chocolate Entertainment product to fit that consumer demand. Gala��Nigh The Pathway coatings and inclusions offer sweet Official Media and decadent flavor profiles that ensure Barry Cal- lebaut customers can create products that respond India's Only Monthly News Magazine, Portal & App For Agro, Food & Allied Industries directly to consumer demand for more dairy-free options, without sacrificing on taste.” Media Partner The Pathway dairy-free range of coatings and in- MashAd MultiCom P Ltd. clusions does not contain any dairy ingredients. These products are offered in dark and “milk-like” ............................................................................ flavors. The “milk-like” products offer a lighter 121, 1st floor, Rassaz Multiplex, Station Road, Mira Road (E), Mumbai-401107. India T: +91-22-28555069, color and “milkier” type flavor profile to mimic as closely as possible the flavor of milk chocolate. Firoz H Naqvi : +91-9867992299, [email protected] Fiza Parkar: 9076310034, [email protected] The new product line is an example of Barry Cal- lebaut’s commitment to product development and Website: www.wmnc.in innovation that responds to consumer demands. Barry Callebaut’s Marketing and Innovation team says that it will continue to drive new product de- velopment in line with the consumer landscape and the demand for dairy-free, plant-based prod- ucts across eating occasions. “We will continue to analyze the dairy-free mar- ket within trends and consumer insights and ad- dress if further innovation is needed within this market,” adds Bergan.

27 Vol. 11, Issue 01 - June - 2018 FOOD SAFETY NEWS Pawan Kumar Agarwal gets extension as CEO FSSAI Pawan Kumar Agarwal was given three months extension as Chief Executive Of- Skill Development, and by conducting short train- Lab Network”. FSSAI has increased the capacity supported the Central Food Technological Re- ficer (CEO) of the Food Safety and Stan- ing programmes, assessed and certified by both the food testing labs. The state labs with poor testing search Institute asked for equipment to test honey. dards Authority of India (FSSAI). The tenure of Skill Development Ministry and the FSSAI and facilities would be ensured with better food safe- The focus areas of test labs are the pesticides, af- Agarwal, a 1985-batch IAS officer of West Bengal has continuously worked with them.Agarwal has ty facilities. He stated, “We are working with the latoxins, and other adultrants. FSSAI understands cadre, has been given three-month extension be- worked efficiently within the Eco-system of the state labs to improve the quality. We have support- the need for analytical testing; “hence a Junior yond May 15, 2018, an order issued by personnel country with food businesses, small ones and big ed 22 food labs”. Another effort by Agarwal is the Analyst exam would be conducted to tackle food ministry said. He was appointed as the CEO of the multinational companies, and other stakeholders, development of FSSAI “Food Testing on wheels” safety challenges.” Pawan Kumar Agarwal closed FSSAI on 22 December 2015. Previously Agarwal other ministries of the Central Government and the and the concept of “mobile labs”. The concern is the remarks stating that “it is vital to maintaining was Joint Secretary, Ministry of Skill Develop- States governments, consumer organisations and not just testing of food, but to spread awareness. the relationships using technology and designs ment, Entrepreneurship, Youth Affairs & Sports, scientific communities. To understand the working of test labs, FSSAI outside FSSAI.” government of India. He is an Electrical Engineer from Punjab Engineering College, Chandigarh. He According to Agarwal, there still lies a big chal- succeeded Yudhvir Singh Malik, who was shifted lenge with India as it has large unorganised sec- as Additional Secretary in NitiAayog in Septem- tor in the food segment, representing 75 pc of ber 2015. the total. This brings in another set of challenges. The challenge is to educate people of all sectors His achievements on the Chair are numerous. He including street food vendors about hygiene and has withstood many hurdles related to Food Safety food practices. Agarwal proclaimed that the major and food adulterations. During his tenure, he start- challenges for FSSAI are not just to build an in- ed ‘Skill India’ programme and the Ministry of ternal team, but also a strong team. The food labs have been notified under the category of “Referral FSSAI Wants Blue Colour Add- ed To Industrial Ice To bring out a distinction between industrial conducted by the food safety commissioners of all and edible ice, the Food Safety and Stan- the states and union territories to check if the di- dards Authority of India (FSSAI) has asked rective by FSSAI is being followed. “The use of the food business operators (FBOs) throughout the non-edible ice, which is made from non-potable country to use blue food colouring while manufac- water, for an edible purpose, is a health hazard. turing industrial ice. Last month the health officials Similarly, the incorrect use of non-edible ice for in Maharashtra had warned against consumption preservation, storage and transportation of perish- of ice in restaurants and roadside stalls. The report able food commodities may lead to food contam- further says that there are going to be surveillance ination,” said the circular by FSSAI. The FSSAI told that they have observed that without any dis- Railways to tinction between the industrial and edible ice, the Increase former will continue being used for consumption. The food colours, Indigo Carmine and Brilliant Food Safety Blue up to10 parts per million (ppm), says the reg- ulator will be used while manufacturing non-edi- After receiving several complaints from ble ice and ice blocks giving a distinct blue look so the passengers, Indian Railways has de- that it can be differentiated from edible ice. This ployed 300 health inspectors to conduct directive, says the report, should be followed start- surprise food checks and take samples for inspec- ing June 2018. tion as well as create a databank of vendors so that the food quality in ensured. Following the ice contamination found by Maha- rashtra’s Food and Drug Administration (FDA) last month, the same directive was issued by the regulator. “A meeting was held with various stake holders related to the manufacturing of industrial ice, and it was decided to make the use of blue colour for industrial purposes, whereas edible ice should look crystal clear,” added Dr PallaviDa- rade, FDA Commissioner A meeting was conducted by the Indian Railways which decided that Food Safety Officers (FSO) are to take charge of each division of the railways. They are also to make sure that all vendors supply- ing food on the trains have been registered online with the Food Safety and Standards Authority of India (FSSAI). “We discussed ways to strengthen the entire eco- system of food being served and sold by railways. It was decided to ensure that all vendors register with FSSAI online for better monitoring,” FSSAI CEO Pawan Agarwal said. He also added that currently the vendors are registered on paper and now it is their aim to shift all the paperwork and vendors’ licenses online. This process, he said will commence in the coming 15 days. “FSSAI and the railways have decided to adopt a revised protocol for sample selection for food sam- ple test, frequency of data collection will increase and surprise sample collection will be included in data bank,” said the statement. The meeting that took place regarding foodsafety was attended by the Chief Managing Director of IRCTC, the food safety commissioner and Chief Operating Offi- cer of FSSAI, Additional Member (Commercial), Railway Board, Director General (Health), Rail- way Board and other senior officials.

28 Vol. 11, Issue 01 - June - 2018 MEAT NEWS Phytosanitary a concern for India, even as it has withdrawn curbs on US chicken imports India had cited avian influenza concerns and ed a non-tariff barrier. Since then, India has made India’s amended regulations are acceptable. India the meat is in a frozen state are within limits pre- had for years virtually banned poultry imports two rounds of changes in its bird flu regulations, to erred in not entering into a ‘sequencing agreement’ scribed by Indian rules. In July 2015, the FSSAI from the US, prompting it to move the WTO. bring them in line with WTO norms. with the US, which would have ensured that the had said that it “will develop a procedure for in- Now India has having relaxed them in recent ruling of the retaliatory panel shall not come into spection and monitoring of slaughtering/process- months but in keeping with its hardline stance on Now, US poultry imports have started to arrive, but effect before that of the compliance panel. Even as ing plants before grant of market access.” trade matters, the US continues to press for damag- the US is yet to withdraw its claim of $450 million the compliance panel’s rulings take time in com- es against India on poultry import curbs. In 2015, in annual damages to its industry, made before the ing, India should engage the US in an effort to get The order added that exporting countries would the WTO ruled against India, saying that its curbs ‘retaliatory panel’ of the WTO. Meanwhile, the the case before the retaliatory panel withdrawn. have to provide the prescribed certifications to In- were disproportionate to the threat and constitut- WTO’s compliance panel is yet to rule on whether The US, using all possible means to push exports, dia. However, India should improve its food stan- is merely pursuing a hard bargain. dards to ensure compliance. It is not clear whether ����a��I�e��rea��Ind�str����n��a�e� \" the use of cheap GM corn and soyabean as feed in Avian influenza concerns aside, US chicken leg the US can have health implications. The domestic \" imports are not without their phytosanitary prob- poultry industry, which cannot import such feed, lems. The US palate favors chicken breast, while may demand a level playing field, which could 10:00 AM, 9th Oct 2018, Chennai Trade Centre, Chennai the feet of the bird are exported to China where snowball into a controversy. they find a ready market. Chicken legs are likely South Asia’s One & Only to have been frozen for months before they arrive Even if imports are likely to be cheap, it may not Ice Cream Industry Event here. Besides, the lower part of the bird is believed find many takers in a country where people large- to contain high concentrations of antibiotics res- ly prefer fresh meat. However, a growing number idue. of urban Indians eat out in fast-food joints, which may use such imported chicken. Hence, a host of The FSSAI should satisfy itself that the levels of regulatory and policy issues need to be sorted out. such residue as well as the time period for which ReNgioswter Presents For Registration: MPEDA demonstrated open [email protected], Indian pond culture of Asian Seabass +91-9653499654, +91-22-28555069 �����2018 8������t�2018���a���2��� ���ennai��rade��entre����ennai�� �r�anised��� �n���ent��� Partners is widely found in the Indo-West Pacific region from the Arabi- The Marine Products Export Development an Gulf to Taiwan- Province of Authority (MPEDA), has successfully China, Papua New Guinea and demonstrated open pond culture of Asian northern Australia. The technol- Seabass (Latescalcarifer), which can significantly ogy for commercial production increase the yield of this delectable much-in-de- of these species would be made mand seafood with huge export potential and help available to farmers very soon small and marginal farmers to adopt this method in by Rajiv Gandhi Centre of Aqua- a cost-effective manner to increase their income. culture (RGCA). Seabass, which is reared through ‘cage culture’, Sea bass is a common fish name. Many fish spe- fetch a price of more than Rs. cies of various families have been called sea bass. 400 a kg in the domestic market. With a biological name of Latescalcarifer, seabass Under the open pond culture method, its yield can in Asia and barramundi in Australia, is a large, eu- go up to nine tonnes per hectare. ryhaline member of the family Centropomidae that MPEDA chairman A. Jayathilak, who witnessed SUBSCRIPTION FORM the first catch of Seabass fish (average weight of 1.5 to 2 kg) and 1.10 tonnes being caught in NAME.................................................................................... DESIGNATION ................................................. a single haul from the Karaikal demonstration farm, said it would be the best alternate species for ORGANIZATION .............................................................................................................................................. shrimp which contributes more than 70 percent of seafood exports. The Marine Products Export De- ADDRESS ............................................................................................................................................................ velopment Authority (MPEDA), has successfully ............................................................................................................................................................................... demonstrated open pond culture of Asian Seabass CITY/PO .................................................................................. PIN .....................PHONE................................ (Latescalcarifer), which can significantly increase the yield of this delectable much-in-demand sea- Mob ........................................................ EMAIL ............................................................................................... food with huge export potential and help small and marginal farmers to adopt this method in a cost-ef- 1 Year/12 Issues. Rs. 950/- (By Normal Post), For Other Countries $ 100 By courier / Regd Post in India - Add Rs 400/- Per Year fective manner to increase their income. 2 Years/24 Issues. Rs. 1500/- (By Normal Post), For Other Countries $ 190 Payment in Favour of: “BEVERAGES & FOOD PROCESSING TIMES” Sea bass is a common fish name. Many fish spe- cies of various families have been called sea bass. 5 Years/60 Issues. Rs. 3500/- (By Normal Post), For Other Countries $ 550 With a biological name of Latescalcarifer, seabass in Asia and barramundi in Australia, is a large, Mandatory : Please send a copy of this receipt to us on whatsapp 7900193072 or at [email protected] in order to conrm the subscription. euryhaline member of the family Centropomidae that is widely found in the Indo-West Pacific re- MauslthiCAodm P Ltd. gion from the Arabian Gulf to Taiwan- Province of China, Papua New Guinea and northern Australia. 121, 1st Floor, Rasaz Multiplex, Mira Road (E), Thane - 401107, Maharashtra. Tel: +91-22-28115068 / 28555069, +91-7900193072/ 7021555160 The technology for commercial production of Email: [email protected], Website: www.agronfoodprocessing.com these species would be made available to farmers very soon by Rajiv Gandhi Centre of Aquaculture (RGCA). Seabass, which is reared through ‘cage culture’, fetch a price of more than Rs. 400 a kg in the domestic market. Under the open pond cul- ture method, its yield can go up to nine tonnes per hectare. MPEDA chairman A. Jayathilak, who witnessed the first catch of Seabass fish (average weight of 1.5 to 2 kg) and 1.10 tonnes being caught in a single haul from the Karaikal demonstration farm, said it would be the best alternate species for shrimp which contributes more than 70 percent of seafood exports.

29 Vol. 11, Issue 01 - June - 2018 CORPORATE NEWS Commerce Ministry asks FSSAI to Cut Short Clearance Timings The commerce ministry has asked FSSAI system. Under this system, import customs clear- and customs authorities to clear import ance procedure is carried out randomly as scruti- consignments of food products in about 48 nising every paper and checking all the consign- hours at ports with a view to promote ease of doing ments increase logistics cost of traders. business at trade front. “We have asked FSSAI to give clearances in Currently, it takes as many as five to eight days a shorter time as food items are perishable in to get import clearance for a food consignment, a nature. The time should be reduced to about two government official said. days,” the official added. The move would help India improve its ranking The move assumes significance as the Prime in Trading across Borders, one of the ten parame- Minister’s Office has directed the ministry to take ters of ease of doing business. India ranked 146th immediate steps on streamlining procedures for in Trading across Borders component, out of 190 trade with a view to facilitate movement of goods countries ranked by the World Bank in its latest across borders and improve India’s ranking in ease report. The official said Food Safety and Standards of doing business. When contacted on the matter, Authority of India (FSSAI) were also advised to FSSAI CEO Pawan Kumar Agarwal said:”Food carry out clearances under the risk management import clearance is being streamlined”. New prices troublesome again with inflation on higher side CPI inflation rose sharply to 4.6 per cent in FY18. Upside risks exist due to oil and other com- April 2018, a little bit higher than market modities shocks amid a weak rupee, impending expectations. The uptick was mainly led by MSP hikes for Kharif crops, and possible imple- core inflation, which exceeded expectations at 5.9 mentation of States HRA. A $10 increase in crude per cent. could have a 40-50bps impact in FY19 through a commensurate increase in petrol, diesel, LPG etc. The inflation rise in food rose to 4.6 per cent from 2.8 per cent in the previous month, a chronological Amid various inflation uncertainties, CPI infla- increase after four consecutive reduction. Vegeta- tion outturn will be crucial in assessing the RBI’s ble prices narrowed down to 1.6 per cent, while next move. While the probability of a rate hike has fruit prices increased 4.9 per cent. High frequency increased amid several uncertainties on inflation, mandi data is indicating uptick in vegetable and RBI may still be on a pause mode for some more fruit prices, while prices of pulses and sugar con- time while assessing the incoming data closely. tinue to fall. Headline CPI is expected to head towards 5.4 per cent by June 2018, partly led by an unfavourable base effect, before moderating towards 4.5 per cent by the end of FY19. Headline and core inflation will likely average 4.6 per cent and 5.6 per cent in FY19 against 3.7 per cent and 4.4 per cent in

30 Vol. 11, Issue 01 - June - 2018 EDIBLE NEWS Food manufacturers embracing healthier oils and fats healthy monounsaturated fatty acids — and high oleic oils, which have a fatty acid composition that makes them more heat stable than conventional oils and less prone to oxidation. Food manufacturers are spotlighting healthy Oil producers have been improving the nutritional oils used in products such as chips, crackers profile of their products, too. Cargill recently re- and dressings to play up their health halo leased hybrid canola oil with reduced saturated and diverse flavor qualities, Oils that have caught fat, allowing manufacturers to cut the molecule in the attention of manufacturers include sunflower, their products by about 35 per cent. After a long safflower and peanut oil, as well as olive pomace period when all fats and oils were considered un- oil, which can be used in high-temperature pro- healthy, consumers have started to embrace the cessing. health benefits of these ingredients, and to explore their different flavors. Coconut, almond and avocado oils are particularly trendy right now, with specialty oils such as mac- Ethnic cooking trends have influenced consump- adamia, rice bran, chia and hemp seed on the rise. tion. Sesame oil, for example, is benefiting from At the same time, one of the most versatile and its use in Southeast Asian cooking, as many of heat stable oils — palm oil — is getting an image these dishes have become part of mainstream revamp as manufacturers commit to environmen- American cuisine. tal initiatives that ensure it is organically and sus- tainably produced. But even as the use of novel and specialty oils is on the rise, any particular oil is vulnerable to Like many food ingredients, there is a balance to changes in consumer tastes. Coconut oil was a be struck between the health profile of oils and rising star among culinary oils in 2015, but sales fats and how easy they are to work with in a range fell 26 per cent last year. Consumers now have a of products. Olive oil, for example, has a healthy broader range of oils to choose from, meaning that image but a relatively low smoke point, making it added flavor and proven health benefits are vital to unsuitable for use in high-heat applications. making any particular option stand out. For buyers of specialty oils, the way they are extracted is im- Previously, many healthier oils could only be used portant too, and many health-conscious consumers in cold products like dressings and condiments, favor cold-pressed and organic oils produced with- but new technologies have improved their stabil- out solvents or GMOs. ity, allowing manufacturers to use them in fried and baked foods. Such oils include non-GMO soy, As oils are on consumers’ radar, it may be savvy canola and corn oils — which are high in heart- for manufacturers to move their healthy oil infor- mation to the front of their packaging, or call out when they reformulate a product with new, trend- ing oil. At best, this could give brand the chance to raise their sticker prices, and at worst, could help differentiate products from competitors. CEnterprises CoolBiz� Enterprises CoolBiz Enterprises is a leading trading company fully focused on food processing & Ice cream industry and have solu�ons for all industry needs. Our product range consist of Homogeniser, Ice cream filling machine, con�nuous freezers and deep freezers, upright freezer, chest freezer, milk coolers, display freezers, blast chillers, visi coolers of popular brands. We offer custom made FOW and carts on wheels as per specifica�on of the clients. CEnterprises CoolBiz�Enterprises 119, 1st Floor, Rassaz Multiplex, Station Road, Mira Road (E),Mumbai - 401107. Mob: 8779231570/ 9769278424 Email: [email protected] Website: www.coolbizent.com

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32 Vol. 11, Issue 01 - June - 2018 �rganised��� South Asia’s One & Only �n�E�ent��� Ice Cream Industry Event Meetings Presents Discussions Indian Knowledge Exhibition Expo����� Entertainment Gala��Nigh �����ct��������all����� �gennai���rade��entre��gennai �tg��tg��ctober�������all�no�����������gennai��rade��enter���andamba��am���gennai�� ��cial�Media��artner �nline�Media��artner Media��artners AgrprocFeososdingIndian’s 1st News Portal for Agro, Food Processing & Allied Segments A Bi-Monthly Magazine Devoted to Milk, Milk-Products & Allied Sectors www.agronfoodprocessing.com dairy Times A Group Publication of MashAd MultiCom P Ltd. www.agronfoodprocessing.com �ontact��or��talls����artnersgip Indian Ice Cream Expo Firoz H. Naqvi : +91-9867992299 Seema Shaikh : +91-9022092302 121, 1st Floor, Rassaz Multiplex, Mira Road (E), Thane - 401107. India. Tel: +91-22-28555069 / 28115068.Email: [email protected] Web: www.indianicecreamcongress.in INDIAN ICE CREAM MANUFACTURERS ASSOCIATION Sudhir Shah-+91-9849025027 (Secretary IICMA) Samrat A. Upadhyay- +91-76988 69800 (Secretary General � IICMA) Regd. Ofce : A/801, 8th Floor, �Time Square� Building,C. G. Road, Nr. Lal Bunglow Char Rasta, Navrangpura, Ahmedabad - 380 009, Email: [email protected] Web: www.iicma.in EDITOR CONSULTING EDITOR MARKETING EXECUTIVE PRODUCTION MANAGER GENERAL MANAGER CIRCULATION MANAGER GRAPHIC DESIGNER Firoz H. Naqvi Basma Husain Varsha Singh Syed Shahnawaz Gyanandra Trivedi Seema Shaikh Naved H. Kazmi 121, 1st Floor, Rassaz, Multiplex, Mira road (E) Thane -401107. Tel: +91-22-28115068/28555069. Email:[email protected] Website: www.agronfoodprocessing.com Printed, Published By - Firoz Haider Naqvi, RNI No- MAHENG13830 Printed at: Roller Act Press Services, A-83 Ground Floor, Naraina Industrial Area, Phase-1, New Delhi-110028, Reg Office : 103, Amar Jyot Apts, Pooja Nagar, Mira Rd (E) Thane-401107, Delhi Office-F-14/1, Shahin Baugh, Kalandi Kunj Rd, New Delhi-110025 The views expressed in this issue are those of the contributors and not necessarily those of the newspaper though every care has been taken to ensure the accuracy and authenticity of information, \"Beverages & Food Processing Times\" is however not responsible for damages caused by misinterpretation of information expressed and implied within the pages of this issue. All disputes are to be referred to Mumbai jurisdiction