Mr. Amit Jaipur RESEARCH REPORT

​RESEARCH REPORT    FRUIT AND VEGETABLE DEHYDRATION REPORT            Prepared By:   SJR LEBENSMITTEL LLP  ‘Kruhad’ Behind BPC, Productivity Rd,   Alkapuri, Vadodara 390016  Email: [email protected] 

INDEX 1. Introduction 2. Major horticultural crops grown in Rajasthan 2.1 Fruits. 2.2 Vegetables 2.3, Flower 2.4 Medicinal and aromatic 2.5 Major fruit producing regions in Rajasthan 3. Jaipur 3.1 Jaipur district at a glance 3.2 Cropping pattern 4. 10 main products to be selected 5. Major industry segments to be targeted 5.1 Table 1 Sector wise requirement of Items 5.2 Sector wise Major Industries 5.3 Major Players in the Dehydration industry 5.4 Export volumes for individual products 6. India’s export product wise 7. Raw material and selling price 8. Recent news

1 Introduction India is one of the world’s largest producer and exporter of fruits, vegetables and dairy. This includes fresh, preserved, dried and frozen; all types of processes. India has the biggest advantage with all types of varied weather and climatic conditions, soil types and land terrains available inside of the country. This enables India to produce almost all types of fruits, vegetables, flowers and herbs. Each region in India has distinct types of crop patterns and varieties of crops. Our focus of this report is the western part of India. The western region includes Gujarat, Rajasthan, Madhya Pradesh and Maharashtra. A variety of cash crops as well as specialty crops are grown in this region. Rajasthan in particular is an arid region with a major part of the state having a desert. The major metro cities are Udaipur, Jaipur, Jodhpur, Bikaner and Ajmer, with Udaipur being located in the southern part of the state while Jaipur being located in the eastern part of the state. Jaipur has close proximity to the national capital, New Delhi. The general focus of the report is going to be to search and analyze on various fruits and vegetables grown in and around Jaipur which are fit for processing further and have an export market as well. The main criteria will be easy transport, availability throughout the year, voluminous market for selling and low in price.

2.Major Horticultural crops grown in Rajasthan 2.1Fruits There is a large variety of local as well nationally acknowledged fruits that grow in various parts of Rajasthan. One of the most popular fruits is Amla or Indian Gooseberry which is very rich in Vitamin C and has multiple other nutrition and health benefits. There are many other fruits that grow as well, the list of which can be found below. 1. Amla

2. Ber 3. Guava 4. Kinnow/Malta

5.Lime 6. Mango 7. Mosambi

8. Orange 9. Papaya

10. Pomegranate 2.2 Vegetables 1.Brinjal 2.Musk Melon

3. Okra 4. Onion 5. Pea

6. Potato 7. Tomato 8. Watermelon

2.3 Spices 1.Ajwain 2. Chilli 3. Coriander

4. Cumin 5.Fennel 6. Fenugreek

7.Garlic 8.Ginger 9, Turmeric

2.4 Flower 1. Marigold 2. Rose

2.5 Medicinal And Aromatic 1. Ashwagandha 2. Isabgol 3. Henna

4. Sonamukhi (​http://www.agriculture.rajasthan.gov.in/content/agriculture/en/Directorate-of-Horticulture-dep/dis trict-and-major-crops/major-crops-grown.html​)

Fig. 1 -- Major Fruit producing districts in Rajasthan Fig 1 (Contd)

3. JAIPUR Jaipur district at a glance Fig 2. Jaipur Tehsil Map (h​ ttp://jaipur1.kvk2.in/district-profile.html​) Cropping Pattern The major kharif crops are Groundnut, Bajra, Kharif Pulses and in Rabi, Wheat, Mustard, Barley & Gram. The major vegetables viz. Tomato, Pea, Chilli, Brinjal, Cabbage, Cauliflower etc. are cultivated. Ber, Aonla, Bael, Guava, Lemon etc. are important fruit crops of the district. There is good potential for horticulture development. Wells & Tubewells are a major source of irrigation. For optimum utilization of water, sprinkler and drip irrigation systems are becoming very popular. Notable among these is Onion with it being sown in an area of 3551 Hectares and production of about 8436 Tonnes.

4. 10 MAIN PRODUCTS TO BE SELECTED Amongst all the major crops growing in the region of Jaipur and Rajasthan, 10 products will be selected which are best suitable for dehydration process. These products have a sizeable volume, are known to consumers and have a great demand among the B2B (Business to Business) and the B2C (Business to Consumer) industry. These products can be rotated throughout the year in different cycles so that production can be continued throughout the year. 1) Onion -- This product is harvested in the month of Feb - March - May in Rajasthan. This is one of the most voluminous product for dehydration process. 2) Amla -- This product is harvested in the month of Nov - April in Rajasthan. 3) Red Chilli -- In Rajasthan, chilli is generally grown in almost all the districts, but the main producing areas are Jodhpur, Ajmer, Bhilwara, Pali, Sikar and Jaipur. Chomu Tehsil of Jaipur district is one of the major growing chilli region of Rajasthan (​http://www.researchjournal.co.in/upload/assignments/3_267-269.pdf​). 4) Red Beet -- This product is grown in the pathmeda gaushala, Rajasthan. March - May is the harvesting season. 5) Ashwagandha -- This is available throughout the year. 6) Cumin -- This is available throughout the year. 7) Henna -- In Pali district, henna has been cultivated since the last 100-150 years. Harvesting is done twice a year. Main crop is harvested in the month of Oct-Nov and second in April - May. (h​ ttp://nopr.niscair.res.in/bitstream/123456789/12294/1/NPR%202%286%29%20306-30 7.pdf​). 8) Red Rose -- This is available throughout the year. 9) Mint/Pudina -- This is also available throughout the year. 10) Green chilli -- This is available in the month of Sept-- Dec. 11) Fenugreek -- This is available from Sept end - Feb. 12) Kinnow -- This is available in Punjab from Dec-March.

5. Major industry segments to be targeted To market the dehydrated products, there are various industry segments in the food industry that can be targeted Masala manufacturers -- These are the major consumers of selected dehydrated products. They are spread all over India and present in almost every region of India. Ready to eat food manufacturers -- There are major MNC and nationalised players in this category. There are many types of ready to eat manf like frozen, freeze dried, dehydrated, retort etc. Frozen food manufacturers == This is one of the most upcoming sector in India in terms of manufacturing. The demand is huge for export and is increasing in the local market as well. Bakery manufacturers -- There is lot of innovation in the bakery sector in terms of flavour addition in traditional bakery items and dehydrated powders serve as the perfect ingredient for this category. Ayurvedic/Pharma Medicine manufacturers -- With the advent of COVID - 19, the demand of Ayurvedic products has increased like never before. Cosmetic manufacturers -- Some of these products are used by cosmetic manufacturers are due to lack of fresh products availability throughout the year. Snack food manufacturers (khakhra, namkeen etc) -- The western part of India has a variety of snacks and tbere are lot of small and medium scale manufacturers who use these dehydrated powders. Sauces and pickle manufacturers -- Spice powders are the basis of both sauces and pickle manufacturing. Hotel and Restaurant segment (HoReCa) -- This segment relies a lot on fresh produce but there is now a gradual shift towards dehydrated products due to it’s round-the-year availability.

5.1 Table 1 Sector wise requirement of Items Sector Items Masala Onion Amla Red Chilli Cumin Green chilli Fenugreek Mint Ayurveda Amla Red Beet Ashwagandha Henna Fenugreek frozen Onion Red Chilli Red Beet Cumin Green chilli Fenugreek Mint Bakery Red Chilli Red Beet Cumin Red Rose Fenugreek Mint Cosmetic Amla Red Beet

Snack food Ashwagandha Ready to eat Henna Red Rose Sauces and pickle HoReCa Onion Red Chilli Cumin Green chilli Fenugreek Mint Red Chilli Red Beet Cumin Kinnow Green chilli Fenugreek Mint Onion Red chilli Red beet Cumin Mint Green chilli Onion Red chilli Red beet Cumin Mint Green chilli Fenugreek

5.2 Sector wise Major Industries Here you will find the major industries in each sector that buy dehydrated products in bulk. Ready to eat​ -- MTR,Regal Kitchen foods, Fazlani Foods, Havmor Frozen foods -- Wholesome foods, Iscon Balaji foods, Global Gourmet foods pvt ltd, Marwari Snacks Foods Pvt ltd (Jaipur), Chokidhani foods (Jaipur), McCain foods, Venky’s chicken, Tasty Bite Bakery manufacturers​ -- Karachi bakery, monginis bakery, ITC, Nestle Masala Manufacturers -- Badshah, Ramdev, Goldie Masala, Everest, All other local manufacturers. Preference to be given more to local manufacturers as they are looking for reliable and local suppliers who can supply consistently at a good price. Ayurvedic/Pharma manufacturers -- Patanjali, Baidnath, Zandu, Himalaya, Vicco, Charak pharma etc. Cosmetic manufacturers -- Emami, Himalaya, Biotique, Avon, Jovees, Forest Essentials and many others. Snack food manufacturers -- Halidram, Balaji, PepsiCo, Bikaji foods, Local khakhra manufacturers, Shakambari food products (Shekhaji), Milan Namkeen, UNIBIC, Sauces and pickle manufacturers -- Tops, Veeba, Wingreens, mothers, Bedekar, Kissan, Chings, Maggi 5.3 Major Players in the Dehydration industry Here you will find a list of major manufacturers of dehydrated products. These are among the biggest manufacturers by volume and turnover in entire India. Kings Dehydration Oceanic foods Maharaja dehydration Jain irrigation Garlico Industries Ltd New entrants --Saraf Foods Vadodara

Export volumes for individual products India facts and figures: India is also a prominent exporter of Processed Vegetables to the world. The country has exported 2,53,276.92 MT of Processed Vegetables to the world for the worth of Rs. 2,760.57 crores/ 386.62 USD Millions during the year 2019-20. Major Export Destinations (2019-20) : U S A, U K, Germany, Thailand, Russia. (​http://apeda.gov.in/apedawebsite/SubHead_Products/Dried_and_Preser ved_Vegetables.htm​) Processed Foods introduction: India's exports of Processed Food was Rs. 31,204.78 Crores in 2019-20, which includes the share of products like Mango Pulp (Rs. 584.32 Crores/ 81.90 USD Millions), Processed Vegetables (Rs. 2760.53 Crores/ 386.62 USD Millions), Cucumber and Gherkins( Prepd. & Presvd) (Rs. 1241.21 Crores/ 173.49 USD Millions), Processed Fruits, Juices & Nuts (Rs.3086.44 Crores/ 432.04 USD Millions) Pulses (Rs. 1533.74 Crores/ 214.89 USD Millions), Groundnuts (Rs. 5096.39 Crores/ 711.41 USD Millions), Guargum (Rs. 3871.81 Crores/ 542.61 USD Millions), Jaggery & Confectionary (Rs. 1633.29 Crores/ 227.92 USD Millions), Cocoa Products (Rs. 1274.34 Crores/ 178.89 USD Millions), Cereal Preparations (Rs. 3871.81 Crores/ 542.61 USD Millions), Alcoholic Beverages (Rs. 1648.62 Crores/ 230.97 USD Millions), Miscellaneous Preparations (Rs. 4147.89 Crores/ 581.30 USD Millions), and Milled Products (Rs. 1064.62 Crores/ 149.11 USD Millions).

The Indian food processing industry is primarily export orientated. India's geographical situation gives it the unique advantage of connectivity to Europe, the Middle East, Japan, Singapore, Thailand, Malaysia and Korea. One such example indicating India's location advantage is the value of trade in agriculture and processed food between India and the Gulf region. Retail, one of the largest sectors in the global economy (USD 7 Trillion), is going through a transition phase in India. One of the prime factors for non-competitiveness of the food processing industry is because of the cost and quality of marketing channels. Globally more than 72% of food sales occur through super stores. India presents a huge opportunity and is all set for a big retail revolution. India is the least saturated of global markets with a small organized retail and also the least competitive of all global markets (h​ ttp://apeda.gov.in/apedawebsite/six_head_product/PFV_OPF.htm)​ . The below graph shows which are the top 10 countries volumewise to which processed vegetables are exported.

(​http://agriexchange.apeda.gov.i​n/product_profile/exp_f_india.aspx?categorycode=0302)​ The below table shows the exports from India in terms of quantities with respect to each country. (h​ ttp://agriexchange.apeda.gov.in/product_profile/exp_f_india.aspx?categorycode=0302​)

This figure below shows how India fares in comparison to rest of the countries in the world in terms of volume of export of processed vegetables (​http://agriexchange.apeda.gov.in/product_profile/india_standing.aspx?cate gorycode=0302)​

India’s Export Product wise As one can see, processed vegetables, the desired category for this report, comes in the TOP 10 products for exports overall from India. For our selected 10 products, below is an approx consumption per year of the industries that are mentioned in the report. 1. Amla -- 500 Tonnes 2. Onion -- 800-1000 Tonnes 3. Red chilli -- 100 Tonnes 4. Red beet -- 50 Tonnes 5. Ashwagandha -- 50 Tonnes

6. Fenugreek -- 80- 100 Tonnes 7. Cumin -- 100 Tonnes 8. Mint -- 100 Tonnes 9. Henna -- 10 Tonnes 10. Green chilli -- 50 Tonnes 11. Red Rose -- 4-5 Tonnes

7. Raw material and selling price The raw material price of all the below mentioned items varies throughout the year. The prices given below are the prices during the product’s season considering that the products will be procured during the season in order to achieve optimum pricing of the final product. Item Raw material Selling price Selling price Amla price (INR /kg) (INR/kg) (USD/kg) 5-10 120-200 5-10 Beetroot 5-7 80-120 8-10 Red chilli 70-100 190 flakes, 170 4-5 powder Cumin grinding (only 130-180 as per 220-240 4-6 required) variety Ashwagandha 80-110 250-300 9-14 Green chilli 70-100 270-350 5-7 Henna 10-15 100-200 4-10 Red Rose 5-10 250-300 7-10 Pudina/Mint 5-10 180-200 3-6 Fenugreek 5-7 110-130 5-7 Onion 2-4 90-120 2-4

8. Recent News LT FOODS (DAAWAT) entering into dehydrated segment: https://nuffoodsspectrum.in/news/27/7069/lt-foods-expands-product-portfoli o.html END OF REPORT