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Nashik grape exports set to increase as farmers go after juicier returns

Grape production in Nashik, India?s largest producer of the fruit, is likely to decline around 30% this season due to untimely rains.

Grape production in Nashik, India?s largest producer of the fruit, is likely to decline around 30% this season due to untimely rains. However, exports are on the rise with farmers showing a marked preference for overseas markets ? they are getting almost double the price abroad, Ashok Gaikwad, president, Maharashtra State Grape Growers? Association (MSGGA), said.

According to Gaikwad, around 22,000 vineyards from Nashik alone have already registered with Grapenet, the online platform developed by Agricultural and Processed Food Products Export Development Authority (APEDA), as opposed to about 15,000 last year. Registering the farm on Grapenet is mandatory for farmers who want to export the fruit. Last year, a record 6,000 containers (one container equals 12.5 tonne) were exported from Nashik to the European Union (EU), amounting to around 70,000 metric tonne. This time, exports should exceed 70,000 metric tonne, he said.

Prices in the domestic market touched R30-35 per kg last year while overseas markets fetched R60-65 per kg and things are similar this time, Gaikwad said. Although there is a lot of groundwork involved in registration, farmers prefer the export route as they end up with more money, he pointed out.

Around 10 lakh metric tonne of grapes are expected to be produced in the Nashik district, with productivity at 20 metric tonne per hectare. The other grape-growing districts include Solapur and Sangli. However, they focus more on raisins.

Nashik district is the largest producer of grapes in India with nearly 1.75 lakh acres under vineyards while the total acreage in Maharashtra is 2.50 lakh acres. This year, the state has less than 2.50 lakh acres under grapes. Maharashtra contributes 90% of the country’s total grape exports. Around 70% of the state?s grape exports come from Nashik.

Shipments are sent mainly to countries in the European Union, Russia, the far east and China. Russia emerged as a major market for Indian grapes last year. From just about 100 containers in 2010, around 1,000 containers went to Russia last year. Last year, exports to China also began. According to officials from APEDA, exports to Russia began 10 days ago.

MSGGA has been working towards getting better grape varietals for farmers. This year, the association purchased six varietals from an Israeli and South African breeder and is in talks with a breeder from California as well. The association has also urged the central government to give 25% subsidy to import machinery and waive 12.5% import duty on such imports.The move comes in the wake of scarcity of labour, which has become a concern for grape-growers in the district.

MSGGA has taken the initiative in encouraging farmers to undertake mechanisation. But it is not affordable as the machines are expensive and attract 12.5% import duty.

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First published on: 23-01-2014 at 03:35 IST
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