Fresh Apple Trade in India

Agro Farm Ventures Pvt Ltd

April 2024
 Fresh Apple Trade World wide-Year 2022

Source: The Observatory of Economic Complexity (OEC) 2022

 Largest Exporters and Importer Worldwide

Source: The Observatory of Economic Complexity (OEC) 2022

 Where does India import Apples (Fresh) from? (2022)

Source: The Observatory of Economic Complexity (OEC) 2022

 Net Apple Fruit Trade Worldwide

Source: The Observatory of Economic Complexity (OEC) 2022

 Apple Production in India
Production : 30 Lakh MT per annum

Market Size of Apples In India : Rs.20,000 Cr

Imports in 2022 : Estimated at 1.75 Lakh MT

Value of imports : 270 million USD (INR 2249 Crore)

Countries of import : USA, China, Chile, New Zealand, Australia, Turkey

Duty on import of apple is 50% and keep on changing as per Govt

Polices.

Productivity of Indian orchards is 6‐10 MT per hectare while that in USA is

above 40 MT
 How Fresh Apple business works in Developed Markets
Mostly organised with turnover of major companies $3‐10 billion.

Companies employ number of specialists to properly plan and execute

scienti c pre‐harvest and post‐harvest management systems to ensure
that productivity and quality is good products are handled & packaged
well and are marketed on time with su cient shelf life

Most of the farms & cold chain may not be owned by companies

Cold Chain plays an important role in logistics

Retail chains have driven most of changes in packaging, quality

standards and safety standards
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Why India need so much apple imports apples
Yield Per acres is very less as compared
to global benchmarks.
Limited post harvest storage facilities.
Limited post harvest grading and
packing facilities resulting in fruit losses
and damages.
Domestic movement is most through
conventional trucks and by road.
Produce reaches nearby mandis, sold
through commission agents to
wholesalers, sub wholesalers and then
to retailers
Often when the produce is re directed to
other stations, one or two more agents
are involved and there is re sorting /
grading
Handling –both in the farms and mandies
manually by untrained labour.
No incentive to anyone to improve
quality / productivity from farm to retail
Most of the risk in supply chain is that of
farmer
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What is the solution for India to promote domestic apples

Solution is Controlled Atmosphere Stores

 Apple Fruit Production In India- Himanchal Pradesh
Himachal is 2nd largest producer of Apples India

Production of 4.46 lacs MT of apples every year.

30CA/ Cold Stores in Pvt. Sector: 83740.50 MT

08 No. CA/Cold stores in public sector: 6480.00 MT

Total Capacity: 90220.5 MT

Apple Fruit Production In India- Himanchal Pradesh

Harvest in HP
July/Aug/Sept

Harvest in J&K
Aug/Sept/Oct

Production: MT/ Production: 4.46 Production: 20 Production: 1.5

Annum lacs MT/Annum lacs MT/Annum lacs MT/Annum
Storage CA Capacity: CA Capacity: CA Capacity:
Capacity MT 90220 MT 2.50 lacs MT 10,000 MT
Orchard Yield/ Orchard Yield/ Orchard Yield/ Orchard Yield/
Acre hectare: 6-10 hectare: 6-10 hectare: 5-6
tons tons tons
Controlled Atmosphere Project by Agro Farm Ventures Pvt Ltd
10 CA Chambers of 250 MT
each: Total 2500 MT

5 Non CA Cold rooms of 60

MT each: Total of 300 MT

Packing grading line with

robotic bin dumper/ bin llers
and optical camera system
for grading and sorting: 5MT/
Hour Capacity
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 Future of Fresh Produce -Controlled Atmosphere Technology.
What is CA Technology

- Altering and maintaining atmospheric composition that is

different from air composition of N2 78%, O2 21% & CO2
0.03%
- Low O2 and higher CO2 , within range tolerated, help
reduce respiration and ethylene generation
- Helps increase storage life of fresh produce like apples,
pears, kiwis, cabbage, etc.
Requirement of CA Technology in India for Apples
Location Trade Off (We are located in centre of Apple
Catchment area in Shimla)
- Near the orchards
- – helps in achieving CA conditions faster and thus better
storage life
- – Transit damages to fruit before CA storage are avoided

- Closer to markets
- Chambers of size 50 250 MT. Loading of a chamber - – helps in meeting market demand quickly
normally complete in 3 days and save lot of fresh produce
wastage.
- – Utilisation of store would be better as many other
commodities can be stored
- Capacity in the plant to bring optimum CA conditions
within 5 7 days of harvest.
- Automatic regulation of O2 & CO2 levels
- Maintenance of required temperature and humidity evels
- Pre cooling of produce helps in achieving optimum results
- Multiple options of Storage of fruit in bins / crates /
cartons
- Single storey design or with mezzanine oor
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 Installing world class Optical Fruit
Grading solutions 5MT/Hour Capacity
Technology Partners Agro Farm Ventures Pvt Ltd
Best Practices in Post Harvest of Apple Fruit Production
 Some Key Trends
• Thanks to entry of imported good quality fruits, the sector seen as a
good business opportunity

• Quality fruit and variety of fruits are in demand round the year

• Retail Price of imported apple is almost 3 times that of Indian apples in

the season, yet the imports are growing @30%+ every year.

• India is also importing large quantities of grapes, kiwis, pears, etc.

• The Growth of CA storage is, thus, inevitable.

 Investment Opportunity
• Total Chambers: 10
• Capacity of each Chamber: 210 MT
• Capital Infusion required per chamber: INR 1.40 Cr per chambers(Based on
2022 procurement Prices of Market)

• Capital deployment Period: 6-9 months

• Return on the capital deployment: 12%
• Capital deployment Month: July/August (Season for procurement is 45 days)
• Sales start in Feb and goes up to April/May (Realisation of investments)
Agro Farm Controlled Atmosphere Store (CA Store)
Project
Nurchet, Theog, Shimla (Himanchal Pradesh)