TN post-harvest losses at Rs 8,100 crore: Assocham

Lack of on-farm processing facilities resulted in losses, says Assocham study

Lack of adequate on-farm processing facilities has resulted in the loss of Rs 8,100 crore worth of fruits and vegetables in the post-harvest stage a year in Tamil Nadu, says a study by industry body the Associated Chambers of Commerce and Industry of India (Assocham).

According to the study titled 'Horticulture sector in India: State-level experience' conducted by Assocham, Tamil Nadu is the fourth major horticulture producing state with over 23,000 tonne of fruits and vegetables produced every year.

"Currently, over 77 million tonne (MT) fruits and about 150 MT vegetables are produced in India and the production is growing at a compounded annual growth rate (CAGR) of between five per cent and six per cent respectively," said DS Rawat, national secretary-general of Assocham.
 

"About 30 per cent of the total fruits and vegetables produced are rendered unfit for consumption due to spoilage after harvesting as they are highly perishable commodities. As such, India incurs post-harvest fruits and vegetable losses worth over Rs 2 lakh crore each year, largely owing to the absence of food processing units, modern cold storage facilities and a callous attitude towards tackling the grave issue of post-harvest losses," he said.

"Besides, lack of proper storage facilities is responsible for wastage of substantial quantities of fruits and veggies produced in India and it can be prevented to a great extend by controlling post-harvest environmental conditions," he added.

West Bengal is the country's leading horticulture producing state with over 27,000 tonne of fruits and vegetables produced annually, accounting for over 10 per cent of the share across India. Andhra Pradesh, Uttar Pradesh, Tamil Nadu and Maharashtra follows West Bengal, accounting for a share of between eight per cent and nine per cent each.

West Bengal incurs post-harvest fruits and vegetable losses worth over Rs 13,600 crore annually, according to the study.

"Gujarat ranks second with post-harvest fruits and vegetable losses to the tune of about Rs 11,400 crore, followed by Bihar (over Rs 10,700 crore), Uttar Pradesh (Rs 10,300 crore) and Maharashtra (Rs 10,100 crore)," it said.

The post-harvest loss in fruits and vegetables can be minimised by proper cultural operations, harvesting, transportation, storage, pre and post-harvest treatments and other such significant measures. Proper storage is important to extend the storage life of the produce thereby enhancing its availability period, according to the study.

Currently, the total storage capacity in India is over 30 million tonne and there is an additional requirement of cold storage of about 37 million tonne for fruits and vegetable storage.

"The existing cold storage capacity in India is confined only to wholesale markets, while a majority of fruits and vegetables are sold at local or regional markets which do not have cold storage facilities," Rawat said. "Wholesale market development is also equally important for reducing post-harvest losses as in its absence price transparency gets undermined and transaction costs rise."

Wholesale markets play a major role in vertical coordination of markets, equilibrating supply with demand and facilitate price formation. Besides, their role reduces per unit marketing costs, promote stable markets for local produce and encourage increased output and productivity.

Assocham, in the study, said that storage and handling conditions had to be enhanced in the fruit and vegetable markets to bring down post-harvest losses and promote increased productivity.