Challenges in Meeting Quality Standards, Post-harvest and Food Safety Requirements for Export of Fresh Fruits Royal Government of Bhutan Ministry of Agriculture & Forests Workshop on Promoting Cross-border Agricultural Trade for Sustainable Development 28 30 November 2016 Bangkok, Thailand
Presentation Outline A. Agriculture Sector B. Production of main Fruits and Vegetables for export B. Export of fruits and vegetables D. Key Challenges in Export of Fruits & Vegetables E. Way forward
A. Agriculture Sector Agriculture production has been centered on subsistence level integrated farming systems 2.9% of the total land area (1,125 sq. km) is under agricultural cultivation
Agriculture - Plans /Programs Guided by RNR (Renewable Natural Resources) Policies and the Five Year Plans (FYP) Key Strategy of the 11 th FYP: - To transform the RNR sector into a commercially viable sector that provides higher returns to the farmers, improves rural livelihood, reduces imports and promotes exports, and offers attractive employment opportunities to youth
Main crops cultivated Rice, maize, buckwheat, barley and millet Main horticultural produce Fruits and vegetables Livestock rearing - an integral part of the farming system in Bhutan Diversity of food items enhanced by: - wild vegetables - medicinal plants - Non Wood Forest Products (NWFPs) collected from nature.
B. Production of main Fruits & vegetables for exports Apple: - Grown mostly in western Bhutan (approx. at altitude of 2100 to 2500 m) - Varieties/cultivars (Royal Delicious, Red Delicious) Mandarin (Orange): - Grown in southern mid & foothills of Bhutan - Production in decline due to Citrus Greening disease Potato, Cabbage, Carrot, Asparagus: -
Production of selected fruits & vegetables in MT (2013-15) Horticultural Crops 2013 2014 2015 Apple 8,032 7,051 3,488 Mandarin 33,469 45,226 17,819 Potato 50,390 53,612 19,907 Cabbage 3,961 4,364 1,194 Carrot 755 746 486 Asparagus 283 205 -
C. Export of fruits and vegetables Exports mainly to Bangladesh and India as fresh produce Certification Issuance of Phyto-sanitary Certificate (PSC) based on requirements of ISPM Guidelines 7 and 12 In accordance with the IPPC requirements Laboratory test results based on importer s requirements (for for Bangladesh Radioactivity free certificate and formalin and for India - no requirements for exports)
Export of fruits for last three years Year Bangladesh India Total (MT) Apple (Aug - Sept 2014 1,398.80 2015 1,503.38 Qty exported is negligible 1,398.80 1,503.38 2016 1,197.678 1,197.678 2013-2014 12,953.069 672.064 13,625.133 Mandarin (Nov - Feb) 2014-2015 25,570.180 8,990.078 34,560.258 2015-2016 4,636.812 322.862 4,959.674 2016-2017 On-going
Export of vegetables for last three years Year India Bangladesh Total (MT) 2013 21,871-21,871 Potato 2014 26,641 208 26,849 2015 19,888 19 19,907 2013 - - - Asparagus 2014 0.162 0.125 0.287 2015 0.030 0.276 0.306
Export of vegetables for last three years Year India Bangladesh Total (MT) 2013 1,384-1,384 Cabbage 2014 1,557-1,557 2015 1,194-1.194 2013 336-336 Carrot 2014 358-358 2015 486-486
D. Key Challenges in Export of Fruits Bhutanese certification not accepted by importing countries Poor quality because of no full time/ professional growers, inferior varieties, high production cost because of topography High post harvest damage Difficulty to get labour and high cost of labour
D. Key Challenges in Export of Fruits High transportation cost and lack of proper freshproduce transport vehicles Cross border transit issues, trade issues related to land locked countries, lack of sea and dry ports Need to tranship between borders
PPP in the establishment and operation of dry ports Contract farming in partnership with reputed firms from importing countries Promote FDI in commercial agriculture with a focus on international markets E. Way forward: Accreditation of local certifying agencies to more widely accepted certifying agencies Bilateral/Trilateral transport agreements to permit free movement of trucks Expedite the establishment of dry ports Harmonization through recognition of Good Agriculture Practices (GAP) implemented by the exporting countries Mutual Recognition Arrangements between the National Protection Organizations (NPOs) of trading countries
Thank you for your kind attention!