The growth of organic purees in India – overview, regulation, plantation growth, government policies and market trend

  • April 5, 2021
  • abcfruits
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Organic Fruit puree – The overview

The demand for organic fruit purees has been on the rise over recent years due to the awareness about its health benefits and nutritional values. The term organic refers to the way the fruits are grown and harvested. The regulations for organic fruit purees vary from country to country. However, in most countries, organic fruits must be grown without the use of herbicides, synthetic pesticides and fertilizers. The organic production of fruits involves a combination of using natural fertilizers and best environmental practices. Organic farming improves the quality of the soil, reduces pollution and helps in conserving groundwater levels.

Organic fruit purees are manufactured from organic fruits that are naturally ripened and grown without the use of harmful chemicals. Our organic fruit purees are manufactured from organically certified farms. Our organic fruit purees are certified by the EU, USDA, and JAS certification bodies. A product can be claimed organic only when the certification bodies evaluate the manufacturers and issue a certificate to label their product as organic.

The difference between conventional and organic agriculture lies in the origin of fertilizers and pesticides. Pesticides and fertilizers must be of “natural origin” in organic fruits cultivation. For instance, the pesticides must be the products that can be extracted from natural minerals such as mineral copper sulfate. However, pesticides can be synthetic in traditional agriculture which is manufactured in laboratories. 

Organic farming regulation – labels and standards

The USDA label refers to the verification of organic products in terms of USDA organic guidelines which define the basic criteria that must be validated by a USDA certification agent before a product can be labelled as organic. The Indian organic certification ensures the raw materials used for growing the products should be free from synthetic pesticides. Organic farming regulation also includes testing of soil, water, and fruits from the organic farm. It should not contain any harmful pesticides and heavy metal residue. 

In the European Union standard, the European certification also guarantees other parameters such as conservation of soil fertility, preservation of biodiversity and transparent labelling. To obtain the EU logo, the products must be certified by a certification agency to attest their compliance with European organic regulation.

Organic plantation growth

Organic farming is in the incipient stage in India. The number of organic producers around the globe and in India increases considerably. As per the 2017 reports, Asia contributes to the highest proportion of organic production (40%) in the world. India holds the largest number of organic producers in the world with several 835000 producers

According to the Union Ministry of Agriculture and Farmers’ welfare, about 2.7 million hectares of farmland were under organic cultivation in March 2020. This represents 2% of the total net sown area of 140.1 million hectares. A few states have taken a lead in organic production and Madhya Pradesh tops the list with 0.76 million hectares under organic cultivation. Maharashtra, Rajasthan and Madhya Pradesh account for 50% of the area under organic farming. The top 10 states contribute to 80% of the total organic cultivation in India. 

Government policies for organic farming in India

In 2005, the government implemented various organic farming policies in India to create awareness and boost organic farming in India. Organic farming covers 2.78 million hectares in India out of 140.1 million hectares which contribute to 2%  of the area under organic cultivation. The Indian government has recently launched a variety of organic farming policies and schemes aimed at increasing organic farming in the region. The National Programme for Organic Production(NPOP) covers 1.94 million hectares of land, 0.59 million hectares are covered under Paramparagat Krishi Vikas Yojana (PKVY), 0.17 million are covered under state schemes,0.07 million is covered under Mission Organic Value Chain Development for North Eastern regions. (MOVCDNER). 

Despite having a limited organic area under cultivation, India ranks first in terms of the number of organic farmers. India has a total of 1.9 million organic farmers, accounting for 1.3% out of 146 million agricultural landowners. Government policies for organic farming in India like Zero Budget Natural farming, which reduce the cost of harvesting and growing plants. It reduces costs to zero by eliminating external inputs and using natural resources. This organic farming policy in India policy encourages the farmers to switch their conventional land into organic agricultural land that boosts the organic market in India.

APEDA certification and promotion

Due to the various agricultural climatic conditions, India has a lot of potential for producing a wide variety of organic products. The inherited tradition of organic farming is an added benefit in many parts of the world. This presents an opportunity for organic farmers to tap into a demand that is rapidly expanding both domestically and internationally. 

The APEDA, Government of India, and Ministry of Commerce and Industries have implemented the National Programme for Organic Production. This curriculum involves the accreditation of certification bodies, marketing and organic farming promotion. The European Commission and Switzerland have accepted the NPOP standards and production as equivalent to their country standards. Similarly, the USDA has accepted NPOP conformity evaluation procedures as equivalent to the NOP of the United States. With these recognitions, Indian products are accepted by the importing countries. APEDA is also in the process of bilateral equivalence with Canada, Japan, Taiwan, and South Korea.

Organic fruits cultivated in India

Organic fruit farming excludes the inputs from modern farming practices, most notably fertilizers and synthetic pesticides. Organic fruit cultivation depends on many factors such as crop residues, crop rotation, animal manure, organic wastes and biological pesticides. This improves soil fertility and helps to control weeds, insects and other pets. 

Some of the organically grown fruits in India include Guava, Mango, Papaya, Pineapple, Banana, Apple and citrus fruits. The tropical and subtropical fruits witness a gradual increase in organic cultivation. Due to the favourable climatic conditions in India, tropical fruits are dominating compared to the other fruits.   

Fruits processed

The demand and growth of organic fruit drinks have grown at a steady state over the last five years. The fruit drink market can be classified into fruit drinks (fruit content up to 30%), nectar drinks (fruit content between 25-90%) and fruit juices. (100% fruit content).

Fruit drinks are the largest market in the beverage industry with a market share of 50-60%. Mango puree based drinks are the most popular and preferred flavour among the consumers that contribute to 90% of the volume. The pineapple puree flavour shares a 3% share and the remaining are shared by the fusion of one or two flavours. 

The fruit juice market share is around 30% and expected to grow by 25-30% annually. The rising number of health-conscious customers is the key factor that will drive growth in the fruit juice market. Organic pink guava puree and organic white guava puree is gaining popularity in India, the US and European markets due to their applications and numerous health benefits. Papaya puree with mango fusion is also preferred by consumers and fruit drink manufacturers. Nectar based drinks get a market share of 10% in India. This industry is also expected to grow since nectar drinks don’t contain any additives or preservatives. 

Organic products -The market trend

The largest and fastest-growing segment of the global organic food industry is organic fruits and drinks. The growth in demand for organic fruits and drinks is largely due to the increased productivity and increased global consumption. The Covid-19 pandemic has had a positive impact on the organic food and beverage industry due to an increased awareness of balanced and nutritional diets. As a result, the organic demand for fruits and drinks has increased across the globe. 

Non-alcoholic beverages leading the beverage market

Organic fruit drinks and beverages have become a great demand across the world as customers become more health-conscious and choose beverages that are free from flavouring agents, preservatives and synthetic pesticides. This led to an increase in demand for organic fruit pulps. 

The fruit pulp manufacturers and beverage companies have adopted the organic movement by re-formulating their brands or by launching a new product range. The demand for non-alcoholic drinks is projected to rise further during the forecast period. This is due to an improvement in favourable policies from different countries towards the organic industry.

 

Organic drinks – Geographic Segmentation 

North American markets dominate the organic fruits and drink markets followed by Europe. The North American organic juice industry is further classified into the United States, Canada, and Mexico. The European juice market has been categorized into Italy, Germany, France, Spain, the UK and the rest of Europe. The organic juice market in Asia-pacific is divided into India, China, Japan, Australia, New Zealand, Japan and the Rest of Asia-Pacific. The organic juice market has been further segmented into South America, the Middle East, and Africa. As per the reports, nearly 14% of the fruits sold in the United States are organic.