A Report on Organic Foo

Vikash Maurya
 Contents
Introduction.............................................................................................................2
Topic No 1................................................................................................................3
Which organic food of Arunachal Pradesh can be supplied in India and outside India?
number of organic foods?....................................................................................................3
Topic No 2................................................................................................................5
What is the consumption of organic food of Arunachal Pradesh in the Indian market?.........5
The following are some of the variables influencing the organic food market in Arunachal
Pradesh:...........................................................................................................................5
The organic food market in Arunachal Pradesh has the following difficulties:...................5
Topic No 3................................................................................................................6
Transportation cost of India's top market organic food. (via railway, and via vehicles)..........6
Topic No 4................................................................................................................7
Explain of India Organic Food Market Trends and It has been the impact of COVID-19 on the
India organic food market....................................................................................................7
The impact of COVID-19 on India's organic food market....................................................8
Topic No 5..............................................................................................................10
What is the breakup of the India organic food market based on the distribution channel?. 10

1|Page
Introduction

Food that has been cultivated and produced without the use of synthetic
pesticides, fertilizers, genetically modified organisms (GMOs), antibiotics, or other
artificial ingredients is referred to as organic food. Instead, to maintain soil
fertility, manage pests, and assure the health of crops and cattle, organic farming
uses natural methods. For its alleged health benefits and environmentally friendly
production practices, organic foods are popular choices among consumers.

Indian state of Arunachal Pradesh is in the northeast and is renowned for its rich
biodiversity and varied cultural traditions. There are numerous indigenous
settlements and sizable tribal populations in the state. Organic farming methods
have gained popularity in Arunachal Pradesh in recent years because of both
environmental concerns and potential economic gains for regional farmers.

In Arunachal Pradesh, efforts to promote organic farming frequently entail helping

local farmers make the switch from conventional to organic farming practises by
offering training and technical support. To inform farmers about organic farming
practises, certification procedures, and marketing methods, a number of
government initiatives, non-governmental organisations (NGOs), and agricultural
institutions work together.

Overall, Arunachal Pradesh has seen a rise in interest in organic farming due to a
mix of favourable environmental factors, traditional knowledge, market demand,
and a desire for sustainable development. This movement promotes not only the
health and happiness of the neighbourhood communities but also the protection
of the distinctive natural and cultural resources of the area.

2|Page
Topic No 1
Which organic food of Arunachal Pradesh can be supplied in India and
outside India? number of organic foods?

Since Arunachal Pradesh has a high biodiversity, it offers a variety of organic foods
that could be sold both domestically and abroad. Arunachal Pradesh produces a
variety of organic foods, some of which could be considered for supply:

1. Kiwi: Arunachal Pradesh is renowned for producing kiwi fruits of the

highest caliber. Due to its nutritional worth and health advantages, kiwi has
grown in popularity, and there is a potential market for it both domestically
and abroad.

2. Organic Tea: The state is renowned for producing organic tea. The organic
tea produced in Arunachal Pradesh can find a market among health-
conscious consumers worldwide as the demand for specialty and organic
teas grows globally.

3. Oranges: Oranges are one of many citrus fruits that the state produces. Due
to their alleged health advantages and lack of pesticide residues, organic
oranges are becoming more and more popular.

4. Honey: The rich flora and clean environment of Arunachal Pradesh can help
in the production of premium organic honey. There may be a demand for
this product both domestically and abroad.

5. Spices: Different spices, including cardamom, ginger, and turmeric, may be

found throughout the state. The culinary and wellness industries are
interested in organic spices, which offers a good export possibility.

3|Page
 6. Mushrooms: Edible mushrooms, especially the ones that grow in the
jungles of Arunachal Pradesh, may be a niche item for the organic market.

7. Traditional Millets: Traditional millet varieties have historically been grown

in Arunachal Pradesh. Millets may find a market among health-conscious
customers as they acquire recognition for their nutritional worth and
resistance to climate change.

8. Herbal products: The area's diverse plant life has flourished thanks to its
unique biodiversity. These could be utilized to create natural skincare
products, essential oils, and herbal drinks.

9. Exotic Fruits: The exotic fruits that can only be found in Arunachal Pradesh
are passion fruit, dragon fruit, and persimmons. These fruits could draw
consumers from both home and foreign markets.

10.Bamboo Shoots: Bamboo shoots can be processed and sold as an organic

food item. They are a common element in many Northeastern Indian
dishes.

It's critical to secure adequate certification, quality control, and compliance with
domestic and international organic standards when thinking about supplying
organic goods from Arunachal Pradesh. The success of these items in both home
and foreign markets will also depend heavily on an understanding of market
trends, consumer preferences, and distribution methods.

4|Page
Topic No 2
What is the consumption of organic food of Arunachal Pradesh in the
Indian market?

Organic food from Arunachal Pradesh is still not widely used in the Indian market,
although this is changing. Cardamom, ginger, kiwi, and tea are just a few of the
organic crops that are widely grown in the state. Although these goods are
exported to other nations, they are beginning to be offered on the Indian market
as well.

There are a few reasons why there is still a dearth of organic food from Arunachal
Pradesh being consumed in India. First, because of the state's remoteness, it
might be challenging to get organic goods to market. Second, the organic food
sector in India is still quite small. However, as people become more aware of the
advantages of eating organic food, there will likely be a greater demand for these
goods.

The following are some of the variables influencing the organic food
market in Arunachal Pradesh:
 The growing understanding of the advantages of organic food for health.
 The expanding need for wholesome food.
 The encouragement of organic farming by the government.
 The market's accessibility to organic goods.

It is anticipated that as the state of Arunachal Pradesh's organic food market

expands, so will consumer demand for the product. Both the state's farmers and
customers seeking wholesome and secure food would gain from this.

The organic food market in Arunachal Pradesh has the following

difficulties:
 The general lack of consumer knowledge about organic food.
 The expensive price of organic food.
 The absence of a system for producing and selling organic food.

5|Page
By increasing public awareness of the advantages of organic food, lowering the
price of organic food, and enhancing the infrastructure for the production and
distribution of organic food, these difficulties can be solved.

Topic No 3
Transportation cost of India's top market organic food. (via railway, and
via vehicles)

Transportation costs can depend on the distance travelled, the manner of

transportation, the cost of fuel, the infrastructure, the handling, and other factors
can all have a significant impact on how much it costs to transport anything.
Roadways and railways are frequently used in India for the transportation of
products, especially organic food.

Transportation by railway:

For the long-distance delivery of bulk products, especially organic food, railroads
might be a financially advantageous option.

The price is determined by several variables, including the travel distance, the kind
of rail service (express, freight, etc.), the quantity of cargo, and any additional
services needed.

Costs associated with handling and packing at both ends, potential delays, and
route availability may all be factors in rail shipment.

Transportation on the road:

Road travel offers convenience and accessibility to many sites, even in remote
ones. Distance, fuel costs, vehicle type, tolls, maintenance, and potential delays
caused by traffic or road conditions are all factors that affect the price of road
transportation.

6|Page
Temperature-controlled vehicles may be necessary for perishable items like
organic food, which can raise the cost of transportation overall.

For shorter distances and lower loads, road transport may be more appropriate.

It's vital to remember that transport prices can change because of several
logistical and economic reasons. I suggest contacting logistics firms, goods
forwarders, or industry associations with expertise in the Indian organic food
supply chain if you're looking for precise and recent information on transportation
costs for the country's largest market for organic food. Insights on domestic
transport costs may also be found in government sources or market research
papers.

Topic No 4
Explain of India Organic Food Market Trends and It has been the impact
of COVID-19 on the India organic food market

In most recent analysis, "India Organic Food Market: Industry Trends, Share, Size,
Growth, Opportunity and Forecast 2023-2028," by IMARC Group examines the
market for organic foods in India.

“In 2022, the organic food market in India had a value of $1,278 million. Looking
ahead, IMARC Group projects that the market will increase at a compound annual
growth rate (CAGR) of 23.8% from 2023 to 2028, reaching US$ 4,602 Million.”

Some market trends given below,

1. Rising Health and Wellness Awareness: Indian consumers are actively

looking for healthier food options as they have grown more health
conscious. Due to the perception that organic food items are healthier and
free of hazardous chemicals, there is an increasing demand for them.

7|Page
 2. Population of the Middle Class Growing: India's growing middle class has
resulted in better discretionary earnings and a greater readiness to spend
money on high-end goods like organic foods.

3. Online retail and e-commerce: The emergence of e-commerce platforms

has facilitated consumers' access to a variety of organic goods. Due to the
convenience and selection, it provides consumers, online retail has made a
big contribution to the expansion of the organic food sector.

4. Standards for Certification: The demand for certified organic products has
been fueled by growing knowledge of organic certifications and the value of
authenticity. Consumers can be confident that a product is truly organic
thanks to well-known certifications like India Organic and USDA Organic.

5. Changes in lifestyle: its brought about by urbanization include a preference

for sustainable and better eating options. There is a growing market for
organic food as more people relocate to urban areas.

6. Governmental Initiatives: The Indian government has launched programs

to encourage organic farming and provide-assistance to farmers who use
organic methods. The organic food industry has grown because of these
initiatives.

The impact of COVID-19 on India's organic food market

Foods that are organic are regarded to be safer and healthier than conventional
foods. The COVID-19 outbreak has caused a spike in demand for organic and
environmentally friendly products. As a result of the epidemic, consumer
understanding of the relationship between nutrition and health is expanding. As a
result, demand for goods with a "health halo" has increased dramatically. Due to
the boom in smartphone usage and inexpensive internet in India, there has been

8|Page
an increase in the availability of information regarding organic food. E-commerce
platforms can provide a channel for communicating with potential clients all over
the nation. Consumers are paying more attention on their nutrition because of the
increased prevalence of chronic diseases including heart disease, cancer, and
diabetes as well as rising healthcare costs.

There are some specific effects of COVID-19 on the organic food sector in India,

1. Greater Health Awareness: The epidemic brought attention to the value of

living a healthy lifestyle and increased interest in organic foods because of
these foods' alleged health advantages. As consumers got more aware of
what they were eating, there may have been a rise in the demand for
organic goods.
2. Supply Chain Disruptions: Organic food supply chains, which mainly rely on
smaller farms and regional markets, were impacted by lockdowns and
limitations. Due to issues with transportation and distribution, some
products were only occasionally available, which might have both positive
and bad effects on the market.
3. The growth of e-commerce: As physical retailers faced closure or decreased
foot traffic, many customers went to online marketplaces to buy organic
goods. This transition to e-commerce could have made organic foods more
accessible to a larger consumer base.
4. Export Obstacles: Exports of organic foods are a part of the Indian market.
Disruptions in international trade brought on by COVID-19 and logistical
difficulties may have had an influence on the export of organic goods.
5. Farmer and Producer Challenges: Labour shortages, transportation
constraints, and difficulty with market access may have presented
challenges for small-scale organic growers. However, some farmers may
have looked into direct-to-consumer business structures to get over these
difficulties.
6. Governmental Initiatives: Through a number of programmes, the Indian
government has promoted organic farming. The emphasis on self-sustaining
agricultural practises may have been impacted by COVID-19, which may

9|Page
 have resulted in prospective regulatory changes to assist the organic
industry.
7. Consumer buying Patterns: The pandemic's effects on the economy may
have affected consumer buying patterns, which could have a negative effect
on high-end organic goods. Sales of more expensive organic goods may
have suffered because consumers may have been more price sensitive.

Topic No 5
What is the breakup of the India organic food market based on the
distribution channel?
Breakup of the India organic food market based on the distribution channel are
given below,

1. Organic specialty stores: Specialty stores that sell only organic products are
called organic specialty stores. Fruits, vegetables, cereals, dairy products,
and other organic food items are available in a variety of varieties from
them.
2. Supermarkets/Hypermarkets: There are special areas for organic foods in
several of India's chain supermarkets and hypermarkets. Typically, these
sections offer a wide range of organic goods, including packaged goods,
fresh fruit, and snacks.
3. Online retail: As e-commerce has grown, there are now more organic
products available online. Organic food goods are available on numerous
platforms and websites, allowing customers to order them conveniently and
have them delivered right to their house.
4. Farmers' markets: Farmers' markets have grown in popularity in several
cities as a direct source for customers to purchase organic, freshly grown
produce. Small-scale organic farmers can offer their goods to customers
directly through these markets.
5. Health Food Stores: Stores with a strong emphasis on health frequently
stock organic goods. Customers seeking wellness products and healthier
options are catered to by these establishments.
10 | P a g e
 6. Community Supported Agriculture (CSA): Using this business model,
customers sign up to get regular shipments of fresh organic produce from
nearby farms.
7. Direct-to-Consumer (DTC): Some organic farms and producers develop
direct connections with customers through on-site sales or subscription-
based business models.

11 | P a g e