Sunday, September 27, 2020

Cold chain management : Issues on supply chain of fruits and vegetables

 An apple a day keeps the doctor away : Cold chain management , Issues on supply chain of fruits and vegetables


India being in the tropics is blessed with diverse climate which is conducive to the farming of exotic ,seasonal and all round available cache of fruits and vegetables. India ranks second in the production of fruits and vegetables in the world . Increasing urbanization , nuclear families ,changing lifestyle ,more disposable income have opened up a consumerism which is highly conducive to the growth of the production of fruits and vegetables. Growth of supermarket chains ,organized retail and private label penetration have increased the demand for fresh fruits and vegetables which has been instrumental in the growth of the fruits and vegetable industry

Fruit & vegetables - ChainPoint

Issues in the supply chain of fruits and vegetables :



Though blessed with conducive climatic conditions that help in the cultivation of fruits and vegetables ,the main bottleneck that stifles this industry is the fact that the cold chain supply management is not highly evolved

There are numerous intermediaries working in isolation and the infrastructure connecting them is weak

There is no yardstick to measure it quantify the demand for the products . It is estimated that less than 4 percent of products are transported by cold chain in India compared to about 90 percent in the USA ,this results in about 440 billion dollars worth of products rotting.

Major roadblocks in the growth of the fruit and vegetable industry :


*Lack of cold chain facilities , inadequate cold chain  network etc are major bottleneck that stifles the industry . This prevents the farmers and businessmen to get proper remuneration

*Lack of supply chain infrastructure  is yet another element that chokes the life line of F & V industry . Proper infrastructure ensures that the product reaches on time and in perfect condition . Lack of infrastructure leads to loss

*High cost of packaging materials is another impediment . Unless the products are properly packaged their shelf life is reduced considerable .they are highly perishable goods hence the very best in packaging material which helps them breath ,while maintaining the temperature required is very essential .the high cost of packaging materials most of the times makes the farmers opt for cheaper materials which adversely affects the quality of the produce and directly affects the earning capacity of farmers


*The farmers still rely on obsolete technology to farm , harvest and pack . Post harvest handling also requires state of the art technology which we lag behind in India

*The farmers are often ignorant on the vast scope of the F &V market . Technological awareness is almost nil which doesn't give them an overview of the global market ,the actual value of their produce which makes them fall prey to intermediaries who fleece them off their rightful profit.thid coupled with lack of awareness in management of post harvest produce , the quality of seeds etc is highly detrimental .

*The demand for organic produce is on the rise . The quality ,freshness , the method of cultivation all add to the value of the produce . The lack of infrastructure ,awareness etc most of the times results in compromising on the quality of the produce which indirectly affects not only the profit of the farmer but also the health of the consumer .India doesn't have a proper quality check or standard in place to assess the quality of the produce .this makes our produce not export worthy .

*The farmers are most often victims of the unscrupulous interventions of the intermediaries who eat up most of the profit whereby the farmers are always in a state of perpetual penury.

*Last but not the least a major roadblock is the absence of a reliable transport system . We are famous for flash strikes ,Bharath bandhs etc which halt the freight movement leading to enormous losses to F&V industry .high cost of transportation ,lack of temperature controlled vehicles , good roads etc affect the movement of goods


Next time you bite into a fresh juicy apple from Simla  , a succulent Ratnagiri  mango  or a Nagpur orange ,thank a farmer and those involved to getting it across to you fresh and juicy .

No comments:

Post a Comment

Supply Chain Dominance of China

Supply Chain Dominance of China A “Made in China” label has always been problematic in the U.S. In the early years of globalization, compani...