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Organic Food Growing in Popularity in India

  • Cola controversy paves way for organic food
    By Rucha Biju Chitrodia
    The Times of India, August 17, 2006
    Straight to the Source

MUMBAI: The pesticola controversy is making the consumer watch his diet more closely. Organic food products have suddenly graduated from a fad to a healthier option.

But even as supermarkets increasingly stock up on organic products that command a 25-30% premium, this market remains a free-for-all.

According to National Centre of Organic Farming director P Bhattacharya, "There is no regulatory mechanism for organic products in the local market as this is still a new area." The concept of organic farming developed only around 2000-01, he says.

In the absence of a regulation, there could be as many fakes stacked up with authentic ones. Products labelled natural are also sometimes thought of as organic, says a survey by the International Competence Center for Organic Agriculture (ICCOA).

By definition, organic means fruits, vegetables, foodgrains and processed products that have been produced with no pesticides or inorganic fertilisers. "There is no law that restricts the use of the word," says Tej Pratap, ED at ICCOA.

At present, two kinds of organic products are available - certified and uncertified. A certified product would have its production process guaranteed by an accredited certifying agency. The quality assurance is displayed on the product packaging as a logo. One should also find another logo - 'India Organic'.

Few consumers though are in the know of these details. They have only a firm's reputation and their instincts to trust while buying a product. Kavita Mukhi of Mumbai's Conscious Foods, a certified organic company, says: "There is a lot of confusion. Each supermarket has its own rules to define organic product."

 While certification is not mandatory for domestic retail, it's a must for exports. India is now working towards a certification regime. M S Sawant, deputy secretary, department of agriculture (Maharashtra), assures: "An organic farming policy is expected soon."

Certification though is not a one-time affair. It's a long-term MoU between farmers with small land holdings, and a certifying agency. And it has to be renewed every year.

Besides, competing parties can cross-check the assurance guarantee of an agency. It can be challenged, and if found inadequate or false, the agency loses its accreditation.

Currently, there are ten agencies in India - like IMO Control, FKAL International, Ecocert International and Indocert which conduct rigorous checks on farms and issue certificates. The process takes three years.

Despite the tedious journey, farmers are increasingly entering the segment. According to Mathew Sebastian, ED at Indocert, "We have seen a 100% rise in the number of certifications this year already.

There are about 15,000 certified organic farmers in India." This despite the fact that high costs of certification, nutrients and their management can put a typical small farmer out off business.

Then, there is also the issue of premium pricing. In India, a consumer is willing to pay a 5-7% premium. With corporate houses like Reliance, Godrej Agrovet and ITC Foods keen on this segment, consumers can look forward to credibility and an organised market.

 Â©Bennett, Coleman and Co., Ltd. All rights reserved.

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