India’s sugar exports in the first four months of the sugar season 2021-22 have jumped 242 per cent on robust demand. Shipments during October-January period stood at 31.5 lakh tonnes as compared to 9.2 lakh tonnes in the same period last year, according to the Indian Sugar Mills Association (ISMA), the apex trade body.

 

Indian exporters have contracted around 50 lakh tonnes of the sweetener for exports, so far. Further, it is reported that over 8 lakh tonnes of sugar is in pipeline to be exported in February 2022.

 

Further, ISMA said that sugar output till mid February was up 5.6 per cent at 220.91 lakh tonnes, as compared to 209.11 lakh tonnes in the same period last year. Out of 516 sugar mills that had started crushing in 2021-22 sugar season, 13 sugar mills have stopped their crushing operations so far. Last year, 496 sugar mills were in operation, out of which 32 had stopped crushing on the corresponding date last year.

 

In Maharashtra, the sugar production till Feb 15 was 14 per cent more at 86.15 lakh tonnes as compared to 75.46 lakh tonnes in the same period last year. However, in Uttar Pradesh, the sugar production in the current season is trailing last year’s levels. As of mid-Feb, the sugar output in UP was about 9 per cent lower at 59.32 lakh tonnes as compared to 65.13 lakh tonnes in the same period last year.

 

In Karnataka, the sugar output was higher by 15 per cent at 44.85 lakh tonnes till mid-Feb as compared to 39.07 lakh tonnes. Also in Gujarat, the production was higher at 6.91 lakh tonnes (6.55 lakh tonnes in same period last year), while in Tamil Nadu the production has increased to 3.60 lakh tonnes (2.47 lakh tonnes). The remaining States of Andhra Pradesh & Telangana, Bihar, Uttarakhand, Punjab, Haryana, Madhya Pradesh, Chhattisgarh, Rajasthan and Odisha have collectively produced 20.08 lakh tonnes till mid-Feb.

 

Ethanol requirement, allocation

 

On the ethanol front, ISMA said that out of the requirement of 95 crore litres given by the oil marketing companies (OMCs) in the fourth 4 cycle, about 39 crore litres have been offered by the suppliers. OMCs are currently examining the bids and are expected to do the allocations shortly. However, for the 2021-22 Ethanol supply year, OMCs have already allocated about 385 crore litres of ethanol from different feed stocks.

Zimbabwe has lifted its ban on genetically modified (GM) corn import for the first time in 12 years. The southern African nation has allowed imports of GM corn to avert famine while battling its worst drought in 40 years.

 

While no official announcement has been made, officials claim that Zimbabwe has previously allowed GM corn imports from South Africa, but the grain is carefully quarantined and milled into cornmeal, a national staple. Currently, cornmeal which is used to make the staple food in Zimbabwe known as sadza, is in short supply across the country. Zimbabwe is in the midst of its worst drought and corn harvest is expected to plunge by more than half this season and there is a likely supply deficit of between 800,000 tons and 1 million tons.

 

Jannie de Villiers, chief executive officer at Grain SA said that Zimbabwe only imports non-GM corn not because of food safety concerns, but due to seed safety concerns. 'They do not want to be dependent on seed from multinational companies,' de Villiers added.

Jordan's state grain buyer has issued an international tender to buy 120,000 tonnes of milling wheat sourced from optional origins, European traders said on Wednesday.

 

The deadline for submission of price offers is Feb. 23, with shipment sought in a series of possible combinations in 60,000 tonne consignments.

 

Possible shipment combinations are July 16-31, Aug. 1-15, Aug. 16-31 and Sept. 1-15.

 

The tender continues a period of active grain importing by Jordan.

 

The country has also issued a tender for 120,000 tonnes of animal feed barley, closing on Feb. 22.

 

In its last wheat tender on Feb. 1, Jordan's state grains buyer purchased 60,000 tonnes after also seeking offers for 120,000 tonnes.  

The total foodgrains production in the country is pegged to reach an all-time record high of 316.06 million tonnes as per the Second Advance Estimates of production of major crops for the agricultural year 2021-22, released by the Ministry of Agriculture and Farmers Welfare on Wednesday.

 

The estimated foodgrains production for agricultural year 2021-22 (July-June) is 1.71 per cent higher than 310.74 million tonnes recorded in 2020-21 and the target set for the current year, show the estimates. It shows that wheat production is also expected to reach at the highest ever level of 111.32 million tonnes during 2021-22, which is 1.58 per cent higher than 109.59 million tonnes during the last year. The total production of rice (kharif and rabi both) is also expected to reach an all-time record high of 127.93 million tonnes, which is 2.86 per cent higher than the last year’s rice output of 124.37 million tonnes.

 

In 2021-22, the production of 9 oilseeds–groundnut, castorseed, sesamum, nigerseed, soyabean, sunflower, rapeseed & mustard, linseed and safflower– is estimated to at 371.47 million tonnes, which is 3.34 per cent higher than 359.46 million tonnes recorded during the last year.

 

The rabi oilseed production is expected to reach 133.32 million tonnes in the current year, which is 9.06 per cent higher than the last year’s figure of 122.24 million tonnes. The production of rapeseed & mustard, which is the main rabi oilseed crop, is expected to reach at a record level of 114.59 million tonnes–12.24 per cent higher than last year’s figure of 102.10 million tonnes.

 

The increase in rapeseed and mustard production is significant because the edible oil prices, particularly mustard oil prices, have soared to a record high in recent months. According to the data available on the Ministry’ website, on 16th February, 2022, the all-India average retail price of groundnut oil was reported at Rs 179.42 per kg, mustard oil at Rs 190.11 per kg, vanaspati Rs 141.10 per kg, soya oil Rs 147.39 per kg, sunflower oil 160.83 per kg and palm oil Rs 131.06 per kg. The average retail prices of these six edible oils are higher in the range 10.34% to 30.49% when compared to the prices a year ago.

 

The pulses production is estimated to increase by 5.87 percent to 26.96 million tonnes in 2021-22 from 25.46 million tonnes in the last year. Among pulses, gram production is estimated to reach at 13.12 million tonnes during the current year from 11.91 million tonnes during the last year.

 

In a statement, Union Agriculture Minister Narendra Singh Tomar said that the 'new record' of foodgrains production in the country is the 'result of hard work of farmers, efficient research of scientists and farmer friendly policies of the Government.'

 

'Total production of Sugarcane in the country during 2021-22is estimated at 414.04 million tonnes which is higher by 40.59million tonnes than the average sugarcane production of 373.46 million tonnes,' the statement said.

 

The statement further said, 'Production of Cotton is estimated at 34.06 million bales (each of 170 kg) is higherby 1.12 million bales than the average cotton production of 32.95 million bales.'

FSSAI has issued a notice specifying the authorisation mechanism for recycled plastics manufacturers as per the draft Food Safety and Standards (Packaging) Regulations, 2022, for permitting the use of recycled plastics as food contact materials.

 

Under the ‘mechanism,’ the operator of a recycling plant shall apply and obtain an ‘authorisation’ from the ‘food authority’ by submitting necessary information in the prescribed proforma. And the ‘authorisation’ will allow such manufacturers to recycle plastic as food contact material while the food authority will have the right to inspect the premises, as and when required.

 

According to the approved mechanism, the applicants desirous to manufacture food contact material from recycled material need to submit an application form along with a fee of Rs 2,000 and submit the application to the CEO, FSSAI.

 

An official with the FSSAI said that the applications will be scrutinised and an ‘appropriate’ recommendation would be made for the approval within 30 days of the receipt of the application as specified in the guidelines.

 

The applicants would be issued an authorisation letter similar to the approvals issued under the products/claims approvals, with a general condition that the food authority reserves the right to inspect the record, premises, manufacturing and other related facilities of the applicants prior/post authorisation.

The stations under Eastern Railway (ER) will promote the prominent products of nearby areas —be it food or goods — and facilitate a smooth supply chain with the help of railways.

For instance, Jaynagar can be the promotional hub for moa (a sweetmeat delicacy of Bengal), Phulia for tant saree, Krishnagore for clay crafts, Bishnupur for Dokra and terracotta art or Khagra for brass utensils. Malda is also being considered as a hub for promoting mangoes and mango-related products.

 

'The idea is to promote the supply chain of local products with the help of the railways and make each railway station a promotional hub by showcasing the product. This will help in developing more efficient logistics for farmers and local entrepreneurs to promote regional products.

Even tourism can be developed revolving around the product,' ER general manager Arun Arora told TOI. In fact, ER had already floated a tender for Phulia as the hub for the unique textile it produces. The surplus railway land will be leased out for the hub and there will be a seamless supply chain of the finished products.

 

Apart from ER gaining goods traffic, the initiative will give a tremendous boost to the local product and local enterprise, said Arora.

 

To further facilitate this, ER has entered into an understanding to use the post office for booking parcels. The ministry of commerce and industry is putting in place an institutional mechanism to propagate ‘One District One Product’ as a movement with the help of all state governments.

Besides, the budget has provision for 100 mega terminals to promote industries and its supply-chain. Two stations have already been earmarked — Janai Road and Maithon. The terminals will be linked with roadways and riverine routes. Asansol and Bandel will have world class makeover.

As part of the key theme 'Millets', a millets food festival, launch of a millets book, and various seminars focusing on its health and nutritional benefits will form the core of the 'Food, Agriculture and Livelihood' fortnight at the India Pavilion in EXPO2020 Dubai starting on Thursday.

 

The UN General Assembly has recently adopted the resolution, sponsored by India and supported by more than 70 countries, to declare 2023 as the aInternational Year of Millets'.

 

India's Additional Secretary, Agriculture, Dr Abhilaksh Likhi will inaugurate the 'Food, Agriculture and Livelihood' fortnight at the India Pavilion.

 

At the ongoing EXPO2020 Dubai, India will pitch to become the preferred sourcing partner for the global food processing industry during the fortnight and host various seminars and conferences to deliberate on ways to explore international collaborations and further strengthen its export potential, a release from the Ministry of Agriculture and Farmers' Welfare said.

 

The fortnight will showcase India's prowess in sectors such as food processing, horticulture, dairy, fisheries, and organic farming and the vast investment opportunities that it offers.

 

Agriculture, with its allied sectors, is the largest livelihood provider in the country. The sector contributes a significant share of around 21 per cent to the overall GDP. With total exports of agricultural and allied products at $41.25 billion in FY21, India is among the 15 leading exporters of agricultural products in the world.

 

The government has allowed 100 per cent FDI in the marketing of food products and food product e-commerce under the automatic route to harness the untapped potential of this sector. An incentive outlay of Rs 10,900 crore ($1,484 million) for the food processing sector has also been approved under the PLI scheme. In addition, the comprehensive Agriculture Export Policy has been introduced to increase India's agricultural export to $60 billion by 2021-22 and $100 billion in the next few years.

 

'The sector is set to witness increased investment in agricultural infrastructure such as irrigation facilities, warehousing, and cold storage, with global consumption reaching the pre-pandemic level,' the release added.

India is likely to export at least 80% of its products to the UAE duty-free once the bilateral free trade pact comes into effect.

 

The country would be able to export textiles worth an additional $2 billion in the next two years and treble the plastics exports to the UAE under the Comprehensive Economic Partnership Agreement (CEPA), which the two sides will sign on Friday, said people aware of the matter.

 

The pact is aimed at increasing bilateral trade to $100 billion in the next five years, from $60 billion now. It is also expected to create more than 500,000 jobs in India's gems and jewellery, textiles, engineering products, pharmaceuticals, medical devices, automobiles, leather, sports goods and furniture sectors, as per industry estimates.

 

'Almost all sensitivities have been taken care of. It is a win-win deal for both the sides. Around one lakh jobs are expected to get created in the UAE,' said an official, who did not wish to be identified.

 

India is keen to get duty-free market access for its fresh and frozen bovine meat, cheese, spices, certain organic chemicals and paper products. Sports goods and furniture exports to the UAE could also get zero-duty access while India's plastic exports could rise to $1.3 billion from about $418 million at present. Industry had identified about 1,100 products, including washing machines, ACs, refrigerators, spices, tobacco, cotton fabrics, textiles and leather, whose exports it wanted to increase through the pact. 'We expect exports of plain and studded gems and jewellery to increase to $10 billion by 2023 and double thereafter in the next five years,' said the official.

 

Industry has sought abolition of 5% import duty on the exports of gold, silver and platinum jewellery from India to the UAE, as exports of these goods shrank to $1.18 billion in 2020-21 due to the Covid-19 pandemic. In December last year, the UAE lifted a ban on import of eggs and other poultry products from India, conceding a long-standing demand.

 

Negotiations for the CEPA were launched in September 2021, India's first such trade deal in the Gulf region. It is likely to cover areas such as goods, services, rules of origin, digital trade, government procurement and investment.

 

The UAE is India's third largest trade partner. It was India's second-largest export destination after the United States in the previous fiscal, with exports amounting to about $29 billion.

India will pitch to become the preferred sourcing partner for the global food processing industry during the fortnight at EXPO2020 Dubai and host various seminars and conferences to deliberate on ways to explore international collaborations and further strengthen its export potential.

 

Additional Secretary, Ministry of Agriculture & Farmers Welfare, Dr.Abhilaksh Likhi, will inaugurate the ‘Food, Agriculture and Livelihood’ fortnight at the India Pavilion in EXPO2020 Dubai on February 17th, 2022. The fortnight will showcase India’s prowess in sectors like food processing, horticulture, dairy, fisheries, and organic farming and the vast investment opportunities that it offers.

 

As part of the key theme - ‘Millets’, the fortnight will witness the millets food festival, the launch of Millets Book, and various seminars focusing on its health and nutritional benefits. It is noteworthy here that the UN General Assembly has recently adopted the resolution, sponsored by India and supported by more than 70 countries, declaring 2023 as the ‘International Year of Millets’.

 

Agriculture, with its allied sectors, is the largest livelihood provider in the country. The sector contributes a significant share of around 21% to the overall Gross Domestic Product (GDP). With total exports of agricultural and allied products at US$ 41.25 billion in FY21, India is among the 15 leading exporters of agricultural products in the world.

 

To harness the untapped potential of this sector, the Government has allowed 100% FDI in the marketing of food products and food product e-commerce under the automatic route. An incentive outlay of Rs 10,900 crore (US$ 1,484 million) for the food processing sector has also been approved under the PLI scheme. In addition, the comprehensive Agriculture Export Policy has been introduced to increase India’s agricultural export to US$ 60 billion by 2021-22 and US$ 100 billion in the next few years.

 

The sector is set to witness increased investment in agricultural infrastructure such as irrigation facilities, warehousing, and cold storage, with global consumption reaching the pre-pandemic level.

 

The fortnight will also see participation of several senior government officials from India who will be present during the various sessions.

 

The ‘Food, Agriculture and Livelihood’ fortnight will conclude on March 2nd.

India, which is currently negotiating about half-a-dozen free trade agreements, is set to sign the first such bilateral pact with the United Arab Emirates (UAE) during a virtual summit Friday, with adequate protections for domestic industry.

 

The comprehensive economic partnership agreement (CEPA) with the UAE will have clauses protecting the interests of domestic industries and providing them a gateway to markets in West Asia and Africa, three people aware of the matter said.

 

'Negotiations for CEPA were launched in September 2021 and have been completed,' the external affairs ministry said in a statement announcing the virtual summit between Prime Minister Narendra Modi and Abu Dhabi’s Crown Prince, Sheikh Mohamed bin Zayed al Nahyan. 'The agreement will take India-UAE economic and commercial engagement to the next level. [The] UAE is India’s third largest trade partner, and bilateral trade and investment ties are expected to see significant enhancements,' the ministry added.

 

India is negotiating free trade agreements (FTAs) with the UK, Australia, European Union (EU), Canada and Israel, and all of them have negative lists of items where limited or no tariff concessions will be granted. This will be done to protect the interests of domestic industry, the three people said, requesting anonymity.

 

The CEPA with the UAE will be the second major trade deal after the India-Mauritius comprehensive economic cooperation and partnership agreement (CECPA) signed in February 2021, one of the people said. 'The India-UAE agreement is of strategic significance for both partners. We see a potential of $100 billion in bilateral trade in five years. It is a win-win for both,' he added. During the virtual summit, Modi and Sheikh Mohamed bin Zayed are expected to lay out their vision for the relations between the two sides at a time when India is celebrating 75 years of independence and the UAE the 50th anniversary of its foundation. The leaders will also discuss bilateral cooperation and regional and international issues, the external affairs ministry said.

 

Both countries collaborated closely during the pandemic in the critical areas of healthcare and food security.

 

Ajay Sahai, director general and CEO of the Federation of Indian Export Organisations (FIEO), said: 'The UAE is India’s second largest export destination, next only to the US and the growth of our exports to the UAE has been very encouraging. In the first nine months of the current financial year, our exports to the UAE have already crossed $25 billion.'

 

As per official data, the trade balance is, however, tilted in favour of the UAE, with imports (India buys a lot of crude oil from the UAE) surpassing the $43-billion mark during January-December 2021.

 

Sahai said the CEPA will facilitate greater access for Indian exports to other Gulf Cooperation Council markets as they follow the same technical standards as the UAE. 'The UAE is also a re-distribution centre and a financial hub. Much of the exports to Africa are routed through Dubai,' he said.