Promoting Canadian Agrifood Exports – Potato Peeler Mitchell Allan Wednesday, November 5th

Introduction What is the size and scope of the potato industry in Nepal? What export item is this presentation focusing on?

1st in productivity (13.58 t/ha) Potatoes in Nepal 1st in productivity (13.58 t/ha) 2nd in production (25,170, 696 tons) 5th in area grown (185,342 ha)

Item of Export Potato Peeler: widely used in North America as a way to remove the outer layer of skin without sacrificing the nutrient rich layer directly underneath (NARC, 2014). This presentation will focus on larger scaled, mechanized potato peelers. These peelers can be used by larger companies for processing potatoes into snacks and meals.

Companies Involved What Canadian companies would be involved exporting this product? What Nepalese businesses would import potato peelers?

Canadian Companies OMCAN: a Canadian company responsible for the supply and distribution of various food processing equipment. Have associates in North America, Europe, and Asia. Website: www.omcan.com Al Freight Forwarding: a Canadian company that can assist with transportation of these products from Canada to Nepal. Website: www.alfreightforwarding.com

Potato Peelers Model PP15SS Model DB25HD Model: DB25HD Horsepower: 1 HP Consumption: 0.73 kW/h Capacity: 55 lbs. Output: (approx.) 1100 lbs/hr. Electrical: 110V/60/1 Weight: 99 lbs. Packaging Weight: 136 lbs. Dimensions (DWH): 26 3/8" x 21 5/8" x 45.50" Packaging Dimensions: 31" x 49" x 52" Item #: 20367

PP15SS & DB25HD Comparison PP15SS DB25HD Manufactured: China. Weight: 133 pounds. Processes: 33 pounds/ min. Best Suited: hotels, medium scaled restaurants. Cost: $3,085. Manufactured: Brazil. Weight: 136 pounds. Processes: 1110 pounds/ hour. Best Suited: large scale potato processing operations. Costs: $6,800.

Nepalese Companies Snack foods Hotels/ Restaurants Divided into two subgroups: Snack foods Hotels/ Restaurants

Snack Foods Rasuwa Industrial Village, C.G. Foods Nepal, Margo Traders, and Warsi Foods. All are potato snack companies with revenues of at least $1,000,000. All are located in Kathmandu or surrounding areas. Have infrastructure to support the DB25HD model.

Hotel/ Restaurants Three hotels located in Kathmandu were contacted and researched. These hotels have restaurants and income large enough to utilize the PP15SS effectively. Shangri- La Hotel (977-01-4415754) Royal Singi Hotel (977-01-4424190) Hyatt Regency (977-01-4491234)

Benefits from Trade What are both the direct, and indirect benefits to both Canada and Nepal?

Benefits to Canada Increase Revenues Gain a Global Market Share Help the company keep up with other international companies. Reduce dependence on existing markets. Form a Foundation for Asian Markets Strengthen existing contacts in Nepal Opening up potential new markets. Increase Revenues Benefits employees Allow expansion for Canadian companies and increase ability to deal with competition.

Benefits to Nepal Help Nepalese Farmers Reduce Wastes Help create greater environmental sustainability in Nepal. Benefit companies and help them increase revenues. Help Increase Tourism/ International Trade Allow hotels and restaurants to create better food increase capacity of restaurants. Allow snack food companies to lower costs and compete in domestic and international markets. Help Nepalese Farmers Greater amounts of potatoes can be processed, help farmers who grow potatoes. Greater revenues. Allow farmers to create a higher standard of living and purchase helpful technology.

Conclusions Would I recommend this potential trade agreement? Are there any references that provide more information?

Recommendation - YES Both countries could benefit greatly from trade. Has the potential to benefit a Canadian company and it’s employees through increased revenue. Can greatly improve the quality of living for Nepalese farmers.

More information Buddhi, S. (2007, January 1). National Potato Research Program. Retrieved October 2, 2014, from http://narc.gov.np/org/potato_research_program.php   Foreign Buyer Financing. (n.d.). Retrieved October 2, 2014, from http://www.edc.ca/EN/Our-Solutions/Financing/Foreign-Buyer-Financing/Pages/default.aspx Hirst, C (2014) Personal communication by email (sales@omcan.ca). Date: Oct. 1, 2014. C. Hirst is in charge of sales inquiries for OMCAN Canada Ltd. Nepal: Trade Policy and Integration. (2014, January 1). Retrieved October 1, 2014, from http://go.worldbank.org/1O2UCH8DM0 OMCAN Food Machinery. (n.d.). Retrieved October 2, 2014, from http://omcan.com/featuredproducts.html