SPICES BOARD INDIA PRESENTS “THE EPRP PROJECT” RESTORY ON ORGANIC EPVs IN INDIA

THE INITIATIVE AND THE MOTIVATION ►Spices Board of India wanted to introduce and demonstrate ORGANIC SPICE FARMING FOR EXPORTS. ►Spice farming was not the mainstream mandate of the Board. ►Growing export potential and a workshop on EPVs (ITC December 1998) motivated the Board to take up this initiative.

► Project EMPOWERMENT OF RURAL COMMUNITIES TO EXPORT ORGANIC SPICES was presented to DM 2000 jointly by the Board and ITC. ► Awarded for implementation with an allocation of $ 250,000. ► A Pilot initiative – E xport led P overty R eduction P rogramme

The Objectives and the Route ►Promoting Rural Clusters of organic spice farms. ►Demonstrating Organic Systems to farmers groups. ►Assisting farmers groups in obtaining Organic certification acceptable to International markets.

►Capacity building of FARMER GROUPS/NGO through development of common facility centers for processing and value addition. ►Handholding NGOs to graduate as an Exporter. ►Assisting the farmer groups/NGOs to Export the organic products like Pepper, Ginger, Turmeric, Nutmeg, Mace, Rosemary, Thyme, Oregano and Value added products from these spices.

PROJECT BENEFICIARIES DIRECT NGO partners, PDS, WSSS, HOPE,Samanwita. Rural Spice Farmers in the four project sites families of which 135 are tribals. Also an awareness group of 1400 farmers around the project site. Farmer Groups in one site (Nilgiris) 90% women and in other sites 40 to 50% women.

INDIRECT Indian Spices Export Sector – getting introduced as a source for Certified Organic Spices. Government Agencies introduced to a model for replication in other similar sectors. Spice Consumers – getting chemical free – natural – good quality spices. Demonstration of Environment friendly export related activity.

The Strategy ► Ensures export oriented production activity. ►Organic farming enriches soil fertility – Hence sustainability, disease resistance – Long term improved productivity. ►Premium price (now 25% - 75%) motivation to farmer. Even though niche market growing fast (10 to 50%). ►Introduce small scale farming in rural area more suited for B.P.L. sector in LDCs and Developing countries.

►Needs personal care and integrity of the producer to ensure brand loyalty by the consumer. ►Even after the project is completed private exporters engage them in contract farming. This has already started. ►Being niche, needing personal care and quality assurance. Not very much suited for large scale production.

Major Activities/Achievements ►Demonstrated organic farming practices. ►Trained in preparation of Organic inputs like vermi compost, botanical and herbal pesticides/fungicides. ►Members of SHGs trained in gainful employment and introduced to government funded schemes (floriculture, medicinal plants collection, animal husbandry).

►NGOs and farmer group leaders trained in Value addition techniques, packaging, labeling, storage etc. ► Training in development of SMEs, Export finance, export procedures and documentation, export costing, primary value addition etc.

► General topics of value – Gender in development, mother and child care, de-addiction, community sanitation, small savings. ► Trained in Documentation for organic certification, periodic reporting, communication – Export procedures documentation, Trade Fair participation etc.

► All the 4 NGOs provided with a P.C. with necessary tailor made software ● for documentation of organic certification ● for periodic reporting (quarterly) of project activities ● for maintaining farmers training modules ►A website developed and domain hosted for the NGOs. Highlights activities – about the farmer groups and DM project activities. Also a market promotion tool.

►The farms have now been certified organic by IMO. ►A study of organic markets in Germany, Netherlands, Belgium and Switzerland done. Findings of the study disseminated to all stake holders. ►Representatives of all the 4 NGOs participated in the Bio-fach, 2002, 2003, and 2004 at Nurnberg Germany. ►A Herbarium established in HOPE, Nilgiris ►A workshop organised for NGO’s and extension officials to educate on preparation of a bankable project.

Major Tasks – Projected and Achieved ProjectedAchieved 1. SHGs to cover 350 families and 764 acres As of March families and 4660 acres covered Master Trainings (one day)6 Master Training programmes by November 2002, One more in June (Two programmes were 2 day duration). 3 more specific need based trainings/ workshops. Two of them 1 week and one of 2 days Group Trainings36 trainings done from 2000 to 2002 itself. 16 more trainings were done in 2003 and 2004 (March).

4. Infrastructure for Market Promotion and Project Monitoring Project Monitoring Software development for all NGOs. Website developed and regularly updated. -Basic processing facilities for value addition developed.\ -Quality Testing Lab for basic parameters established -Branded consumer packs developed by two NGOs.

5. Group certification for Organic Farms 764 acres. As of March 2004, area covered is 4660 acres of which 3500 acres certified. Balance 1160 under conversion. Will be certified by April Internal Control Systems developed by the NGOs. Products covered beyond spices – coconut, banana, jack fruit and vegetables. Sustainability through Spices Board Scheme of 50% grant in aid for certification till 2007.

6.  Market Study – Europe  Fact Finding Mission of Organic Sector in Europe  NGO Participation in Bio- fach 2002  Market Study accomplished  Mission accomplished  NGO participation in Biofach 2002, 2003 &  Exclusive organic stall for the NGOs in World Spice Congress 2002 & (more than 125 delegates from 40 plus countries.  Produced the Project Film  Established Herbarium in HOPE, Nilgiris.  Project Manager attended Executive Forum – Cancun September  Many Food writers from abroad visited the project sites in the last 3 years.

Organic Farming as a system is fast growing in the Agri Sector in India, especially Spice sector. Understand several LDCs and developing countries desire replication.

► Export of organic Spices and Spice Products from India improving YearQty. in MTValue in US$ million million million million

MAJOR SPICES EXPORTED  Black Pepper  White Pepper  Ginger  Turmeric  Clove  Nutmeg  Rosemary  Thyme  Vanilla  Cardamom

► Components of the Project – Organic production, Integrated Pest Management, Contract farming, Value addition at farm level are activities easily replicable. ► IPM and Organic cultivation reduces cost of production, ensures healthy food, protects environment – agriculture sustainable. ► Possible sectors for replication – Cashew cultivation and processing Coir and other natural fibre, fisheries etc. REPLICABILITY

Replication is easily possible when 1.Product quality is most important factor. 2. A human touch and skill more needed than machine precision. 3. When processing activity not easily amenable for machine handling. 4. When consumer expects quality assurance based on personal integrity of the producer.

SPICES BOARD INDIA AND THE BENIFICIARY GROUPS THANK ITC,GENEVA AND THE WORLD BANK