Agro and food Processing industries opportunities in Manipur, INDIA

Government of Manipur is looking forward to explore the resources available towards the development of Food Processing Industries in the state as Food Processing Sector plays a significant supportive role in diversification and commercialisation of Agriculture, Horticulture, Fisheries, Poultry, Animal husbandry and Forest, improving value addition in the agricultural produce, employment generation and providing income and production of agro-food products for export.

Prospective mobilisation of this sector is mainly concerned with the raw material resources and its potential for future expansion, improvement of infrastructure, investment ability and up-gradation of technology.

Agriculture plays a vital role as it is the main backbone of the State economy till today. The agriculture is mainly dependent on monsoon however around 28.49% of area under cultivation is irrigated by Canals. Moreover with a range of natural conditions and varied soil and topography, the state produces sizeable quantity of Paddy, Wheat, Maize, Pulses, Oilseeds such as Mustard, groundnut, Soyabeans, Sunflower, Ginger, Turmeric and Fruits like Pineapple, Lime/Lemon, Banana, Orange, Papaya, Plum and vegetables like, Cauliflower, Cabbage, Tomato, Pea, Squash, Carrot, Pumpkin, etc. The existing area under fruits and vegetable crop is about 1.08% of the total geographical area and with such suitable agro-climatic conditions, the state still has lots of potential areas on the foot hills, mild hill slopes and along the river banks.

The existing area under cultivation of different crops in Manipur is 2,85,000 hectares as against the available potential area of 3,25,500 hectares.

Rice, wheat, maize, oil seeds, potato and sugarcane etc. are the main crops in the State. Among these crops, cultivation of paddy is the largest both in the plains and hills, and covers 82% of the total cultivated area. Among the variety of rice, there are two varieties of rice locally named as “CHAK-HAO POIREITON” having its natural colour (dark violet) and a distinct flavour and “CHAK-HAO” having its natural white colour, scent and distinctive flavour. Next to paddy, maize is the second largest cultivated crop.It occupies about 40% of the gross cropped area and grown mainly in the hills. Area and production of different crops are given below:

Sl	Crops	1998-99		1999-2000		2000-01
		Area	Production	Area	Production	Area	Production
		‘000 ha.	‘000 MT	‘000 ha.	‘000 MT	‘000 ha.	‘000 MT
1.	Paddy	211.50	397.66	126.49	353.99	212.39	477.21
2.	Wheat	0.45	0.68	0.75	1.00	1.00	1.03
3.	Maize	16.50	29.60	13.84	24.88	16.50	33.16
4.	Pulses	16.37	13.10	21.50	14.87	22.20	16.45
5.	Oilseeds	15.11	9.26	20.33	13.90	22.75	15.21
6.	Potato	3.88	22.99	7.30	68.50	7.52	62.04
7.	Sugarcane	4.00	240.00	3.00	180.00	3.10	185.00

Manipur has vast potential for commercial plantation of citrus fruits like lemon, lime, orange, grapes etc. and Pineapple, Banana, Passion fruit, temperate fruits and locally available fruits (amla, olive, figs, mandrine and Heirukokthong etc.). The quality of the pineapple (Q-variety) so available in Manipur has distinctive taste and flavour. So far, identified potential area is estimated at 2,77,000 Hectares. Out of this about 24,000 Hectares are covered under different crops. Area and production in respect of some of the fruits in the State are given below:

Sl.	Crops	1999-00		2000-01		2001-02
		Area	Prodn	Area	Prodn	Area	Prodn
		‘000 ha.	‘000 MT	‘000 ha.	‘000 MT	‘000 ha.	‘000 MT
A.	FRUITS
1.	Pineapple	10.00	68.97	10.02	69.14	10.08	69.43
	Banana	1.63	12.93	1.65	13.01	1.66	13.11
	Papaya	1.87	10.29	1.87	10.31	1.89	10.24
	Orange	0.90	3.68	0.93	3.70	0.94	3.76
	Mango	0.18	0.94	0.19	0.95	0.20	1.10
	Pear/peach	0.62	4.03	0.35	4.11	0.64	3.86
	Guava	0.71	2.41	0.72	2.46	0.73	2.48
	Lemon	1.10	5.07	1.13	5.14	1.13	5.17
	Jack fruits	0.29	1.14	0.29	1.16	0.30	1.20
	Others	7.27	8.67	7.30	8.67	7.30	8.81
B.	VEGETABLES
	Cauliflower	1.00	10.00	1.01	10.10	1.01	10.10
	Cabbage	1.30	15.60	1.32	15.84	1.32	15.84
	Tomato	0.50	4.08	0.50	4.12	0.51	4.16
	Pea	1.00	5.76	1.01	5.81	1.01	5.82
	Radish	0.23	2.30	0.23	2.30	0.23	2.35
	Carrot	0.28	2.04	0.28	2.03	0.28	2.07
	French Bean	0.60	1.83	0.61	1.86	0.62	1.89
	Bhindi	0.70	2.31	0.71	2.34	0.72	2.38
	Brinjal	0.31	1.60	0.31	1.63	0.32	1.65
	Knol-khol	0.29	1.50	0.29	1.50	0.29	1.50
	Others	0.31	0.87	0.31	0.88	0.32	0.89
C.	SPICES
	Chilli	7.01	22.78	7.01	22.78	7.03	23.06
	Ginger	1.10	11.00	1.10	11.00	1.11	11.14
	Onion	0.52	5.20	0.53	5.30	0.54	5.43
	Turmeric	0.31	3.72	0.32	3.78	0.32	3.78

A new thrust area is cultivation of mushrooms. In the world scenario, it is generally seen that countries with a weak economy tended towards the mushroom industries for export since mushrooms provide “hard” currencies. Mushrooms also have a low gestation period ensuring fast returns in terms of income and realisation of investments. In India during the past few years with the liberalisation of foreign investments, it has been seen that an increasing number of multinational institutions have voiced their willingness to invest in mushroom production units in the country with 100% export oriented units. There is, thus vast scope for commercial cultivation of mushrooms in India and specially in the North-East which offers ideal weather conditions for mushroom cultivation.

The State is having favourable climatic conditions for growing mushrooms. Wild varieties of mushrooms grow abundantly and some of such mushrooms are edible. Pleurotus and Agaricus mushroom varieties can be grown throughout the year in this State. Similarly other varieties such as, Auricularia Auricula (UCHINA), Schizphyllum commune (KANGLAYEN), Letimula edodes (THANGJIYEN), Volvariella SPP (CHARUYEN), etc. can also be cultivated. Substrate for cultivation of mushrooms are available locally except few chemicals that are to be procured from other states. Few varieties, which can be cultivated at normal conditions are given below:

	Varieties	Season
i)	Agaricus bisporus (Button Mushrooms)	December - March
ii)	Agaricus bitorquis	February - April/August-October
iii)	Pleurotus Flabellatus	April - July
iv)	Pleurotus Sajor - Caju	August - November
	Pleurotus Ostreatus	December - March

Dr C. O. Rangad, Ph,D. And M/s Gee Gee (Foods and packaging) Co. (P) Ltd., New Delhi had prepared a techno-economic feasibility report for the establishment of a “pilot project on Mushroom Cultivation” at Mao in Senapati District by Manipur Tribal Development Corporation Ltd. (MTDC). As per the said report, Agaricus species (Button Mushrooms) are suitable for cultivation as Button Mushrooms grow well at low temperature (i.e. 18 C to 20 C). In this regard, Horticulture Department, Government of Manipur has been encouraging local farmers to cultivate mushrooms. It is one of the important growth areas.

Tea grows wild in this State since time immemorial. However, plantation of tea for commercial production has been started from the year 1981-82 by Manipur Plantation Crops Corporation Limited in Jiribam.

The targeted project area of tea plantation is 425 ha. out of which till the end of 1996 a substantive area of 260 ha. has already been covered. The yield of green tea leaf since inception upto 30th June, 1997 was 200 M.T. approx. A target of 500 M.T. of green tea leaf is attempted during the current year. As there is no suitable alternative at present, green tea leaf are sold to the Jirighat Tea Estate, Cachar, Assam @ Rs. 5 Kg. (ex factory). The Corporation has collected a revenue of Rs. 10 lakhs upto the end of June, 1997. Considering the increasing trend of yield and productivity and also to arrest unremunerative income from sale of green tea leaf, a modern tea factory is being installed at Manipur Tea Estate, Jiribam.

Bamboo although not cultivated systematically, grow in wild abundantly along the low altitude hill areas where the rainfall is high. The major species of bamboo which are available in the bamboo forest are given below:-

Sl.No.	Botanical Name	Local Name
1.	Bambusa arundinacea	SANEIBI
2.	Bambusa pallida	KAL SUNDI
3.	Dendrocalamus giganteus	MEIRIBOB
4.	Dendrocalamus hamiltonii	WANAP/UNAP/PECHA
5.	Melocana bambusoides	MOUBI/MULI
6.	Teinostachya dulooa	DULU
7.	Bambusa tulda	UTANG

About 3,218 sq. Kms. area are covered with bamboo forest mainly by Melocana bambusoides sp. (Muli) in the reserved, protected and unclassed forest. The Forest Department, Government of Manipur has carried out survey of bamboo stock and growing stock of bamboo to determine the average yield per annum, as given below:

Sl. No	Name of Block	Geographical area (sq. kms.)	Total Bamboo area (sq. kms.)	Qty. Of bamboo in lakh tonnes	Annual yield calculated on growing stick (in lakh tonnes)
1.	Thanlon	1238.40	387.00	10.14	1.69
2.	Henglep	637.26	206.08	4.63	0.77
3.	Nungba	1465.44	278.14	13.89	2.28
4.	Tipaimukh	789.48	278.64	7.92	1.32
5.	Jiribam	309.60	36.12	0.70	0.12
6.	Tamenglong	1083.60	283.80	5.09	0.85
	Total:	5523.78	1470.28	42.37	7.03

The available resources of bamboo and bamboo shoots are yet to be commercially utilised fully in Manipur. It is mainly consumed at present in the construction of houses, mat and baskets etc. About 20-30 MT of bamboo shoots are consumed annually for the production of canned bamboo shoots. Keeping in view the existing resources and its utilisation, there is still a good scope for commercial utilisation of bamboo in the following sectors:

With the high moisture content, Bamboo shoots can be processed into the following products:

a) Canned Bamboo shoots:
	i) In brine
	ii) In curried vegetable
	iii) In syrups
b) Bamboo shoot candies
c) Bamboo shoot chutney
d) Bamboo shoot sweet pickles
e) Fermented bamboo shoots (Locally named as Soibum and Soidon)
f) Bamboo shoot powder

There is a good demand of the above bamboo shoot products (orient food) in the local and export markets, specially, in countries namely Japan, Singapore, China, Thailand, Hongkong and U.K. etc. It is one of the prospective areas for investment.

Rubber Plantation under Forest Department, Manipur started in 1977-78 in Jiribam area covering about 938 Ha.

Potential Area: Jiribam area is, in fact, a non-traditional area for the Rubber Crop. However, due to prevalence of optimum climate, edaphic conditions required for successful growth of the crop, Jiribam has got good potential for undertaking plantation of rubber in a large commercial scale. Besides, there is a good transport facility to connect the area with good markets of Rubber Crop.

The outlying areas of Jiribam town are quite good potential areas for growing rubber trees. Plantations in a large scale can be taken up in areas on both the sides of Man Bahadur Road as far as Choudhurikhal. Special targets to utilise abandoned jhum areas in a productive manner by way of rubber plantation can be set and achieved. Higher the investment, higher would be the financial returns.

Production: So far, a total of 15,000 nos. of Rubber trees are put under tapping under half spiral alternate daily system (1/2 s d/2 system). All the mature areas are not put under tapping because of many factors such as non-availability of mature and tappable trees at regular spacing. The production of raw rubber is maximum during the dry season in Jiribam (Sept. to January).

Scope for future cultivation: There is quite a good scope for cultivation of rubber in Jiribam area. In general,rubber trees can be put under tapping after 7 years of plantation and the financial returns would outpace the investment once tapping/production of raw rubber commences. As per Rubber Board Index expenditure norm, around Rs. 40,000/- per Ha. is the expenditure upto 7th Year of plantation and taking an average yield of 1000 kg of raw rubber per Ha. and market price (conservative figure) of RS. 40/- per kg, the return would be to the tune of Rs. 40,000/- per Ha. In other words, the investment made during the first 6-7 years may be said to have been recovered in the first year of tapping & production. Since rubber trees can be put under effective tapping for 25-30 years, the total return per Ha would be quite high.

Soil, Rainfall, etc.: Rubber trees required deep & well drained soil of lateritic type. It also requires humid, equable climate (21 to 35^oC) and fairly well distributed annual rainfall of 200 cm for optimum growth.

Rubber Plantation in brief (success story): Rubber Plantation in Jiribam was taken up by Forest Department with the following objectives:

	a) To generate employment.
	b) To put abandoned jhum/degraded land under productive use.
	c) To demonstrate a viable alternative to shifting cultivation.
	d) To open avenue for new rubber based industrial ventures and,
	e) To earn revenue.

Rubber plantation related activities provided immense benefit to nearby people in particular to the people of Uchathol, Harinagar, Khasia, Jarolpokpi, Boiroikhal, Sabughat, Aglapur, etc. Even now also, quite a number of people from these areas are getting employment either in plantation works or in raw rubber production works. Besides, many abandoned jhum/degraded lands have been put under productive use and the viability of rubber plantation has been shown. With production of raw rubber, rubber-based industries can be set up to uplift the economy of the people.

Rubber plantation is also environment-friendly. With the nearby people fully aware of the economic benefits specially in the form of assured employment, there is a bright prospect of rubber plantation in Jiribam area. The only thing is that the people need to be involved in a committed manner. The economic lot of the people can be uplifted in a marked way by undertaking rubber plantation.

On the basis of the various agro-horticultural resources available in Manipur, the North Eastern Industrial consultants (NECON) had identified the following feasible Food Processing Industries based on the locally available raw materials:

Sl.	Projects for	Input raw materials
1.	Fruit Juice concentration	Pineapple, Orange, Lemon
2.	Pectin and allied citrus products	Peels of Orange, Lemon
3.	Consumers pack of fruit juice	Any fruit juice
4	Tomato Paste	Tomato
5.	Banana/Guava pulp	Banana, Guava
6.	Pineapple slices, canned fruits, Pear, Peach, Plum, fresh pack	Pear, Peach, Plum, Pineapple, Orange
7.	Potato Chips	Potato
8.	Papain (Papaya)	Papaya
9.	Modern Rice Mill	Paddy
10.	Ginger oil extraction	Ginger
11.	Mushroom cultivation cum processing	Mushroom
12.	Preservation and canning of bamboo shoots	Bamboo shoots
13.	Dry Fish Fermentation	Dry Fish (To be imported from neighbouring States like Assam)

The disadvantageous geographical situation and severity of the terrain have been standing in the way of industrial development and trade particularly of the Food Processing Industries which can thrive only through value addition and cost efficiency. It is high time to explore this untapped sector as processed fruits, vegetables, mushrooms, ginger, spices and rice etc. are having good demand in the local and export market. At present, many of such processed fruits and vegetables are imported to this State from other States and neighbouring countries through Myanmar. At the same time some of the units in this sector have been established and are being run successfully, catering to the local demand. This indicates existing potential available in this sector.

Sl. No	Processing Unit	Sector	Type	Capacity MT/annum	Type of products
1.	MAGFRUIT	Hort. & Soil Conservation, Govt of Manipur	SSI Unit	240	Canned fruits and vegetables, fruit syrups, pickles, jam jellies, RTS (Lime-ginger) cordials, squashes, candies, etc
2.	HEIRANG	Co-operative	-do-	240	-do-
3.	WAIFRU	N.G.O.	-do-	240	-do-
4.	RATNA FRUITS	PRIVATE	Cottage Scale	50	Squashes, jam
5.	LIKLA	-do-	-do-	50	Squashes, RTS, jam, jelly(Fruit based)
6.	SANA	-do-	-do-	50	Squashes, pickle, jelly, jam
7.	MANIFRU	-do-	-do-	50	-do-
8.	HILL FRUITS	-do-	-do-	50	Squashes, jam, etc.

The most striking area is the production of pineapple (Kew-variety), having special taste and flavour. There has been demand of such pineapple products from MAGFRUIT by the C.I.S. countries. The MAGFRUIT had exported 168 MT of canned pineapple products to the erstwhile U.S.S.R. from the year 1983-84 to 1985-86. As the units are in the SSI and the cottage scale sectors, they are often in a disadvantageous condition for continuous tapping of such export markets. Moreover, these units are hardly kept in operation due to various constraints like inadequate working capital, non-availability of quality control system as well as inability to link up with the big marketing agencies in the cosmopolitan cities like Calcutta, Chennai, Delhi , Mumbai ,etc. Once the sufficient production of such processed fruits and vegetables is made (with strict maintenance or quality, packaging and reasonable price), there is a big marketing potential not only in the local market, but also in major cities of our country and even export to the countries like Saudi Arabia, Kuwait, Dubai, Singapore, Nepal, Bangladesh, U.S.A., Germany, etc. Setting up of the identified projects based on modern technology and in the medium/large scale sector are most essential for the development of food processing industries in the State.

Out of identified projects in the aforesaid paras, the following projects are proposed to be set up in the State:

Sl. No.	Proposed project	Production Capacity	Estimated project cost
1.	Fruits & vegetables Processing	80 MT/day	Rs. 405.00 lakhs
2.	Ginger dehydration and Oleoresin	33 MT/day	Rs. 750.00 lakhs
3.	Spices processing plant	5 MT/day	Rs. 284.00 lakhs
4.	Integrated Mushroom processing Plant	15 MT/day	Rs. 330.00 lakhs
5.	Lime Ginger(RTS) Plant	100 lakh bottles of 200 ml. per annum	Rs. 318.14 lakhs
6.	Agri Export Zone for Passion Fruit	2 MT/Hour	Rs.2,784.00 lakhs
7.	Manipuri Traditional liquor Plant (Distillery)	9 lakhs lt./annum	Rs. 1,768.87 lakhs
8.	Integrated Pineapple Concentration Plant	50 MT/day	Rs. 9,005.00 lakhs
9.	Floriculture		Rs. 285.92 lakhs
10.	Custom Farming	1,000 Ha.	Rs. 377.00 lakhs
Total			Rs16,307.93 lakhs