African pulses mr. jayesh patel

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Information about African pulses mr. jayesh patel
Business & Mgmt

Published on March 8, 2014

Author: ipga



African Pulses by Mr.Jjayesh Patel at The Pulses Conclave 2014 by India Pulse & Grains Association, IPGA


FACTS ABOUT AFRICA Is the second largest continent covering 22% of the Earth’s land area 25% of the world’s languages are spoken in Africa Yearly growth rate of New born babies is 30% in Africa Soon Africa’s population will be more than Europe, North America and Oceania. By 2040 Africa’s labour force is expected to be more than 1 billion and 1 out of every 4 workers will live in Africa.

FACTS ABOUT AFRICA Africa‘s combined GDP is second largest after China in the world. Africa is 2nd largest Wheat importer Exports 12% Coffee of the world Exports 20% Cotton of the world Exports 5.5% Sugar of the world Produces 35% of Global oil seeds Produces 70% of Global Cocoa


AFRICA: NOW AND FUTURE Africa Now Africa Future GDP is $1.6 trillion in 2010 It will grow to $2.6 trillion (By 2020) Consumer spending is $860 billion in 2008 It will grow to $1.4 trillion (By 2020) Households 85 M with discretionary income It will become 128 M ( By 2020) Urbanization rate is 40% in 2014 It will be 50% ( By 2030) Current working population is 583 M It will become 1.1 Billion ( By 2040) Youngest working population is 39% It will exceed China & India (By 2035) Revenue from Agriculture was $280 B in 2008 It will be $500 B ( By 2030) Inflation rate Avg. 22% in 1990 In 2000, it was 8% Sourced : McKinsey

FEW COMPARISION WITH INDIA AND WEST PARTICULARS AFRICA ASIA EUROPE/ USA Weather forecast Not effective Up to some extent Well monitored Fertilizer Application 25Kg/Ha 170 Kg/Ha 165 Kg/Ha Land Holding < 1 Ha 2.3 Ha 250 Ha Seeds grade/variety Local/Natural Natural/ New Varieties Hybrids Irrigation Rain fed Canals/Rain fed Canals, Channels Farm Equipments Handheld Tractors Heavy Tractors Harvesting Handheld Harvester Combined Harvester Electricity No Few Hours 24 Hours Storage Pits/ House Warehouse Big Silos Processing Small Hulling Split Plants Splitting Logistics “Jugad” Tractors/ Truks Rail cart

AGRI PRACTICES Africa Other Parts of the world

AGRI PRACTICES Africa Other Parts of the world

AGRI PRACTICES Africa Other Parts of the world

PULSES PRODUCTION IN AFRICA COUNTRY YELLOW GRAM TANZANIA 38,000 KENYA NA UGANDA NA MOZAMBIQUE NA MALAWI 1000 ETHIOPIA 60,000 TOTAL (MT) 99,000 GREEN MOONG 20,000 18,000 10,000 15,000 1000 NA 64,000 PIGEON PEAS 80,000 30,000 10,000 60,000 80,000 NA 260,000    

WHAT WE CAN DO FOR AFRICA?? 1. Government Policies on Import Duty for Pulses in India: Pulses exports out of Africa is about 200K-MT. Which is hardly 10% of total import or 1% of total production globally. Uncertainty on import duty discourages African farmers and trade both. 2. Fumigation compliance ( by Indian Govt.) - Methyl Bromide: By and large, WROLD is discoursing the use of Methyl Bromide, and some of the courtiers have totally banned. Whereas Indian law only permits to import if the product is fumigated with MB. Any cargo import without such compliance is subject to penalty of USD 4/MT. Indian Govt has partially relaxed such requirements to Canada, France and USA and we all should request for similar exemption for the import from Africa. 3. Perception of protecting farmers from cheap imports: Realization for farmers in Africa is far less compared to India. Eg. Malawi Toor @ $500.00 $/MT CNF less $150 logistic cost, less $70-80 Domestic transport & other handling costs and farmers gets $270-280 per mt with an average yield of 300 kg per Ha, whereas, Indian farmer realization is about INR 40/- per kg (Approx. $640) 1. Realistic and accurate market information : Wrong or misleading rumors are not healthy for trade and we should aim to address this adequately. For example this year for African TOOR crop, prior to arrivals huge crop rumors were circulated whereas the actual crop and export is hardly 50%.

WHAT WE CAN EXPECT ?  In coming days, Africa would be a bread basket for the world and it has a huge potential which will essentially benefit to all of us.

ABOUT ETG GROUP We currently operate in 25 countries of Africa and manage complete supply chain.  ETG could be ultimate partner when it comes to the Pulses Trade.


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