value chain/ market analysis of the ginger sub-sector ... - Nepal Trade

More documents

Recommendations

Info

4. COMPETITIVENESS ANALYSISCompetitive analysis examines ginger commercialization through export promotion anddiversification of existing industry levels in order to determine the nature of the challengesthe sub sector faces. This analysis identifies strengths, weakness, opportunities, and threatswhere strengths and weaknesses refer to the internal factors governing the ginger sub sector,while opportunities and threats encompasses the external factors influencing the businessenvironment.Table 13: SWOT Analysis of Ginger Sub-sectorStrengthsProduction· Fourth largest producer globally· Climatic suitability and traditionallycultivated· Possibility of inter cropping with maize,bean, and vegetables· Opportunity for organic production· Ginger storing practices adapted by farmersin the pit is easy and affordable· Rural communities attracted by prospect ofginger farming and marketing· Practice of mother rhizome harvesting ineastern part of the countryProcessing· Rich in oleoresin and oil· Fair demand of processed products withinNepal· Good demand of dry ginger in internationalmarketMarketing· Well-established value chain and availabilitytraders at different levels.· Farmers have established cooperativesocieties to better market their crop· Nepalese ginger preferred by consumers indomestic and export markets.· Nepalese ginger well suited for preparingChutney a favorite food in northern India.Enabling environment (Policy andInstitutions)· One of the priority products of NTIS· Availability of BMOs like NGPTA,AEC/FNCCI· Government focus on cooperative approach· Availability of research and extensionservicesWeaknessProduction· Lack of proper knowledge and techniques inproduction, grading, packaging and postharvest handling· No permanent solution to the problems ofrhizome rot disease· High cost of inputs (fertilizer, pesticides) andno subsidy from government· Loss of up to 30 percent in the field and instorage due to rhizome rot diseaseProcessing· Traditionally processed Sutho, below qualityrequirement of manufacturers of nationallevel (Dabur Nepal) and abroad· Ginger processing technology unknown bymost of the farmers· Lack of washing facilitiesMarketing· Lack of collective marketing practices· Minimum collection and storage facilities· Lack of reliable market information· Intermittent listing of ginger as a restricteditem by IndiaEnabling environment (Policy andInstitutions)· Insufficient infrastructure roads, irrigation,inputs, credit, quality seeds· Porter transport cost from farm to road headhigh due to labor shortage· Insufficient ginger marketing awareness andknowledgeValue Chain/Market Analysis-Ginger 28
OpportunitiesProduction· Opportunity to increase area and productivity· Availability of quality seed production· Availability of private sector serviceproviders (Agrovets)· Possibility to harvest mother rhizomethroughout the country· Opportunity to produce ginger organically-Nepali ginger branded and promoted asorganic and grown traditionally willcommand a premium price in internationalmarketsProcessing· Increasing use of crop by Ayurvedapharmaceutical industries in Nepal and India· High potential of product diversification· Processing technologies available in India· Washing technology is available in IndiaMarketing· Large scale demand for Nepal producedginger in Northern India scope to furtherenhance supply· Attractive price in Bangladesh, Pakistan,Middle East and East Asian countriesEnabling environment (Policy andInstitutions)· Government has defined ginger as a highvalue crop and policies are supportive· DFTQC has technical capacity to providetechnical support on ginger processing· The DoA has set up a Ginger and SpiceDevelopment Program technically equippedto provide services to the farmers· NGO's providing farmer support· DoA is providing marketing informationservices to the producers/traders.· Provision of incentives in national budget forprocessor/exporter to minimize cost· Government highlighted Value chain aspectof commercialization in Three-years InterimPlan (2010-13)· Can enjoy opportunity of provision forpreferential trading and subsidies to LDCsgiven by WTO and SAPTA· High potential for reducing poverty andemployment creation through value chainThreatsProduction· Famers of production pockets stopped toproduce due to infestation of rhizome rotdiseaseProcessing· Availability of cheap processed productssupplied by India in Nepalese market· Imported equipment for processingMarketing· Very dramatic price fluctuation· India has been imposing non tariff barriers inthe name of adulteration and food safety· Indian governments discouragement ofimport from Nepal whenever Indian gingerproduction is high· More efficient and enhanced productionexpected from the hilly areas of India· More efficient and enhanced productionexpected from Tibet· Ginger from Cochin, Bangalore, Assam,Guwahati and Uttarakhanda are majorcompetitors of Nepali ginger in Indianmarkets· Bangalore ginger is considered to have goodquality with proportionate and big fingers.· Cochin ginger have high starch content andare assumed of good quality· In global market, Chinese ginger is the majorcompetitor for Nepali ginger, which isattractive in appearanceEnabling environment (Policy andInstitutions)· Costly power sources· Poor quality of agricultural roadsSource: Field study and the review of previous studiesValue Chain/Market Analysis-Ginger 29
Page 3 and 4: CONTENTSAcronyms ..................
Page 6 and 7: TEPCTPCUSAUSAIDUSDVCVDCVDDWTO-STDFT
Page 8: introduce improved technology on Su
Page 11: According to the FAO 2008, Nepal is
Page 16 and 17: Table 4: Cost of Production/Value A
Page 18: Table 5: Export from China (Trade I
Page 21 and 22: Kathmandu is one of the major domes
Page 23 and 24: Figure 6: Monthly Wholesale Price T
Page 25: Figure 8: Value Chain Map of Dried
Page 28 and 29: Jaipur, and Amritsar markets. Chara
Page 30 and 31: constraints, DADOs are unable to pr
Page 32 and 33: MEDEP: The Micro-Enterprise Develop
Page 36 and 37: 5. CONSTRAINTS AND OPPORTUNITIES5.1
Page 38 and 39: Storage and collection centers: Gin
Page 40 and 41: processing centers within Nepal wou
Page 42 and 43: 6.1.3 MarketingSupport to establish
Page 44 and 45: will be the pre-requisite. Therefor
Page 46 and 47: 8. ANNEXESAnnex 1: Quality Standard
Page 48 and 49: Ethiopia 5,438 6,313 6,237 6,599 22
Page 50 and 51: 11NarendraKhadkaExporter Dhulabari
Page 52 and 53: Annex 7: Listing of the Indian Buye
Page 54 and 55: 29 Ghanashyam Bhusal Wholesaler But
Page 56 and 57: SNAnnex 12: List of people contacte
Page 58 and 59: Enabling and Facilitating Organizat
Page 60 and 61: 55 Dr. D B ShakyaBusinessEnablingEn
Page 62: 15 Strengthen Nepal Ginger Producer

value chain/ market analysis of the ginger sub-sector ... - Nepal Trade

Create successful ePaper yourself

Delete template?

Save as template?