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FAO, Spices Board and STDF strengthen spices value chain in India


The Food and Agriculture Organization of the United Nations (FAO) recently organised the Project Results Dissemination Workshop for the project titled, ‘Strengthening Spice Value Chain in India and Improving Market Access through Capacity Building and Innovative Interventions’ on 27 September 2024, in New Delhi.

FAO initiated the project in 2020 to produce clean, exportable spices and improve market access for farmers. The project was implemented in collaboration with the Spices Board and with financial support from the Standards and Trade Development Facility (STDF) based at the World Trade Organization (WTO).

The project was implemented across four states, namely Andhra Pradesh, Gujarat, Madhya Pradesh and Rajasthan focusing on key spices such as coriander, cumin, fennel and black pepper.

During his opening remarks, Takayuki Hagiwara, FAO Representative in India, underscored the efforts made to address food safety challenges in production, post-harvest processing, and trade, emphasizing the promotion of improved practices and the establishment of a credible certification system for Indian spices. Neeraj Gaba, Director at the Ministry of Commerce and Industry, Government of India, delivered the keynote address, highlighting the importance of setting up quality laboratories and parks by the Spice Board to boost the export potential of Indian spices.

Pablo Jenkins, Economic Affairs Officer at the STDF Secretariat, WTO, highlighted the spice value chain project as a key example of strategic funding, showcasing its potential for long-term sustainability and replicability in other regions. He emphasised the project's ability to bring tangible benefits to local communities by enhancing their involvement in the value chain.

Dr AB Rema Shree, Director of Research and Finance (in-charge) at the Spices Board highlighted that the project strengthened Farmer Producer Organizations (FPOs) in the target locations through facilitating their collaborations with the exporters. This played a key role in creating valuable market opportunities for the farmers. AS Dinesh Kumar, IAS, Collector and District Magistrate of Alluri Sitaram Raju District, Andhra Pradesh, stressed the importance of primary processing in increasing income and creating more trade opportunities. He also noted the project's positive impact on the ecosystem by promoting reduced fertilizer use and the elimination of pesticides.

Farmers from Andhra Pradesh, Rajasthan, Madhya Pradesh, and Gujarat shared their experiences of the transformations in spice cultivation brought about by targeted interventions. Previously, they relied on traditional farming methods, using locally available seeds and applying fertilizers and pesticides with minimal technical knowledge. However, through comprehensive training programs on Good Agricultural Practices (GAP) and Good Hygiene Practices (GHP), alongside exposure visits to spice industries, and processing units, the farmers gained an understanding of best practices in spice cultivation and post-harvest handling. As a result, the quality of their spice produce has significantly improved.

Farmers also expressed that the provision of machinery, such as threshers to minimize spice splits, and tarpaulin sheets to prevent contamination by keeping spices off the ground, has played a crucial role in improving the overall quality of the spices. These measures have significantly enhanced the marketability of the produce.

The project enhanced the availability of high-quality, safe spices from India for export through the implementation of Sanitary and phytosanitary (SPS) measures and by engaging key players in the spice value chain, including farmers, aggregators, traders, manufacturers, and exporters. During the project period, a series of initiatives were undertaken which included focused physical classroom trainings, and field demonstrations on Good Agriculture Practices (GAP) and Good Hygiene Practices (GHP). During the period, 150 master trainers were trained, 1700 farmers and 200 other stakeholders were trained in the value chain, and exposure visits were organized for more than 200 farmers including women.

The project also adopted innovative digital solutions by creating 60 community training videos on several topics such as pre-sowing to post-harvest handling and storage of spices.  These videos were created in collaboration with the Digital Green. 60 extension workers were trained in video dissemination, and nearly 6000 farmers, including women watched the videos within a month. Street plays were also organized during the project period with a strong focus on women’s participation to create awareness of GAP and GHP among the community.

The establishment of buyer-seller networks has significantly enhanced market access, allowing farmers to obtain better prices for their high-quality produce. As a result of these efforts, farmers have seen a substantial rise in the market value of their spices. To support these market linkages and encourage direct negotiations, eight buyer-seller meetings were organized across the intervention states, leading to 25 formal buyback agreements between FPOs and exporters.

Over the years, the project received support from governments, research institutes, NGOs, and other relevant stakeholders. This initiative improved food safety and consumer health in India and export markets, to boost the incomes of small-scale farmers, and empower women and marginalized communities. The project has contributed to alleviating poverty (SDG 1) and hunger (SDG 2) among spice farmers in Andhra Pradesh, Gujarat, Madhya Pradesh, and Rajasthan. It helped the farmers improve their knowledge and skills in food safety, which led to greater market accessibility, both regionally and globally. The project has also resulted in better prices for spices produced by small and marginal farmers, thereby increasing their incomes and reducing poverty.