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Cold storage infrastructure and wastage of perishables
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Thursday, 27 May, 2021, 14 : 00 PM [IST]
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Sanjay Jain
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The cold storage infrastructure, a key pillar of the agricultural industry, is woefully inadequate in India. Today, India ranks second worldwide in producing farm output and is the world’s largest producer of food staples, spices, select fibrous crops, plantation crops, seeds as well as fresh fruits and vegetables among other agricultural produce.
According to the World Economic Forum, the yield in the food produced in Indian farms is so high, that the country has attained food self-sufficiency. But it also accounts for one of the biggest food losses and wastes with harvest and post-harvest losses in fruits, vegetables, and grains worth Rs 440 billion every year.
The country wastes a significant portion of its farm produce due to weak cold chain infrastructure, with a large percentage of fruits and vegetables being wasted every year. One of the primary causes of food waste and loss is a lack of an efficient cold chain infrastructure from farm to fork, which includes refrigerated transport, pack houses, collection centres, and cold storages.
The lack of cold chain and proper storage, exports, transportation, adequate processing facilities, and marketing, has led to the failure leading to food wastage. For years, both Government and private sector have struggled with food waste but at the crux of the issue lies a fundamental logistical infrastructure problem.
Only 4% of the country's fresh produce is transported in a cold chain, according to conservative estimates. The rest has to be delivered locally and consumed quickly, or it simply goes to waste.
The functioning cold chain is critical to the protection and delivery of fresh and frozen perishable foods. But the breaks in the cold chain may occur due to a wide variety of issues, including operator error, insufficient pre-cooling, poor loading practices, inadequate insulation, irregularly functioning refrigeration equipment, or walk-in cooler doors being left open too long.
Another cause of waste is a lack of knowledge about how to handle perishables and the skill levels required to care for them at various stages. Physical loss of food has a multiplier effect on associated input waste such as water, electricity, and fertilisers. It also contributes to greenhouse gas emissions, which contribute to climate change.
Farmer’s profit margins are shrinking as the perishability of their produce increases. A well-defined cold chain infrastructure could significantly reduce food waste, have a positive environmental impact, and have a direct effect on farmer income. Adopting proven technology solutions for an efficient cold storage infrastructure will aid in the achievement of the goals of increasing agricultural output and revenue.
Some new approaches are as follows: • The development and implementation of sophisticated data analytics, such as the Internet of Things, helps in narrowing the gap in the cold chain by providing end-to-end visibility that identifies ways to improve food safety, and thus reduce waste and inefficiency.
• Controlled Atmosphere Storage The freshness and shelf life of perishable items such as fruits can be extended by storing them in a controlled atmosphere, which is a method of regulating the temperature as well as the concentration levels of oxygen, carbon dioxide, ethylene, and nitrogen to maintain a specific atmosphere for that specific product or fruit. This process postpones softening, quality change, yellowing, and other effects. Grains, legumes, and other dry commodities are also stored in a controlled environment to keep insect pests at bay.
• Multi-purpose Cold Storages Throughout the year, multi-purpose cold storage facilities can store a variety of commodities such as fruit, vegetables, dry fruits, spices, pulses, and milk. These facilities save costs and space while increasing profitability by operating separate chambers at different temperatures at the same time. Even though multi-purpose cold storages command a small percentage of the market in India today when compared to single commodity storages, this figure is slowly improving due to rapid urbanisation, the growth of organised retail, and a surge in the food processing industry.
• Electronic Controllers Different products necessitate varying temperatures and humidity levels. The temperature adjustment and storage method in conventional cold storages are dependent on the operator's experience. Product spoilage can occur as a result of human error and inaccuracy. The use of electronic management systems and controllers aids in precise control, food safety, and compliance by automatically controlling the storage environment with pre-set values.
• Preserve and Protect with Commercial Refrigeration Solutions When it comes to food products, freshness, quality, and safety can make all the difference. Perishable food, such as fruits and vegetables, dairy products, meats, and fish products, must be kept chilled or frozen throughout the supply chain. Failure to keep perishable food at the desired temperature range due to insufficient refrigeration can promote the growth of pathogens and spoilage microorganisms, rendering the product inedible.
The cold chain is an essential component of our society's food delivery system, as well as its sustainability is an unavoidable topic given the current landscape of food insecurity and a growing global population. With the development of private integrated companies with Government bodies, we are able to improve current fresh produce inventory management. In India, setting up a multi-product storage facility is a growing business opportunity.
The only stumbling block is the initial investment and capital utilisation. More and more businesses are recognising the potential of this recession-proof industry. With the advent of cold chain intervention, bringing the import and export of fresh produce to new heights, it will be reasonable to expect optimistic growth in the years ahead.
Almost one-third of cold storage facilities are small, with capacities of less than a thousand tons, and are largely controlled by the unorganised sector. However, the market is gradually shifting toward organised players and multi-product facilities, which are beneficial not only for storage but also for overall inventory management. Only if we can achieve or rather create an agile, adaptive, responsive, and efficient cold chain mechanism, India will have a huge opportunity to become a leading global food supplier. It is critical that we recognise its significance and assess the opportunities that lie ahead with an organised cold chain mechanism for perishable goods.
(The author is director at Elanpro)
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