Taking the produce from farm to fork

INTERVIEW1 4 CARGOTALK O C T O B E R 2 0 1 5

Taking the produce from farm to fork

QGive us an overviewof your business

model. Tell us about theservices you offer.

Incorporated in 2000 by GianChand Arora, IG International (IGI) isa marketer and distributor of highquality fresh fruit across India. Thecompany handles an annual volumeof over 1500 refrigerated containersfrom 20 countries and distributesthese through its 27 wholesale outletsacross India. IG International importsfresh fruits such as apples, cherries,kiwis, oranges, plums, pears andsweet tamarind, to name a few.

Along with imports, we have aninterest in exports, third party logisticsand temperature controlled ware-housing also. We are primarily export-ing potatoes and grapes to Russia,Europe and South East Asia. Thecompany also has a subsidiary by thename of IG Supply Chain.

QCould you please tellus more about your

subsidiary IGI SupplyChain?

IG Supply Chain is a whollyowned subsidiary of IGIPL and catersto the business of third party logisticsand temperature controlled ware-housing. The company is among thetop five players in the temperaturecontrolled warehousing sector. Thesubsidiary has a present capacity of25,000 pallets and has facilities inMumbai, Chennai, Bangalore, Jaipurand Amravati.

QWhat hurdles do youface in the import and

export of perishables?How do you contribute tosmoother and easierfunctioning?

Well, when it comes to obsta-cles, I would like to focus on thelack of infrastructure development,a fragmented distribution system,obsolete technology, low productquality and a lack of trained per-sonnel to name a few.

We leverage the infrastruc-ture to make use of the physicalchannels already in place for thedelivery of other products. Webelieve in creating our own net-work or to work with several smalland sometimes unreliable playersto make our product travel throughall the channels and reach ourcustomers. This needs skills and

IG excels in it. We have the distrib-utor warehouse much closer tothe customer.

Technology is the somethingwe are handicapped without. Weconsider modern techniques anddo not hesitate to trust new mech-anisms to smoothen the processif it does make a huge difference.

QWould you like tocomment on India's

current cold chain sectorscenario? If you have toname three requirementsfor the betterment of thecold chain industry, whatwould these be?

India ranks first in the world inthe production of fruits and secondin that of vegetables accounting for10 and 15 per cent, respectively, ofthe total global production. Despitethis, the per capita fruit and veg-etable availability of fruit is low dueto post-harvest losses and thoselosses can account for almost one-third (25-30 per cent) of the total production. The quality of the prod-ucts also diminishesby the time theyreach the end con-sumers. The primereason for this hugewastage and inferiorproduce is the lack ofinfrastructure–thecold chain arrange-ment, from thesource of produce tothe end point of salewhere the perishablegoods can be storedafter harvest.

Requirementsfor betterment would,firstly, be a robust

cold chain. To benefit from a larger production capacity and pass it on to consumers inthe form of reduced prices aswell as to producers in termsof reduced wastage is the needof the day. Secondly, it would bethe use of the latest technology toreduce the time consumed in takingthe produce from farm to fork.

QCurrently, you areexporting potatoes

and table grapes toRussia, Europe andSouth East Asia. Are youplanning to increase thenumber of countries andexport commodities? Ifyes, please elaborate.

The number of countries is dependent on a protocol. The Agricultural and Processed Food Products Export DevelopmentAuthority (APEDA) is trying to get the protocol to other countries for exports of potatoes and grapes. As soon as more

countries open to up to grapes and potatoeswe will consider adding more countries for exports.

QHow much growth (interms of percentage)

has your companyregistered in 2014-15 andwhat are yourexpectations for thisfinancial year?

We have registered a growth of20 to 30 per cent in 2014-15 and thisyear we expect to grow at around 10–15 per cent.

CT BUREAU

Tarun Arora, Director, IG International talks about his company, the opportunities available in the Indian coldchain sector, the constraints in the import and export of perishables and how these can be removed. Heemphasises that technology is equally important.

Tarun AroraDirectorIG International

IG has a fleet of 75refrigerated trucks and 15 trailers.