India's Groundnut Exports To Be Hit On Strict Malaysia, EU Norms - Report.

NEW DELHI, Feb 20 - India's groundnut exports are likely to take a hit due to the stringent norms of the European Union (EU) and Malaysia to control aflatoxin levels, said a news report.

The two largest importers that account for 40 per cent of exports have asked Indian traders to procure a health certificate for every consignment.

The Export Inspection Council of India (EIC), under the Commerce Ministry, is issuing the certificates.

This is required in addition to other certificates, including hazard analysis and critical control points (HACCP).

"We have been appointed as the only agency for issuing health certificates for groundnut exporters to Malaysia and the EU," Business Standard reported, quoting an unnamed official.

After getting complaints from the two regions, Agricultural and Processed Food Products Export Development Authority (Apeda) had told the Commerce Ministry repeatedly about exporters not adhering to global norms.

The official said importers had warned the Apeda a suspension of shipments could kick in.

Between April and December 2013, exports fell 14 per cent to 361,642 tonnes against 420,640 tonnes a year ago.

Falling global prices of oilseeds have also lowered realisations 13 per cent.

The groundnut realisation fell to Rs66,000 (RM3,503) a tonne in the first nine months of the current financial year from Rs76,000 (RM4,033) a tonne a year ago, said the English daily.

Apeda had on Dec 31 last year asked recognised exporters, including processing and milling units, to obtain a provisional HACCP certificate for groundnut shipment after showing documentary evidences for their capability.

For determining aflatoxin levels in groundnut and its derivatives it would be mandatory that all public-private partnership consignments meant for export to the EU will compulsorily be vacuum packed only and no other type of packing will be used.

The sampling will be done in gunny bags and after clearance from the laboratory, the consignment will be vacuum packed under the supervision of the authorized laboratory, Apeda said.

"The entire trade gets affected because of a couple of errant exporters as importers set stringent norms, difficult to adhere to.

"Hence, exporters should always maintain global quality specification for not to spoil entire exports fraternity from India," said Indian Oilseeds and Produce Export Promotion Council's Chairman, Kishore Tanna.

India's output is estimated at six million tonnes this year, a rise of 10 per cent on a year ago.

Source : bernama.com.my