Company Name- Shri Ganesh Enterprises, Sangli

Title- The study of quality of Raw Material of used and Consumer

Support of SG Foods in Sangli
 OBJECTIVES
 A Study of Customer demand inSangli
 To understand various factors which affect demand of particular
product and Consumer Satisfaction.
 To understand various demands of product in Sangli.
 Scope of Spices Business In India
Indian Spices Market Scope of the Report The report titled "Indian Spices
Market: Trends and opportunities (2013-18)" dissects the creation and
utilization of Indian flavors and extends the future development rate of
utilization example. The significant patterns saw in the Indian flavors
market have been surveyed in this report. The development of Indian
flavors market has been broke down. The report further talks about
different components driving the Indian flavors market notwithstanding
profiling the significant organizations working in this business sector
alongside their business techniques and development arranges.
Organization Coverage
• Catch
• MDH Spices
• Everest Spices
• MTR Foods Pvt. Ltd.
Official Summary Changing dietary patterns and way of life of shoppers
over the globe have fuelled the interest for solid nourishment items,
which has altogether highlighted the utilization of normal flavors, the
majority of which originate from flavors. Being the biggest maker and
exporter of flavors, India has tremendous development potential.
Mechanical headway and research and advancement are supporting the
Indian zest exporters to offer high review items to customers all.
 SPICES INDUSTRY - AN OVERVIEW

Agricultural crops that form the input of agro-based industries may be

broadly classified into Food Crops and Commercial Crops. However, this

classification is not specific as many crops are both commercial and food

crops, for example - Sugarcane, Tea, Coffee, Cardamom and other spices.

But it is common practice to include these among commerciaVcash crops,

as they are primarily cultivated for earning money income and not for

direct consumption by the producers.

Spices and Condiments need no introduction. Spices constitute an

important group of agricultural commodities, which are virtually

indispensable in the culinary art. They also play a significant role in our

national economy and in the national economies of several spice

producing, exporting and importing countries.

Spice is defined as "a strongly flavoured or aromatic substance of

vegetable origin, obtained fiom tropical plants, commonly used as a

condiment". '
According to International Organisation for Standardization (ISO) the

term Spices and Condiments applies to such natural plant or vegetable

products or mixtures thereof, in whole or ground form, as are used for

imparting flavor, aroma and piquancy to and for seasoning of foods.2

Spices are pungent, aromatic plant substances used to flavor foods or

beverages. Spices are the common dietary adjuncts that contribute to the

taste and flavor of foods. Besides, spices are also known to exert several

beneficial effects. In traditional medical systems, the ability of spices to

heal various physical, mental and emotional problems has widely been

reported. A growing body of research has demonstrated that the

commonly used herbs and spices such as garlic, black cumin, cloves,

cinnamon, ginger, thyme, allspices, bay leaves, mustard, and rosemary,

possess antimicrobial properties that, in some cases, can be used

therapeutically. Other spices, such as safion, a food colorant; turmeric, a

yellow colored spice; tea, either green or black, ginger, and flaxseed do

contain potent phytochemicals, including carotenoids, curcurnins,

catechins, lignan respectively, which provide significant protection against

cancer.

There are above 70 spices grown in different parts of the world. Many of

them are grown in India. Important Spices are given in Appendix 2.

Spices and condiments can be broadly classified into 6 groups, based upon

the parts of the plants fiom which they are obtained, namely (i) rhizomes

and root spices, (ii) bark spices, (iii) leaf spices, (iv) flower spices
(v) fruit spices and (vi) seed spices. Thus spices can come f?om

almost any part of a plant including seeds, leaves, barks, rhizomes, latex,

stigmas, floral buds and modified stems.

In other words, spices may comprise different plant components orparts

such as Floral parts (Cloves, Saffron etc), or Fruits (Cardamom, Chillies etc),

or Berries (all Spices, Black Pepper, Juniper), or Seeds (Aniseed, caraway,

Celery, Coriander), or Rhizomes (Ginger, Turmeric), or Roots (Angelica,

Horse-Radish and Lovage), or Leaves (Bay Leaves, Mints, Marjoram and

Tejpat), or Kernel (Nut Megs), or Aril (Mace), or Bark (Cinnamon and

Cassia), or Bulbs (Garlic, Onion etc), or other parts of Spice plants.

Individually, Spices could also be classified or grouped according to

different basis such as (a) Botanical Analogies or families; (b). Economic

Importance viz, Major and Minor Spices ;( c) Similarity in methods of

cultivation; and (d) Similarity in plant parts or components such as Seedy

Spices, Lea@ Spices, Bulbous Spices, Rhizomes and Root etc.

Varied are the uses to which spices have been put from time immemorial.

Spices are well known as appetizers and are considered essential in the

culinary art all over the world. They add a tang and flavor to otherwise

insipid foods. Some of them also possess anti-oxidant properties, while

others are used as preservatives in some foods like pickles and chutneys

etc. Some
Spices also posses strong anti microbial and antibiotic properties. Many of

them possess medicinal properties and have a profound effect on human

health, since they assist many hctional processes. For instance, Spices

intensifL salivary flow and secretion of Amylase, Meurarninic acid and

Hexosamines. They facilitate the cleansing of the oral cavity fiom food

adhesion and bacteria. They may help to check infection and carries, and

to protect the mucous membrane against thermal, mechanical and

chemical irritation. Spices increase the secretion of Saliva rich in Ptyalin

which

facilitates starch digestion in the stomach, rendering the meals which are

rich in Carbohydrates, more digestible Spices possibly activate the Adreno-

Cortical function and fortify resistance and physical capacity. Blood

Pressure and Stroke can be markedly diminished or augmented by means

of spices and condiments. They deserve our serious consideration and

further thorough probe. They are used as additives and for the propitiation

of the gods. They also stimulate digestion on account of their carminative

properties. Most of the spices fmd place in various medicines.

India, as already mentioned, is the land of Spices. There are a number of

Spices grown in India. The major Spices grown are Pepper, Cardamom,

Ginger, Turmeric and Chillies. The important minor Spices grown in India

are Ajowan, Aniseed, Caraway, Celery, Coriander, Curnin, Dill Seed, Fennel,

Fenugreek, Garlic, Onion, Saffron and Vanilla.

Pepper is the most important spice of India rightly termed the 'King of

Spices' and is also known as 'Black Gold of India'. Cardamom comes next,

and is called the 'Queen of Spices'. Though Spice crops are cultivated in

comparatively small units as compared to food crops, they contribute a

sizeable share in the international trade.

The history of Spices in India was not started in a day, month or year. It

was, perhaps, with the beginning of civilization of this great country. The

oldest literary record in India is found in Rig Veda dating around 6000 BC

and three other Vedas, namely, Yajur, Sarna and Atharva. During the Veda

period, there was no writing available but with the help of human memory
information was transferred in the form of hymns from generation to

generation. The first reference of Spices found in Rig Veda is about

Horseradish, which is a near relative of Mustard and Turnip The Yajur Veda,

mentions the use of Black Pepper and the Atharva Veda of Turmeric.

Manu, the first Law Exponent, who lived around 4000 B.C, was aware

of the origin, growth and use of Garlic as well as Onion.According to him,

Saffion was the best offering to a Brahmin guest.

There are some references, about Spices in Rarnayana. Valmiki, the great

Rishi, who wrote this epic, mentioned a dish called Meat Pilaf, in whch

meat, rice, vegetables and spices were boiled and cooked together. King

Dasaratha's body was preserved with Spices oils and balms, similar to

Egyptian mummies. Babylonians and Assyrians knew the use of Spices

around 3000 BC. The Bible, particularly the Old Testament gives many

instances of the use of Spices .The Queen of Sheba came to Solomon of

Israel (1015-977 BC) renowned for his wisdom, with camels that carried

Spices.

From the 15thcentury, European countries, especially Portugal, Spain

and UK showed keen interest to trade in Spices.It was on May 1 71498~~

Vasco-da-Gama anchored his ship at Kappad, a few kilo mete~northof

Calicut in search of Spices. He was welcomed by Zamorin of Calicut and

established Spices trade between Portugal and Malabar.

The spice cultivation in Kerala is concentrated on the high range areas of

the erstwhile princely state of Travancore forming the southern part of the

present day Kerala. The Travancore part comprises an area of 7,662 square

miles and is endowed with favorable ago-climatic conditions most suited

for the growth of a variety of crops. On the basis of physical feature,

Travancore may be classified into three divisions, via, the low land division

bordering the Arabian Sea in the West, the Mid Land division and the High

Land division touching the Western Ghats in the East. The Low Land

division has roughly an area of 1371 square miles consisting of flat alluvial
and sandy tracts along the seacoast. A line of backwaters runs through this

region fiom North to South. The Midland Land Division lies east of the Low

Land Division and has an area of about 2700-sqare miles Low hill and

hillocks of varying sizes and heights fiom the topography of the Mid Land

Region. The High Land

Division comprises the Eastern tracts, mainly of dense forest with a total

area of about 3500-sqare ~ n i l e s . ~

The favorable topographical and climatic conditions were the incentives

that paved the way to the concentration of Spice Crops on the Midland

and High Range areas of the State. The availability of cheap labour, both

skilled and unskilled, especially belonging to lower income groups was yet

another compelling force for local people to start Spice Plantations. The

Travancore Government has also adopted certain measures for creating

conditions favorable to their development. The Governmental measures

were:

Land policy of the 1865 granting full ownership rights to the holder of

Government Pattom land,

Land proclamation of 1867 giving security of tenure of Janmom lands;

Encouragements and tax concessions given for starting Plantation Crops

Construction of roads to connect hilly tracts with trading centers;

Encouragement for reclamation activities; and Expansion of irrigation

facilities.

In Kerala three kinds of crops are cultivated, namely, Seasonal Crops

maturing within six months, Annual Crops giving yield within twelve
months

'Cameron J, Report of the village of Chevayur-1866, (Calicut-

MalabarGovernment Press 1968)
and Perennial Crops extending for more than three years. The Perennial

Crops may be further sub divided into two types namely, Garden Land

Crops (Coconut, Arecanut, Pepper, Cashew etc) and Plantation and Spice

Crops (Rubber, Cardamom, Coffee, Tea etc.). Now-a-days most of the

industries in India require large quantities of agricultural products from

the plantation sector as raw material and this leads to the importance of

plantations in the industrial sphere.

Kerala exports a variety of spices. For Kerala, therefore, the implications

of India's entry into the World Trade Organisation (WTO) in 1995 as a

signatory to the World Trade Agreement (WTA), is of particular

significance. The implementation of the provisions of the Agreement on

Agriculture (AoA) coincided with a price crash of serious proportions in

Kerala's cash crop economy. The brunt of this was borne by the small and

marginal farmers who constitute the major segment of the State's

agricultural producers. To help them manage the crisis and respond to the

pressures on the State's agricultural trade arising from the new global

trade regime, the government of Kerala set up a ~ommission~on WTO

Concerns. The Commission carried out a wide-ranging consultative

process involving agricultural experts, representatives from many

commodity boards, representatives of the State government departments

and agencies concerned, kisanorganisations, representatives of political

parties and the media, andothers. Task forces were set up under the

Commission to look into the economy of specific crops.

The Commission, in its five formal sittings, made several interim

recommendations. They are given in Appendix 3. The Commission has

made 19 Kerala-specific recommendations. As they are wide-ranging and

multi-

sectoral in their sweep, the implementation of these recommendations

would require a high-level, yet fully representative, coordination body

that must function, in the words of the Report, "like a symphony

orchestra". The Commission has therefore recommended the constitution

of a Standing Committee on Agricultural Trade, which is to be chaired by

the Chief Minister, with the Minister for Agriculture as the co-chair. The

Committee must represent the principal stakeholders within agricultural

trade. It must coordinate programmes, provide policy direction, monitor

trade, initiate pro-active action, promote trade and Intellectual Property

Rights (IPR) literacy, and generate ideas and action to promote agricultural

trade.

As a response to the extreme distress faced by plantation labour owing to

the crisis in the plantation economy, the Commission, in one of its first

interim recommendations, asked the Government of India to initiate a

"Food for Wage and Employment Stabilisation in Plantation Crops

Programme" under the SampoomGraminRozgarYojana. The Kerala

government acted on this recommendation. The Commission has

proposed that a range of domestic support measures be created to offer

income support to small and marginal farmers. They are given in Appendix

4.

Writing 60 years ago, E.M.S. Namboodiripad- former Chief Minister

of Kerala - had this to say in an essay entitled "From Militarist to Colonial

Economy": "It is thus clear that agriculture in Kerala is directed towards

the production of cash crops to be sold in the world market and that only

the barest minimum of goods are produced for the purpose of local

consumption. Every peasant is today dependent on the condition of the

world market in a two-fold way: he has to buy commodities produced

abroad; he has to sell his own produce abroad."

Although the economy and society of Kerala have seen radical

transformation since then, EMS' observations on the predicament of the

peasantry appears almost prescient. If the peasant's dependence on the

world market during colonial times was dictated by the requirements of

British colonialism, the Kerala peasantry is today caught in a modem-day

global trade regime that is unfavourably weighed against it. The impact of

this has been particularly hard on producers in Kerala and it will perhaps

require a
nationalist movement of a different kind to set right the iniquities of the

new global trade regime.9

Spices industry is an ago - based industry. But rapid strides could not be

made on this industrial front of Kerala. Almost all economic experts and

economic planners have emphasized the inter-relationship between

agriculture and industry. Among the various states in India, Kerala is

fortunate in

growing a variety of spices and a review of their development and

progress and their contribution to the state and national economy seems

not out of place.

ROLE OF THE SPICES BOARD AND THE ERSTWHILE CARDAMOM BOARD

IN THE DEVELOPMENT OF THE CARDAMOM INDUSTRY

Cardamom, the second important Spice Crop in Kerala was under the

Cardamom Act, 1965 and Rules 1966 and now it is included under Spices,

whlch comes under the Spices Board Act, 1986, and Rules 1987. So it
needs clarification on the constitution, working, powers and functions

and the schemes extended to Cardamom growers in the past and the

present and the developmental activities of both Cardamom Board and

the Spices Board.

The Cardamom Act, 1965 whch extents to the whole of India came into

force in that year. It is an Act to provide for the development (under the

9 Guidelines for Trade Bargain -PARVATHI MENON, Volume 20, February

14
,
2003 -Frontline (The Hindu).
control of the Union Government) of the Cardamom industry. A Board

called Cardamom Board was established under section 4 of the said Act.

As per this Act, Cardamom means the h i t of Cardamom Plant and

includes Green Cardamom, Bleached Cardamom, Bleachable White

Cardamom, Sun-dried Cardamom, Cardamom Seeds, Powdered

Cardamom

and Oil extracted from Cardamom and the Cardamom Plant -

ElettariaCardamomurnMaton.

CONSTITUTION OF THE CARDAMOM BOARD

The cardamom Board was constituted by the Central Government and

consisted of:

A Chairman

The Director of Cardamom Development (Ex-Officio)

Three Members of Parliament of whom Two shall be elected by the

House of People and One by the Council of States.

Three members to represent respectively the

Ministries of the Central

Government dealing with:

Commerce

Agriculture; and

Finance
Such members of other members not exceeding 15 as the central

Government may think expedient, to be appointed by that Government

by notification in the Official Gazette fiom among persons who are in its

opinion capable of representing -

The Government of the Principal Cardamom growing

States The Cardamom growing interests The Cardamom

trade Interest

The Interest of labour

The Consumer; and

Such other persons or class of persons, in theopinion of the Central

Government, ought to be represented on the Board.

1. The Board shall consist ofaChairman, the members specified inclauses

(b), (c) and (d) of sub section 3 of Section 4 and 15 other Members

representing other members specified in sub rule (2)

2. Of the aforesaid fifteen members:

Three embers shall represent the principal Cardamom growing States,

One representing each of the States of Kerala, Tamil Nadu and Kamataka

to be appointed in consultation with the respective State Government

Six Members shall represent the Cardamom growing interests in the

Principal Cardamom growing States of Kerala, Tamil Nadu and Karnataka;

Of these Six, 1 not less than Three shall represent the Registered Owners

owning land planted with Cardamom plants the area of which is less than

20 acres whether such land is comprised in one State or more.

Two Members shall represent the Cardamom Trade Interest of which one

at least shall be fiom the State of Maharashtra

Two Members shall represent the Interest of Labour

One Members shall represent the Consumers; and

One Member shall represent such other persons or class of persons in the

opinion of the Central Government, ought to be represented on the

Board.

The Board has the power to elect a Vice- Chairman.

FUNCTIONS OF THE BOARD

The Cardamom Board came into existence in April 1966, by an enactment

of the Parliament via the Cardamom Act, 1965. It shall be the duty of the

Board to promote, by such measures as it thinks fit the development

under the control of the Central government of the Cardamom Industry.

The following are the functions of the Board:

Promoting co-operative efforts among growers of Cardamom

Ensuring remunerative returns to growers of Cardamom

Financial or Other assistance for improved methods of cultivation and

processing of Cardamom, for Replanting Cardamom and for extension of

Cardamom growing areas

Regulating the Sale and Export of Cardamom and stabilization of prices

of Cardamom

Training in Cardamom testing and fixing grade standards of Cardamom

Increasing the consumption in India and elsewhere of Cardamom and

carrying propaganda for that purposes

Registering and Licensing of Brokers (including Auctioneers) of

Cardamom and persons engaged in the business of Cardamom

Improving the Marketing of Cardamom in India and elsewhere Collecting

Statistics fiom Growers, Dealers and such other as may be prescribed on

any matter relating to the Cardamom industry the publishing of statistics

so collected or portions there of or extracts there fiom;

Securing better working conditions and the provisions and improvement

of amenities and incentives for workers;

Undertaking, assessing or encouraging scientific, technological and

economic research; and

Such other matter as may be prescribed.

Registration of estates:

Every Owner of land planted with Cardamom Plants, whether such land is

comprised in one Estate or more than one Estate shall before the

expiration of one month fiom the date on which he first became owner of

such estate or estates or before the expiration of three months fiom the

date of coming into force of this Section, whichever is later, apply to the

Registering Officer appointed in this behalf by the State Government to

be registered as an owner in respect of each Estate owned by him.

Taking into consideration the importance of Cardamom and other spices

in the domestic as well as overseas markets, the Government of India

decided to constitute a comprehensive organisation encompassing all the

spices. Moreover the government wanted direct control over the

development of spices sector. The SEPC (Spices Export Promotion Council)

was functioning in the lines of an autonomous council worlung on grants

fiom the government and it had many limitations inherent to a council

form of organisation. Export promotion is not simply trade promotion in

overseas markets. It starts from the farm gate itself. The SEPC had no

control over farming and processing activities. So the situation called for

a single organisation which could promote scientific farming and trade

promotion activities. So the Spices Board was constituted.

The Cardamom Act 1965 and Rules 1966 were replaced by another Act

called the Spices Board Act, 1986. It is an Act to provide for the

constitution of a Board for the development of Export of Spices and for

the control of Cardamom industry including the control of cultivation of

Cardamom and matters connected there with. This Act came into force

fiom26thFebruary1984.Allthe properties, assets, debts and other

obligationsof

the Cardamom Board and the Spices Export Promotion Council shall vest

with the Spices Board.

The Head Office of the Board is located at Cochin. Board has Regional

Offices Zonal Offices and Field Offices. A central Quality Evaluation

Laboratory (QEL) is located at the Head Office. A Biotechnology Lab also

functions at the Head Office. Indian Cardamom Research Institute the

research wing of the Spices Board has its main station at Myladumpara

(Idukki, Kerala) with Regional Stations located at Thadiankudissai (Tarnil

Nadu) Saklespur (Karnataka) and Gangtok (Sikkim) .
There are innumerable instances of the development of Spices trade

between India and Great Britain. In the history of Indian Spices, thus there

are a number of references about Pepper, Ginger, Turmeric, SafEon,

Curnin, Fenugreek and Garlic, which glorified as well as tarnished the

image of India.'

The fame of Indian Spices is older than recorded history. Centuries before

Greece and Rome had their birth; sailing ships were carrying to

Mesopotamia, Arabia and Egypt, the Indian spices, p e h e s and textiles. It

was the lure of these that brought many seafarers to the shores of India.

Long before the Christian era, the Greek merchants thronged the markets

of South India, buying Spices among other precious things. Epicurean was

spending a fortune on Indian Spices, Silks, Brocades and Cloth of Gold etc.

The Parthian wars are believed to have been fought by Rome largely to

keep open the trade route to India. It is also said that there might have

been no crusades and no expeditions to the East without the lure of Indian

Spices and her other famed products.

Today, when spices cost so little, it seems unbelievable that they were

once a royal luxury and those men were willing to risk their lives in quest

of them. Like Colurnbus, Vas CO Da Garna too was searching for a new

route to