| | August 20188CIOReviewresh fruits & vegetables (F&V) hit the head-lines when the tomato price touch Rs80/- or onion brings tear in the eyes of housewives. Researchers love to write about large postharvest losses (30-40%) in F&V. Often, farmers' suicides are attributed to low or no farm returns. The news of tomato selling at Rs2/- or potato being thrown in the highways are not uncommon. When the retail sector opened up, people thought that the scenario would change when invest-ments pour in. But nothing changed significantly. The fruits & vegetable supply chain is characteristically complex and complicated. More than just the transportation and logistics, there are other factors which impact the sup-ply chain. Most of these products are highly perishable, strongly price volatile and uncertain on demand. Supply-side is marred by seasonal-ity, cyclicality and uncertain weather. There is little value addition in the fresh business, except for sorting, grading, and packing. The industry is unorganized to an extent of 99%. The obvious question then is why or-ganized players do not step in. To manage a retail supply chain for cauliflower in Delhi one has to source it from 5 different geographies during a year. Their spread is from 6 to 600 km in distance and 700 to 7000ft in height. And their situations vary from the deserts of Rajasthan to hills of Himachal. The windows of availabilities are such that one has to create a supply chain every alternate month, knowing pretty well that it is to be broken in the next month. The IN MY OPINIONCHALLENGES & OPPORTUNITIES OF FRESH FRUITS & VEGETABLES SUPPLY CHAINBy Mihir Mohanta, G.M. Supply chain, Mother Dairy FThe author has worked for more than 25 years in the sourcing & supply chain in the food industry. He has a varied experience in the entire food-chain from crop production, food processing as well as food retailing. He has a rich organizational understanding as he worked in multinational companies (PEPSI), cooperative (OIL ORISSA), private (Aditya Birla Retail) as well as quasi-government organizations (MOTHER DAIRY). His latest & most challenging assignment is in fresh produce, working directly with farmers across India.
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