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July 9, 1999

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Green Revolution II: Vegetables spawn brands and businesses

Avocados Usha Iyer in Bombay

There was a time when asparagus, artichokes, avocados were more often than not found in the recipe pages of magazines. Now it is likely that one may find them, the exotic agri-produce, at the friendly neighbourhood supermarket or even at the local vegetable vendor. Making this happen in India, a predominantly agricultural country for ages, are horticulture firms. The ventures have given the seemingly disorganised business of vegetables and fruits a corporate touch.

A discerning eye would notice at outlets in Bombay that are frequented not just by the rich, things like jalapenos, babycorn, iceberg lettuce and Chinese cabbage.

Market sources say a new green revolution is in the making, and will explode with the advent of foreign companies. This is expected to happen after the lifting of quantitative restrictions and the reduction of tariffs, as per the agreement with the World Trade Organisation. For instance, US horticulture major Sunkist will enter the Indian market in September with its world famous brand of citrus fruits.

Email this report to a friend Lettuce leafy Grown-in-India "foreign vegetables", market sources say, are becoming increasingly popular in cities and towns. Trikaya Agriculture's managing director Samar Gupta lists the vegetables his firm specialises in: "Snow peas, sugar snap peas, runner beans, red cabbage, parsley, cherry tomatoes, broccoli, celery, zucchini yellow squash, leeks, Chinese pak choy, Chinese pai tsai, swiss chard, sweet yellow corn, romaine cos lettuce, basil, sage, thyme, rosemary and sweet marjoram."

Gupta explains the trend: "Thirty years ago, cauliflower and carrots were considered 'English' vegetables, but today they are an intrinsic part of our diet. With urban lifestyles changing, mushrooms and babycorn have become common even in middle-class homes."

Evidence of the growing demand can be found in the 'salad stalls' in the heart of middle-class suburbia, like the markets of Vile Parle in northwest Bombay. A traditional vegetable vendor says, "Earlier we used to stock around a kilogram of yellow pepper or red cabbage with hesitation. Now they have become so popular that I stock them through the year."

Leeks One reason why these "exotic vegetables and fruits" are becoming popular, spawning a demand that is being met by agri-companies, is that people travel more now, says Limji Nanabhoy, director, Agri-Science India Limited. "Unlike in the 80s and early 90s, the majority middle-class now is open to the idea of experimenting with new cuisine; they want to eat out a lot more, and not just at Udipi joints but Chinese, Mexican and Italian restaurants. There is also a higher degree of health consciousness."

Branded vegetables (Fresh Produce of Trikaya Agriculture) Although packaged, branded raw vegetables are slowly finding their way on to the superbazaar shelves, the market is still nascent, says Vinay Adhe, director, Foodland, one of the earliest retail outlets for fresh produce. "It is very difficult to quantify the growth in the market, but we have definitely seen a steady rise in sales. So much so that we have increased our shelf space from one corner of the regular vegetable section to an entire wall space. Today, we sell over 150 packets of mushrooms a day."

Next page: 'Designer vegetables' in domestic and export markets

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