PLUGGING THE OIL AND PULSES SHORTAGE-A PRIVATE INITIATIVE

Criticizing multinational companies is a trait deep rooted in India which had seen how Britishers were able to bleed this country of its precious resources during their 300 years of rule. But such an attitude may not be relevant to day because there are many Indian companies which are multinational in character having operations out side the country. Also the framework of WTO regime within which India has sworn to work does not allow unreasonable restrictions on investors from member countries. Recent policy shift allowing foreign retailers to invest in India is a pointer to things to come in future. Under these circumstances the recent announcement by some Indian investors about forming a consortium for buying land in countries like Ethiopia and Uruguay and producing oil seeds and pulses should not come as a surprise to any one. 

The report quoted below does not really say much about any action taken so far but the likelihood of such mega agricultural projects, coming in technology and money starved but land rich countries, can be a distinct possibility. 

A consortium of over half a dozen companies, primarily leading oilseed processors, under the aegis of the Solvent Extractors' Association (SEA), is planning to acquire agricultural land in Latin America (LatAm) for planting edible oilseeds and pulses. Earlier, these companies had plans to acquire land in Ethiopia. But, the worsening law and order, poor infrastructure and complicated government policies in the African country, forced them to move to LatAm, where these issues are well addressed. The oilseed processors' drive assumes significance as these companies failed to expand their business horizontally through backward integration, as a result of corporate farming not permitted in India. Despite over 60 per cent of its edible oil requirements being met through imports, the government of India refuses to grant permission to big corporate players for acquisition of land for self-driven agricultural purposes. While contract farming, involving farmers as stakeholders, is allowed, the model has not worked to anyone's benefit. "We are looking at Uruguay in Latin America for growing soybean and pulses with around 6,000 hectares of land on lease for a couple of years initially. If it proves profitable, we would acquire land in Uruguay for full fledged planting," said B V Mehta, executive director of SEA.Mehta did not divulge the name of the consortium or the companies involved in the deal on fears of land price rise in Uruguay. He, however, confirmed that talks are in advanced stages and the Indian companies would begin soybean planting as early as next season. If successful, this would be the first entry of any Indian companies into Latin America for plantation. SEA has conducted detailed analysis of both countries - Ethiopia and Uruguay. In comparison with Ethiopia, Uruguay is more peaceful, has sustained agriculture policy and advanced infrastructure. In Ethiopia, Indian companies would need to invest on a sustained basis for over a decade to develop the requisite infrastructure, which may or may not be profitable for them in future. Besides, the presence of pirates in neighbouring Somalia has made transportation of oilseeds from Ethiopia a risky affair. Investing in Uruguay, which has agro-climatic conditions similar or even better than Ethiopia, does not entail any of these issues".

In such a future scenario a larger question is whether Indian entrepreneurs will be able to cope up with the investment and working environments in the foreign countries where operations are planned. The recent experience of Indian companies in countries like Maldives, France and others does not inspire much confidence about the success of such ventures. After all India is one of the countries which does not allow large corporate players to buy land for agriculture and if one single reason for the low productivity of agricultural crops is to be cited, it is lack of technology and resources in this sector mostly dominated by millions of impoverished rural farmers. Another assumption by Indian investors in foreign countries that they will be allowed to export their production freely out of the invested country may not turn out to be true because every country invariably tries to meet the domestic food demand before allowing exports. Any how this is an experiment worth trying and learn valuable lessons for similar projects in future.

V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com

   

PROTEINS FROM RICE BRAN-CAN IT BE VIABLE?

Rice bran, a bye product from the rice milling industry, was considered more as a cattle feed material till its oil was found to be very valuable as an edible fat source with significant nutrition quality. One of the major restraints in utilizing rice bran for oil extraction was its susceptibility to go rancid due to high lipase activity which, if not inactivated as soon as milling, can hydrolyze the oil into free fatty acids. If integrated milling cum oil processing facilities are available there may not be any need to "stabilize" the bran through thermal inactivation of lipase enzyme system. Indian situation is not considered ideal for rice bran oil extraction because of the widely scattered rice mills with low capacity working across the country making it difficult to collect adequate quantity for feeding a reasonably sized solvent extraction plant in time before oil quality starts deteriorating. In countries like Japan rice bran oil is the staple cooking medium and this oil has also made inroads into western markets recently. Against such a background it is intriguing to understand the recent attempts by an industrial conglomerate to extract protein from rice bran for offering as a protein ingredient in formulated foods. Here is a take on this new development.

"Rob van Leen, Chief Innovation Officer at DSM, adds: "While we fully realize that the world will continue to need animal derived proteins, we believe it is important to explore ways of extracting proteins from plant material, and we aim to make a contribution in this area. NutraCea's management team, headed by John Short and Leo Gingras, have restructured their company to focus only on rice bran derived products and rice bran bio-refining. Their proprietary and patented technologies and expertise in the field of rice bran combined with DSM's technology base in bio-based products form the perfect platform to tackle this plant-based protein challenge. This project fits extremely well within our sustainability and innovation focus at DSM." NutraCea's Chief Executive Officer, W. John Short, commented: "This Joint Research and Development Agreement between DSM and NutraCea provides the opportunity for our two companies to join forces in the development and potential commercialization of protein from rice bran targeted to human food and ingredient applications. To feed a growing world population, additional alternative sources of protein will become increasingly important. The intrinsic product characteristics of rice bran -- hypoallergenic, gluten free, full range of amino acids, and easy digestibility leading to high bioavailability -- can serve as a valuable additional protein source for our growing world population. In that context, working together with DSM provides the opportunity for our two companies to take advantage of an underutilized co-product of an existing resource -- rice bran -- obtained from the existing global rice crop as a sustainable and renewable protein source that requires no additional land or water resources. We appreciate the opportunity to collaborate with the people at DSM. Their corporate commitment to sustainability and renewability, as reflected in their philosophy and vision of 'people, planet and profit,' are values that we share at NutraCea. We look forward to working with the DSM team."

It is true that rice bran potential world wide is a staggering 30 million tons and no wonder it has attracted attention now as a source of valuable proteins. With a protein content of 12-15% and a PER value of 2-2.5, rice bran protein can be a viable food ingredient in many food preparations in place of costlier counterparts like Casein, Soy protein isolate and others. If commercial considerations pitchfork rice bran as a source of refined cooking oil and protein isolate with 90% plus protein, what is lost will be some of the most valuable health promoting nutrients like tocotrienol, gamma oryzenol, beta sitosterol, constituting about 4.3 % of the oil fraction because these unsaponifiable fractions are lost during normal refining process. There must be a holistic consideration while planning to use rice bran to recover these nutrients also.

V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com

WAKING UP OF THE "KUMBAKARNA"- A NEW PULSE POLICY IN THE OFFING?

A giant is likely to proceed more cautiously than others because of the logistics of limb and body movement and India fits into the description of a giant at least from the population angle. There for politicians of ruling group always justify slow progress and huge time over-run in almost all developmental activities citing the "giant" size of the country! Of course they forget that China is a bigger giant than India but it still manages to move at a frenetic pace aspiring to become the most powerful economic power in the world. After seven decades of independent existence those who control the destiny of the country at present has "discovered" that water scarcity is here to stay and there is need to conserve water! Here is a take on that.

"Concerned over the depleting groundwater table in Punjab and Haryana, the Centre is planning to increase the procurement of oilseeds and pulses, both less water consuming, from the two states. The aim is to make farmers prefer these crops over paddy, in what may be seen as a shift in the Union government's food policy. And instead of Punjab and Haryana, the government would promote paddy cultivation in the eastern states of Bihar, Jharkhand, Orissa and West Bengal, said Union Agriculture Minister Sharad Pawar. Pawar, however, said that a formal decision in this regard would only be taken after taking into confidence the state governments of Punjab and Haryana and farmers. "The government proposes to procure horticulture produce, pulses and oil seeds from the two states, and farmers will get higher price (MSP) for these crops than what they get for paddy. We will, however, continue to procure wheat from here," he said.

One never knows whether the statement by the most "dysfunctional" minister in the Union cabinet was expressing his personal opinion or it is going to be a policy that will be implemented soon. It is a mystery as to what prevented the government so far from procuring crops raised with less water that could have conserved precious water. One may recall that it was just about 2 decades ago that GOI launched with much fanfare its much touted Mission on oil seeds and pulses investing lot of money obviously to tide over the never ending shortage of these critical commodities but nothing came out of it due to callousness and disorganized, uncoordinated efforts of multiple agencies. Production of both these crops remained stagnant with GOI resorting to imports on an ad hoc basis, as a fire fighting operation. Is it not a shame that the same government is talking about oil seeds and pulses now as if it is a new problem? Probably democracies like that in India can thrive only when people have short memories and politicians are able to recycle the same "trash" over and over again with none being able to call their bluff!

V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com

OIL FROM WINERIES? WHY NOT?

Wineries based on grapes generate large volumes of pomace that often presents problem for disposal without causing pollution. A typical winery can generate more than 50 tons of pomace and those which are integrated with vineyards plough back the waste into the soil, though such practices can adversely affect the soil quality in the long run. 25-40% of the grapes crushed ends up as waste containing the grape skin, cellulosic materials and seeds. Yield of seeds which can be separated from the pomace, works out to about 2-3 tons of dry seeds from 100 tons of wet pomace and grape seeds are considered a source of good quality oil. About 12-15% oil can be obtained by crushing in presses and it is supposed to command a premium price in Europe. Italy, France, Spain and Argentina are the leaders in grape seed oil production.

"Grapeseed oil from Europe sells for more than $45 a gallon, though home chefs typically buy it in smaller quantities, prizing the product for its ability to fry at higher temperatures than other oils, and the way it coats more evenly, ensuring a little goes a long way. A Chautauqua-area growers' cooperative sells a Concord grapeseed oil, charging $15 for a one-cup bottle by mail order".

As a commercial fat, grape seed oil may not be able to compete with other major edible oils but with about 72% linoleic acid and 16% oleic acid in the oil it may become a nutritional product of importance. Its high smoking point, about 216C makes it an ideal frying oil but unless cost is brought down considerably it is unlikely to be an accepted edible oil for the food industry. Because of its bland aroma and taste, it is used to a limited extent as a salad oil and a carrier for oil soluble flavors

V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com