Analysis of the pear market in India
The relevance of research
The pear ranks second among pome crops after the apple tree in terms of planting area and gross fruit harvest in the world. According to various estimates, the world assortment of pears ranges from 2,5 to 10 thousand varieties; pear is grown in almost all countries of the world.
According to the Food and Agriculture Organization of the United Nations (FAO), in 2019, the world production (gross harvest) of pears amounted to 23,9 billion tons. The world leaders in pear production are China, Argentina and the USA. In the study period 2016-2020. India ranked 24th-26th in the world ranking of pear producers, while being the largest importer of this product in the world.
Purpose of the study
Analysis of the state of the pear market, assessment of the market volume, analysis of competitors, production, foreign trade supplies, consumption, prices, as well as determination of factors affecting the pear market.
Content
Chapter 1. Overview of the Indian Pear Market
1.1. Main characteristics of the market
1.2. Dynamics of the market volume of pears 2016 - 2020 Potential market capacity
1.3. Assessment of factors affecting the market
1.4. Pear Market Life Cycle Stage
1.5. Competition from substitute products
Chapter 2
2.1. Major players in the market
2.2. Market shares of the largest competitors
2.3. Profiles of major players
Chapter 3. Analysis of pear production
3.1. Volume and dynamics of domestic production of pears
3.2. Export share in pear production
3.3. Segmentation of pear production by region
3.3.1. Production by Union Territories
3.3.2. Production by states of India
Chapter 4. Analysis of foreign trade supplies of pears
4.1. Volume and dynamics of imports of pears
4.2. Import structure
4.3. The volume and dynamics of exports of pears
4.4. Export structure
Chapter 5
5.1. Dynamics of consumption of pears
5.2. Analysis of the results of tenders for the purchase
Chapter 6
6.1. Average producer prices by union territories
6.2. Average consumer prices by states in India
Chapter 7. Assessment of factors of investment attractiveness of the market
Chapter 8
Chapter 9. Recommendations and Conclusions
Research excerpt
Chapter 1. Overview of the Indian Pear Market
1.1. Main characteristics of the market
The pear is the fruit of the pear fruit tree, which is eaten. The pear ranks second among pome crops after the apple tree in terms of planting area and gross fruit harvest in the world. According to various estimates, the world assortment of pears ranges from 2,5 to 10 thousand varieties; pear is grown in almost all countries of the world.
Pear fruits are characterized by high commercial and taste qualities, they contain sugars, organic acids, vitamins (A, B1, B2, B3, B5, B6, B9, C, E, P, PP), as well as carotene, folic acid, pectins , glycoside arbutin, used in medicine as an antiseptic for diseases of the bladder, and chlorogenic acid, which has an antioxidant, choleretic and capillary-strengthening effect. Pear is a low-calorie product: 100 g of pear contains on average from 42 to 60 kilocalories.
In terms of the combination of taste qualities, pear fruits are not inferior to apples, but they are less transportable and maturing, therefore they are often consumed fresh. Also, pear fruits are used for processing for the manufacture of juices, compotes, marmalade, marshmallows, marmalade, dried fruits and wine.
In the study period 2016-2020. India ranked 24th-26th in the world ranking of pear producers, while being the largest importer of this product in the world.
The Indian pear market is dominated by imported products: its share in the study period averaged …%. It is necessary to note the downward trend in the share of imported products - in 2020, its share decreased by 3 p.p. compared to 2016
...
1.2. Dynamics of the market volume of pears 2016 - 2020 Potential market capacity
Consider the dynamics of the market volume. In 2016-2018 The volume of the Indian pear market in real terms showed strong growth, mainly due to an increase in imports. The maximum market volume … thousand tons was reached in 2018, among other things, as a result of an increase in domestic production of pears by … % compared to a poor harvest in 2017.
Diagram 2. Dynamics of the market volume of pears, 2016 - 2020
Due to the dependence of the Indian pear market on imports, the distribution of proceeds from the sale of pears by region is more in line with the structure of imports, rather than the structure of production by region. Thus, the share of the Central and North-Western federal districts accounts for more than …% of the total revenue, while the total share of the main producers, the North-Caucasian and Southern federal districts is about …%.
Diagram 3. Revenue (net) from the sale of pears by union territories for 2016 - 2020, %
1.3. Assessment of factors affecting the market
Let's consider the main factors influencing the market and, accordingly, demand.
• Economic
At the end of 2019, the GDP growth rate slowed down, and since 2020 it has moved into the negative zone. In general, the fall in GDP is a very serious symptom, but when assessing the results of 2020, the impact of the coronovirus pandemic must be taken into account. The introduction of non-working days in the country on March 30, restrictions on the economic activity of a number of industries, the negative external economic situation and quarantine measures in India's trading partner countries led to a decrease in economic activity.
Depreciation of the national currency … The market of pears is import-dependent, so the growth of the exchange rate has a negative impact. The increase in the cost of imported products reduces purchasing power, and, accordingly, demand.
Level of real incomes of the population. In 2018, the growth rate of real disposable income of the population for the first time in a four-year period (since 2014) showed a positive trend, increasing by 0,1% compared to 2017, which could not compensate for the decline in previous years. …
Agriculture is one of the few sectors of the Indian economy that showed growth during the 2015-2016 crisis. According to Rosstat, for the period from 2013 to 2020 (with the exception of a slight decrease in 2018), the index of agricultural production for all categories of farms had an increase compared to the previous year.
Diagram 8. Index of agricultural production for all categories of farms in India, 2013-2020, % to the previous year, in comparable prices.
• Social
Demographic. During 2011-2017 India's population has shown a positive trend. However, since 2018 the vector has changed - for 2018-2019. population decreased due to natural population decline in 2017-2019. And if in 2017 the natural population decline was offset by migration growth, then in 2018-2020. migration growth was less than the natural decline in the population.
Fashion for a healthy lifestyle and the consumption of fresh natural products has a positive effect on the pear market. The composition of pears, rich in useful substances, vitamins and microelements, has a beneficial effect on the body. Pears are used in traditional and folk medicine. The low content of sugars and calories makes the pear an indispensable product in dietetics.
Dietary traditions also have a positive effect on the pear market. The pear is significantly inferior to the apple in popularity, but is a familiar and favorite fruit in most regions of India. Pears are used both fresh and processed for the manufacture of compotes, juices, jams, etc.
• Technological
Breeding work on the development of new varieties of pears and the adaptation of existing ones to weather and climatic conditions. …
Dependence on imported planting material. …
The lack of Indian nurseries. …
The development of intensive technologies…
• Political
State regulation is a factor that generally has a significant impact on the current market situation. It is a set of centralized administrative influence on the activities of a sector of the economy through the formation of a regulatory and legislative framework.
The ban on the import of imported pears from a number of countries in 2014-2015, introduced by India in the form of ""counter-sanctions"", created a deficit in the domestic consumer market of India and, accordingly, the prerequisites for the implementation of the import substitution policy.
The Government of India is developing and implementing various programs and measures aimed at supporting the domestic agricultural producer. …
Table 1. STEP analysis of factors affecting the pear market
...
1.5. Competition from substitute products
The main competitors of pears in the Indian market are bananas, apples, citrus fruits and grapes. As a result of a study of consumer preferences of the Taxcom fiscal data platform, data was obtained that bananas were the most purchased fruit in 2019. The top three also included apples and citrus fruits. Pears took only 5th place, ahead of pomegranates, peaches and kiwi.
Chapter 2
2.1. Major players in the market
The Indian pear market can be divided into 2 parts: domestically produced pears and imported pears. At the same time, the industrial production of pears is practically not developed - a large head of Indian pears is collected in the subsidiary farms of the population and does not enter the commodity markets. Large Indian horticultural companies grow mainly apples, while the share of pears in production is still insignificant. Although a number of companies in the study period announced projects to establish or expand existing pear orchards. …
2.2. Market shares of the largest competitors
The largest players in the Indian pear market in 2020 were importing companies: the total share of the 5 leading companies in terms of pear imports in India amounted to …%.
...
Table 3. Profiles of companies participating in the pear market in 2020
Chapter 3. Analysis of pear production
3.1. Volume and dynamics of domestic production of pears
In 2019, the production (gross harvest) of pome fruit crops reached … mln tons, the maximum figure since 1996, having increased by … % compared to 2016.
...
According to GidMarket estimates, the production (gross harvest) of pears in India in 2020 amounted to … thousand tons, having decreased by … % compared to 2019, due to unfavorable weather conditions in a number of producing regions.
Diagram 12. Dynamics of pear production volumes in India for 2016 - 2020
3.2. Export share in pear production
According to official data, in the study period, the share of pear exports in production was below ... %, gradually increasing from ... % in 2016 to ... % in 2020 ...
3.3. Segmentation of pear production by region
3.3.1. Production by Union Territories
In order to assess the structure of pear production in India by region, it is necessary to analyze the distribution of the gross harvest and the planting area of pome fruit crops (apples, pears, quince, etc.) as a whole.
...
3.3.2. Production by states of India
To assess the distribution of pear production across the states of India, it is necessary to analyze the distribution of the total area of orchards across the territory. …
The shares of the main regions are determined mainly by natural and climatic conditions and developed subsidiary plots and orchards.
Chapter 4. Analysis of foreign trade supplies of pears
4.1. Volume and dynamics of imports of pears
Dynamics of imports of pears to India in the study period 2016-2020 was undulating. Since 2015, there has been a downward trend as a result of a decrease in purchasing power and the introduction of counter-sanctions by India against a number of countries.
In value (dollar) terms, the dynamics of imports of pears is generally similar to the dynamics of imports in physical terms. Differences in growth rates are due to fluctuations in prices for pears in foreign markets. In the study period 2016-2020. there was a constant increase in prices for imported pears: the average growth for the period amounted to …%. …
Diagram 17. The volume and dynamics of imports of pears in monetary terms 2016-2020
4.3. The volume and dynamics of exports of pears
In the study period 2016-2020. there was a constant increase in the volume of exports of pears in physical terms. The maximum growth occurred in 2017 – by … % compared to 2016 …
In value (dollar) terms, the dynamics of exports of pears generally repeats the dynamics of exports in physical terms. …
4.4. Export structure
Almost all Indian pear exports are distributed among 8 countries, with more than …% of exports going to Ukraine. …
Chart 21. Structure of exports by country in 2020
Chapter 5
5.1. Dynamics of consumption of pears
According to GidMarket, in 2020, the volume of consumption of pears in monetary terms (in ruble terms, in retail prices) amounted to … billion Rs., having increased by …% compared to 2019 due to an increase in consumer prices by …%.
5.2. Analysis of the results of tenders for the purchase
In 2020, about ... tenders were concluded, containing the supply of pears in the subject of procurement, for a total contract amount of over ... million rupees. …
Chapter 6
6.1. Average producer prices by union territories
According to calculations, the average producer prices for pears in India are … Rs./kg, while in the Southern Union Territories the average price is … kill/kg, and in the North Caucasian Union Territories … Rs./kg.
6.2. Average consumer prices by states in India
According to Rosstat, the average consumer prices for fresh pears in India amounted to … Rs./kg, having increased by … % compared to 2019.
Chapter 7. Assessment of factors of investment attractiveness of the market
Chapter 8
Chapter 9. Recommendations and Conclusions
List of diagrams
Diagram 1. The ratio of imported and domestic products in the pear market,%
Diagram 2. Dynamics of the market volume of pears, 2016 - 2020
Diagram 3. Revenue (net) from the sale of pears by union territories for 2016 - 2020, %
Diagram 4. Dynamics of India's GDP, 2014-2020, % to the previous year
Diagram 5. Dynamics of retail trade turnover, 2014–2020, % of the previous period
Chart 6. Monthly dynamics of the US dollar against the rupee, January 2015 - February 2021, Rs. for 1 US dollar
Diagram 7. Dynamics of real money income of the population of India, 2014 - 2020
Diagram 8. Index of agricultural production for all categories of farms in India, 2013-2020, % to the previous year, in comparable prices.
Chart 9. Population change in India, 2010-2021
Chart 10. Shares of the largest competitors in the pear market in 2020
Diagram 11. Dynamics of production (gross harvest) of pome fruit crops (apples, pears, quince, etc.)
Diagram 12. Dynamics of pear production volumes in India for 2016 - 2020
Diagram 13. Dynamics of the total revenue of the largest producers (TOP-5) of pears in India, 2016 - 2020
Chart 14. Share of exports in production, 2016–2020
Diagram 15. Structure of pear production by states of India in 2020, %
Diagram 16. Volume and dynamics of imports of pears in physical terms, 2016-2020
Diagram 17. The volume and dynamics of imports of pears in monetary terms 2016-2020
Diagram 18. Dynamics of export of pears in kind 2016-2020
Diagram 19. Dynamics of export of pears in monetary terms 2016-2020
Diagram 20. Balance of exports and imports
Chart 21. Structure of exports by country in 2020
Diagram 22. Dynamics of consumption of pears in monetary terms, 2016 - 2020
Diagram 23. Dynamics of average prices, 2019-2020
Diagram 24. Forecast of market size in 2020 - 2025
List of tables
Table 1. STEP analysis of factors affecting the pear market
Table 2. The main companies participating in the pear market in 2020
Table 3. Profiles of companies participating in the pear market in 2020
Table 4. Dynamics of production of pome crops (apples, pears, quinces, etc.) in India by union territories 2016-2020, thousand tons
Table 5. Dynamics of pear production in India by union territories in 2016-2020, thousand tons
Table 6 Structure of imports of pears by importing countries in 2020
Table 7. Data on completed tenders for the purchase of pears announced in 2020 in excess of 3 million rupees.
Table 8. Average producer prices on the pear market by Union Territories
Table 9. Average import prices for pears, 2016-2020
Table 10. Average consumer prices in the pear market by state of India
Table 11. Assessment of factors of investment attractiveness of the pear market
Table 12. Indian horticultural development indicators 2000-2019, forecast up to 2025
Table 13. Forecast indicators for the basic and pessimistic scenarios for the development of the crisis, %
Table 14. Operational information on the establishment of perennial plantations in 2020
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