The Agricultural and Processed Food Products Export Development Authority (APEDA): Initiatives, Objectives, and Benefits

The Agricultural and Processed Food Products Export Development Authority (APEDA) is an Export Promotion Council established by the Government of India under the APEDA Act 1985. This legislative framework replaced the earlier Processed Food Export Promotion Council (PFEPC) and aims to regulate, promote, and develop agricultural and processed food exports. Over the years, APEDA has played a vital role in transforming India’s agricultural export landscape, introducing various initiatives to support exporters and ensure global competitiveness. This article delves into APEDA’s objectives, initiatives, and benefits while explaining its organizational structure and financial assistance programs. We will also highlight Credlix, a global supply chain company, as an instrumental player in facilitating export financing in the conclusion.

Objectives of APEDA

The primary purpose of APEDA is to enhance the growth and quality of agricultural exports by implementing several measures. These objectives are outlined in the APEDA Act 1985 and include:

Exporter Registration:

APEDA mandates the registration of exporters dealing with listed products under a Registration Cum Membership Certificate (RCMC). This ensures businesses comply with standards and have access to the benefits offered by the council.

Financial Assistance:

Financial assistance schemes support exporters in improving infrastructure, enhancing quality, and expanding markets globally.

Standards and Specifications:

APEDA sets rigorous quality and safety standards to meet global export requirements, ensuring products remain competitive in the international market.

Inspections and Certifications:

Regular inspections help maintain the quality of exported products. Certification ensures compliance with international standards, enhancing consumer trust.

Packaging and Marketing Improvements:

APEDA assists exporters in adopting innovative packaging solutions and effective marketing strategies to boost product appeal.

Export-Oriented Production:

Promotion of export-oriented production methods helps align India’s agricultural output with international demand.

Training and Education:

APEDA organizes training sessions to educate exporters about best practices, industry trends, and regulatory requirements.

Data Collection and Publication:

APEDA compiles and publishes useful statistics on export trends and market opportunities, offering valuable insights to stakeholders.

Products Covered by APEDA

APEDA’s mandate encompasses a wide range of agricultural and processed food products. Exporters dealing with these products can apply for membership:

• Fruits, Vegetables, and their Products
• Meat and Meat Products
• Poultry and Poultry Products
• Dairy Products
• Confectionery, Biscuits, and Bakery Products
• Honey, Jaggery, and Sugar Products
• Cocoa and its Products, Including Chocolates
• Alcoholic and Non-Alcoholic Beverages
• Cereal and Cereal Products
• Groundnuts, Peanuts, and Walnuts
• Pickles, Papads, and Chutneys
• Guar Gum
• Floriculture and Floriculture Products
• Herbal and Medicinal Plants

Becoming a Member of APEDA: RCMC Explained

Under the APEDA Act, exporters handling any of the scheduled products listed above must obtain a Registration Cum Membership Certificate (RCMC) within one month of starting exports. Let’s explore the process of becoming an APEDA member and the benefits it offers.

Steps to Apply for RCMC

1. Online Registration:

• Visit the APEDA website and select “Register as Member”.
• Provide basic details such as Import-Export Code (IEC), email ID, and mobile number.

2. Verification:

• An OTP is sent to the provided email ID and mobile number for authentication.

3. Application Form and Documentation:

• Fill out the application form and upload the following documents in JPEG, PNG, or PDF format:

1. Self-certified copy of IEC issued by DGFT.
2. Bank Certificate verified by authorities.
3. Registration copy of the manufacturing unit (if applicable).

4. Fee Payment:

• Pay a registration fee of Rs. 5900 (inclusive of GST) either online or offline.

5. Tracking and Approval:

• After submission, an Application Number is generated to track the application’s status.
• Once approved, the exporter can download the certificate by logging into the portal.

Benefits of APEDA Membership

The Benefits of APEDA Membership are numerous and significantly support exporters. 

• Membership provides access to financial assistance schemes that help improve infrastructure, adopt quality measures, and expand market reach. 
• Exporters gain critical guidance for following export regulations, ensuring compliance with global standards. 
• APEDA members can attend specialized training sessions and industry seminars to stay informed about trends and best practices. 
• Additionally, the membership facilitates participation in trade fairs and exhibitions, allowing members to network and showcase their products. 
• By becoming a member, exporters align with a credible body that offers opportunities for growth and strengthens their global competitiveness.

Financial Assistance Scheme for Exporters

APEDA’s Financial Assistance Scheme (FAS) is a cornerstone of its support mechanism for exporters. It is structured around three components:

1. Infrastructure Development

• APEDA provides financial assistance for setting up essential infrastructure for fresh horticulture produce.
• Eligible activities include:

1. Integrated pack houses.
2. Insulated reefer transport.
3. Mobile pre-cooling units.

• Rebate: Up to 40% of the total cost, with a ceiling of Rs. 100 lakhs per activity.
• Budget Allocation (2019-20): Rs. 83 crores.

2. Quality Development

• Financial support is provided for:

1. Implementation of food safety management systems.
2. Standardization and harmonization with global standards.
3. Procurement of devices for traceability systems.

• Rebate: Up to 40% of the total cost, capped at Rs. 4 lakhs per beneficiary.
• Budget Allocation (2019-20): Rs. 56.6 crores.

3. Market Development

• Assistance is offered for activities like:

1. Feasibility studies for new markets or products.
2. Trial shipments of fresh produce.
3. Brand registration outside India.

• Rebate: Up to 40% of the cost, capped at Rs. 10 lakhs per activity.
• Budget Allocation (2019-20): Rs. 46 crores.

Major Initiatives by APEDA

The Agricultural and Processed Food Products Export Development Authority (APEDA) has introduced significant initiatives to enhance ease of doing business in the agricultural export sector. These initiatives aim to streamline processes, improve transparency, and ensure quality compliance. Below, we detail four of APEDA’s landmark projects:

1. Hortinet: Ensuring Traceability in Horticulture Exports

Hortinet is an internet-based, integrated traceability system developed by APEDA to streamline the export process of horticultural products. It provides farmers with a digital platform to register their farms and apply online for testing and certification of their produce. Currently, this system is utilized for exporting grapes, pomegranates, and vegetables from India to the European Union, ensuring compliance with EU standards.

Key features of Hortinet include:

• Online Farm Registration: Farmers can easily register their farms digitally.
• Testing and Certification: Applications for quality testing and certification can be submitted online.
• Enhanced Product Traceability: Exporters can trace the origin, quality, and reliability of the certified products.
• Global Compliance: By adhering to EU standards, Hortinet ensures that Indian agricultural exports are competitive and trustworthy in international markets.

2. Basmati.net: Strengthening the Basmati Rice Supply Chain

Basmati.net is a web-based traceability system that provides a unified platform for all stakeholders in the basmati rice supply chain. This includes farmers, agricultural produce markets, paddy traders, millers, and exporters. Stakeholders can input detailed records of their activities, enabling a seamless flow of information across the supply chain.

Benefits of Basmati.net:

• Transparency: By recording activities at every stage of the supply chain, the platform ensures authenticity and reliability.
• Improved Product Authenticity: Consumers in both domestic and international markets can trust the quality and origin of the basmati rice they purchase.
• Streamlined Communication: The platform facilitates better collaboration and coordination among all stakeholders.

3. Meat.net: Simplifying Health Certification for Meat Exports

In compliance with India’s Export and Import Policy, all export consignments of meat products must undergo microbiological and other mandatory tests by government-approved laboratories. Each consignment must also be accompanied by a Health Certificate. To simplify this process, APEDA developed Meat.net, an online service that enables exporters to apply for Health Certificates digitally.

Advantages of Meat.net:

• Convenient Application Process: Exporters can submit applications for Health Certificates online, saving time and effort.
• Regulatory Compliance: The platform ensures that meat products meet all mandatory safety and quality standards before export.
• Improved Efficiency: By digitizing the certification process, Meat.net reduces delays and enhances overall efficiency in meat exports.

4. Peanut.net: Streamlining Peanut Export Traceability

Following the success of other traceability systems like Hortinet and Basmati.net, APEDA introduced Peanut.net to facilitate testing and certification of peanuts for export. This system adheres to quality standards identified by the Indian Institute of Integrative Medicine (IIIM). Peanut.net collects and stores quality assurance data from all stakeholders in the peanut supply chain.

Features of Peanut.net:

• Comprehensive Testing and Certification: The platform ensures peanuts meet export standards for safety and quality.
• Quality Assurance: Data from stakeholders is stored centrally, allowing for better monitoring and traceability.
• Export Compliance: Peanut.net helps exporters comply with international trade regulations, enhancing India’s reputation as a reliable supplier.

Organizational Structure of APEDA

APEDA operates through a robust organizational framework:

• Headquarters: Located in New Delhi.
• Regional Offices: Mumbai, Bengaluru, Hyderabad, Kolkata, and Guwahati.
• Virtual Offices: Set up in Uttar Pradesh, Andhra Pradesh, Arunachal Pradesh, Chhattisgarh, and Nagaland in collaboration with state governments.
• Leadership: APEDA is headed by a Chairman appointed by the Central Government.

Conclusion

APEDA has been instrumental in enhancing India’s agricultural export capabilities by introducing innovative systems, offering financial assistance, and setting quality benchmarks. Its initiatives, such as traceability systems and online registration, have simplified processes, making it easier for exporters to comply with international standards. Furthermore, collaboration with global supply chain companies like Credlix offers exporters streamlined financing solutions, enabling them to expand their operations and compete in global markets. By leveraging APEDA’s resources and financial schemes, exporters can unlock immense growth potential, contributing to India’s vision of becoming a global agricultural export hub.