

 Export potential
analysis of indian
meat industry


 Presented By : SHAYOK BARMAN

 PRN NO. - 08020242006


 Introduction

 India has 185 million cattle (25 million
are crossbred, 160 million are
indigenous),
 98 million buffaloes
 61.5 million sheep
 124 million goats
 14 million pigs
 1 million camels and
 480 million poultry
Change in Population
Change in Population
 Major Areas of Production:
 Maharashtra
 A.P
 U.P
 Rajasthan
 Gujarat
 India’s international trade in livestock
and livestock products is mainly in
live animals (17%), meat and meat
products (82%), dairy products and
eggs (1%).


 At the global level, India’s export and

import accounts for 0.17% of each.
 In total, these animal produce 5
million tonnes of meat and meat
products, valued at US$ 130 million
 Animal rearing has remained
traditionally a small scale
undertaking for milk or draught
purposes.
 Many animals in the sub-continent
are for dual purpose and are used
for meat at the end of their
breeding or milk producing lives.
 The total number of animals
slaughtered for meat in India rose
from 66 million in 1980 to 106
million in 2000 almost double
 There was a rise in the total number
of cattle and buffaloes slaughtered
for meat in India from 15 million in
1980 to 24 million in 2000
 There has also been an increase in
total beef meat and buffalo meat
 Beef meat available in India is the
meat of the water buffalo.
 The Indian meat production has been
growing at a Combined Average
Growth Rate (CAGR) of 5% for the
last one decade.
 The export of buffalo meat has,
however, been growing at a CAGR
of about 8% for the last one
decade.
 Export of Buffalo Meat during 2007-
2008 was 500,000 tonnes valued at
US $ 750 million.
 As for future projections, export is
likely to increase by 5% per annum.
 Only 2% of meat produced is
processed for value addition.
 Similarly, the meat exported from
India is also fresh and chilled, but
very small portion goes into value
addition and export.
 World bovine meat
scenario
 4 major bovine meat producing
clusters:
 North America (USA and Canada)
 South America (including Brazil,
Argentina and Uruguay)
 Oceanic countries (Australia and New
Zealand)
 Europe (British Isles and continental
Europe).
 Europe
 Mad Cow Disease or Bovine
Spongiform Encephalopathy (BSE)
 EU’s decision to reduce agro subsidy
gradually
 Strengthening Euro
 Net importer

 North America
 Incidence of BSE in USA and Canada
 Lost export market to Japan
 Investments in the sector not
increasing.
 USA and Canada continue to be very
large bovine meat consumers
 South America
 Abundant grasslands
 Brazil has expanded substantially to
fill the world bovine meat supply
gap
 Supply will not be able to keep pace
with export demand
 domestic demand growing even
more rapidly
 firming up prices
 Oceanic countries
 Less production
 Incidence of drought
 High price
 Major Importers of Buffalo meat
 EU
 Japan
 Malaysia
 Korea
 Russia
 USA
 S. Arabia
 Philippines
 Mauritius
 Major Competitors
 Argentina
 Brazil
 Uruguay
 New Zealand
 Australia
Brazilian beef export
Japanese beef imports
World Beef Consumption
Source:
 Focus Market
 Middle East
 West Asia
 North and West Africa
 South East Asia
 Russia
 CIS
 EU
 Central America and the Caribbean
 Existing Indian Buffalo meat export
market and growth projection

Source:
 Growth Promotional
Activities
 The Indian meat is of an excellent
quality and safe for human
consumption.
 Indian meat is also very competitive
in international market and has
created a special niche in most of
the importing countries.
 Buffalo meat blends very well with
other value added products like hot
dogs, corn beef, salamis and,
 Indian meat which is genuinely
HALAL, is exported to about 60
countries in South East Asia, Middle
East, Africa and Eastern Europe.
 However, it is not exported to West
Europe and the USA because of
their stringent Sanitary and
Phytosanitary(SPS) requirements.
 As soon as we are able to control and
eradicate FMD from the country, we
would be able to export meat to
 Constraints
 The major non-tariff barriers faced by
Indian meat exporters in
international markets is the bogey
of FMD prevalence in the country.
 Though there is no ban on the export
of meat from FMD infected
countries to the FMD free countries
as per Chapter 2 of International
Animal Health Code for Terrestrial
Animals.
 Exports from India are banned by
almost all Western European
countries.
 There should be no restriction for
import of meat from India
especially if it has been deboned,
deglanded and chilled for 24 hours
before freezing and exporting.
 This eliminates any chance of
exporting FMD virus from the
infected country to non-infected
 Livestock Health
 It plays a major role in world meat
trade
 India has always been free from the
dreaded Mad Cow Disease (BSE) and
has been free from Rinderpest since
1995.
 No incidence of Contagious Bovine
Pleuro Pneumonia (CBPP) in last 15
yrs
 AIMLEA is playing a leading role in this
 A major programme has been
initiated by the Central
Government since August 2003
through the FMD-Control
Programme (FMD-CP) covering 54
districts across the country
 the Government has introduced the
Infectious Disease Control Bill 2005
in the Winter Session of the
Parliament which includes
 International Standards for export of
Buffalo meat
 Codex Alimentarius Commission (Codex) of
FAO/WTO.
 HACCP
 ISO
 Veterinary or Animal Health certificate
 SPS measures
 Standards of internationally EU accepted
bodies such as FAO, ICAR, UNECE etc.


 Government’s crucial
role
 The meat export industry touches rural
development at the very basic level of
the poor, marginal, landless farmers
whose primary source of livelihood and
existence comes from small livestock
holdings. This is in line with and supports
the progressive, pro-farmer, rural
development oriented policies of the
Government of India.
 One of the most important virtues of Indian
Buffalo meat is its competitive price
 Issues which persist and
currently affect the industry
 Inclusion of meat as an eligible item in
the “Vishesh Krishi Upaj Yojana”
(Special Agricultural Produce Scheme)
 Restoration of APEDA Financial
Assistance for upgradation of export
oriented abattoirs / processing plants
as was applicable during 1997-2002
 Inclusion of Buffalo meat under APEDA’s
Transport Assistance Scheme for new
markets in Africa / CIS where freight
cost from India for reefer containers is
much higher than from competing
countries
 Restoration of DEPB rates for frozen
Buffalo meat
 Exemption from Service Tax on
transportation of meat products
processed for exports. This is
presently applicable only for fruits,
vegetables, eggs or milk even for
domestic consumption
 Ministry of Food Processing Industry’s
grants as per their published Scheme
(currently being denied)
 Future of male buffalo
 Use as draught power reducing
 Hence reduction in population
 Male calf therefore is unfortunately
not cared for and resultantly does
not survive
 It is expected that over a period a
new, niche market, with a premium
price realization for Buffalo calf
meat, would emerge and in that
case even intensive male calf
rearing could be self sustaining.
The Slaughter House
Process
 ITC HS Code
 02021000 - Bovine carcasses and half
carcasses, frozen
 02013000 - Bovine cuts boneless, fresh or
chilled
 02012000 - Bovine cuts bone in, fresh or chilled
 02011000 - Bovine carcasses and half
carcasses, fresh or
 chilled
 02062100 - Tongues of bovine animals (frozen)
 02022000 - Bovine cuts bone in, frozen
 02023000 - Bovine cuts boneless, frozen
 02061000 - Edible offal of Bovine animals, fresh
or chilled
 02062900 - Others parts of bovine animals
 Cost of Processing
Plant Capacity: 1 ton per day

Source:
Project Assistance
 contd…

No custom, excise duty and sales tax duty on 100% EOUs.

100% FDI permitted.


Marketing partnership/technology collaboration with meat processing
equipment suppliers.
 Packaging
 Plastic film and laminates plays
significant role in retention of the
quality and extension of shelf life
and also promote marketability
 Vacuum packaged have better flavor
retention.
The principal role of fresh meat
package is:
• To prevent moisture loss
• To offer the product to the

consumers in most desirable colour-

red bloom
• To prevent further bacterial

contamination of meat
• To arrest pick up of foreign flavour

and odour by meat

• To control oxygen transfer
 Packaging Techniques
 Tray with Over-wrap
 Shrink Packaging
 Vacuum Packaging
 Skin Packaging
 Modified Atmosphere Packaging
 Quality Characteristics
 Lower intramuscular fat
 Cholesterol and calories
 Higher units of essential AA
 Iron content
 Moisture 76.4%
 Protein- 20.4%
 Fat – 1.5%
 Ash - 0.12 %
 Water soluble protein – 5.1 %
 Salt soluble protein – 7.2%

Case Study
 The plant and the process technology
has been set up in collaboration
with world’s leading companies
from Australia, New Zealand and
Europe.
 This plant has been approved by the
Agricultural and Processed Food
Products Export Development
Authority (APEDA), Ministry of
Commerce, Government of India for
export of meat and meat products.
 In order to ensure that the animals
used for the production of meat for
export, the company has developed
a Hind Livestock Development
Foundation (HDLF) a model
backward integration with
160,000 farmers raising more than
half-a-million buffaloes in 7,200
villages under semi-contracted
farming districts in eight districts of
western Uttar Pradesh.
 As a part of the programme HAIL
provides farmers door-to-door
veterinary services including
vaccinations and have created a 110
km disease free-zone in respect of
diseases listed under “A”list of OIE.
 The Government of UP has also
declared this zone as free from
Rinderpest, FMD, CBPP, Blue Tongue,
PPR, etc.
 As a result of this there has been no
report of FMD during last six years
 For the rearing of animals, the
company provides feed at
subsidised rates from its own feed
mill to ensure the right ingredients
are used in the feed.
 Animals for slaughter and meat
export are sourced from this zone
by the company ensuring
traceability of both meat and feed
ingredients used for rearing the
 In addition to the above, there are
integrated livestock village farms to
raise male buffalo calves procured
from the above villages at the age of
9-12 months.
 The farm has its own feed mill and 70
acres of land for growing green
fodder.
 The main objective of the farm is to
raise quality animals under disease
free conditions with an individual and
traceability to fulfil the requirements
 The HAIL follows SPS measures given in
the OIE Guidelines, and the plants are
certified for HACCP (Hazard Analysis
Critical Control Points), ISO 9002
meeting the OIE norms.
 The identification and the traceability of
the animals from production source to
the abattoirs is fully maintained.
 It is ensured that animals have been
raised under disease free conditions
given in the list “A”of OIE.
 In the HACCP, the Critical Control Points
(CCP) are closely monitored right from
reception of the animals (procured
from disease free areas) at the plant,
ante-mortem examination, post
mortem examination, chilling of
carcasses at 0-4°C for 24 hours to
bring pH level below 7, freezing of
deboned meat at -35°C to -40°C for
10-12 hours and storage at -18°C.
 All these measures preclude the
possibility of transferring any
 Almost all the export-oriented plants
follow the safety specifications
given by the Meat and Meat
Product Order of 1993 issued by
the Directorate of Marketing and
Inspection, Government of India.

Deboning process
SWOT ANALYSIS
 Strength
 Diverse and rich resource base
 Location advantage
 Large livestock population
 Good quality (Lean meat and genuine
“HALAL”)
 Better disease control
 Competitive price
 Excellent Veterinary Infrastructure

 Weakness
 Insufficient infrastructure
 Obsolete machinery
 Low processing level
 Inadequate credit supply
 Dominance of the unorganised and
fragmented industry players
 Freight cost for reefer containers is much
higher than the competing countries

 Opportunity
 New emerging market
 Changing consumption pattern
 Raise male buffalo calves
 Contractual farming as backward
integration
 Value addition and diversification
 Better utilization of by-product
 Better positive image at global level
 Innovative marketing approach.

 Oppurtunity
 The meat export industry not only
processes meat for export but provides
a range of raw materials like
 Hides
 Offals (for crucial pharmaceutical and
pet food application) and
 Renders all inedible meat tissues and
bones to give important by products
such as gel bones (for gelatin
production) and
 Meat & bone meal and technical fat
used in poultry feed.
 Patents
 “ PROCESSING OF BUFFALO MEAT
CRACKLES-A CRISP SNACK”
 Threats
 Quality standards
 Labeling and traceability
 Non availability of tested indigenous
technology for commercial scale
processing
 High cost of imported meat
processing equipments

Environment protection requirements
 Solid waste management and by-products

 Quarantine of sick and diseased animals

 Wastewater treatment




 Conclusion
 The Buffalo meat export industry has
grown well.
 The potential for rapid growth is high,
particularly if a specific time bound
plan of action between the various
wings of the Government and the
meat export industry is drawn up
 Livestock health issues need to be
further addressed.
 Quality and more importantly
traceability issues, will need to be
addressed carefully in the emerging
Thank you