Value addition in agriculture: turning raw produce into profit

Value addition in agriculture means producing the raw produce’s potential by turning it into ready-to-use products. This significantly reduces the burden on customers of handling raw materials themselves. Here, the value of the raw produce also increases, which results in higher retail prices and more profits. And how to convert the raw material into ready-to-use products. This can be done by processing, branding, packaging and marketing. Few such examples are- tomatoes to tomato ketchup, fruits to fruit juices. This process not only increases the value economically but also increases the nutritional value of the product. Let’s see some techniques by which we can increase the value of agricultural produce.

Techniques of value addition in agriculture (with examples)

Following trend

People nowadays are very much interested in organic, gluten-free, vegan products, turmeric shots, herbal supplements, etc.

Turmeric ginger shots (morning shots)

Instead of selling raw turmeric as a farmer, you can add ginger, turmeric, water, etc., to make a healthy soup; these are good for gut health as well as overall health. These are mainly consumed in the morning. This type of product is in demand due to its trend among people; before, if you had sold it, the value wouldn’t have been much, or the demand would have been less.

But due to these kinds of trends, which are healthy and helpful for people. And as a farmer, you will generate a good amount of revenue.

Vegan products

Similarly, people are popularising vegan eating, which is in our tradition if Jains and Brahmins in India. People are understanding the cruelty of the livestock industry and moving to vegan products.

And surprisingly, vegan products are highly priced, as compared to other sources.

This is because now your normal product has a category and a brand label of vegan, the value has increased because of people’s demand.

Processing

Processing involves making the product consumable and convenient to use. There are many ways you can process the raw material. Some examples are pickles, juices, ketchups (tomato ketchups), dehydrating (chili are dried to make powder), potatoes to chips, jams.

This process of processing raw material not only makes it convenient to use but also increases the shelf life and taste of the food. This is a really popular technique for increasing the value of the raw materials.

Packaging and Branding

Packaging helps in maintaining the quality of the product, also the branding done in the packaging helps to influence the decision-making, as well as the consumer might unconsciously memorise the packaging. This is because branding helps in distinguishing your product from the rest of the competition.

Examples- any tea packet that is green reminds you of green tea, a yellow packet is of Maggi. Packaged Basmati rice is better than unpacked rice.

Quality control

As a brand or an agriculture company, you have used all the techniques to improve the product’s value. But here’s what lies maintenance of the brand image which you have created. You need to have a strict recipe for pickles, ketchups, jams, etc. This will help you in having a standard taste across the product line. This will provide more legitimacy, trust for the consumer of the product

Grading and sorting

This involves categorising the products according to their quantity, size, variety/ type, and appearance. This will provide consumers with a variety of options to choose from, hence broadening the consumer segment.

Conclusion

These techniques will not only help farmers in increasing the value of the products but also manage waste properly, as excess raw materials can be processed, and processed food has a higher shelf life as compared to raw materials. Such as fruits, vegetables can be processed into jams, ketchups, sauces, and pickles, which have a higher shelf life.

But here’s the take for all these, you need a proper processing unit and manpower. You need to have proper strategies, resources for all these. The government does provide support in the form of subsidies and financial help to agropreneurs and small farmers.