3.5.1 Background

The lack of appropriate but available post harvest technologies and the constrained marketing of high value added vegetables and fruit crops , as well as floral products is hampering the individual farmers’ opportunities for increased income generation and leads to uneconomic use of natural resources.

The scarce water resources, increasingly reduced availability of land in an environment of progressive trade liberalisation and competitive export markets, determine the needs for substantial productivity gains, the achievement of stable quality levels of marketed products and adoption of technologies that meet the requirements of the consumer markets. Increased costs for effectively applied technical solutions have to match farmers’ expectations for financial returns that at least equal their investment in time and costs. Free market flows will almost automatically enhance the application of appropriate technologies and export orientation, while any market imperfections perceived by farmers will tend to enhance a least effort approach. The facilitative role of the public sector and the private sectors / i.e the farmers’ ability for self-organisation to find solutions to identified problems are important prerequisites for the narrowing of gaps in applied technologies and marketing practices.

The production of vegetables, fruits and floral products provide key opportunities for further market penetration in export markets, as long as local markets remain small. The production of these crops and an indication of the involvement of the available labour force in the agricultural sector is as follows ( vegetables and fruits only):

Egypt Israel Jordan P.A.

Employment in agricultural sector (%) 2% 7% 20%

Production of fruit and vegetables (ton million) 6,0 3,6 2,0 0,6

Export share 20% 25% 35%

All countries involved in this programme experience the same shortcomings, although at different levels and with a different impact. For some it is a question of fine-tuning and achieving excellence, for others it is the need to make efforts for greater advancement. The main problems stated by the countries comprise the following major points:

• lack of implemented available post harvest technologies
• insufficient market information
• inefficient export management capacities
• lack of adequate marketing extension service
• lacking or inadequate marketing infrastructure
• low quality of produce
• excessive post harvesting losses resulting among others from the above
• inadequate quality control and assurance /enforcement system
• insufficient information / dissemination flow of knowledge from research to farmers
• lack of appropriately applied and available indicators for maturity indices for individual cultivars

Egypt has a large potential to satisfy nearby export markets, but its past protective policies have favoured less demanding local markets on the account of being able to facing the more competitive export markets. Losses estimated during the post harvest stages are probably in the region of 25%, the latest surveys being conducted as late as 1982. Organised efforts have been undertaken to implement measures reducing losses and increasing the quality of products. However, more far-reaching changes are required and comprise both cognitive knowledge and greater awareness by farmers, as well as farmers’ degree of self-organisation to take greater responsibility to manage production, credit, marketing and distribution issues.

As far as post harvest losses are concerned one major concern is the lack of modern and professional ways of defining and establishing maturity indices avoiding the marketing of produce that is either firm, but immature and/or soft, but unsuitable for sale. Traditional methods of harvesting prevail over modern, but simple practices determining important ripening parameters. Major fruit producing areas in Egypt would economically benefit from the application of better practices and technologies. However, also investments are required to provide the required cooling facilities extending the shelf life of products, appropriate transport facilities avoiding damage to the produce.

Israel produces about 3,6 million tons of fruits and vegetables (1997), of which 20% are exported to mainly European markets. About 4,5% of the fresh produce ( fruits and vegetables) packed for export purposes have according to 1997-data been rejected by the governmental inspection services as the produce did not comply with Israeli standards, which are similar to OECD-standards. The losses occurred during the stages from packaging to transportation to sea and/or air terminals. Additional losses are assumed to have been occurred at pre-packaging stages. However, precise data and knowledge is not available. Also the losses that are most likely occurring between the export terminals in Israel and consumer destinations abroad are not known, only assumed. Any improvement in the marketed volume of produce to export markets would greatly increase the income of the growers at subsequently increased incomes. Precise information on the causes of post harvest losses would initiate actions towards targeting their reduction. Any major research effort is still outstanding providing necessary feed back to the extensions system and farmers.

In terms of marketing twenty different export and marketing enterprises are operating in Israel, the largest company being ‘Agrexco’, which is government controlled, but loosing its originally monopolistic dominance.

The agricultural sector in Jordancontributes about 4% to the country’s GDP and employs a labour force of about 7%. The Jordan valley, the highlands and the Badia area are the main production areas for fruits and vegetables producing about 2 million ton, of which 70% are vegetables and 30% fruits. The Arab Gulf countries and Lebanon are major export markets and only a very small share of the local production is exported to European markets. Also Jordanian producers are exposed to high post harvest losses owing to improper handling and practised post harvest techniques, the non-use of pre-cooling facilities by exporters, inadequate grading and a depleted transport fleet. The lack of compliance with stable quality standards even suppresses the satisfaction of key customers in the local markets.

Government involvement in agricultural production and the provision of services and credit has been substantial. The abolition of subsidies and availability of government secured credit facilities requires a rethinking of the role of the farmers’ institutions and co-operatives. Therefore, policies are being implemented to strengthen the private sector enabling it to produce and export quality and high value products. The transfer of renewed responsibility to and the organisation of self-organised farmers to find solutions are a major task ahead establishing strengthened management capability to retrieve applicable technologies, and establish strong marketing institutions.

Post harvest technology and marketing are disciplines not taught at higher institutions of learning and this has partly contributed to the lack of available and relevant studies which analyse and highlight precisely the specific reasons for failure and losses.

Agriculture is considered the backbone of the Palestinian economy in terms of contribution to GDP, its high share of external trade and absorbing a large number of the labour force. The agricultural sector has stagnated and even contracted due to the political constraints and outstanding issues to be resolved which is impacting the region.

The cultivated area is concentrated in the Northern Governorate or West Bank with 90% of the cultivated area, while the Southern Governorate represents the reaming 10% of the cultivated area. Fruit trees occupy the main area of cultivation (64%), while vegetables are cultivated on 10% of the cultivated area. The share of vegetables and fruits is thus a substantial income earner for the sector. The country faces numerous constraints as a result of the relationship with Israel. Moreover, agricultural research is in the process of rehabilitation, extension services are not equipped to fully support the agricultural sector and its farmers, agricultural funding and credit institutions are absent and the fragmented land ownership and the non-registration of land prevents farmers from the ability to provide the necessary collateral for credit.

The marketing infrastructure needs strengthening, the access to own airports is unavailable, required post harvesting equipment is non-existing and the lack of awareness for international standards, the lack of marketing facilities, systems and organisations aggravates further the development efforts of the agricultural sector. Moreover, farmers are not organised and have little confidence in jointly attempting to find own solutions to their problems. This gives a wide scope for the occurrence of post harvest losses and the need for addressing them. The diminishing of marketing problems would greatly enhance improved application of new post harvest technologies.

The scope for regional co-operation is eminent in finding joint solutions, in exchanging available technologies and dissemination systems, in establishing regional quality standards and assurance systems and in opening up own markets for intra-regional trade. Co-operation would thus enhance the competitiveness of the region and its image as a region supplying good quality products.

During the initial planning phase of this programme and at meetings with regional participation these issues have been highlighted and formed the basis for the specific formulation of the programme component and derived projects focusing on arid / semi-arid agricultural zones. From the review of the programme component so far agreed, the following specific objectives and activities were arrived at by the newly formed regional subject-matter task force.

3.5.2 Objectives  

1997 data

Fruit production only - 1996

1998 data

Average 1990-97 ( 78% to Gulf states, 20% to Lebanon. 2% to Europe)