CELERY
 
 

1.                  INTRODUCTION

 

The celery plant (Apium graveolens) belonging to family Apiaceae is a hardy biennial, occasionally annual, widely cultivated for its fleshy leafstalk used as a vegetable and seeds which yield essential oil.  The seed contains 2 – 3% essential oil and 17 – 18% fatty oil. The essential oil has d-selenene, sedlanolide and sedanoic acid anhydride contributing to its flavour and 60% of d-limonene.

 

The crop is grown as a winter annual for its seed and seed oil, used for flavouring tinned food and sauces. It is also used in pickles. The seed has carminative and nerve stimulant properties; it is used as a neuro-tonic in domestic medicine. The leaves are used in salad and also cooked as vegetable. 

 

2.                  OBJECTIVE

 

The crop area at present is 5000ha and the produce is exported as seed mainly to USA.

 

The objective is to grow commercial crop of celery for production of seed oil and to raise it for export. Price realization for exported seed is low. Efforts need to be made to produce value added seed oil and export it.

 

3.                  BACKGROUND 

 

3.1              Origin

 
Celery (Apium graveolens linn.) is a Mediterranean herb, brought into cultivation in France and England during sixteenth century. Later, it spread to many parts of temperate Europe and USA. The crop was introduced in India around 1940 from France for its seed crop.

 

3.2              Botanical Description

 

Celery is a herbaceous plant, usually 60 to 120 cm. high with white flowers borne in compound umbels. Annual cultures are grown in India mainly for seed purpose. Root is succulent, well developed with numerous lateral roots. Stems are branched, angular, jointed and light green in colour. Leaves are oblong, 7-18 cm. long, pinnate or trifoliate. It throws up a flowering head in later part of autumn producing a mass of fruits. The flowers are white or greenish white, very small on sessile compound umbels. When the umbels dry, the crop is harvested and threshed. The fruit is made up of two united umbels, each containing a seed. Celery seeds are very small, about 1-2 mm. in length, oval and greenish brown in colour. The celery seed has a pleasingly crisp texture and subtle flavour but a slightly bitter taste.

 

3.3              Area and Production Status

 

The crop is cultivated mainly in the states of Punjab (Jallandhar, Gudaspur and Amritsar districts), Haryana and western Uttar Pradesh (Ladhwa and Saharanpur districts) over an area of about 5000 ha. About 90% of the total produce comes from Punjab.

 

3.4              Economic Importance

 

Commercially, celery is available as seeds, vegetable, seed oil and oleoresin. The seed contains 2.2% essential oil (2.2 – 3.0 %). The oil is pale yellow in colour, contains d-limonene (60%), ί-selinene (10-12 %), sedanoic acid anhydride (0.5 %) and sedanolide (2.5-3.0 %). The later two components contribute to its characteristic odour. The leaves are rich source of minerals like Ca, P, Fe, vitamin A and vitamin C for which it is consumed in salad.

 

The dried, ripe seeds are used as spice to flavour food and liquids, the seed is a stimulant and carminative and is used as a nerve tonic in indigenous medicine systems.  It is also used as a remedy for rheumatism.  The seed oil is used for flavouring food items and in the perfumery and pharmaceutical industries.  The fatty oil obtained from the fruit is used as an antispasmodic and nerve stimulant.

 

4.                  MARKET ANALYSIS AND STRATEGY

 

4.1              Demand and Supply Patterns

           

The production of Celery seed oil is estimated around 50 t/annum and half of it is produced in India. The current price of seed is Rs.3500/ton and of oil ranges from Rs 1500 – 1600/kg in India, the price of oil remains fairly stable in world trade. There is small production and market for celery resinoids also. The Indian crop has to compete with seed produced in China and Israel where the seed and seed oil has local consumption to sustain the market to a certain extent. In India about two-thirds of the produce is meant for export and the local consumption is meagre.  On the whole, the expected growth in demand is very little and any large scale expansion of the crop can dip price in the country and world market.

 

4.2              Import / Export Trends

 

Celery of Indian origin dominates the world market. India exports celery seed to American and European markets.  The seed has a ready market as it is also used as a source of commercial drug Ajmoda and in flavouring tomato juice and sauces.
 

Table-1: Export of Celery seeds from India

 

 

Year

Quantity (MT)

Value

(Rs. Lakhs)

1990-91

3,199.00

414.03

1991-92

3,489.00

584.58

1992-93

3,137.00

467.70

1993-94

4,130.00

662.62

1994-95

2,601.00

777.28

1995-96

2,678.00

625.00

1996-97

3,780.00

802.00

1997-98

3,317.00

799.00

1998-99

4,038.00

957.00

1999-00

3,497.00

1,060.00

2000-01

5,250.00

1,701.00

               Source: SPICES BOARD India, Ministry of Commerce, Government of India

 

The export trend of celery seeds from India during the ten year period (1990-91 to 2000-01) has been depicted in the graph presented below:

 

 

 

4.3              Analysis and Future Strategy

 

There is wide fluctuation in exports from India perhaps due to periodic cooling of price of seed and seed oil in world trade. It is alleged that there are only few exporters of seed and seed oil (located in Amritsar) who hold large inventories off and on to push price and this causes trade dislocation and a fake signal of scarcity. It is necessary to go in for greater facilities for extraction of seed oil for exporting the value added product viz., seed oil on a larger scale on one hand and opening up more marketing channels to push out current trade monopoly.

 

5.                  PRODUCTION TECHNOLOGY

 

5.1              Agro-climatic Requirements

 

It is a winter (rabi) crop, needs warm days and cool nights, low humidity and plenty of sun-shine. Generally, cool temperature at sowing and warm dry weather at seed ripening is ideal. A week long cold spell during mid seasons can induce bolting and lower seed yield.

 

The crop thrives well on silt loam to loamy soil (pH 6 – 8.5) with moderate organic matter. It is not suited to clayey soil and cannot withstand water-logging.

 

5.2              Growing and Potential Belts

 

Northern and Central India, including the hills having cold and dry climate are best suitable for cultivation.  It is cultivated in the foothills of north western Himalayas and the outlying hills of Punjab, Himachal Pradesh and Uttar Pradesh. It is mostly produced in Punjab (Amritsar, Gurdaspur & Jallundhar) followed by Uttar Pradesh (Ladhwa, Saharanpur districts). 

 

Cultivation practices have been fully worked out and details are publicized through extension literature. In this context, there has been a meagre effort to improve the cultivar except a selection released from RRL Jammu. Farmers still grow age old culture and produce their own seed for regeneration of new crop.

 

5.3              Varieties

 

The important high yielding varieties recommended for cultivation includes EC-99249-1 and PRL-85-1.  The latter provides a high yield of 20q of seeds/ha.  It is a six months crop.

 
 

5.4              Propagation

 

The crop can be grown from seeds, by raising the seedlings in nursery-beds. The seed can be sown directly in field during October at 2 cm deep in rows when temperature is 15 – 20oC. Seedlings emerge in 2 weeks and rate of germination is around 80%. Seed rate is 1 kg/ha. However, most farmers raise nursery and transplant 60 days old seedlings when 12 – 15 cm tall with 7 – 8 cm root growth in the field to ensure a good crop stand; this enables it to escape early season frost and low temperature. The spacing in field is 30 x 30or 40 x 25 cm to ensure a high rate of plant population.

 

5.5              Nursery Raising and Planting

 

For nursery, the seeds are sown in small beds 8 x 1.25 m. between 15th  September to 15th  October at 50 gm per bed. Transplanting is done in early part of December; late transplanting can reduce crop yield significantly. Crop grows slowly during December and January due to low temperature but picks up later. It remains in the field for a period of 120-140 days.

 

5.6              Irrigation

 

The crop is given irrigation at fortnightly intervals in early part and weekly nearing seed maturity. Irrigation at CPE (cumulative pan evaporation) 25/50 is optimum for high seed yield (13q/ ha).

 

5.7              Nutrition

 

The crop is given 20 to 30 t/ha of FYM at land preparation and 100-150 kg of N/ha (in 3 splits), P2O5 and K2O. One-third of N, together with P2O5 and K2O at 40 to 60 kg/ha is basically applied. In some tracts Mg and Bo are needed. In some locations, Ca deficiency has been found to cause black heart disease whereas Bo deficiency results in wacked stem and Mg deficiency causes chlorosis.

 

5.8              Intercultural Operations

 

Weed control is desirable and at least 2 weeding cum hoeings are given. Use of basalin (2 – 2.5 l./ha) as preplanting application controls early weed growth and reduces cost on weeding.

 
 

5.9              Plant Protection Measures

 

Occasionally late blight disease (causal organism is Septoria apii) and Aphid (Myzus persicae) attacks the crop and have known control measures. These pests and diseases cause negligible damage to the crop.

 

5.10          Harvesting and Yield

 

The crop is ready for harvesting when umbels turn light to dark brown in colour during later part in the month of March. The fruits mature by early April. The crops are harvested when 80% of the umbels turn light brown in colour. The plants are cut at ground level in early morning hrs by sickle to avoid seed shedding. The crop is stalked and allowed to dry over threshing floor for a few days. Thereafter it is threshed, winnowed and graded with the help of sieve. The seed is further dried and stored in cool dry places. The yield is 10-13 q./ha. of dry seed.

 

6.                  POST HARVEST MANAGEMENT

 

6.1              Drying

 

After the harvested crop is dried in the sun for a considerable period, the seeds are obtained by threshing and then cleaned by winnowing. Prolonged exposure to sun during the drying period may result in loss of oil.
 

6.2              Storage of Seed

 
The seed can be stored for 1-3 years without much loss in oil content and oil quality.
 

6.3              Distillation

 

Production method for seed oil (essential oil) and resinoids is generally known but only a few companies produce the oil for export market.   This is due to low margin of profit and localized trade. The buyers are few and largely localized in USA and Western Europe.

 
The essential oil is isolated through steam distillation. It contains maximum quantity of limonene (60%) besides L-pinene, ί-pinene, sabenene, myrcene, L- phellandrene, thymol, carvone etc. The seeds are crushed and immediately sent for distillation to avoid loss of oil by evaporation. The seeds are to be spread evenly on the perforated grids with which a still, serving for steam distillation should be equipped. The whole process of distillation lasts for 10-12 hours. The distillation wastes are usually redistilled.

 

6.4              Storage and Packing of Oil

 

The oil is stored preferably in air tight containers and kept in a cool & dry place protected from light.

 

7.                  TECHNOLOGY ANALYSIS, SELECTION AND ESSENTIAL OF MANAGEMENT

 

Specific information on several aspects like soil, climate, method of propagation, planting, fertilizers, irrigation, pests and diseases which would make differences in yield and quality of production are brought out below.

 

(i)                 Soil:    The crop thrives well on silt loam to loamy soil (pH 6 – 8.5) with moderate organic matter.

 

(ii)               Climate:          It is a winter (rabi) crop, needs warm days and cool nights, low humidity and plenty of sun-shine. Generally, cool temperature at sowing and warm dry weather at seed ripening is ideal. A week long cold spell during mid seasons can induce bolting and lower seed yield.

 

(iii)             Propagation:  The crop can be grown from seeds, by raising the seedlings in nursery-beds.

 

(iv)             Planting:         The 12 – 15 cm tall seedlings with 7 – 8 cm root growth are transplanted when 60 days old in the field to ensure a good crop stand which enables it to escape early season frost and low temperature. The spacing in field is 30 x 30or 40 x 25 cm to ensure a high rate of plant population.

 

(v)               Irrigation:       Irrigation at CPE (cumulative pan evaporation) 25/50 is optimum for high seed yield (13q/ha).

 

(vi)             Fertilizer Application:           The crop is given 20 to 30 t/ha of FYM at land preparation and 100-150 kg of N/ha (in 3 splits), P2O5 and K2O. One-third of N, together with P2O5 and K2O at 40 to 60 kg/ha is basically applied. In some tracts Mg and Bo are needed. In some locations, Ca deficiency has been found to cause black heart disease whereas Bo deficiency results in wacked stem and Mg deficiency causes chlorosis.

 

 

(vii)           Intercultural Operations:     Weed control is desirable and at least 2 weedings cum hoeing is given. Use of basalin (2 – 2.5 l./ha) as preplanting application control, early weed growth and reduces cost on weeding.

 

8.                  SOURCES OF TECHNOLOGY

 

(i)                  National Medicinal Plants Board, Ministry of Health and Family Welfare, New Delhi – 110 001 [Tel: (011) 2331 9255]

 

(ii)                Central Institute of Medicinal and Aromatic Plants, Lucknow – 226 015

[Tel: (0522) 2359623].

 

(iii)               Regional Research Laboratory, Jammu.

 

9                    ECONOMICS OF A ONE ACRE MODEL

 

9.1              High quality commercial cultivation of the crop by using high quality planting material and drip irrigation leads to multiple benefits viz.

 

·                     Synchronized  growth, flowering and harvesting;

·                     Reduction in variation of off-type and non-fruit plants;

·                     Improved fruit quality;

 

Costs & Returns

 

9.2              A one acre plantation of the crop is a highly viable proposition.  The cost components of such a model along with the basis for costing are exhibited in Annexures I & II.   A summary is given in the figure below.  The project cost works out to Rs.125 thousand.

 

Project Cost: (Unit – One Acre)

                                                                                                                  (Amount in Rs.)

Sl. No.

Component

Proposed Expenditure

1.

Cultivation Expenses

 

 

(i)

Cost of planting material

1000

 

(ii)

Input Cost

5000

 

(iii)

Power Cost

2000

 

(iv)

Land Preparation

4000

 

(v)

Others Farm Operations

4500

 

 

Sub Total

16500

2.

Irrigation

 

 

(i)

Tubewell / SIP

30000

 

(ii)

Electrical Installation etc.

25000

 

(iii)

Others, if any

-

 

 

Sub Total

55000

3.

Infrastructure

 

 

(i)

Pump House

10000

 

(ii)

Labourshed

5000

 

(iii)

Agriculture Equipments

5000

 

(iii)

Others, if any, please specify

 

 

 

Sub Total

20000

4.

Land Development

 

 

(i)

Soil leveling

4000

 

(ii)

Digging

-

 

(iii)

Fencing

29600

 

(iv)

Others, if any, please specify

-

 

 

Sub Total

33600

6.

Land, if newly purchased (Please indicate the year)*

 

 

Grand Total

125100

      *Cost of newly purchased land will be limited to one-tenth of the total project cost

 

9.3              The major components of the model are:

 

·                     Land Development:  (Rs.4.0 thousand):  This is the labour cost of shaping and dressing the land site as well as layout of the orchard.

·                     Fencing (Rs.29.60 thousand):  It is necessary to guard the orchard by barbed wire fencing to safeguard the valuable produce from animals and prevent poaching.  This is part cost of fencing in the first year.

·                     Irrigation Infra-structure (Rs.55.00 thousand):  For effective working with drip irrigation system, it is necessary to install a bore well with diesel/electric pumpset and motor.  This is part cost of irrigation infrastructure.

·                     Equipment/Implements (Rs.5.00 thousand):  For investment on improved manually operated essential implements a provision of another Rs.10 thousand is included.

·                     Building Infrastructure (Rs.15.0 thousand):  A one acre orchard would require minimally a labour shed and pump house.

·                     Cost of Cultivation (Rs.16.50 thousand):  This provides for labour & input costs.

 

9.4              Labour cost has been put at an average of Rs. 70 per man-day.  The actual cost will vary from location to location depending upon minimum wage levels or prevailing wage levels for skilled and unskilled labour.

 

9.5              Recurring Production Cost:            Recurring production costs are exhibited in Annexure III.  The main components are planting material, land preparation, inputs application (FYM, fertilizers, micro-nutrients liming material, plant protection chemicals etc.), power and labour on application of inputs, inter-cultural and other farm operations.

 

9.6              Besides, provision is included for labour for harvesting and transportation charges for the produce to the nearest secondary market.

                                                           

9.7              Returns from the Project:  The value of the produce is estimated at Rs.40000 per annum for the produce of 5 quintal per acre.

 

Project Financing

 

9.8              Balance Sheet:  The projected balance sheet of the model is given at Annexure IV.  There would be three sources of financing the project as below:

 

                                    Source                                                   Rs. Thousand

 

                                    Farmer’s share                                                 62.51                                                             Subsidy                                                             25.00

                                    Term loan                                                          37.50                                                             Total                                                               125.01                                                            

9.9              Profit & Loss Account:  The cash flow statement may be seen in Annexure V.   Annexure VI projects the profit and loss account of the model.  Gross profit in the very first year works out to Rs.21.4 thousand, increasing to Rs.22.6 thousand in third year.

 

9.10          Repayment of Term Loan:   The term loan will be repaid in eleven equated 6 monthly installments of Rs.3.41 thousand with a moratorium of 12 months.  The rate of interest would have to be negotiated with the financing bank. It has been put at 12% in the model (vide Annexures VII & VII A).

 

9.11          Annexure VIII gives depreciation calculations.

 

Project Viability:

 

9.12          IRR/BCR:  The viability of the project is assessed in Annexure IX.  The IRR works out to 12.04 and the BCR to 1.1.

 

9.13          The Debt Service coverage ratio calculations are presented in Annexure X.  The average DSCR works out to 2.45.

 

9.14          Payback Period:  On the basis of costs and returns of the model, the pay back period is estimated at 6.4 years (vide Annexure XI). 

 

9.15          Break-even Point:  The break even point will be reached in the 3rd year.  At this point fixed cost would work out to 77% of gross sales (vide Annexure XII).