Organic Sultana Business
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- Frederick Lionel Nicholson
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1 Organic Sultana Business Content Background Supply chain structure Agricultural production Harvesting & post harvest handling Raw material purchase Processing & packaging Export & import Conclusions facing key challenges Sultanas are produced from white-fleshed seedless vine grapes. Organic sultanas are less bright than conventional ones because no Sulphur is used.
2 Background Turkey is the biggest producer and exporter of sultana raisins, both conventional and organic. Annual export volume around tons, organic ca tons (estimation from ETO) Main importing countries: UK, Germany, Netherlands The sultana raisin refers to a "white" (pale green), oval, seedless grape variety, originating from Manisa, Turkey, a neighbouring province of İzmir. Turkey has the most suitable climate conditions for vine growing and traditional sun drying. To this day, fruits are harvested manually in Turkey, while processing and packing is done in specialized factories which comply with international processing standards. The demand for sultanas relates mainly to manufacturing industries, such as bakeries and breakfast cereal producers, and supermarkets that sell it as a snack or ingredient for cooking. The U.S. and Australia compete with Turkey for this market.
3 Supply Chain Structure Individual or grouped farmers Individual or grouped farmers Middlemen Processors Processors Source: Geoff Lane Foreign buyers Foreign buyers The sultana supply chain for export may involve middlemen. Sultanas are produced from the oval grape variety Thompson Seedless. Farmers They produce the sultana grapes. After harvest, the fresh grape bunches are dipped into an abrasive solution to speed up the drying process, which is especially relevant when harvesting in rainy conditions. Dipping also lightens up the color of sultana berries, which is increases the value of berries. Middlemen They collect the dried grapes from different farmers / farmer groups and resell them. Processors Purchased berries from farmers or middlemen are pre-cleaned and sized. Depending on orders, sized sultanas are washed and coated with organic sunflower oil to avoid lumping. Finally, there is an intensive cleaning process with a laser scanner and table selection by hand. Foreign buyers Depending on the final use of the sultanas, they purchase them from Turkish processing companies. Purchasing contracts specify quality, including size and color.
4 Agricultural Production Turkey has good growing conditions for sultana production. Farmers producing organic sultanas for export have regular sized farms and access to irrigation. In regard to production, the following is most relevant: Trellis systems are common in sultana production. Soil cultivation & soil fertility Organic farmers tend to use rather conventional soil cultivation techniques and use rototillers that damage soil structure. Cover crops are hardly used although these would be important to improve soil structure, prevent weed-infestation, improve water retention, provide plant nutrients and protect the soil from erosion during winter and excessive heating in summer. Main fertilization relates to the incorporation of old vines into the soil and distribution of farm manure Pest management Powdery mildew (Uncinula necator) is the most important disease, but easily treated with sulphur; the same is true for downy mildew (Plasmopara viticola), where copper is effective. Pests are regulated with pheromones and/or permitted insecticides, e.g. the grapevine moth (Lobesia botrana). Irrigation Drip irrigation is most common when a trellis system is used. Older vineyards are often flooded, even though irrigation water is getting scarce in main growing areas.
5 Harvest, Dipping, Drying, Cleaning Harvest and post-harvest activities are very time intensive and require the involvement of additional workers. Plastic buckets during harvest avoid compaction of grapes and are ideal for dipping. Harvesting Mainly in August and September, grape bunches are cut by hand with small pincers and collected in buckets or crates. Most common are plastic baskets, which facilitate the dipping. Dipping Harvested grapes are dipped into an abrasive solution of potassium carbonate and sunflower oil to remove the natural wax of the fruit skin. This accelerates the drying process; moreover, dipping results in a lighter color of sultana berries, which is an important quality criteria at the time of selling. Drying & Cleaning After dipping, the grapes are spread out on plastic sheets or concrete floors for drying. Depending on weather conditions, drying takes 5 to 10 days maximum. Dried berries are then cleaned ( see separate slide) before being stored on-farm or sold directly to a middlemen or a processing company.
6 Pre-cleaning Grapes are dried open air on individual drying places in the vineyards. Farmers either spread plastic sheets on the ground or use concrete drying places to protect the fruits from dust and soil contamination. Simple machinery is used to separate the grapes from stem parts; most common are shaker riddles with a blower. This so-called pre-cleaning is important to ensure that later processing is not hampered. Buyers also tend to specify the quality of grapes in their contracts such as moisture content, colour, size and the degree of precleaning. At the moment of pre-cleaning, sultanas have a moisture content under 16 percent. Given their high sugar content, they can be stored quite easily on-farm, before being sold as long as the storage place is dry and the sultanas are protected from insects. As whole grape bunches are dried, stems must be separated after drying. To do this, mechanic shaker riddles are usually used.
7 Raw Material Purchase Product aggregation is an intermediate step to gather quantity for processing. Many times, processing companies themselves aggregate produce, in some Plastic containers are very suitable for storing and transporting sultanas. cases, they work with middlemen to do this for them. In any case, the risk of contamination and quality losses is reduced if sultanas are directly transported to the processing facilities, where proper and regulated storage conditions are more likely to be available. Sultana quality All aggregated sultanas should be of similar quality with less than 16% humidity. Usually, quality requirements are stipulated in the supply contract. Storage conditions If possible, sultanas should be stored at low temperatures around 4ºC. Storage at these temperatures prevents the proliferation of fungus and is usually safe in regard to insect damage. Note: Storage is essentially a necessity for the processing company, as the processing infrastructure cannot handle the whole harvest within a short period. In this regard, storage increases the processing company s flexibility to better plan and implement its activities, according to specific orders.
8 Processing Industrial processing of sultanas is indispensable for successful sultana marketing. The following steps are involved: Washing and sorting of sultanas are of utmost importance to reach export quality. Reception & quality control of raw material Every lot of sultanas received in the processing plant is verified in terms of its quality. Main quality criteria are: size, colour, humidity and cleanliness. Washing Sultanas are washed with abundant water under constant movement to get rid of remaining impurities (e.g. dust, sand, grit, stalks). After washing and drying, sultanas are coated with a layer of sunflower oil to prevent lumping and get a shiny touch. Sorting Good sorting is very important to obtain a homogenous product, which is requested from buyers. Thus, sorting is a two-step process using optical laser scanners followed by tedious manual sorting. At this stage, size and colour are the main parameters for sorting ( see separate slide). Sometimes, x-ray equipment is used to detect other foreign material than metal such as stones.
9 Sorting Sultanas are sorted and classified according to 5 colour types and 5 sizes: Big There are different markets for different sultana categories. Important is a homogenous sorting. This is why good sorting is essential. All in all, bigger and lighter sultanas are higher priced. Small Dark Light
10 Packaging Organic Apricot Business Packaging of sultanas must be done very carefully to safeguard quality and prevent any sort of contamination as the produce is ready for consumption at this stage. The following aspects are of importance: Packaged sultanas are ready to use. Last quality control Prior to packaging, a last quality control is performed. Most important is the quality of sorting (size and color) and humidity level of the sultanas in the range of 20-24%. Packaging Sultanas are packed bulk in cardboard boxes with polyethylene liners. Common are three box sizes, respectively box weights: 5 kg, 10 kg, and 12.5 kg. According to organic regulations, boxes must be labeled in a way that traceability of packaged sultanas is given. Use of metal detector All boxes pass through a metal detector. Important: All processing facilities undergo organic certification. Therefore, clear separation of organic produce is granted in regard to processing and storage.
11 Export & Import Export and import relates to the following main activities and aspects: Quality in logistics is as important for a long lasting business partnership as product quality. Warehousing Similar to other food products, optimal storage prior to shipping is of greatest importance. In any case, logistics must be done in a ways as to guarantee traceability of each box. Shipment The produce is shipped according to the conditions specified in individual delivery contracts. Delivery and paying conditions are specified according to Incoterms. Most frequent is CAD (cash against documents) in which an exporter instructs a bank to hand over shipping and title documents to the importer when the importer fully pays the accompanying bill of exchange or draft. Inspection & certification Trade activities from both exporting and importing companies are inspected. Used infrastructure, procedures and labels are subject to approval from the side of inspecting control bodies. Requirements may slightly vary, but general conditions are the same for most important organic standards (e.g. EU, US, Bio Suisse).
12 Conclusions Facing Key Challenges In summary, the business success in producing and trading organic sultanas involves challenges that relate to both primary production and processing activities. Most important are the following areas: Direct collaboration of processing companies and farmers Processing companies rely on sourcing of sultanas that are of good quality and free from any contamination. Thus, processing companies should work very closely with farmers and help them implement practices that enhance productivity in the long term, safeguard product quality and prevent the use of unpermitted inputs. It is very important to discuss how to prevent any contamination trough drift, irrigation water, external manure or material that is used in conventional production (e.g. harvesting and storage containers, plastic sheets for drying). For all these aspects, workers should be well trained through joint capacity development efforts. Good quality assurance (QA) along the supply chain Beyond primary production, processing activities must also be well conceptualized and implemented to ensure that no contamination is occurring. Especially water quality and hygiene aspects must be monitored through a sound QA system, which guarantees product traceability along the whole supply chain. QA staff should constantly help both farmers and processing staff to improve their work in regard to quality management. Importers often require processors to be certified against recognized Food Safety Standards (e.g. IFS)
13 Is Everything Clear? Organic Apricot Business We hope that the information presented here was helpful to you. If you have any comments or you want to learn more, please get in contact with us.
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