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In the jatropha platform concept, the jatropha
oil is used as fuel for a small Lister-type diesel
engine. This engine can then potentially be used to
drive a press (for pressing the jatropha oil
itself), a mill (for grinding flour) and a
compressor (for inflating tyres, especially for
donkey carts) or a generator (for welding or
workshop tools, water pumping, or rural
electrification). The jatropha grows on common land,
as a living hedge between fields, or on marginal
land not fertile enough for crops" |
Economic
Average oil yields of over 1 t/ha asking for seed
yields close to 5 t/l ha can most likely only be
attained on medium soils with irrigation, pruning,
fertilization and sufficient sun exposure.
However, with the plant material presently
available and past experiences it remains
questionable whether similar yields are even then
realistic on a broad scale in a short term. To
create high yielding varieties on a million ha
scale, a lot of time-consuming breeding and
selection work has to succeed before. Figures and
information oh high yields seem to be coming
rather from hearsay from remote countries like
Nicaragua, than from many Indian plantations in
the field, which have been evaluated and
described. Dry and wet weight, fruit and seeds
yields will have to be more clearly distinguished
in all reports to allow any reliable economic
calculation. To attain yields envisaged, higher
inputs are needed which in turn result in higher
production costs and thus higher oil prices, As
well, processing cost for expeller and bio-diesel
production will be higher than assumed. If the
bio-diesel production is to profit from sale of
the nutrient rich press cake (at 3-5 RS/kg, which
is almost the same price as assumed for the whole
fruit), to keep the price of processing low, then
inputs into nutrients and fertilizer on the
Jatropha fields will have to be further increased.
Glycerol, if indeed purified to needed quality
levels, would flood the market, reducing the
actual market price of RS. 50/kg (1 S/Euro)
considerably. To achieve the ambitious national
goals presently envisaged a well-coordinated and
much larger input will have to be mobilised and
more price incentives will have to be secured for
farmers, processing companies or wholesalers on a
reliable basis.For this, economies of by-
products, reforestation, soil improvement, social
effects, availability of rural energy, foreign
exchange savings, and erosion related and green
house gas effects need to be quantified, priced
and attributed separately, to reach at market
prices for each step, which allow viable private
investments at different locations.
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Bio-diesel
Processing
Government calculations assume a minimum of 100 ha
Jatropha for one expeller and collection centre and
1000 ha for one esteriflcation plant. Making oil
from seeds has a long tradition with rural oil mills
in India, however with potential for adaptation to
Jatropha and improvement of efficiency. Processing
raw Jatropha oil into bio-diesel only exists on a
small and pilot scale in India meant for rural
industries. For large scale, imported technology is
expected to be applicable. Handling, transport,
storage, drying, blending, engine conversion and
processing of seed and oil will ask for considerable
effort in the medium term. This applies as well for
quality control, where possibly the new EU norms are
to be adapted. The present approach, to leave
development and capacity building issues in this
field to the private sector, but give market-based
incentives and loans, appears appropriate. However,
framework regulation and cost analysis should remain
a Government task to assess and understand the real
potential and shortcomings of economies of the
overall program. |
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Plant Oil Marketing |
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Institutional Setup
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Globally there are about 100 Mio t plant oil
produced per year, with a quarter soybeans, a
quarter palm oil followed by sunflower, groundnut,
cotton, coconut and olive oil. In India, 6.7 Mio. t
are produced (mainly from 14 edible oils led by
mustard, groundnut, soja, coconut and rice, 2001).
However all oils together produced in India are not
sufficient for home consumption, cheaper palm oil
has to be imported from the international market.
Overall ethanol production for comparison is 1.3 Mio
t. One important reason for the Government
preference to use non-edible oils to replace diesel
is the lower cost (at present). There is little
indication and argument that this low cost can be
maintained, as soon as not only the cost for
harvesting but also Jatropha production costs have
to be accounted for, besides transportation and
processing. High price sensitivity and volatility,
with higher demand resulting in higher prices,
should be expected with the massive market
intervention planned. |
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There is a well thought through institutional
structure planned for the program. Coordination of
the Program from the National level as foreseen is a
good basis to get all relevant public non-government
and private stakeholders from Rural Development,
Agriculture, Environment, Forestry, Energy and
Industry involved. Different micro-missions take
national responsibility for different tasks. Good
interaction and coordination between all active
regional and hierarchical levels is necessary, in
continuation of the planning phase of the program. A
good and open inter-institutional cooperation during
program implementation will be the key to success.
Seminars, including trainer seminars as planned, are
needed to establish a basic knowledge on the
different levels of intervention. It is hoped, that
activities will indeed be open and transparently
documented and discussed to allow necessary
corrections and synergies immediately. A focal point
to collect all information should be built up and
open to the public |
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Jatropha
Issues |
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Financing
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A more detailed analysis however, of use and sales
to industries for tanning, candle making, soap
manufactures, ship industry (varnish) chemical and
cosmetic industry for different non-edible oils
should be done and documented. Considering Jatropha
for bio-diesel production only without using
synergies from other application is not thought to
be wise by any of the stakeholders, even though any
practical Use seems to be very limited at present.
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Financial support or support in kind for the
establishment of the crop, sometimes as well for
liquidity to farmers is required during the first
year without yield. Now intense discussions been
observed concerning financing mechanism for the
present National Indian Program. To replace a
relevant share of diesel in India, massive
investments are required. To deal with the high
initial capital demand and long period for Jatropha
cultivations, until they reach full maturity,
Government may have to provide loans for growers
directly as well. It will be necessary to analyze
the current prospects, potentialities and
constraints of the Jatropha approach for
microfinance to rural poor, women, cooperatives and
tribal communities, since demand for liquidity will
be substantial, if the program is to succeed as well
with its social component. To enable the poor to
access credit for activities that generate income,
inclusion of micro-finances into the program should
be considered to be made obligatory.
In the absence of an operational market, a demand
push may as well have to be taken by legislation or
by guaranteed buy-back agreements with minimum
prices for the harvesting period of the trees - said
to be up to 50 years in principle, however the
economic optimum will be shorter - backed by
Government. Because of its multiple socio-economic
and environmental benefits, Government may as well
allocate and transfer public lands on a long-term
basis. In addition, Government should try at an
early stage to qualify for funds from the Global
Environmental Facility.
It is important; to discuss and develop a clear set
of financial instruments for farmers and for other
parts of the industry including rural financial
institutions to rely on, beyond present! Subsidized
demonstration projects. |
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Irrigation/Forestry: |
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Irrigation: Access and availability of clean
water need attention as seriously as climatic and
energy problems. Jatropha is considered an ideal
crop for India, better than sugar cane based
ethanol, particularly, since "it does not require
much water" and the country is facing huge water
scarcity for which there is no economic solution as
of now. Its drought resistance is one of the key
arguments to promote Jatropha. Since in India
shortage and low water availability are one of the
main factors of those unused lands identified for
Jatropha plantations, water use and yield response
to droughts are crucial to the success of the
planned program. This in particular, since Jatropha
not only competes for water with other food crops
but sometimes also with drinking water if used
instead for irrigation. Energy crops, in particular
perennials, often have a high water use due to their
long growing season and deep rooting system.
Therefore, aspects of Jatropha water use can be
decisive for its sustained introduction for energy
utilization. Information on Jatropha?s annual water
use structure and respiration losses, its needs in
different root zones a. o. seem to be not yet
established. All what is known is that Jatropha
sheds all its leaves with severe water shortages.
There is a common understanding, however, that green
cover to unused lands acts in favour of the overall
water balance in respect of soil and microclimate,
however effects of this perennial on aquifer and
ground water recharge are not that obvious. Erosion
control is undoubtedly a positive factor,
plantations can be used for rainwater harvesting,
and favour watershed management projects at
hillocks. Since there are reports, that droughts and
water logging have destroyed young plantations,
information that is more detailed needs to be
collected on real behaviour at extreme conditions.
Assuming two irrigation per year as assumed in the
National Program is hard to go along with, since if
irrigation systems are available, then higher
frequency should be expected or recommended. This
corresponds as well to the information gathered in
India on commercial Jatropha use, where all
discussion partners assumed that regular irrigation
appears to be a precondition for any active and
commercial plantation efforts in those areas.
The Nicaraguan and Belizean example, often cited in
India as examples for assumed high yields, have
mostly much higher rainfalls than the average
precipitation in India. It appears therefore most
crucial to clarify actual yield prospects on
rain-fed areas in India, or discuss cost and effects
of irrigation, to avoid further investment failures.
Forestry: There is no confirmed information
that Jatropha indeed fits into reforestation
efforts, which combine Jatropha and oil production
with other higher growing forestry tree crops.
According to the available information, higher crops
shade Jatropha to a degree that fruiting becomes
marginal. Marginal lands, lands with limited access
and infrastructure, tribal and forestry land must be
expected to have lower productivity, at least in the
initial phases. |
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Cultivation
& Botanical: |
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Competing
Resources |
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Jatropha is said to be a drought hardy shrub,
non-demanding, tolerant to extremes, suitable to
tropical and non-tropical climate and considerable
climatic changes, even up to light frost. Tree borne
oil seeds have always been a component of
traditional agricultural systems practiced in India.
However, the degree of domestication in tree-borne
oilseed species as a whole is at a very early stage
compared to most cultivated crops. Increased
domestication and increased inputs might increase
pests and diseases, now assumed low in Jatropha.
Influence of increased mineral fertilizer and water
doses on pests, oil content or yield are not known..
In intensively cultivated areas, irrigated lands
might be used for food production, recommending to
direct breeding from maximum yields towards reduced
input needs for those cases. For forestry projects,
possibly as well for farm-based agro-forestry, the
shade tolerance might be the key selection criterion
to be further developed.
Male flowers dominate the plant; flower visitors
needed for the predominant male flowers include
bees, ants, thrips and flies. To what extent bees
can be produced with positive synergies on Jatropha
pollination and honey yields is an open issue.
Researchers from the University of Hohenheim are
said to have found particularly resistant high-yield
varieties in Mexico and Mali; these are being tested
in India.
As well, they have tested survival rates of samples
from different regions of India with a wide
variability. The University in cooperation with
Daimler-Chrysler is planning some systematic
research on yield patterns. One hope of improved
economies for Jatropha has been for long non-toxic
species. One non-toxic specie, without known yields,
has been found in Central America.
There has been little genetic improvement,
identification of elite germplasms, tissue culture
experiments and propagation so far nor a systematic
or coordinated capture of genetic resources in seed
banks for its regeneration, hybrid production and
sustainable cultivation. |
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Jatropha is competing with other food and forest
crops for land, water, nutrients, sun, labour,
private and public capital and institutions.
It is competing with investments in other non-edible
and edible oils, with renewable and non-renewable
energy sources with other programs to improve the
environment, for employment, rural industrialisation
and poverty alleviation.
Different cultivation systems and program designs
change the pattern of competition and relative
advantages. A thorough economic analysis has to
assess opportunity costs of these factors and their
sensitivity.
On present markets and within reforestation and
renewable energy programs the crop has barely been
able to compete successfully so far. The Indian
National Jatropha Program as far as can be seen, is
not yet based on an analysis of competing production
factors.
There exists some comparison between different crops
to replace diesel, and there is a very broad base of
field experience from different organizations and
from energy and rural development specialists
integrated into and influencing the Indian National
Program. In any case, a number of factors are
changing in favor of Jatropha. There is indication
that viability of Jatropha, if not attained yet, is
a question of time. If this is the case, then broad
preparation to be commenced now is well justified.
Changing factors are the following:
· Increased demand and casts for diesel, higher
foreign exchange needs for diesel; an increase of
non-cultivated, non-forested and eroded lands;
higher rural energy demand and energy costs; and, at
the same time, a decrease of rain and water
availability, as well as decreasing rural incomes.
· A main concern of the international discussion on
bio energies is whether less food is available with
increased Jatropha cultivation to the low-income
population.
· In the Indian Government program, officially
mainly non-used land is targeted for Jatropha and
present price levels do not indicate that Jatropha
can directly and successfully compete with
agricultural crops and vegetables grown yet.
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Nutrient
Aspects: |
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The efficient use of nutrients in the production of
Jatropha is important to minimise the input needs.
Efficiency of nutrient use of Jatropha and best
respective cultivation practices, has not yet been
found discussed. The absence of tillage in an
established perennial Jatropha crop will furthermore
reduce mineralization. Consequently leaching should
be limited, apart from during the establishment
period, In Nicaragua however mechanical tillage was
performed in most fields. The permanent cover can
reduce surface run-off of soil, nutrients and
organic matter. Predominant sale of the whole seed,
the storage organs, to the oil mill, which then
sells on the material in the local market as a
fertiliser for higher value crops (at 3-5 RS. per
kg), has to be considered critically in respect of
long-term yields of Jatropha. Nutrient and
fertilizer needs and best frequency of application
for Jatropha in relation to its yield pattern
appears to be still largely unknown. For commercial
production purposes, farms and nurseries all assumed
a regular fertilization demand, preferably through
organic matter. Without fertilization, yields will
barely build up to discussed levels according to
soil type and other factors. Quantities needed,
composition and frequency want to be assessed in
detail. Here as well, the use of waste water, sludge
or even solid wastes to improve nutrient balance and
viability, should be looked into more seriously. The
picture in India is contradictory, diverse and
complex and thus statements tend to simplify due to
the enormous range of situations, statements and
institutions involved, In any case, the often cited
"Jatropha System", solving environmental energy,
import, employment, poverty and gender issues at the
same time, needs to be subdivided into different "Jatropha
systems" with empirically based reliable cost,
yield, social, economic and environmental
projections. Time span between policy planning and
actual implementation, yields, resulting market
prices and needed inputs have to be brought into a
realistic balance to secure a sustained program
continuation |
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