New millionaires from Makhana are welcome in Bihar. R&D and start-ups soared after GI tag

• ByStartupStory     |    November 28, 2022

Today, India’s newest superfood is the humble makhana, often known as the fox nut. And now that the Mithila Makhana has received a Geographical Indication designation, it is poised to expand internationally as well. A large business boom and the emergence of makhana billionaires are being anticipated by many in Bihar. It has been grown by local farmers in the Mithila region for years, but they don’t seem to be aware of the frantic frenzy around the makhanas. They wade into filthy village ponds to gather thorny leaves and dive bare-bodied into the bottom to retrieve the seeds. They just knew that costs dropped this summer for the first time in many years, by approximately 50%. Market volatility is a recent development.

However, the recent buzz surrounding the crop in Bihar has sparked new ventures and academic studies. In a few years, the Research Center for Makhana in Darbhanga will introduce a brand-new high-yield variety. The Swarna Vaidehi was the final one the Center created. Entrepreneurs are rushing up to explore business prospects in Bihar’s newest export sector after quitting their normal, well-paying corporate employment. New brands, flavors, and eye-catching, vibrant packaging have recently entered the sleepy makhana market for Indian and international consumers. Makhanas may turn out to be Bihar’s next great thing if the optimism holds.

“We serve makhanas in different tastes. We develop 18-19 recipes like makhana chai, kheer, and shakes. Our main aim is to replace junk food with superfood,” Shravan Roy, who set up Sumitra Foods in Darbhanga in 2011, says.

GI tag journey, controversy, and strategy

To achieve the coveted GI tag for Mithila Makhanas, a crucial step in realizing its international aim, it took four years of persistent advocacy by researchers, businesspeople, and farmers, as well as smart thinking. Union Minister for Commerce Piyush Goyal tweeted about it on August 20. For a term of ten years, after which it may be renewed, Makhana has a GI tag in the name of the Mithilanchal Makhana Utpadak Sangh.

There were various disagreements on whether the GI tag application should be for Bihar Makhana or Mithila Makhana among the government, farmers, and makhana producers of the Mithila region. In the application document, historical evidence had to be stated. However, information was not easily accessible in a single library or archive. They, therefore, devised a clever little technique to crowd-source the information by igniting a minor debate.

All the paperwork work has been completed by Anil Kumar, an assistant professor and young scientist at Bhola Paswan Shastri Agricultural College. Universities in Darbhanga and Madhubani wouldn’t allow Kumar to use their libraries. Then he issued a press statement mentioning the same, which set off a commotion in the area. Only then could Kumar compile the information he needed. The tag was awarded to Mithila since everything went perfectly. A viable export industry and rising aspirations for farmers meant victory for Bihar.

Govt push

The makhana capital of Bihar, Darbhanga, has been replaced. According to Kumar, cultivation in the Kosi-Seemanchal region has doubled over the past 10 to 12 years, and Darbhanga-Madhubani now only makes up 30% of the total production.

“In the wild form, it is found in India, Korea, Japan, and China. Makhanas in the Bihar region have been in cultivation for at least a thousand years,” says Vidyanath Jha.

According to businesspeople, the makhana sector is worth Rs 3,000 crore. A 2019 research titled Market Intelligence for Food & Agriculture Export states that the Makhana market would expand at a CAGR of over 7% from 2019 to 2023. Additionally, from 2019 to 2023, the size of the worldwide makhana market would increase by $72.5 million. The Narendra Modi administration has committed more than Rs 6,800 crore to support makhana producers, with a target of 10,000 farmer-producer organizations by 2027–2028. Darbhanga was also chosen by PM Modi for makhana farming as part of the innovative “One District, One Product” program.

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