agricultural-reform-in-india_- zarapkar
TRANSCRIPT
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AGRICULTURAL
REFORMS IN INDIA
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Presented ByPresented By
Mr. Devraj Satish ZarapkarMr. Devraj Satish Zarapkar
MMMMMMAllana Institute Of Management StudiesAllana Institute Of Management Studies
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Agriculture in IndiaAgriculture in India Largest and one of the mostLargest and one of the most
Prominent sector in economy.Prominent sector in economy.
Agriculture and Forestry, Logging,Agriculture and Forestry, Logging,Fishing accounted for 16.6% of theFishing accounted for 16.6% of theGDP in 2007.GDP in 2007.
Employs 60% of Indias population.Employs 60% of Indias population.
Accounts for 8.56% of IndiasAccounts for 8.56% of Indiasexports.exports.
About 43% of India's geographicalAbout 43% of India's geographical
area is used for agricultural activityarea is used for agricultural activity Decline of its share in the GDP.Decline of its share in the GDP.
Monsoons play a critical role inMonsoons play a critical role inagriculture.agriculture.
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History of Indian AgricultureHistory of Indian Agriculture
By 6th millennium BC, Wheat and some legumes wereBy 6th millennium BC, Wheat and some legumes werefound in Indus valley.found in Indus valley.
By 4000 BC, wheat, peas, dates and mangoes.By 4000 BC, wheat, peas, dates and mangoes.
By 3500 BC, cotton and cotton textiles were found inBy 3500 BC, cotton and cotton textiles were found in
the valley.the valley. By 3000 BC, rice and sugar cane had started.By 3000 BC, rice and sugar cane had started.
By 2500 BC, rice was an important component of theBy 2500 BC, rice was an important component of thestaple diet in Mohenjodaro.staple diet in Mohenjodaro.
By 2000 BC, tea, bananas and apples were beingBy 2000 BC, tea, bananas and apples were beingcultivated.cultivated.
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Agricultural MovementsAgricultural Movements
Green Revolution:Green Revolution:
The green revolution is the significantThe green revolution is the significant
increase in agricultural productivityincrease in agricultural productivityresulting from the introduction ofresulting from the introduction of
highhigh -- yield varieties of grains , useyield varieties of grains , useof pesticides , and improvedof pesticides , and improved
management techniques.management techniques.
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Green Revolution in IndiaGreen Revolution in India
In 1965 the present government ofIn 1965 the present government of
Mrs . Indira Gandhi decided to take a majorMrs . Indira Gandhi decided to take a majorstep on present Agriculture condition .step on present Agriculture condition .
Thus "Green Revolution" was applied to theThus "Green Revolution" was applied to theperiod from 1967 to 1978 basically inperiod from 1967 to 1978 basically in
parts of Punjab and Haryana .parts of Punjab and Haryana .
At this stage the Green Revolution wasAt this stage the Green Revolution wasconcern only with Wheat & Rice .concern only with Wheat & Rice .
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Dr.MDr.M S SwaminathanS Swaminathanfrom India led thefrom India led theGreen Revolution asGreen Revolution as
the ProjectDirector.the ProjectDirector.&&
Dr. Norman BorlaugDr. Norman Borlaugfrom Mexico supportedfrom Mexico supportedthe Green Revolutionthe Green Revolution
through thethrough theintroduction of highintroduction of highyielding variety ofyielding variety ofwheat seeds.wheat seeds.
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Green Revolution
Continued expansion of farmingareas
Double-cropping existingfarmland
Using seeds with improvedgenetics.
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The introduction of highThe introduction of high--yielding varieties of seedsyielding varieties of seeds
after 1965 and the increased use of fertilizers andafter 1965 and the increased use of fertilizers andirrigation.irrigation.
Provided the increase in production needed to makeProvided the increase in production needed to makeIndia selfIndia self--sufficient in food grains, thus improving sufficient in food grains, thus improvingagriculture in India.agriculture in India.
It introduced the new techniques and machinery toIt introduced the new techniques and machinery tofarmersfarmers
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Statistical ResultsStatistical Results
The Green Revolution resulted in a recordThe Green Revolution resulted in a recordgrain output of 131 million tons in 1978grain output of 131 million tons in 1978--79.79.
This established India as one of the world'sThis established India as one of the world'sbiggest agricultural producers.biggest agricultural producers.
No other country in the world, whichNo other country in the world, whichattempted the Green Revolution recordedattempted the Green Revolution recorded
such level of success.such level of success.
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Economical ResultEconomical ResultThe increase in irrigation createdThe increase in irrigation created
need of new dams to harnessneed of new dams to harnessmonsoon water.monsoon water.
This in turn boosted industrialThis in turn boosted industrialgrowth, created jobs and improvedgrowth, created jobs and improvedthe quality of life of the peoplethe quality of life of the people
India paid back all loans taken fromIndia paid back all loans taken fromthe World Bank for the purpose ofthe World Bank for the purpose ofthe Green Revolution.the Green Revolution.
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Sociological ResultSociological Result
The Green Revolution created plentyThe Green Revolution created plentyof jobs not only for agriculturalof jobs not only for agriculturalworkers but also industrial workersworkers but also industrial workers
By the creation of lateral facilitiesBy the creation of lateral facilitiessuch as factories and hydrosuch as factories and hydro--electricelectric
power stations help to uplift thepower stations help to uplift thesocial as well as the economicsocial as well as the economiccondition .condition .
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Political ResultPolitical Result
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Limitationsofthe GreenLimitationsofthe Green
RevolutionRevolution
The Green Revolution, howsoeverThe Green Revolution, howsoeverimpressive, but NOT succeeded in makingimpressive, but NOT succeeded in making
India totally and permanently selfIndia totally and permanently self--sufficientsufficientin food.in food.
In terms of crops, it remains largelyIn terms of crops, it remains largely
confined to food grains only.confined to food grains only.
Only Punjab and Haryana states showedOnly Punjab and Haryana states showedbest results of Green Revolution.best results of Green Revolution.
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Green RevolutionGreen Revolution
The new organic farmers cite, fertilizer,The new organic farmers cite, fertilizer,and pesticides, and chemical used areand pesticides, and chemical used areruining the soil.ruining the soil.
The new farming techniques, has given birthThe new farming techniques, has given birth
to the serious pollution of drinking water causingto the serious pollution of drinking water causingcancer and other diseases.cancer and other diseases.
A recent Punjabi University study found aA recent Punjabi University study found ahigh rate of genetic damage among farmers,high rate of genetic damage among farmers,
which was attributed to pesticide use.which was attributed to pesticide use.
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Reducedgenetic diversityReducedgenetic diversity IncreasedvulnerabilitytoIncreasedvulnerabilityto
pestspests Soil erosionSoil erosion WatershortagesWatershortages ReducedsoilfertilityReducedsoilfertility Micronutrient deficienciesMicronutrient deficiencies SoilcontaminationSoilcontamination ReducedavailabilityofReducedavailabilityof
nutritiousfoodcropsnutritiousfoodcrops The displacementofvastThe displacementofvast
numbersofsmallfarmersnumbersofsmallfarmers
RuralimpoverishmentandRuralimpoverishmentandincreasedtensionsandincreasedtensionsandconflictsconflicts..
Problems created by Green
revolution
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PrecautionsPrecautionsProper planning and Implementation ofProper planning and Implementation ofAgricultural PlanAgricultural Plan
Avoiding access use of chemical fertilizers andAvoiding access use of chemical fertilizers andPesticidesPesticides
Proper irrigation systems so that water wastageProper irrigation systems so that water wastagecan be controlledcan be controlled
Frequent Pollution Control Check of the soilFrequent Pollution Control Check of the soilshould be doneshould be done
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Organic FarmingOrganic Farming A multidimensionalA multidimensionalAnalysisAnalysis
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History of organic farmingHistory of organic farming
Origin: Asian countriesOrigin: Asian countries
19051905--1924: AlbertHoward (British) worked as agrl. Advisor in Pusa1924: AlbertHoward (British) worked as agrl. Advisor in Pusadocumented traditional farming practices, Book: Agricultural Testamentdocumented traditional farming practices, Book: Agricultural Testament
1939: Eve Balfour (England) Haughley experiment compared organic and1939: Eve Balfour (England) Haughley experiment compared organic andconventional farming, Book: Living soilconventional farming, Book: Living soil
1940: Rudolf Steiner (Germany) Biodynamic agriculture1940: Rudolf Steiner (Germany) Biodynamic agriculture
1940: Masanobu Fukoka (Japan)1940: Masanobu Fukoka (Japan)
1950: J.I. Rodale(US) popularize through organic gardening1950: J.I. Rodale(US) popularize through organic gardening
1962: Rachel Carson: Silent Spring Effect of pesticides on environment1962: Rachel Carson: Silent Spring Effect of pesticides on environment\\
1970: Global movements1970: Global movements
1972: IFOAM1972: IFOAM
19801980-- till date:till date:
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Need for Organic FarmingNeed for Organic Farming
World Food Summit, Rome, (1996) Food security is achieved when all people at allWorld Food Summit, Rome, (1996) Food security is achieved when all people at all
times have physical and economic access to sufficient safe and nutritious food totimes have physical and economic access to sufficient safe and nutritious food to
meet their direct needs and food preferences for an active and active healthy lifemeet their direct needs and food preferences for an active and active healthy life
Sabharwal, Secretary, APEDA (2002): Developed countries are dependent onSabharwal, Secretary, APEDA (2002): Developed countries are dependent on
developing countries like India to the extent of 30developing countries like India to the extent of 30--50% for their requirements of50% for their requirements oforganic food products and India should seize the opportunity to tap these marketsorganic food products and India should seize the opportunity to tap these markets
FAO (2002) Price premium of organic products about 20FAO (2002) Price premium of organic products about 20--30%30%
Organic farming is the only way farmers can escape from the vicious cycle of debtOrganic farming is the only way farmers can escape from the vicious cycle of debt
and a negative economy. It is growing everywhere, because consumers dont wantand a negative economy. It is growing everywhere, because consumers dont want
to be poisoned with toxic residues from agrochemicals. It is also necessary fromto be poisoned with toxic residues from agrochemicals. It is also necessary fromthe point of view of small producers (Vandana, 2003)the point of view of small producers (Vandana, 2003)
Between 1998 and 2002, the compound annual growth rate of the organic foodBetween 1998 and 2002, the compound annual growth rate of the organic food
market was 17.7 percent. In 2004, the market for organic products was valued atmarket was 17.7 percent. In 2004, the market for organic products was valued at
US$27.8 billion, the largest share of organic products being marketed in EuropeUS$27.8 billion, the largest share of organic products being marketed in Europe
and North America, followed by Brazil and Middle East (IFOAM, 2006).and North America, followed by Brazil and Middle East (IFOAM, 2006).
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DefinitionDefinition
OrganicOrganic farmingfarming isis aa productionproduction systemsystem whichwhich avoidsavoids oror largelylargely
excludesexcludes thethe useuse ofof syntheticallysynthetically compoundedcompounded fertilizers,fertilizers, pesticidespesticides ,,growthgrowth regulatorsregulators andand livestocklivestock feedfeed additivesadditives .. ToTo thethe maximummaximumextentextent feasiblefeasible itit reliesrelies uponupon cropcrop rotations,rotations, cropcrop residues,residues, animalanimalwastes,wastes, mechanicalmechanical cultivation,cultivation, mineralmineral bearingbearing rocksrocks andand aspectsaspects ofof
biologicalbiological pestpest controlcontrol toto maintainmaintain soilsoil productivityproductivity andand tilthtilth toto supplysupplyplantplant nutrientsnutrients andand toto controlcontrol insects,insects, weedsweeds andand otherother pestspests(Lampkin,(Lampkin, 19901990))
OrganicOrganic agricultureagriculture isis aa uniqueunique productionproduction managementmanagement systemsystem whichwhich
promotespromotes andand enhancesenhances agroagro ecoeco--systemsystem health,health, includingincluding biobio--diversity,diversity, biologicalbiological cyclescycles andand soilsoil biologicalbiological activityactivity andand thisthis isisaccomplishedaccomplished byby usingusing onon--farmfarm agronomic,agronomic, biologicalbiological andand mechanicalmechanicalmethodsmethods inin exclusionexclusion ofof allall syntheticsynthetic offoff --farmfarm inputsinputs (FAO,(FAO, 19931993))..
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Promotion for productionPromotion for production
and trade of organicand trade of organic
products in Indiaproducts in India Planning commission (2000): Steering group on agriculture and organicPlanning commission (2000): Steering group on agriculture and organic
farming as a national challengefarming as a national challenge
NAP(2000): promotion of traditional knowledgeNAP(2000): promotion of traditional knowledge
MOA(2000): Task force on organic farming,MOA(2000): Task force on organic farming, DAC has formulated a schemeDAC has formulated a schemefor giving a major importance to organic farming by setting up a NIOFfor giving a major importance to organic farming by setting up a NIOF
MOC(2000): NPOPMOC(2000): NPOP
National centre for organic farming, GhaziabadNational centre for organic farming, Ghaziabad
ICAR & SAUsICAR & SAUs
International Food and Vegetable MarketingA
ssociation in IndiaInternational Food and Vegetable MarketingA
ssociation in India Association for promotion of organic farming (APOF), BangaloreAssociation for promotion of organic farming (APOF), Bangalore
APEDA, Coffee Board, Spices Board, Tea Board, Coconut Development BoardAPEDA, Coffee Board, Spices Board, Tea Board, Coconut Development BoardCocoa and cashew nut boardCocoa and cashew nut board
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AgricultureAgriculture ManMan EcologyEcology (AME),(AME), BangaloreBangalore
AgriculturalAgricultural RenewalRenewal inin IndiaIndia for for aa SustainableSustainableEnvironmentEnvironment (ARISE),(ARISE), PuducheryPuduchery
AllAll IndiaIndia FederationFederation ofof OrganicOrganic FarmersFarmers (AIFOF),(AIFOF),ThaneThane
30,000 organic farmers and 8,000 organic farms. In30,000 organic farmers and 8,000 organic farms. InTamil Nadu alone, about 500 organic farms andTamil Nadu alone, about 500 organic farms and3,000 organic farmers (Ranganathan, 2005)3,000 organic farmers (Ranganathan, 2005)
President of poison free food and VP of LEISAPresident of poison free food and VP of LEISA
43000 ha (0.03 %) is under organic farming43000 ha (0.03 %) is under organic farming
30 per cent of Indian farmers are organic.30 per cent of Indian farmers are organic.
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Agricultural MovementsAgricultural Movements
It was the name of a rural developmentIt was the name of a rural developmentprogrammeprogramme
Started byNational Dairy DevelopmentBoardStarted byNational Dairy DevelopmentBoard(NDDB) in 1970.(NDDB) in 1970.
Objective was creating a nation wide milk grid.Objective was creating a nation wide milk grid.
Movementfollowedthe Green Revolution andMovementfollowedthe Green Revolution and
alleviating poverty and famine levels.alleviating poverty and famine levels. India becamethe largestproducer of milk andIndia becamethe largestproducer of milk and
milk products.milk products.
Hence, also known as White Revolution of India.Hence, also known as White Revolution of India.
Operation FloodOperation Flood
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Agriculture in IndiaAgriculture in India
Current ScenarioCurrent Scenario
andand
Policy FrameworkPolicy Framework
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Indian Agriculture has made rapid strides sinceIndian Agriculture has made rapid strides since
independenceindependence
From food shortages and importFrom food shortages and import
to selfto self--sufficiency and exports.sufficiency and exports.
From subsistence farmingFrom subsistence farming
to intensive and technology led cultivation.to intensive and technology led cultivation.
Today , India is the front rankingToday , India is the front ranking
producer of many crops in the world.producer of many crops in the world.
Ushered in through theUshered in through the
green, white, blue and yellow revolutionsgreen, white, blue and yellow revolutions
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Indian AgricultureIndian Agriculture-- Some FactsSome Facts
Total GeographicalAreaTotal GeographicalArea -- 328 million hectares328 million hectares
Net Area sownNet Area sown -- 142 million hectares142 million hectares
Gross Cropped AreaGross Cropped Area 190.8 million hectares190.8 million hectares
MajorCrop Production (1999MajorCrop Production (1999--2000)2000)
RiceRice 89.5 million tonnes89.5 million tonnes
WheatWheat 75.6 million tonnes75.6 million tonnes
Coarse CerealsCoarse Cereals 30.5 million tonnes30.5 million tonnes
PulsesPulses 13.4 million tonnes13.4 million tonnes
OilseedsOilseeds 20.9 million tonnes20.9 million tonnes
SugarcaneSugarcane 29.9 million tonnes29.9 million tonnes
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Indian AgricultureIndian Agriculture-- Some FactsSome Facts
Contributes toContributes to 24%24% of GDPof GDP
Provides food toProvides food to 1Billion1Billion peoplepeople
Sustains 65% of the population : helps alleviate povertySustains 65% of the population : helps alleviate poverty Produces 51 majorCropsProduces 51 majorCrops
Provides Raw Material to IndustriesProvides Raw Material to Industries
Contributes to 1/6Contributes to 1/6thth of the export earningsof the export earnings
One of the 12 BioOne of the 12 Bio--diversity centers in the world with over 46,000diversity centers in the world with over 46,000species of plants and 86,000 species of animals recordedspecies of plants and 86,000 species of animals recorded
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MajorAchievementsMajorAchievements
India isIndia is
Largest producer in the world of pulses , tea , and milkLargest producer in the world of pulses , tea , and milk
Second Largest producer of fruits, vegetables, wheat ,Second Largest producer of fruits, vegetables, wheat ,
rice, groundnut and sugarcane.rice, groundnut and sugarcane.
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IndianAgriculture ScenarioIndianAgriculture Scenario
STRENGTHSSTRENGTHS Rich BioRich Bio--diversitydiversity
Arable landArable land
ClimateClimate
Strong and well dispersedStrong and well dispersedresearch and extension systemresearch and extension system
OPPORTUNITIESOPPORTUNITIES Bridgeable yield cropsBridgeable yield crops
ExportsExports
AgroAgro--based Industrybased Industry
HorticultureHorticulture
Untapped potential in the N.E.Untapped potential in the N.E.
WEAKNESSWEAKNESS Fragmentation of landFragmentation of land
Low Technology InputsLow Technology Inputs
Unsustainable Water ManagementUnsustainable Water Management
Poor InfrastructurePoor Infrastructure
Low value additionLow value addition
THREATSTHREATS Unsustainable ResourceUseUnsustainable ResourceUse
U
nsustainable RegionalU
nsustainable RegionalDevelopmentDevelopment
ImportsImports
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Current ConcernsCurrent Concerns
Pressure of the Population on LandPressure of the Population on Land
Skewed distribution of operational holdingsSkewed distribution of operational holdings
LandDegradationLandDegradation
Water BalanceWater Balance
Low level of mechanizationLow level of mechanization Low FertilizerConsumptionLow FertilizerConsumption
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The First Ever National Agriculture Policy was announced in JulyThe First Ever National Agriculture Policy was announced in July
2000. The Policy seeks to overcome these constraints and achieve2000. The Policy seeks to overcome these constraints and achieve
A Growth rate in excess of 4 percent per annum in theA Growth rate in excess of 4 percent per annum in the
agriculture sector.agriculture sector.
Growth that is based on efficient use of resources, and conservesGrowth that is based on efficient use of resources, and conserves
our soil, water , and bio diversity.our soil, water , and bio diversity. Growth with equity, i.e. growth which is widespread acrossGrowth with equity, i.e. growth which is widespread across
regions, and different classes of farmers.regions, and different classes of farmers.
Growth that is demand driven and stabilizes domestic marketsGrowth that is demand driven and stabilizes domestic markets
and maximizes benefits from exports in the face of Globaland maximizes benefits from exports in the face of Global
Challenges.Challenges.
Growth that is sustainable ,technologically , environmentally,Growth that is sustainable ,technologically , environmentally,
and economically.and economically.
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The Policy has indicated a nineThe Policy has indicated a nine--fold package of policyfold package of policy
initiatives to achieve the objectivesinitiatives to achieve the objectives
Development of Sustainable agricultureDevelopment of Sustainable agriculture
Food and Nutritional securityFood and Nutritional security
Generation and Transfer of TechnologyGeneration and Transfer of Technology
Improvement of input efficiencyImprovement of input efficiencyProvision of incentives for agricultureProvision of incentives for agriculture
Promotion of Investments in agriculturePromotion of Investments in agriculture
Strengthening of institutional infrastructureStrengthening of institutional infrastructure
Better risk managementBetter risk management
Introduction of Management ReformsIntroduction of Management Reforms
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TARGETSTARGETS
Food Grain Production will be doubled in ten years, so as toFood Grain Production will be doubled in ten years, so as to
make India hunger free .make India hunger free . Special emphasis will be on horticulture production in order toSpecial emphasis will be on horticulture production in order to
achieve a quantum increase.achieve a quantum increase.
Allied sectors like live stock, dairy poultry, fisheries, will beAllied sectors like live stock, dairy poultry, fisheries, will be
promotedpromoted Production of oilseeds and pulses will be raised substantially.Production of oilseeds and pulses will be raised substantially.
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Strategies & Initiatives : Enhancing Value AdditionStrategies & Initiatives : Enhancing Value Addition
-- 98% of fruits and vegetables are sold as fresh products.98% of fruits and vegetables are sold as fresh products.
-- processing accounts for only 7% of agricultural value.processing accounts for only 7% of agricultural value.
-- wastage levels are extremely high.wastage levels are extremely high.
Improved post harvest interventions: price supportImproved post harvest interventions: price support
mechanism, grading, handling, storage, packaging, marketing,mechanism, grading, handling, storage, packaging, marketing,processing.processing.
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Strategies & Initiatives : Enhancing Value AdditionStrategies & Initiatives : Enhancing Value Addition
Draft National Policy on Food Processing prepared.Draft National Policy on Food Processing prepared.
Draft Processed Food Development Act formulated.Draft Processed Food Development Act formulated.
Package of promotional schemes available for infrastructurePackage of promotional schemes available for infrastructure
development and quality improvement.development and quality improvement.
To raise the processing level by 10% , an investment ofTo raise the processing level by 10% , an investment of
approximately Rs 1400 billion requiredapproximately Rs 1400 billion required..
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Indias International TradeIndias International Trade -- 20012001--0202
500
0
1000
1500
2000
2500
Exports Imports
AgricultureNon-Agriculture
2 8 9
1 7 3 62 1 4 8
1 2 0
Rs Billions
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Strategies & Initiatives : Promotion ofExportsStrategies & Initiatives : Promotion ofExports
Indias competitive advantageIndias competitive advantage-- Diverse agro climatic conditions.Diverse agro climatic conditions.
-- Sufficiency of Inputs.Sufficiency of Inputs.
-- Reasonable labour costs.Reasonable labour costs.
Agriculture exports from India account for less than 1% world tradeAgriculture exports from India account for less than 1% world tradein Agriculture commodities.in Agriculture commodities.
-- Target is to raise Indias share to 2% .Target is to raise Indias share to 2% .
Thrust AreasThrust Areas
Improvement and maintenance of quality.Improvement and maintenance of quality.
Consonance with International Standards.Consonance with International Standards.
Strengthening of Infrastructure.Strengthening of Infrastructure.
Identification of niche products and markets.Identification of niche products and markets.
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IndiasAgricultural Export PotentialsIndiasAgricultural Export Potentials
Marine ProductsMarine Products
RiceRice
WheatWheat
C
ondiments andC
ondiments and SpucesSpuces CashewCashew
TeaTea
CoffeeCoffee
CastorCastor
JuteJute
Fruits and VegetablesFruits and Vegetables-- Onions, Mango, Grapes, Banana,Onions, Mango, Grapes, Banana,Tomato , Potato ,Tomato , Potato , LichchiLichchi ,etc.,etc.
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Agriculture DevelopmentAgriculture Development
Strategy for eleventh planStrategy for eleventh plan
Newinitiativ
esin
th
econt
extof
Newinitiativ
esin
th
econt
extof
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New InitiativesNew Initiatives
Strengthening PulsesProductionProgramsStrengthening PulsesProductionPrograms
Four prongedstrategy on Agriculture Growth inthe BudgetFour prongedstrategy on Agriculture Growth inthe Budget20092009--1010 AgricultureProductionAgricultureProduction
FoodPr
ocess
ingFoodPr
ocess
ing
CreditCredit
Reducing Wastage of produceReducing Wastage of produce
NutrientBased Subsidy effective from April 1, 2010 (FertilizersNutrientBased Subsidy effective from April 1, 2010 (Fertilizersand Chemicals)and Chemicals)
Rs. 100 crores for Mahila Kisan Sashaktikaran Yojana as a subRs. 100 crores for Mahila Kisan Sashaktikaran Yojana as a subcomponentofNational Rural Livelihood Mission (RuralcomponentofNational Rural Livelihood Mission (RuralDevelopment)Development)
Additional Central Assistance of Rs. 1200 crorestoAdditional Central Assistance of Rs. 1200 crorestoBundelkhand fordroughtmitigation (Rural Development)Bundelkhand fordroughtmitigation (Rural Development)
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Tax ConcessionsTax Concessions Modernizing Mandis or warehousingModernizing Mandis or warehousing
Concessional importduty of 5 % andservicetax exemption forConcessional importduty of 5 % andservicetax exemption formechanisedmechanisedhandlinghandlingof food grains andsugar in Mandisof food grains andsugar in Mandis
Central excise andservicetax exemptionto specified equipment forCentral excise andservicetax exemptionto specified equipment forstorage andstorage andwarehousingwarehousingof agriculture productsof agriculture products
Promoting Cold chain infrastructurePromoting Cold chain infrastructure Concessional customsduty of 5 % with full exemption from servicetax to setting upConcessional customsduty of 5 % with full exemption from servicetax to setting up
ofofColdstorage facilitiesandProcessingunitsColdstorage facilitiesandProcessingunitsforsuch produce.forsuch produce.
Provide full exemption from customsdutytoProvide full exemption from customsdutyto refrigerationunitsrefrigerationunitsrequired fortherequired forthemanufacture ofmanufacture ofrefrigeratedvansortrucksrefrigeratedvansortrucks
Promoting Farm MechanizationPromoting Farm Mechanization Concessional customsduty of 5 per centto specifiedConcessional customsduty of 5 per centto specifiedagriculturalmachineryagriculturalmachinerynotnot
manufactured in India;manufactured in India;
Full exemption from excisedutytoFull exemption from excisedutyto trailersandsemitrailersandsemi--trailersusedintrailersusedinagricultureagriculture..
Transportation of produceTransportation of produce TheThetransportatiotransportation byroad of cereals, and pulsesto be exempted from servicen byroad of cereals, and pulsesto be exempted from service
tax. Transportation byrail to remain exempt.tax. Transportation byrail to remain exempt.
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Agriculture DevelopmentStrategy inthe 11Agriculture DevelopmentStrategy inthe 11thth
fiveyear plan periodfiveyear plan period
Agriculture Growth at4 % plus
Increased publicinvestments
Development of
AgricultureInfrastructureSecondary and
alliedAgriculture
Food SecurityIncrease
production bybridging the
yield gaps andby good price
Horticulture,Dairy, Poultry,Fishery and
AH
SupportServicesWater,Energy
and Landresources
Creditandinsurance
Procure.operations
Fertilizersand
PesticidesR & D
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RKVY and MMA
Main Objective
Agriculture growth
Salient Feature
Full freedom to States
NFSM Food production Strategically targeted
ISOPOM Oil seeds production Strategically targeted
NHM and TMNE Horticulture End to end program
Micro Irrigation Water use efficiency Sprinklers and Drips
NREGS Water HarvestingSmall Farm
Development
Schemes
Schemes
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Key ChallengesKey Challenges
SustainedhigherproductionlevelsoffoodgrainsSustainedhigherproductionlevelsoffoodgrains More focused working especially for pulsesMore focused working especially for pulses
RegionaldisparityRegionaldisparity Widening the food basketWidening the food basket Broad basing therisks of crop failuredueto climatic variabilityBroad basing therisks of crop failuredueto climatic variability
RainfedareadevelopmentRainfedareadevelopment ConvergenceConvergence mechanism for horizontal working?mechanism for horizontal working? Watershed managementWatershed management Largescalereplication of good models?Largescalereplication of good models?
RiskmitigationforClimaticvariabilityRiskmitigationforClimaticvariability Integrated farming system fordiversifying farm portfolioIntegrated farming system fordiversifying farm portfolio horticulture, fisheries, dairyhorticulture, fisheries, dairy
etc. Wadi projectofNABARD, Livelihood projects of WorldBank?etc. Wadi projectofNABARD, Livelihood projects of WorldBank?
Seed Rolling ProductionPlans for quantity ofneeded varietiesSeed Rolling ProductionPlans for quantity ofneeded varieties Seeds Mission?Seeds Mission?
Conservation AgricultureConservation Agriculture National Mission on Sustainable Agriculture?National Mission on Sustainable Agriculture?
Effective innovative weather based Insurance productsEffective innovative weather based Insurance products savings linked cropsavings linked cropinsurance?insurance?
Increased bufferstocks for food grainsIncreased bufferstocks for food grains grainstorage grid?grainstorage grid?
EfficientmarketingsupplychainEfficientmarketingsupplychain Scientific storage and managementScientific storage and management fungible warehousing receipts?fungible warehousing receipts? ProcessingProcessing private investments, logistics management?private investments, logistics management? DirectmarketingDirectmarketing credible contractfarming mechanism?credible contractfarming mechanism?
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44-- pronged Strategy on Agriculture Growthpronged Strategy on Agriculture Growth
AgricultureProduction
Rs. 400 Croresfor Green
Revolution inEasternIndian
Region
Rs. 300 croresfor 60,000
pulsesandoilseeds villagesinrainfed areas
Rs. 200 croresforconservation
agriculture indeveloped
regions
Reduction inWastage of
Produce
Opening up ofretail tradeto
reducethefarm gate,retail price gap
Increase grainstorage facilitiesthrough privatesector FCI to
hire for 7
guaranteedyears
CreditSupporttoFarmers
Rs. 375000 crorestargetassignedto
theBankers for
extending croploans
Period of loanrepayment
extended bysixmonthsto June
2010 fromDecember 2009
Incentive fortimely paymentof
shortterm loanincreased from1% to 2 % for
2010-11
Impetusto foodprocessing
Sector
Five additionalMega Foodparksto beestablished
External Commercialborrowings would beavailable forsetting
up cool chaininfrastructure
Union Budget 2010
Ministry of Agriculture
Ministry of Food
and Consumer
Affairs
Ministry of Finance
Ministry of FoodProcessing
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Focus onPulses and oilseedsFocus onPulses and oilseeds Strengthening NFSM PulsesStrengthening NFSM Pulses
Merger of ISOPOM for pulses with NFSMMerger of ISOPOM for pulses with NFSMMore fundsMore funds about1000 crores innexttwo yearsabout1000 crores innexttwo years
Accelerated pulses production program (A3P)Accelerated pulses production program (A3P)
Block demonstrations ofsoil nutrientand plantprotection centricBlock demonstrations ofsoil nutrientand plantprotection centrictechnology in 1000 units of 1000 hectares compact block each fortechnology in 1000 units of 1000 hectares compact block each for
five major pulses with an outlay of 700 croresfive major pulses with an outlay of 700 crores Provision for extensionstaff at unit levelProvision for extensionstaff at unit level
Inclusion of Jharkhand and Assam StatesInclusion of Jharkhand and Assam States More funds available under ISOPOM for oilseedsdevelopmentMore funds available under ISOPOM for oilseedsdevelopment Integrateddevelopmentof 60,000 pulses and oilseeds villages inrainfedIntegrateddevelopmentof 60,000 pulses and oilseeds villages inrainfed
areas with an outlay of 300 crores under RKVYareas with an outlay of 300 crores under RKVY Watershed managementand water harvestingWatershed managementand water harvesting
CommunitytanksCommunitytanks Field channelsField channels
Dry land farmingDry land farmingWatershed plus activities for crop developmentWatershed plus activities for crop development
Convergence with NFSM, ISOPOM, NHM, NREGA andNWDPRAConvergence with NFSM, ISOPOM, NHM, NREGA andNWDPRA
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NextSteps for A3PNextSteps for A3P Prepare an action plan as perthe guidelines forPrepare an action plan as perthe guidelines for
implementing A3P from April 2010implementing A3P from April 2010 Identification of beneficiaries and units among villagesIdentification of beneficiaries and units among villages
Preparing unitwisedistrict level plansPreparing unitwisedistrict level plans
Ensuresupply of gypsum and plantprotection chemicalstoEnsuresupply of gypsum and plantprotection chemicalsto
identified beneficiariesthrough thedesignated agenciesidentified beneficiariesthrough thedesignated agencies Engage extensionstaff for unit level positioning and impartEngage extensionstaff for unit level positioning and impart
an orientationtrainingan orientationtraining KVKs could be actively associatedKVKs could be actively associated
Capacity building for pestmonitoring and pestsurveillanceCapacity building for pestmonitoring and pestsurveillance
byNCIPMbyNCIPM Modalities for implementing integrateddevelopmentofModalities for implementing integrateddevelopmentof
60,000 pulses and oilseeds villages being worked out60,000 pulses and oilseeds villages being worked out
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Inter StateProductivity GapsInter StateProductivity Gaps
StateState CAGRCAGR20032003--0404 20072007--0808 20082008--09*09*
20032003--04 to 200704 to 2007--
0808
ProductionProduction YieldYield ProductionProduction YieldYield ProductionProduction YieldYieldNormalNormal
YieldYield
MaxMax
YieldYield
West BengalWest Bengal 0.690.69 14662.314662.3 25042504 14719.514719.5 25732573 15554.015554.0 26462646 25502550 25932593Andhra PradeshAndhra Pradesh 2.672.67 8953.08953.0 30093009 13324.013324.0 33443344 14207.014207.0 32473247 30803080 33443344
Uttar PradeshUttar Pradesh --1.451.45 13018.813018.8 21872187 11780.011780.0 20632063 13074.013074.0 21712171 19861986 21872187
PunjabPunjab 2.132.13 9656.09656.0 36943694 10489.010489.0 40194019 11000.011000.0 40224022 38763876 40194019
OrissaOrissa 3.153.15 6733.76733.7 14961496 7540.77540.7 16941694 6762.06762.0 15201520 15401540 16941694
BiharBihar --5.075.07 5447.85447.8 15231523 4418.14418.1 12371237 5668.75668.7 16101610 12331233 15231523
Tamil NaduTamil Nadu 5.115.11 3222.83222.8 23082308 5040.25040.2 28172817 5201.05201.0 25102510 27832783 34233423
ChattisgarhChattisgarh --0.140.14 5567.65567.6 14541454 5426.65426.6 14461446 4391.84391.8 11761176 13531353 14541454
AssamAssam --1.771.77 3880.03880.0 15341534 3319.03319.0 14281428 3775.03775.0 17201720 14481448 15341534KarnatakaKarnataka 2.542.54 2550.32550.3 23752375 3717.03717.0 26252625 3690.03690.0 24342434 28462846 38683868
JharkhandJharkhand 4.454.45 2310.02310.0 16951695 3336.43336.4 20182018 3304.93304.9 19471947 16281628 20182018
HaryanaHaryana 5.165.16 2790.02790.0 27492749 3613.03613.0 33613361 3298.03298.0 27262726 30723072 33613361
MaharashtraMaharashtra 0.670.67 2835.02835.0 18531853 2996.02996.0 19031903 2311.02311.0 15061506 17291729 19031903
All IndiaAll India 1.451.45 88526.088526.0 20782078 96692.996692.9 22022202 99153.799153.7 21862186 21012101 22022202
CAGR**CAGR** 1.051.05
Rice Production in (000) tons Yield in kg/ha
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Eastern Region DevelopmentEastern Region Development
Additional Rs. 400 crores provided forthe agricultureAdditional Rs. 400 crores provided forthe agriculturedevelopment in Eastern Region comprising of Eastern UP,development in Eastern Region comprising of Eastern UP,Chhattisgarh, Jharkhand, Bihar, Orissa, WestBengalChhattisgarh, Jharkhand, Bihar, Orissa, WestBengal
Funds would bereleased under RKVY. States are expectedtoFunds would bereleased under RKVY. States are expectedtoprepare an action plan containing the following pointsprepare an action plan containing the following points
IdentificationIdentification of keytechnologies,of keytechnologies, constraintsconstraints indevelopment and interindevelopment and interseseprioritypriority for implementation for visible impactfor implementation for visible impact
SituationreportSituationreporton current initiatives, preparation of multi yearstrategyon current initiatives, preparation of multi yearstrategyfor agriculturedevelopment insync with the DAPs by pooling theresourcesfor agriculturedevelopment insync with the DAPs by pooling theresourcesfrom State plan, and convergence with other ongoing schemesfrom State plan, and convergence with other ongoing schemes
Preparation ofPreparation ofprojectsprojects to implementthestrategy in a budget proposalto implementthestrategy in a budget proposalworked out by each Stateworked out by each State
Allocation of budget for each State as perthe proposal and approval ofAllocation of budget for each State as perthe proposal and approval ofprojects within an overall budgetallocated for each Stateprojects within an overall budgetallocated for each State
Mechanism forregular monitoring ofthe progress of implementation oftheMechanism forregular monitoring ofthe progress of implementation oftheprojectsprojects
Detailedsetof instructions would be prepared in consultationDetailedsetof instructions would be prepared in consultationwith the States for implementation from the Rabi seasonwith the States for implementation from the Rabi season
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Agri eco Zone wise Regional StrategyAgri eco Zone wise Regional Strategy
Lower GangeticPlainsRegionLower GangeticPlainsRegion(WB otherthanPuruliaandhilldistricts)(WB otherthanPuruliaandhilldistricts)
BasicallyBasically aa ricerice monomono croppedcropped areaarea
IncreasingIncreasing thethe croppingcropping intensityintensity byby
utilizingutilizing RabiRabi fallowsfallows afterafter harvestharvestofof KharifKharif ricerice byby promotingpromoting thethecultivationcultivation ofof pulsespulses andand oilseedsoilseeds
DiversificationDiversification ofofuplandupland ricerice areasareaswhichwhich areare lessless productiveproductivetoto suitablesuitablecropscrops likelike pulses,pulses, oilseedsoilseeds andandmilletsmillets..
DevelopmentDevelopment ofof onon--farmfarm irrigationirrigationresourcesresources throughthrough exploitationexploitation ofofgroundground waterwater potentialpotential whichwhich isisabundantabundant..
ImprovingImproving subsurfacesubsurfacesoilsoil drainagedrainage
Middle GangeticPlainsRegionMiddle GangeticPlainsRegion(Eastern U.P. and Bihar(Eastern U.P. and Bihar))
Rice,Rice, wheat,wheat, sugarcanesugarcane areare thethe majormajorcropscrops.. However,However, productivityproductivity isis lowlow..
PopularisationPopularisation ofof ShortShort durationduration highhighyieldingyielding varieties/hybridsvarieties/hybrids ofofricerice..
PromotionPromotion ofof maize maize cultivationcultivationespeciallyespecially inin RabiRabi asas itit hashas highhighpotentialpotential
PromotionPromotion ofof earlyearly maturingmaturing varietiesvarietiesofofsugarcanesugarcane forfor higherhigher sugarsugar recoveryrecovery
DevelopmentDevelopment ofof onon--farmfarm irrigationirrigationresourcesresources thoroughthorough exploitationexploitation ofofgroundground waterwater potentialpotential
CattleCattle rearing,rearing, poultry,poultry, goatgoat rearingrearingandand fishfish farmingfarming asas anan offoff farmfarm activityactivity..
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Agri eco zone wise Regional StrategyAgri eco zone wise Regional Strategy
EasternPlateau & HillsRegion(PartsEasternPlateau & HillsRegion(Partsof Orissa, Jharkhand,Chhattisgarh)of Orissa, Jharkhand,Chhattisgarh)
ManagementManagement ofof rainwaterrainwaterharvestingharvesting andand st oragestorage forfor
increasingincreasing cropcrop productivityproductivity PromotionPromotion ofof HighHigh yieldingyielding
varieties/hybridsvarieties/hybrids especiallyespecially thatthat ofofricerice
ExpansionExpansion ofof areaarea underunder HighHighvaluevalue cashcash cropscrops andand vegetablesvegetables
ImprovementImprovement inin seedseed supplysupply soso asastoto increaseincreasethethe SRRSRR
ImprovementImprovement inin productivityproductivity ofofcropscrops inin acidicacidic soilssoils throughthrough limelimetreatmenttreatment
EastCoastPlains & Hills(PartEastCoastPlains & Hills(Partof Orissaof Orissa))
RiceRice isis thethe leadlead cropcrop inin thisthis zonezone..However,However, thethe productivityproductivity isis lowlow..
HighHigh yieldingyielding varietiesvarieties forfor waterwaterloggedlogged areasareas andand uplandupland areasareasneedsneeds toto bebe propagatedpropagated
DiscouragingDiscouraging thethe cultivationcultivation ofofricericeinin marginalmarginal landslands andand diversifyingdiversifyinginin favourfavour ofof oilseedsoilseeds andand pulsespulses
UtilizationUtilization ofof ricerice fallowsfallows forforincreasingincreasing thethe croppingcropping intensityintensity..
RiceRice--fishfish cultureculture
ImprovingImproving soilsoil drainagedrainage
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Sum upSum up
Emphasis onPulsesthrough revampedEmphasis onPulsesthrough revampedprogrammatic interventions and prevailing goodprogrammatic interventions and prevailing goodmarketpriceshould help in achievementofmarketpriceshould help in achievementof
productiontargets of pulsesproductiontargets of pulses Focus on Eastern Regionthathas huge potentialFocus on Eastern Regionthathas huge potential
would help macro level stability of agriculturewould help macro level stability of agricultureproductionproduction
Enabling policies on marketdevelopmentwouldEnabling policies on marketdevelopmentwouldbring in private investments for value additiontobring in private investments for value additiontothe harvests and efficiency gains insupply chainthe harvests and efficiency gains insupply chain
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PPRODUCTIONRODUCTION
Largestproducer inthe world ofLargestproducer inthe world ofmilk, cashew nuts, coconuts, tea,milk, cashew nuts, coconuts, tea,ginger, turmeric and black pepper.ginger, turmeric and black pepper.
Worlds largestcattle populationWorlds largestcattle population
(193 million).(193 million). Second in world in farm output.Second in world in farm output.
Second largestproducer of wheat,Second largestproducer of wheat,rice, sugar, groundnutand fish.rice, sugar, groundnutand fish.
It isthe 3It isthe 3rdrd
largestproducer oflargestproducer oftobacco.tobacco.
Accounts for 10% ofthe world fruitAccounts for 10% ofthe world fruitproduction.production.
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PPRODUCTION (contd.)RODUCTION (contd.)
CommodityCommodity Output per acreOutput per acre
National averageNational average 0.290.29
SugarcaneSugarcane 26.1526.15
PotatoPotato 6.326.32
WheatWheat 0.840.84
RiceRice 0.700.70
CornCorn 0.640.64
GroundnutGroundnut 0.370.37
Soya beanSoya bean 0.320.32
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Factors for low productivityFactors for low productivity
Illiteracy, reforms andIlliteracy, reforms andinadequate or inefficientinadequate or inefficientfinance and marketingfinance and marketing
services for farm products.services for farm products.Averagesize of land holdingsAveragesize of land holdings
is verysmall.is verysmall.
Adoption of modernAdoption of modernagricultural practices and useagricultural practices and useoftechnology is inadequate.oftechnology is inadequate.
Irrigation facilities areIrrigation facilities are
inadequate.inadequate.
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