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National Conference on AgricultureNational Conference on AgricultureFor Kharif Campaign-2009For Kharif Campaign-2009
POST-HARVEST MANAGEMENT & MARKETING
By
Shri Rajendra Kumar TiwariJoint Secretary
Department of Agriculture and Co-operation Ministry of Agriculture
Agricultural Markets in IndiaAgricultural Markets in India
No. of Regulated wholesale Markets: 7566
Rural Primary markets : 20,887
Average area served by a market :116 sq km
Average, area served by regulated market :435 Sq Km
Recommendation by National Farmers Commission: availability of markets within an area of 5 Km radius
(approx. 80 sq km)Area served per Regulated Markets varies from 115
Sq Km in Punjab to 11215 Sq Km in Meghalaya.
Challenges AheadChallenges Ahead
Reforms in Agricultural Marketing –Adopt model Acts & Rules
Encourage Private and Co-operative Sectors in market development
Improvement in post-harvest management through adoption of appropriate technology & practices
Improving forward & backward linkages and supply chain
Providing farmers with access to market information
POST HARVEST MANAGEMENT-A PERSPECTIVE
Perishable Agricultural produce (including that from horticulture, dairy, fisheries and animals)
Losses - Dairy – 1% - Food grains – 10% - Horticulture – 30-40 %
600 M.MT
> Estimated Rs. 80,000 Crore annually
Loss can be reduced substantially by providing appropriate Post Harvest Technology & Management (Cleaning, Sorting, Grading, Drying, Cooling, Packaging, Storage, Milling, Refining etc ) in value chain
Status of Agricultural Marketing Status of Agricultural Marketing Reform Reform (Progress of APMC Act (Progress of APMC Act Amendments)Amendments)
States/ UTs having Amended Acts –
1. Andhra Pradesh 2. Arunachal Pradesh 3. Assam 4. Chhattisgarh 5. Goa 6. Gujarat 7. Himachal Pradesh 8. Karnataka 9. Madhya Pradesh 10. Maharashtra 11. Nagaland 12. Orissa 13. Rajasthan 14. Sikkim 15. Tripura 16. Jharkhand Reportedly no Amendment
Needed –1. Tamil Nadu
States/ UTs with no APMC Act –(1) Bihar (repealed w.e.f. 01.09.2006), (2) Kerala, (3) Manipur and UTs of (4) Andaman & Nicobar Islands, (5) Dadra & Nagar Haveli, (6) Daman & Diu & (7) LakshadweepPartially Amended –(1) Punjab/ (2) UT of Chandigarh (Only private markets & contract farming)(3) Haryana (Only Contract Farming) &(4) NCT of Delhi (Only Direct Marketing)Amendment to be carried out –(1) Uttarakhand (2) U.P. (3) West Bengal (4) NCT of Delhi & (5) Puducherry (6) J&K (7) Mizoram (8) Meghalaya
States with Amended APMC Rules:
A.P., M.P., Maharashtra, Rajasthan, Orissa, H.P., Karnataka
STATUS OF MARKET REFORMS
Professional management of APMCs: Nagaland, SikkimSingle point levy of Market fee: Chattishgarh, Gujarat, Goa,H.P., M.P.,
Nagaland, Sikkim, Punjab, UT of Chd.Provision for Non-alienation of land in Contract
Farming: Arunachal, Assam, Goa, Haryana, Maharastra, Nagaland, Orissa, Rajasthan, Sikkm, Tripura,
A.P., Karnatak, JharkhandSetting up Standards Bureau & Extension Cell in
Boards: Nagaland, Sikkim, Karnatak
Major Initiatives Marketing Research and Information Network (MRIN) –
AGMARKNET -- To provide ICT based Info (Mkt & Price) to Farmers -- To cover 360 wholesale markets during XI Plan by way of computer
connectivity -- Daily arrival and prices of 300 commodities from more than 1900 markets
in 10 languages Gramin Bhandaran Yojana -- Credit-linked back-ended subsidy scheme -- Creation of Scientific Storage capacity in rural areas mainly to avoid
distress sale by farmers Marketing Infrastructure Development -- Reform-linked --Capital investment subsidy scheme for development of new
Infrastructure projects, upgrade wholesale markets/rural primary markets
--Beneficiaries: Individual Entrepreneur, Cooperatives, State Agencies Venture Capital Scheme --Venture Capital assistance to farmers/producers group for setting up
Agribusiness Ventures Terminal Market Complex Scheme --Subsidy to P.E. through NHM/SHM for establishing TMC
Status of Marketing Research and Status of Marketing Research and Information Network Scheme as on Information Network Scheme as on February,2009February,2009
AGMARKNET- Problems Specific to States
States with inadequate Computer Connectivity
& Data Reporting:Bihar(35%,100%)Gujarat(48%,50%)Haryana(40%,40%)J&K(37%,66%)Kerala(55%,48%)U.P. (35%, 63%)W.Bengal (23%,37%)
States with inadequate Data Reporting:
Maharashtra (30%) Punjab (18%) Rajasthan (33%) Tamil Nadu (21%) Arunachal (100%) Mizoram (100%) Nagaland (100%) Sikkim ( 100%) Rest NER States (<50%)
Progress of Marketing Infrastructure Progress of Marketing Infrastructure Scheme during X Plan and XI PlanScheme during X Plan and XI Plan
Venture Capital Assistance Venture Capital Assistance (SFAC)(SFAC)Objective: TO CATALYZE PRIVATE INVESTMENT IN SETTING UP OF AGRI-BUSINESS
PROJECTS FOR EXTENDING ASSURED MARKET TO FARMERS FOR THEIR PRODUCE AND INCREASING RURAL INCOME AND GENERATING EMPLOYMENT
Financial Assistance: Max. 10 % of PROJECT COST or 26 % of PROJECT EQUITY subject to
normal ceiling of Rs 75.00 Lac. HIGHER AMOUNT OF ASSISTANCE FOR PROJECTS IN HILLY AND NORTH EASTERN
STATES AND PROJECTS RECOMMENDED BY STATES / SFACS CAN BE CONSIDERED
Observations: States of Maharashtra, Karnataka, T.N., Gujarat, Kerala, J&K. are
relatively better performing States No projects in the States of Bihar, Orissa, Rajasthan
Terminal Market Complex Subsidy Scheme under NHM to promote private investment
Change of financial assistance pattern from equity participation to subsidy assistance
through NHM/SHM to P.E. Subsidy from 25% to 40% of project cost with subsidy ceiling of Rs 50.00 crore.
Provision of land by State Govt Provision upto 26% of equity for Producer Association Hub-and-Spoke Format: Terminal Market (the hub) to be linked to number
of collection centres (the spokes). Collection centres (Spokes) to be conveniently located at key production
centres to allow easy access and linkages to farmers Provide state of art facilities for
electronic auction, grading, washing and packing lines, processing and exports, banking, other services etc.
Commodities to be covered include Fruits and vegetables, Flowers, aromatics, herbs and Spices Meat, Poultry, Fish, Dairy Grains, Pulses, Oilseeds,
POST HARVEST TECHNOLOGY & MANAGEMENTSCHEME :
MAIN COMPONENTS: Establishment of units for transfer of primary
processing technology, value addition, low cost scientific storage, packaging units and by-product management in the production catchments under tripartite agreement.(40 % assistance limited to Rs 4.00 lac.)
Establishment of low cost PHT units/supply of PHT equipments with Government assistance.(40% of total cost of up to Rs 2.00 lac.)
Demonstration of technologies. (Initially 100% grant-in-aid for purchase of technology)
Training of farmers, entrepreneurs and Scientists.
Post Harvest Management Scheme Post Harvest Management Scheme under NHMunder NHM
Under NHM during 2005-06 to 2008-09, total 952 pack houses,65cold storage units,1 CA storage unit,21 refrigerated vans,162 units of mobile/primary processing units have been set up.
Major States which are yet to Use PHM Component: Bihar, Chhattisgarh, Jharkhand, Kerala, M.P.,T.N.
Issues for DiscussionsIssues for Discussions Expedite the process of market reforms by bringing
amendment on the lines of Model Act and Rules.
Operationalize and ensure regular reporting of market data in the interest of farmers and other market participants
To promote standardization & grading of agricultural commodities and promote producers’ level grading
To promote Private investment in setting up wholesale markets, terminal markets, Direct Marketing and Contract Farming
To develop cold chain to ensure better marketability of fruits & vegetables
Progress of Marketing Infrastructure and Rural Godown Schemes are slow in NE Region and States of Goa, J&K, Jharkhand, Uttarakhand
COLD CHAIN STATUS IN INDIA
Cold Chain is symbolized by Cold Stores in India5100 Cold Stores with 21M.MT capacity-Av. Capacity 3900MT
UP & WB accounts for more than 60%More than 80% are stand-alone Potato Cold StoresOnly 0.2% cold stores are for F&VUse of very low level technology results in high electricity useAverage utilization: 6 months a year
POINT OF HARVEST
PRE – COOLING
CA STORE
REFR. TRANSPORT
POINT OF SALE
Recommendations of Task Force on Cold Chain Development in India
Creation of Additional Infrastructure Capacity: -- Integrated Pack House, Controlled Atmospheric Store,
Ripening Chamber, Cold Stores -- Up gradation of existing potato cold storesCreation of Mega Perishable Commodity Centers Creation of Special Purpose Vehicle for Cold
LogisticsCreation of Multi-modal National Green Grid
SystemCreation of National Centre of cold Chain
Development (NCCD)Subsidy be Linked to Standardized InfrastructureEncouraging Use of Renewable source of energy
in Cold Chain