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National Conference on Agriculture For Kharif Campaign-2009

National Conference on Agriculture For Kharif Campaign-2009. POST-HARVEST MANAGEMENT & MARKETING By Shri Rajendra Kumar Tiwari Joint Secretary Department of Agriculture and Co-operation Ministry of Agriculture. Agricultural Markets in India.

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National Conference on Agriculture For Kharif Campaign-2009

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  1. National Conference on AgricultureFor Kharif Campaign-2009 POST-HARVEST MANAGEMENT & MARKETING By Shri Rajendra Kumar Tiwari Joint Secretary Department of Agriculture and Co-operation Ministry of Agriculture

  2. Agricultural 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.

  3. Challenges 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

  4. 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

  5. Status of Agricultural Marketing Reform (Progress of APMC Act Amendments)

  6. STATUS OF MARKET REFORMS Professional management of APMCs: Nagaland, Sikkim Single 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, Jharkhand Setting up Standards Bureau & Extension Cell in Boards: Nagaland, Sikkim, Karnatak

  7. 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

  8. Status of Marketing Research and Information Network Scheme as on February,2009

  9. 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%)

  10. Progress of Marketing Infrastructure Scheme during X Plan and XI Plan

  11. Venture Capital Assistance (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

  12. 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,

  13. 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.

  14. Post Harvest Management Scheme under 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.

  15. Issues 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

  16. THANKS

  17. COLD CHAIN STATUS IN INDIA Cold Chain is symbolized by Cold Stores in India 5100 Cold Stores with 21M.MT capacity-Av. Capacity 3900MT UP & WB accounts for more than 60% More than 80% are stand-alone Potato Cold Stores Only 0.2% cold stores are for F&V Use of very low level technology results in high electricity use Average utilization: 6 months a year POINT OF HARVEST PRE – COOLING CA STORE REFR. TRANSPORT POINT OF SALE

  18. 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 stores Creation of Mega Perishable Commodity Centers Creation of Special Purpose Vehicle for Cold Logistics Creation of Multi-modal National Green Grid System Creation of National Centre of cold Chain Development (NCCD) Subsidy be Linked to Standardized Infrastructure Encouraging Use of Renewable source of energy in Cold Chain

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