| To
make agri-marketing viable, an expert committee was set up by the
initiation of Central Govt. Establishment of this committee is to
observe and analyze-justify Indian agricultural condition, and to
suggest necessary recommendations which will enable Indian Agriculture
sector to transfer from Agri-Base metaphor to Agri-Business metaphor.
The abstract of the report is as such: |
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The major observations on competitiveness of Indian agricultural
for exports are: |
- Post-harvesting
handling cost very high on account of freight rates,
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- Lack
of refrigerated facilities,
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- High
incidence of losses and non-availability of quick transport,
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- Fruits
& vegetables productivity is 50% less with comparison
to world productivity,
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- Higher
prices of products makes uncompetitive in world market,
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- Country’s
agro-climatic conditions are conducive for large variety
of fruit and vegetables to be grown round the year with
good seed, plant material and improvised technologies to
improve export competitiveness.
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- Create
national market for primary agricultural produce without
any control orders.
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- Develop
markets as service provider & efficiently managed through
required facilities like electronic auction, market-led
extension facilities, etc.
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- Grading,
packing, storage facilities must be provided at market.
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- Forward
& future-trading mechanism may be introduced through
private sector participation and Govt. has to act as service
provider/facilitator for conduct of business.
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- Provision
of conducive environment for private sector participation
in infrastructure development,
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- Legally
sound warehouse receipt system for farmers, credit against
stock pledging,
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- Essential
commodities Act and APMC Acts need review and amendments
for securing effective role of stakeholders,
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- Strengthening
market intelligence and market-led extensions for better
competitive marketing, enabling
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- Changed-liberalized
atmosphere,
- Direct
marketing,
- Contract
farming involving private sector, corporate etc.
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- Development
of marketing infrastructure of 10th plan has to be linked
to reforms with State government’s initiations to avail
the benefits,
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- Actions
by State Governments & Union Territories,
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- To
give views in regards to the reforms,
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- Initiate
necessary measures to strengthen agricultural marketing
in the country.
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| Scheme
for Construction of Rural Godowns |
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| 1. |
Creation
of scientific storage capacity with allied facilities
in rural areas. |
| 2. |
The
project for construction of rural godowns can be taken
up by individual farmers group of farmers /growers,
Partnerships /proprietary firms, Non-Government Organizations
(NGO's), Self Help Groups (SHGs), Companies, Corporations,
Co-operatives, Agricultural Produce Marketing Committees,
Marketing Boards and Agro Processing Corporations. |
| 3. |
The
entrepreneur will be free to construct godown at any
place and of any size as for his commercial judgment. |
| 4. |
Godowns
built under the scheme shall be required to obtain license
from the state Warehousing Corporations to operate such
godowns under the State Warehousing Act. |
| 5. |
Rate
of subsidy shall be 25% of the capital cost of the project.
(For North-Eastern states) but for SC/ST entrepreneur,
the rate of subsidy shall be 33.33%. |
| 6. |
Subsidy
under the scheme is linked to institutional credit and
will be available to only such projects as are financed
by commercial banks, cooperative banks & regional
rural banks. Loan to the entrepreneurs from banks for
the construction/ renovation / expansion of godowns
etc. would carry an adequate long-term repayment period. |
| 7. |
Assistance
under the scheme shall be available on capital cost
of construction of godowns only. However banks are free
to finance, in addition to storage, allied facilities
like consumer shop, agri-clinics, weighing, grading,
packaging & quality certification, warehousing etc.
to meet various requirements of the frames. |
| 8. |
The
Farmers keeping their produce in the godowns shall be
eligible to pledge for loan. |
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