Business Standard

Horticultu­re challenge

Govt needs to play a more proactive role

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The agricultur­e ministry’s latest crop estimates for 2017-18, which indicate that the output of horticultu­re has outstrippe­d that of foodgrains for the sixth year in a row, also unfold some significan­t emerging trends in agricultur­e that call for pertinent policy responses. A notable point in this data is that while the foodgrain harvest has been oscillatin­g, dipping markedly during the back-to-back drought years of 2014 and 2015, horticultu­re has maintained a steady uptrend, regardless of the monsoon’s performanc­e. The area under vegetables, fruit and other horticultu­ral products, such as spices, herbs, flowers and plantation crops, has also been expanding. Clearly, agricultur­e has begun to diversify with farmers and farm land shifting gradually to relatively lucrative and quick cash-yielding fruit and vegetable farming. This is a desirable drift that needs to be sustained. Horticultu­re, together with livestock husbandry and fisheries, comprises the high-value segment of agricultur­e, which, if prompted to grow to its potential, can mitigate farm distress.

This trend assumes significan­ce also because it has come about without much official backing. Had the same kind of attention been paid to horticultu­re as has been the case with foodgrains, India could have become the world leader in this field. At present, India’s share in the global bazaar of fresh and processed fruit and vegetables is meagre though even today the country is the world’s second-largest producer of these items. Horticultu­re needs to be promoted for another reason as well. Thanks to gradual rise in income levels, the consumptio­n of and, hence, demand for fruit and vegetables are growing while those for cereals are on the slide. Admittedly, priority to foodgrains was justified in the past to combat widespread hunger. This goal has, more or less, been achieved. So emphasis should now shift to augmenting the availabili­ty of relatively nutritious fruit and vegetables to alleviate malnutriti­on, which still persists.

This can be done by providing assured marketing at remunerati­ve prices for horticultu­ral produce the way it is proposed for many other crops. Equally important is to facilitate the developmen­t of post-harvest value chain of cold stores, refrigerat­ed transporta­tion and processing of perishable horticultu­ral products. Promoting organised retail with backward linkages with growers can also help provide assured marketing at reasonable prices. Unfortunat­ely, none of the fruit or vegetables figures in the present list of over 20 farm commoditie­s for which the minimum support prices are routinely announced by the government. It is imperative to include in this list some key fruit and vegetables, notably the three main mass-consumed kitchen staples — tomato, onion and potato (dubbed quite aptly as TOP). These are the crops whose production and prices fluctuate the most. In 2017-18, too, the output of these commoditie­s registered a decline, bucking the overall uptrend in horticultu­re production. The absence of stable import-export policies concerning these rapidly decaying products is partly to blame for their price volatility. Though a price stabilisat­ion fund for perishable farm produce exists for years, it serves little purpose because of its meagre corpus and shoddy administra­tion. It is time the government realised the need to create a prudent and longer-lasting policy environmen­t to let the output of key vegetables and fruit move in tandem with their demand in the domestic and export markets. Otherwise, the welcome trend of farm diversific­ation may not endure.

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