TRANSPORT & MARKETING

Mains Enrichment Cards 6th September 2023

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TRANSPORT & MARKETING : REVISION CARD

INTRODUCTION:

Definition: Agricultural Produce Market Committee	APMC is a statutory market committee constituted by a State Government in respect of trade in certain notified agricultural or horticultural or livestock products, under the Agricultural Produce Market Committee Act issued by that state government.
Post Harvest Losses	While the production of various crops has reached record levels of (315 mts in 2021-22), it has not translated into increased farmer remuneration on account of weak distribution, storage & transport infrastructure, leading to a post harvest loss of 10-15%.
PDS System	The Public Distribution System (PDS) evolved as a system of management of scarcity through distribution of foodgrains at affordable prices, thus ensuring food and nutritional security in India
Agriculture Export	India's agricultural export touched a new milestone by crossing $50 billion in FY22, the highest level ever achieved for agriculture exports.

FORMULA BY theIAShub

↑ Agri Marketing = ↑ Market Access + ↑ Farmer Income + ↑ Rural Development

↑ Efficient Transport = ↑ Area Coverage + ↑ Profitability + ↓ Food Wastage + ↓ Hunger

SPEECH BY PROMINENT PERSONALITIES (PM, PRESIDENT, UN OFFICIAL et. al)/RECOGNITION IF ANY:

PM Modi: "21st century India needs post-harvest or food processing revolution and value addition amid increasing agriculture production."
Vice President: Crop to Commerce: Unleashing the Potential of Indian Agriculture Markets
Vice President: “From the problem of shortages at the time of Independence, the country is now facing a problem of plenty in cereal crops”. (Former VP, Sh. Venkaiah Naidu)

CURRENT DEVELOPMENT:

With an outlay of Rs 1 Lakh cr, Cabinet approved World’s largest grain storage plan in Cooperative sector.

To achieve “Prosperity through cooperation” the government plans to setups one Agri-cooperative in each village.

Farmer Connect Portal - platform for farmers, FPOs and cooperatives to interact with exporters (Fork to farm).

DATA/FACT:

Agriculture Export	2.5% of world agri trade. India ranks 10th in world.
Transportation	Close to 98% by roads.
Status of Mandis	Less than 50% of agri produce is sold in APMC
Farmgate Prices[RBI]	Farmgate price received by farmers: 40-60 % less than retail consumer price.

KEYWORDS:

BODY: Corporatisation of agriculture sector, Assembling-Grading-Storage-Transportation-Distribution; One Nation One Market, Paradox of hunger amidst plenty
CONCLUSION: From Band-aid solutions to Basket of "must reforms"; “Fork To Farm” Rather Than Farm To Fork; "Farm gate to Firm Gate to Home Gate approach"; From Lab To Land; From ‘Start - stop approach to exports’ to ‘Predictable Agri-export Policy

COMMITTEES RECOMMENDATIONS/NATIONAL OR INTERNATIONAL REPORTS:

Ashok Dalwai committee Report: India needs at least 30,000 farms produce markets, as against approx. 6,500 now.
Shanta Kumar Committee Report: Farmers to use negotiable warehouse receipts to take advances from banks.

GOVT SCHEMES, POLICIES AND INITIATIVE:

For Agri marketing: Electronic national agriculture market (eNAM), Gramin rural agricultural market (GRAMs), SAMPADA, Operation Greens, ‘TOP to TOTAL’, Formation and Promotion of FPOs scheme, Agri-Market Infrastructure Fund
For Agri Transport & Storage: Kisan rails, Krishi Udan scheme, Kisan rath mobile application, Village Storage Scheme, PM Gram Sadak Yojan

CONCLUSION

There is need to shift the focus of agricultural policy from production centric to creating ‘right market connects’ for boosting farmers income.
The whole of the country approach (Centre, state, local govt., private sector & farmers) is the need of the hour to create One Nation, One Market through comprehensive implementation of progressive marketing reforms
Indian Agriculture needs to move from Fields to Markets for transforming agriculture for a Prosperous India by ensuring farmer empowerment and inclusive economic growth.

TRANSPORT & MARKETING : MICRO DIAGRAMS

CHALLENGES & NEED FOR TRANSPORT INFRA