New Delhi, 18: ‘In order to increase the growth rate of the agriculture sector, target objective of various subsidies, provision of an ideal market place to farmers through e-NAM, measures to improve the growth rate of food processing industries through private sector investment and methods to create more investment in the agriculture sector and thereby improve the economy of the nation, inputs have been invited from all States before 7th of August’, informed the Chief Minister, Devendra Fadnavis in a press conference on Thursday.
The NITI Aayog has constituted a High-Powered Meeting on ‘Transformation of Indian Agriculture’ and the first meeting under the Chairmanship of Maharashtra Chief Minister was held at NITI Aayog. Union Minister for Agriculture, Narendra Singh Tomar, Haryana Chief Minister, Manoharlal Khattar, Gujarat Chief Minister, Vijay Rupani, Arunachal Pradesh Chief Minister, Pema Khandu, Niti Aayog CEO Amitabh Kant and various members were also present in the meeting. Madhya Pradesh Chief Minister Kamalnath joined this meeting via video conferencing
The Prime Minister had in the 5th NITI Aayog Meet, pitched for foundational reforms in the agri-economy, leading to a complete transformation of the agriculture sector in India.
After the meeting, Shri Fadnavis addressed the media and underlined the various deliberations that took up in the meeting. He said, there is a dire need to use upgraded technology in agriculture, digitization of entire process from sowing to marketing, use of drones and satellites, focus on group farming, to take banks & financial institutions onboard and to increase investment credit is need of the hour’.
Elaborating further, he said that though the production in Fishery sector is less, however its growth rate is higher as compared to the production in agriculture sector and its growth rate. These wide disparities occurring in agriculture and allied sectors has to be contained and, for this, various subsidies provided in these sectors needs to be studied and decided accordingly. An accessible market to all the Farmers is the need of the hour. Though the Agriculture Market Produce Committees (APMCs) have been constituted, however, these have given rise to monopolistic markets, defeating the very purpose of benefiting each farmer, said the chief minister. This gives a sufficient reason to set up measures to undertake structural reforms in agriculture, including strengthening logistics, produce marketing, food processing as well as changes to the Essential Commodities Act.
Blend of Agriculture and Commerce Ministry Needed
The Ministry of Agriculture deals with the productivity, wherein the Marketing part is taken care by the Commerce Ministry. In order that every farmer be abreast of all the international information concerning him, cordial blend between both the ministries is necessary. Informing further, the chief minister said, deliberations on more coordinated efforts between Agriculture & Commerce Ministries will be taken up so as to strike a chord between Agriculture and Marketing.
Amid prevailing farm distress conditions and growing discontent due to lower income levels, the chief minister underlined the need of reforms in the agriculture market mechanisms and relaxing the norms in the Essential Commodities Act for the benefit of small traders and farmers.
Advanced Technology Needed To Improve Agriculture
Using technology as a growth medium, upgrading agriculture technologies, more use of satellites and drones, emphasis on more exports, increasing productivity, emphasis on micro irrigation, reforms for bank credit to farmers, group farming, doubling farmers income were some of the points discussed, informed Shri Fadnavis. Adding further, he said, a dynamic electronic platform is necessary, which will help in adopting measures for transformation of agriculture and in raising farmers' income and time bound implementation of agriculture sector reforms.
At the meeting there was broad consensus on reducing water wastage, promoting efficient water conservation practices with rain-water harvesting to be undertaken at the household and community level with proactive policy and investment support, informed Shri Fadnavis. Farmers must make cooperatives like Amul for supply chain distribution of Agricultural produce. With a cooperative they can share resources & afford new technology, he added. Informing further he said, the Committee deliberated on more achievements from the subsidies, proper market access to farmers, need to review Essential Commodity Act, increase in food processing growth rate which is just 1% currently. Ways to increase agriculture investment will be studied thoroughly, informed the chief minister. Issues concerning agriculture were also discussed with focus on farm loans were also discussed.
Need To Invite More Investments Under Agriculture Sector
The Chief Minister informed the media that the investment under agriculture sector is 13% wherein the investment under Non-agriculture sector is 36%. This calls for laying emphasis on inviting more investments under agriculture sector. This can be done through Contract Farming. Growth rate of Food Processing sector is 1% whereas the growth rate in farming sector is 3-4%. Underlining further he said, unless the food processing sector’s growth rate does not surpass the agriculture sector’s growth, farmers will not be benefitted. He has also called for suggestions, whether the Food Parks constituted have proved effective or otherwise.
Recommendations From States Invited Till 7th of August
As per the Committees deliberations, all the members would send their inputs by 7th August and next Meeting will be held probably on 16th August in Mumbai to take this agenda further and the chief minister expressed faith that this would go a long way in making a concrete Agriculture policy and in turn would help making a New India.
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