Be Mains Ready

Approach

Approach

• Give facts on agri-logistics infrastructure in India.
• Mention the shortcomings in farms to markets connectivity.
• Provide steps to be taken to curb the post harvest losses.
• Give Conclusion.

Introduction

• Agri-logistic infrastructure in India is far below the required standard and thus a major hurdle in ensuring the robust growth of agriculture sector.
• A 2011 report by a UN body, FAO, puts wastage in fruits and vegetables as high as 45% of produce (post-harvest to distribution) for developing Asian countries like India.
• The Dalwai Committee on doubling farmers’ income has estimated that the country would require 30,000 markets, comprising wholesale and rural retail markets.

Challenges in agri-logistics in India

• Limited reach of mandis: On an average, a farmer needs to travel 12 kms to reach the nearest mandi and more than 50 kms in NE India while according to the recommendations by National Farmers Commission, availability of markets should be within a 5 km radius.
• Too many intermediaries: Large distance to mandis have led to the formation of long marketing channels, with multiple intermediaries, adding to the woes of the producers of perishable agri goods.
• Inadequate infrastructure for storage: There is a wide gap between the demand and supply of agri-warehouses.
• Lack of cold storage infrastructure: India’s current cold storage capacity is barely sufficient for 10% of fruit and vegetables produced in the country.
• Lack of sufficient transportation infrastructure: Transferring goods from cultivation centres to processing centres or markets is an impediment. Due to inadequate transportation infrastructure, commodities get damaged through bruising and bad roads, spillage due to repeated loading, unloading and contamination, and heat and humidity in the absence of cold chain transportation.
• High unsold perishable agri-products- According to the Dalwai committee on Doubling of Farmers’ Income, at the all-India level, the proportions of the produce that farmers are unable to sell in the market are 34%, 44.6%, and about 40% for fruits, vegetables, and fruits and vegetables combined.
• Post harvest losses: Most of the harvested grains, fruits and vegetables are stored in traditional structures, made of grass, wood or mud, without any scientific design that cannot protect crops against pests and decay.

Steps needed to curb post harvest losses

• Using scientific storage facilities: Tech intervention through improved storage structures and logistics can reduce post-harvest losses and increase farmers’ revenues.
• Warehousing receipts, from certified warehouses, can be used as collateral for funding from banks and lending institutions to farmers to meet the post-harvest expenses.
• Use of Rail network About 1.9 percent of perishable fruits and vegetables are transported through rail, while 97.4 percent of the produce is transported through roads. This ratio needs to shift in favour of rail network. Railways are capable of covering longer distances in shorter times and can empower farmers by allowing them to expand their market reach specially the perishable crops.
• Enhance market connectivity by Strengthening e-NAM and rural haats that are now being upgraded to Gramin Agricultural Markets (GrAMs)
• Food Processing- Promote food processing industry in the country to reduce wastage of agricultural produce and minimize post- harvest losses. Schemes such as Mega Food Parks, Integrated Cold Chain, Value Addition and Preservation Infrastructure and Modernization of Abattoirs are some of the recent steps by the government in this regard.

Conclusion

Government’s aim of doubling farmers’ income by 2022 cannot be realised without addressing the issues related to agri-logistics.Issues in agri-marketing should be resolved as soon as possible with robust Agriculture Produce and Livestock Marketing Act (APLMA). Curbing post harvest losses is extremely important to provide farmers due income for their produce. Besides It will also help in ensuring food security and nutritional requirement of the nation.