29.02.2016

Will double farm income by 2022: PM

Asks State governments to give priority to agriculture.

Prime Minister Narendra Modi on Sunday urged the State governments to

give priority to agriculture even as he pledged to “double the income of

farmers” by 2022, to mark India’s 75 years of independence.

To attain that goal, Mr. Modi said the Centre had adopted a scientific

approach to farming and urged farmers to utilise the various agricultural

initiatives introduced by his government.

“Today, the farmer is facing numerous challenges. The family size is

increasing and land is being divided into smaller units. The share of each

family member is shrinking. The farmer is wondering if in future he will

have enough land to divide further...but these challenges can be transformed

into opportunities,” Mr. Modi said at a Kisan Kalyan rally in Bareilly.

Fleshing out a formula for productive agriculture, Mr. Modi stressed the

need to divide farming practices into three sectors, traditional farming, tree

or timber plantation (along the periphery and borders of fields) and livestock

rearing.

“We have to import large quantities of timber each year. If farmers plant

timber on the outer edges of their fields, in 15-20 years they will see results.

You can sell a tree and use the amount to get your daughters married,” Mr.

Modi said.

Mr. Modi said that whenever States had taken interest in agriculture, an

unprecedented growth was achieved.

The Prime Minister praised the Shivraj Singh Chouhan-led government for

its irrigation and farming schemes for the turnaround in the agriculture

sector.

Stating that farmers could no longer sustain their families through farming

alone, and were now sending their children to work in cities, Mr. Modi said

to ensure the economic growth of the country, focus needed to be given to

all “three pillars,” agriculture, manufacturing and service sectors. He saw

tourism as an avenue for jobs in rural areas.

Listing the Centre’s steps to get better prices for farmers, Mr. Modi hit out at

the State governments for misusing funds allocated for the Mahatma Gandhi

National Rural Employment Guarantee Scheme (MGNREGS).

He appealed to the States to use MGNREGS funds to support agriculture.

Workshop on terrace gardening on March. 4

Tamil Nadu Agricultural University Information and Training Centre is

conducting a workshop on terrace gardening on March 4.

Time: From 9.30 a.m. to 4.30 pm. The programme will be held at No: U-30,

10th Street, Anna Nagar.

For details, call 044 - 26263484.

KVASU to launch safe-to-eat products

The Kerala Veterinary and Animal Sciences University (KVASU) will

launch the safe-to-eat products developed as a part of start-up village project

on March 1.

Products such as rice, milk, vegetables and egg will be available in the first

stage. Initially, 30 entrepreneurs of Pullazhi kole, Thrissur, are involved in

the start-up village project.

These products would be made available through different outlets of the

university and Pullazhi Kole Sahakarana Sangham, said Dr. T.P.

Sethumadhavan Director Entrepreneurship of KVASU and principal

investigator of start-up village project.

“The start-up village project envisage to produce agri and livestock products

with less than permissible limits of antibiotic and pesticide residues. It will

be ascertained in the nationally accredited laboratories of KVASU.”

Move to market organic or pesticide-free products at a premium price would

facilitate farmers to get better profit margins even with the low productivity,

he added.

The university started implementing this project in 2014-2015 under the

State plan project in the Kole lands of the district. Thrissur Pullazhi kole

land was selected for the project.

Start-up village is a unique project of KVASU, facilitating the concept of

safe-to-eat. The Directorate of Entrepreneurship at KVASU is implementing

this programme with the support of Thrissur Urban Development Authority

and Pullazhi Kole Sahakarana Sangham.

The project envisages to make convergence of agriculture, livestock and

fisheries sector and to produce safe-to-eat products. The products will be

marketed under the KVASU.

Aid by KVASU

The KVASU supplied fodder slips, de-wormers and mineral mixtures to

improve productivity. Along with dairying, measures were taken to produce

and market organic eggs, broiler chicken, vegetables, fishes, organic rice,

inputs for organic farming like dried garden manure, vegetable manure, and

biodynamic mixture.

Therambil Ramakrishnan, MLA, will launch the products on March 1, at St.

Joseph Church Hall, Pullazhi. Mayor Ajitha Jayaraj will preside over the

function.

Farmers receive solar pump-sets free of cost

Chief Minister N. Chandrababu Naidu and Union Minister M. Venkaiah

Naidu handing over the allotment letter for solar pump-set to a farmer in

Nellore.— PHOTO: By Arrangement

Chief Minister N. Chandrababu Naidu handed over allotment letter

pertaining to a solar pump-set to one of the 123 SC/ST beneficiaries, Swarna

Guravaiah, during his visit to the Genco power plant at Krishnapatnam here

on Saturday.

The Chief Minister handed over the letter in the presence of Union Minister

for Urban Development M. Venkaiah Naidu, Union Minister of Power, Coal

and New & Renewable Energy Piyush Goyal, Union Minister for

Environment, Forest and Climate Change Prakash Javadekar, and Union

Minister for Earth Sciences, Science & Technology Y.S. Chowdary.

Meenakshi Energy Private Limited (MEPL) came forward to implement the

solar initiative as part of Corporate Social Responsibility (CSR). Two Tata

solar pump-sets worth Rs. 7.3 lakh were given free of cost to eight farmers

to irrigate 10 acres of land at Dumpavaripalli of Thirumalapuram gram

panchayat as part of a pilot project.

Later, the MEPL decided to supply 121 solar pump-sets in two phases by

paying the beneficiaries’ share of Rs. 55,000 under the NTR Jala Siri

Programme partnering with the authorities in this renewable platform by

spending Rs. 66,55,000.

Imported machinery for use in Polavaram works arrives

It will help in expediting project works, says Irrigation Minister

Minister for Irrigation Devineni Umamaheswara Rao receiving the imported

equipment that will be commissioned in the execution of the Polavaram

project, in Nellore on Sunday.— PHOTO: K. RAVIKUMAR

Amid high expectations and aspirations, the heavy machinery imported from

Germany and the U.S. for the purpose of using it in the prestigious

Polavaram project works was received by Minister for Irrigation Devineni

Umamaheswara Rao here on Sunday in the presence of scores of farmer

leaders, ruling party activists, and officials.

Transported from the Chennai port, the equipment and machinery was

carried in nearly a dozen trucks on the National Highway via Nellore.

Honouring the sentiment of farmers and leaders, Mr. Umamaheswara Rao

arrived in Nellore early in the morning to formally receive the machinery

and also offer prayers as per tradition.

Former Minister and MLC Somireddy Chandramohan Reddy, MLC Beeda

Ravichandra, senior leaders Adala Prabhakar Reddy, Anam Vivekananda

Reddy, Mungamuru Sridhar Krishna Reddy, and scores of others arrived at

the venue.

Speaking on the occasion, Mr. Umamaheswara Rao held out an assurance to

the people of the State that all humanly possible efforts, including

deployment of imported heavy machinery, were being made to get the

national project of Polavaram completed by 2018 in accordance with the

wishes of Chief Minister N. Chandrababu Naidu.

Mr. Rao recalled that Polavaram was a long-cherished dream of the farmers

of the State considering the fact that it would complete the linking of the

Godavari and the Krishna river systems, thereby offering a permanent

solution to the drought and crop failure problems in the coastal and

Rayalaseema regions as well.

Polavaram was the only lifeline that would help save at least 100 tmcft of

water out of the total 1,600 tmcft of water wastefully going into the sea from

the Godavari every year, he added.

Stating that the machinery was a key to the fast execution of the project

works, Mr. Umamaheswara Rao said that the high-end equipment would be

used to construct a strong and sturdy diaphragm wall for 1.7 km Polavaram

dam with high efficiency and in less time.

Mr. Chandramohan Reddy asserted that the TDP Government was

committed to implementing its promises so much so that the Polavaram

project was being pursued with greater effort.

He termed it as a good beginning that crops could be raised in over 10 lakh

acres in Nellore district this season, thanks to better management of water

resources.

Forest Dept. reclaims 25 acres of land near Bannerghatta

With the eviction of 25 acres of encroachments on Sunday, the Forest

Department took another step towards reclaiming a “lost forest” spanning

nearly 540 acres near Bannerghatta.

Though the Bhootanahalli Minor Forest area was notified as a minor forest

in 1934, the department remained unaware of the declaration as the

notification did not “exist” as per their records. In the decades since, it had

been granted to numerous persons, farmers and even labourers involved in

the construction of the Krishnaraja Sagara, said Forest officials.

However, the area surfaced in the A.T. Ramaswamy report on

encroachments around Bengaluru in 2007. The department then filed

criminal charges, while the landowners filed civil cases against the

department.

“In many cases, the court ruled in our favour, and we have started to cordon

off these lands,” said Arun Kumar C.R., Anekal Range Forest Officer.

With eviction orders in hand, officials reclaimed nearly 25 acres after a

three-day drive which concluded on Sunday.

The drive will continue in the coming months, with the department aiming to

recover another 25 acres, said officials. While the department has so far

recovered nearly 105 acres, many land parcels are still in litigation.

Many of the farmers who have been granted land have also staked their

claim on the forest land under the Forest Rights Act, said officials.

Linking of rivers to help Theni farmers

In a first major step towards inter-linking rivers in the State, the 18th

channel will be extended to a distance of 14.1 km in Bodi block. The new

extension work will ultimately connect both Periyar and Kottakudi rivers in

the district benefitting several villages, mostly in rain-fed areas of the

district.

Extension of the 18th channel to a distance of 14.1 km in Bodi block will be

the first major step in the State in inter-linking rivers. The new extension

work will ultimately connect both Periyar and Kottakudi rivers in the district

benefiting several villages, mostly in rain-fed areas of the district.

At present, the 39 km-long 18th channel, which starts at head works of

Vairavanar check dam in Uthamapalayam block and ends at

Renganathapuram in Bodi taluk, has been used to fill up Periyar water in 44

irrigation tanks to recharge groundwater and to irrigate 4,614.25 acres at 13

villages indirectly.

Under the new scheme, the existing channel will be extended to a distance of

14.1 km at an estimated cost of Rs.52.8 crore and connected with Kovalinga

River, a tributary to Kottakudi river that was already inter-linked with

Vaigai river.

On completion of the project, this channel will interlink Kottakudi and

Vaigai rivers with Periyar river. Water diverted from Periyar river at head

works will ultimately reach Vaigai river through 18th channel and Kottakudi

river after passing through dry belts of Bodi and Thevaram blocks. The new

extension channel will be used to fill six major irrigation tanks, including

Kattabommankulam, Kottaikulam, Kamaraja Boobala Samudram Kanmai,

Kappanurani, Vannanurani and Sulapuram tank. Besides, 4,794.704 acres,

mostly rain-fed areas in Bodinayakkanur, Thevaram, Pottipuram,

Rasingapuram, Silamalai and Melasokkanathapuram will benefit.

Above all, 585 irrigation wells will also be recharged. Digging work

commenced immediately after Chief Minister Jayalalithaa laid a foundation

stone for this project through video conferencing on Saturday.

All necessary equipment and workforce were kept ready and the work would

be done on a war footing to bring it to public use, said PWD officials.

Extension of the 18th channel was a long-pending demand of farmers and its

water will assure at least single crop in a year to farmers in this block.

The PWD has been releasing 296 cusecs of water per year in 18th channel to

recharge tanks.

Moreover, the new channel will feed domestic and wild animals as it passes

along foot hills of Western Ghats.

Saving healthy cattle from going to the slaughterhouses

Healthy cattle which otherwise could have ended in slaughterhouses resting

in peace and comfort in the natural environs of Nandivana on the outskirts

ofKalaburagi.— PHOTO: ARUN KULKARNI

Nandivana, a private initiative to establish a unique cattle shed, which has

saved hundreds of healthy cattle from ending up in slaughterhouses from

drought-hit villages in Kalaburgi district and opened the eyes of the State

government to the problems being faced by distress-stricken farmers, would

be completing 100 days on March 1.

Nandivana established in an 18 acre farmland on the outskirts of Kalaburgi

which once housed more than 1,800 head of cattle is now providing succour

to 1,500 head of cattle. The uniqueness of the cattle shed, unlike in the

government-run cattle shed, is that the farmer who owns cattle is allowed to

stay in the cattle shed with his animal. Also, he is provided food three times

free.

Basavaraj Diggavi, Chief of the Smt. Sharanamma Diggavi Memorial Trust,

who established the Nandivana in the land owned by him, told The

Hindu here on Sunday that the trust now proposes to continue the initiative

till June 10 this year and beyond, if there were any delay in the onset of

monsoon.

Mr. Diggavi said, “We propose to celebrate the 100 days of Nandivana in a

different way by taking out a procession of cattle from Nandivana to the

office of the Deputy Commissioner on March 1 and felicitate Deputy

Commissioner Vipul Bansal for his help in setting up Nandivana and saving

precious, healthy cattle.”

The average expenditure in maintaining the cattle shed and providing fodder,

and food to farmers who stay there with their cattle, was around Rs. 1.5 lakh

per day. “We have now finalised purchasing fodder to meet the demand till

June 10. We have requested the district administration to provide 1,000

tonnes of fodder at the price given to farmers to partially meet the demand,”

he said.

Mr. Diggavi said that the trust had also finalised purchasing more than 2,000

tonnes of withering sugarcane in around 260 acres of land in Afzalpur,

Aland and other parts of the district to be served as fodder to cattle housed in

the cattle shed. Apart from the 1,000 tonnes of sugarcane, bagasse is being

purchased from the Mahatma Gandhi Cooperative Sugar Factory in Bhalki

in Bidar district at a rate of Rs. 1,100 per tonne as against the market price of

Rs. 1,800 per tonne.

He said that Nandivana proposes to stock fodder to meet the demand till

June 10 to feed around 4,000 head of cattle per day. “We expect the cattle

arrivals at Nandivana to increase in the days to come as the drought situation

is expected to deteriorate further,” he added.

Nandivana, a unique initiative in Kalaburagi, also serves food to farmers

who choose to stay with their cattle

Onion farmers hit by sharp fall in price

The onion farmers in the Medak district are a distressed lot due to a sharp

fall in the price of the commodity in the markes.

Dip in onion price; ryots at the receiving end

The onion farmers in Medak district are at the receiving end with fall in

prices of onions in the market. Though the government has initiated the

process of sanctioning identity cards for the onion farmers so that they can

sell the produce in Rythu Bazaars, it was stated that the benefit would be for

limited number of farmers whereas majority of them were left with no

option, but to sell it to middlemen at whatever the price they were offered.

With onions sale going for Rs. 60 per kg in the recent past and with a hope

that they would get good dividends, the farmers have opted for onion

cultivation and the cultivation area was increased from 3,850 hectares in last

year to 5,112 hectares this year. But by the time, the produce could reach the

market, the prices have fallen to the bottom level and at some places the

price is as low as Rs. 2 per kg. However, middlemen were able to sell for

better at open market locations.

Out of the total 500 farmers in Narayanakhed constituency, only 168 farmers

were issued identity cards while it was stated that remaining farmers had

already sold their produce for whatever the price they were offered.

The farmers are being allowed to sell the produce in Rythu Bazaars in the

city. ID cards were not issued to farmers from other constituencies so far. It

was estimated that there were around 2,000 farmers, who had cultivated

onions in Medak district.

A proposal was also under consideration from the administration to provide

wooden frame works for the onion farmers so that they can keep the produce

in the farm itself in dry weather and can sell it when the market was good.

Though it may take some time for implementation, the same practice was

followed in States like Maharashtra.

“We have cultivated onion in about two acres and it seems that we may not

be in a position to get even the investment we made,” said Venkata Reddy, a

farmer from Sadashivapet.

Drought impact: banks report higher rate of loan defaults

The burden of loans was cited to be the cause in most of the suicide cases by

farmers.— File Photo

Even though the State government distributed more than Rs. 1,500 crore as

compensation for farmers’ crop loss, the effect of last year’s widespread

drought appears to be far from over.

Public sector banks, most of which have reported losses in the last quarter,

have experienced a higher rate of loan defaults in the region this year due to

the drought. “The defaults are to the tune of 40 per cent this year,” said A.

Venkata Reddy, Regional Manager, Syndicate Bank, Mysuru, with

jurisdiction over Mandya, Mysuru, Chamarajanagar, Hassan and Kodagu.

Even though the banks are restructuring and rescheduling the loans as per

the Reserve Bank of India’s (RBI’s) directions, the farmers will have to

shoulder the burden of unpaid loan amount, which will not enjoy the

Centre’s interest subvention. “There is a likelihood of the farmers

approaching the moneylenders to raise funds,” Mr. Reddy cautioned.

K.N. Shivalingaiah, manager of State Bank of Mysore (SBM), said the loans

have only been restructured and rescheduled and not waived. So, the burden

of clearing the outstanding loans will be upon the farmer even if he is

eligible for renewing his loan for the next year, he added.

The Centre’s interest subvention scheme will not be applicable to

restructured loans, he said. Farm loans are eligible for an interest subvention

of 4 per cent per annum due to which the 7 per cent interest on farm loans is

reduced to just 3 per cent.

Default on farm loans is not new, but the rate has increased this year on

account of drought, Mr. Shivalingaiah said. A series of suicides by farmers

were reported from across the State including Mysuru and surrounding

regions last year and the burden of loan was cited as the cause in most of the

cases.

The high rate of interest charged by moneylenders had come under scanner

with the police booking cases and arresting private financiers collecting

usurious rate of interest. “We have activated out extension activities by

creating awareness among the farmers about the bank’s schemes to prevent

the farmers from approaching the moneylenders,” Mr Reddy said. However,

Mr. Shivalingaiah sought to clarify that the banks do not resort to strong-arm

tactics or shaming the defaulter. “At the most we may send a notice,

reminding them to clear the amount,” he said.

Foresters who made a difference

Forest Department’s book highlights their life and work and traces the

history of forests over 160 years.

In an effort to inspire the present and future generations of foresters, the

Tamil Nadu Forest Department has brought out a book – ‘Hall of Fame’,

illuminating the life and work of 25 illustrious foresters of the past.

The book begins with Dr. Cleghorn, considered the father of scientific

forestry in the country, right down to ‘Elephant Doctor’ V. Krishnamurthy

and naturalist par excellence M. Krishnan.

Through these personalities, the book traces the forests’ history over a 160-

year period. If you travel to the Tamil Nadu Forest Academy in Coimbatore,

you may have to take the Cowley Brown Road, named after its founder

principal.

Its first Indian principal C.R. Ranganathan also finds a mention in the book

for his outstanding working plans in Madras province. His theory of dual

climax about montane sholas and grasslands is a pioneering one.

If you have been to the grave of Hugo Wood at Mt. Stuart at Anaimalais

surrounded by teak, you might have seen the inscription ‘SI

MONUMENTUM REQUIRIS CIRCUMSPICE’ meaning “If you want to

see me, look around”. He had successfully carried out artificial regeneration

method of teak.

The present-day foresters still refer to V.S. Krishnaswamy’s book,

‘Thoughts on Indian Forestry’ and T. Jayadev happens to be the forest chief

with 17 years’ standing in the history of the forest department.

There are vignettes too. K. Andiappan, as an assistant conservator of forests,

was responsible for the Javadis road scheme at Tiruppattur before

independence. K Venkatakrishnan was the ‘Architect of Rubber

Plantations’.

T. Achaya the ‘Planter’ finds a place for his invaluable contributions to the

development of tea plantations, particularly the TANTEA, and, Mohammed

Ansar Badsha for his dedication to the formation and development of

wildlife sanctuaries.

Then there are others who were not part of the department. ‘Elephant

Doctor’ Krishnamurthy, a veterinarian, had treated more than 3,000

elephants in his career, captured 160 wild elephants and treated them,

oversaw the birth of 99 calves in captivity. He was the one to perform the

first post-mortem on an elephant.

M. Krishnan is known for his magical writing, delightful prose and original

thinking and one who had great respect for natural history. What is not

known is that he had conducted surveys for 14 States and their forest

departments across the country in amazing detail and depth.

One cannot miss out on Richard Radcliff, the man who stood like a Banyan

tree - protecting and nurturing the Nilgiri Wildlife Association for over 30

years or E.R.C Davidar, who fell in love with Ooty as a child and went on to

do a pioneering work on the elephant corridors of the Nilgiris and

Anaimalais “to preserve them in perpetuity”.

“This is only the beginning and more such compilation will be brought out

in future,” says a forest official involved in the project.

The book ‘Hall of Fame’ illuminates the life and

work of 25 TN foresters

Beneficiaries sell Re.1-kg rice in open market

The rice is bought by small-time traders who sell it to hotels, millers and

export to Maharashtra

The State Government has launched the ambitious Re.1-a-kg rice scheme for

the white ration card (food security card) holders to remove hunger and

provide some relief to people living below the poverty line.

Ironically, the Re.1-a- kg rice supplied by the Civil Supplies Department to

white ration card holders is sold by the beneficiaries to earn an extra buck in

the open market. Incidentally, there are small-time traders, who move in

various parts of the district collecting Re.1-a-kg rice from the beneficiaries

at the rate ranging from Rs.8 per kilogram to Rs.10 per kilogram.

In turn, the small-time traders sell rice to hotels, eatery joints, rice millers

and even export them to the neighbouring Maharashtra at the rate of Rs.12 to

Rs.16 per kilogram. The welfare scheme launched by the State Government

has come in handy to beneficiaries and small-time traders to make a living at

the cost of the State exchequer.

Incidentally, Karimnagar district, which is also native of Minister for Civil

Supplies Etala Rajender, tops in the State with highest number of food

security cards. The district has a whopping 10,98,393 food security cards -

including AAY and Annapurna cards. Every month, the government

supplies 2,03,132.17 quintals of rice to ration cardholders.

As per the 2011 census statistics, the district population is 37,76,269 but the

units (family members) enrolled in various food security cards include a

whopping 31,68,836 persons.

“Are citizens of the entire Karimnagar district poor and living below the

poverty line?,” questions Confederation of All Telangana Consumer

Organisations (CATCO) chairman N Srinivas.

Alleging that majority of ration card holders are selling the rice supplied by

the fair price shops at a premium, he demanded that the government should

weed out all the bogus cards on a war-footing and save public money. He

charged that even the government employees are in possession of white

ration cards to avail benefits of Arogyasri, fee reimbursement and other

government welfare schemes.

Officials of the Civil Supplies Department said that the beneficiaries of

ration cards are also resorting to exchange of rice for wheat and other

essential commodities. They said that they have been conducting raids and

registering cases against illegal transportation of rice supplied, but in vain.

Continue red gram procurement till March-end: Harish

The Government of Telangana has requested the Centre to continue

procurement of red gram from farmers in the State through National

Agricultural Cooperative Marketing Federation (NAFED) and Food

Corporation of India (FCI) to ensure remunerative price to producers.

In a letter addressed to Union Agriculture Minister Radha Mohan Singh,

Telangana Minister for Marketing T. Harish Rao said on Saturday that the

procurement of 10,890 tonnes of red gram from farmers by NAFED and FCI

under the price stabilisation fund (PSF) scheme for maintaining necessary

buffer stock of the commodity had helped the farmers get a remunerative

price.

In coordination with the Telangana State Agriculture Cooperative Marketing

Federation (TS-Markfed), the FCI had procured 7,400 tonnes and NAFED

had purchased an additional 3,490 tonnes of red gram from farmers creating

a good impact on the market as the measure had not only checked

exploitation of farmers by traders but had also benefited the farmers directly.

However, the Central procurement agencies had asked TS-Markfed to stop

procurement of red gram even as the produce with fair average quality was

still coming to agriculture market committees. The Central agencies’

decision would particularly affect the farmers of Adilabad district badly

since they had about 4,000 tonnes of stocks with them.

Mr. Harish Rao requested the Union Minister to extend the time of red gram

procurement till March-end to enable farmers to get their produce to the

market.

He also spoke to Union Agriculture Secretary Siraj Hussain on the issue. He

asked Telangana Rashtra Samithi (TRS) MPs to pursue the matter with the

Centre.

Viswakudi tank declared open

A view of the tank which was declared open at Viswakudi near Perambalur

on Saturday.

Built across the Kallar in Veppanthattai block, the tank aims to harvest the

jungle stream realised in the Semmalai and Pachamalai hills.

The Chief Minister Jayalalithaa, through video conferencing, inaugurated

the tank at Viswakudi built at an estimate of Rs. 33.70 crore, including Rs.

7.23 crore sanctioned by the National Bank for Agriculture and Rural

Development.

Built across the Kallar in Veppanthattai block, the tank aims to harvest the

jungle stream realised in the Semmalai and Pachamalai hills. The length of

the embankment wall is 665 metre with a capacity to store 40.67 million

cubic feet of water up to a depth of 10.30 metres.

Soil erosion will be prevented due to setting up of boulders on the banks.

The tank would ensure irrigational facility – directly and indirectly to a total

area of 1,449.41 acres. Primarily it would ensure irrigation for the Vengalam

tank ayacutdars for 421.41 acres, as the Vengalam ayacutdars are the direct

beneficiaries of the Kallar for several centuries.

Since the storage at the tank would stabilise the groundwater potential in the

area, another 2,169 acres of dry land would be irrigated, indirectly, including

169 acres through wells. Prior to the project, jungle stream was not only

wasted but also turned to be cause of havoc in the form of floods in the

down stream villages. The Public Works Department executed the work.

A release said the tank had started realising jungle water and the storage

level started rising between October 5 and December 30 last year when the

level stood at 8.5 metres with a capacity of 26.53 million cubic feet. The

storage would benefit farmers of Thondamanthurai, Viswakudi,

Annamangalam, Veppanthattai and Vengalam.

S. Meenatchi, District Revenue Officer, R.P. Maruthairaja, Member of

Parliament, R. Tamilsevan, MLA and S. Asokan, Chief Engineer, Public

Works Department were present at a function held at the tank to mark its

inauguration.

Maharashtra: Come March 18, thrust likely on agro-industry

The finance minister held wide consultations with cross-sections that

resulted in 33,000 suggestions, including ideas on how to mobilise revenue

and curtail expenditure.

The state government’s biggest challenge in the 2016-17 Budget is to

address the recurring negative growth in the agriculture sector, which,

overall, casts its bearing on the Maharashtra Gross Domestic Product (GDP).

As a result, it plans to make higher investments in agriculture, irrigation and

infrastructure to meet the socio-economic growth in the state.

The Maharashtra Budget Session will commence from March 9. The Budget

would be presented on March 18.

The Budget is being tailored to translate the gains in Make In India to work

to Make In Maharashtra’s advantage. For which, the government is

exploring non-conventional sources to mobilise revenue and also

developmental models, specially in agro-industries.

At the end of a series of meetings held by Chief Minister Devendra Fadnavis

and Finance Minister Sudhir Mungantiwar, it is evident that the government

is confronted with a difficult road ahead to match the demand for higher

capital expenditure and sustain the heavy subsidies in power and food

sectors working between Rs 15,000 crore and Rs 18,000 crore.

To begin with, the government will have to shell the interest repayment of

Rs 23,000 crore on its borrowings. The Rs 74,000 crore on salaries to

employees and Rs 20,000 crore pension is absolutely unavoidable.

Sources in the finance ministry said, “It is a tough call on whether we should

focus on financial discipline to arrest the debt at Rs 3.5 lakh crore or loosen

our purse to ensure greater investments in infrastructure, agriculture,

irrigation and roads.”

The finance minister held wide consultations with cross-sections that

resulted in 33,000 suggestions, including ideas on how to mobilise revenue

and curtail expenditure.

Sources indicated that emphasis would be to make higher allocations in

creating permanent assets, which means bigger allocations in capital

expenditure. In the year 2015-16, the total capital expenditure was

Rs 28,074 crore. However, the total Budget spending (Plan and Non-Plan)

was Rs 2.3 lakh crore last year. The state plan size was Rs 54,999 crore.

Insiders in the finance department point to marginal increase in both total

expenditure and state plan size, which is still being worked out. But gauging

the trends, it suggested that the Maharashtra Plan size would be anywhere

between Rs 58,000 crore and Rs 60,000 crore.

The decision to tap additional resources through land monetisation

continues, its immediate concerns relates to fulfilling all the time-bound

projects which it rolled in the last Budget. The revenue department estimate

is, the recent land reforms would generate up to Rs 50,000 crore.

At the internal meeting, Fadnavis indicated that when it comes to creating

permanent assets, there cannot be any compromise on agriculture and

irrigation sectors. The decision to adopt public-private partnership model in

agro-industries is also being promoted to override the agrarian crisis in the

drought-prone backward regions of Marathwada and Vidarbha.

However, the Food Security Act and concessions in the power sector to

farmers will continue. The chief minister’s flagship programme “Jalyukta

Shivar Yojna” will be scaled to the next level to mitigate drought in another

5,000 villages.

“To ensure better and effective management of funds, Fadnavis at every

meeting is stressing on integrated development model,” a senior official in

the finance department said.

PM Modi: Target to double farmers’ income by 2022

Modi said, 'From this land of Uttar Pradesh, I urge all the states to give

priority to agriculture and then see the changes.'

“Today, there are several challenges before the farmers… Is there no

solution to these challenges? These can be converted into opportunities if

you (farmers) help me and states implement the various schemes properly,”

Modi said.

Pitching for converting farmers’ challenges into opporunities, Prime

Minister Narendra Modi on Sunday urged all states to give priority to

implementation of the “roadmap” for boosting the agriculture sector with a

target of doubling the income of farmers by 2022.

Addressing a farmers’ rally in Bareilly, he sought to hardsell the recently-

launched Crop Insurance scheme, which he termed as a “protective shield”,

and talked about various other initiatives including plans to launch e-

platform for marketing of agriculture products in April as part of efforts to

ensure welfare of the farming community.

“Today, there are several challenges before the farmers… Is there no

solution to these challenges? These can be converted into opportunities if

you (farmers) help me and states implement the various schemes properly,”

Modi said.

Noting that the subject of agriculture is with states, he said “the states where

some work has been done in the farming sector have witnessed progress. But

in the states having the approach of ‘chalta hai’ (let it happen) and ‘election

time pe dekh lenge’ (will see at the time of elections), the fate of the farmers

has been left to the God. After God, there is nobody to help them.”

Underlining the vision of doubling the income of farmers by 2022, the 75th

independence of the country, Modi said, “From this land of Uttar Pradesh, I

urge all the states to give priority to agriculture and then see the changes.

The roadmap is there, you only have to implement it.” He said “there is no

criticisim” of any state and “there is no need for it” but he only wants to

“urge” them with the promise that “the Centre is ready to work shoulder-to-

shoulder” with them in the implementation of schemes. He said agriculture

should be made employment-oriented to make it attractive to the new

generation cultivators as he noted that agriculture, manufacturing and

service sectors were the backbone of the country’s economy.

Talking about problems being faced by farmers, the Prime Minister said

“filling their pockets with money” will not suffice and the need is to

strengthen their capabilities. Without make any political comment, Modi

referred to the backward Bundelkhand region of Uttar Pradesh and said it

was shameful that this belt was parched in spite of five rivers criss-crossing

it. He cited the example of BJP-ruled Madhya Pradesh, saying under the

leadership of Chief Minister Shivraj Singh Chouhan, the state has emerged

as “Number 1” in the agriculture sector for last three years consecutively

even though it was nowhere among top 10 about a decade back.

Bundelkhand has of late caught the attention of both opposition and ruling

SP as it appeared to become an election issue before the 2017 Assembly

polls. Talking about MNREGA rural job guarantee scheme, Modi, while

clearly referring to the previous UPA government, said “what happened

earlier? It was nowhere to be seen. Did you see it anywhere?” He said the

scheme could be used to provide irrigation water by making the ponds

deeper, cleaning canals, making new small wells through rainwater

harvesting. “Some states have done it. I will urge more states to do it,” Modi

said. The Prime Minister, who has been addressing farmers’ rallies in

different states including Madhya Pradesh, Odisha, and Karnataka over the

last few weeks, asked whether a pledge could be taken to double the income

of farmers by 2022.

“I am confident that my dream will come true. My dream is your dream. My

dream is with your dream. What is my dream? My dream is that by 2022,

when the country celebrates its 75th independence day, the income of

farmers should double,” he said, adding “Can we do it? Can we take a

pledge in this regard, the states, the farmers, we all?” He also spoke of the

major problems faced by farmers especilly the vagaries of weather, besides

fragmented land with poor yield to feed large families. “These challenges

should be converted into opportunities,” he said. He advocated a three-

pronged strategy under which one-third of the farming activity should be

earmarked for traditional crops like paddy, sugarcane, pulses and oilseeds,

one-third for poulty, fishery, bee-keeping and one-third for planting trees to

get timber. If this strategy is adopted, farmers would not be left to fend for

themselves even if the weather Gods got angry. Talking about irrigation

facilities, he referred to the Atal scheme for inter-linking of rivers and said

“If there is proper water management, half of the problems of farmers will

be solved and they can live a peaceful life.”

For economic development of the contry, there should be three pillars —

agriculture, industry and service sector, Modi said. “If industries are not set

up, where will sons of farmers get the job. With this we need to promote

service sector like tourism, where employment can be generated,” he said.

The Prime Minister dwelt at length on the Crop Insuance Scheme and

highlighted its elements. The revamped crop insurance scheme is cheaper

than the previous one launched in 1999 and modified in 2010.

It ensures quick dispute settlements and provides for compensation payment

direct into bank accounts. The new scheme works towards making it more

attractive for the farmers. The farmers have now to pay just two per cent of

the premium for kharif crop and 1.5 per cent for rabi while the same for

horticulture will be fixed at 5 per cent. The balance premium is to be paid by

the government – both state and central. India derives about 17% of the

Gross Domestic Product (GDP) from agriculture and considering the

volatility in farm output due to vagaries of nature often resulting in lower

production, the new crop insurance scheme approved by the government is

expected to help small and marginal farmers in a big way.

Modi regretted that for the sake of higher yield, massive doses of chemicals

and harmful fertilisers were used. “This atrocity on ‘dharti mata’ should be

avoided…we have no right to commit such an atrocity,” he advised the

farmers. Stating that fertiliser shortage and blackmarketing has ended, Modi

said earlier the PM Office used to get letters from CMs and most of them

were for demanding fertiliser. “The Centre did not permit blackmarketing of

urea. Now no CM writes to me for fertiliser,” he said. Modi said on

Ambedkar Jayanti on April 14 he would launch national agriculture market

“e-platform” for farmers enabling them to know market price of their

produce through mobile phones. Earlier, Union Home Minister Rajnath

Singh told the gathering that the NDA government had raised the amount of

compensation to farmers who suffered due to vagaries of nature. “We have

simplified the procress of giving them central assistance,” he said.

LIVE Union Budget 2016: Arun Jaitley may increase service tax from

14.5 to 18 per cent

Budget 2016 LIVE: Arun Jaitley will be walking a tightrope as he is

expected to strike a balance between announcing tax cuts to industries and

providing relief for farmers under distress

Union Finance Minister Arun Jaitley Monday, presenting his third budget, is

expected to announce some big ticket reforms to give the economy a push.

Jaitley will be walking a tightrope as he is expected to strike a balance

between announcing tax cuts to industries and providing relief for farmers

under distress. The finance minister is also vary about implementing the 7th

Pay commission recommendations as he had set a target of reducing the

fiscal deficit to 3.5 per cent by next year.

On the tax front, Jaitley may increase service tax from 14.5 to 18 per cent

and levy a new cess, similar to the Swachh Bharat cess, to fund initiatives

such as Start-up India.

With elections coming up in four states, the government may hike Minimum

Support Price for procuring farm produce and announce a new insurance

scheme that will shield farmers from weather-related crop losses.

LIVE UPDATES FROM UNION BUDGET 2016

9:50 am: Do state budgets matter more than the Union budget?

9:45 am: Arun Jaitley has reached the Parliament premises.

9:30 am: Prime Minister Narendra Modi said he has an examination today

and that he is ‘fully confident’. Read story here

8.52 am: Here is all that you need to know about Union Budget 2016-17 that

will be tabled in the Parliament on Monday.

8.45 am: IT and telecom hardware makers expect the government to extend

differential duty structure on mobile phones for 10 years while bringing

personal computers under the regime to give a boost to domestic

manufacturing.

8.30 am: “Hangout” with Arvind Panagariya, vice chairman of Niti Aayog

and Amitabh Kant, CEO of NITI Aayog on Wednesday and Thursday as

they explain the intricacies of Union Budget and explicate its real impact on

various crucial sectors of the economy.

Jaitley’s tough task: Budget should please both farmers and investors

Finance Minister Arun Jaitley, seated right and members of his team pose

for a photo on the eve of annual budget presentation in the Parliament in

New Delhi, India, Sunday, Feb. 28, 2016. (AP)

Finance Minister Arun Jaitley faces a tough task of balancing the needs of

farm sector as well as the industry when he presents his third and

challenging Budget tomorrow as he seeks to garner resources to boost public

spending for higher growth amid global headwinds.

On the income tax front, the Budget may continue with the status quo on the

tax slabs while it may tinker with the exemptions.

Rising rural distress because of back-to-back droughts have put considerable

pressure on the Finance Minister to spend more on social schemes, while at

the same time he has to win back foreign investors craving for faster

reforms.

His difficulties have been compounded by the huge payout of Rs 1.02 lakh

crore that will become necessary on account of the 7th Pay Commission

recommendations for government employees. How much he does this

without compromising on the previously-announced goal of lowering the

fiscal deficit to 3.5 percent of the GDP next year is to be seen.

Jaitley is also likely to fulfil his last year’s promise of gradual reduction of

corporate tax from 30 per cent to 25 percent over four years. It is expected

that he may begin the exercise in the Budget tomorrow that may be

accompanied by withdrawal of tax exemptions to keep the exercise revenue

neutral.

To shore up revenues to meet the increased expenditure, the finance minister

may need to increase indirect tax rates or introduce new taxes. Service Tax,

raised to 14.5 percent last year, may see a hike to prepare for the level of 18

percent being envisaged in the GST. Further, new cess to fund initiatives

such as Start-up India or Digital India and other programmes is being

speculated, similar to the Swachh Bharat cess levied last year.

On his agenda would also be the revival of the investment cycle. While

capital expenditure in 2015-16 increased by 25.5 percent over last fiscal, as a

percentage of GDP it is still stuck at 1.7 percent and needs to go up to 2

percent. He will have to steer spending towards sectors like infrastructure

and raise public spending in view of private investment not picking up at

desired pace.

It remains to be seen if Jaitley will loosen his purseIt remains to be seen if

Jaitley will loosen his purse strings or continue to consolidate. In the event

the government decides to increase spending, it would be a challenge to

ensure that the funds are channelised into capital investments.

“Even if budgetary consolidation continues, India’s fiscal metrics will

remain weaker than rating peers in the near term,” analysts at Moody’s

Investors Service said earlier this month.

Foreign investors have sold a net $ 2.4 billion in shares this year, the second-

biggest outflows in Asia excluding China. The Budget will need to focus on

the commodity driven sectors by providing protection measures, since these

sectors are stressed due to the collapse in global demand and oversupply.

Jaitley has shifted the proportion of expenditure toward infrastructure and

away from subsidies in the last two Budgets.

Besides implementation of the 7th Pay Commission, he also faces challenge

of bank recapitalisation. With agriculture reeling from drought and lower

crop prices, the government is likely to retain spending on the rural

employment guarantee programme, expand crop insurance and boost

irrigation outlays.

On reforms, he may open more sectors to foreign investment and give tax

breaks for labour-intensive sectors such as leather and jewelry. In view of

sharp fall in crude prices and low probability of increase over the next one

year, the government may reintroduce customs duty on imported crude,

petrol and diesel, which was removed in 2011, when crude prices had

increased over USD 100 per barrel.

The government could increase import duty on gold, since gold imports have

increased over the year and has partly contributed to the trade deficit and

weak rupee on account of forex outflows.

Pretty cool actually: How farmers across the country are innovating

Gurwinder Singh Sohi, 35, grows gladiolus, which he fondly calls ‘glad’, in

Punjab’s Nanowal village. The flower sticks fetch him Rs 2 lakh an acre —

they sell for up to Rs 7 each in the wedding and festive season (keshav

singh/HT)

From mangoes in Maharashtra to wheat in Haryana and apples in Kashmir,

climate change has adversely affected agriculture produce across India. In

the backdrop of less rainfall and resultant farmers’ suicides, experts are

urging farmers to adopt newer technologies and think out-of-the-box.

Interestingly, a few Indian farmers are doing just that, and their efforts seem

to be bearing fruits.

Strawberries, known as the mainstay of western Maharashtra, are being

grown in Kashmir on what was once an apple orchard and a paddy field. A

village in arid Rajasthan is now home to towering teak trees. A farm in

Madhya Pradesh is teaching world experts the ropes of ‘natural farming’, a

farming method, which, unlike organic farming, uses only natural

ingredients — not even organic fertilisers and pesticides. In Tamil Nadu, a

management consultant-turned-farmer is using hydroponic farming to

produce exotic kale and spinach for consumption at fine-dining restaurants

in the metros. Growing gladiolus flowers is in in Punjab, so is marketing

produce via WhatsApp groups.

Individually initiated farm-level innovations can be seen as part of a broader

response to the challenges faced by farmers, says Sudha Narayanan, an

expert in agriculture and malnourishment, and a professor at Mumbai’s

Indira Gandhi Institute of Development Research. “Low returns from

growing traditional crops, limits imposed by small landholdings and

dysfunctional land markets, growing risks associated with climactic factors,

and volatile and unpredictable markets, are some of the challenges farmers

face,” says Narayanan. “At one level, perhaps, this is also a response to the

recent failure of policy makers to put agriculture on a sustainable growth

path.”

PUNJAB

A mini-Holland, its tech-savvy farmers

The 10-acres of gladiolus growing on Gurwinder Singh Sohi’s farms seem

more at home in Holland than in Punjab’s Nanowal village. The burst of

colours breaks the monotony of a landscape that is otherwise dotted with

wheat fields.

Sohi, 35, is preoccupied, though — the ‘glad’, as he fondly calls his

gladiolus plants, have to be cut before they flower, since florists need ones

with a shelf-life of at least two weeks.

His start-up RTS Flowers transports flowers to dealers in Chandigarh,

Ludhiana and Patiala. The gladioli sticks and bulbs are marketed through a

Facebook page, Indiamart, and even via WhatsApp.

The sticks fetch him Rs 2 lakh an acre — they sell for up to Rs 7 each in the

wedding and festive season. After a one-time investment of Rs 1.6 lakh an

acre, the seeds can be produced by the plants themselves. With a shelf-life of

eight years, they bring him a profit of another Rs 1.6 lakh a year per acre.

This profit, though, has come in after many failed attempts, which included

growing mushrooms, selling sweets in a neighbouring town, horse-breeding

and customising jeeps. It was only in 2008 that Sohi switched to growing

gladiolus, learning about subsidies on it offered by the state horticulture

department.

Last year Sohi launched a 12-member farmers’ club, wherein for an annual

fee of Rs 5,000, farmers can access power sprays and seed drills, and are

encouraged to cultivate organic turmeric, pulses, maize and basmati to cash

in on the boom in the organic food sector. Members also market their

produce via WhatsApp groups.

Next on Sohi’s list is a website to compete with the big players. “Big stores

are making a killing out of organic food,” he says. “Direct marketing will

ensure that both the farmer and the consumer get a fair deal.”

Input by Sukhdeep Kaur

KASHMIR

Strawberries are the flavour of the season

Known for cultivating crunchy, juicy apples, Kashmiri farmers, at least in

Srinagar’s Gassoo village, are now growing strawberries, and making huge

profits.

It all started with a local farmer, 70-year-old Haji Abdul Ahad Mir, who

started growing strawberries, mainly as an experiment, on a small patch of

land more than a decade ago. The crop yielded benefits. Next, Mir converted

more than 10 hectares of his land into a strawberry field. “An apple tree

gives fruit once in 12 years, while strawberry is cultivated every year,” says

his son Tariq Ahmad Mir. “Strawberries don’t need too much sun or rain,

making their cultivation suitable in Kashmiri weather. We cultivate in

August and harvest around May. The fruit is picked almost every day for

about a month.”

Haji Abdul Ahad Mir, 70, picking strawberries at his farm in Srinagar’s

Gassoo village. Earlier grown in kitchen gardens for personal use,

strawberries have now become this village’s primary crop. (Hindustan

Times )

From Rs 70,000 per year, the Mirs now earn 3 to 4 lakhs, supplying mainly

to the local market. Such profit margins are attracting even paddy farmers.

In Gassoo itself, about 100 hectares of what were paddy fields, and were

home to tomatoes, spinach, radishes and turnips 12 years ago, are currently

under strawberry cultivation, with an annual production of 1,500 tonnes.

Recently, the state’s horticulture department is now encouraging farmers to

process the fruit into jams and drinks.

For the Mirs, the crop has brought them both money and fame. Haji Abdul is

the first Kashmiri to win the Taraqi Yafta Kisan Award by Delhi’s Indian

Agricultural Research Institute in 2009. He also received the Chaudhary

Charan Singh Award in 2010.

Tariq feels their success has led to strawberries now being the main crop in

their village. “Earlier strawberry was grown in kitchen gardens for personal

consumption. Now almost 80% of the land in our village is under strawberry

cultivation,” he says. By Toufiq Rashid

Madhya Pradesh

A ‘natural farm’ near narmada

Krushi Teerth, a nondescript farm on the banks of river Narmada, about

130km from Indore, has become a mecca for organic farming enthusiasts.

So what’s so special about this farm?

“More than the farm, it’s about my style of farming,” says its owner Deepak

Suchde, 66.

“We call it NatuEco science, which means a natural and eco-friendly method

of farming. It is different from organic farming because we don’t even use

organic manure and biological pesticides.”

Even as organic farming — agriculture that excludes the use of chemical

fertilisers and pesticides — gains ground, some farmers, like Suchde, have

gone one step further and taken up natural farming. It uses multi-crop

patterns and biomass to enrich the soil.

More than 500 people, including students and agriculture experts from

countries such as Israel, France, Germany, the Netherlands and the UK, visit

Krushi Teerth every year.

Deepak Suchde, 66, surrounded by sweet lime trees at his multi-crop farm,

Krushi Teerth, in a village near Indore’s Dewas town. No chemicals, or even

organic fertilisers, are used in this all natural farm. (Arun Mondhe/HT)

Suchde, a Gujarat native who has spent decades farming in rural

Maharashtra, moved to Madhya Pradesh in 2006 to set up this half-acre

model farm in Bajwada village, that’s now home to more than 135 crops,

including vegetables, fruits, spices, herbs and food grains.

“Nothing is special in the farm except for the soil, which is not tilled or dug

up,” says Suchde, urging visitors to smell the soil and feel its texture. The

biomass — leftover leaves and stems after a harvest — is crushed and mixed

back with the soil at regular intervals to replenish it.

“It is clearly visible how a barren land was converted so green and made

self-sufficient in its biomass production. The natural farming being done by

Deepak Suchde is outstanding and it needs to be extended to all corners of

the country,” says Ashok Patra, director of Indian Institute of Soil Science,

Bhopal.

Manoj Ahuja

Rajasthan

Towering teaks in an arid land

As a tea planter in Darjeeling, Radhe Shyam Tiwari, 78, loved being

surrounded by teak trees. So when he retired and moved to Daulatpura, a

village 20km from Jaipur, in 2000, he wanted to plant teak saplings on the

periphery wall of his six-acre farm, where his sons were already growing

lemon, wheat and gooseberry.

To procure the saplings, Tiwari approached the Jaipur forest department but

his request was turned down. “I was told that I must be crazy to think that

teak could grow well in a place as hot as Jaipur,” he says.

Not satisfied with the response, Tiwari decided to take matters into his own

hands.

Radhe Shyam Tiwari, 78, owns 185 teak trees in Rajasthan’s Daulatpura

village. Back in 1995, he was called ‘crazy’ to think that teak could survive

the region’s harsh climactic conditions (himanshu vyas/HT)

“I brought 250 saplings, for Rs 10 each, all the way from Darjeeling and

planted them on my farm way back in 1995,” he says, walking in the midst

of the now two-decade-old trees.

Of the 250, 185 survived.

“Back then, I thought if teak can grow in neighbouring Madhya Pradesh then

why not near Jaipur? So I took up the challenge, and the results can be

seen,” he says, smiling.

Was it a smooth ride? “It was a challenge to grow teak in Jaipur, as the

support and ecosystem were lacking,” Tiwari admits.

Plus, it takes about 20 years for a teak tree to mature. But with a life of more

than 100 years, teak also fetches a good price. “At present, the cost of teak is

Rs 3,500 per cubic feet. I am not looking to sell my trees, but yes, I am a

proud owner of 185 teak trees and have an asset of Rs 185 lakh,” he says.

“Maybe my grandsons will reap the benefits of what I have sown.”

For now, Tiwari has distributed more than 500 teak saplings to farmers in

and around his farm. “Teak trees have become a common sight in

Daulatpura,” he says P Srinivasan

Tamil Nadu

Kale cultivation in mineral-rich water

How do you grow exotic moisture-rich greens on an arid land? The answer

was simple for farmer P Sai Krishna — hydroponic farming, or to grow in

water and not soil.

“I was told that I will fail in this barren land,” says Krishna, 70. “The area

gets baked in temperatures between 40 °C and 45 °C most times of the

year.”

But with his farm, Super Greens India, Sai is set to change things.

S Satyanarayanan, CEO of the Chennai-based Fruitmarts, markets Super

Greens’ produce, mainly to five-star hotels (U Karunakaran)

His sprawling 1,000-sq ft greenhouse — located in Edayarpakkam, in

Sriperumbudur, a 70-km drive from Chennai — is home to exotic varieties

of spinach, Russian and American kale, and a wide variety of chillies, basil

and pak choi.

The reason behind growing these greens, which typically need cooler

climates, was to cash in on their demand at five-star hotels and fine dining

restaurants, where cuisines like Thai and Italian have become a mainstay.

“It had to be hydroponic farming. It uses no pesticides and instead of soil —

that can often be pesticide-contaminated — we use mineral solutions. The

water is treated at an RO plant and solar energy is our source to do reverse

osmosis to reuse water. It is , in fact, better than organic farming,” he adds.

The method is quite simple. First the seeds are sown in coir peat (made of

coconut husk) and rice husk, for two weeks and then saplings are transferred

to cups filled with foam sponge. For a month, these are placed in a

horizontal floating system that contains nutrient-rich water and then placed

in the pipes that are vertically located.

“This has led us to be able to control temperature, sunlight and humidity,”

says Krishna, who feels the cost-effective technique also uses minimum

space. “Cultivation is now a 365-day-affair round-the-clock.”

Next on Sai’s list are a variety of chillies, tomatoes — black, white, red; and

peppers. KV Lakshmana

Growing trouble for Indian farmers

They need higher fertiliser subsidies and a state-funded insurance scheme

for all crops

Indian government action to increase spending on irrigation and crop

insurance is not enough to end a cycle of indebtedness that has led to

thousands of farmer suicides, and a complete overhaul of credit and

subsidies to farmers is needed, activists said.

Drought in many parts of the country has hit rice, cotton and other crops,

and lower world commodity prices have added to the farmers’ plight.

More than half of India’s farming households are in debt, owing banks and

moneylenders hundreds of crores of rupees, despite numerous loan write-

offs by successive governments.

Balancing act needed

Tens of thousands of farmers across the country have killed themselves over

the past decade, several farmers’ lobbying groups said.

Finance Minister Arun Jaitley, who presents the Budget for fiscal 2016-17

on February 29, has to balance stimulating economic growth with aiding

farmers and poorer sections of society.

Farmers’ groups have been demanding better monsoon forecasts, higher

fertiliser subsidies and a state-funded insurance scheme for all crops, to help

farmers improve yields and help prevent crop failures.

“The need of the hour is a focus on the dying farmer community," said

activist Kishor Tiwari, who heads a task force set up to recommend action to

tackle farmer suicides in Maharashtra, which accounted for more than half

of all suicides among Indian farmers in 2014. “Debt is a core issue, and it

needs a long-term plan to resolve it,” he said.

While inter-generational bonded labour in the farming community is no

longer as common as before, the number of poor and landless workers who

are in debt bondage is rising, particularly in agriculture, brick kilns and stone

quarries, activists say.

Indian farmers seldom own the land they cultivate, and often take loans to

buy seeds and fertilisers. Only about one-tenth of India's 263 million

cultivators take out crop insurance, because of the high premiums.

Direct cash subsidies

Unpredictable weather and low crop yields have made farming unviable for

many. Financial assistance provided by the government usually doesn’t

cover the losses, and some farmers have migrated to urban areas for low-

paid jobs, even selling their blood to make ends meet.

Tiwari, in a plan submitted to the Maharashtra government, has

recommended direct cash subsidies for farmers instead of the current

indirect agriculture credit.

He also suggested the central and state governments help underwrite full

crop insurance cover and promote the adoption of organic farming methods

in drought-prone districts, to help restore soil quality and benefit from the

higher price of organic produce, even though yields are lower. A total of

5,650 farmer suicides were recorded in India in 2014, more than half of them

in Maharashtra, according to the National Crime Records Bureau.

Madhya Pradesh, Telangana, Chhattisgarh and Karnataka also had large

numbers of farmer suicides.

The Cabinet last month cleared a proposal for the country’s first major crop-

damage insurance scheme.

The government has said it will reduce premiums to be paid by farmers, and

ensure faster settlements.

Delays in estimating crop damage and paying claims are a big challenge,

said Sunita Narain, director of non-profit Centre for Science and

Environment in New Delhi.

Use of new technologies

The government must encourage the use of new technologies, including

remote sensing and mobile-based image capturing systems to improve yield

data and claims processing, she said.

“Insurance coverage has to be universal and payouts enough to cover

losses,” she wrote in a blog.

Farm output contributes about 15 per cent to India’s $2-trillion economy,

and farmers and rural communities are a large and powerful vote bank.

Politicians have often promised to waive farmers’ loan repayments, but have

not addressed the underlying reasons for their chronic indebtedness, Tiwari

said.

“Loan waivers are not the solution; it is like a simple dressing for a cancer

tumour. You need to excise the tumour and address the cause of the

disease,” he said.

Thomson Reuters Foundation

Spices Board plans to set up Spice Park near Unjha in Gujarat

Awaiting land allocation from state government

Farmers, traders and exporters of seed spices in Gujarat would be a happy

lot. The Spices Board India announced its intentions to set up Spice Park at

Unjha with an objective to provide processing infrastructure to the small and

medium players.

Out of the three Spice Parks planned to be set up in the country, two will

come up at Kota in Rajasthan and Rae Bareli in Uttar Pradesh in a year's

time. However, the one planned near Unjha may take loner time and the

Board is awaiting the state government's decision on land allocation for the

same. It has asked for 20 acres of land from the state government to set up

the Park.

"We want to set up the Spice Park preferably closer to Unjha, which is the

largest seed spices trading market. The Spice Park will have common

facilities like cleaning, sorting and labelling etc that will benefit the small

and medium spice traders from the region," said A Jayathilak, chairman,

Spices Board India, on the sidelines of the 13th World Spice Congress 2016

here.

The total project cost is estimated to be around Rs. 20 crore except the land

cost. Already six such Spice Parks are operational in the country with focus

on region-specific spices.

Also, the Board has set up Spices Development Agency (SDA) at Unjha for

the seed spices - cumin seed (jeera), fenugreek seeds (methi), coriander

seeds (dhana) and fennel seeds. Out of India's spices exports of

about Rs. 15,000-16,000 crore, seed spices exports value at around Rs. 3,000

crore, of which 90 per cent is produced in Gujarat.

SDA will look into the coordination between State and Central Agencies for

development of production and marketing of the seed spices found in and

around Gujarat. "It would help farmers adopt better farming practices,

processing and packaging methods as per the international standards. This

will fetch better value of their produce in the international market," said

Jayathilak.

Earlier Jayathilak had announced setting up of regional quality analysis lab

at Kandla in Kutch - first for Gujarat. "This will link the entire chain of spice

from production to quality testing and exports," he said.

What commodity markets want from FM

Traders seek, among other things, CTT abolition to improve volumes

The Indian markets are gearing up for the big event today — the Union

Budget. We take a look at what the commodity market participants expect

from it.

Commodity Transaction Tax

If there is one wish that tops the list for almost all participants in the

commodity sector, it is the removal of the commodity transaction tax (CTT)

that was introduced in July 2013. This tax is levied on the sale transaction of

the commodity futures except for exempted agricultural commodities such

as chana, soyabean, turmeric, etc.

The introduction of this tax has taken trading volumes sharply lower in both

the Multi Commodity Exchange (MCX) and the National Commodity and

Derivatives Exchange (NCDEX). PK Singhal, Joint MD, MCX, says, “CTT

has increased the cost of trading derivatives by almost 300 per cent and

trading volumes have come down more than 50 per cent after its

introduction.”

Singhal also adds that the increased trading cost has moved the domestic

trading business to offshore markets like Dubai and Singapore. Data from

MCX shows that trading volumes have declined from an average 149 lakh

crore in 20011-12 to 54 lakh crore in 2014-15. In NCDEX, the volumes

have slumped from an average 18.22 lakh crore in 2011-12 to 10.22 lakh

crore in 2014-15.

Some of these volume declines are also a result of the commodity price

meltdown. NCDEX too expects some relief on CTT for processed agri-

commodities like sugar and soyaoil.

Import duty change demands

Hareesh V, Research Head, Geofin Comtrade, says the gold and gem

industry is expecting a reduction in import duty on gold to 2 per cent from

10 per cent.

Increasing the gold import duty in August 2013 was one of the several

measures the government had taken in order to bring down the current

account deficit (CAD). India’s CAD has improved from $21.8 billion in

June 2013 to $8.2 billion as of September 2015.

Other expectations

Hareesh adds that in order to protect domestic growers from cheap imports,

the rubber industry is expecting an increase in the import duty on natural

rubber to 40 per cent from 25 per cent. Similarly, an import duty cut to 5 per

cent from 30 per cent is expected for oilseeds.

Sushil Sinha, Head of Karvy Comtrade, wants the Centre to introduce

measures to help companies hedge their commodity exposure risk. He also

wishes that the Centre allocates more fund and speeds up the process of

setting up a national unified agri-commodity market.

He also wants improvement to infrastructure in terms of warehouses, testing

labs, research, etc. Sinha believes participation in the commodity market will

improve if a clearing and settlement corporation comes up for commodities,

like the one prevailing for equities.

NCDEX wants the Budget to introduce measures to allow banks and asset

management companies to invest in the commodity futures market.

Also, with commodity market regulation being taken over by the Securities

and Exchange Board of India, NCDEX expects the introduction of new

products like options and new indices, going forward.

Economy Survey suggests reform in fertiliser subsidiary package

Universal direct benefit transfer (DBT) to farmers based on biometric

identification with physical off take can reduce diversion of urea, says the

survey

According to the Economic Survey, presented by the Finance Minister Arun

Jaitley, the Government budgeted Rs 73,000 crore - about 0.5 per cent of

GDP- on fertiliser subsidies in 2015-16. Nearly 70 per cent of this amount

was allocated to urea, the most commonly used fertilizer, making it the

largest subsidy after food.

Distortions in urea are the result of multiple regulations. These distortions

feed upon each other, and together create an environment that leads to a

series of adverse outcomes.

First, urea is only subsidised for agricultural uses. “Subsidies like this violate

what is known as ‘One Product- One Price’ principle. Black market effects

are aggravated by further regulation- canalisation. Second, the black market

hurts small and marginal farmers more than large farmers since a higher

percentage of them are forced to buy urea from the black market. Third,

some of the urea subsidy goes to sustaining inefficient domestic production

instead of going to the small farmer.

“A reform package would address each of the problems identified - the three

leakages and skewed mix of fertiliser use - with the primary aim of

benefiting the small farmer,” said Jaitley.

First, decimalising urea imports - which would increase the number of

importers and allow greater freedom in import decision - would allow

fertiliser supply to respond flexibly and quickly to changes in demand. This

would be timely as climatic fluctuations are making it much more difficult

for governments to forecast agriculture conditions and centrally manage

supply.

Second, bringing urea under the Nutrient Based Subsidy program currently

in place for diammonium phosphate (DAP) and Muriate of Potash (MOP)

would allow domestic producers to continue receiving fixed subsidies based

on the nutritional content of their fertiliser, while deregulating the market

would allow domestic producers to charge market prices. This would

encourage fertiliser manufactures to be efficient, as they could then earn

greater profits by reducing costs and improving urea quality. And this in turn

would benefit farmer.

As per Economic Survey, direct transfers in fertilisers can lead to reduction

in leakages to the black market. The government’s policy of neem-coating

urea is a step in exactly this direction. Neem-coating makes it more difficult

for black marketers to divert urea to industrial consumers. Technology could

be further used to curtail leakages and improve targeting of fertililser

subsidies. Fertiliser is a good sector to pursue JAM (Jan Dhan, Aadhaar,

Mobile) because of a key similarity with the successful LPG experience: the

centre controls the fertiliser supply chain.

The relatively low levels of last-mile financial inclusion in much of rural

India also suggest that it would be risky to replace subsidised fertiliser with

cash, due to beneficiaries’ weak connection to the banking system.

“A preferred option would be to set a cap on the number of subsidised bags

each household can purchase and require biometric authentication at the

point of sale (POS). Requiring biometric authentication would make it

harder to conduct large-scale diversion. Imposing a cap on the total number

of subsidised bags each farmer can purchase would improve targeting. Small

farmers would still be able to get all their urea at subsidised prices but large

farmers may have to pay market prices for some of the urea they buy,” said

the Economic Survey.

The fertiliser subsidies, which are very costly (accounting for about 0.8 per

cent of GDP), encourage urea overuse that damages the soil, undermining

rural incomes, agricultural productivity, and thereby economic growth.

Reform of the fertiliser sector would not only help farmers and improve

efficiency in the sector. Decimalising imports will ensure timely availability

of fertilisers, and universal Direct Benefit Transfer (DBT) to farmers based

on biometric identification with physical off take can reduce diversion of

urea.

Budget 2016: Higher spending on agriculture may leave investors

disappointed

In a strategy shift, Modi government's Budget could change from its focus

on infrastructure spending and market reforms; investors may be

disappointed

Prime Minister Narendra Modi (R) listens to Finance Minister Arun Jaitley

during the Global Business Summit in New Delhi. Photo: Reuters

Prime Minister Narendra Modi wants the Budget unveiled on Monday to

appeal to India's rural poor, officials familiar with his thinking said, in a

strategy shift that could boost his ruling party in coming state elections but

disappoint investors.

His government is expected to increase spending on agriculture, health and

social sectors, a change from its focus on infrastructure spending and market

reforms, they said.

“We will have to reform the agriculture markets, invest more resources to

deal with the agrarian crisis - all of this could be an integral part of this

year's Budget," said Ramesh Chand, a member of the planning body Niti

Aayog that gave the finance ministry inputs.

"The Budget could provide resources to expand the coverage and

effectiveness of schemes such as crop insurance, food and fertilizer subsidy,

and irrigation," Chand told Reuters.

On Sunday, a finance ministry spokesman could not be reached for comment

on the Budget themes.

Modi's landslide election in 2014 raised hopes he would draw a line under

India's socialist past, cut welfare and reduce the government's role in

business.

In its first two years in power, the government splurged on roads and

railways at the expense of welfare programmes in the hope of creating

economic stimulus.

Modi's gamble was that infrastructure investment would eventually generate

dividends for the poor and the rural community, which makes up most of

India's 1.3 billion population.

Back to back droughts

But rising rural distress after back-to-back droughts and a recent heavy

election defeat in a largely agricultural state have upset that calculus.

It has also left the government open to attacks by the opposition, who use a

Hindi phrase to deride Modi's administration as a "suit and boot"

government that only works in the interest of the rich."He is starting all over

again," an official familiar with Modi's thinking said. "The image of Modi as

a supporter of big business has been damaging. This Budget will change that

narrative."

The Budget is expected to counter criticism ahead of key elections in

heartland farming states such as West Bengal this year and Uttar Pradesh

next year.

But the switch in focus is likely to disappoint investors and

markets.Increased social spending may hike India's closely watched fiscal

deficit to 3.8% of GDP next financial year

from a target of 3.5%, one official said. "The markets and rating agencies

will be disappointed if the deficit reaches that level," said D.H. Pai

Panandiker, president of RPG Foundation, an economic policy group in New

Delhi.

Last week, yields on India's most-traded bonds touched their highest level in

18 months and the rupee slumped on fears of a higher deficit level.

'Villages, poor and farmers'

The Hindu nationalist Rashtriya Swayamsevak Sangh (RSS), the powerful

ideological parent of Modi's Bharatiya Janata Party (BJP), has also been

urging the government to do

more to help distressed farmers.RSS officials last month told Finance

Minister Arun Jaitley to do more for them in a four-hour meeting only

scheduled for one, people familiar with the talks said.

"It was for the first time we felt that Jaitley was keen to understand the crisis

in farmlands," one RSS official said.

One government official said the Budget's focus will be on "gaon, garib and

kisan (villages, the poor and farmers)."

The government has been advised to double spending to about $1.2 billion

on a crop insurance programme and boost irrigation expenditure, officials

said.

It may launch a programme to directly transfer fertilizer subsidies to farmers'

bank accounts, they said. Another official said there may be a new $870

million programme for farmers, where scientists would test their soil and

then recommend fertilizers to boost agricultural yields.

The government has also been considering increasing the subsidy to fund the

world's largest food for the poor programme by 13% to Rs 1.4 lakh crore

($20.4 billion).

The administration already signalled it is ready to pursue a more populist

path with last week's annual railway Budget, when it shied away from

raising passenger train fares.

"The Budget's central theme will be to merge voters' expectations with our

political ambition," a senior BJP leader and a minister in the central

government said.

Modi asks farmers to convert challenges into opportunities

'I wish to double the income of farmers by 2022 when India will celebrate 75

years of its Independence,' Modi said

Prime Minister Narendra Modi on Sunday at a farmer's ralley asked them to

convert the challenges into opportunities, calling them pride of the nation.

"There are a lot of challenges before our farmers, but these challenges can be

transformed into opportunities," Modi said.

Prime Minister Modi also requested all state governments to give utmost

priority to farmers' issues.

"I appeal not only to the Uttar Pradesh Government but to all the state

governments to give utmost priority to addressing farmers' issues and issues

related to agriculture," said Prime Minister Modi.

"I wish to double the income of farmers by 2022 when India will celebrate

75 years of its Independence," he added.

Prime Minister Modi emphasized that the farmers today want at least one

member of their family to take up job because they know that the family

cannot just sustain on agriculture.

"Since our government has come to power, we have made efforts to bring in

reforms in agriculture through science," he added.

Commodity picks- 29 February 2016

Wheat & Mustard

Wheat

Wheat is at Rs 1,728 a quintal in the Delhi market and is expected to trade

lower, towards Rs 1,700 a quintal in a couple of weeks, due to crop arrivals

in central and north India. Steady release of wheat by the government would

also keep prices lower

Mustard

Jaipur mustard seed prices are currently at Rs 4,283 a quintal. The harvest

has started and output is expected to be better than last year's. Thus, prices

are expected to move towards Rs 4,200 a quintal in the coming weeks

Prerana Desai

V-P, research, Edelweiss Agri Services and Credit Edelweiss Integrated

Commodity Management Lt

MSP for all crops = Cost of production + 50%

Nagpur: Activists championing for the farmers' cause want an increased

outlay for agriculture. There was a strong demand that government should

introduce a minimum support price (MSP) pegged at 50% over the cost of

production.

Vijay Jawandhia, a Shetkari Sanghatana veteran, said, "If government

reduces subsidy, an alternate system of supporting the farmer has to be put

in place. Doing away with subsidies like that on fertilizers will increase cost

of production. With the seventh Pay Commission to be implemented, money

flow in the economy will increase, which may fuel inflation and even the

farm hands will need more wages to sustain a living according to the general

standards. The policy measures need to take this into account."

"The farm credit target must be increased by at least Rs 4 lakh crore from

the Rs8.5 lakh crore fixed last year," said Kishore Tiwari of Vasantrao Naik

Shetkari Swavlamban Mission (VNSSM). Tiwari, earlier a farm activist,

now heads VNSSM, a state government task force on farmers in the new

regime.

Tiwari said a recent RBI notification has included lending for allied

activities and also agri businesses into the ambit of priority sector lending.

With this, banks can easily avoid providing the yearly crop loans to farmers

which they need for meeting their sowing expenses, and yet meet the priority

sector target by lending agri businesses. The budget should bring a specific

rule on mandatory lending for cultivation expenses under priority sector

norms.

He also stressed on a system of viability gap funding to the farmers who

shift to a food crop after facing crisis in a cash crop due market

uncertainties. This can specially benefit farmers in Vidarbha who are trapped

in cotton cultivation, he said. "A project on the lines of state government's

Jalyukt Shivar for creating village-level water harvesting facilities should be

announced for the entire country," he said.

Amitabh Pawade, an engineer-turned-farmer from Narkhed, has called for a

loan waiver scheme even as he demanded that the budget announcements

should include the move on MSP fixed at 50% over the cost of production.

"This was a part of the BJP's election manifesto. We can hope that it is

implemented in the second budget under its term, at least," said Pawade.

"There should be a MSP on these lines for all crops and not just for a select

farm produces," he said.

Pawade also called for implementation of other recommendations of the

Saminathan Commision and village-level crop insurance cover as against

block level which includes a group of villages at present.

Budget Expectations

Fulfilment of election promise on MSP

Village-level crop insurance cover

Make lending for cultivation expenses mandatory

Ensure viability gap funding for farmers

Jalyukt Shivar scheme for entire country

Rice exported to Iran ends up in Dubai

DRI unearths Rs 1,000 crore export scam, probe on to check money to fund

terror.

According to a probe being done by the Directorate of Revenue Intelligence

(DRI), over two lakh metric tonnes of Basmati rice was illegally offloaded in

Dubai in the last over a year instead of in Bandar Abbas in Iran, official

sources said. (Representational image)

New Delhi: Authorities have unearthed a massive scam in export of high-

quality Basmati rice to Iran, running into over Rs 1,000 crore, in which the

commodity was fraudulently diverted mid-sea to Dubai.

According to a probe being done by the Directorate of Revenue Intelligence

(DRI), over two lakh metric tonnes of Basmati rice was illegally offloaded in

Dubai in the last over a year instead of in Bandar Abbas in Iran, official

sources said.

Over 25 big exporters from Haryana and Punjab are under the scanner of

DRI and other agencies for their involvement in the multi-crore scam, they

said. Explaining the modus operandi, the sources said rice would be taken to

Gujarat’s Kandla Port by these exporters. They would then file Shipping

Bills--documents filed with customs authorities carrying details of goods to

be exported, consignor and consignee--for export to Iran, they said.

Instead of the consignment reaching Iranian shores, it would be diverted

mid-sea to Dubai allegedly with the connivance of cargo ship operators

carrying the goods.

Surprisingly, payments were also made from Iran to these exporters in India.

Importers and port officials would allegedly acknowledge the receipt of rice

and allow payment to be made against it here, the sources said.

What is worrying for intelligence agencies here is that they do not know the

end-use of rice off-loaded in Dubai. They suspect use of rice as barter

system to fund some illegal activity like terror financing, the sources said.

The DRI has red-flagged the scam at the highest level and is in touch with

authorities concerned in Dubai about the scam. Prima facie, two lakh metric

tonnes of rice valued at about Rs 1,000 crore has been off-loaded in Dubai

instead of Iran, they said.

While India lost foreign exchange which it could have got from Dubai in

case of genuine trade, Iran was also deprived of customs duty it would have

been entitled to if rice was delivered at its shore, the sources said.

The authorities suspect the proceeds of the scam assumed the form of black

money. The DRI has informed SC appointed SIT on black money about the

case. It has also roped in the ED to look into the matter, they said.

Legal export of rice from the country has risen in the past two years. A total

of 9,35,567.81 kg of Basmati rice was exported to Iran in the last fiscal and

4,57,023.63 kg between April and November this financial year, they said.

Dinesh Sharma elected as Chairperson of IFAD

India emphasised that economic growth must be inclusive and participatory;

and should result in an enhanced access to opportunities to all.

NEW DELHI: Additional Finance Secretary Dinesh Sharma has been

elected as the Chairperson of the Governing Council of International Fund

for Agriculture Development (IFAD).

Sharma, who is India's governor to Rome-based IFAD was unanimously

elected as the chairperson of the Governing Council for a period of two

years in 39th session held in Rome on February 17-18, a Finance Ministry

press release said.

According to the statement, speaking on the occasion, the Italian President

Sergio Mattarella said that hunger and poverty are insidious, and are at the

root of conflict and instability and are the link in chain that we need to break

first to deal with emergencies and humanitarian disasters.

IFAD was set-up in 1977 as the 13th Specialised Agency of the United

Nations and works towards removing poverty and hunger in rural areas all

over the world.

India is a founder member of IFAD and a key contributor among the

member countries.

The council is managed by two main governing bodies -- the Governing

Council and the Executive Board. The Governing Council is the highest

decision making body and consists of 176 member countries.

The Governing Council Session was marked by special focus on inclusive

growth and on the investments required to meet the Sustainable

Development Goals in the realm of eradicating poverty and hunger.

India emphasised that economic growth must be inclusive and participatory;

and should result in an enhanced access to opportunities to all.

India further added that access to formal finance at an affordable cost and in

a transparent manner, would be crucial for a meaningful financial inclusion.

The Indian Delegation also apprised the gathering about the steps taken by

the government to promote financial Inclusion through Pradhan Mantri Jan

Dhan Yojana (PMJDY) and Direct Benefit Transfer (DBT).

How disruptive biological and information technologies help in

transforming agriculture

Farmers’ leader Kishore Tiwari alleges that Maharashtra chief minister

Devendra Fadnavis’ plan to tackle the agrarian crisis has failed.

A cognoscente used a cricket metaphor for the Indian economy. Of the 22

players, a handful gets all the attention, while others wait patiently for their

magic moment. Bowlers form less than half the team and take all the wickets

but they account for barely 20% of the runs scored — like agriculture, which

employs over 50% of workers, but accounts for under 20% of gross

domestic product.

Fast Forward the Farms The urban mindset and frenzy must now reach

Bharat. The 78-year-old farmer Narayan Khadke of Walsawangi in

Maharashtra has returned the Sheti Nishtha award that he won in 1983 for

best agricultural practices.

Farmers' leader Kishore Tiwari alleges that Maharashtra chief minister

Devendra Fadnavis' plan to tackle the agrarian crisis has failed to take off

due to "rampant corruption" and "insensitive bureaucracy".

On the positive side, prime minister Narendra Modi has unveiled the

Pradhan Mantri Fasal Bima Yojana and the National Agriculture Market, a

digital platform for farmers to sell their produce anywhere in India. Finance

minister Arun Jaitley has held out the promise of an agriculture-focused

budget. Agriculture has been discussed and funded bigtime for 60 years, yet

it has produced inadequate results.

In The Fourth Revolution, John Micklethwait and Adrian Wooldridge argue

that "dysfunctional government has become a cliche... countries' success

depends overwhelmingly on their ability to reinvent the State". In Rebooting

India, Nandan Nilekani says that "government as an enabler of people's

aspiration... implies a radical rethink".

India doesn't have a well-accepted and consistent National Agricultural

Policy. In the first phase, from Independence till 1965, agriculture lurched

amid multiple pulls and pressures. The food crisis of the mid-1960s led to

the second phase, when enormous success was achieved in managing

political consensus and in adopting new technologies. The green revolution

phase ran its course by 2000 when the third phase began.

In 2000, a new National Agricultural Policy was announced by the Vajpayee

government "to achieve an agricultural growth of 4% per annum [which did

not happen], to strengthen the rural infrastructure... and to speed up value-

added agricultural growth". The next government of Manmohan Singh

received a report from the National Commission on Farmers in 2006.

However, we still have no National Agricultural Policy — there are bits and

pieces but no overarching framework.

In transformation management, frameworks inspire participants that "they

are building a cathedral, not laying bricks". Economist Yoginder K Alagh

has said, "The future of agriculture is not in the stars, even in a country

deeply committed to the inevitability of predictable karmic outcomes.... Pull

together the main analyses and place them in a holistic framework.... Indian

agriculture responds well to wellthought-out policy stimuli."

New Ideas, New Framework What kind of disruptive measures can bring a

frenetic energy to the farm sector? First, we need a Mandela-style initiative

for rapprochement and to agree on a national agenda for agriculture. It

makes good economic and political sense for all parties if the ruling party

would take the initiative.

If the effort to build consensus for Goods and Services Tax (bill) had gone

into building a consensus on improving farm economics and well-being, it

would have had a far greater impact.

Managing water, implementing farmer-friendly, produce-marketing

measures and applying modern science, all are illustrative candidates.

Second, reorient research efforts to be market- and farmerled with a

scientific approach to experimentation. Bt cotton has disrupted Indian cotton

production.

New ideas like the nutrient buffer power concept (of agricultural scientist

KP Prabhakaran Nair), micro-irrigation and deployment of drones can

transform soil management. We need to reimagine a new framework for

agriculture and inject technological vibrancy.

Third, with its fabled software skills, India must surely connect farmers

through a Taobao-style digital network.

Fourth, agriculture needs the equivalent of small and mediumsized

enterprises/micro small and medium-sized enterprises of industry. India

needs someone, maybe National Bank for Agriculture And Rural

Development , to lead willing farmers to form Farmer Producer

Organisations (FPO) under the Companies Act so that farming becomes

somewhat bankable. But there is the counter-productive Securitisation and

Reconstruction of Financial Assets and Enforcement of Security Interest Act

2002, which deals which deals with the regulation, securitisation and

reconstruction of financial assets, but specifically excludes "any security

interest in agricultural land".

Fifth, include agriculture in the skills efforts of the country by launching

agricultural technical training institutions just as industrial training institutes

were started for industrialisation.

if FPOs are formed, farmers need management and governance skills. Is

there any reason why India needs only defence and aerospace production

and not more efficient food production as part of Make in India?

Sixth and last, restore public investment in rural infrastructure — check

dams and bunds for water, rural roads and warehousing. Increase irrigated

area from 48% to 60% over a few years. Revamp the minimum support price

regime, which began as a support but has become a crutch.

Rationalise the heavy subsidy regime on fertilisers. The current policy has

strangulated the nutrient industry and distorted the national soil map.

Many committees have suggested what should be done; India needs the

framework of a National Agricultural Policy for the how.

(The author is a writer and corporate adviser)