EXPORT OF AGRICULTURAL PRODUCT FROM INDIA

Presented by S.G.Ingle Reg.No.10A/12P

Research Guide Dr.T.G.SATPUTE

Department of Agricultural Economics and statistics

Marathwada Krushi vidyapeeth, Parbhani431402

Agriculture Sector is changing the socio-economic environments of the population due to liberalization and globalization

About 75% people are living in rural areas and are still dependent on Agriculture. About 43% of India’s geographical area is used for agricultural activity

Agriculture continues to play a major role in Indian Economy

Indian Agriculture

Provides about 65% of the livelihood Accounts for 14.5%of GDP Contributes 10.47% of Total Exports, and

Supplies Raw materials to Industries Growth Rate in production – 3.5% Food grains production – 244.78 mt

o Total Area Seventh Irrigated Area First Population Second Economically Active population Second Total Cereals Third Wheat Second Rice Second Coarse grains Fourth Total Pulses First Oil Seeds Second Fruits and Vegetables Second Implements (Tractors) Third Milk First Live Stock (castles, Buffaloes) First

The size of the global food trade is about USD 650 bn.

Value of India’s agri exports is about USD 10 bn i.e. less than 1.50%.

India has one tenth of world’s arable land (size is more than China’s).

It has rich and diverse agro climatic zones with more than 50 major crops.

One fifth of world’s irrigated land.

2nd largest producer of fruits and vegetables.

3rd largest producer of agri commodities (largest in food grains).

No. 1 Producer of Tea, Mango, Banana, Cashew, Cauliflower, Okra, Pulses, Milk etc.

Largest producer, consumer and exporter of spices.

The country is a treasure house of medicinal aromatic plant species.

Exports are mainly confined to commodities. Tremendous scope for value addition.

In horticulture products, India has certain competitive advantages.

WTO regime provides great opportunity for exports.

Farmers can benefit from exports of high value products.

Low productivity due to inappropriate cultivation practices and improper harvest methods. This affects international competitiveness.

Inadequate infrastructure.

Too many middlemen in the procurement chain.

Lack of contract farming practices.

Quality problems due to poor post-harvest management. Inadequacy of domestic quality standards.

Not able to meet stringent SPS/Codex requirements of developed countries.

No clear focus on exports due to vast domestic market with low quality standards.

Exporter country

Value(Billiondol

ler)

Share(Percentage)

1980 1990 2000 2010

1. European union

532 - - 41.8 39.1

2. Extra EU 27 129 - - 10.1 9.5

3. Unitated state

143 17.0 14.3 12.9 10.5

4. Brazil 69 3.4 2.4 2.8 5.0

5. Canada 52 5.0 1.0 6.3 3.8

6. China 36 1.5 1.9 3.0 3.8

Above 5

12. India 23 1.0 0.8 1.1 1.7Source: International trade statistics 2010

Source: Economic Survey, 2011-2012

Source: Economic survey 2011-2012

Direction of India’s Exports (Share %)

Source: India Trades, CMIE

Source: Agricultural Statistics at glance 2011

Source: Agricultural Statistics at glance 2010

Quantity : 000tonn Value: Rs. crore

Agri-Export Zones• AEZs aimed at enhancing social equity, increasing revenues for the farming community and sustainable

consumption(without wastage) of agriculture produce

• About 61 AEZs have been approved so far, estimatedinvestment about Rs. 17 billion

• Agri infrastructure including food packaging, cold chain,processing machinery, atmospheric controlled multi-chamber Containers

• Estimated increase in exports in next five years – Over US$ 2

Billion

• US$ 28 bn investment required to raise food processinglevels (value addition) by 8-10% from the current

2%

Project Consultancy Division

Terminal Market

Market Network (MARKNET)

Pre-Cooling and Cold Storage

Poly-house

Irradiation of Onion

MSRDC's Exhibition Cum Sale Centre

Farmers Market

Onion Storage StructureGodown

Information Display

Pledge Finance

Grain Handling Unit

Hamal Bhavn

Cold Storage Subsidy Scheme

Fruit Festival Subsidy Scheme

Thank You