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Agri Export Policy

ACHIEVING AGRI EXPORT POLICY

What’s in news?

In order to achieve the objective of doubling agri export and to ensure doubling of farmer’s income, Agricultural and Processed Food Products Export Development Authority (APEDA) has been adopting a focused approach for ensuring greater involvement of the State governments for effective implementation of Agri Export Policy (AEP).

Key data’s:

  • APEDA held a series of meetings with the State Government officials and other stakeholders for the preparation of State Action Plan which included all essential components like production clusters, capacity building, infrastructure and logistics and R & D and budget requirements for the implementation of AEP.
  • Many States have nominated Nodal agency and Nodal officer. Maharashtra, Uttar Pradesh, Kerala, Nagaland, Tamil Nadu, Assam, Punjab and Karnataka have finalized the State Action Plan and other States are at different stages of finalization of the action plan.
  • State level Monitoring Committees have been formed in many of the States. Cluster visits have been made by APEDA Nodal officers to the product clusters at Jalandhar (Potato), Jodhpur (Isabgol), Banaskantha (Dairy products), Sangli (Grapes), Solapur (Pomegranate), Nagpur (Orange), Chittoor (Mango), Theni (Banana), Salem (Poultry products), Indore (Onion) and Chikkaballapur (Rose onion).
  • An MoU was signed with National Cooperative Development Corporation to include Co-operatives for their active role in AEP. A Farmer Connect Portal has also been set up by APEDA on its website for providing a platform for Farmer Producer Organisations (FPOs) and Farmer Producer Companies (FPCs) to interact with exporters. Over 800 FPOs have been registered on the portal.
  • A Market Intelligence Cell was set up in APEDA and the activity of dissemination of e-market intelligence reports comprising detailed market analysis, international trade issues, current scenario of the interest to Indian exporters in important markets and statistical information has been started from 25th November 2019. All e-reports are available on APEDA website https://apeda.gov.in.

Agriculture Export Policy 2018:

  • The Union Cabinet has approved the Agriculture Export Policy, 2018.
  • The policy would help the government in achieving the target of doubling farmers income.
  • The vision of Agriculture Export Policy is to harness the export potential of Indian agriculture, through suitable policy instruments, to make India global power in agriculture and raise farmers income.

Objectives of the Policy:

  • To double agricultural exports from present ~US$ 30+ Billion to ~US$ 60+ Billion by 2022 and reach US$ 100 Billion in the next few years thereafter, with a stable trade policy regime.
  • To diversify the export basket, destinations and boost high value and value-added agricultural exports including a focus on perishables.
  • To promote novel, indigenous, organic, ethnic, traditional and non-traditional Agri products exports.
  • To provide an institutional mechanism for pursuing market access, tackling barriers and deal with sanitary and phytosanitary issues.
  • Enable farmers to get the benefit of export opportunities in the overseas market.

Need for Export Policy:

  • The policy can address challenges to exporting agricultural products from India like low farm productivity, poor infrastructure, global price volatility to market access.
  • India’s share in global exports of agriculture products was merely 2.2 % in 2016.
  • India has remained at the lower end of the global agriculture export value chain given that the majority of its exports are low value, semi-processed and marketed in bulk. The share of India’s high value and value-added agriculture produce in its agri-export basket is less than 15% compared to 25% in the US and 49% in China.
  • India is unable to export its vast horticultural produce due to lack of uniformity in quality, standardization and its inability to curtail losses across the value chain. Given the globalization of value chains, it is imperative that the country make concerted efforts to boost exports of high margin, value-added and branded processed products.
  • The vision of doubling farmers income by 2022 will require a series of interventions to improve production and productivity along with economizing the cost of production. This would also require India to augment its exports to the global market. Hence, it is necessary to have an agriculture export policy in place.

APEDA:

  • The Agricultural and Processed Food Products Export Development Authority (APEDA) was established by the Government of India under the Agricultural and Processed Food Products Export Development Authority Act, 1985.
  • It functions under the Ministry of Commerce and Industry. The Authority has its headquarters in New Delhi.

Functions:

  • APEDA is mandated with the responsibility of export promotion and development of the scheduled products viz. fruits, vegetables and their products; meat and meat products; poultry and poultry products; dairy products; confectionery, biscuits and bakery products; honey, jaggery and sugar products; cocoa and its products, chocolates of all kinds; alcoholic and non-alcoholic beverages; cereal and cereal products; groundnuts, peanuts and walnuts, pickles, papads and chutneys; guar gum; floriculture and floriculture products; herbal and medicinal plants.
  • APEDA has been entrusted with the responsibility to monitor import of sugar.
  • It looks after the development of industries relating to the scheduled products for export by way of providing financial assistance or otherwise for undertaking surveys and feasibility studies, participating through subsidy schemes.
  • Registration of persons as exporters of the scheduled products and fixing of standards and specifications for the scheduled products for the purpose of exports.
  • Carrying out inspection of meat and meat products in slaughterhouses, processing plants, storage premises and improving packaging of the scheduled products.

Links to note:

https://www.iasipstnpsc.in/22240-2/

https://commerce.gov.in/writereaddata/uploadedfile/MOC_636802088572767848_AGRI_EXPORT_POLICY.pdf

https://pib.gov.in/PressReleseDetail.aspx?PRID=1598469

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