Dr.
G.D Banerjee analyses this promising sector and suggests steps to
realise its potential.
After
a number of revolutions since 1965 – the green revolution (cereals),
the white revolution (milk), the blue revolution (fish) and the
yellow revolution (oilseeds) – it is now time for a “Golden Revolution”
in the horticulture sector. ‘Golden’ because the sector has recorded
tremendous achievements in terms of rapid increase in fruit production,
foreign exchange, through cutflower exports and employment generation.
Vital
Statistics
In 1997-98, the total value of horticulture produce was Rs 1,233
crore compared to Rs 452.12 crore in 1991-92. The average annual
growth rate during the 1990s was 9.35 per cent accounting for 15.27
per cent of annual growth rate in fruits, 7.60 per cent in vegetables,
9.27 per cent in spices, 10.00 per cent in coconut and 9.50 per
cent in cashew. The growth in area expansion was 22.76 per cent
during the period 1991-92 to 1997-98. India is one of the largest
producers of vegetables, next only to China, with an annual production
of 80.8 million tonnes. It is estimated that fruit production will
touch 98 million tonnes by the year 2020-21 with vegetable production
of 220 million tonnes. In fact, horticulture crops covering only
6.1 per cent of the area under cultivation, contribute as much as
18.8 per cent of the country’s gross domestic product. The details
of area, production and yield of various crops in horticulture sector
are given in Table 1.
India
has emerged as one of the largest producers of fruits and vegetables.
Exports of fruits and flowers have also increased manifold. Although
area expansion also occurred in many crops, the average annual growth
rate of area is less than the average annual growth rate of yield.
Research
and Development Activities
The first attempt at systematic horticulture research goes back
to 1954 when a separate horticulture sector was created in the division
of botany at the Indian Agricultural Research Institute (IARI),
New Delhi. Establishment of Indian Institute of Horticulture Research
(IIHR) at Bangalore in 1968 was another landmark achievement. Institutes
such as the Indian Institute of Horticulture Research (IIHR), Bangalore,
Central Institute of Sub-tropical Horticulture (CISH), Lucknow,
etc., are now engaged in horticulture research. Besides these eight
institutes, there are 27 regional stations, one Project Directorate
for Vegetable Research (PDVR), Varanasi, 10 national research centres
located in different parts of the country working with specific
crops like banana, grapes, oilpalm, cashew, etc., 16 all-India co-ordinated
research projects in 223 research centres, one full-fledged university
of horticulture, 26 state agriculture universities and 7 multi-disciplinary
institutes of ICAR. These are more than adequate research facilities
for co-ordinated research on horticulture.
FYP
Focus
Despite the importance of horticulture in the farm economy, this
sector was neglected completely in the first three Plans. The commercial
aspects of horticulture were not thought of until the 1970s and
the Fourth Plan (1969-74) allocated a modest sum of Rs 34.78 million
for this sector. This was enhanced to Rs 319.56 million in the
Seventh Plan (1985-90) and further to Rs 1,047 million in the Eighth
Plan (1992-97), when for the first time the sector received a fillip
in terms of investment. When the government identified horticulture
as a thrust area, efforts were made to create an adequate infrastructure
for research and development. Emphasis was laid on the production
of quality planting material, expansion of area, infrastructure
development, and productivity increase. In the Ninth Plan, Rs 1,200
million has been allocated for this purpose. Several new and innovative
areas such as use of plastic in horticulture, integrated development
of tropical, temperate and arid fruits, integrated development of
vegetables including tuber crops, commercial floriculture, medicinal
and aromatic plants, scheme for cashew development, scheme for spices
development, coconut development, post-harvest management, marketing
and exports and bee keeping, have been explored.
Export
Promotion
At present, fresh fruits, vegetables and mushrooms; cut-flowers
and seed or planting materials of ornamental crops; processed fruits,
vegetables and mushrooms; spices including some seed spices and
chillies; select medicinal and aromatic plants and their products,
cashew, walnuts, etc., are some of the major items being exported
from the country. Spices and cashewnuts dominate export markets;
while tropical fruits and floriculture have been identified as priority
sectors for export promotion. Value-added products like plant based
essential oils, oleo-chemicals, jasmine and tuberose concentrates,
dehydrated ginger, turmeric, dry flowers, seed spices, medicinal
plant products, etc. are certain other items of export with good
profit margins. For future growth, Agricultural and Processed Food
Products Export Development Authority (APEDA), has identified fresh
fruits such as banana, mango, grapes, litchi, citrus, sapota and
vegetables such as onions, potatoes, okra, etc., for exports.
During
1997-98, the country exported fresh vegetables worth Rs 316.53 crore
and 2 lakh tonnes of dried and preserved vegetables worth Rs 479.88
crore. During the same period, fresh fruit export was Rs 212.23
crore, and processed food valued at Rs 281 crore was exported. For
export of cashew, spices, mushroom, and value added products reasonably
good infrastructure has already been built up internationally and
acceptable quality standards are maintained.
| There
is a need for development of bulk handling systems for tropical
fruits including pre-cooling and post-harvest protocols for
sea transport of major fruits like banana, mango, litchi, kinnow,
pomegranate |
Problems
and Remedial Measures of Export
Fresh fruit, vegetables and flower export, however, still face many
problems in terms of quality, phyto-sanitary requirements, post-harvest
handling and packaging. Pesticide-residue free and organically produced
commodities are export items identified in recent times, while some
of the hindrances related to export trade like inadequate cargo
space, higher freight charges, absence of cold chains and proper
storage facilities both at production sites and at export outlets
are being addressed by agencies like National Horticultural Board
(NHB) and APEDA.
The
Agricultural Research System is addressing some of the export promotional
research areas like developing pre-harvest practices, post-harvest
handling of perishable commodities, on-farm storage and primary
processing of different horticultural commodities. There is a need
for development of bulk handling systems for tropical fruits including
pre-cooling and post-harvest protocols for sea transport of major
fruits like banana, mango, litchi, kinnow, pomegranate, and others.
Disinfection technology including Vapour Heat Treatment (VHT) is
essential for export of mangoes to Japan and the US. Technology
for extension of shelf-life of vegetables through prevention of
desiccation, should further help in export promotion.
Research
work in standardisation of packing line of operations on proper
packaging of different perishable horticulture commodities, has
partly been addressed and with proper developmental support and
investment. Exploitation of under-utilised crops and application
of biotechnology to enhance shelf-life of fruits and vegetables,
are future thrust areas of research. Much remains to be done in
R&D in export promotional areas to realise India’s dream to
become a major player in the global export market.
Hi-Tech
Horticulture
The term ‘hi-tech agriculture/horticulture’ was coined in recent
years. However, there is no standard definition for this. The Department
of Agriculture and Co-operation in February 1999 defined hi-tech
agriculture/horticulture as “any agriculture/horticultural technology,
which is modern, less environment dependent, capital intensive and
has the capacity to improve the productivity and quality of any
agricultural or horticultural crop.” Such technologies would include
generally modified crop varieties, micro-propagation, production
and use of hybrid seed, drip irrigation/fertigation, integrated
pest management, organic farming (including use of vermiculture,
bio-fertilisers and mycorrhiza), soil-less culture, mechanical production
systems, design and development of green houses for different environmental
conditions, modern immuno-diagnostic techniques for quick detection
of viral diseases, use of innovative spree technology, hi-tech post-harvest
technologies e.g. hurdled technology products, ionising radiation,
ohmic heating, micro-wave and infra-red processing, membrane, filtration,
hydro-cooling, hypoboric storage and shrink wrapping. Technologies
included in hi-tech agriculture/horticulture are:
- Hydroponics
in horticulture crop production
- Organic
farming in horticulture
- Genetically
modified (GM) horticulture crops
- Eradicating
seasonal inconsistency in production
- Ensuring
healthy planting material
- Protected
cultivation
- Drip
Irrigation for Water Management of Propagation
- Micro
propagation of plants
- Plasticulture
for horticulture crop production
- Chemicals
for improving productivity
- A
variety of market innovations – the key for development
- Cold
storage chains and storage facilities
- Contract
farming for processing units
- High
density orcharding in fruit crop.
Revamping
Indian Horticulture
The National Horticulture Board (NHB) envelops all the aspects of
horticulture development in the country, the thrust areas being
the post-harvest management and marketing. To cater to the development
needs, various schemes incorporating the anticipated needs, which
includes soft loan schemes for exploitation of commercial horticulture,
post-harvest management and marketing to provide support services
like market information and transfer of technology and also schemes
to induce awareness about the innovative ideas and concept have
been introduced. Realising the importance of availability of post-harvest
infrastructure, the Board undertook a project in 1988-89 under which
loans are provided with a service charge of 4 per cent to the co-operative
sector, corporate sector, registered and voluntary organisations,
horticulture corporations, etc., to a maximum extent of Rs 1 crore
per organisation. The Board released a considerable amount during
1997-98 for the establishment of 19 cold storages, six cooling units,
two specialised transport vehicles, and eight grading centres.
Internet
Marketing
The
National Horticulture Board has launched a scheme for development
of marketing of horticulture produce. A sound system of marketing
with the latest and accurate information on prices and arrivals
on the Internet is important for effective disposal of highly perishable
horticultural crops. The NHB has been catering to this need since
1988 with 33 marketing information centres located all over India
called NHB NET. These centres collect the market information and
send it to a co-ordinating cell for publication of monthly bulletins.
In order to take up planning for both short-term as well as long-term
development of horticulture, the Board aided the conduct of surveys
for various states and union territories. During 1998-99, the Board
released a sum of Rs 6.87 lakh to the Bihar State Agricultural Marketing
Board, Patna for conducting techno-economic feasibility studies
of five fruits and vegetables markets in Bihar.
| Shaping
up the growth will require highly skilled manpower at the middle
and lower levels necessitating training and development |
In
order to address the problem of malnutrition, NHB took up the programme
of establishing nutritional gardens in rural areas in 1990-91. The
Board provides financial assistance to state governments for conducting
visits to various research stations to familiarise the horticulture
growers with the latest agro-techniques. Further, the Board is also
implementing the Integrated Horticulture Development Scheme in Rajasthan.
It also provides assistance of up to Rs 20,000 for organising exhibitions,
fairs, seminars, and symposia.
Extension
of Cold Storage Scheme
The Ministry of Agriculture and Co-operation has announced the implementation
of this scheme. The features of this scheme are:
- For
wider dispersal, projects up to 5,000 MT capacities would be preferred.
The cost of 5,000 MT capacity new cold storage and expansion of
existing capacity should not exceed Rs 2 crore at the rate of
Rs 4,000 per tonne, for modernisation and rehabilitation at the
rate of Rs 1,000 per tonne and for storages like onions at the
rate of Rs 2,000 per tonne capacity created/to be created
- Twenty
per cent promoters contribution
- Fifty
per cent term loan by commercial/co-operative banks at primary
lending rate (PLR) + 1 per cent through NABARD refinance
- Twenty
per cent back-ended capital investment subsidy from National Horticulture
Board, salary routed through NABARD/NCDC for opening borrower-based
Subsidy Reserve Fund Account by lending commercial/co-operative
bank. Subsidy is restricted to Rs 50 lakh and for north-eastern
states, Rs 60 lakh at the rate of 33.33 per cent per project.
For projects having a capacity more than 5,000 MT, the amount
of subsidy would be restricted to a maximum limit. The projects
pertaining to control/modified atmosphere facilities are entitled
for subsidy on the same parameters as stipulated for cold storage.
National Co-operative Development Co-operation (NCDC) sanctions
projects under the co-operative sector. Whether term loans are
raised from institutional sources or whether promoters fund projects
entirely through internal resource generation, such proposals
are submitted to the National Horticulture Board directly for
availing subsidy after completion of the project. The scheme is
implemented only in those states and union territories, which
do not control rentals for cold storages under any statutory or
administrative order. The eligible organisations under the schemes
are co-operatives, companies, corporations, partnership and proprietary
firms, agricultural produce marketing committees/boards, agro-industries
corporations, and growers’ associations, etc.
| Increasing
quality consciousness among farmers and processors and enhancing
skills in the areas of grading and standardisation, will be
crucial for global trade in the WTO regime |
Conclusions
To encourage the horticulture sector, attention should be given
equally to production/productivity factors, to quality of produce
and to availability of quality seeds and planting material. Shaping
up the growth will require highly skilled manpower at the middle
and lower levels necessitating training and development. Post-harvest
management systems and infrastructure, needs to be developed. The
shelf-life of fruits, vegetables, and flowers need considerable
improvement. On-shelf management practices must be standardised
and research should focus on lowering input costs and on improving
low cost indigenous systems for different horticultural crops. Tissue
culture and bio-technology hold a lot of promise and should be exploited
to ensure better high yielding horticultural varieties with in-built
resistance to plant diseases. Given the problem of pesticide residues
in fruits and vegetables, organic horticultural cultivation seems
to offer a viable alternative. Increasing quality consciousness
among farmers and processors and enhancing skills in the areas of
grading and standardisation, will be crucial for global trade in
the WTO regime. In order to survive in the competitive international
markets, synchronisation between market trends and production systems
is necessary. Exporters believe that quality seeds and planting
material would be vital in the quest of improving production and
productivity. A mechanism to ensure the availability of quality
seeds and planting material should be developed. Integrated management
of nutrient and water has the potential to improve productivity
and reduce operational costs. This coupled with soil health and
integrated management of insects, pests, and diseases would play
an important role in reducing the use of pesticides. Creation of
a well dispersed infrastructure and efficient storage and transport
systems will be crucial factor in harvesting the full potential
of the horticulture sector. The Israeli model of co-ordinated horticultural
development could be implemented with suitable modifications to
suit Indian requirements.
Phyto-Sanitary
Standards
In times to come, application of sanitary and phyto-sanitary
measures by the developed countries would be another aspect governing
exports. The sanitary and phyto-sanitary (SPS) agreement harmonises
the standards internationally so as to minimise or eliminate the
risk of SPS becoming a barrier for trade. Harmony with these measures
calls for quality regulation, which would benefit export in the
long run. To be able to compete in the world, trade calls for much
more systems infrastructure requirements. The country has yet to
establish a plant protection organisation for surveillance, certification,
and inspection, etc., for the export of horticultural crops. A lot
has been done but we have miles to go before we can boast of achievements
in the horticultural sector. As for now, all we can affirm is that
slowly but steadily we are moving towards a Golden Revolution.
The
author is deputy general manager, NABARD, Head Office, DEAR, Mumbai