Lok Sabha Question No. 3629 (UNSTARRED), answered on 2017-08-08
Subject: Procurement Mechanism and Crop Plan
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: SANTOKH SINGH CHAUDHARY

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE, COOPERATION AND FARMERS WELFARE

## LOK  SABHA UNSTARRED QUESTION NO.3629

TO BE ANSWERED ON THE  8 TH  AUGUST, 2017

## PROCUREMENT MECHANISM AND CROP PLAN

3629.  SHRI SANTOKH SINGH CHAUDHARY:

Will  the  Minister  of  AGRICULTURE  AND  FARMERS  WELFARE      ‡ãðŠãäÓã एवं  कसान कयाण ½ãâ¨ããè be pleased to state:

- (a) whether  the  Government  intends  to  implement  its  plan  of  direct  purchasing  of commodities from farmers and if so, the details thereof and the specific policy decisions taken to improve the procurement mechanism;
- (b) whether the Government is planning to push contract farming with a regulator to ensure supply-demand predictability for farmers and consumers and if so, the details thereof;
- (c) whether the Government is working on a new crop plan to end the cultivation of cane  and  paddy  crops  in rain shadow  areas  and  incentivize crop location to geographies with scientific rationale and if so, the details thereof; and
- (d) the average level of wastage and loss for all cereals, fruits, horticulture products in the country during the last three years and the current year?

## ANSWER

MINISTER OF  STATE IN THE  MINISTRY OF  AGRICULTURE AND  FARMERS  WELFARE

‡ãðŠãäÓã एवं  कसान  कयाण ½ãâ¨ããÊã¾ã  ½ãñâ  Àã·¾ã  ½ãâ¨ããè (  SHRI PARSHOTTAM RUPALA)

- (a): There is already a mechanism under which Government purchases commodities at  Minimum  Support  Price  (MSP)  directly  from  the  farmers  to  eliminate  possibility  of middlemen taking advantage of the scheme. To maintain uniformity & transparency in procurement operations, reporting of purchase is made through online mechanism and procuring agencies are required to display the details of purchases on a daily basis on their  website.  Purchase  Centres  are  established  close  to  the  CWC  /  SWC  godown, processing mill to reduce the transportation cost. Further, in order to provide the direct interface between the farmers and processors, wholesale buyers and consumers so as to  eliminate  the  middlemen  and  enhance  the  farmers'  share  in  consumers'  rupee, Government,  through  persuasion  with  the  States  to  amend  their  marketing  laws,  is promoting direct marketing. The model law on marketing released on 24 th April, 2017 for adoption to the States clearly and factitively provides this provision.

(b): To  integrate  the  farmers  with  processing  industries  so  as  to  enhance  their sustained income with least price risk and to reduce post-harvest losses, Government is in  the  process of  formulation of model law on contract farming for its adoption by the States.

(c): There  is  no  specific  plan  to  end  sugarcane  and  paddy  crops  in  rain  shadow areas. However, Government encourages farmers for judicious use of irrigation water by promoting water saving devices like drip irrigation systems in sugarcane. Government is implementing a crop diversification programme (CDP), as a sub scheme of Rashtriya Krishi Vikas Yojana  (RKVY) to diversify water guzzling paddy crop in the states  of  Punjab,  Haryana  &  western  Uttar  Pradesh  from  2013-14  with  an  aim  to restore depleting water table and soil fertility.

(d): The Government commissioned a study titled 'Harvest and Post-Harvest Losses of  Major  Crops  and  Livestock Produce in  India'  through  Indian  Council  of  Agricultural Research  (ICAR)  -  Central  Institute  of  Post-Harvest  Engineering  and  Technology (CIPHET), Ludhiana in 2010 to assess wastage of agriculture produce. The same study was repeated in 2012, which submitted the report in March 2015. The percentages of post-harvest losses for major produces as assessed by the studies for the years 200506 and 2012-13 are at Annexure-I.

## ANNEXURE-I

## Details of percentage of post-harvest losses for major produces as

| Crops               | Cumulative Wastage (Percent)   | Cumulative Wastage (Percent)   |
|---------------------|--------------------------------|--------------------------------|
|                     | As per Report 2010 (2005-06)   | As per Report 2015 (2012-13)   |
| Cereals             | 3.9 - 6.0                      | 4.65 - 5.99                    |
| Pulses              | 4.3 - 6.1                      | 6.36 - 8.41                    |
| Oil seeds           | 2.8 - 10.1                     | 3.08 - 9.96                    |
| Fruits & Vegetables | 5.8 - 18.0                     | 4.58 - 15.88                   |
| Milk                | 0.8                            | 0.92                           |
| Fisheries (Inland)  | 6.9                            | 5.23                           |
| Fisheries (Marine)  | 2.8                            | 10.52                          |

assessed by the studies for the years 2005-06 and 2012-13

| Meat         |   2.2 |   2.71 |
|--------------|-------|--------|
| Poultry meat |   3.7 |   6.74 |

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