Lok Sabha Question No. 626 (UNSTARRED), answered on 2018-02-06
Subject: Increase in Prices of Vegetables and Fruits
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: RAMCHARAN BOHARA, R. GOPALAKRISHNAN

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

## LOK  SABHA

## UNSTARRED QUESTION NO.626 TO BE ANSWERED ON THE  6 TH  FEBRUARY, 2018

## INCREASE IN PRICES OF VEGETABLES AND FRUITS

626.   SHRI RAM CHARAN BOHRA: SHRI R. GOPALAKRISHNAN:

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

- (a) whether  the  prices  of  vegetables  including  onion  and  fruits  have  increased  in various parts of the country during the last several months;
- (b) if so, the details thereof along with the reasons therefor;
- (c) whether the production of onion and other vegetables have come down causing such price rise;
- (d) if  so, the details thereof and if not the quantum produced by the country during the last year and the current year so far;
- (e) whether  the  increase  in  the  price  of  vegetables  and  fruits  has  besides  other reasons occured due to availing of higher  profits by the middlemen, if so, the  details thereof;
- (f) the  remedial  measures  taken  by  the  Government  to  bring  down  the  price  of vegetables and fruits; and
- (g) the steps taken by the Government to increase the production of vegetables and fruits in the country?

## ANSWER

MINISTER OF  STATE IN THE  MINISTRY OF  AGRICULTURE AND  FARMERS  WELFARE

‡ãðŠãäÓã एवं कसान कयाण ½ãâ¨ããÊã¾ã ½ãñâ Àã·¾ã ½ãâ¨ããè ( SHRI GAJENDRA SINGH SHEKHAWAT)

- (a) & (b): As  per  the  data  available  with  the  government  there  is  no  significant change in the prices of fruits  during the last  few months. However,  slight increase in

prices  has  been  observed in  case  of  vegetables  (including  onion)  during  the  last  few months.

Contd....2/-

-2-

Prices of fruits and vegetables sometimes  increase on account of crop seasonality and unfavourable weather conditions.

(c) & (d): As  per  the  First  advance  estimates,2017-18,  the  production  of  onion  is likely  to  decline  as  compared  to  2016-17  on  account  of  33%  less  sowing  of  onions during kharif season due to drought in Karnataka and heavy rains in Maharashtra, at the time of kharif sowing. However, the total production of vegetables is likely to increase as compared to the last year. Details are given below:

|                  | Production (in '000 MT)   | Production (in '000 MT)   |
|------------------|---------------------------|---------------------------|
| Crop             | 2016-17                   | 2017-18 (I Adv. Est.)     |
| Onion            | 22427.42                  | 21401.86                  |
| Total Vegetables | 155744.99                 | 159282.29                 |

- (e): No, Madam.

(f): Steps taken by government to control the prices of fruits and vegetables are as follows:

-  The Govt. is implementing the scheme called electronic National Agriculture Market (e-NAM)  to  lower  transaction  costs  to  buyers  and  stable  prices  and  availability  to consumers.

·  Farmers  are  mobilized  into  Farmer  Producer  Organizations  (FPOs)  for  aggregation and economies of scale. Efforts are being made to link FPOs to market by way of direct marketing farmer consumer markets/ Apni Mandi and e-markets.

·  Assistance is  provided for  development of post harvest management and marketing infrastructure such  as  cold  storages,  ripening  chamber,  pack houses, reefer vehicles, primary and wholesale markets, Kisan Mandies, etc.

· Market Intervention Scheme (MIS) for procurement of horticultural commodities which are perishable in nature and are not covered under Price Support Scheme.

Recently,  considering  the  rise  in  prices  of  onions,  Government  has  taken  the following steps:

1.  Minimum Export  Price  (MEP)  of  USD  $850  per  MT  imposed  on  onions  to  restrict export  and improve domestic availability.  MEP was subsequently brought down to USD $700 per MT with the reduction in prices and improved availability of onion.

2. Department  of  Consumer  Affairs  (DoCA)  has  enabled  States  to  impose  stock limit  on  onions  till  31.12.2017.  Producing  States  were  advised  to  take  action  against hoarders/traders  engaging  in  illegal  practices  and  facilitate  adequate  availability  of onions in the markets at reasonable prices to the consumers.

3. National Agricultural Cooperative Marketing Federation of India Ltd (NAFED) and Small Farmers Agribusiness Consortium (SFAC) were directed to procure onion from producing regions for supplying in the consuming areas.

4. State  governments  were  requested  to  indicate  their  requirement  for  imported onions, if any. Government of NCT of Delhi was requested to facilitate the distribution of onions through their channels to ensure availability at reasonable prices.

(g): Mission for Integrated Development of Horticulture (MIDH), a centrally sponsored scheme is implemented for the holistic development of horticulture sector in the  country  covering  fruits,  vegetables,  root  and  tuber  crops,  mushrooms,  spices, flowers, aromatic plants,  coconut,  cashew,  cocoa  and  bamboo  through  various interventions.

Under  MIDH,  for  promotion  of  horticulture  throughout  the  country,  financial  & technical assistance is provided to States/UTs for following major interventions/activities:

-  Setting up of nurseries, tissue culture units for production of quality seed and planting material.
-  Area expansion i.e. Establishment of new  orchards and gardens for fruits, vegetables, and flowers.
-  Rejuvenation of unproductive, old, and senile orchards.
-  Protected cultivation, i.e. poly-house, green-house, etc, to improve the productivity & grow off season high value vegetables and flowers.
-  Organic farming and certification.
-  Creation of water resources structures and watershed management.
-  Bee-keeping for pollination.
-  Horticulture Mechanization.
-  Creation of Post Harvest Management and Marketing infrastructure.
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