The Commission for Agricultural Costs and Prices (CACP), the national crop-advisory body, has suggested creating mass awareness among farmers, especially paddy growers, on sanitary and phyto-sanitary measures — a move that will help comply with global food safety and quality standards. The suggestion is part of CACP’s non-price policy recommendations.

 

Rice is a major agri export commodity from India. Regulations and standards pertaining to the safety and quality of agri produce have become stringent and are a major determinant in trading opportunities. These constraints on rice exports from India are likely to rise in the near future as West Asian countries like Oman, Egypt, Jordan, Saudi Arabia and the UAE have adopted pesticide residue norms for imported rice at par with European Union, CACP said.

 

Low awareness

Since there is relatively low awareness and know-how to rightly adopt safety measures among the small and marginal farmers across the value chain, the Commission recommends that there is a need to organise a mass awareness campaign to sensitize farmers about the sanitary and phyto-sanitary measures and good agricultural practices (GAP) so that they can exercise due diligence while growing crops. This helps them to comply with the regulations that ensure food quality, safety and environmental standards.

 

India has been the largest exporter of rice for the past few years with shipments of the cereal registering good growth year-on-year. Based on the CACP’s recommendation, the Centre announced a Rs.100 increase in minimum support price to Rs.2,040 per quintal for the 2022-23 crop year.

 

Further, the CACP said although rice is being grown over vast areas of India, the physical and agro-climatic requirements for growing rice are confined to certain areas of the country.

 

Pruning area in N-W India

However, in most of these regions in the East such as Odisha, West Bengal, Chhattisgarh, Jharkhand, the North-Eastern states and the South-West Coast, the area under paddy is relatively low, which is more suitable for paddy, compared with the North-Western plains. Hence, there is a need to shift rice cultivation from some of the States/regions which are not suitable for rice. Therefore, the Commission recommended that appropriate policy measures should be initiated to promote paddy cultivation in suitable areas and reduce the acreage in Haryana, Punjab and Uttar Pradesh.

 

Also, to ensure successful implementation of schemes, more attention should be given on creating awareness about prevailing MSP, FAQ (Fair average quality) standards, system of procurement, payment mechanism it said. It would help in ensuring better prices to farmers, and adoption of modern technologies in farming. Farmers need to be trained about FAQ norms and the post-harvest handling methods, access to infrastructure to minimise post harvest losses and improve quality to get better prices, the CACP observed.

Shri Som Parkash, Minister of State for Commerce & Industry, today said the PM Gati Shakti  National Masterplan will  help achieve India’s aim of USD 5 Trillion economy.

 

Addressing the Industry Stakeholders at the INDIA INTERNATIONAL LOGISTICS & SUPPLY CHAIN Conference, organised by PHDCCI, Shri Som Parkash, said India is one of the most attractive destinations for investment in the world and government has prepared some important frameworks to help thrive businesses in the country. One of them is PM Gati Shakti masterplan and its implementation, which  will help us  to achieve our aim in logistic efficiency.

 

An  infrastructure master plan will make a difference through integrated approach by breaking the entrenched silos over six years, which has received Rs 20,000 crore allocation in this year’s Budget. Propelled by seven engines – roads, railways, airports, ports, mass transport, waterways and logistics – PM Gati Shakti is an idea whose time has come, added the Minister.

 

The Minister appreciated PHDCCI for being the forerunner in having a specalised forum for Gati Shakti, the contribution for which will go  long way in alligning the objectives with the PM's Vision of being a globally leading economy.

 

To help make this plan success, the Minister urged all industry stakeholders to work in this direction collectively  to achieve its significant results.

 

Shri Amrit Lal Meena, Special Secretary  – Logistics, Dept of Commerce & Industry, Govt of India, said that a lot work is being done in this direction, mainly on component cost of transportation & fuel and inventory cost to bring in logistic efficiency. Time and cost overruns are major factors of concern in the implementation of the plan. Steps are being taken to bring them down to zero level. In PM GatiShakti master plan, 600 layers of all different ministries of state governments are integrated on digital platform for better coordination and early resolution. Gaps are identified  and taken up on priority basis regarding transportation to eliminate unnecessary congestion, said Shri Amrit Lal Meena.

 

Shri Pradeep Multani, President, PHDCCI , mentioned that the Indian logistics sector is on a big growth tide. According to the domestic rating agency ICRA, India's logistics sector is expected to grow at a rate 8-10 per cent over the medium term. This is an improvement over the compound annual growth rate (CAGR) of 7.8 per cent at which the industry grew during the last five years. Going forward, the government’s focus is to bring down the cost of logistics from the present 14.4 per cent. The development of the logistics sector is also extremely important for the Indian economy, as it will boost exports, create jobs, and give the country a prominent position in the global supply chain, said Shri Multani.

 

The 12th BRICS Agriculture Ministers Meeting was held virtually last evening.  The meeting was attended by the Ministers for Agriculture of China, South Africa, Brazil, Russia and India.

 

The Union Minister of State for Agriculture & Farmers Welfare, Ms. Shobha Karandlaje, participated in the meeting.  The Minister highlighted various steps and initiatives undertaken by the Government of India in the field of agriculture and for welfare of the farmers viz. PM KISAN, PM FASAL BIMA YOJANA, Soil Health Cards, Natural Farming, formation and promotion of FPOs etc. 

 

The Minister mentioned the recent initiatives taken by the Ministry of Agriculture for increasing the use of digital technologies in agriculture like Agri-stack and India Digital Ecosystem for Agriculture (IDEA).

 

Ms. Shobha Karandlaje emphasized on India’s resolve to fulfill the Sustainable Development Goals of ending hunger and step up production and productivity of agriculture through sustainable use of natural resources.

 

The Minister highlighted the National Mission on Food & Nutrition with focus on development of nutri-cereals and bio-fortified varieties of crops and also highlighted importance of millets in food and nutrition security and climate resilience. She called for support and celebration of International Year of Millets, 2023 by the BRICS nations. 

 

The BRICS Agriculture Ministers adopted a Joint Declaration of the Twelfth Meeting with the theme 'Strengthening BRICS Cooperation for Coordinated Agricultural and Rural Development' and also the BRICS Strategy on Food Security Cooperation amongst BRICS member countries.

The Malda Mango Merchants’ Association has requested authorities of the patent information centre of the state council of science and technology to give them authority to use GI (geographical indication) tags and logos of three popular varieties of mangoes in the interest of mango producers.

 

So far, only the state government can use the GI tags with the mango consignments, private producers cannot.

 

Uzzal Saha, the MMMA president, said the association was ready to pay the requisite fee to use the GI tags and logos for 'Lakshmanbhog', 'Fajli' and 'Khirsapati' or 'Himsagar' varieties of mangoes.

 

'They got GI tags and logos were approved long back. In 2017, the state government appealed for renewal of the GI tags and logos from the Registrar of the Geographical Indications. It was approved and is valid till 2027,' Saha said.

 

He explained that if mango growers could use GI tags for these species, it would promote trade both in domestic and export markets.

 

The mangoes are in high demand in Europe and Middle East.

 

The summer fruit is produced over 31,500 hectares in Malda with an average annual production of around 4 lakh metric tonnes.

 

Around 10 lakh people are directly or indirectly involved with mango production and trade in Malda.

 

Saha said that at a recent meeting of the MMMA, growers asked office bearers to take initiatives so that they can use the GI tags and the logos in the interest of promotion and trade, especially mango export.

 

'Once we get permission, tags and logos can be used by all our members. These three varieties of Malda mangoes can then be categorically identified in domestic and international markets. Also, buyers will be sure of the authenticity of these three varieties,' he said.

 

Another senior grower said that earlier Malda mangoes were sent to international exhibitions in Doha of Qatar and Milan in Italy. 'However, use of GI tag would help in increasing the international market for mangoes of Malda,' he said.

 

Bengal on Wednesday logged 85 Covid-19 cases, 48 recoveries and no death. Bengal has 469 active cases, according to the state bulletin. The state’s positive  confirmation rate is 1.07 per cent.

India could soon allow traders to ship out around 1.2 million tonnes of wheat as it seeks to clear cargoes stuck at ports since last month's sudden ban of exports of the grain, government and trade sources said on Wednesday.

 

But even after New Delhi's permission to export that much, about 500,000 tonnes of wheat could remain sitting at ports, as some traders have failed to secure export permits, the sources with knowledge of the matter told Reuters.

 

New Delhi banned wheat exports in a surprise move on May 14, but said it would allow overseas shipments backed by already issued letters of credit (LCs) and to countries that request supplies 'to meet their food security needs'.

 

Based on the LCs issued before May 14, the government would issue registration certificates required for wheat exports, said two senior government officials who declined to be named as they are not authorised to talk to the media.

 

Following the export ban, India has allowed wheat shipments of 469,202 tonnes, but at least 1.7 million tonnes are still lying at ports, raising quality concerns due to looming monsoon rains.

 

'Traders with valid LCs will be allowed to export but those with insufficient documentation will not get export authorisation,' said a second government source.

 

The permission to allow shipments of the cargoes stuck at ports will help ease shortages in countries such as Bangladesh, Sri Lanka and Nepal - the nations that rely most on Indian wheat.

 

The bulk of cargo would go to Bangladesh, and other likely destinations include Nepal, Indonesia, the Philippines and Sri Lanka among others, said a New Delhi-based trader with a global trading firm.

 

Traders who have not received permission for exports want the government to let them ship out to foreign countries requesting New Delhi for wheat supplies, dealers said.

 

'These traders are asking the government to allow them to export under government-to-government deals,' the New Delhi-based trader said. 'They are also asking people who have got certificates (to export) to buy their cargoes stuck at ports.'

 

Government and trade sources last month said India was considering allowing traders to ship out some of their wheat sitting at ports.

The Government of India gave ample time to sugar exporters and millers to submit their application on National Single Window System (NSWS) with regard to restriction on export of sugar beyond 100 LMT.

 

Taking into consideration unprecedented growth in exports of sugar and the need to maintain sufficient stock of sugar in the country as well as to safeguard interests of the common citizens of the country by keeping prices of sugar under check, Government of India decided to regulate sugar exports w.e.f. 01 June 2022 and imposed restriction on export of sugar beyond 100 LMT.

 

Applications were invited from sugar mills and exporters online on NSWS portal for obtaining approvals in the form of Export Release Orders (EROs) from Directorate of Sugar & Vegetable Oils, Department of Food and Public Distribution (DFPD) vide letter dated 24.05.2022.

 

All sugar exporters and millers were communicated to file online application in NSWS portal and were informed that the portal will be opened on June 1. Significantly, there was enough time for preparing the application and thereafter, filing it.

 

Instructions for sugar mills and exporters were issued and posted on website of DFPD. The applications were processed on first come first serve basis in timely manner. Since, large number of applications were received from sugar mills / exporters for quantity of more than 23 LMT till 3rd June’2022, & as quantity of only 10 LMT to be distributed among sugar mills / exporters, so it was decided to distribute quantity of only 10 LMT on pro-rata basis among sugar mills / exporters whose applications were received till 3rd June’ 2022.

 

In past few years also, whenever export quota was allocated among sugar mills it was allocated to sugar mills on pro-rata basis; therefore, this time also in order to maintain transparency & to give opportunity to all exporters/ sugar mills who have applied till 3rd June’ 2022, Export Release Orders were issued on pro-rata basis.

 

During past few years, sugar production in the country has been consistently more than the domestic consumption thereby creating surplus situation. With a view to address the problem of surplus sugar in the country, the Central Government has been encouraging sugar mills during past few sugar seasons to divert surplus sugar to ethanol and is also facilitating sugar mills to export surplus sugar thereby improving liquidity of sugar mills enabling them to clear cane price dues of farmers. Export of sugar and diversion of sugar to ethanol during the recent times has also helped in maintaining demand-supply balance and stabilizing domestic sugar prices. Details of sugar export and diversion of sugar to ethanol since sugar season 2018-19 (October-September) 

 

India has now become the largest producer of sugar in the World & 2nd largest exporter. Further, India is also the top consumer of sugar in the World. Consumption of sugar in India is consistently increasing at a growth of 2-4% per annum.

 

Export of sugar in past few years has increased considerably due to timely and proactive policy decisions taken by the Government. The Government has been providing assistance to sugar mills to facilitate export of sugar. However, considering the fact that the international prices of sugar during the current sugar season 2021-22, are on higher side in comparison with previous sugar season; the Government encouraged sugar mills to undertake export of sugar without depending on any sort of financial assistance from the Government. As a result, even without extending any assistance to sugar mills, exports are likely to touch a figure of 100 LMT in the current sugar season 2021-22, which is an all-time high. However, at the same time, Government has been continuously monitoring the progress of export so as to prevent any uncontrolled export of sugar so as to ensure that sugar is available to the domestic consumers at a reasonable price.

 

In the mid of May, 2022, it was analyzed by the Government that by the end of May’ 2022, about 90 LMT of sugar is likely to be exported; & it was decided by the Government that in case restrictions on export of sugar to a comfortable limit are not imposed on time, then, excess export of sugar may took place which would lead to scarcity of sugar in the country and may result in uncontrolled increase of sugar prices in the months of September-November,2022.

 

Government of India is committed to maintain stable prices of sugar in the domestic market and in last 12 months, prices of sugar are under control. Ex-mill prices of sugar in India are range bound between Rs. 3150 - Rs. 3500 per quintal while retail prices are also within control in the range of Rs.36-44 in different parts of the country.

Led by engineering goods, gems and jewellery, and petroleum products, India's exports rose 24.18% year-on-year to $9.4 billion in the first week of June, officials said on Wednesday.

 

Imports during June 1-7 were $16 billion, 76.9% higher than the year-ago period, leaving a trade deficit of $6.6 billion, they said.

 

'Around 80% of export growth came from non-petroleum products while 80% of import growth came from natural resources such as petroleum, coal and gold,' said an official.

 

Outbound shipments were $7.56 billion in the first week of June 2021.

 

India's goods exports had grown 15.46% on year to $37.29 billion in May.

 

During June 1-7, outbound shipments of gems and jewellery, engineering goods, petroleum products, and electronic goods grew 84.3%, 25.7%, 20.4% and 73.5%, respectively.

 

However, plastic and linoleum exports decreased 27.3% on year.

 

Major import goods that witnessed growth include petroleum, crude, coal, coke and briquettes, gold and chemicals.

 

Gold imports rose 391.9% in the first week of June while those of petroleum and coal were up 207% and 253.8%, respectively.

A four member French delegation led by the Special Representative for Bilateral Economic Relations, Mr. Paul Hermelin called on the Union Minister of State for Commerce & Industry, Shri Som Prakash here today. They discussed the scope for mutual cooperation across the entire gamut of bilateral and international trade and economic issues.

 

Shri Som Prakash gave an overview of major initiatives and reforms of the Modi Government in reducing cost of business and increasing Ease of Doing Business in India. He also explained about the success of India-France Fast Track Mechanism.

 

Shri Som Prakash highlighted India’s priorities ahead of the impending 12th Ministerial Conference (MC12) of the WTO due to be held in Geneva next week. The Minister sought support of Government of France for India’s proposal seeking TRIPS waiver in view of the global fight against the Covid pandemic. He also pointed out India’s stance on WTO negotiations related to e-Commerce and the moratorium on Customs duties on electronic transmissions that is due to expire in the run up to the MC12.

 

Speaking on the occasion, Mr. Hermelin said France is keen to pursue the Free Trade Agreement (FTA) negotiations between European Union and India. Both sides hoped to conclude the agreement before 2024. The pact will pave the way for India to give a boost to trade with the 27-member nation EU bloc, subject to ratification by both sides including the European Parliament. The two sides are due to reopen FTA talks in Brussels on the 17th June.

 

The French delegation included the Ambassador of France to India, Mr. Emmanuel Lenain.

India may not have much to look forward to in agriculture at the World Trade Organization (WTO)’s upcoming ministerial meeting, going by the latest draft texts circulated among member countries. The lack of progress on its key demands, including a permanent solution on public stockholding, makes any meaningful outcome for India look difficult, experts said.

 

The negotiations on agriculture in Geneva are taking place based on three broad agendas– a draft declaration on trade and food security, exemption of export restrictions on world food programme (WFP) purchases, and a text on decisions on agriculture. These do not, at the moment, include India’s key demands. The draft text talks about working towards an outcome on a permanent solution on public stocking for food security only by the next ministerial conference.

 

'We are actively involved in the discussions on agriculture at the ministerial. We are looking for a favourable outcome which accommodates India’s concerns. We need to see if a compromise can be reached in the coming few days. The current text is imbalanced,' said a government official.

 

The WTO ministerial conference takes place on 12-15 June, after a gap of four years. The chair of the agriculture negotiations, Ambassador Gloria Abraham Peralta (Costa Rica), said, 'The revised document does not accommodate all the comments from members, as some positions are too far apart to be reconciled. The new draft texts formed the basis of a realistic outcome that would be able to guide further negotiations after the Ministerial Conference while meaningfully responding to the ongoing food crisis.' The texts will be further revised, taking into account comments from member countries.

 

The draft text on UN’s world food programme purchases says that members shall not impose export prohibitions or restrictions on foodstuffs purchased for non-commercial humanitarian purposes by the WFP.

 

But India wants WTO to allow exports from public stocks for international food aid, including on a government-to-government basis.

 

'Under the provisions of the relevant WTO rules, member countries can temporarily impose export prohibitions or restrictions to prevent critical shortages of foodstuffs or other products essential to the country,' said a government official.

India could soon allow traders to ship out around 1.2 million tonnes of wheat as it seeks to clear cargoes stuck at ports since last month's sudden ban of exports of the grain, government and trade sources said on Wednesday.

 

But even after New Delhi's permission to export that much, about 500,000 tonnes of wheat could remain sitting at ports, as some traders have failed to secure export permits, the sources with knowledge of the matter told Reuters.

 

New Delhi banned wheat exports in a surprise move on May 14, but said it would allow overseas shipments backed by already issued letters of credit (LCs) and to countries that request supplies 'to meet their food security needs'.

 

Based on the LCs issued before May 14, the government would issue registration certificates required for wheat exports, said two senior government officials who declined to be named as they are not authorised to talk to the media.

 

Following the export ban, India has allowed wheat shipments of 469,202 tonnes, but at least 1.7 million tonnes are still lying at ports, raising quality concerns due to looming monsoon rains.

 

'Traders with valid LCs will be allowed to export but those with insufficient documentation will not get export authorisation,' said a second government source.

 

The permission to allow shipments of the cargoes stuck at ports will help ease shortages in countries such as Bangladesh, Sri Lanka and Nepal - the nations that rely most on Indian wheat.

 

The bulk of cargo would go to Bangladesh, and other likely destinations include Nepal, Indonesia, the Philippines and Sri Lanka among others, said a New Delhi-based trader with a global trading firm.

 

Traders who have not received permission for exports want the government to let them ship out to foreign countries requesting New Delhi for wheat supplies, dealers said.

 

'These traders are asking the government to allow them to export under government-to-government deals,' the New Delhi-based trader said. 'They are also asking people who have got certificates (to export) to buy their cargoes stuck at ports.'

 

Government and trade sources last month said India was considering allowing traders to ship out some of their wheat sitting at ports.