The European Union's (EU) stringent deforestation regulation would provide new opportunities for domestic agro-based industry players, as against their global competitors, as forest cover in India is increasing significantly, an official said.

While several countries in Latin America and Africa have cleared their forests for agricultural purposes, India's forest cover is increasing and there is no practice here in the country to cut forest for agri activities.

 

The government official said these regulations provide an opportunity for 'our industry because our forest cover has increased, our reserve forest is strong and it is increasing.

'Our forest land is different from agri land. We can demonstrate these facts to the EU and converge to some kind of understanding on this regulation'.

 

According to a report by think tank Global Trade Research Initiative (GTRI), India's exports of products like coffee, leather hides and paperboard worth USD 1.3 billion annually to the European Union will get impacted due to the deforestation regulation adopted by the EU.

Within three weeks of introducing the carbon border tax, the EU Council on May 16, adopted the European Union Deforestation-Free Products Regulation (EU-DR).

 

The report has also stated that the EU-DR appears to prioritise protecting its own agricultural sector and promoting exports, making imports more difficult, as it is a trade barrier disguised as a green measure.

The regulation covers cattle, buffalo, the meat of bovine animals, preparations, oil cake, soya beans, palm oil, cocoa bean, powder, chocolate, coffee, leather hide, skin, paper, paperboard, wood, wood articles, wood pulp, boards and wood furniture.

 

According to a trade expert, as the country's forest cover continues to witness an encouraging upward trend, Indian agricultural producers find themselves in a favourable position to cater to the EU's sustainable demands without resorting to forest clearance for agricultural purposes.

As per the India State of Forest Report (ISFR) 2021, India's forest and tree cover has risen by 2,261 square kilometres in the last two years with Andhra Pradesh growing the maximum forest cover of 647 square kilometres.

 

According to the report, India's total forest and tree cover is now spread across 80.9 million hectares, which is 24.62 per cent of the geographical area of the country.

Indian officials are continuously engaged with the EU on these issues, including CBAM (carbon border adjustment mechanism) on different platforms.

 

'However, one thing is clear that this is a new way of doing business and we have to conform to this. You can not just fight or sit outside as it will not help our industry,' the official, who did not wish to be named, said.

The expert said that India has limited options to counter these measures as they are for all countries which trade with the EU and not against India.

 

Taking the matter to the WTO dispute settlement mechanism too would not help more, because the mechanism is kind of defunct at present and imposing similar tariffs on EU products may also hurt Indian industry, the expert added.

India has to engage with the EU as it would not be possible to stop doing business with them.

 

EU measures are showing that they want to reduce their dependency on China and develop technologies and future-ready industry.

'It looks like some re-alignment is going on in the EU. So we have to see how we can participate in that re-alignment,' the official added.

 

As per the deforestation regulation, Indian exporters have to ensure that these products have been grown on land, which has not been deforested after December 31, 2020.

The new rules will apply to large firms after 18 months and small firms after 24 months. Thus, the timeline for large firms is December 2024 and for small firms is June 2025.

For the products covered under the carbon tax and EU-DR, the EU's share in India's global exports is 23.6 per cent.

The EU claims it wants to reduce its contribution to global deforestation by promoting 'deforestation-free' products, but this is seen as a deceptive narrative, the GTRI report has said.

'India has a functioning blockchain-enabled trace and track system being implemented by the Agricultural & Processed Food Products Export Development Authority (APEDA) for grape exports to the EU and other regions.

'It needs to be adopted for all covered products, and make exporters aware of the compliance requirement,' GTRI co-founder Ajay Srivastava has said.

A meeting between Minister of State for Agriculture & Farmers Welfare, Sushri Shobha Karandlaje and Deputy Prime Minister and Minister for Agriculture & Food Industries of Moldova, Mr Vladimir Bolea was held today at Krishi Bhawan, New Delhi.

 

Welcoming the Moldovan Deputy PM and his delegation, Sushri Shobha Karandlaje mentioned about the 31 years of close and friendly diplomatic relations between India and Moldova. She expressed her happiness on opening of Moldovan Resident Mission in New Delhi. The Indian Minister also mentioned about the declaration of the year 2023 as International Years of Millets (IYOM) by the United Nations on the proposal from Govt. of India and highlighted the benefits of millets for health as well as the environment.

 

Both Ministers emphasized on the potential for increasing bilateral trade in agricultural commodities and for strengthening of bilateral agricultural cooperation through exchange of knowledge and technology.

 

Mr Vladimir Bolea congratulated India on becoming the 5th  largest economy and also for India’s G20 Presidency. He proposed signing of a Memorandum of Understanding for cooperation between the two countries in the field of Agriculture which would provide an institutional mechanism for cooperation between the two countries.

 

Mr Bolea also expressed Moldova's interest in exporting vegetable oils to India and importing fertilizers and pesticides from India. He expressed Moldova’s support to India for its membership of UN Security Council in 2027 and informed that Moldova is a candidate to become an EU member and follows the EU standards and therefore their products are safe to consume.  He highlighted the Moldovan culture of producing wine and apples as a way of life and expressed their interest in exporting these products to India.

 

MoS agreed to the proposal of signing of an MoU and proposed that India will soon share a draft MoU with them. She also requested the Moldovan side to send proposal for cooperation in exchange of technology. The Moldovan Minister invited Sushri Shobha Karandlaje to visit Moldova.

Government of India has launched Central Sector Scheme for formation and promotion of 10,000 Farmer Producer Organisations (FPOs), in the year 2020 with a total budgetary outlay of Rs 6,865 crore which will enable farmers to enhance their bargaining power, leverage economies of scale, reduction in cost of production and enhancing farmers’ incomes through aggregation of their agricultural produce, thus playing a major role towards sustainable incomes.

 

Under the said scheme, FPOs being provided financial assistance upto Rs 18.00 lakh per FPO for a period of three years. In addition to this, provision has been made for matching equity grant upto Rs 2,000 per farmer member of FPO with a limit of Rs 15.00 lakh per FPO and a credit guarantee facility upto Rs 2 crore of project loan per FPO from eligible lending institution to ensure institutional credit accessibility to FPOs. Further, Rs 25 lakhs are given to CBBOs for hand holding each FPO over a period of five years.

 

Considering the significance and strategic role of State Government and its machinery down the line in synergising the efforts in mobilising the farmers, offering various services relating to production and post-production and also periodically reviewing the development and functioning of FPOs, Government has made provisions in operational guidelines of 10,000 Farmer Producer Organisations, scheme wherein a State level consultative committee called SLCC is constituted with additional chief secretary, secretary, In-charge of agriculture, agriculture marketing as its chairperson.

 

In addition to above, under 10,000 FPOs scheme, at district level, a District Level Monitoring Committee (D-MC) is constituted under the chairmanship of district collector, CEO, Zilla Parishad with representatives of different line departments and experts which provides approval for potential produce clusters in the block and also responsible for overall coordination, monitoring and implementation of the scheme at the district level. Provisions have also been made in Government of India schemes for availing benefits by FPOs.

Indian farmers have planted 23.7 million hectares with summer-sown rice so far, according to the farm ministry's latest data, up 1.71% year-on-year, as crucial monsoon rains revived in July and helped farmers accelerate sowing.

 

Higher rice planting in India, the world's second biggest producer of the grain, will ease concerns about the lower output of the staple.

 

Earlier this month, India ordered a halt to its largest rice export category - a move that will roughly halve shipments by the world's largest exporter of the grain.

 

Farmers typically start planting rice, corn, cotton, soybeans, sugarcane and peanuts, among other crops, from June 1, when monsoon rains are expected to begin drenching India. Sowing usually lasts until July and early August.

 

Summer rains are crucial as nearly half of India's farmland lacks irrigation.

 

India received 10% below normal rains in June, but in some states, the rainfall deficit was as much as 60% below average.

 

The India Meteorological Department defines average, or normal, rainfall as ranging between 96% and 104% of a 50-year average of 87 cm (35 inches) for the four-month season.

 

India's weather office has forecast an average amount of rain in July despite the likely emergence of the El Nino weather pattern.

 

July rainfall is crucial as it accounts for most of the precipitation for the four-month-long monsoon season.

 

This year, the delayed arrival of monsoon rains and lower rainfall in some southern, eastern and central states held back the planting of summer crops even as the monsoon covered the entire country nearly a week in advance.

 

Some regions in India, including breadbasket states such as Punjab and Haryana, have received torrential rains in July, triggering floods. Still, dry weather conditions prevail in some parts of the country.

 

Farmers planted 17.1 million hectares with oilseeds, including soybeans, 2.3% more than a year earlier. Corn was planted on 6.9 million hectares, almost unchanged from last year. The cotton area was marginally lower at 11.8 million hectares.

Meghalaya exporting over 1.3 tonnes of Pineapples to the Middle East.

 

To further promote and build the market for Meghalaya’s pineapples, the government is organising a Pineapple festival in Delhi. The festival will be held post the celebrations of Independence Day.

 

Following on the successful export of Khasi mandarin last year, the Department of Agriculture and Farmer’s Welfare, Government of Meghalaya and Meghalaya Basin Management Agency (MBMA) has recently facilitated market linkages of over 1.3 tonnes of Pineapples to the Middle East.

 

This is part of the continued efforts to reduce the gulf between the farmers of the state and lucrative international markets. The pineapples from Meghalaya are being sold across malls in Dubai, Kuwait and Sharjah, but more importantly the farmers are enjoying the fruit of their labour with up to two times increase in price realisation from these trades.

 

The efforts closer home has resulted in sustained market linkages with domestic processors and retailers. Last year, over 40 tonnes of pineapples were shipped to a Karnataka based processor to be further exported to European and North American markets. This year, the same processor has established a mobile processing unit at Umdihar IVCS, in Umdihar Village (Ri Bhoi) for taking in larger quantities and over 23 tonnes of Pineapples have been processed by the unit in the first week of its operation.

 

The processing units require pineapples weighing a kilogram and above and don’t accept fruits of smaller sizes. During harvest season, entire fields are harvested for sale, but only the large pineapples (Grade A) get sold to the processing units. This leaves the farmers with a large quantity of smaller sized pineapples (Grade B aka table variety). Since the ripening accelerates post-harvest, these table-variety pineapples are often sold at throw away prices.

 

To mitigate distress sale of these table-variety pineapples, the department is actively exploring market linkages with local retailers and have recently established linkages with Reliance Retail stores across Guwahati for sale of table-variety pineapples from Meghalaya. As a result of this intervention the farmers are now able to get over 2 times the price for the table-variety pineapples.

 

The Meghalaya pineapples are famous for their high-sugar content (brix value of 16-18) and low sourness. The pineapples in the State are mostly being cultivated without any use of chemical fertilizers and pesticides, resulting in significantly lower heavy metal and pesticide residue in the fruit. These traits make them highly suitable for lucrative international and national markets.

 

However, for long the trade has been dominated by middlemen and traders who often ‘book bagaans’ (farm fields) months before harvest season by paying the farmers a lumpsum amount. The farmers, having poor access to market information and needing money before the festive season and onset of school semester, unwillingly ‘book’ their farms at a fraction of the cost of the fruits on their farm.

 

The government has been actively working towards building community-centric, grassroots level solutions. These efforts are slowly coming to fruition now. The government has been working towards mobilising the farmers to form farmer cooperatives and farmer producer organisations (FPOs) across the state and over 350 such collectives have been formed in the last 3 years.

 

The Department and MBMA have been hand-holding these collectives so that they are able to replace the middlemen and transition to better production and marketing. For instance, the recent consignment of over 1.3 tonnes of Pineapples shipped to Middle East was undertaken by the ‘Silchang Dimrimbri Palwa Adling IVCS’ of East Garo Hills District. This was the first time that the farmer collective had undertaken an international trade and this was only made possible by the active support of the Department and MBMA.

 

Dr. Vijay Kumar D, Commissioner and Secretary, Government of Meghalaya, stated, 'We are delighted to witness the remarkable success of our pineapple growers in Meghalaya, who have embraced prosperity through their hard work and dedication. The recent market linkages to the Middle East and domestic processors are a testament to the immense potential of our state's pineapples in the international and national markets. The surge in price realization and the establishment of market connections have not only elevated our farmers' livelihoods but have also showcased the superior quality of Meghalaya's pineapples with their exceptional sweetness and low sourness. Government of Meghalaya recognized the challenges faced by our farmers in the past, and it has been our earnest endeavor to empower them with community-centric solutions. The formation of farmer cooperatives and producer organizations has proven instrumental in reducing reliance on middlemen and traders, enabling our farmers to receive fair value for their produce. The forthcoming Pineapple festival in Delhi is yet another significant step towards promoting our exquisite 'fineapples' and strengthening their presence in the national market. We extend our gratitude to the Department of Agriculture and Farmer’s Welfare, as well as the Meghalaya Basin Management Agency, for their unwavering support in realizing these achievements. As we continue to foster sustainable growth in the agricultural sector, we envision a brighter and more prosperous future for our farmers and the state of Meghalaya as a whole. Together, we shall cultivate success and sweetness in every step of this journey.'

In a collaborative effort, the Agricultural Products Export Development Authority (APEDA), National Crop Protection Organization (NPPO), Maharashtra State Board of Agricultural Marketing, Pomegranate Research Centre, Solapur, and INI Farms Pvt. Ltd. initiated the export of pomegranates to the United States on a pilot basis.

 

The inaugural shipment was flagged off by APEDA’s General Manager, Vinita Sudhanshu, at the Irradiation Facility Center in Vashi, Navi Mumbai. This strategic move is aimed at exploring the American market’s potential and creating new opportunities for pomegranate exporters.

 

Present during the launch were APEDA President Abhishek Dev, Director Tarun Bajaj, Executive Director of Maharashtra State Agriculture Marketing Board Sanjay Kadam, Dr R. A. Marathe from the National Pomegranate Research Center Solapur, APEDA General Manager UK Vats, Plant Protection Advisor J. P. Singh, and Satish Waghmode, Head of Irradiation Facility Center, among other officials and exporters.

 

The United States imposed a ban on pomegranate imports from India in 2017-18 due to concerns over fruit fly infestation in pomegranate seeds. After extensive discussions between the Indian government, APEDA, and NPPO, in collaboration with the US Department of Agriculture, the export ban was finally lifted in 2022, following the fulfillment of quality standards.

 

As part of the pilot export, 150 boxes (450 kg) of pomegranates were air-shipped to New York, USA, from the facility at Vashi, Navi Mumbai, adhering strictly to the prescribed pomegranate fruit standards set by the Maharashtra State Agricultural Marketing Board’s vegetable processing center.

 

This experimental venture holds promising prospects for Pune’s pomegranate industry as it aims to tap into the vast American market, presenting new avenues for growth and trade opportunities. APEDA and its partners are optimistic about the success of this initial export, which could pave the way for increased pomegranate exports to the USA in the near future.

The Hyderabad-based International Crops Research Institute for the Semi-Arid Tropics (ICRISAT) and Bangladesh Agricultural Research Institute (BARI) have released BARI Chinabadam-12 (ICGV 07219), an improved groundnut variety in Bangladesh. The variety is available for cultivation for the upcoming season post rains.

 

It demonstrates greater resistance to foliar fungal diseases and matures four days earlier than its counterpart. Additionally, the variety features desirable seed size, with kernels weighing 44-48 grams per 100 kernels, showing a sizeable increase of 4-8 grams compared to the check variety.

 

'This improved variety is more resistant to diseases and has been designed to meet the needs of food processing industries,' an ICRISAT executive said.

 

The variety clocks an average on-farm yield of about 2.0 to 2.2 tonnes per hectare. It has been approved for commercial release after successful testing in the country.

 

'This new variety presents a valuable opportunity for expanding groundnut cultivation in areas typically submerged during the rainy season, such as the ‘Char regions’ (newly-formed landmasses in a river or estuary) or locations adjacent to rivers with sandy-loam soil,' Manjurul Khadir, Principal Scientific Officer at BARI’s Regional Agricultural Research Station, said.

 

'I look forward to further releases, and it is great that BARI is currently testing high oleic acid groundnut varieties to meet the industry’s demands,' Sean Mayes, Research Programme Director (Accelerated Crop Improvement) at ICRISAT, said.

The Indian government has prohibited the export of deoiled rice bran until November, a Directorate General of Foreign Trade notification said on Friday.

 

'Export of de-oiled rice bran under ITC HS code 2306 and under any other HS code is prohibited until November 30, 2013,' the DGFT said in a notification.

 

The development came after more than a week, when the Centre prohibited the export of non-basmati white rice.

 

Infrastructure development in the Port Sector is a continuous process. The process inter-alia involves the construction of new berths and terminals, mechanization of existing berths and terminals, capital dredging for deepening drafts for attracting large vessels in port channels, development of road and rail connectivity etc., help in increasing the capacity of Major Ports.  As a result, the cargo handling capacity of the Major Ports has been steadily going up. The cargo handling capacity of Major Ports as on 31.03.2023 is 1617 MTPA, which is sufficient to handle the existing cargo traffic at the Major ports.

 

Under PM Gati Shakti, DPIIT prepared a Comprehensive Port Connectivity Plan (CPCP) in consultation with Ministry of Ports, Shipping and Waterways, Ministry of Railways, Ministry of Road Transport & Highways and State Maritime Boards in September, 2022.  CPCP incorporates 298 connectivity projects of which 191 projects (101 road and 90 rail).  These projects are aimed at enhancing last mile and hinterland connectivity of ports, which in turn will enhance the port efficiency, enabling the ports to handle more cargo. 

 

These road and rail infrastructure gap projects are primarily undertaken by the Ministry of Railways and Ministry of Road Transport & Highways on a priority.

 

This information was given by the Union Minister for Ports, Shipping and Waterways, Shri Sarbananda Sonowal in a written reply to the Lok Sabha.

On March 31, 2021, the Union Cabinet approved Central Sector Scheme - Production Linked Incentive Scheme for Food Processing Industry (PLISFPI), with an outlay of Rs 10,900 crore, to be implemented from 2021-22 to 2026-27.

 

The scheme consists of three components: incentivising manufacturing in four major food product segments (Ready to Cook/ Ready to Eat foods, Processed Fruits & Vegetables, Marine Products and Mozzarella Cheese), promoting Innovative/Organic products of SMEs, and supporting branding and marketing abroad for Indian brands. Additionally, the PLI Scheme for Millet-based Products (PLISMBP) was launched in the FY 2022-23 with an outlay of Rs 800 crore, utilising the savings under PLISFPI.

 

Under the scheme, 158 applications have been approved for availing incentives. As per the information received, the beneficiaries have invested Rs 7,427.22 crore under the scheme. So far, incentive of Rs 517.604 crore has been disbursed for the Financial Year 2021-22.

 

Government is fully aware of the potential issues that could arise from the PLISFPI scheme. To ensure its effectiveness and fairness, proactive measures were taken during the scheme formulation stage. Various stakeholders were actively engaged, and an extensive consultative process was followed, involving large-scale manufacturers, SMEs. As a result, the scheme guidelines ensure the scheme benefits all stakeholders, including farmers.

 

Category-II of the PLI scheme, with a specific focus on Innovative and Organic products, is exclusively for eligible MSMEs. A total of 16 applications have been selected under this particular category. Additionally, 22 applicants (out of 30 selected applicants) selected to participate under PLI Scheme for Millet-based products are MSMEs. Apart from the PLI Scheme, Government has introduced several other schemes to offer support across entire food value chain, which also helps SMEs in meeting international quality and safety standards for their food products.

 

The scheme guidelines specify that the entire manufacturing process, including primary processing, of the food products eligible for coverage under the scheme must occur in India, with the exception of additives, flavours, and edible oils. This approach aims to foster a strong value chain that benefits farmers and supports domestic production. These guidelines ensure farmer inclusivity, particularly for small-scale farmers, by guaranteeing remunerative prices for farm produce and higher income.