Bangladesh and India on Tuesday launched a much-anticipated trade transaction in rupees, a move aimed at reducing dependence on the US dollar and strengthening regional currency and trade. This is the first time Bangladesh has done bilateral trade with a foreign country in addition to the US dollar.

 

Bangladesh Bank Governor Abdur Rouf Talukder described the start of trade settlement in rupees as the 'first step in a great journey'.

 

'The trade position between India and Bangladesh has seen remarkable growth, with both countries benefiting from their economic cooperation,' he said at the launching ceremony here, which was also attended by Indian High Commissioner Pranay Verma.

 

The central bank governor said the transaction costs during trade with India would reduce with the introduction of the Taka-Rupee dual currency card which was 'almost ready (to be) launched from September'.

 

Bangladesh and India, however, stage frontier trading in certain areas called 'border hut' in a semi-formal manner where both currencies are exchanged on a limited scale.

 

Officials said under the formal arrangement from now on initially, the trade would be transacted in rupee and then gradually in Bangladeshi currency Taka upon the trade gap between the two countries decreasing.

 

Banks in Bangladesh and India have been given permission to open nostro accounts, an account in a bank of another country for the purpose of foreign currency transactions.

 

Officials said the exchange rate will be determined in line with market demand and banks involved in the process.

 

According to the latest official data from Dhaka, exports from Bangladesh to India amount to USD 2 billion, while Bangladesh's imports from India are worth USD 13.69 billion.

 

Several economists, however, said Bangladesh may not be able to reap the benefits of the new system very quickly because of the trade deficit.

 

But Talukder said he was not just looking into this USD 2 billion export as when 'we export and import in Indian rupees, it will have an effect on both countries' exporters and importers'.

 

'We can increase our exports manifold, because customers in India will be buying things in their own currency, considering it as their own products...It will open a new window for us in a bigger way in this (Indian) market because India is a big market,' Talukder said.

 

The Indian envoy said India-Bangladesh relations transformed significantly over the last decade.

 

'One of the most important manifestations of that transformation is our visibly growing economic and commercial ties and connectivity links,' he said, adding Bangladesh is India's biggest trade partner in South Asia, and fifth largest globally.

 

He noted in the last five years, bilateral trade has more than doubled.

 

The country's exports to India have consistently crossed the one billion dollar mark consecutively over the last three years and crossed two billion dollars for the first time during the last fiscal.

 

India, with its diverse market, has emerged as the top export destination for Bangladesh in Asia.

Haryana Agriculture and Farmers’ Welfare Minister, Mr. J. P Dalal highlighted the substantial increase in the budget allocation for the Agriculture Department, rising from 800 crores to 4,000 crores. This significant surge reflects the government’s unwavering commitment to strengthen the agricultural sector and ensure the welfare of farmers, he added.

 

During the closing ceremony of the three-day fruit festival at the Sub-Tropical Fruits Centre, Ladwa, Kurukshetra, Mr. Dalal emphasized the potential of farmers to achieve higher profits through tropical horticulture farming. He urged the farmers to adopt horticulture farming practices and leave traditional farming methods, in order to maximize profitability while reducing farming cost.

 

The Minister further encouraged the farmers to avail benefits of the special grant scheme initiated by the government to establish fruit orchards. This scheme offers grants to farmers for setting up orchards with a variety of fruit trees. The state government is actively promoting the establishment of fruit orchards as they offer higher profitability for farmers, he added.

 

The Minister commended events like the fruit festival for providing technical insights related to horticulture crops. He suggested developing horticulture tourism centres to educate urban children about fruit and other horticultural crop cultivation. He lauded the department’s efforts in creating awareness among farmers.

 

Haryana Sarasvati Heritage Development Board, Vice-Chairman, Mr. Dhuman Singh Kirmach lauded the people of Ladwa for their unique contribution in establishing the fruit centre.

 

Mr. Joginder Singh, Joint Director, Horticulture Department, stated that approximately 1,500 farmers received training on various aspects such as mango restoration, high-density plantation, drip irrigation, disease management, canopy management in litchi, nursery management, peach cultivation, plum and pear intensive management, and advanced international techniques. The fruit festival provided farmers with practical demonstrations and technical knowledge to enhance fruit yield and ensure disease-free crops.

 

The Agriculture and Farmers’ Welfare Minister also honoured officials, department representatives, and firms for their informative stalls aimed at educating farmers. He acknowledged the participation of 1,500 students from 22 schools in various competitions held during the event.

The Commerce and Industry Ministry has favoured tweaks in India's model Bilateral Investment Treaty (BIT) text for some of its trade partners but is firm on its stance on foreign investors not invoking arbitration until they have exhausted all local remedies.

 

As part of its ongoing negotiations with the European Union, India has insisted that the country's judiciary is strong and hence, investors need to exhaust all local remedies before opting for arbitration.

 

'Tweaks can be in the BIT to suit some of our partners as there are provisions available for that,' said an official.

 

'But our position is that we have an independent and strong judiciary and we would want investors to exhaust the local remedies. That is our non-negotiable position,' the official added.

 

The EU's investment model allows foreign investors to pursue a claim directly against a host country in the face of certain adverse actions by the latter.

 

However, under New Delhi's rule of exhaustion of local remedies, a claim must first be submitted before a relevant domestic court or administrative body. This is aimed to prevent arbitrators from having expanded jurisdiction.

 

'Their model is to look for an independent, international court or a panel and both sides pay for the expenses but this does not suit us. Arbitration has several models. So, we need a model that suits both sides,' the official said.

 

India's stance is significant as it has lost disputes to investment treaty award holders like Cairn Energy PLC, Vodafone Group BV and Devas Mauritius Ltd, and now has to balance safeguarding foreign investment with protecting public interest.

Agricultural enterprise Samunnati has facilitated farm gate procurement to direct export of 275 MT of Thomson seedless grapes to Netherlands for the grapes season 2023. To ensure a seamless value chain, Samunnati facilitated farm gate procurement, end-to-end primary processing, cold storage, packaging, and certification, all the way up to the export stage.

 

Mr. Pieter Kok, Managing Director of Vrugteboom International B.V., the export partner said 'We had a successful season with grapes from India this year, and we are happy to collaborate with Samunnati. This programme involving 275 tons proved to be highly efficient. The cooperation was exemplary, every aspect was handled meticulously, and prompt information was provided. Looking forward to continuing our fruitful collaboration next year!'

 

Mr. Sanjay Gore, a grape farmer from Nasik said 'Even if the season is good, it is the price and payment that affects us the most. This is where Samunnati proved invaluable to us. It ensured immediate payments, which greatly supported our operations. We are delighted with our association and their commitment to fair and prompt transactions.'

 

Operations of this nature need meticulous execution. It had to be ensured all grape suppliers were registered with the GI certification authority, reinforcing its commitment to upholding quality standards. From the program inception in October 2022 to the receipt of final remittance in July, 2023, the execution excellence culminated in the successful shipment of 20 containers of grapes. This achievement has not only benefited over 3 dozen local farmers but has also ensured they receive better value realisation for their produce. The farmers also received immediate payments as against delay of many weeks.

 

Commenting on the collaboration, Anil Kumar SG, Founder, and CEO, Samunnati, said, 'Our efforts in facilitating grape exports to the Netherlands exemplify the power of a solution-oriented approach in overcoming export challenges from streamlining certification processes to addressing infrastructure and warehousing requirements. By empowering farmers and driving positive change, these initiatives ensure that farmers receive the maximum benefits in terms of meeting their working capital requirements and better value realization for their produce. It is also a valuable learning experience for Samunnati, inspiring us to pursue more opportunities and create an even greater impact in the future.'

The food authority has issued a direction to FSSAI notified laboratories to review their capabilities related to organic food testing. The labs were also asked to get APEDA recognition for the same.

 

The FSSAI’s direction says that the laboratories are required to take necessary measures to upgrade the infrastructure, as Government of India has decided to promote organic products in India in coming years.

 

The labs were asked to review their current capabilities and take the necessary steps to enhance the infrastructure and scope of the testing for organic products. The labs were also asked to make an application to APEDA for recognition of the laboratory for testing organic products and apply to National Referral Laboratory of APEDA for participation in proficiency testing as a pre-requisite to qualify for pre-export testing of organic products.

 

According to FSSAI, it has been decided by the Government to promote organic products in India by encouraging and strengthening cooperative societies. The success of this depends on the reliable testing to ensure their authenticity of the organic products.

 

'Therefore, all food testing laboratories need to optimise their facilities and procedures to handle organic testing efficiently and accurately,' reads the direction issued by the FSSAI.

In a first, the Food Safety Standard Authority of India (FSSAI) under the aegis of the union health ministry will hold a meeting with the global food regulators including G20 countries on 20-21 July.

 

The plan is to strengthen food safety system and regulatory framework across the global food value chain.

 

According to the India’s apex food regulator, the country’s food safety and regulatory system needs constant evolving to counter the emerging food hazards, pandemic scenarios and implement new technologies.

 

As per WHO, food safety is a major determinant of health. It affects the survival, well-being, livelihood and productivity of individuals and eventually societies. One in 10 people worldwide fall ill from eating contaminated food each year.

 

Unsafe food costs low- and middle- income countries $110 billion each year in productivity and medical expenses.

 

'We are seeking participation of food regulators from around 60 countries including G20 member countries. This is an opportunity to create an exchange of information on food products regulatory and safety requirements and to enable a common dialogue on food safety, food standards, risk assessment, analytical competence, labelling. Beside this, it will enable the food value chain stakeholders such as government, food manufacturers, processors, exporters and importers to understand food safety and regulatory framework in other countries,' said the official aware of the matter.

 

There will be a signing of Memorandum of Understanding (MoU) with the countries such as Netherlands, Australia, Morocco on food safety measures.

 

According to the Food Service and Restaurant Business Report 2022-23, India’s food service market is expected to reach $79.65 billion by 2028, growing at a CAGR of 11.19% from $41.1 billion in 2022.

 

'The summit will help us to understand current and emerging challenges and define a way forward to ensure effective implementation of food safety, quality and regulatory norms. Different government departments and ministries like ministry of commerce, agriculture, food processing, CDCSO, ICMR are likely to participate,' said the official.

 

The plan is also to launch first ever common digital platform—Food-o-Copoeia—an online guide prepared by any food authority in the world to captures all requirements related to quality, safety, labelling, claims, documents, regulations, prohibitions etc. for a specific food product.

The Uttar Pradesh government has unveiled an ambitious plan to enhance the state's agricultural value by investing approximately Rs 3,800 crore in agricultural start-ups during the financial year 2023-24 (FY24).

 

The initiative aims to bolster various sectors including seeds, fertilizers, warehousing, soil nutrients, harvest/post-harvest crop management, and food processing units. Additionally, the scheme covers agricultural and horticultural crops along with allied farm activities such as pisciculture, sericulture, and food processing.

 

A senior agriculture department official revealed that the state intends to approve a minimum of five agricultural ventures and start-ups each month in all 75 districts. By streamlining the loan process, the government hopes to extend the benefits of the scheme to over 3,000 agricultural entrepreneurs and young farmers.

 

The funding for this endeavor will be sourced from the Centre's Agriculture Infrastructure Fund (AIF) scheme, which focuses on investing in medium- and long-term community agricultural assets at the local level. To be eligible for a credit line from designated commercial banks, the project must have a value exceeding Rs 1 crore.

 

Under the scheme, beneficiaries will receive an interest subsidy of 6 percent, equally shared by the AIF and the state government. Notably, projects with a value of up to Rs 2 crore will not require collateral or guarantees during the loan application process. The official stated that the core objective was to facilitate a profitable post-harvest value chain and ensure lucrative prices for farmers and agricultural entrepreneurs.

 

To facilitate the implementation of the scheme, the central government has signed a memorandum of understanding with nearly a dozen public sector banks, enabling them to provide loans under the AIF scheme. Agriculture serves as the backbone of Uttar Pradesh's economy, and in the 2022-23 period, the state's agricultural exports witnessed a growth of 5.5 percent, reaching approximately Rs 19,000 crore compared to Rs 18,000 crore the previous year.

 

These farm exports encompassed various agricultural and horticultural crops, including fruits, vegetables, food grains, and oilseeds, particularly those promoted by the Agricultural and Processed Food Products Export Development Authority.

 

The Adityanath government has set an ambitious target of doubling rural income by adopting a multi-faceted approach that focuses on increasing farm productivity, yield, acreage, and establishing a profitable marketing chain.

It’s a second bite at the cherry, for growers from the US betting on a fruitful trade with India. With India removing the fumigation requirement on cherries shipped from the US, the Northwest Cherry Growers (NWCG) are hopeful of growing their market presence in India rapidly.

 

On Tuesday, as the NWCG, a trade association based in the US, launched its promotion campaign in India to introduce this summer’s crop of the juicy red fruit in retail stores here. Ron Verdonk, Minister-Counselor for Agricultural Affairs, Embassy of the United States of America, commented how earlier too they had access to the Indian market, but the fumigation protocol caused distribution issues for the Pacific Northwest cherries.

 

Fumigated cherries tend to soften quickly thereby affecting shelf-life and onward distribution to smaller towns, where according to Sumit Saran, In-Country Marketing Representative of NWCG, there is now growing consumer interest in exotic imported fruit. He described how even places like Dhanbad are showing interest in products like blueberries and cherries. The Northwest cherries are currently retailing in the Indian market for Rs.1,500 a kg though in the next few weeks as more volumes come in, prices are likely to come down, said Saran. July is the start of the season for the US cherries which retail till August end and so far 4,400 boxes each of 10 kg have been shipped to India.

 

Rosy outlook for apples

Meanwhile, Verdonk was also pretty gung-ho about the apples and walnuts trade from the US picking up in India this year after the announcement that the retaliatory tariffs on these will be ended during the recent visit of Prime Minister Modi to the US. 'Come September and we will have a level playing field for Washington apples again,' said Verdonk.

 

In 2017, India was the second biggest export market for Washington Apples, raking in $120 million for the 1,400 odd growers of the fruit. However, in 2019, India imposed retaliatory custom duties on 28 American products including apples, walnuts, chickpeas and lentils. This dealt a body blow to Washington Apples which faced an additional 20 per cent duty (added to the existing 50 per cent) and resulted in only $1 million worth of the fruit being exported to India last season.  India is a big consumer of apples, and imported a total of 3,60,000 tonnes last year. 'The opportunity in India is immense,' said Verdonk. 

 

He anticipates that the tariffs will be lifted coinciding with the apple harvest in the US and will bring cheer to the growers in Washington.

 

Nutritionist Kavita Devgan on the nutritional benefit of cherries

 

During the cherry promotion event, nutritionist Kavita Devgan talked about the nutritional benefit of the stone fruit, which she said had a low glycemic index (20-25) and thereby was diabetic friendly. She also dwelled on the fact they have anthocyanins which helps in lowering blood pressure and natural melatonin that promotes better sleep.  

 

And to drive home the point that there is a lot more to cherries than sprinkling on top of desserts, celebrity Chef Vicky Ratnani rustled up savoury delicacies that heroed the fruit — a millet cherry khichdi and a charcoal grilled slider accompanied by a tangy cherry sauce.

The Coimbatore District Small Industries Association (Codissia) will organise here Agri Intex, an agricultural fair, from July 14 to 17.

 

K. Dhinesh Kumar, chairman of the event, told presspersons on Tuesday that the event at Codissia Trade Fair Complex will have 485 participants occupying nearly 3.5 lakh sq.ft of exhibition area, including outdoor space. There will be model farms, demonstration of machinery, a pavilion (AnimaEx) to display native Indian cow breeds, and live demonstration of automation and drones in agriculture.

 

The focus this year is on drones. 'Application of drones has increased in agriculture, such as land survey, picking flowers, spraying fertiliser, etc.,' he said. The displays will be related to precision farming, solar pumping, micro irrigation, farm mechanisation, soilless agriculture, automation, value addition and animal husbandry. Apart from display of agriculture machinery, implements, fertilizers and manure, dairy farming, seeds, landscapes, etc, there will be business networking sessions on July 15 with companies from South Korea, and on July 17 with companies from Israel. As many as nine companies from South Korea will set stalls at the exhibition and there will be a business meet with Indian companies doing similar products. Several Israeli companies have a presence in India and a team will visit the fair to have business meet with companies here in areas such as water technology, he added.

 

Over 1.5 lakh farmers are expected to visit the exhibition, which will be inaugurated by Minister for Agriculture M.R.K. Paneerselvam on July 14, and will be open from 9 a.m. to 6 p.m. on all the four days. The entry fee is Rs.50 for a general visit and free for a farmer, who has to produce an identity document. It is supported by the Department of Agriculture and Farmers Welfare, Government of India, Union Ministry of MSMEs, Tamil Nadu Agricultural University, Tamil Nadu Veterinary and Animal Sciences University, Tamil Nadu Fisheries University, and All India Agricultural Machinery Manufacturers’ Association.

The Indian government will set its own standards on artificial sweeteners such as aspartame and does not have to do what international agencies say, a top official of the Food Safety and Standards Authority of India (FSSAI) said.

 

'We don't have to follow the West or East as India is in a powerful situation..we are working on what the effect of consuming aspartame or other sweeteners can have on the Indian population,' FSSAI Advisor HS Oberoi said on Thursday, while addressing a conclave by the Indian Beverages Association (IBA), which represents Coca-Cola, PepsiCo, Red Bull and Dabur among other beverage companies.

 

Last week, Reuters reported that the World Health Organisation (WHO)'s cancer research arm, the International Agency for Research on Cancer (IARC), will publish a report that aspartame could be declared a possible cancer risk to humans. Aspartame, an artificial sweetener, is used by soft drinks like Diet Coke, ice-cream and chewing gum. The IARC report is expected to be made available together on July 14, a potential development that could have a cascading impact on the consumption of low-sugar and diet beverages and foods.

 

Oberoi said the FSSAI will define guidelines and thresholds of usage of artificial sweeteners based on its own risk assessment studies and in consultation with all stakeholders, including foods and beverages companies, scientists and government agencies.

 

'We don't have to go by what the world says..our regulation will be based on what our scientists feel is good for the Indian population, based on risk assessment studies and in consultation with all stakeholders,' he said.

 

Two months back too, the WHO released conditional guidelines which said that non-sugar sweeteners like aspartame and stevia do not help in weight loss and can increase risk of type 2 diabetes and cardiovascular diseases. The WHO had said replacing free sugars with non-sugar sweeteners (NSS) does not help with weight control in the long term, adding that these are not essential dietary factors and have no nutritional value.