Close on the heels of Prime Minister Narendra Modi christening millets as ‘Sri Anna’ (divine foodgrain), the Uttar Pradesh government is looking to more than double the cultivated area of indigenous foodgrains.

 

The state is targetting to increase the millets acreage from about 1.1 million hectares to over 2.5 million hectares. UP is among the top millet producing states in India with its basket comprising jowar, bajra, kodo, ragi, kottu and sanwa.

 

At the same time, the state will launch exclusive millet outlets and engage women rural entrepreneurs and self-help groups (SHG) in its value chain.

 

According to the agriculture department, the current cultivated area of jowar and bajra in UP stands at more than 170,000 hectares and 900,000 hectares, respectively.

 

'Apart from increasing the acreage of millets, the state is also taking steps to augment the institutional procurement of ‘Sri Anna’ to encourage farmers to adopt its cultivation,' a senior official said.

 

Millets offer a spectrum of low-risk crops, which are resilient to climate change. As such, the state has decided to promote the cultivation of such nutritious cereals in the rain-fed areas.

 

Meanwhile, the government has drafted a multi-pronged strategy to promote consumption of millets and popularise cuisine based on such cereals. UP Chief Secretary Durga Shankar Mishra issued a circular in this regard to the departments concerned, including tourism, food & civil supplies, rural development, etc.

 

While the state is planning to introduce millets in the mid-day meal scheme, the tourism department will organise cooking competitions for hotels and restaurants focussing on the cereal. Foodchains, hotels and restaurants have been advised to prominently display millet-based menus.

 

Under the one district one product (ODOP) template, bajra cultivation will be promoted in Agra and Kanpur divisions, while Mirzapur and Sonbhadra divisions will be entrusted with boosting kodo and sanwa.

India, the world's second largest sugar producing nation after Brazil, can export an additional 1 million tonnes of the sweetener if the domestic output reaches an estimated 33.6 million tonnes this year, a senior food ministry official said on Monday. The government will take a call next month on allowing more quantities of sugar exports, after assessing domestic production, he said.

 

Sugar availability is comfortable in the country and as a result wholesale and retail prices of the sweetener are on a decline in the last one month.

 

The food ministry has allowed 6 million tonnes of sugar exports for the current 2022-23 marketing year (October-September).

 

India exported a record 11 million tonnes of sugar in the previous year.

 

'More exports are possible and we have a cushion for exports of additional one million tonnes, suppose the overall production reaches the estimated 33.6 million tonnes this year,' the official said.

 

Sugar production has already reached 24.7 million tonnes till February of the ongoing 2022-23 marketing year, while mills have despatched 4.3 million tonnes for exports so far this year, he said.

 

The crushing operation will come to an end by the next month and the government will review exports after assessing the final production figures, he added.

 

According to the food ministry, the country's sugar production has been estimated lower at 33.6 million tonnes for the 2022-23 marketing year, due to fall in production in the top three producing states.

 

Sugar production in Maharashtra, the country's leading sugar producing state, is estimated to be lower at 12 million tonnes in the 2022-23 marketing year, as against 13.7 million tonnes in the previous year.

 

Production in Uttar Pradesh is also likely to decline marginally to 10 million tonnes, as against 10.2 million tonnes, while that of in Karnataka it is estimated to drop to 5.5 million tonnes, as against 6.2 million tonnes during the comparable period, as per the official data.

 

About 5 million tonnes of sugar will be diverted for ethanol production this year, much higher than 3.6 million tonnes in the previous year.

 

Despite an estimate of lower sugar production, the official said India's total availability of sugar would be 40.1 million tonnes in 2022-23, which includes a carry-over stock of 7 million tonnes.

 

Initially, carry-over stock was projected to be 6.1 million tonnes but it has risen to 7 million tonnes after actual verification of stock by state governments, he added.

 

The official asserted that there is no supply concern and both wholesale and retail prices are on a decline in the last one month.

 

Wholesale price of sugar was ruling at Rs 3,841 per quintal on March 3, as against Rs 3,860 per quintal a month ago. Retail price of sugar too was down marginally at Rs 41.61 per kg, as against 41.8 per kg during the comparable period, the official added.

 

On cane arrears, the official said the current year has been one of best years as mills have cleared maximum dues.

 

Out of Rs 1,18,271 crore dues payable during 2021-22 marketing year, the pending arrear is only Rs 432 crore.

 

Similarly in the ongoing 2022-23 marketing year, mills have a clear 77 per cent of Rs 69,381 crore dues payable to the growers so far. Pending dues is about Rs 15,842 crore which will be paid soon, the official added.

India and Iceland Monday reviewed the status of ties, including trade and investments and the India-EFTA Trade and Economic Partnership Agreement (TEPA) negotiations.

 

India and Iceland held their third Foreign Office Consultations with the Indian side led by Sanjay Verma, Secretary (West), Ministry of External Affairs, and the Iceland side led by Martin Eyjlfsson, Permanent Secretary of State in Iceland's Ministry of Foreign Affairs.

 

During the talks, both sides comprehensively reviewed the status of relations in all fields, including political, trade and investments, India-EFTA-TEPA negotiations, fisheries, geothermal cooperation, capacity building, cultural relations and people-to-people contacts, a Ministry of External Affairs statement said.

 

Detailed discussions were held on the future direction of cooperation, including in the multilateral fora, particularly the UN, it said.

 

EFTA is limited to four countries - Switzerland, Norway, Iceland and Liechtenstein.

 

The India-EFTA Trade and Economic Partnership Agreement (TEPA) negotiations started in October 2008. Several rounds of negotiations have been held so far.

 

The consultation on Monday provided an opportunity to exchange views on regional and international issues of mutual interest, including developments in the neighbourhoods of India and Iceland, the EU, the Ukraine conflict, the Arctic and gender issues, according to the statement

India, the world's biggest importer of vegetable oils, is considering raising its import duty on palm oil to help support local farmers reeling from a crash in domestic rapeseed prices, government and industry officials said on Monday.

 

The increase in the tax on palm oil could lift local prices, making the tropical oil a little less competitive than rival soyoil and sunflower oil.

 

'We have proposed an increase in import duty on palm oil to support rapeseed prices,' said a government official, who declined to be named in line with official rules.

 

'Rapeseed supplies from the new season are putting pressure on prices, which have fallen below MSP (minimum support price),' said the source referring to the government-set rate which acts like a benchmark for the domestic market.

 

If commodity prices fall below MSPs, the government usually tries to help prop up rates to protect farmers.

 

In spot markets, rapeseed prices were around 5,000 Indian rupees ($61.21) per 100 kg, below the government-fixed price of 5,450 rupees per 100 kg.

 

Indian farmers plant rapeseed, the main winter-sown oilseed, in October and November, with harvests from March. Higher prices encouraged farmers to expand the area under rapeseed.

 

After abolishing the basic import tax on crude palm oil (CPO) last year, India continues with a 5.5% tax on CPO shipments. The country also levies a 12.5% import tax on refined, bleached and deodorized palm oil.

 

'Since world prices have dropped, India is looking at raising the duty,' the source said. 'Overall food inflation might be a concern for the government, but vegetable oil prices have dropped.'

 

Lower rapeseed prices have hurt farmers from India's western state of Rajasthan, and the government would like to protect growers ahead of the state election, trade and industry officials said.

 

Rajasthan accounts for more than half of the rapeseed production.

 

'There is a proposal to raise the duty, and an inter-ministerial panel is looking into it,' said the second source, who also didn't want to be named citing official rules.

External Affairs Minister S. Jaishankar on Monday held a virtual meeting with Denis Manturov, Deputy Prime Minister of the Russian Federation and Minister of Trade and Industry, and Co-chair of the India-Russia Inter-governmental Commission on Trade, Economic, Scientific, Technological and Cultural Cooperation (IRIGC-TEC) to push investment and trade ties.

 

The Co-chairs reviewed the progress achieved in the various Working Group and Sub-Group Meetings under the IRIGC-TEC framework since their meeting in Moscow in November 2022 and gave guidance to prepare ground for the next in person meeting of IRIGC-TEC which will be held in New Delhi at mutually convenient dates.

 

The two sides agreed to work together to unlock the full potential of India-Russia bilateral trade and economic relations including through addressing the trade deficit and market access issues, according to a MEA statement. India Russia trade last year touched a record high of 31 bn usd and is expected to grow further in 2023.

 

The Inter-governmental Commission is a mechanism for regularly monitoring bilateral progress across the sectors of trade and economic cooperation between the two countries which was set up by an Agreement on inter-governmental Commission on Trade, Economic, Scientific and Technological Cooperation signed in May 1992.

 

The first session of IRIGC was held on 13 and 14 September 1994. So far, 23 IRIGC meetings have been held. 23rd Session of IRIGC was held on 14 September 2018 in Moscow. The 24th IRIGC-TEC meeting will be hosted by India.

 

India’s fresh grape exports for the financial year 2022-23 are seen higher both in volumes and value on good demand from Europe, the largest buyer and ample supplies.

 

This is despite a delayed start to the export season and adverse factors such as a hike in import duty by one of the large buyers Bangladesh and slower shipments to Russia due to the war situation, exporters said.

 

'The demand is good from Europe. We are expecting this year’s exports to touch the peak levels of 2019,' said Vilas Shinde, Chairman and Managing Director, Sahyadri Farmers Producer Company Ltd (Sahyadri Farms), a large exporter of fresh grapes.

 

All-time high

India’s grape exports had touched an all-time high of $335 million in 2018-19 but had declined in subsequent years to factors such as Covid-related lockdown and soaring freight rates triggered by global logistics challenges and a decline in output due to the inclement weather conditions.

 

Though the export season was delayed by a fortnight this year and started in January’s third week due to the impact of unfavourable weather, the shipments have picked up and gained pace.

 

'The climate is clear now and is seen helping the production and productivity, unlike in the past three years when output suffered due to the bad weather. The only issue is shipments are not happening to Russia due to the war situation. Also, Bangladesh has increased the import duty to Rs.53 a kg from Rs.32, which is a bit of concern and may result in a decline in shipments of around 10-15 per cent to that country,' Shinde said.

 

Of the close to 2.4 lakh tonnes of fresh grapes exported from India, Europe accounts for over 1 lakh tonnes, followed by Bangladesh at around 60,000 tonnes. Other geographies including West Asia and Russia account for the rest.

 

As per the latest data from APEDA, India has shipped out grapes worth $69.65 million in the April-November period of the current financial year, an increase of 23 per cent over the same period last year. Being a short seasonal fruit, the bulk of the fresh grape shipments take place during the January-March period.

 

Positive growth expectations

Currently, India is the 11th largest exporter of grapes in the world and shipments have grown at a compounded annual growth rate of 12.6 per cent in the last decade.

 

'This year will be good and positive for the grapes exports. We will do very well,' said M Angamuthu, Chairman, APEDA. 'Because of our strong traceability system, upgraded with blockchain technology, we have managed to tap the high-value European market, which has given a boost to grape exports. APEDA is making efforts to penetrate new markets and intends to improve product diversification and value addition too,' Angamuthu added.

 

'Grapes exports are relatively okay compared to the last year. So far, the season has been good and we are expecting to ship out over 100 plus containers, around 1,500 tonnes,' said Pankaj Khandelwal, Chairman and Managing Director, INI Farms, which was acquired by agri-tech firm AgroStar. INI Farms exports around 100 containers of grapes annually, mainly to Europe.

 

Sahyadri’s Shinde said considering good demand and production this year, his organisation is expecting to clock a growth of 10-15 per cent in fresh grape shipments this year. Last year, Sahyadri shipped out around 1,100 containers, each carrying about 14 tonnes.

 

What the stats say

India’s grape exports during 2021-22 stood at $305.7 million, a 2.6 per cent decline over the previous year’s $314 million.

The top ten export destinations of grapes during 2021-22 were the Netherlands, Bangladesh, Russia, the UK, UAE, Germany, Nepal, Saudi Arab, Malaysia, and Thailand.

As per the third advance estimate for 2021-22, grape production is seen higher at 3.47 million tonnes over 2020-21’s final estimates of 3.358 million tonnes.

Union Agriculture and Farmers Welfare Minister Shri Narendra Singh Tomar has said that the interest of farmers is paramount for the Government of India under the leadership of Prime Minister Shri Narendra Modi. In this direction, to ensure the availability of good quality seeds to our farmers, the Modi Government will soon launch the Seed Traceability System. This will curb the pilferage in the seed trade sector. Union Minister Shri Tomar said this as the chief guest during the two-day Indian Seed Congress organized by the National Seed Association of India in New Delhi today.

 

Shri Tomar said that suggestions have been taken from the concerned parties on the Seed Traceability System. Farmers will benefit with its launch, as well as all it will help the people doing good work in the seeds sector and ensure that the seed sector works properly. Whatever obstacles come in the way of smooth functioning of the seeds sector, the government is very serious in this regard. He said that this is the first ever government which has abolished the obsolete laws which had become irrelevant in the 75 years of India’s Independence. Taking this issue very seriously, Prime Minister Shri Modi has given strict instructions and abolished about 1,500 such laws, so that they cannot be misused against any institution or individual. It is necessary that the trade & industry sector in the country should be able to function properly, without any fear, and the Modi government has shown it by doing so. For the first time, the Modi government has complimented the taxpayers of the country, as well as by carrying out legal reforms in the interest of all sections, the Government has enabled an atmosphere of trust among all sections of the country. This shows the vision of the government. If we want to make our country a developed nation in the coming time, then this environment of mutual trust will not only have to be improved, but we will also have to strengthen it. Government will appreciate the sentiments of the Industry and the Industry gives its seal of approval that Government has faith in the Industry, then surely we too will not do any wrong thing.

 

Shri Tomar said that our Agriculture sector is prosperous and it is the backbone of the economy. India is in the leading position in Agriculture, yet in some areas like oilseeds and cotton we are yet to be self-sufficient, stakeholders of the seeds sector should also contribute to make the country AatmaNirbhar by reducing imports. In this direction, the seeds Industry needs to prepare a roadmap and implement it. Shri Tomar said that coming times are a very lucky mascot for India. Everyone has seen the political scenario of the world, India's credibility and our importance is visible today on the political forums of the world as indelible as never before. Today, a large part of the world expects India to fulfill their needs. Due to the efficient and strong leadership of Prime Minister Shri Modi and everyone's contribution in the progress of the country, this position of strength has manifested.

 

The Union Minister said that India has taken rapid steps through 'Make in India', while the PM Gati Shakti program is going to strengthen the foundation of a developed India in the coming times. It is the responsibility of all of us who are working in the field of agriculture to be ready to meet the expected needs of the country and the world, keeping in mind the increasing population by the year 2050, as well as facing the challenges of climate change and bringing the country to the leading position while solving problems, this should also be included in our roadmap. Appreciating the contribution of the seed sector in the continuous progress of the agriculture sector, Shri Tomar said that the Seed is the Nature, the development of the Seed leads to the development of the Nature. Irrespective of the field, the seed is important, the quality of the seed is definitely of utmost importance for any field. In the field of agriculture, the quality of seeds, its development, increasing numerically; its use by the farmers and human consumption is a long journey, the people who are participants in this journey are doing their business but at the same time, their responsibility towards mankind is also very important, which should be assumed seriously by all. Shri Tomar also appreciated the contribution of scientists of all the institutes affiliated to the Indian Council of Agricultural Research (ICAR) in developing climate friendly and biofortified varieties as well as other superior varieties of seeds. On this occasion, Shri Tomar unveiled the ‘Seeds for Global Unity’ Wall. The office bearers of the association, - Shri M. Prabhakar Rao, Shri Dinesh Patel, Shri Vaibhav Kashikar, Dr. B.B. Patnaik & Shri R.K. Trivedi were also present.

Millets Giveaway is a special marketing campaign being undertaken by Small Farmers’ Agri-Business Consortium, a Society promoted by Ministry of Agriculture and Farmers Welfare, Govt. of India. Under the campaign SFAC aims to promote buying directly from FPO (Farmer Producer Organisation) farmers with the aim of supporting small & marginal farmers of the country.

 

Dr Maninder Kaur Dwivedi, Managing Director, Small Farmers’ Agri-Business Consortium, Union Ministry of Agriculture and Farmers Welfare said that citizens are being encouraged to buy directly from FPOs selling millets via ONDC’s My Store, the Connected marketplace built in India for Indian sellers. The Giveaway campaign supports three main areas –

 

Motivates general public to buy directly from FPO farmers. The buyers get pure and authentic produce and with their purchase they support livelihoods of the small & marginal farmers.

Buyers get to experience how easy it is to use the ONDC’s My Store platform

Millets being the focus for the year with #IYM2023, this campaign motivates more people to adopt #Shree Ann

Speaking about Hulsoor Mahila Kisan Millets Producer Company Limited, founded on March 2, 2021, Dr Kaur said, it is involved in crop cultivation, horticulture, providing support & services to farmers. The FPO resulted in a long-term change in the lifestyle of the farmers of Karnataka's Hulsoor block.

 

Before joining the FPO, farmers used to cultivate traditional varieties of various crops using conventional farming methods. It added millet to these farmers' crop portfolios as a new crop. FPO recently established its own input shop, where members can purchase high-quality seeds, fertiliser, and other inputs at reduced prices.

 

The FPO also has a custom hiring centre where farmers can rent farm machinery. As a result of demonstrated crop cultivation techniques and Good Agricultural Practices to FPO farmers, average crop productivity increased by 30-50%.

Exports of agricultural and processed food products rose by 10% to $ 21.79 billion during the first ten months of the current fiscal (2022-23) compared to the same period last year, driven by a spike in shipment of rice, fruits and vegetables, livestock and dairy products.

 

This comes at a time when India’s merchandise exports shrank by 6.59% to $32.91 billion on year in January, 2023 because of the slump in global trade and a moderation in domestic investment, and consumption demands. Cumulatively, however, during April-January 2022-23, the country’s merchandise exports rose 8.51% to $ 369.25 billion.

 

According to the Directorate General of Commercial Intelligence and Statistics, the value of Basmati rice exports during April-January (2022-23) rose by more than 41% on year to $ 3.8 billion from $ 2.7 billion in the previous year.

 

The shipment of non-Basmati rice registered a moderate growth of 3.3% to $ 5.1 billion during the same period.

 

Because of robust demand and lower shipment from Pakistan due to floods impacting the crop last year, realisation from the Basmati rice rose by 19% to $ 1044/tonne in April-January (2022-23) against $877/tonne realised a year ago.

 

The United States Department of Agriculture (USDA) in its February, 2023 crop outlook has stated 'India remains the most competitively-priced source for Asian rice,'. India’s broken-kernel rice was quoted at $ 435/tonne last month.

 

'Strong global demand and competitive pricing have ensured surge in rice exports in the current fiscal and adherence to quality parameters has resulted in significant demand for Indian rice with the grain being shipped to more than 75 countries,' M Angamuthu, Chairman, Agricultural and Processed Food Products Development Authority (APEDA) told FE.

 

The export of meat, dairy and poultry products declined marginally compared to last year at $ 3.3 billion during the April-January period of the current fiscal compared to previous year. The dairy products alone registered a growth of 10% to $ 512 million during the same period.

 

Processed fruits and vegetables reported export growth of 29% to $ 1.6 billion in April-January, 2022-23 on year.

 

For the current fiscal, an export target of $ 23.5 billion has been set by APEDA. Other key agricultural products exported from the country include marine products, spices, tea, coffee and tobacco

 

Exports of products under APEDA basket was $ 25.6 billion in 2021-22, which was around 51% of the country’s total agricultural goods exports of more than $ 50 billion.

 

Commerce ministry officials attribute the rise in the export of agricultural and processed food products because of the centre’s initiatives such as organising B2B exhibitions in various countries, tie ups with global hypermarket chains, exploring new potential markets through product-specific marketing campaigns by the active involvement of Indian missions.

Union Minister of Commerce and Industry, Consumer Affairs, Food and Public Distribution and Textiles, Shri Piyush Goyal said that the export figure for last year had already been crossed in February and expressed confidence that merchandise and services exports would touch USD 750 billion this year. He was addressing the 8th edition of the Raisina Dialogue in New Delhi today.

 

Responding to a question on India achieving the highest export figure in the past year, the Minister said that it was the result of a deep-dive analysis and extensive planning where India’s capabilities were thoroughly assessed, new markets were sought out, districts, especially remote ones were empowered to become export hubs and all Indian Missions abroad were effectively leveraged to promote trade, technology and tourism. The Minister noted that last year, merchandise and service trade had crossed USD 650 billion.

 

Shri Goyal opined that the transformational initiatives undertaken by the government over the last decade, such as the Swachh Bharat Mission, electrification of around 35 million homes in rural India, creation of a robust power grid, housing for all, free healthcare for over 500 million people had held India in good stead to overcome the challenges posed by the pandemic. He lauded the Prime Minister, Shri Narendra Modi’s decisive leadership and said that all through the pandemic PM Modi constantly sought ideas not only to overcome the pandemic but to transform the challenges it posed into opportunities.

 

Responding to a query on global uncertainty caused due to conflict, Shri Goyal said that these turbulent times had given India an opportunity to showcase its resilience. He explained that food security had emerged as a serious challenge before the world and said that PM Modi had the foresight to plan ahead to fortify India’s food security by ensuring an adequate supply of fertilizers.

 

Speaking of the time when fertiliser prices hit the roof, Shri Goyal said that PM Modi had ensured that farmers, especially small and marginal farmers did not take a hit by taking the burden of the increased prices on the central government. ‘India is self-sufficient on food security, and we will continue to produce at greater levels than last year so that we can support some of our neighbours and other friendly nations’, he said.

 

The Minister stressed that the government had been creating an enabling environment to attract investment into India. He highlighted that India was a nation of 1.4 billion people who are both youthful and aspirational with excellent skills, including managerial skills. He observed that the government had been successful in meeting the basic requirement of life of the people, liberating them from he struggle to secure the basic amenities of life, thereby empowering them to aspire for better things in life.

 

These enhanced aspiration levels, the Minister said, presented a huge market opportunity to investors, in addition to sharpening India’s competitive edge in the world market due to the willingness people have to work harder and contribute more to India’s growth story. ‘Government has focused on greater Ease of Doing Business, reducing compliance burden, decriminalising laws, implementing PLI scheme in critical sectors, digitising the economy promoting Startups. The world will not get a better friend and trusted partner like India’, he noted.

 

The Minister responded to a query on semiconductors and said that many companies were already in dialogue for investing in India in the semi-conductor chain because of the India’s stability and investor-friendly business ecosystem. Demystifying the reasons behind India’s trade deficit and import reliance, the Minister stressed that with the high levels of investments coming into manufacturing in India, India had been succeeding in producing high quality goods and services at competitive prices, rapidly reducing reliance on imports.

 

He underscored that the government was focusing extensively on bringing in quality consciousness through various initiatives such as Quality Control Orders (QCOs). The Minister also mentioned that the number of QCOs had grown by over four times and stands at about 440 products now and in the next two years, it would grow upto 2000 helping achieve India’s aspiration of achieving ‘Zero Defect, Zero Affect’. The Minister spoke of India’s sustainability thrust and said that since time immemorial, respect for nature was deep rooted in India’s civilizational ethos. ‘Sustainability and quality are the two factors that will hold India in good stead in the times to come’, he added.

 

Shri Goyal said that India would soon touch the mark of being a USD 5 trillion economy and said that it would emerge as the third largest economy in the world by 2027-28. By 2047, India will be a developed economy with a USD 32 trillion economy, a prosperous economy where every last citizen would have access to a good quality life, he said and added that if the nation came together as one, India could even dream of building a USD 40 trillion economy by 2047.