Comments
The Agriculture Minister, Mr Sharad Pawar, feels that additional exports of sugar, rice and wheat could be allowed as the country has sufficient stocks.
“There's enough stock to allow export of at least one more million tonne of sugar, rice and wheat (each),” Mr Pawar said on Monday. He was speaking to reporters on the sidelines of the Kharif 2012 strategy conference.
The Government has, so far, allowed 2 million tonnes of sugar exports in the current crop year, while it has lifted ban on the non-basmati rice and wheat exports since September 2011.
So far, sugar exports in 2011-12 have already crossed 1 million tonnes, while they stood at 2.6 million tonnes in the previous year. The country is expected to produce 26 million tonnes of sugar, up from 24.2 mt in the previous year, while the domestic consumption is pegged at 22 million tonnes.
SLOW WHEAT EXPORTS
Similarly, the non-basmati rice exports have picked up in the past six months and are estimated to have crossed 3 million tonnes. However, the wheat exports are a bit sluggish and were estimated at 5.5 lakh tonnes. “The wheat exports have been slow, while rice exports have been good,” Mr Pawar said stating that an additional export of one million tonnes of each could be allowed.
For 2011-12, wheat production is expected to be at a record high of 88.3 million tonnes, while the rice output is projected at 102.75 million tonnes.
CHALLENGES
Despite consecutive bumper harvests, Mr Pawar said that Indian agriculture faces huge challenges on rising food grain demand amidst dwindling land holdings, changing climate and increasing pressure on water resources. Stating that emphasis during 12th Plan will be on farm mechanisation, Mr Pawar asked the States to formulate State-specific agriculture infrastructure development plan and work on reforms.
Further, Mr Pawar said the issue of cancellation of licences to about 70 district central co-operative (DCC) banks would be taken up with the Finance Minister soon. These banks are unable to recover loans and are facing financial crunch. The RBI has issued notices to 70 DCC banks stating that their licences would be cancelled if they don't complete recoveries by March 30, 2012, Mr Pawar said. Such licence cancellation will hurt disbursal of agriculture credit.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.