According to the Food and Agricultural Organisation (FAO; 2021), India leads in the production of certain vegetables (ginger and okra) and fruits (banana, mangoes and papaya). However, in terms of export, India is ranked 14th in vegetables and 23rd in fruits, and its share in the global horticultural market is a mere one per cent.

Total horticultural produce in India touched 341.6 million tonnes, surpassing that of foodgrains (314.5 million tonnes) during FY22. Though the production and productivity of fruits and vegetables quadrupled during the last three decades, the same has not been translated into comparable increases in the incomes of the cultivators.

Therefore, the following policy options may be considered:

Investment in agri-infrastructure: The Government launched the Agriculture Infrastructure Fund in 2020 for creating community farming assets and integrated post-harvest management infrastructure. Further, by capitalising on the Mission for Integrated Development of Horticulture, and Operation Greens schemes, horticulture produce should reach the airport cargo handling facility within three hours to reach final destination in the Middle East, East Asia, and European markets. While ginger from Kochi can be transported to the Asian markets, roses may be exported from Bengaluru to the European markets during Christmas season.

Focus on food processing: Around 15-20 per cent of the fruits and vegetables in India are wasted along the supply chain or at consumer level, which contributes to greenhouse gas emissions. By leveraging the One District One Product model, food processing of fruits and vegetables may be encouraged in order to expand the export basket. Litchi (Bihar), strawberries (Bundelkhand) and kiwis (Uttarakhand) are being cultivated and processed by farmers for making juice, jam, jelly, etc., with technical assistance from Indian Council of Agricultural Research. These fruits can be exported by building social capital through farmer producer organisations (FPOs), which can leverage the entire horticultural value chain.

Renaissance of co-operatives: To harness market efficiency and boost exports, co-operatives in horticulture should be promoted. For instance, HOPCOMS supplies seeds, fertilizers and insecticides to farmers at reasonable prices and collects the horticultural produce directly from them for sale through retail outlets spread across Karnataka.

Compliance with international standards: Horticultural producers have to comply with world-class quality norms (Codex standards) apart from timely execution of export orders to avoid rejection from buyers. Japan and the US banned import of mangoes and other fruits from India due to prevalence of fruit-fly pest infestation. Exporters of potatoes faced similar challenges on account of late blight fungus.

Digitalisation of horticulture: The entrepreneurial zeal of ‘generation Z’ needs to be harnessed to digitalise horticulture. Climate-smart technologies, biotechnology (for cultivation of Bt Brinjal), and nano technology (for improving the shelf-life of fruits and vegetables) should be promoted to boost exports. Also, Corporate Social Responsibility grants may be channelled to undertake advanced research for digitalisation of horticulture through artificial intelligence, machine learning, and Internet of Things.

Institutional support: Institutes like National Horticultural Board, Agricultural and Processed Food Products Development Authority, and NABARD need to provide liberal financial assistance for undertaking extension services in horticulture. Commercial banks and Export-Import Bank of India may extend packing credit in a big way to horticulture exporters by providing credit-plus services. Besides, exporters should be imparted training on good agricultural practices and in commodity derivatives to protect them against price volatility and exchange rate risks.

Various research studies have shown that income from per hectare of fruits/vegetables is almost three times that from foodgrains.

The writer is Director, Centre for Agri-Business Management, MANAGE, Hyderabad. Views are personal

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