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The Vegetable Initiative in Urban Clusters

The Vegetable Initiative in Urban Clusters. Supply Chain Management from Production Clusters to Urban Centre 06.04.2011. India: Horticulture Production Scenario. Wide range of agro climatic zones and skills for growing different fruits and vegetables

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The Vegetable Initiative in Urban Clusters

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  1. The Vegetable Initiative in Urban Clusters Supply Chain Management from Production Clusters to Urban Centre 06.04.2011

  2. India: Horticulture Production Scenario • Wide range of agro climatic zones and skills for growing different fruits and vegetables • Second largest producer of vegetables (after China), but productivity is not at par with global norms ( production of vegetables in 2009-10 is 133.7 million MT)

  3. Indian Horticulture :Issues of Concern • Productivity gap • Growing demand for quality vegetables, with GAP certification and traceability • Price volatility, especially in urban centres • Growing concerns about residue levels • Post harvest losses • Policy Issues (APMC, PHM, Cold Chain, Price Discovery, Credit support, quality planting material)

  4. The Vegetable Initiative • Demand Side • Growing Urban middle class requires regular supply of quality vegetables for their nutritional requirements • Aggregators , Retail Chains, RWAs and ULBs and Health authorities want assured supplies from ‘identified production clusters’ • Union and State governments want to avoid ‘scarcities and price peaks’ in lean production months

  5. The Vegetable initiative • Supply side (Farmers Clusters) • Organizing farmers clusters to overcome issues of fragmented land holdings , • Usurious rates of loans • Professional assistance for PHM and marketing • Quality planting material, seeds, INM & IPM • Protected cultivation with drip and sprinkler irrigation with liberal norms for assistance • Support for GAP

  6. The Vegetable Initiative • Supply side ( consumption centres) • Support for aggregation centres • Electronic auction platforms • Reefer vans • CA kiosks- static and mobile

  7. Scope & Partners • All Metros, State capitals or any other urban centres with a population of 1 million and above • State Horticulture Missions & National Level Agencies (SFAC, NHRDF,NDDB,NABARD etal) • State Strategic Action Plan covering end –to-end interventions in the supply chain based on comprehensive survey and assessments

  8. Interventions • Baseline Survey • Organization and Promotion of Farmers Groups • Measures for enhancement of production and productivity • Primary processing ,grading and value addition at production clusters • Logistics from Farm to Marketing including • Post harvest management, storage and transport infrastructure • Suitable Tie-ups between production clusters/Farmers groups and Aggregators

  9. Interventions • Establishment of Farmers Markets • Assistance for Electronic auction platforms • Support to ULBs for static/mobile CA kiosks • Support to institutions (co-ops, corporates, SPVs, Farmers groups, Universities, CBOs) for seed production, seedling development, INM/IPM, organic farming, GAP, capacity building

  10. Scope • The Vegetable Initiative is proposed to cover Peri urban areas around all State Capitals or other cities with more than 10 lakh population**. • Total 29 Cities to be covered in all the States during 2011-12.

  11. Budget Provision for Vegetable Initiative • Announced by Finance Minister during his Budget Speech of 2011-12 • Rs 300.00 crore earmarked for 2011-12 under RKVY Scheme.

  12. Journey so far Operational Guidelines formulated and circulated. (Also available on agricoop.nic.in and nhm.nic.in web sites) Roundtable meeting held with National Level Stakeholders on 14.03.2011 State Governments requested to Nominate Nodal Officers (Only few States have responded so far) Workshop on Baseline Survey, farmers cluster and Tie up with FIs and Aggregators scheduled on 11.04.2011 at New Delhi Allocations communicated and States requested to approve Projects by SLSC before, Kharif 2011.

  13. Utilisation of Resources 75% of the allocation to be utilised for production related activities out of which 50% to be utilized for protected cultivation. 25% of the allocation to be utilised for base line survey, promotion of farmers ‘association/group, tie up with financial institutions/aggregators, post harvest management, storage, transport and marketing infrastructure.

  14. Resource Allocation

  15. Scheme Components and Pattern of Assistance

  16. Way Forward • States need to: • Identify Nodal Department responsible to implement the Scheme • Identify the Town/City • Nominate Nodal Officer for the district/ city concerned • Consolidate bench mark data on area, production, productivity and market arrivals of important vegetables, as of 2009-10. • Participation in Workshop on Baseline Survey, farmer cluster and Tie up with Aggregators on 11.04.2011 at Convention Centre, NCUI, New Delhi • Prepare projects on above lines and approve Projects by SLSC by mid May 2011 • Suitable steps for Exemption of horticulture produce from the purview of APMCAct.

  17. Thank You

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