India 39 s agriculture exports to cross 300 bn mark by 2023 Study

Clocking a growth rate of 21 per cent, India’s overall agri exports are expected to cross $300 billion mark by 2023
India 39 s agriculture exports to cross 300 bn mark by 2023 Study

Clocking a growth rate of 21 per cent, India’s overall agricultural exports are expected to cross $300 billion mark by 2023, noted a recent study by apex industry body ASSOCHAM. The key growth drivers include factors like policy stabilization, institutional support, awareness about safety norms, implementation of strict regulations and infrastructure development will catapult the country into a major player in global agricultural market, the study projected.

“India agricultural exports (including tea, coffee and marine products) have grown almost eight times in the last decade i.e. from around $5 billion in 2003 to over $39 billion in 2013 thereby clocking a growth rate of over 21 per cent,” noted the ASSOCHAM study.

With an export value worth over Rs 2,890 crore, united Andhra Pradesh accounted for second highest share of about eight per cent after Rajasthan (72 per cent) in total net exports value worth over Rs 38,300 crore in terms of states’ actual exports through agriculture export zones (AEZs), noted the study.

Besides, with a value of about Rs 207 crore, erstwhile Andhra Pradesh garnered third highest share of about 14 per cent in terms of actual investments through AEZs after Rajasthan (31 per cent) and Maharashtra (25 per cent), highlighted the study conducted by The Associated Chambers of Commerce and Industry of India (ASSOCHAM).

The state also achieved a ratio of about 14 in terms of actual exports to actual investments through AEZs i.e. for every Rs 1 crore invested in an AEZ in then united Andhra Pradesh it exported fresh vegetables, grapes, mangoes, mango pulp, chilli and gherkins worth Rs 14 crore, noted the study prepared by the Agri-business division of ASSOCHAM.

Ananthapur, Chittoor, Guntur, Karimnagar, Krishna, Mahboobnagar, Medak, Nalgonda, Rangareddy and Warangal were the districts of erstwhile Andhra Pradesh housing five AEZs that received total investments worth about Rs 207 crore with total exports worth over Rs 2,890.5 crore.

Notably, export of mango pulp and fresh vegetables from Chiitoor district of then Andhra Pradesh accounted for 95.5 per cent of the actual exports from the state as of February 2013.

However the study pointed out that agricultural trade in India is currently challenged by a host of factors – inefficient economics of scale, high level of intermediation, wastages, inadequate and inappropriate storage, procurement and distribution infrastructure, poor food safety norms adherence as well as lack of consistency in supply and quality, cost competitiveness due to statutory changes and research for processable grades and trade barriers.

“There is a need to have long term sustainable policy which attracts more investments in agriculture sector and increases private partnerships in rural and remote areas of the country,” said Mr D.S. Rawat, national secretary general of ASSOCHAM while releasing the findings of the chamber’s study.

“Promotion of agri export zone (AEZ) concept can not only help in achieving the goal of increasing the export earnings, but also provide several benefits like improvement of agricultural output, productivity, quality, reduction in post-harvest losses, up-gradation of technology, farmer’s skills and income, besides it also facilitates development of internationally competitive production base and creation of employment,” said Rawat.  

Previous article Focus on nanotechnology applications in fibre industry
Next article Farmers plight: Collective misdeeds of policymakers

How useful was this post?

Click on a star to rate it!

Average rating 0 / 5. Vote count: 0

No votes so far! Be the first to rate this post.

Write a Reply or Comment

Your email address will not be published. Required fields are marked *



- Advertisement -
The Changing Face of Rural India