India readies plan for ailing agriculture sector
Afp, New Delhi
India plans an ambitious project to boost flagging agricultural output by 11 percent over the next four years and reduce the need for imports, a top official said on Thursday. Agricultural growth has slipped from five percent annually in the mid-1980s to less than two percent in the past five years -- badly lagging behind the blistering gains seen in the manufacturing and service sectors. "The blueprint for the Food Security Mission is ready and we will release it within a week," India's Agriculture Commissioner N.B. Singh said. The moves to increase food output by 11 percent by 2011 come less than a month after the government voiced concern about falling farm production, saying it was fuelling inflation in Asia's fourth-largest economy. "The aim (of this project) is to correct that (by 2011) and also cut down on large imports," Singh told AFP. India has said that with its large population, it cannot afford to become a major food importer. The dismal farm output has been attributed to small landholdings, a lack of farmer access to capital to buy new technology and seeds, and an over use of soil damaging fertilisers. Agriculture contributes 18.5 percent of India's economic output but directly or indirectly supports 650 million of its billion-plus population. Annual per capita food grain production has slumped from 207 kilograms (455 pounds) in 1995 to 186 kilos last year, falling behind even sub-Saharan Africa. The project will use funds from national poverty alleviation programmes to bolster the moribund farm sector, Singh said, adding more details would be announced when the plan is officially released. Despite the Indian economy hurtling ahead in recent years -- it grew by 9.4 percent in the financial year to March 2007 -- thousands of debt-ridden farmers have committed suicide over crop failures. Last month Prime Minister Manmohan Singh promised to inject six billion dollars into the sector to try to help poor farmers by investing in technology and infrastructure to bring crops to market more efficiently. The benefits of India's strong expansion have largely bypassed the rural sector and the prime minister has said it is essential to reverse the situation to ensure "inclusive growth." "Our focus is to double production of pulses to 15 million tonnes," Agricultural Commissioner Singh said. "We hope to increase annual wheat output from 73 million tonnes to around 80 million tonnes and rice from 90 million tonnes to 101 million tonnes," commissioner Singh said. India, the world's second-largest wheat producer, exported no wheat last year after shortages forced it to import the commodity for the first time in six years. It put out an international tender this year to buy wheat but backed off due to high prices. The agriculture ministry plan has identified isolated districts in 10 key rice-growing states and will target others to raise output of wheat and pulses, Singh said. "These districts will have focussed programmes as we will introduce quality seeds, offer technology demonstrations and identify new technologies and give small seed kits of new varieties," he said. "The Food Security Mission also plans to involve the private sector in seed production ... and training and so far the response has been very good," the agriculture commissioner said. "Big money going into national schemes must focus on agriculture," he added. The government wants to boost annual agriculture production growth to four percent to help achieve its goal of double-digit expansion that economists say is needed to make a significant dent in poverty.
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