New Delhi (NVI): Parliamentary Panel on Ministry of Commerce and Industry has made recommendations to the ministry to undertake renewed efforts for exploring new overseas markets for promoting export of agricultural, marine and plantation commodities.
The panel, chaired by YSR Congress leader Vijaysai Reddy, has highlighted India’s position as one of the leading producers of cereals, fruits, vegetables, spices, milk, sugar, seafood products, in the world due to its varied agro-climatic conditions capable of producing diverse crops, to boost exports specifically amid of COVID-19 pandemic.
The committee made these recommendations in its report submitted to Rajya Sabha Chairman M Venkaiah Naidu yesterday.
The panel also recommended permitting regulated foreign direct investment in the tobacco sector and establishing export-only tobacco farms to boost outward shipments.
According to the report, the committee is of the opinion that the FDI in the tobacco sector in a regulated manner would stimulate the production and processing of Indian tobacco, thereby boosting its export.
While voicing concern over low share of export of agricultural commodities as compared to their total production, the panel also called for renewed focus on post harvest infrastructure ,supply chain, value addition and exploring new overseas markets for promoting export of agricultural, marine and plantation commodities sector.
The panel underscored the significant role of Agriculture Export Policy in doubling farmers’ income and integrating the agriculture sector with the global value chain. It also suggested restructuring of the Spices Board and to explore the feasibility of fixing a minimum support price for turmeric crops.
In addition to this, the committee noted that India is the second largest producer of fruits and vegetables in the world with production of 311.7 million tonnes. Indian dairy market is among the largest and fastest growing markets in the world. India is the largest producer of milk in the world.
Observing the growing prospects of exports in horticulture and dairy sector especially in the processed segment (processed fruits, juices, vegetables, dairy products) and the constraining issue of tariff and non-tariff barriers, the Committee recommended ensuring compliance to the international quality, sanitary and phyto-sanitary standards.
It has also urged the Department of Commerce to expedite the implementation of Electronic Data Interchange (EDI) system to reduce the high procedural costs and timelines involved in exports for ensuring ease of doing business.
Furthermore, referring to the vast potential in harvesting marine resources due to India’s long coastline, the Committee made suggestions to the Marine Products Export Development Authority (MPEDA) to undertake measures for value-addition and quality standards, establishing testing laboratories near marine processing centres, modernize dilapidated fishing harbours, upgradation of post-harvest infrastructure, devising specific scheme for Tuna Fish production and its export given its huge potential, appropriate incentives to the marine exporters.
India’s position as the 7th largest producer of coffee in the world with exports amounting to 75 per cent of the total coffee produced in the country. Referring to the considerable decline in coffee exports since 2017-18, the Committee stressed upon the need of framing export-centric strategies for expanding coffee production in both traditional and non-traditional areas, value addition, marketing and brand promotion to spur export.
It also desired to ensure the export promotion of five Geographical Indication (GI) varieties of Indian coffee, namely, Araku Valley Arabica, Wayanad Robusta, Coorg Arabica, Chikmangalur Arabica and Bababudangiri Arabica coffee in international markets.
These measures for promoting exports in agricultural and plantation sectors assume more significance in the context of COVID-19 pandemic and the adverse impact of the pandemic on the export front, which would require concerted measures by the Government and other stakeholders.
In this regard, the panel also urged the Government to play a proactive role in international trade/economic forums in strengthening multilateralism and ensuring fair world trade governance in the post-Covid19 phase.
-CHK/ARK