Growth in Organic Farming Sector of India

Syllabus: GS3/Agriculture and Economy

Context

• The Union Commerce and Industry Minister announced that India’s organic exports are projected to touch Rs 20,000 crore in the next three years. 

About

• Leading Exporter: The organic farming sector has witnessed robust growth over the years, with India emerging as one of the world’s leading exporters of organic products. 
• Organic Export Market: Currently India’s organic product exports are at Rs 5,000-6,000 crore.
  • By 2028 India can achieve Rs 20,000 crore exports, about 3-3.5 times increase from the current level.
  • Major export items include organic cereals, pulses, oilseeds, spices, tea, coffee, and fresh produce. They are in high demand in countries such as the United States, the European Union, and Japan.

Organic Farming

• Organic farming is a method of agriculture that avoids the use of synthetic chemicals, pesticides, and fertilizers. 
• It focuses on using natural processes and inputs like compost, crop rotation, and biological pest control to maintain soil health and biodiversity. 
• The goal is to produce food in an environmentally sustainable way, promoting healthier ecosystems and reducing the impact on the environment.

Organic Farming in India

• As of March 2024, India has 1,764,677.15 hectares of organic farming land, 3,627,115.82 hectares of land being converted to organic farming. 
• India ranks at 4th place in terms of certified area globally as per the report published by International Federation of Organic Agriculture Movements (IFOAM) Statistics 2022.
  • Madhya Pradesh has the largest area under organic certification followed by Maharashtra, Rajasthan, Gujarat and Karnataka.
• Sikkim is India’s first fully organic state, with implementing organic practices on around 75,000 hectares of agricultural land.
• India ranks first globally in terms of number of farmers practicing organic farming.

Factors Supporting the Growth of Organic Farming in India 

• Health Awareness: Increasing consumer demand for healthier, chemical-free food due to rising health concerns.
• Environmental Benefits: Organic farming promotes soil health, reduces pollution, and conserves water, aligning with sustainable agricultural practices.
• Government Support: Various initiatives like subsidies, training programs, and organic certification schemes encourage farmers to adopt organic practices.
• Global Market Demand: Rising global demand for organic products opens export opportunities for Indian farmers.
• Cultural and Traditional Practices: Many regions in India have a tradition of sustainable farming, which naturally supports organic methods.
• Climate Change Resilience: Organic farming is seen as a more resilient alternative to conventional agriculture, which is vulnerable to climate change impacts.

Challenges

• High Initial Costs: Transitioning to organic farming requires investment in training, certification, and inputs like organic seeds and fertilizers, which can be expensive.
• Knowledge and Skill Gaps: Many farmers lack adequate knowledge and expertise in organic farming techniques, hindering adoption.
• Limited Access to Inputs: Organic inputs like bio-pesticides and fertilizers are often scarce or costly.
• Certification Issues: Obtaining organic certification can be a complex and time-consuming process, limiting market access for small-scale farmers.
• Lower Yields: Organic farming often results in lower crop yields initially, which can impact farmers’ income.
• Market Demand and Infrastructure: Limited infrastructure and market channels for organic products reduce profitability and reach for farmers.
• Pest and Disease Management: Controlling pests and diseases without chemicals can be challenging, especially during unfavorable weather conditions.

Organic Certifications Systems in India

• National Programme for Organic Production (NPOP): It is under the Ministry of Commerce and Industry for development of the export market.
  • It is a third party certification programme where the production and handling of activities at all stages such as production, processing, trading and export requirements for organic products is covered.  
• Participatory Guarantee System (PGS-India): In the operation stakeholders (including farmers/ producers) are involved in decision making and essential decisions about the operation of the PGS-India certification itself by assessing, inspecting and verifying the production practices of each other and collectively declaring produce as organic.
  • It is under the Ministry of Agriculture and farmers Welfare for meeting the demand of the domestic market.
• Food Safety Regulation has made it mandatory for organic products to be certified under NPOP or PGS for being sold in the domestic market under the Jaivik Bharat logo.

Government Initiatives for organic farming

• Paramparagat Krishi Vikas Yojana (PKVY): The schemes stress on end-to-end support to farmers engaged in organic farming i.e. from production to processing, certification and marketing and post-harvest management.
  • Training and Capacity Building are integral parts of the scheme.
• Mission Organic Value Chain Development for North Eastern Region (MOVCDNER): The scheme is being implemented exclusively in the Northeast States to support farmers engaged in organic farming.
• National Mission on Organic Farming (NMOF): Aims to promote organic farming practices, provide financial assistance, and support certification processes.
• Soil Health Management: Programs that encourage the use of organic manure, compost, and other sustainable practices to improve soil health.
• Support for Market Linkages: Initiatives like the Organic Farming Export Promotion Program (OFEP) facilitate the export of organic products by connecting farmers with international markets.

Way Ahead

• Branding: The government can promote India’s organic products under a unified brand to enhance visibility and competitiveness in global markets.
• Enhance Domestic Consumption: Encouraging domestic consumption of organic produce, will help farmers diversify and adopt sustainable farming practices.
• The sector’s growth is expected to positively impact farmers, generate employment, and contribute significantly to the economy while reinforcing the country’s reputation as a global hub for organic agriculture.

Source: ET