{"id":33247,"date":"2024-12-05T18:22:21","date_gmt":"2024-12-05T12:52:21","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=33247"},"modified":"2024-12-19T16:25:19","modified_gmt":"2024-12-19T10:55:19","slug":"agricultural-marketing-draft-national-policy-framework","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/05-12-2024\/agricultural-marketing-draft-national-policy-framework","title":{"rendered":"Draft National Policy Framework on Agricultural Marketing"},"content":{"rendered":"\n<p><strong>Syllabus: GS3\/Agriculture<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Context<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The Centre has released a draft <strong>\u201cNational Policy Framework on Agricultural Marketing\u201d<\/strong> that seeks to help farmers realise the best price for their produce.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>About<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Department of Agriculture and Farmers\u2019 Welfare (DA&amp;FW), constituted a Drafting Committee under the chairmanship of&nbsp; Faiz Ahmed Kidwai, Additional Secretary (Marketing), DA&amp;FW.&nbsp;<\/li>\n\n\n\n<li>The Drafting Committee has prepared a draft National Policy Framework on Agricultural Marketing.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Major Highlights of the National Policy Framework<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>It has proposed the <strong>constitution of an Empowered Agricultural Marketing Reform Committee of State Agricultural Marketing Ministers to push agriculture marketing reforms.<\/strong>\n<ul class=\"wp-block-list\">\n<li>The success of the GST Council in harmonizing tax policies across states and creating a unified tax regime serves as a model for this new initiative.<\/li>\n\n\n\n<li><strong>Composition of Committee: <\/strong>The empowered committee may be chaired by the agriculture minister of any state on rotational basis with agriculture ministers of the remaining states as members.&nbsp;<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Supply Chain Reforms: <\/strong>It highlighted the need for private wholesale markets, direct purchases by processors and exporters, and the declaration of warehouses and cold storage as deemed market yards.\n<ul class=\"wp-block-list\">\n<li>These measures are crucial for reducing the intermediaries in the supply chain and ensuring that farmers receive better returns for their produce.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Price Insurance Scheme: <\/strong>It proposes a price insurance scheme along the lines of the <a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/02-12-2022\/pradhan-mantri-fasal-bima-yojana\" data-type=\"link\" data-id=\"https:\/\/www.nextias.com\/ca\/current-affairs\/02-12-2022\/pradhan-mantri-fasal-bima-yojana\"><strong>Pradhan Mantri Fasal Bima Yojana (PMFBY)<\/strong><\/a> to protect farmers from price crashes.\n<ul class=\"wp-block-list\">\n<li>This scheme aims to stabilize farmers\u2019 incomes, encourage the adoption of modern agricultural practices, and ensure the flow of credit to the agriculture sector.&nbsp;<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>What is Agricultural Marketing?<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Agriculture, generally means growing and\/or raising of crops and livestock while, marketing encompasses a series of activities involved in moving the goods from the <strong>point of production to point of consumption.&nbsp;<\/strong><\/li>\n\n\n\n<li>It includes the planning, production, transportation, processing, and distribution of agricultural goods.&nbsp;<\/li>\n\n\n\n<li>The goal is to ensure that the products reach consumers efficiently while meeting market demands at a fair price.<\/li>\n\n\n\n<li>Agricultural marketing is a <strong>State subject under Entry 28 of List-II (State List) <\/strong>of the VII Schedule under <strong>Article 246 of the Constitution.<\/strong><\/li>\n<\/ul>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full is-resized\"><img data-dominant-color=\"e9e9e8\" data-has-transparency=\"false\" loading=\"lazy\" decoding=\"async\" width=\"672\" height=\"429\" src=\"https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2024\/12\/characteristics-of-agricultural-commodities.webp\" alt=\"characteristics-of-agricultural-commodities\" class=\"not-transparent wp-image-33264\" style=\"--dominant-color: #e9e9e8; width:498px;height:auto\" srcset=\"https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2024\/12\/characteristics-of-agricultural-commodities.webp 672w, https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2024\/12\/characteristics-of-agricultural-commodities-300x192.webp 300w\" sizes=\"auto, (max-width: 672px) 100vw, 672px\" \/><\/figure>\n<\/div>\n\n\n<h2 class=\"wp-block-heading\"><strong>Challenges Faced by Agriculture Marketing in India<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Inadequate Infrastructure: <\/strong>Poor transportation, storage, and cold chain facilities lead to high post-harvest losses and inefficiencies in distribution.<\/li>\n\n\n\n<li><strong>Fragmented Markets:<\/strong> The lack of organized markets and reliance on multiple intermediaries increases costs and reduces farmers&#8217; profit margins.<\/li>\n\n\n\n<li><strong>Price Fluctuations: <\/strong>Farmers often face unpredictable prices due to market volatility, leading to income instability.<\/li>\n\n\n\n<li><strong>Limited Market Access: <\/strong>Small-scale farmers struggle to access distant or organized markets, limiting their ability to sell at fair prices.<\/li>\n\n\n\n<li><strong>Lack of Market Information:<\/strong> Farmers often lack timely information on prices, demand trends, and quality standards, which hinder decision-making.<\/li>\n\n\n\n<li><strong>Limited Credit and Financial Support:<\/strong> Difficulty in accessing affordable credit for transportation, storage, and processing limits growth and profitability.<\/li>\n\n\n\n<li><strong>Inadequate Value Addition: <\/strong>Low investment in processing and value addition leads to the export of raw, unprocessed goods at lower prices.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Government Initiatives to Reform Agricultural Marketing in India:&nbsp;<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>PM-AASHA (Pradhan Mantri Annadata Aay SanraksHan Abhiyan) 2018:<\/strong> A scheme to ensure farmers get remunerative prices through Price Support, Price Deficiency Payment, and Private Procurement Schemes.<\/li>\n\n\n\n<li><strong>Agriculture Produce Market Committee (APMC) Reforms:<\/strong> Encouraging states to amend APMC Acts for direct selling and private market participation to reduce middlemen.<\/li>\n\n\n\n<li><strong><a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/15-07-2022\/national-agriculture-market-e-nam\" data-type=\"link\" data-id=\"https:\/\/www.nextias.com\/ca\/current-affairs\/15-07-2022\/national-agriculture-market-e-nam\">E-NAM (National Agriculture Market)<\/a>:<\/strong> An online platform integrating mandis to enable transparent trading and better price discovery.<\/li>\n\n\n\n<li><strong>Kisan Rail Scheme:<\/strong> Dedicated trains for transporting perishable goods, improving market access and reducing transportation costs.<\/li>\n\n\n\n<li><strong>Agricultural Infrastructure Fund (AIF): <\/strong>Providing financial support for developing storage, processing, and cold storage facilities.<\/li>\n\n\n\n<li><strong>One Nation, One Market: <\/strong>Aiming for seamless interstate trade by eliminating barriers and strengthening the E-NAM platform.<\/li>\n\n\n\n<li><strong>FPO (Farmer Producer Organization) Promotion: <\/strong>Supporting farmer cooperatives to improve bargaining power and market linkages.<\/li>\n\n\n\n<li><strong>Support for Agri-Startups: <\/strong>Encouraging innovation and new market solutions in the agriculture sector through financial and mentorship support.<\/li>\n\n\n\n<li><strong><a href=\"https:\/\/www.nextias.com\/blog\/minimum-support-price-msp\/\" data-type=\"link\" data-id=\"https:\/\/www.nextias.com\/blog\/minimum-support-price-msp\/\">Minimum Support Price (MSP) Policy<\/a>: <\/strong>The MSP system aims to provide a safety net for farmers by ensuring that the price they receive for their crops is above the cost of production.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Conclusion<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The government\u2019s agricultural marketing reforms are aimed at addressing inefficiencies, reducing middlemen\u2019s influence, and providing farmers with more opportunities for better income.&nbsp;<\/li>\n\n\n\n<li>These reforms are designed to make farming more profitable and sustainable by offering better market access, fairer pricing mechanisms, and innovative solutions for both farmers and consumers.<\/li>\n<\/ul>\n\n\n\n<p><strong>Source: <\/strong><a href=\"https:\/\/indianexpress.com\/article\/india\/agriculture-marketing-reforms-states-gst-panel-centre-9702019\/\" target=\"_blank\" rel=\"noopener\"><strong>IE<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Centre has released a draft \u201cNational Policy Framework on Agricultural Marketing\u201d that seeks to help farmers realise the best price for their produce.\u00a0<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-33247","post","type-post","status-publish","format-standard","hentry","category-current-affairs"],"acf":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/33247","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=33247"}],"version-history":[{"count":3,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/33247\/revisions"}],"predecessor-version":[{"id":33924,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/33247\/revisions\/33924"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=33247"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=33247"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=33247"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}