Subject: Agriculture & Marketing

Answer:

The agricultural marketing system in India faces significant bottlenecks across both upstream and downstream processes, impacting farmers' income and overall agricultural efficiency. Recent data from the Ministry of Food Processing Industries indicates annual post-harvest losses of approximately ₹1,52,790 crore, highlighting the severity of these challenges.

Upstream Bottlenecks

Production and Storage Related:

• Inadequate storage infrastructure leading to 30-40% losses in fruits and vegetables and 10-12% losses in cereals and oilseeds.
• Limited access to modern farming techniques and quality inputs affecting production quality.
• Poor implementation of Minimum Support Price (MSP) system, particularly for crops like millets and pulses.

Infrastructure Related:

• Insufficient cold storage facilities causing significant post-harvest losses.
• Poor rural road connectivity hampering timely transportation of perishables.
• Inadequate irrigation infrastructure despite schemes like Pradhan Mantri Krishi Sinchayee Yojana.

Downstream Bottlenecks

Market Access Related:

• Fragmented supply chains with multiple intermediaries increasing costs.
• Limited market intelligence and price information for farmers.
• Inadequate integration of small and marginal farmers with modern retail chains.

Distribution Related:

• Poor inter-state transportation infrastructure affecting market reach.
• Lack of standardization in grading and packaging of agricultural produce.
• Limited processing facilities leading to value addition constraints.

Recent Initiatives and Way Forward

Policy Measures:

• Implementation of Production Linked Incentive Scheme for Millet-based Products (PLISMBP).
• Formation of Farmer Producer Organizations (FPOs) to strengthen collective bargaining.
• Integration of e-commerce platforms improving market access and price transparency.

The way forward lies in strengthening agricultural marketing through technological integration, infrastructure development, and policy reforms. The success of initiatives like Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) and the growing adoption of digital platforms demonstrates the potential for transformative change in agricultural marketing systems.