Agriculture Not Be A State Subject

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CII today organized a Seminar on Reforms in the APMC (Agricultural Produce Market Committee) Act , and its impact in the Southern States. This is an initiative of the Agri Business Sub-Committee, CII-Southern Region. Speaking at the occasion, Mr. Shankarlal Guru, Chairman-International Society for Agricultural Marketing said Agricultural sector is in urgent need of reforms by the respective State governments to help drive the economy to a higher growth rate that is expected by the policy makers, but a comprehensive agenda for reforms in this crucial sector is yet to emerge. Hence, the need for Agriculture to be made a central subject and not a state subject, thus alienating it from politics, said Mr. Guru. Contract farming should be encouraged as it will help bring technology and modern practices into the agriculture sector – opined Mr. Guru.

The APMC Act in each state of India requires all agricultural products to be sold only in government – regulated markets. These markets impose substantial taxes on buyers, in addition to commissions and fees taken by middlemen, but typically provide little service in areas such as price discovery, grading or inspection. A key impact of this regulation is the inability of private sector processors and retailers to integrate their enterprises directly with farmers or other sellers, eliminating middlemen in the process. Farmers also are unable to legally enter into contracts with buyers. This leaves no incentives for farmers to upgrade, and inhibits private and foreign investments in the food process sector.

Also addressing the audience was Mr. Sivakumar, Chairman Agri Business Sub-Committee, CII-Southern Region and Chief Executive – Agri, ITC Ltd. Said that Agri business in India is at a transition point. Having sailed through the shortage economy to an economy with surplus in grains, it is important that Governments at the Centre and State recognize the need for inclusive growth to take agriculture forward in India. Setting the context for the day’s discussion, Mr. Sivakumar emphasized that in spite of employing about 57% of the population of the country, agriculture on contributes 27% to the GDP of India. This distortion makes agriculture not a lucrative employment generator and hence, keeping with the global view, India needs to carve out opportunities in agri-exports sector. Contract farming and direct marketing to retail chains and processing units are the need of the hour he said.

Regulations to keep pace with these needs are required, which need alternative marketing mechanisms. Hence, reforms in the APMC Act are recommended in various fields, he added.

Making a presentation on “Aligning State Policies with emerging new marketing models”, Prof. S Raghunath from the Indian Institute of Management-Bangalore, emphasized the need for an effective and efficient distribution system for agri-produce and provision for supply-demand transparency. Since the main objective of the APMC Act was to prevent exploitation of farmers by various intermediaries, reforms were required in the Act, with changing face of agriculture and the agricultural supply chain, opined Prof Raghunath. India is the largest producer of vegetable in the world, with a total share of 15% of global produce. 8% of world’s fruits are produced in India, ranking it second in the world market. In spite of this, there is a high cumulative wastage of 40% in India, informed Prof. Raghunath. Inadequate infrastructure and lack of organized supply chain were the main cause for such a disparity, he said. Thus, reforms in this sector need to catch up with the pace of development in the economy and dis-intermediation and participation of organized players in the sector will remove the lacunae, opined Prof. Raghunath.

Centre asks states to amend APMC Act

In a move to allow farmers to directly sell their produce to industry, contract farming and setting up of competitive markets in private and cooperative sector, the Centre has asked the state government to amend the Agricultural Produce Marketing Act.

Under the present Act, the processing industry cannot buy directly from farmers. The farmer is also restricted from entering into direct contract with any manufacturer because the produce is required to be canalised through regulated markets. These restrictions are acting as a disincentive to farmers, trade and industries.

The government has recently approved a central sector scheme titled Development/strengthening of agricultural marketing infrastructure, grading and standardisation.

Under the scheme, credit linked investment subsidy shall be provided on the capital cost of general or commodity specific infrastructure for marketing of agricultural commodities and for strengthening and modernisation of existing agricultural markets, wholesale, rural periodic or in tribal areas.

The scheme is linked to reforms in state law dealing with agricultural markets (APMC Act). Assistance under the new scheme will be provided in those states that amend the APMC Act.

The Centre has asked the state governments to inform as to whether necessary amendments to the APMC Act have been carried out, in order to notify the reforming states for applicability of the scheme.

Along with the Centre, the industry is also interested in the amendment to the APMC Act as it restricts the growth of trade in agricultural commodities.

The policy regime pertaining to internal trade is particularly restrictive. The agricultural sector continues to be hamstrung by a plethora of controls, which were introduced during the era of shortages, said the PHDCCI.

Meanwhile, a decentralised system of procuring wheat and rice would make the Public Distribution System more cost effective, the government has said.

Career Opportunities And Challenges In The Agriculture Biotechnology Industry

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Because of our ever-increasing population that is predicted to reach eight billion by 2020, the need for food will remain a top priority, transcending all socio and geo-political boundaries. The increased demand for food will call on agriculture, specifically, to act as the biggest source of industry. And with the increased demand for foodstuff, better-quality yield and huge agricultural output will be required. (Though there has been vast improvement in the sector thanks to the improved quality of seeds, pesticides, and fertilizers.)
This is where the agriculture biotechnologist steps in. Agricultural biotechnologists are professionals who provide a set of tools, which, if incorporated suitably with other technologies, can be used for the sustainable development of agriculture and the food industry as a whole.

Scope of the Agri-Biotech Industry

With increased R&D efforts in the agri-biotech industry, the scope of agriculture-based biotech work has become tremendous. Agriculture biotechnologists’ roles are multifarious. From being people with strong scientific expertise to being good administrators and good marketers with sharp business acumens and strong communication skills, the career options for an agri-biotechnologist are vast. Choosing the right avenue is the main priority.

Nature of the Job

Today, with modern technologies like micro propagation which allows for the multiplication of virus-free plants and tissue cultures, agriculturists have successfully combated natural hindrances to productivity such soil imbalances, crop diseases, and genetic breeding. Therefore, the agriculture-based biotech industry needs people who are qualified in the fields of molecular biology, plant transformation and tissue cultures, biochemistry, plant genetics, pathology, entomology, and agronomy for trait evaluation and integration.

Career Options for Agri-Biotechnologists

The field of agriculture-based biotechnology is evolving each day, offering numerous career options. Besides employing people for research and development, the industry also caters to various other agri-biotech-related fields including horticulture, floriculture, dairying, poultry farming, and fishery. Agri-based biotechnologists can also sharpen their academic skills by working with food processing or post-harvest technology, better known as genetically modified (GM) technology.

Career Challenges in the Agri-Biotech Industry

With growing consciousness of the ills of chemically treated foodstuff, changes in approaches to farming are taking place all over the globe. The stage has been set for the advent of bio-chemicals and bio-insecticides, biofertilizers, and biofuels. Agriculture-biotechnology careers are never short of challenges, both natural and man-made. For instance, in the next two-and-a-half decades alone, the world must produce the same amount of food or more than what it produced in the last 10,000 years.

For a biotechnologist, the challenge does not end with producing sufficient amounts of foodstuff. The challenge lies not only in meeting requirements within deadlines but, at the same time, causing minimal harm to the earth. Agriculture biotechnologists have to combat odds like the depletion of precious top-soil at the rate of seven percent in 10 years in order to fulfill the increasing water requirements which will have doubled by that time.

Other Career Options

Several other career openings are available for agri-business graduates. From the more general opportunities within the agricultural and land-based sectors such as equine management, animal science, and horticulture, to global buying and trading of agricultural produce, the opportunities are vast for agriculture biotechnologists.

Federal Bank – The Private Indian Bank From Pre-independence Era

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Travancore Federal Bank was the name of Federal Bank of India when it was established in the year 1931. It was inaugurated at Nedumpuram near Tiruvalla Kerala (Tiruvalla is situated south of Kottayam). It had 14 founders with Sri Oommen Varghese as the Chairman and Sri Oommen Chacko as its Manager. It functioned successfully for 10 years and then stopped all of a sudden due to health problems of the Manager Sri Oommen Chacko.

Then a Lawyer of Perumbavoor took the charge and managed it efficiently. The name of the Lawyer was K.P.Hormis. later in the year 1945 K.P. Hormis also became the Managing Director and shifted its Headquarters to Aluva. In the year 1947 the name of the bank was changed to Federal Bank. In the year 1970, it became a Scheduled Commercial Bank. After a series of mergers and acquisitions including banks at Chalakudy, Thrissur, Alleppey, Puthenpally, Thiruvananthapuram, and Kurundwad, Federal Bank became even bigger with larger financial turnovers.

It is one of the largest private sector banks and the prominent one amongst the old private group of Indian banks.

PRESENT STATUS:
Now the bank has its Headquarters at Aluva, near Kochi in Kerala. It is presently running 743 branches across 24 states in India. It now has 803 ATM’s across India. Of these 803 ATM’s there are 108 in Metro Centres, 224 in Urban Centres, 384 Semi-Urban and 87 in rural areas. There has been several high-profile sponsorships and other modes of advertisement including the title sponsorship of the popular Indian cricket franchisee Kochi Tuskers Kerala of the Indian Premier League or IPL. It is also the fourth largest bank right now in India in terms of capital base and is also listed in the London Stock Exchange in addition to the Indian stock markets Bombay Stock Exchange and National Stock Exchange.

ACHIEVEMENTS AND AWARDS:

The Federal bank of India has received many awards during its long journey since 1931 till now. Some of them are:
1. The banking technology Excellence Award for the year 2010-2011.
2. The Excellence Award for Second best bank among traditional private sector banks in Kerala.
3. The Great Mind Challenging Award for implementing the most innovative solution in Business.
4. Ranked number one in Economic Times Intelligence Group Survey.

SERVICES OFFERED:
The bank renders the following services:
1. Savings Bank Account.
2. Current Account.
3. Loans.
4. Deposits.
5. Debit Cards.
6. Fund Transfer.
7. Inward Remittance.
8. Online Bill Collection.
9. Bank Guarantee.
10. cash Management.
11. Demat Accounts.
12. Federal Pure Gold.
13. Gift Accounts.
14. Mutual Fund.
15. Safe Deposit Lockers.
16. NRI Banking Services.
17. Merchant Banking.
18. ASBA.
19. Visa Bill payment.
20. Master Card Secure Code.
21. Verified By Visa (VBV).
22. Online Tax Payment.
23. Mobile Banking -FedMobile.
24. Internet banking -FedNet.
25. Corporate FedNet.

LOANS:
It also gives Loans for various purposes like: Business, Agriculture an Rural, Housing, Educational, Travel, Personal, Car, Medical and Home Loans.

WORKING HOURS:
The Bank runs from morning 9 to evening 4 from Monday to Saturday. Sunday is a holiday. The Bank is closed on Public holidays. the timings are different for its Abu Dhabi Branch which works from 9 AM to 5:30 PM and this branch also works on Sunday.

UN Water Mandate Receives Key Endorsement

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Olam International, a leading global processor of food ingredients with agricultural projects in Africa, has publicly endorsed the c-e-o water mandate of the u-n global compact. The mandate is a public-private initiative that helps companies develop and implement sustainable water policies and practices. The announcement came as the world observed World Water Week in Stockholm, Sweden.

Olam International said the supply, quality and reliability of water resources are under pressure and the need to adapt to the impact of climate change is increasing.

The signing of the mandate underscores the companys commitment to vigorously and publicly address global water issues regarding agriculture and food supply.

If you reflect that water when you look at it as a hundred per cent value, 97-percent of water would be regarded as salty ocean water, two per cent is actually frozen, so were left with a one per cent marker of water basically for consumption and use in agriculture, explained Chris Brett, Olams head of sustainability, who added, and we split that one per cent, we get to point seven per cent for agriculture, just point three per cent is fresh water for basically human consumption.

Given this he stressed that water is a key issue for them when they see the way people are going to compete for water in the future. As a result the company made a public commitment to use water in more resourceful ways.

Making that commitment is not just a driver for change internally, or a driver for respect in use of water, as a resource, but it is also to communicate to all of our partners how serious we take water on the agenda, said Brett.

He gave an example of success that they were having with irrigation going into their vegetable supply chains in California. The method of irrigation that decreases the use of water is called more crop per drop. It proved to be such a success that it was applied to other Olam operations.

For example we are now undertaking irrigation of rice, and irrigation of coffee plantations in places like Tanzania and Zambia. As a global company we are transferring learning, noted Brett.

The sustainability expert said over the last two years Olam has been measuring its water footprint and communicating that measurement to the public.

He added as a leader in addressing the challenges of water supply, they hope others will follow them in the pursuit of water rationalization and use in agriculture.

Over a Billion Tons of Food Wasted Annually

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A new study says one-point-three billion tons of food are wasted or lost every year, causing significant harm to both the environment and the economy. The food losses occur as an estimated 870 million people go hungry every day.

The U.N. Food and Agriculture Organization says it has released the first study to analyze the impacts of global food wastage from an environmental perspective.

The report differentiates between food loss and food waste. Food loss is due to such things as poor harvesting, inadequate storage and transportation. Its more of a supply side issue. Food waste, meanwhile, comes on the demand-side during processing, distribution and consumption.

FAO Director-General Jose Graziano da Silva said, Every day, consumers, especially in the rich countries, waste almost as much food as the entire net food production of sub-Saharan Africa. The implication of this massive food waste for food security and sustainability is huge. If we reduce food loss and waste, we have more food available without the need to produce more and putting less pressure on natural resources.

The report Food Wastage Footprint: Impacts on Natural Resources says the amount of food that is produced, but not eaten, guzzles up a volume of water equivalent to the annual flow of Russias Volga River. That unconsumed food, it says, is also responsible for three-point-three billion tons of greenhouse gas emissions.

Developing countries suffer more food losses during agriculture production. But in high income regions, food waste at the retail and consumer level tends to be higher. Up to 40 percent of total wastage compared with only four to 16 percent in low income regions, he said.

Graziano da Silva added theres also the economic cost.

The food wastage means $750 billion every year. This impressive figure is the equivalent of the GDP of Switzerland.

Joining in the release of the new report is Achim Steiner, executive director of UNEP, the U.N. Environment Program. He called the $750 billion figure an extraordinary wake-up call for those thinking about food security and agriculture.

In that figure we may not even capture many of the more indirect impacts that are associated with degradation of natural resources. The impacts on climate change. The drivers that will cost perhaps not todays consumers of food, but tomorrows children and grandchildren, who have to run our economies and mange these impacts in ways that are economically not yet fully captured, said Steiner.

He emphasized the losses and waste do not only occur on land.

We again have phenomena where in many fishing fleets sometimes 20, 30, 50percent of the catch is thrown back into the sea. But it is not as if fish will happily continue to swim. Many of them will be dead and essentially no longer available either for consumption or indeed for maintaining the fish stocks of the world. So, we are really trying to address a phenomenon here today that concerns each and every one of us on the planet, he said.

He said the types of food being raised to meet the demands of growing economies are having a greater impact on the environment. More countries are adopting a Western style diet thats high in meat consumption. Livestock produce a lot of greenhouse gasses.

Our initiative with thinkeatsave.org is to reach out to literally citizens across all countries, all continents, in all sectors, to become part of addressing this phenomenon of wastage that simply is unnecessary, unacceptable and unsustainable in the 21st Century. We are all able to address this issue by becoming part of the solution, said Steiner.

Recommendations to reduce food loss and waste include raising awareness about the problems through media campaigns coordinating international initiatives and strategies and investing in public and private projects that reduce loss along the food chain from field to market to consumer.

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