| Note: |
| CIFA, in its Annual Convention at Delhi inDec2009,hasdemanded comprehensive debt relief package as per the representation of the growers association.Now the Central Government has come forward with a Rs 363-cr relief package for small coffee growers |
| Relief of up to 75% of outstanding on loans taken before 2002. |
| In a move that is expected to benefit small growers, the Union Finance Minister announced a Rs 363-crore debt relief package for the coffee sector in New Delhi on Thursday. The Centre and banks will bear the burden in the ratio of 2:1. |
| Under the package, small growers will get relief of up to 75 per cent of their total outstanding arising from loans taken before 2002, subject to an effective maximum of Rs 7.5 lakh, of which 25 per cent shall be waived by banks while the balance will be rescheduled. The package also provides for rescheduling of loans for medium and large growers. |
| According to industry sources, 22,250 small farmers are expected to benefit from this concession. This amounts to 90 per cent of the farmers who ran up loan outstanding during the pre-2002 period. The total pre-2002 outstandings are about Rs 700 crore, of which small farmers account for Rs 360 crore. |
| Further, growers will also get a 20 per cent waiver on their crop loan liabilities subject to a maximum of Rs 1 lakh. For post-2002 loans, about a tenth of the liability will be waived subject to a maximum of Rs 1 lakh. The total outstanding loans of the coffee sector are estimated at Rs 1,900 crore, of which small growers account for Rs 1,100 crore. TH/ April 29-2010 |
|
|
|
|
A pulses crisis in the making: “India is subsidising overseas exporters who are merrily pushing up prices” |
A research paper by Surabhi Mittal of ICRIER (Indian Council for Research on International Economic Relations) estimates the requirement of pulses if India's GDP grows at 8 per cent per annum at: 2011 — 19.5 million tonnes (mt); 2021 — 28.8 mt; and 2026 — 36.1 mt.So, the demand for pulses will double (29 mt) in the next ten years from current production of 14-15 mt.
|
Import costs: India buys 84 per cent of Myanmar's annual export of 1.8 mt of pulses. Myanmar prices form the basis of all pulses prices abroad, including those available in limited quantities from Africa, Canada and Australia.
|
|
Exporters of Myanmar track price trends in Mumbai/Kolkata and fix export prices accordingly. In the last four months of this year, more than ten tenders have been issued by PSUs. Frequent tenders cause sudden spurt in prices in Myanmar and other production centres as well.
|
Quotes of raw urad/ tur have moved up from $800 a tonne (c.i.f.) to $1,285 a tonne. Landed cost (before subsidy) has jumped from Rs 38/kg to Rs 60/kg. When increasing cost of imports is subjected to a fixed deductible amount, there can be no price mitigation in the local market.
|
The net result is that India is subsidising overseas exporters who are merrily pushing up prices, buttressed by PSU tenders. It is necessary to send strong signals that Government/PSUs are not buyers at high and irrational price levels. The other major policy distortion is the grant of Rs 10/kg subsidy for yellow peas to State governments. The landed cost of imported yellow peas is Rs 15-16/kg. Subsidy of Rs 10 kg reduces the cost to States to Rs 5-6/kg. Tejinder Narang BL 290410
|
Adverse Impact of Climate Change
|
| Indian Council of Agricultural Research (ICAR), medium-term climate change predictions have projected the likely reduction in crop yields due to climate change at between 4.5 and 9 per cent by 2039. The long run predictions paint a scarier picture with the crop yields anticipated to fall by 25 per or more by 2099. This will have a detrimental effect on farmers’ income and purchasing power, with obvious down-the-line repercussions. BS 060410 |
Improving water availability for dry land cultivation key to increase farm production
|
| Nearly 80 million hectares, out of the country’s net sown area of around 143 million hectares, lack irrigation facilities and, hence, rely wholly on rain water for crop growth. Over 85 per cent of the pulses and coarse cereals, more than 75 per cent of the oilseeds and nearly 65 per cent of cotton are produced from such lands. The crop yields are quiet low. The available records indicated that the predominantly rain-fed tracts experience three to four droughts every 10 years. Of these, two to three droughts are generally of moderate intensity and one is severe. |
World Bank gives more voting powers for China, India |
As a result, India’s voting power increased from 2.77 per cent to 2.91 per cent while China whose rights increased from 2.77 per cent to 4.42 per cent was the biggest benefactor.
|
The shift places India at the seventh biggest place after the United States (15.85 per cent), Japan (6.84 per cent), China, Germany (4 per cent), France (3.75 per cent) and the United Kingdom (3.75 per cent). Bl 260410 |
