Agriculture and allied sectors are considered to be the mainstay of the Indian economy.'Agriculture and allied' industry is further divided into several segments, namely:- horticulture and its allied sectors (including fruits and vegetables, flowers, plantation crops, spices, aromatic and medicinal plants); fisheries sector; animal husbandry and livestock; and sericulture. 'Horticulture and allied' sector is an integral element for food and nutritional security in the country. India's varied agro-climatic conditions are highly favourable for the growth of large number of horticultural crops, which occupy around 10 per cent of gross cropped area of the country producing 160.75 million tonnes.Horticulture is the main segment, while its various sub-segments are fruits, vegetables, aromatic and herbal plants, flowers, spices and plantation crops.
Plantation crops in India are considered to be the main segment of the horticulture crops. They are the mainstay of agrarian economies in many States and Union Territories (UTs) of the country. They play an important role in the agricultural and industrial development of the country as a whole. They contribute a significant amount to the national exchequer and country's exports by way of excise and export earnings. They also provide direct and indirect employment to large number of people in the country, and thus tries to supplement the poverty alleviation programmes, especially in rural sector.
Plantation farming means the cultivation of a single cash crop in plantations or estates (large areas of land) on a large scale. The farming is carried on with the help of technically advanced methods of cultivation and tools. Plantation crops constitute a large group of crops. The major plantation crops include coconut, arecanut, oil palm, cashew, tea, coffee and rubber; and the minor plantation crops include cocoa. India is the second largest producer and largest consumer of cashew nuts (2010). The total production of cashew is around 0.57 million tonnes from an area of 0.24 million hectares. India also occupies number one position in arecanut production.
Tea and coffee are the main and oldest industries in the country, which provide ample employment opportunities to the people at large and holds immense potential for export. India is one of the largest tea producer in the world. Coffee is the second largest traded commodity in the world and is an extremely important foreign exchange earner. The coffee industry of India is one of the largest producer of coffee in the world. India contributes 4 per cent of total world production.India is the fourth largest producer of natural rubber (NR) with a share of 8.8 per cent in world production in 2006.
India is the third largest producer of coconut and leads 90 coconut-producing countries of the world. The area for coconut plantation in India has been majorly distributed over 18 States and 3 UTs, under different agro-climatic conditions. India is a premier coir manufacturing country in the world. Wide range of coconut products, edible and non-edible, are available for both domestic and export market. Tender coconut water concentrate is another product, apart from soft drinks, which is manufactured and marketed successfully.
But, in India, plantation crops have been continuously facing the problem of lack of investment and depressed yields, and are in great need of modernisation. Their total coverage is comparatively less and they are mostly confined to small holdings. Thus, the Government of India has identified some prominent crops as high-value crops of great economic importance. It is taking all possible steps and initiatives to commercialize the sector. Tea, coffee, rubber and coconut industries are providing greater business opportunities to the investors worldwide.
The Economic Importance of Plantation Crops:
1. They contribute to national economy by way of export earnings. These crops occupy less than 2 per cent of the total cultivated area (i.e. 3.82 per cent of total crop land) but they generate an income of around Rs. 16,000 million or 75 per cent of total earnings from the export of agricultural produces.
2. India is the leading country in the total production of certain plantation crops in the world. For instance, our production meets the share of 47 per cent in tea and 66 per cent in each of cashew and arecanut,
3. Plantation industry provides direct as well as indirect employment lo many millions of people. For instance, tea industry offers direct employment to 10 lakhs and indirect employment to 10 lakh people, while-cashew processing factories alone provide employment to 3 lakhs people besides 2 lakhs farmers are employed in cashew cultivation.
4. Plantation industry supports many by-product industries and also many rural industries. For example, coconut husk is used to produce coir fiber annually to a tune of 2,19,600 tones in India.
5. These crops help to conserve the soil and ecosystem. Tea planted in hill slopes and cashew in barrel and waste lands protect the land from soil erosion during the rainy season or due to heavy winds.
The Department of Agriculture and Cooperation, Ministry of Agriculture, is the nodal agency in India which deals with various aspects of plantation crops. It is, not only, engaged in formulation of national policies, schemes and programmes for promoting entrepreneurship in the sector, but also supplements and complements the efforts being made by the State Governments to promote production and productivity of varied plantation crops.
The Central Plantation Crops Research Institute (CPCRI) has been set up as the pioneering institute in India for conducting research on plantation crops. It was established in 1916, but subsequently brought under the mandate of Indian Council of Agricultural Research (ICAR) during 1970. Its initial mandate was on crop husbandry of coconut, arecanut, cocoa, oil palm, cashew and spices. However, the restructuring process resulted in the establishment of separate Research Institute/Centres for Spices, Cashew and oil palm, but the CPCRI continued to maintain strong linkage with these institutes. The main aim of the institute is to develop appropriate production, protection and processing technologies for coconut, arecanut and cocoa through basic and applied research.
There is a Tea Board of India, which has been set up under the Ministry of Commerce and Industry, for promoting sound development of tea industries in India. The main functions of tea board include rendering financial and technical assistance for cultivation, manufacture, marketing of tea; promoting tea exports; aiding research and developmental activities for augmentation of tea production and improvement of tea quality as well as encouraging and assisting small growers sector financially and technically.
The Coffee Board of India is an autonomous body, functioning under the Ministry of Commerce and Industry, which serves as a guide of the coffee industry in India. The Board focuses on research, development, extension, quality upgradation, market information, and the domestic and external promotion of Indian coffee.
There is Rubber Board, under the Ministry of Commerce and Industry, which is actively engaged in the development of the rubber industry in India. It perform various activities like assisting and encouraging scientific, technical and economic research in the area of rubber; supplying technical advice to rubber growers; and training growers regarding improved methods of plantation and cultivation.
Besides, the Directorate of Cashewnut and Cocoa Development is a national agency primarily engaged in the overall development of cashew and cocoa in India.
Schemes and Incentives
For the integrated promotion of entrepreneurship in the sector of plantation crops, the Government has framed many schemes and policies, from time to time. All these aim to increase the productivity levels of plantation crops like tea, coffee, rubber, etc. as well as to provide greater incentives to the growers of the crops. Presently, one of the most prominent schemes has been the 'Price Stabilization Fund Scheme (PSFS)'. The main objective of PSF has been to safeguard the interests of growers and provide financial relief when prices fall below a specified level without resorting to the practice of procurement operations by the Government agencies.
In order to protect the interest of the coconut growers, the Government has launched the 'Technology Mission on Coconut'. The main aim of the Mission is to help develop a mechanism which makes coconut farming competitive and ensures reasonable returns.
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