Environmental Management Term Paper Presentation

Organic Agriculture in India

Group Submitted to: Prof. K. Balooni

Group 5, Section D
Anupam 193 Deep 199 Daisy 197 Mahesh 221 Neeti 225

Agriculture in India

Pre Green Revolution Era - Ramayana - Mention of several manures like oil cake, excreta of animals in Arthashastra - Mention of organic manure in Rig Veda, Green Manure in Atharva Veda, etc - Mention of Kamdhenu, the celestial cow & its importance in soil fertility - At least one third of what you take out from soils must be returned to it implying recycling or post-harvest residue Holy Quran

Green Revolution Era

- Use of plant protection chemicals including all pesticides like fungicides, insecticides, weedicides were used extensively to protect plant from pest and diseases - the pesticide residue persistence in agricultural produce, food commodities, animal, feed, fodder, animal products, irrigation water are matter of serious concern as their presence is more than maximum residue limit

Present Day Scenario (Organic Farming) - contains more

vitamins, minerals, enzymes, trace elements and even cancer fighting antioxidants - Higher yields - improves the soil quality - high demand

3/18/2010

Agriculture in India
Trends in developing economies . Criteria Agricultural Overview India 18.6% of the GDP and involves 60% of the total labour force largest overseas exporter of cashews and spices Bangladesh 1315% of Bangladesh's annual export earnings & 20% of the country's GDP, employing 60% of the total labour force Land is fertile, but yields are usually low due to a lack of capital for input 17,77,000 Kenya > 50 % of export earnings & 24 % of GDP sector includes large-scale commercial farms, plantations & specialist horticultural units

Area under Organic 28,00,000 Farming (Million Ha)

1,82,000

3/18/2010

Agriculture in India
.. trends in developing economies
Criteria No. of Organic Farms Major Organic Crops India 332 Tea, rice, bananas, cotton, wheat, spices (mainly pepper and ginger), coffee, nuts, pulses, and herbal products Bangladesh 100 Tea, Shrimps, Cotton, Rice Kenya 300000 Vegetables, fruits, coffee, beans, nuts, essential oils, dried herbs, cosmetics and pharmaceutical products

Initiatives Farming Methods

NPOP, INDOCERT, ICCOA, etc. Use of organic manure Aerobic & anaerobic composting Green manuring Pests managed through neem

NayaKrishi Aandolan Mixed cropping & crop rotation - highly effective method for pest management & nutritional health of the soil Compost made of water hyacinth

KOFA, KOPA Trees are excellent for fuel wood and charcoal

3/18/2010

Agriculture in India
India Agriculture production hub ?? Agriculture & allied sector contributes nearly 22 per cent of GDP 60 % of the area sown is dependent on rainfall India is the largest producer in the world of milk, cashew nuts, coconuts, tea, ginger, turmeric and black pepper second largest producer of wheat, rice, sugar, groundnut and inland fish World's largest cattle population (281 million)
Average growth of Agriculture and allied sector during the tenth five year plan was meager 2.4 %

Agriculture in India
Growing Concerns Economical or environmental sustainability ? Agriculture subsidies - helping or hampering ? Small land holdings fragmentation Inadequate irrigation facilities Slow progress in implementing land reforms Modern agriculture practices - awareness, cost, land size ? Socio-economic backwardness
" 1,500 farmers committed mass suicide in India after having been driven into debt by crop 3/18/2010 6 failure "

Agriculture in India
Recent Policies & Initiatives Farming Practices Farmers Focus on organic, bio-dynamic farming Agriculture credit, Kisan Credit, Special rehabilitation package for distressed farmers Agriculture debt waiver and debt relief scheme 2008 Rashtriya Krishi Vikas Yojana Agri - marketing Kisan call centers Technology Mission on oil seeds (TMOP), pulses and maize National food security mission (NFSM) National horticulture mission

Awareness Improved Quality Seeds Food security

Around 55% of the farms in India are organic by default as majority of the farmers cannot 3/18/2010 7 afford to buy chemical fertilizers

Agriculture in India
Policy initiatives under consideration

Cooperatives Amendment of Seeds Act, 1966 The pesticides Management Bill, 2008

Around 55% of the farms in India are organic by default as majority of the farmers cannot 3/18/2010 8 afford to buy chemical fertilizers

Concept of Organic Farming

Basic know how .
inputs

Avoid usage of chemical inputs

Natural and farm resources

pest control

Environm ent & Local farming system

Organic Farming

Biological diversity and heterogeneity

Nutrients rich yield

Around 55% of the farms in India are organic by default as majority of the farmers cannot 3/18/2010 9 afford to buy chemical fertilizers

India Global footprints

Organic farming exports India 2008-2009 Exports Market Share Area $ 87 mn 0.2 % 8.65 lakh ha Vision India 2012 $ 1 bn 2.5% 20 lakh ha

State
Kerala West Bengal Karnataka Tamil Nadu Punjab Himachal Pradesh Maharasthra India (Total)

Exports (Metric ton)

1232 937 476 471 541 521 375 6472

Stake holders in Organic Agriculture

Government Regulations Policies Research Extension

NGOs supporting Org. Agriculture Representing farmers interests Information extension Market development promotion eg. OFAI, BAAI, SOA

Organic Competence Centre Collect info and knowledge Documentation & dissemination Training & extension services Policy initiatives, networking (ICCOA)

Producer Organizations Cooperatives Producer groups Companies, projects eg. PDS, Ecofarms, Agrocell, Maikaal

Certification Bodies Inspection Certification Standard development e.g. IMO, SKAL, Ecocert, APOF

Farmers

Processors Consumers

Traders

Maintaining quality through supply chain

SCM model in organic agriculture ..
Farmer Selection Site Externality Trust Transaction Cost

Neutral 3rd party certification Cost ?

Supply Chain and Quality Measures

Quality Inputs Seed Certification Agency

Harvesting/Threshing/Stor age Clean Equipment

Technology Checks e.g., Basmati Rice

Implications Conventional to organic Conversion

transition from conventional to organic farming YEAR 1 YEAR 2 YEAR 3 & 4

Costs tend to initially be slightly higher as farmers invest (mostly labor) to adjust their fields to organic standards

After the first year of conversion, yields climbed steadily and tend to approach the baseline yields of the previous system

By the third and fourth years, when certification occurs farmers have received an average 20%-30% higher prices

Yields have tended to suffer by about one-third immediately after conversion as both farmer and soils adapt

Initially, the selling price tends not the change since organically managed crops can always be sold as conventional.

Conventional V/s Organic Farming

Benefits and risks associated

Income = (Yield x Price) x Risk Factor Production Costs

Stabilized Yield
Reduced Risk Production, biological, Financial, Price fluctuation etc Reduce Input Cost

Conversion Benefits
Improved the net-farm incomes Reduced the risk of pesticide poisonings, lead to more self-sufficiency Improved food safety and reduced vulnerability, and improved the access to networks supporting knowledge exchange and political participation.

Risks
Risk and uncertainty related to the conversion period, such as temporarily declining yields and the lack of experiences and information

Limitations, Potential & Challenges

weighing the potential of Organic Agriculture
Market Information

Limitation

Training Storage Facility Consumer awareness Government Support Certification cost Geographical Climatic Ill Soil Decreased Yield Growing demand Policy Initiatives Integrated Universities Infrastructure and Funds for scientific studies

Potential

Challenges

Organic farming in Dry lands of India

Issues and promotional strategies

Issues
Land Degradation Food Security Employment Wind Erosion Soil and Climate Condition

India's National Project on Organic Farming (NPOF 2005) has given top priority to the dry lands

Initially promote non-certified organic farming Promotional Strategies Integrate efforts of supporting agencies Encourage decentralized input supply Develop organic farming cluster of villages

Agripreneurs: Business Opportunity ?

an example of alumni of IIM Kozhikode

Orex Health Foods Established: September, 2009 Founder : Chaitanya Varma, IIMK, Batch of 2008 Owns three organic ready-to-eat food outlets Serves IT Business Parks in Hyderabad Handling Certification Cost NGO Vested Interests Unavailability of whole range of organic food Deadlock in Demand and Supply

India was exporting organic products to the value of only Rs 730 million in 2003 and in 2007 this figure touched Rs 3000 million constituting almost 0.2 percent of the organic world market

North East India: Organic Farming

Case Study

The seven sisters :-land surface of 262230 km2-80% dependence on organic farming Jhum cultivation: Traditional method Around 70.77% cropped area under shifting cultivation Large areas covered with forest

Rapid population growth: food insufficiency? ?

Threat to forest resources??

North East India: Salient features

Socio-Cultural
integrated with the socioeconomic fabric of rural society Community based practice-equity Almost completely lacking in feudal fetters plays a central role in uniting villages and clans, and integrating the people egalitarian mode of production, with women playing an important economic role

Economy
Food sufficiency rather than income generation No market structure; only 2% of boundaries shared with mainland India Prevents them from being subject to the whims of the larger capital market local modes of commerce

Ecological Sustainable Appropriate crop-mix or short-duration crops (particularly leguminous) for maintenance and enhancing of the soil fertility status

North East India: Case study

Pre-capitalist livelihood generation activity for food sustenance gross state domestic product is $1.4 billion in current prices 90% population dependent on agriculture Driven by sustainability Local market MOKOKCHUNG Usurpation of forest resources Indian Governments new Look East policy with respect to trade and commerce-negative impact on jhum Military insurgency, land for jhum occupied, by the armed Indian state

NAGALAND

North East India: Case study

conflict over Jhum cultivation Society of scientists:

Sustainability of jhum cultivation, Food insecurity of the local population due to the wrenching away of their primary mode of sustenance

Trade promoting entities, private entities: wishing to utilize the land for specific profit-making ventures???

North East India: Case study - Solution

Alder based Jhum cultivation in Nagaland

Aji
Ngui Assoni: Rice Fish Cultivation in Arunachal Pradesh
Fixed Annual Annual capital (Rs) investment turnover (Rs) (Rs) Annual profit (Rs) Return to fixed capital (%) 78.58 Return to Profit to investment turn over (%) (%)

62000

25277

74000

48723

192.75

65.84

North East India: Future

Harnessing the potential .

Potential to be largest organic food producer and major export center for global organic market

The synergy between comparative advantage and price-competitiveness

Public-private partnership should be encouraged and state government must come forward to create investment friendly environment

Consumer Analysis - Kozhikode

Only organic store in city, established 6 months ago Cereals supplied from Kolhapur Awareness among public very low

Exports are increasing very fast and demand increase will need atleast doubling of production in coming years Very less effort from government side. Villages and farmers have to take initiative to shift to organic farming. First few years very bad Internal bickering between Finance minister, an organic farmer and Agricultural minister harming the state

Element Organic Store

Major factor price and not healthy living

Farmers in Waynad supply spices under free trade agreement Kerala

Strong integrated policy initiatives needed

Reference: Mr. Sudarsanan Nair, Element Organic Store, Kozhikode

India should target to reach at least Rs 40 billion by 2012 (domestic market and exports), thereby capturing approximately 2.5 percent of the current global market for organic products

Recent developments

GB Pant Agricultural University in Uttarakhand does extensive research in this area .

farmers and earmarked 71,000 hectares across the state to use only organic material for growing crops, vegetables and fruits ....

areas in Wayanad and Idukki hill districts as fully organic ... ...

Kerala declared some

It has enrolled about 52,000

Karnataka government has set up an

support of Rs.100 crore this fiscal .....

organic farming mission with budgetary

exports, the farmers who had cultivated organic rice incurring more expenses faced huge losses .

When government banned rice

This is the beginning in the governments

efforts at declaring some panchayats as fully organic by next year, leading to conversion of the whole State as organic in the long run .....

Policy / Initiatives in Kerala

Kerala has an accredited organic certifying agency catering to the needs of the farmers.

launched two brands, namely Kerala Organic and Kerala Naturals to market organic farm produces

Marketing of organic produce is also being experimented in many places like Organic Bazaar in Thiruvananthapuram, Eco-shops in Thrissur and Kozhikode and, Jaiva Krishi Sevana Kendram in Kannur

Self help groups of women are encouraged to undertake organic farming of vegetables in some panchayats.

520 small and medium farmers in Marappanmoola village of wayanad district, owning on an average less than 2 hectares of land have organized themselves & now cultivate a mixed variety

Organic Policy in India & Recommendations

Ensure seed sovereignty of the farmers GM free villages Availability of Affordable and locally suitable seeds Compact Area Group approach in organic farming Organic farmers groups, clubs, SHGs and cooperatives Improve soil quality and ensure water conservation measures protect traditional water , rain water conservation testing facilities for soil, water, micronutrients and microorganisms Conserve and improve agro-biodiversity Kaipad, Pokkali and Kole as agricultural heritage of Kerala

Organic Policy in India & Recommendations

Intensive campaign Organic Melas statewide awareness programmes on the advantages of organic produce workshops, seminars for consumers, teachers, traders, farmers, government officials Channels for marketing of organic produce direct marketing / linkages by farmers groups with end user institutions existing vegetable, fruits and grocery vendors organic farm produce outlets Tourism industry source organic produce

Availability of quality organic manure to the farmers crop rotation, tree crops, cover crops, leguminous crops, green manure Link organic municipal solid waste to farms > organic matter recycling Ensure farm inputs for organic farming ensure markets for good quality input materials at reasonable price training for local resource persons

Organic Policy in India & Recommendations

encourage the use of organic farm produce in food industry

Develop a simple certification process Jaiva Keralam developed as a brand Provide financial incentives for promoting organic farming interest-free loans toespecially small and marginal farmers assistance during conversion period Introduce organic farming in education institutions Introduce organic farming in educational institutions through academic inputs Integrate of various departments, local self-governments and organizations

The market for organic produce from and within India is expected to grow six to seven times in the next five years - INR 40 billion by 2012

Dispelling myth of un-sustainability

Example of Cuba .

Food and Agriculture Organization says Conversion of global agriculture to organic management would result in a global agricultural supply of 2640 to 4380 kcal/person/day, increase production by 56 per cent Organic farms use 33 to 56 per cent less energy per ha than conventional farms An example of Cuba A country with 42,402 sq. miles of land and with 11.3 million people, is completely organic

Questions ??