National Horticulture Conference
17th July 2013
By Jyoti Singhal
Under Secretary (NHM)

Assisting States in addressing the entire value chain: farm to fork
Enhancing vegetable production and productivity
Improving nutritional security and income support to farmers.
Encouraging establishment of an efficient supply chain
Employment opportunities and incomes for intermediate service providers, and safe, good quality, fresh vegetables at competitive price for urban consumers.
Promoting, developing and disseminating technologies for enhancing production and productivity of vegetables in catchment areas of major cities

Base Line Survey
Seed Production of Vegetables
Vegetable Seedling Production
Seed Infrastructure
Open Cultivation
Protected Cultivation
Promotion of INM/IPM
Organic Farming
Training of the Farmers
Post Harvest Management
Outlets for retail marketing
Promotion of Farmer Associations/Groups

Base Line Survey
Components
• Seed /Seedling Production (ha)
Planting Material
Target (Unit)
47
610468
Achieved (Unit)
28
603869
Cultivation
• Vegetable Cultivation (ha)
• Protected Cultivation (Sqm)
99384.13
2043798
Organic Farming
Promotion on INM/IPM (ha) 28437
Organic Farming (ha/Unit) 10981
Post Harvest Management
PHM (Unit)
Outlets for Retail Marketing (Unit)
Training of Farmers (Nos)
60349
4154
152868
Promotion of Farmer Associations/Groups 11888
88164.47
848312
20140
4915
34893
1326
73976
8592

 1,43,657 farmers connected to FPO network
 Over 104 FPOs mobilized
 61 FPOs registered
 43 to be registered soon.
 FPOs supported in capacity building, training, business development, value added services and marketing
 Working towards creation of IT based marketing framework
 8 State level FPO federations promoted

TOTAL
No. of Farmers to be mobilized
150650
Target
No. of FIGs
7533-10043
No. of FPOs
104
TOTAL
No. of Farmers mobilized
Achievement
No. of
FIGs
No. of FPOs registered
143657 7416 61
FPOs under process
Registration
43
1 FIG = 15 to 20 farmers; 1 FPO = 1000 farmers

S.No
ACHIEVEMENT OF FPOs PROMOTED BY SFAC UNDER VIUC PROGRAMME (2011-12)
Name of State
1 Andhra Pradesh
2 Arunachal Pradesh
3 Assam
4 Bihar
5 Chhattisgarh
6 Delhi
7 Goa
8 Gujarat
9 Haryana
10 Himachal Pradesh
11 (a) Jammu
(b) Srinagar
12 Jharkhand
13 Karnataka
14 Kerala
15 Madhya Pradesh
16 Maharashtra
17 Manipur
18 Meghalaya
19 Mizoram
20 Nagaland
21 Odisha
22 Punjab
23 Rajasthan
24 Sikkim
25 Tamil Nadu
26 Tripura
27 Uttarakhand
28 Uttar Pradesh
29 West Bengal
TOTAL
No. of
Farmers
15000
10000
1750
8500
1750
6000
6000
8500
150650
5000
8500
1750
1750
700
1750
6000
6000
1750
6000
6000
6000
3500
1750
3000
5000
6000
1500
600
10000
4600
6000
Target
No. of FIGs
No. of
Farmers
15000
10123
1876
5940
1750
6004
3548
8322
143657
5007
9730
1750
1750
700
1750
6001
6005
1678
6000
6606
6063
3520
1810
3111
5073
6000
1500
600
10107
3173
3160
No. of
FPOs
NA
6
2
NA
2
6
NA
7
104
1
2
6
8
5
8
2
2
NA
1
1
6
NA
6
2
4
8
2
NA
7
6
4
750-1000
250-333
426-566
88-117
88-117
35-47
88-117
300-400
300-400
500-666
88-117
426-566
88-117
300-400
300-400
426-566
7533-10043
88-117
300-400
300-400
300-400
175-233
88-116
150-200
250-333
300-600
75-100
30-40
500-667
230-307
300-400
Achievement
FPO
Registered
NA
3
0
NA
0
6
NA
6
61
0
1
2
5
5
4
2
2
NA
1
0
5
NA
2
0
0
5
2
NA
4
2
4
No. of
FIGs
150
544
159
298
127
360
175
641
7416
277
485
84
140
35
139
301
343
116
165
259
72
85
35
628
230
158
94
300
408
412
196
FPO registration under process
NA
3
2
NA
2
0
NA
1
43
1
1
4
3
0
4
0
0
NA
0
1
1
NA
4
2
4
3
NA
NA
3
4
0

 “Farmer Producer Organisation (FPO) including Farmer
Producer companies (FPC), have emerged as aggregators of farm produce to link farmers directly to markets. To signal our support to them, I intend to provide matching equity grants to registered FPOs upto a maximum of Rs. 10 lakh per FPO to enable them to leverage working capital from financial institutions. I propose to provide Rs. 50 crore for this purpose.
Besides, a Credit Guarantee Fund will also be created in the Small Farmers’ Agri Business Corporation with an initial corpus of Rs. 100 crore. I urge State Governments to support such FPOs through necessary amendments to the APMC Act and in other ways”.

 The scheme proposes setting up of two funds,
Equity Grant Fund and Credit Guarantee Fund
 Major Objectives :
 Enhancing viability and sustainability of FPOs by increasing their equity base
 Increasing credit worthiness of FPOs
 Incentivizing financial institutions to extend working capital and investment loans to FPOs to increase their business operations.

 FPOs can apply to receive a one-time matching grant up to a maximum of Rs. 10 lakh to issue additional shares to members, thus increasing their equity base.

 Broad principles to be adopted from a similar fund created for SMEs , which is operated by a
Trust set up by SIDBI. The CGF will offer loan guarantee cover to eligible FIs which advance loans to Rs. 1 crore to FPOs without seeking collateral.

 APMC laws not encourage aggregators leading to opaque market arrangements.
 Need to strengthen linkages of FPOs with State extension machinery
 Access and operational understanding of best practices for PHM components with market links
 Unfriendly banks to get credit / finance for procuring
PHM infrastructure
 Meager exposure to managing modern production technology needing more agri-extension
 Need for developing market linked aggregation base
 No ready access to efficient quality management and marketing, pan-India logistics