Choosing the right track to cut post-harvest losses

Context

India, despite being the second-largest agricultural producer globally, only holds a meager 2.4% share in global agricultural exports, ranking eighth worldwide. This disparity is largely due to low productivity, subpar quality standards, and inefficiencies in the supply chain, particularly in transportation and infrastructure, leading to significant post-harvest losses.

  • Annually, these losses amount to β‚Ή1,52,790 crore.
  • With a growing population, addressing food and nutrition demands becomes increasingly critical.

Relevance:
GS-03 (Agriculture)

Dimensions of the Article:

  • What is the Issue?
  • About India’s Post-Harvest Loss
  • Railways Aid
  • Significance

What is the Issue?

  • India’s agricultural sector faces a paradox. On one hand, it boasts high production levels; on the other, its contribution to global exports remains limited.
  • The primary culprits are low productivity, quality issues, and inefficiencies in the supply chain, especially in transportation and storage, which result in substantial post-harvest losses.
  • This inefficiency in the supply chain not only affects the availability of food but also impacts the income of farmers, particularly the small and marginal farmers who constitute 86% of the farming community in India.

About India’s Post-Harvest Loss

  • A significant portion of India’s post-harvest losses comes from perishable commodities such as eggs, fish, meat (22%), fruits (19%), and vegetables (18%).
  • During export, about 19% of perishables are lost, mostly at the import-country stage. Efficient storage, transportation, and marketing are crucial to ensure that these perishable products reach consumers on time. The Committee on Doubling Farmer’s Income (DFI) has recognized the importance of strengthening agri-logistics to address these challenges.
  • The supply chain for perishables involves multiple logistical stages: first-mile transport from the farm to the wholesale market, long-haul transport via rail, road, water, or air, and last-mile delivery to the consumer.
  • Small and marginal farmers often struggle to achieve economies of scale and lack assured market connectivity, resulting in post-harvest losses and income losses.
  • Food price volatility in India is partly due to supply constraints affecting perishable produce. The Indian Railways, primarily driven by freight transport, connects urban centers and rural areas, moving about 90% of food grains for the Food Corporation of India.
  • However, 97% of fruits and vegetables are transported by road, leading to inefficiencies and higher post-harvest losses.

Railways Aid

  • The Indian Railways has initiated several measures to improve the transportation of perishables.
  • The truck-on-train service, which transports loaded trucks on railway wagons, has shown promise.
  • During the COVID-19 pandemic, parcel special trains were introduced to transport perishables and seeds between markets and producers.
  • The Kisan Rail initiative is worth mentioning. It aims to connect regions with surplus production of perishables to consumption regions efficiently.
    • A study highlighted the positive impact of Kisan Rail on reducing post-harvest losses and enhancing farmer incomes.
    • For example, grape growers in Nashik, Maharashtra, earned a net profit of β‚Ή5,000 per quintal by transporting 22,000 quintals of grapes using Kisan Rail. This demonstrates the potential of rail-based long-haul transportation for fruits and vegetables.

Significance

  • The Friends of Champions 12.3 India, a coalition powered by WRI India, identified multiple touchpoints during the transport of perishables using the Railways as a challenge.
  • Investing in specialized wagons for temperature-controlled transport and establishing rail-side facilities for safe cargo handling is essential.
  • These steps would enhance food safety in the agriculture sector by minimizing spoilage and contamination risks, supporting both domestic and export markets.
  • Prioritizing the Railways over roadways for transporting fruits and vegetables promises efficient transportation, reducing post-harvest losses, and ensuring a stable supply of perishable goods.

Way Forward

  • The budgetary allocation for agriculture in 2024 aims to bridge the farm-to-market gap with modern infrastructure and value-addition support. Railway initiatives complement these efforts by supporting efficient transportation of perishable goods and minimizing post-harvest losses.
  • Adopting a systems-based approach, improving operational efficiency, investing in infrastructure, and increasing awareness and accessibility of Railway schemes among farmers are essential steps. These measures will help reduce post-harvest losses, improve farmer incomes, and enhance India’s share in global agricultural exports.

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