Startup’s plan to quadruple fruit economy

Subhash Rajta

Tribune News Service

Shimla, September 1

A farm startup has submitted an ambitious plan to the government that aims at increasing the state’s fruit economy at least four times in the next 10 years.

Currently pegged at roughly Rs 5,000 crore, out of which apple contributes over 80 per cent, the startup (The Plum Growers Forum) claims that the farmers can take the fruit economy beyond Rs 20,000 crore with the help of some policy changes.

Horticulture Secretary Amitabh Avasthi has ordered a formation of committee that will study the proposal. “The committee will meet within a month for further deliberations on the proposal,” said Avasthi.

The PGF — a group of progressive farmers with many having a corporate background and small and marginal farmers — claims that the state’s horticulture economy has stagnated in the last 10 years.

“The apple economy had hit the Rs 4,000-crore mark in 2010. Ten years later, we are still hovering around that mark. If you factor in the inflation over the last 10 years, the fruit economy is in the midst of negative growth. Its equivalent to Rs 2,000 crore at the moment if the rupee value of 2010 is taken as the base year,” said Sanjay Mehta, a member of the startup.

Deepak Singha, founder, PGF, blames the stagnation on overdependence on apple, lack of efforts towards making other fruits commercially attractive, diminishing yield and productivity, among other factors.

“Our productivity per hectare is merely 8-9 MT per hectare compared to 70-80 MT per hectare in advanced countries. It’s high time we did something about it,” said Singha.

The PGF believes the government needs to take an initiative in the form of policy changes to help the fruit economy grow.

“The government must revisit the rules for importing planting materials from abroad. That’s the key to enhancing both the quality and quantity. Right now, the process is quite cumbersome,” Singha said.

Equally important, said Mehta, is to treat farmers equivalent to businessmen and offer them facilities accordingly. “Offer them term loans to modernise their farms. One-year loans that farmers get through Kisan Credit won’t do as the gestation period of fruits is long,” he said.

Also, the PGF believes the control of supply chain should be gradually transferred to farmers. “As and when that happens, the farmers will no longer be desperate sellers. They will be able to manage the supply in accordance with the demand and reach the end consumer directly across the country,” said Singha.