Five year plans for food industriesIntroduction :The continuing food inflation in the country has brought in sharp focus supply side constraints, especially in case of perishables. There is thus an increasing realization about the need to increase agricultural production in the country and a strategy to usher in second green revolution is under preparation. At the same time, it needs to be understood that it will not be enough only to produce more, but it is equally important to save each grain produced by reducing wastages.This would improve farmers income and economic viability of agricultural operations. Such a strategy would also be essential to meet the twin national objectives of inclusive growth and food security.The growth of food processing sector would need to be a significant component of this strategy, considering its possible role in achieving increased agricultural production by ensuring better remuneration for Farmers. The food processing sector makes it possible by not only ensuring better market access to farmers but also reducing high level of wastages. A developed food processing industry will reduce wastages, ensure value addition, generate additional employment opportunities as well as export earnings and thus lead to better socio-economiccondition of millions of farm families.1st five year plan :The first five year plan accorded pride of place to programmes for agriculture and community development. This was a natural priority in a plan seeking to raise the standard of living of the mass of the people, specially in rural areas, but it was also justified in the special circumstances of shortage and inflation which existed when the plan was formulated. More than any other factor, the increase in agricultural production which has taken place since 1952-53 has helped to end inflation, stabilise the economy and prepare the way for a higher rate of development during the second five year plan. The index of agricultural production, with 1949-50 as base, stood at 96 in 1950-51. It stood at 114 in 1953-54 and 1954-55, and is expected to be 115 in 1955-56. During the first plan, the national product increased by 18 per cent, and income in the agricultural sector increased in the same proportion. Increase in agricultural production also stimulated growth in other sectors of the economy.Review of the First Plan

The first five year plan envisaged the following increases in agricultural production:CommodityUnitProduction in base year*Targets of additional productionPercentage increase

FoodgrainsMillion tons54.07.614

Major oilseeds5.10.48

Sugarcane (gur)5.60.713

CottonMillion bales2.91.345

Jute3.32.164

.Base year for foodgrains is 1949-50; for others 1950-51.These targets of additional production, especially of foodgrains, were worked out in terms of the contribution anticipated from different programmes such as irrigation, use of larger quantities of fertilisers, supply of improved seeds and programmes of land reclamation and development. In other words, it was reckoned that if the developmental measures which the plan provided for were taken the production potential would increase to the extent indicated. In given years the actual levels of production for different commodities would necessarily vary with weather conditions and other factors such as the relative prices for different crops.SECOND FIVE YEAR PLANObjectives and techniques significant as the achievements of the first plan have been, it is apparent that they have to be regarded as no more than a beginning. The task is not merely one of reaching any fixed or static point, such as doubling of living standards, but of generating a dynamism in the economy which will lift it to continually higher levels of material well-being and of intellectual and cultural achievements. The current levels of living in India are very low. Production is insufficient even for satisfying the minimum essential needs of the population, and a large leeway has to be made before the services arid amenities required for healthy living can be brought within the reach of any significant proportion of the population. There are large areas or regions of the country which are underdeveloped even in relation to the rest of the country and there are classes of the population which are almost untouched by modem progressive ideas and techniques. It is necessary to proceed faster with development, and this, it must be emphasised, is possible only to the extent that a larger measure of effort, both financial and organisational is forthcoming. For several plan periods to come, it is on the mobilisation of the effort rather than on the gains and returns arising therefrom that attention has to be concentrated. These gains and returns are important, but more important is perhaps the satisfaction that a community gets from attempting a worthwhile task which gives it a chance to bend its energies to productive and socially useful purposes. The 'costs' of development, viewed in this light, are a reward in themselves. There is no doubt that given a right approach to problems of development, including social policy and institutional change, a community can draw upon the latent energies within itself to an extent which ensures development at rates much larger than nice calculations of costs and returns or inputs and outputs may sometimes suggest.The Socialist Pattern of Society. A rising standard of life, or material welfare as it is sometimes called, is of course not an end in itself. Essentially, it is a means to a better intellectual and cultural life. A society which has to devote the bulk of its working force or its working hours to the production of the bare where-withals of life is to that extent limited in its pursuit of higher ends. Economic development is intended to expand the community's productive power and to provide the environment in which there is scope for the expression and application of diverse faculties and urges. It follows that the pattern of development and the lines along which economic activity is to be directed must from the start be related to the basic objectives which society has in view. The task before an underdeveloped country is not merely to get better results within the existing framework of economic and social institutions but to mould and refashion these so that they contribute effectively to the realisation of wider and deeper social values. These values or basic objectives have recently leen summed up in the phrase 'socialist pattern of society'. Essentially, this means that the basic criterion for determining the lines of advance must not be private^profit but social gain, and that the pattern of development and the structure of socio-economic relations should be so planned that they result not only in appreciable increases in national income and employment but also in greater equality in incomes and wealth. Major decisions regarding production, distribution, consumption and investmentand in fact all significant socio-economic relationshipsmust be made by agencies informed by social purpose. The benefits of economic development must accrue more and more to the relatively less privileged classes of society, and there should be a progressive reduction of the concentration of incomes, wealth and economic power. The problem is to create a milieu in which the small man who has so far had little opportunity of perceiving and participating in the immense possibilities of growth through organised effort is enabled to put in his best in the interests of a higher standard of life for himself and increased prosperity for the country. In the process, the rises in economic and social status. Vertical mobility of labour is thus no less important than horizontal mobility, for nothing is more destructive of hope and more inhibitive of effort than a feeling that the accident of birth or of a poor start in life is likely to come in the way of a capable person rising in life in terms of economic and social status. For creating the appropriate conditions, the State has to take on heavy responsibilities as the principal agency speaking for and acting on behalf of the community as a whole. The public sector has to expand rapidly. It has not only to initiate developments which the private sector is either unwilling or unable to undertake; it has to play the dominant role in shaping the entire pattern of investments in the economy, whether it makes the investments directly or whether these are made by the private sector. The private sector has to play its part within the framework of the comprehensive plan accepted by the community. The resources available for investment are thrown up in the last analysis by social processes. Private enterprise, free pricing, private management are all devices to further what are truly social ends; they can only be justified in terms of social results.1. ensuring integrity in administration;2. building up administrative and technical cadres and providing incentives and opportunities for creative service;3. continuously assessing requirements of personnel in relation to the tasks to be undertaken; organising largescale training programmes in all fields; and mobilising the available training resources, including public and private institutions, industrial and other establishments, apprenticeship and in-service training;4. devising speedy, efficient and economic methods of work, providing for continuous supervision, and arranging for objective evaluation of methods and results at regular intervals;5. carrying technical, financial and other aids to small producers as in agriculture, national extension and community projects and village and small industries;6. building up organisations for the efficient management of public enterprises as in industrial and commercial undertakings, transport services and river valley schemes;7. securing local community action and public participation so as to obtain the maximum results from public expenditure, as in agriculture and in social services; and8. strenthening the co-operative sector of the economy through assistance in managerial and technical personnel and establishment of co-operative, financial, marketing and other institutions;3rd Five Year Plan Increase in agricultural production, the growth of modern industry and of transport and power, and the development of the publicandthe cooperative sectors in the economy will create conditions which will make it possible to advance towards socialism and to improve living standards. These will gain greater social significance in the measure in which socialism develops at the level of the community and enlists widespread local effort. As the values of socialism and democracy become more pervasive, influencing everyday attitudes and behaviour, wider opportunities will open up for all sections in the community, and especially for the under-privileged. A large segment of India's development plans reaches the mass of the people through community development. In promoting the growth of socialism at the level of the community amongst the rural people, therefore, the role assigned in the Five Year Plans to the community development movement should be specially stressed. Community development must seek, above all, to bring about increase in agricultural production, higher standards of productivity, and fuller utilisation of the available manpower and other resources. With its stress on the development of local initiative and responsibility and on cooperative self-help, the movement is designed to serve as a spearhead of a wide range of programmes of development, which include agriculture, cooperation, irrigation, village and small industries, rural electrification and the reform of the agrarian system. One of its major aims is to create conditions for the growth of a progressive cooperative rural economy with a diversified occupational structure in which the weaker sections of the community are brought speedily to the level of the rest. The development of a cooperative agro-industrial economy in rural areas is essential for ensuring that the benefits of industrialisation spread out evenly among different sections of the population and to different areas and for securing a large measure of integration between rural and industrial development in each region. A recent development of the community development movement in the rural areas has been, what is called, Panchayati Raj, or democratic decentralisation. At the village, block and district levels, responsibility for development is entrusted to Village Panchayats, Pan-chayat Samitis and Zila Parishads, and they are given considerable powers. This is a revolutionary change in the structure of administration within the district and in the pattern of rural development, and is already producing significant results and changing the rural climate.4th five year plan :Food Policy and AdministrationThe Food grains Policy Committee (1966) postulated three objectives of food policy: to achieve self-reliance in production, to ensure equitable distribution, and t and bring about price stability in the context of both production and distribution. The Committee went on to suggest that the latter two objecives could be achieved by planned management of food supplies involving such measures as procurement, control of inter-State movement of foodgrains, a system of public distribution and the building up of buffer stocks. Some of the measures recommended and indeed actually in operation such as control of inter-State movement of focd-grainswere related to a situation of grave shortage coupled with the necessity of maximum procurement. If the situation changes, so must the strategy. Thus, changes would obviously be called for in the management of food supplies if the envisaged rate of growth in the production of food-grains materialises in the Fourth Plan period. Food policy has to be so formulated as to meet different situations, whether of deficits or of surpluses. It must have a certain amount of flexibility. It must, at the same time, fit into the broad framework of economic policy. The main objectives of food policy in the Fourth Plan may, therefore, be restated as:i. to ensure that consumer prices are stabilised and, in particular, that the interests of the low income consumers are safeguarded;ii. to ensure that the producers get reasonable prices and continue to have adequate incentives for increasing production; andiii. to build up an adequate buffer stock of foodgrains with a view to ensuring both the objectives mentioned above.10.2 Even when the food supply improves, prices may tend to be high in certain areas. Similarly, in years of shortfall in production, prices might lend to rise causing distress to vulnerable sections of the population. Protection of the interests of the consumers, particualrly the low income groups, would have to be an objective of food policy. This involves distribution of foodgrains through cooperative and fair price shops and the regulation of private trade. As an incentive for higher production, the rainier should get a reasonable price, even when surpluses emerge. This can be ensured by State purchases, through the Food Corporation of India, cooperatives and other agencies.Instruments of Food Policy10.3. The achievement of the objectives set out above calls for skilful management of food supplies and a strategy which may have to be changed from year to year depending on the available food resources, price trends, inter-State disparity in prices and availabiliy, and the continuing need of maintaining a buffer stock at the desired level. Within the policy framework, there should be room for manoeuvre, improvisation and flexibility, provided progress is mainrained towards attainment of the objectives set out. A number of measures, direct and indirect, will be necessary. These include:a. the continuance of the public distribution system;b. the acquisition by the public sector of a sizeable percentage of marketable surplus of foodgrains with a view to meeting the commitments under the public distribution system and maintaining the buffer stock at the desired level;c. the imposition of such restrictions on the movement of foodgrains as may be necessary to help the attainment of procurement targets or to prevent, in a condition of shortage, an excessive rise in prices throughout the country;d. the regulation of private trade to curb speculation and hoarding;e. the regulation of bank advances against foodgrains; andf. the continuance of the ban on forward trading.All these measures are at present being adopted as instruments of policy. A judicious combination of these will be necessary during the Fourth Plan, though the precise role that each might play may change from year to year.10.4. Efforts have to be made to ensure that the fair price shop system is gradually replaced by an arrangement under which the co-operative consumer stores or shops of multi-purposes societies become the principal apparatus for public distribution of foodgrains. The cooperative consumer stores can play a crucial role, especially in the rural areas, if their number is increased. At present, the fair price shop system, working mostly through private units, depends on State initiative and action; and there are large fluctuations in the operation acd extension of the system from year to year. Such a system is also apt to be dismantled as soon as adverse conditions disappear. This is wasteful. Attempts will be made in the Fourth Plan lo promote viable cooperative shops which will ds-pend not merely on the distribution of foodgrains under the public distribution system but have activity-covering the sale of other goods of mass consumption.10.5. In the past. imports have met a good part of the requirements of the public distribution system. With early cessation of concessional imports cf- foodgrains which is contemplated, commitments for the public distribution system and buffer stock operations can be met only by internal procurement. The procurement target for ihe country as a whole cannot be less than 8 to 10 million tonnes in any given year.10.6. Methods of procurement have varied. Certain States like Maharashtra have operated with success a system of monopoly procurement with a graduated levy on producers. The Punjab scheme of pre-emptive purchases, coupled with an efficient system of regulated markets, has also worked well. The States will continue to have the choice of the mode of procurement best suited to the fulfilment of their obligations. Procurement by States has, in conditions of scarcity, called for restrictions on the inter State movement of foodgrains on private account. With the emergence of surpluses and the operation of an effective buffer stock in foodgrains, these restrictions may, as and when warranted by the situation, be progressively relaxed. Steps in this direction were taken during 1968 when a bigger northern food zone was constituted and the movC'-ment of gram and barley was made free throughout the country. Movement restrictions on maize, bajra and jowar were also lifted from Punjab, Haryana and Rajasthan. A further relaxation was made in 1969 when the Northern Wheat Zone was enlarged so as to cover practically the whole of North India. The approach towards zonal restrictions in the Fourth Plan will continue to be pragmatic.Buffer Stocks10.7. The importance of building up buffer stocks to stabilise the food economy has long been recognised. A buffer stock is necessary not only to meet marked falls in production resulting from bad years, but also to impart inter-seasonal stability to the price level. A buffer stock of adequate size has, therefore, to be a central feature of food policy during the Fourth Plan. A beginning has been made with a provision or a two million tonne buffer stock in 1968-69. On a consideration of various factors, the setting up wheat buffer stock of five million tonnes of foodgrains might be deemed reasonably adequate. A buffer stock of this magnitude, managed by the Food Corporation of India, would suffice to meet all except very abnormal fluctuations such as those which- characterised 1965-66 and 1966-67. The requisite financial provision for an additional buffer stock of 3 million tonnes of focdgrains has been made in the Plan. Storage for buffer stocks is equally important. The programme of storage has been discussed in the chapter on Agriculture.Food Corporation10.8. The principal agency for the implementation of the food policy is the Food Corporation of India. Since its establishment in January 1965, there has been a substantial expansion of the activities of the Corporation. The Corporation now functions in all States except Maharashtra. Jammu and Kashmir and Nagaland. Its role and the extent of its operations, however, vary from State to State. The functions of procuring, moving, storing and handling of foodgrains at the ports and in the interior have been handed over to the Food Corporation by the Food Department. When the Corporation was established, it was intended that it should attain a commanding position in the distribution cf foodgrains and stabilisation of prices. This has not so far been achieved but substantial progress lias been made. During 1968-69 the Corporation purchased or handled 8.7 million tonnes of food-grains both indigenous and imported valued at about Rs. 713 crores. In coming years, the Food Corporation is expected to have adequate autonomy and flexibility in its operation, as it will have to go increasingly into the open market. Its pricing strategy will have to be determined not on the basis cf individual transactions but with reference to their total volume.Integrated Approach10.9. The Fourth Plan attempts to set out an integrated nutrition programme. Where so many are under-nourished, more food is the first step towards better nutrition. In this sense, therefore, the nationwide endeavour to1develop agriculture, along with.animal husbandry and fisheries, must be regarded as the base of all effort in nutrition. In the very process of production, including the planning for different crops, it is both necessary and possible to provide for the main needs of good nutrition. While this will be sought to be ensured both generally in the agriculture programmes and specifically in the areas covered by schemes of applied nutrition, the important problem remains of widespread malnutrition among certain vulnerable categories of the population. Recent surveys indicate that nearly two-thirds of expectant mothers belonging to the poorer sections of the community suffer from serious malnutrition. Infant mortality continues to be high. The health of young children, both pre-school and school-going, needs special care. Protein malnutrition is acute in some parts of the country and deficiency diseases have a high incidence. Specific programmes of nutrition, therefore, must also receive high priority. In formulating them, the following requirements have to be kept in mind:i. since resources are limited, it is necessary to establish priorities with reference to needs, classes and areas;ii. it is important to improve the efficiency, and extend the coverage, of the organisations whicli serve the needs of the priority age-groups, classes and areas, andiii. programmes of distribution should be supported wherever this is necessary, by pro-grames of production, processing and supply.The coordinated nutrition programme of the Fourth Plan, consisting of both existing and new schemes, is based on these considerations.The number of new schemes in the Plan has been kept to the minimum necessary. Some of the schemes seek to make a beginning with the fulfilment of the special needs and requirements of specified groups of people, for example, those likely to be affected by nutritional anaemia, blindness or protein deficiency. Programmes concerned with preschool children and expectant and nursing mothers will be concentrated in known areas of acute malnutrition, and become an important item in the activities of balwadis. The efficiency and coverage of the existing agencies, voluntary and departmental, vary in different pans of the country. Better implementation of nutrition programmes is sought to be ersured in the Plan by effecting improvements in organisation and providing for adequate supervision. There are also new schemes for the use of a wider organisational network involving the association cf women, so that children, specially pre:school children, are properly looked after. Finally, some of the new projects included in the Plan are in the nature of pilot schemes for promoting cheap, nutritious or fortifying foods to replace in due course what is received as aid from abroad,5th five year plan : Agriculture Production: The methodology followed in arriving at the projections of foodgrains, important commercial crops, irrigated areas and other physical programmes has been explained in the chapter on the Rate and Pattern of Growth. These estimates relate to average weather conditions in a given year. However, in order to allow for variations in the effect of weather, provisions have been made in individual state plans on a slightly higher scale so that the total production is not materially lowered even if some part of the country is affected. If these outlays are utilised with a fair degree of efficiency and if weather conditions are favourable in all the states, the total production would naturally be much higher and could be of the order shown in the table below.(mt-million tonnas, mh-million hectares, mb-million bales )item1973-74 levelmaximum production estimates

(0)(1)(2)

foodgrains (mt)104.7132.9

oil seeds (mt)-five major8.912.6

sugar cane (mt)140.8173.5

cotton ( mb -170 kg)6.39.0

jute and mesta (mb -180 kg)7.77.7

high-yielding varieties (mh)25.840.0

fertilizers2.85.0

consumption (mt)

minor irrigation (mh)23.131.6

5.8. The expenditure on Agriculture and allied programmes during 1974-77 is likely to be about Rs. 2 I 30 crores. The outlays proposed for the last two years of the Plan period are of the order of Rs. 251 3 crores. The Sectorwise outlays are shown in Annexure 23 and the State-wise allocations are given in Annexure 24.5.9. Performance of the important programmes, like DPAP, minor irrigation, production and distribution of high-yielding varieties of seed and distribution of fertilisers have been specifically examined and necessary provision has been made. The outlays for reclamation of alkline, saline and acidic soils and plant protection programmes have been suitably enhanced. Emphasis has also been placed on developing organic sources of manure and higher outlays provided for setting up biogas plants. Adequate provision has also been made for accelerating the minikit seed programme and strengthening of the extension services. Provision has also been made for augmenting storage capacity in the public sector.Irrigation5.10. The total irrigation potential likely to be created during the Fifth Plan period is placed at 13-1 million hectares ; 5-8 million under 'major and medium' and 7'3 million under'minor'. Allowing for certain adjustments the additional potential should be of an order higher than 11 million hectares.Major and Medium Irrigation5.11. During the first three years of the Fifth Plan the expenniture on major and medium irrigation projects is likely to be Rs. 1474 crores. For the remaining two years of the Plan, an outlay of Rs. 1 621 crores is indicated keeping in view the progress achieved on each project, new completion schedules, development of additional command and escalation in costs. Where work could be accelerated, higher, outlays have been provided for projects such as Nagariuna-sagar, Sarda Sahayak, Rajasthan Canal, Malaprabha and Kadana, Commitments to international agencies like the World Bank in respect of certain projects and obligation of States to provide matching funds in respect of inter-State projects have been kept in mind.5.12. An Outlay of Rs. 1013 crores has been provided for new starts during the Plan period. In selecting new projects, priority was accorded to those located in drought prone areas. On the basis of the data furnished by the States and the discussions held recently, an additional potential of 5-8 million hectares is expected to be acnieved during the Fifth Plan period. Details indicating the outlays and benefits State-wise are given in Annexures 25 and 26.5.13. Planning Commission has been laying great emphasis on modernisation of certain important irrigation schemes urgently, particularly those completed earlier to the Plan periods. Provision has been made for some schemes like Godavari Barrage, Tajewala and Okhia Barrages and Bhimgoda headworks.Minor Irrigation5.14. According to the outlays available to the states for the first three years, a maximum potential of nearly 3'4 million hectares is likely to be created during the first three years of the Plan. The provision made in the following two years of the Plan almost equals the provision in the first three years. As a number of the projects are nearing completion, it is expected that an additional 3-9 million hectares will be brought under irrigation during the next two years.Soil and Water Conservation5.1 5. The programme for treatment of area in river valley catchment of major reservoirs and other soil and water conservation programme made a late start. A considerable step-up in outlays for implementation of these programmes has been made for the remaining two years'of the Fifth Plan. In some of the States, soil and water conservation programmes have also been taken up with institutional credit support and the targets of physical performance are likely to be achieved.Area Development5.16. This important programme for optimising the use of irrigation water and utilisation of the potential created from selected commands of major irrigation works also took time to make a start. Now the Command Area Development Authorities have been set up and other infrastructure facilities developed. Therefore, the provision in the Central sector would be almost 22 per cent higher for the remaining two years as compared to the outlays for the first tnree years. The provisions in the respective states adequately match the provision made in the Central sector.Investment in Agricultural Financial Institutions5.17. More and more institutional finance is being extended to the development programme for rural areas which leads to higher physical achievements with less public sector outlays. Accordingly, for providing support to Agricultural Refinance and Development Corporation, adequate budgetary provision has * been made in the Central Sector, which is almost 55 per cent higher than the outlay in the draft Fifth Plan. In the State, sector, provisions have also been made for investment in agricultural financial institutions which are higher by about 22 per cent. The provision made for the remaining two years in some of the States especially in the eastern region for strengthening of cooperative structure and development of loaning programmes by the Land Development Banks is almost 62% higher than the outlays available for the first three years. The total investment outlay is being raised to Rs. 129 crores. It is to be noted that the major portion of it will go to minor irrigation sector. This should generate sizeable investment and strengthen the operational capability of the Central/State Ground Water Boards.6th Five Year Plans :The agricultural growth pattern during the Sixth Plan period has to take into account the immediate as well as the long-term needs of agricultural commodities both for domestic consumption and for export. The highest priority will be accorded to bridging the gap prevailing between .actual and potential farm yields even at current levels of technology through the removal of the constraints responsible for this gap. The untapped yield reservoir is quite high in most of the farming systems in the country and thereby serves as a. source of optimism for achieving accelerated growth. Both agriculture and fisheries will have to receive concurrent attention through the development of appropriate packages of technology, services and public policies, which can help to enhance production from the soil as well as the sea and thereby improve the income of farmers and fishermen. For achieving greater efficiency of farm management, attention to non-monetary inputs is as essential as to cash inputs.9.2 The pathway of agricultural advance so far adopted in the developed nations as well as in parts of India relies heavily on increasing consumption of non-renewable forms of energy. It is obvious that finite sources cannot, be exploited in an exponential manner. Agriculture, being the most important solar energy harvesting enterprise, is an invaluable source ot renewable wealth. However, even this resource will become non-renewable if damage is done to basic life support systems like soil and water and the environment. The highest priority should hence go to the protection and improvement of basic agricultural assets. Genetic diversity in plants, animals and fish will have to be conserved and studied with regard to the use of genes present in such collections.9.3 The agricultural strategy during the eighties will place increasing emphasis on integrated approaches to pest control, nutrient and energy supply, and also to production, conservation, consumption and trade. The triple alliance of weeds, pests and pathogens will have to be fought through an appropriate blend of genetic, agronomic, biological and chemical methods of pest control. In the area of nutrients supply, organic and biological sources of fertilisers will have to be harnessed in addition to increasing the supply of mineral fertilisers. Phosphorus management and recycling require special attention since phosphorus is a non-renewable resource. The care and maintenance of soil health as well as plant and animal health will have to be carried out with the help of the local community. Integrated energy supply systems will have to be based on the use of solar and wind energy, biogas, village wood lots in addition to electricity and petroleum products. These systems will also be so designed as to reduce energy losses.9.4 Three major groups of factors influence stability of productionweather, pest epidemics and public policies. Pest epidemics can be kept under control tlirough proper pest surveillance and plant protection measures. Public policies in the area of agrarian reforms and pricing, marketing and distribution can also be tailored to stimulate production. Weather aberrations are, however, beyond human control. Therefore, it is essential that contingency plans are developed, particularly in areas which are prone to drought and floods for meeting different weather probabilities. The overall strategy for minimising the adverse impact of aberrant weather will be: (a) to introduce crop life-saving techniques, (b) to popularise alternative cropping patterns based on weather conditions; and (c) to introduce compensatory production programmes in irrigated areas and in off-seasons. Steps will have to be taken during the Sixth Plan period to systematise efforts in the field of disaster management with regard to human, animal and plant populations.9.5 The Sixth Plan will thus present many challenges and opportunities. Since food occupies the first place in the hierarchical needs of man, we can neglect agriculture only at the risk of economic instability.

INDIAN AGRICULTURE IN THE EIGHTIES9.6 Starting from the beginning of this century, three major phases can be identified in our agricultural evolution. The first phase from 1900 to 1947 was marked by a near stagnation in farming as is clear 1'roma growth rate of about 0.3 per cent per annum achieved in agricultural production during this period. Phase-11 extending from 1950 to 1980 has been marked by considerable advances in the process of modernisation of agriculture, thanks to the steps taken in the development and spread of (a) technologies based on scientific research; (b) wide range of services; and (c) public policies in land reform, pricing, procurement and distribution. As a result, agricultural production grew at an annual compound rate of 2.8 per cent during 1967-68 to 1978-79. The third phase which has begun in the eighties will be marked by the need Tor greater attention to marketing and trade, and to institutional frameworks which can help to minimise the handicaps of small and marginal farmers and maximise the benefits for intensive agriculture offered by small holdings.9.7 The agrarian structure of our rural economy is such that small and marginal farmers cultivate nearly 73 per cent of the operational holdings in the country although they handle only about 23 per cent of the cultivated area. Their total earnings from farming alone hence tend to be small and, in unirri-gated areas, also uncertain. The long-term answer to this problem does not lie in steps like writing off loans and fixation of procurement prices at levels which will further reduce the already low levels of consumption of farm products. It is, therefore, proposed during this Plan to introduce a 3-pronged strategy to improve the economic well-being of small and marginal farmers and share croppers:(1) Improving the productivity and income from smaH holdings through detailed advice on land and water use based on the following 4 criteria:a. Ecology: Integrating ecological considerations in land use patterns which would help to avoid the problems of waterlogging, salinisation, erosion, etc. in irrigated areas and to elevate and stabilise production in un-irrigated areas through water harvesting and conservation. Also, contingency plans to suit different weather probabilities will be prepared and introduced according to seasonal conditions.b. Economics: Since most of our farmers have low input purchasing and risk taking capacity, it is essential that the land use patterns suggested both in irrigated and unirrigated areas should be based on considerations of costs, returns and risks. Also, marketing opportunities will have to be carefully studied and appropriate advice given to farmers, so that their efforts are adequately rewarded. The economic issues involved in the entire production-trade-consumption chain will have to be gone into.c. Energy: The land pnd water use pattern should be based upon the optimum utilisation of the available forms of renewable and non-renewable forms of energy.d. Employment: The aim of land use should be to optimise the opportunities for gainful employment and to make it possible for introducing labour diversification and subsidiary occupations for landless labour families. State Land Use Boards assisted by a Central Land Use Commission will pay priority attention to the reorientation of current patterns of land use on the above lines.(2) Farmers' own organisations for storage and marketing particularly of perishable commodities will be promoted since this will help to protect small and marginal farmers from exploitation by middlemen. Aich organisations would be provided by Government with appropriate support in the areas of train-flig and trade.(3) Diversification of opportunities for income through the introduction of subsidiary occupations under IRDP as well as lean season employment through JSREP will be undertaken so as to enhance and stabilise rural incomes.9.8 In the eighties, public policy measures which can help to stimulate production by small and marginal farmers as well as consumption by the rural and urban poor will have to be developed carefully. Ad-hoc measures introduced without a proper action-reaction analysis as temporary palliatives, may in the long run do more harm tlian good. Since agriculture is a State subject, State Governments have a particularly important role as well as responsibility in this respect.

OBJECTIVES AND STRATEGY

9.9 The aims of the agricultural programmes during the Sixth Plan period would be:a. to consolidate the gains already achieved;b. to accelerate the pace of implementation of land reforms and institution building for beneficiaries;c. to extend the benefits of new technology to more farmers, cropping systems and regions and to promote greater farm management efficiency through concurrent attention to cash and non-cash inputs;d. to make agricultural growth not only an instrument of maintaining an eifective national food security system but also a catalyst of income and employment generation in rural areas;e. to promote scientific land wateruse patterns based on considerations of ecology, economics, energy, conservation and employment generation; andf. to safeguard the interests of both producers and consumers by attending to the needs of production, conservation, marketing and distribution in an integrated manner.9.10 In realising these aims we have to take cognisance of the basic socio-economic parameters governing agricultural growth during the eighties which are the increasing fragmentation^ of land holdings, imbalances in the diffusion of improved technologies in different areas and in the relative rate of growth 'of different crops.9.11 The position with regard to the average size of a farm holding in all the States of India shows a trend tov/ards a gradual reduction in the size of an operational holding (Annexure 9.1). Land consolidation has not taken place in many of the States in the country. Watershed management in un-irrigated areas, command area development in irrigated areasmd catchment area management in hilly regions which are the triple approaches to scientific water conservation and use have been rendered difficult due to fragmentation of holdings and absence of cooperative management.9.12 An urgent pre-requisite for accelerating agricultural advance is the need for institutional arrangements tor assisting small and marginal farmers to maximise the opportunities offered by a small farm for intensive agriculture and minimise the handicaps arising from the absence of land consolidation and levelling and the inability to invest on inputs and face risks. The major steps proposed to be taken during the plan period to help small and marginal farmers and share-croppers, both in irrigated and rainfed areas to derive advantage from improved technology, are the following:a. Extend the benefits envisaged under the Integrated Rural Development Programme to farming communities in all the blocks of the country (this has already been done with effect from 2 October, 1980);b. Help to organise farmers' agro-service centres which can provide relevant services in the area of tillage and farm operations, water conservation and management, plant protection, processing and marketing;c. Promote group management of soil. plant and animal health care without affecting the individuality of farm holdings;d. Organise effective input supply services including credit;e. Provide the necessary assistance in the areas of post-harvest technology, particularly with regard to marketing through the rural godowns project; andf. Develop further on-going crop/animal credit insurance schemes to insulate farmers from losses due to reasons beyond their control.7th Five year plans :An increase in foodgrains production plays a particularly important role in the Seventh Plan. Any shortfall in foodgrains production will tend to reduce rural incomes and generate inflationary pressures that will hurt the poor and erode public resources. These risks are greater with an employment-oriented development strategy. Hence an expanded food security system, based on rapid increases in foodgrains production, especially in the undeveloped regions, public procurement, buffer stocking, and public distribution is a key component of the Seventh Plan.The Seventh Plan aims at extending the green revolution to new areas through its emphasis on raising the productivity of rice in the eastern region and in rainfed and dryland agriculture. This should lead to faster growth in agricultural output in areas which, in the national context, are economically backward. The special role of human resource development in the Seventh Plan strategy will also help correct regional imbalances in social development. These elements in the Seventh Plan strategy aiongwith existing programmes and policies on resource transfers, location of industries, area development and provision of minimum needs would reduce regional imbalances in economic and social development.The impact of the Seventh Plan on poverty and unemployment will bring about an important qualitative change in the economy. At present the top 30 per cent of the population accounts for over half of the consumer expenditure both in rural and urban areas and for the bulk of the demand for manufactured consumer goods. By the end of the Seventh Plan, with the expected decline in the proportion of the population below the poverty line and with the reduction in the backlog of unemployment, there will be a significant increase in the demand for food articles and for many manufactured consumer goods and services. This increase in the size of the domestic market can provide a base for rapid industrial advance, which in turn will further accelerate the growth in employment. Hence the Seventh Plan strategy which focuses attention on employment generation and poverty reduction will also help strengthen growth impulses in the economy.8th Five Year PlanFish and Fish Products6.13.9 India has a coastline of 7,500 kms and an Exclusive Economic Zone (EEZ) extending to 2.02 million square metres with vast potential for marine fishery. There are 1.8 lakh country crafts ^non-mechanised), 23,000 mechanised fishing vessels and 179 deep sea fishing vessels operating in the Indian Exclusive Economic Zone. The annual production of maripe and inland fish and exports of marine products are indicated in Statement 6.6. Shrimp alone remains so far the major component of the marine exports from India. The export of marine products was approximately 20,000 tonnes during 1990-91 and the reasons for the abysmal level of exports in this sector can be traced to the inadequate fish processing capacity. There are at present 216 freezing plant with a freezing capacity of 2,200 tonnes per day and 25 canning units with a total capacity of 90 tonnes per day. On-board fish processing facilities are non-existent in the country. While Individual Quick Freezing Plants (IQFP) have recently been established, their capacity is inadequate as compared to that available in the advanced countries. As many as 5,000 cold storages, now available in the country, are also inadequate for handling the present volume of fish catches. In all, the deep sea fishing industry today stands on a very weak footing. Maritime Zone of India (Regulation of fishing by foreign vessels) Act, 1981 is implemented by the Coast Guards but they possess inadequate communication facilities. The Fishery Survey of India, Bombay is the nodal agency for conducting surveys and assessment of marine fisheries in the Indian waters.6.13.10 To increase marine exports, there is need to use fish catches other than shrimps. New shrimp ground and non-shrimp resources also need to be identified by Fishery Survey of India since exploitation of the existing resources for shrimp catches have reached saturation level. Other aspects requiring greater attention are quality improvement, technology upgradation, value added products, development of infrastructure, improved methods of handling and preservation, etc.Consumer Goods Industry6.13.11 The consumer industry for eatable food processing items has a very wide spectrum and it is concentrated largely in the organised sector including public sector units and large corporations in private sector. There an' more than 18,000 factories producing food products worth Rs.9,000 crores. There are large number of units in urorganised sector producing items like Pasta goods, traditional foods, Poha etc. This sector is also playing an important role. The Confederation of Indian Food and Trade Industry (CIFTI) is the apex body of food product manufacturing units while Agricultural and Processed Food Products Export Development Authority (APEDA) is promoting exports of a wide range of Indian agricultural products and processed foods Under the new industrial policy announced by the Government in July, 1991, licensing of food product industry has been dispensed with, except for non-potable alcohol, beer etc. Broad- banding has also been extended to all processed food items excluding the items reserved for the small-scale sector.6.13.12 Two Central Public Sector Undertakings, namely, Modern Food Industries (India) Ltd. (MFIL) and North Eastern Regional Agricultural Marketing Corporation (NERAMAC) are engaged in the production and marketing of food products. MFIL is manufacturing bread, soft drinks, ready-to-serve food/drink, edible oil, wheat products, nutritional diet, etc.6.13.13 The NERAMAC is, on the other hand, engaged in the marketing and processing of fruit and vegetables grown in the North Eastern States. The unit also markets citronella oil, ginger, mustard oil cake, aromatic products of tlie regions, etc. It has a pineapple juice processing plant at Nalkata in Tripura having a capacity of producing 48 tonnes of pineapple juice per annum. This unit is inclining losses since its inception. Unless a major revamp is effected, it may not become viable.Packaging Material for Food Industry6.14.1 Several new trends, have now cmcigcd in new packaging materals like, tatrapacks, multi-layered aseptic cartions like tatrapacks, multi-layered aseptic cartions, flexible plastic pouches, thermofarm cups and tray packing,shrink film transport packing, etc. Container transport mode introduced by the Indian Railways has improved transportation facilities, much needed for the food processing industries. The increased shelf-life of the products of food processing industries have made these products popular and also, to some extent, prevented post-harvest losses in fruit and vegetables.6.14.2 The high cost and inadequate availability of quality packaging materials, coupled with their irregular supply where these are available and high excise duties, have resulted in serious constraints in the development of packaging industry. The main thrust in 'R and D' has to be on development of cost-efficient sophisticated packaging and consumer packs to meet international standards.Food Processing Machinery6.15.1 The requirements of food processing machinery are being met by chemical processing machinery manufacturers, specialised machinery manufacturers and small-scale units. Most of them do not have the necessary design and infrastructure for developing new products and cost efficient machinery and equipment. There is need to upgrade technology available with the Indian manufacturers by enlisting foreign collaborations where required, for design knowhow back-up. The Central Food Technology Research Institute, Mysore, would be actively involved in the research in food processing machinery. Encouragement to food processing industries would ipso facto increase demand of latest food processing machinery. Incentives and other facilities to Indian machinery manufacturer would, therefore, be required to enable them to enlist new foreign collaborations for food processing machinery as well as for high speed packaging machinery.9th five year plans Food and Nutrition Security4.3.1 At the time of independence the country faced two major nutritional problems; one was the threat of famine and acute starvation due to lack of national and regional food security systems; the other was chronic under-nutrition due to low dietary intake because of lack of purchasing power among the poorer segments of the population.4.3.2 One of the first efforts of the country was to build up a food security system to ensure that the threat of famine no longer stalks the country. Investment in agriculture and the green revolution have ensured that the food production has kept pace with the population growth and by and large India remained self sufficient in food. Establishment of adequate buffer stocks has ensured availability of food stuffs within affordable cost even during the times of drought. The fact that the country has not witnessed famine and acute starvation on a massive scale in the last five decades is the most eloquent testimony for the success of these efforts.4.3.3 Even though self sufficiency in food production has been achieved, the population still lacks access to balanced food. It is a matter of concern that the even though cereal production has kept pace with the increasing requirements and average percapita intakes of cereal have remained satisfactory, there has been a fall in the percapita consumption of pulses. It is important not only to improve pulse production but also make them available at affordable cost. The production and consumption of vegetables and fruits continue to remain low. Specific efforts have to be made to improve production and improved access to vegetables especially green-leafy vegetables at affordable cost both in rural and in urban areas.4.3.4 Poverty and lack of purchasing power have been identified as two major factors responsible for low dietary intake. The concern over the economic factors resulting in chronic undernutrition led to the use of calorie intake as the basis of estimating poverty and the development of food for work programmes as one of the remedial measures to alleviate this problem. The food for work programme and employment assurance scheme are aimed at improving household food availability in Below Poverty Line (BPL) families especially in seasons during the employment and food availability in rural areas are low. To some extent these measures have helped in improvement in the household food availability but the problem of equitable distribution of available food and need based intrafamilial distribution of food persisted.4.3.5 Public Distribution System (PDS) providing foodgrains at affordable prices is one of the key elements of the Government's Food Security system. In spite of obvious limitations PDS did play a role improving in regional food security specially in drought prone areas. In an attempt to improve availability of food to population living in most vulnerable areas (remote, tribal and drought-prone regions) the revamped public distribution system gave priority for establishment of PDS in such vulnerable areas. In spite of mounting food subsidies evaluation studies indicate that supply of subsidised food given through PDS has not resulted in improvement in household level food security. Self-sufficiency of foodgrains at national level and availablility of foodgrains at affordable cost at local level have not got translated into household level food security for the poor. In an attempt to limit the mounting cost of food subsidy and at the same time ensure that people below poverty line do get subsidised foodgrains the targetted public distribution system providing food grains at subsidised cost only the people below poverty line was initiated. If susscesfully implemented the targetted PDS is expected to achieve better household food security for families living below poverty line without substantially increasing food subsidy costs.4.3.6 Inter-relationship between undernutrition and ill health has been well documented. Low dietary intake and continued heavy physical activity lead to negative energy balance resulting in chronic undernutrition. Chronic undernutrition may be associated with reduction in the work capacity and increased susceptibility to infections. Infections in turn can further worsen the existing undernutrition. Undernutrition and its adverse health consequences are more often seen in pregnant and lactating women, infants and preschool children .4.3.7 In an effort to reduce chronic undernutrition and its health hazards, food supplementation programmes to identified vulnerable groups such as women and children were taken up initially by the Deptt of Social Welfare and later Deptt. of Women and Child Development ; in the Integrated Child Development Scheme an attempt was made to provide essential health and nutrition inputs to the women and children and pre-school education to children both in urban and rural areas. Food supplementation to the school children in the form of Mid day meal programmes were taken up in many states. Programmes for prevention of iodine deficiency disorders, anaemia and blindness due to Vit A deficiency were initiated by the Deptts of Health and Family Welfare.4.3.8 A review of the of nutritional scenario in the eighties showed that there has been a marked reduction in the severe grades of undernutrition and mortality due to severe undernutrition; however the existing food supplementation programmes failed to achieve significant reduction in proportion and number of persons with mild and moderate degrees of chronic under-nutrition, because the programmes tried to provide food supplements to the identified segments of the community and not to identified person/ family of persons suffering undernutrition. Specific micro-nutrient deficiencies as such anaemia (due to deficiency of iron, folic acid), iodine and vitamin A deficiencies continued to remain major public health problems because they cannot be tackled through food supplementation programmes and the propylaxis programmes were not aimed at detection and correction of the deficiency in the individuals. With the alteration dietary intakes and life styles newer problems such as obesity and noncommunicable diseases has surfaced especially among the urban middle and upper income groups during the last decade. Tackling all these problems through intersectoral cooperation between the concerned Departments including Deptts. of Health, Family Welfare, Women and Child Development, Education, Agriculture, Food Processing, Rural and Urban Development will receive due attention during the Ninth Plan period.

10th Five Year Plan :Plant quarantine is a regulatory function under the Destructive Insect Pests (DIP) Act, 1914 and the Plants, Fruits and Seeds (Regulation of Imports into India) Order, 1989. Being a signatory to WTO-SPS agreement, it is obligatory upon Indiato provide quarantine services. Plant quarantine is bound to assume greater significance in future as this plays an important role in regulating import and export. Quarantine services will be required to be provided in all the international airports and seaports. Therefore, there is need to strengthen and modernise the plant quarantine facilities in the country to keep pace with the increased volume of trade of agricultural products. Recognising the importance of the plant quarantine services, the Planning Commission recommended the establishment of a National Plant Quarantine Authority while reviewing the schemes of Department of Agriculture and Cooperation.Agriculture ExtensionThe extension services in the States would be reformed to make these demand driven. The role of the non-government sector in agriculture extension would be encouraged and an innovative approach in the field of television/ radio broadcast including specific channels in an interactive mode would be developed. With far reaching changes in the communication technology and breakthrough in spacetechnology, remote sensing, satellite broadcasting and the media revolution, extension workers will be reoriented and retrained to adapt themselves to those developments and make full use of emerging opportunities. With the private sector, communication networking will be encouraged to have backward linkages. Besides, private sector would also be encouraged to provide extension services, both information and services including input supply and testing facilities for soil and inputs. The Department of Agriculture and Cooperation, along with NABARD, has already introduced a scheme for establishment of agri-clinics / agri-businesscentres / ventures by the agricultural graduates.

11th 5 year plan : labelling, following actions will be undertaken during the Eleventh Five Year Plan: Creating Food Safety Authority for speedy enforcement of safety standards. Ensuring implementation of Capacity Building Project with the objective to enhance capacities in laboratories, awareness of food safety, and hygiene. Strengthening State labs, capacity building, food portal, comprehensive and informative/analytical database. Rationalizing protocol for establishment of labs for food safety. Implementing the Food Safety and Standards Act, 2006.Affecting ConvergenceClean drinking water is vital as unsafe water increases the risk of diseases and malnutrition. Waterborne infections hamper absorption of food even when intake is sufficient. Rural water supply is beset with the problem of sustainability, maintenance, and water quality. Though more than 95% coverage was achievedprior to Bharat Nirman, out of the 14.22 lakh habitations in the country about 1.66 lakh have slipped back to a position where people do not have adequate water to drink and have to walk more than 2 km to fetch potable water. Similarly, about 1.86 lakh habitations are dependent on contaminated water supply, whichleads to various health problems12th Five year plan :One important point to emerge is that although food inflation is usually ascribed to production shortfalls, policy decisions on MSP and on pricing and quantum of PDS and open market sales can be even more important. This is of course true of rice and wheat prices that are directly affected by such policies, but there are indirect effects as well. For example, milk, eggs, fish and meat had almost no effect on food inflation from 200405 till 200809, but have contributed most to food inflation subsequentlyAs discussed earlier, much of this was due to feed and fodder shortages that the2009 drought exacerbated. But the high build-up of rice and wheat stocks may in this context have contributed additionally. Substitution effects from lower availability of rice and wheat appear to have pushed up real prices of coarse grain to levels that compare with and most likely influenced inflation in livestock products. To maintain rapid agricultural growth, it will be necessary to continuously assess both MSP and trade policy in light of domestic production trends, paying attention to such wider linkages, so as to minimise undue production imbalance and the inflationary pressures resulting from these. Another important and related issue is the likely future demand for food. The Twelfth Plan Working Group on Crop Husbandry, Demand and Supply Projections, Agricultural Inputs and Agricultural Statistics has made projections for foodgrains and other food items by the terminal year of the Twelfth Plan, that is, 201617 which would suggest that present levels of cereals production already exceed likely demand at the end of the Twelfth Plan. These projections are based on actual past patterns of observed demand and the fact that cereals consumption per capita has declined since at least mid-1990s. However, it is also the case that India has very high levels of malnutrition and, although there are many reasons for this, deficiencies in calorie intake remain one of the most important.With cereals supplying over 50 per cent of total calorie intake even now, falling cereals consumption is the main reason why per capita calorie intake has not increased despite rising incomes. It is not just that the share of cereals in total food expenditure is falling; even poor people are reducing the share of incomespent on all foods in order to meet other non-food. needs. In such a situation, where there is a disjunction between such a basic element of human development as nutrition and other demands in an increasingly consumerist society, there is need to ensure that minimum nutrition requirements are actually met. This is the goal of the proposed National Food Security Act (NFSA) under which a majority of the population will be entitled to some very cheap cereals. This is likely to increase cereals demand from those projected.