The Government has been
playing an important role in developing the Agricultural Marketing
System in the country. Department
of Agriculture and Cooperation has two organizations dealing with
marketing under its administrative control, namely, the Directorate of
Marketing & Inspection (DMI) and the National Institute of
Agricultural Marketing (NIAM), Jaipur.
Directorate of Marketing and
It is an attached office of the Department and is headed by Agricultural Marketing Adviser. The Directorate has its Head Office at Faridabad (Haryana), Branch Head Office at Nagpur (Maharashtra) and 11 Regional Offices/ Sub-Offices headed by Dy. Agricultural Marketing Advisers (Dy.AMAs.) at Delhi, Mumbai, Chennai, Kolkata, Guntur, Chandigarh, Jaipur, Lucknow, Bhopal, Kochi and Guwahati and the Central Agmark Laboratory at Nagpur. Besides, there are 34 Sub-Offices and 23 Regional Agmark Laboratories (RALs) spread all over the country as per the details given below:-
The main functions of the DMI are the
1. Rendering advice on Statutory regulation, development and management of agricultural produce markets of the States/Union Territories;
2. Promotion of Standardisation and Grading of agricultural and allied produce under the Agricultural Produce (Grading & Marking) Act, 1937;
3. Marketing Research, Surveys and Planning;
4. Training of personnel in agricultural marketing;
5. Marketing Extension;
6. Administration of Meat Food Products Order, 1973;
7. Promotion of Cold Storage;
8. Agricultural Marketing Information Network; and
Construction of Rural Godowns.
Regulation, Development and Management of Agricultural Produce
Markets are regulated and managed under the Agricultural Produce Market
Act enacted by the respective State Governments.
The Central Government provides guidance and assistance in
regulation and development of agricultural produce markets. 7001 markets have been brought under regulation.
Grading and Standardisation
Agricultural Produce (Grading and Marking) Act, 1937 empowers the
Government to fix quality standards, known as “AGMARK” standards and
to prescribe terms and conditions for using the seal of ‘AGMARK’.
So far, grade standards have been notified for 163 agricultural
and allied commodities. The
purity standards under the provisions of the Prevention of Food
Adulteration (PFA) Act, 1954 and Bureau of Indian Standards (BIS) Act,
1986 are invariably taken into consideration while framing the grade
standards. International standards framed by Codex/ International
Standards Organisation (ISO) are also considered so that Indian product
can compete in International market.
During the year 2001-02, final notification of Cereals Grading
& Marking Rules, 2002 & Roasted Bengal Gram (split) Grading
& Marking Rules, 2002 were published in the Gazette of India.
Preliminary notification of Pulses Grading & Marking Rules,
2002 was published in the Gazette of India.
Final notification of Garlic Grading & Marking Rules and
preliminary draft notification of Rice Grading & Marking Rules,
Vermicelli Grading & Marking Rules are at the stage of publication
in the Gazette. Directorate
General of Foreign Trade, Ministry of Commerce issued a notification to
the effect that DMI would be the inspecting agency for fresh fruits and
vegetables for exports to the European Union.
The standards of Litchi, Pomegranate, Mangoes, Pineapple, Guava,
Grapes, Headed Cabbage, Spinach, Peas and Ribbed Celery are framed and
discussed in the meting of Core Group of Standing Committee on
harmonization of fruits and vegetables.
a result of special efforts initiated to increase grading under AGMARK,
commodities valued at Rs.602071 thousand were graded for export purposes
during the year 2001-02. During
2002-2003 (upto December), commodities valued at Rs.420000 thousand have
been graded. By the end of
March, 2002, 902 Certificate of Authorisation holders are operating for
grading of agricultural and allied produce for export purposes under
AGMARK. During 2001-2002, commodities worth Rs. 40587000 thousand were
graded for internal trade. During
2002-2003 (from April to Dec., 2002), commodities valued at Rs. 35050000
thousand were graded for this purpose.
7628 number of authorized packers have been operating for grading
of agricultural commodities for Internal trade. The Central Agmark
Laboratory (CAL) at Nagpur and Regional Agmark Laboratories (RALs) at
Mumbai, Delhi, Kolkata and Chennai have also been provided with
veterinary biological control testing units.
of Marketing and Inspection conducts a number of training courses
relating to agricultural marketing for benefit of employees of State
Governments/ Union Territories, Co-operatives, Corporations, Market
Committees, Marketing Boards and other statutory bodies.
During 2001-2002, 263 personnel and during 2002-2003, 177
personnel have been trained under different training programmes, (upto
Agmark quality control
programmes as well as improvements in marketing practices and procedures
are given wide publicity through mass media.
The information is disseminated through documentaries, cinema
slides, printed literature, exhibitions, conferences, seminars and
workshops. A quarterly
journal ‘AGRICULTURAL MARKETING’ is brought out regularly.
2002-2003, the Directorate organized ‘AGMARK’ exhibitions at Kochi
and Lucknow for educating consumers and creating awareness about
‘AGMARK’ and also use
of IT in agricultural marketing, rural godowns with private
participation, etc. Besides,
the Directorate participated in eight exhibitions organized by different
States during 2002-2003. The
Directorate participated in India International Trade Fair, 2002 and
AHARA-2003. The Directorate
also displayed Agmark advertisement on Translite at IGI Air Port for six
months through Department of Posts during the year.
Promotion of Cold Storage
The DMI was implementing
the Cold Storage Order, 1980, which has been rescinded on 27.5.1997.
The Directorate is now engaged in providing free consultancy and
technical services to intending entrepreneurs in construction,
maintenance and operation of cold storages. During
2001-2002, training was imparted to 26 Supervisors and 156 Operators on
management, operations and maintenance of Cold Storages. Two training
programmes were organized during 2002-2003.
Besides, technical guidance has been provided to prospective
entrepreneurs. The Cold
Storage directory and statement showing sector wise and commodity wise
distribution of cold storage have been updated.
Meat Food Products Order, 1973
objective of the Meat Food Products Order, 1973 is to ensure quality
control and hygienic manufacturing conditions of meat food products for
domestic consumption and the order is applicable all over the country.
During 2001-02, 2865.506 MT of meat food products valued at
Rs.381240 thousand were manufactured by licenced manufacturers. 186 manufacturers were operating under Meat Food Products
Order, 1973 as on 31.3.2002. During
2001-2002, 720 samples were drawn and analysed and 544 inspections were
carried out to ensure proper implementation of the Order.
During 2002-2003 (upto December, 2002), 268 inspections were
carried out and 328 samples were drawn and analysed.
Market Research, Surveys and Planning
Research surveys and studies on different aspects of agricultural
marketing have been one of the major activities of the Directorate of
Marketing and Inspection. Studies
are undertaken and technical guidance is rendered to State Governments
in planning, designing and development of markets. Under Research Grant
Scheme, 33 research studies have been undertaken, out of which 31
studies have been completed and draft reports of two studies have been
returned back to Principal Investigator for revision. The
scheme for Estimation of
and Post-Harvest Losses of Foodgrains being implemented by the
Directorate aims at finding out the quantum of marketable surplus and
post-harvest losses to pin
point the causes of losses and
remedial measures, besides
generating data for various user agencies. The survey was taken
up for Paddy, Wheat, Jowar, Bajra, Maize, Ragi & Barley and Pulses,
viz. Red Gram (Arhar or Tur), Gram (Chana), Green Gram (Moong). The reports for Wheat, Paddy, Maize, Bajra, Jowar and Red
Gram have been prepared and are under finalisation. Reports for
remaining commodities are under preparation.
The new IXth Plan Scheme Agricultural Marketing Information
Network was approved during March 2000 with an outlay of Rs. 99478
thousand to establish a nation-wide
network for speedy collection and dissemination of market information.
Under the scheme 735 important agricultural produce markets and
48 State Agricultural Marketing Boards/Departments as well as 27 DMI
offices (total 810 nodes) have been provided with computer facilities
and Internet connectivity. The
scheme is being implemented by DMI through NIC. V-SAT and SERVER have
been installed at Faridabad. Procurement,
installation, maintenance, software development
and training to state personnel are being done by NIC. The data received from markets is being displayed on the
Software packages are being developed in all regional languages
for easy understanding of the farmers.
The important commodities identified for daily monitoring of
arrivals and prices under the scheme, for the present are – Cereals
(Wheat, Maize, Paddy, Rice & Jowar), pulses (Bengal Gram, Red Gram,
Green Gram, Black Gram), Spices (Ginger, Garlic, Chillies (Red), Fruits
(Mango, Apple, Orange, Banana, Pineapple Grapes), Vegetables (Onion,
Potato), Fibres (Cotton, Jute), and Oilseeds (Groundnut, Mustard,
Soyabean, Sunflower, Sesame).
In accordance with the rationalization of the Plan Schemes in the
Department, the Schemes of Estimation of Marketable Surplus and Post
Harvest Losses of Foodgrains, Research Grants and Agricultural Marketing
Information Network have been merged together with new nomenclature
‘Marketing Research and Information Network’. In the Xth Plan, the
scheme is proposed to cover 2000 more markets and utilizing the network
for market –led extension.
Construction of Rural Godowns
The main objectives of
the scheme include creation of scientific storage capacity with allied
facilities in rural areas to meet the requirements of farmers for
storing farm produce, processed farm produce, consumer articles and
agricultural inputs; promotion of grading, standardisation and quality
control of agricultural produce to improve their marketability;
prevention of distress sale immediately after harvest by providing the
facility of pledge financing and marketing credit; to strengthen
agricultural marketing infrastructure in the country by paving way for
the introduction of national system of warehousing receipts in respect
of agricultural commodities stored in such godowns and to reverse the
declining trend of investment in agriculture sector by encouraging
private and cooperative section to invest in the creation of storage
infrastructure in the country. The
financial assistance will not be routed through State Governments. Under
this scheme, 25% of the capital cost is to be provided
as credit-linked, back-ended subsidy in the same way as has been
formulated for the cold storage scheme being implemented by National
Horticulture Board (NHB). For
the north east and other hilly areas in the country and entrepreneurs
belonging to SC/ ST, the subsidy would be 33.33%. The fund is provided
in the budget of Directorate of Marketing & Inspection (DMI), an
attached office of DAC and placed at the disposal of NABARD/ NCDC.
The funds for awareness building and training programme will be
placed at the disposal of NIAM, Jaipur and other national/ State level
implementing agencies. The eligible promoters for construction of rural
godowns can be individual farmers, group of farmers/ growers,
partnership/ proprietary firms, NGO, companies, corporations,
cooperatives, Agricultural Produce Marketing Committees, Marketing
Boards and Agro Processing Corporations.
The scheme has been approved on 26.2.2002.
Under the scheme new storage capacity of 18.50 lakh MT and
modernization of cooperative godowns of 1.50 lakh MT has been envisaged.
A sum of Rs.900000 thousand has been allotted for implementation
of the scheme by March 31st, 2003.
Under this scheme a total of 2373 godowns with a storage capacity
of 36.62 lakh MT have been sanctioned by NABARD & NCDC
as on 31.12.2002. Out
of these, 390 projects with a capacity of
28.75 lakh MT have been sanctioned by NABARD and 1983 projects
with a capacity of 7.87 lakh MT have been sanctioned by NCDC.
973 projects have been sanctioned by NCDC for renovation of about
95,600 MT storage capacity as on 31.12.2002.
2001-2002, a total revenue of Rs.102200 thousand was realized on account
of grading charges etc. During 2002-03 (upto December, 2002), an amount
of Rs.58900 thousand (provisional) has been realized.
National Institute of Agricultural
National Institute of Agricultural Marketing (NIAM) started functioning at
Jaipur (Rajasthan) with effect from 8th August, 1988. NIAM
has been imparting training to senior and middle level executives
of agricultural and horticultural Departments, Agro Industries,
Corporations, commodity and apex level cooperatives, commodity Boards,
export houses recognised by Agricultural and Processed Food Products
Export Development Authority (APEDA), Commercial banks and
non-governmental organisations. Besides
these clients, the NIAM also imparts training to farmers on marketing
management. The main
objectives of NIA M are the
(i) to undertake and promote study of applied and operational research in problems of agricultural marketing;
(ii) to act as a national nodal point for coordination of various research studies and dissemination of technologies relevant to agricultural marketing in the country;
(iii) to undertake adoptive research aimed at vertical and horizontal integration of the marketing functions and functionaries so as to reduce the cost of marketing thereby ensuring a fair price to the growers and consumers;
(iv) to provide specialized training in agricultural marketing designed to develop leadership potential in the management of agricultural marketing enterprises and services;
(v) to undertake research in agricultural marketing for Government, Cooperative and other institutions, both on public funding and by contract;
(vi) to offer other specialized marketing courses at various levels as may be necessary to supplement existing facilities;
(vii) to help State Governments and Urban City authorities to formulate proposals for institutional funding from national and international agencies for their development projects relating to agricultural produce markets on consultancy basis;
(viii) to study the internal market and distribution infra-structure for agricultural and allied products and suggest proposals for their improvement;
to offer technical services for the study, analysis and planning
of physical distribution system for agricultural produce on a state,
regional and national basis to State Govts. Public sector undertakings,
development authorities and other State and Central agencies, both on
public funding and by contract;
NIAM is managed by a
Governing Body under the Chairmanship of Minister for Agriculture and an
Executive Committee under the Chairmanship of Secretary, Department of
Agriculture and Cooperation.
Training, Research and Project
During the year 2002-03, NIAM organised 90 training programmes against the
annual target of 150 programmes till 31.12.2002.
NIAM has also prepared suitable Training Modules for Training to Farmers,
Entrepreneurs and Training of Trainers (TOT) on Rural Godowns Scheme
announced by the Govt. of India for the year 2002-03.
Large scale campaign has been launched to popularise the scheme
by orgainsing sensitisation programmes for various Stake holders in the
The Research Studies being undertaken by NIAM in the year 2002-03 are as
1. Study of Schemes and Programmes of different Ministries on Agricultural Marketing.
2. Export Potential of Vegetables from Rajasthan.
3. Organic Farming Certification.
4. Development of Market Atlas.
Preparation of Statistical Abstract on Agricultural Marketing.
NIAM has taken-up long term projects for the formulation of Master Plan
for the development of Agricultural Marketing in the State of Madhya
Pradesh and Tripura. The
Institute has also completed Online Marketing information system for the
State of Karnataka and Delhi. The projects for Agro. Industries
Corporation of Maharashtra and Punjab are in progress.
Following Consultancy Projects have been taken up during the year
1. Preparation of State Master Plan for Market Development in Tripura.
2. Monitoring of APMC's of Delhi and Development of Market Atlas.
3. Integrated Facility Centre in Azadpur Market, Delhi.
4. Introduction of Electronic Auction System in Fruits and Vegetables.
Networking of Markets and Designing of Online System for Punjab.
Strengthening of IT infrastructure in
'State of the Art' Technologies has been established in the Institute.
The objective was to establish the latest Information and
Communication facilities at NIAM, more advanced high-speed network and
video conference. This will enable a new generation of applications to support
scientific research, distance education, training and consultancy.
NIAM has its own web site and all the activities undertaken by
NIAM are available on the website http:// www.niamonline.com
PGPABM at NIAM, Jaipur
The Institute has undertaken Post Graduate Programme in Agri-business
management as a sub-center of MANAGE, Hyderabad with effect from July
2001 and 50 students are presently undergoing Post Graduate Programme in
Agri-business - 26 and 24 in first and second year, respectively. The programme is designed to assist agricultural graduates to
acquire the critical know-how to compete in the domestic and global
business arena to make them efficient agribusiness managers.
Programme for North-Eastern States
State Master Plan for Tripura is under progress and some training
programmes have also been organized in the States of Assam & Tripura
in agricultural marketing.
PROGRAMMES FOR NORTH-EASTERN STATES