Centre eyeing cluster-based approach for agricultural crops

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The Centre is planning to modify its farm sector schemes suitably so that the country can have different clusters for different crops, potentially benefitting farmers allowing them to sell their produce at the doorstep when industry and processors will be tempted to reach to the grassroot for sourcing raw materials. “What we are thinking is to start cluster-based development of agricultural crops on the same pattern as done in the horticulture crops,” a source said. The only way farmers will be encouraged to adopt the cluster approach is when they are incentivised, the source said.

Incentivising

There are two ways to incentivise — either by linking the existing schemes, as much as feasible, to the condition of cluster development or to link the cluster with processing industries. It could also be both, he said, adding nothing has been finalised as it is currently at the discussion stage.

When a cluster is formed, farmers within a certain geography grow the same crop and it helps them to market as buyers reach the cluster because of easy availability of a particular commodity in high volume. Wherever States have allowed direct buying from farmers with license, the private companies prefer to buy from a particular area if they are assured of getting any produce in large quantity, officials said.

Crop planning

The introduction of cluster approach will also help the government to start crop planning in the country, which was a recommendation of the committee on doubling farmers’ income under Ashok Dalwai.

Pointing out that balancing inflation and the need for ensuring fair and remunerative prices on the farmers’ produce is a challenge, the DFI committee had said that it needs to be addressed on priority for sustaining higher production. “Such a balance will come from increasing the market network, improved crop planning, reducing production where markets are depressed and shifting towards high value commodities,” it said.

The committee had also recommended the Agriculture Ministry to “delineate Rainfed Agro-Economic Zones (RAEZ) and develop agro-ecology specific potential rainfed crop zoning for bridging yield gaps by developing commodity/crop-centric value chains, providing safety nets (weather-based crop insurance), crop intensification/diversification/substitution, contingency plan implementation on real-time basis, crop planning based on market intelligence, crop zoning or alignment to regulate cropped area and production to realise higher commodity prices.”