Author: Lola Nayar
Publication: Outlook
Date: August 22, 2011
URL: http://www.outlookindia.com/article.aspx?278011
Introduction: While netas continue to moot
steps to counter agricultural wastage, enterprising UP farmers are not about
to let their hard work go to seed
"Give grains to the hungry poor instead
of it going down the drain."-Supreme Court to the government, August
12, 2010
The last time Parliament convened for its
monsoon sitting, the government was hit by the scandal of foodgrains being
left to rot in Food Corporation of India (FCI) godowns across the country.
Several tonnes of grain- thought to be enough to feed over six lakh people
for more than a decade-was found to be unfit for consumption, said the agriculture
ministry, in reply to an RTI query. A group of ministers (GoM) was mandated
with thinking up a solution.
The GoM was beaten to the punch by the farmers
of the town of Bilaspur-known as 'mini-Punjab' because of its Sikh population
and lush green fields-in western Uttar Pradesh. There are over 45 rural godowns
spread across this wheat-paddy belt. Not a single sack of grain goes to waste
here, there are no rats scurrying around, the silos are well-cared for to
protect against mites and other pests. And the farmers are getting better
value for their produce. Iddan Khan grows three crops-paddy, wheat, pulses-on
his small family landholding. He used to sell most of what he grew immediately
after harvest, only keeping enough for his own use. Now, he has more options.
"I can stock part of the produce earmarked for sale in the new godown
set up nearby. The government-fixed price is below Rs 1,200 per quintal of
wheat but if we can hold stocks, we are able to even get Rs 1,500-1,600,"
says Khan.
For millions of farmers who don't have a safe
storage space to set aside part of their produce, whether for sale or use
as seeds, the rural godowns set up by either individuals or a collective of
farmers are proving a real blessing. And many farmers are building storage
facilities for themselves and to let out. Like Surjit Singh, who charges Rs
3 a month to store 60 kilos of grain and ensures his godowns are well fumigated
and clear of rodents. "Farmers here have larger landholdings with good
yields that they do not wish to sell when the prices are at their lowest.
So there was a need for proper storage," says Nathu Lal, senior manager
of Prathama Bank, an affiliate of Syndicate Bank, which is among a dozen banks
operating in Bilaspur. In the last six years, Prathama Bank has financed 28
rural godowns in the area. In all, there are over 40 small- and medium-sized
warehouses in the region. Rural godowns are also being built to store quality
seeds. Haryana Agro Seeds (HAS) has a 40,000-quintal storage unit in Bilaspur.
"The farmer here is not merely growing wheat or paddy. He is also seeking
knowledge about better varieties to improve quality and quantity," says
owner Dinesh Kansal. This year, over 250 farmers have registered with HAS
for quality wheat seeds. With the government supply of certified seeds in
decline, there is good demand for seeds supplied by the private sector, says
Ajay Kumar of Suraj Tarai Seeds. Once a commission agent in the wholesale
grain market, Ajay figured building godowns made better sense. First, he set
up a warehouse and seed processing unit at Pareva village in Bilaspur. Now,
he is constructing a godown at Sitarganj in nearby Rudrapur. What Bilaspur's
godowns have been to seed processing, Pilibhit, Shahjahanpur and Bareilly's
are to paddy and other agricultural produce.
Small godowns right in the middle of the grain-growing
rural belts, instead of towering silos in the cities, appear to be the solution
to wastage. Alarmingly, a third of the vegetables and fruits harvested are
being wasted. For grains, the percentages may make for better reading-at seven
per cent-but even these could easily be saved. It has become an acute problem
as the FCI only has a little over 30.5 million tonnes in storage capacity,
while foodgrain production has reached 241 million tonnes! Agriculture scientist
Dr M.S. Swaminathan recalls that in 1979, he had initiated the rural godowns
programme as part of a three-step strategy to conserve foodgrains as also
vegetables and fruits. "Unfortunately, this was not followed up in the
way it was originally conceived," he says. He planned to create cost-effective
storage in farmers' fields and homes, rural godowns with warehousing facilities
and a national grid of ultra-modern storages, each with a million tonne capacity,
at 50 locations in the country. That never took off, but progressive small
farmers are now following just that blueprint on their own.
A recent agriculture ministry study reveals
that more farmers have started taking advantage of the grameen bhandara or
rural godown scheme. They can avail of loans up to 50 per cent from the government
plus a 25 per cent subsidy to set up godowns in villages. The average capacity
of these godowns is 1,500 tonnes. "We have already sanctioned more projects
than in our 11th Plan target, which is till next year," says R.K. Tiwari,
joint secretary, agriculture ministry. A survey commissioned by the agriculture
ministry in 2005 revealed that 70 per cent of godown owners were farmers,
followed by traders and business houses. Food minister K.V. Thomas looks set
to extend the scheme for one more year. This should come as good news for
Bilaspur's farmers and affords 'mini-Punjab' another year to live up to its
moniker.
