Relevance: GS3 – Agriculture, Supply Chains | Source: Indian Express
Tamil Nadu’s record paddy harvest has led to a storage and procurement crisis due to inadequate drying, poor godown capacity, rigid moisture norms, and fragmented logistics — reflecting a broader national challenge in India’s agri-supply chain.
India’s Fragmented Agri-Logistic Chain
India loses 4–6% of cereals and 15–20% of fruits & vegetables annually due to poor logistics. The chain remains disconnected, with multiple intermediaries, limited cold storage, weak transport integration, and inconsistent procurement norms across states.
What is Agri-Logistics & the Agri Value Chain?
- Agri-logistics: Post-harvest handling from farm → aggregation → storage → transport → processing → markets.
- Agri value chain: Full sequence from input supply, production, post-harvest handling, processing, distribution, retail, ensuring value addition and reduced losses.
Key Problems in India’s Chain
Issue | Details |
| Procurement rigidity | FAQ moisture norms (e.g., 17% cap) designed for North Indian kharif, not delta ecology. |
| Infrastructure gaps | Only ~15% of produce moves through cold chain; storage shortfall ~35 million tonnes. |
| Delayed logistics | Slow DPCs, limited drying yards, overcrowded godowns. |
| Climate variability | Early/late monsoons disrupt harvesting & drying cycles. |
| Long chains | Multiple intermediaries increase costs & losses. |
A unified chain reduces losses, stabilises farmer incomes, improves food security, and supports exports. It is essential for achieving doubling farmers’ income, SDG-2 (Zero Hunger), and efficient procurement.
Challenges & Way Ahead
Challenges | Way Ahead |
| Fragmented infrastructure | Integrated cold chain grids, modern warehouses, decentralised DPCs. |
| Rigid procurement norms | Region-specific FAQ standards, moisture-testing innovations. |
| High post-harvest losses | Solar dryers, mechanised harvesters, drying yards. |
| Data gaps | Digital crop monitoring & logistics platforms. |
| Overdependence on MSP crops | Diversification to pulses, millets, horticulture with value chain support. |
Q. Consider the following statements about India’s agri-logistics system:
- The FAQ moisture norms for paddy are uniform across India and consider regional climate variations.
- India’s cold chain infrastructure handles less than one-fourth of total perishable produce.
- The agri value chain includes both pre-harvest and post-harvest activities.
Which of the above are correct?
(a) 2 and 3 only
(b) 1 and 2 only
(c) 1 and 3 only
(d) 1, 2 and 3
Answer: (a)
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