TABLE OF CONTENTS

1 ANNUAL PLAN OF ACTION UNDER NATIONAL HORTICULTURE MISSION.......................... 1 1.1 BACKGROUND INFORMATION................................................................................................................. 1 1.1.1 Defined Institutions for Backward and forward linkages ................................................................. 2 1.1.2 Market Infrastructure, Value Addition and Processing .................................................................... 2 1.1.3 Land Availability .............................................................................................................................. 3 1.1.4 Demand - supply gap ........................................................................................................................ 3 2 PROJECT DETAILS .................................................................................................................................. 5 2.1 PROJECT OBJECTIVE AND STRATEGY ...................................................................................................... 5 2.2 METHODOLOGY ..................................................................................................................................... 6 2.3 DETAILED ACTION PLAN 2005-06 .......................................................................................................... 7 2.3.1 Mango ............................................................................................................................................... 8 2.3.2 Indian Gooseberry .......................................................................................................................... 10 2.3.3 Banana............................................................................................................................................ 12 2.3.4 Pineapple ........................................................................................................................................ 15 2.3.5 Cashew nut...................................................................................................................................... 18 2.3.6 Cocoa.............................................................................................................................................. 21 2.3.7 Pepper............................................................................................................................................. 23 2.3.8 Ginger............................................................................................................................................. 25 2.3.9 Turmeric ......................................................................................................................................... 28 2.3.10 Nutmeg ....................................................................................................................................... 31 2.3.11 Floriculture ................................................................................................................................ 33 2.3.12 Vegetable Seed Production......................................................................................................... 34 2.4 CREATING WATER RESOURCES ............................................................................................................. 35 2.5 PROTECTED CULTIVATION ................................................................................................................... 35 2.5.1 Green house .................................................................................................................................... 35 2.5.2 Shade Net ........................................................................................................................................ 35 2.6 HRD INCLUDING HORTICULTURAL INSTITUTE .................................................................................... 36 2.7 POLLINATION SUPPORT THROUGH BEE KEEPING ................................................................................... 36 2.8 TECHNOLOGY DISSEMINATION THROUGH DEMONSTRATION / FRONT LINE DEMONSTRATION ............... 37 2.9 MARKETING ......................................................................................................................................... 37 2.9.1 Importance of SCM ......................................................................................................................... 37 2.9.2 Market Channels............................................................................................................................. 37 2.9.3 Marketable Surplus......................................................................................................................... 38 2.10 INTERVENTIONS FOR MARKETING ........................................................................................................ 38 2.10.1 Extension, quality awareness and market led extension activities for fresh and processed products 39 2.11 MISSION MANAGEMENT ...................................................................................................................... 39

LIST OF TABLES:
TABLE 1 INDIAS EXPORT OF HORTICULTURE CROPS 2001-02 ............................................................................. 2 TABLE 2 AVAILABILITY, PRODUCTION AND REQUIREMENT OF VEGETABLES, FRUITS AND TUBERS ....................... 4 TABLE 3 DISTRICT WISE AND CROP WISE MATRIX .................................................................................................... 8 TABLE 4 INTERVENTIONS FOR MANGO .................................................................................................................. 10 TABLE 5INTERVENTIONS FOR AONLA.................................................................................................................... 12 TABLE 6 INTERVENTIONS FOR BANANA ................................................................................................................. 15 TABLE 7 INTERVENTIONS FOR PINEAPPLE .............................................................................................................. 17 TABLE 8 INTERVENTIONS FOR CASHEW NUT .......................................................................................................... 21 TABLE 9INTERVENTIONS FOR COCOA .................................................................................................................... 23 TABLE 10 INTERVENTIONS FOR BLACK PEPPER...................................................................................................... 25 TABLE 11 INTERVENTIONS FOR GINGER ................................................................................................................ 28 TABLE 12 INTERVENTIONS FOR TURMERIC ............................................................................................................ 31 TABLE 13INTERVENTIONS FOR NUTMEG ................................................................................................................ 33 TABLE 14 INTERVENTIONS FOR FLORICULTURE..................................................................................................... 34 TABLE 15 CLUSTER WISE DISTRIBUTION WATER RESOURCES ................................................................................ 35

LIST OF MAPS :
MAP 1 IDENTIFIED CLUSTERS IN KERALA ................................................................................................................ 7 MAP 2 SELECTED MANGO DISTRICTS IN KERALA .................................................................................................... 9 MAP 3 SELECTED INDIAN GOOSEBERRY DISTRICTS IN KERALA ............................................................................. 11 MAP 4 SELECTED BANANA DISTRICTS IN KERALA ................................................................................................. 13 MAP 5 SELECTED PINEAPPLE DISTRICT IN KERALA ............................................................................................... 16 MAP 6 IDENTIFIED CASHEW NUT DISTRICTS IN KERALA ........................................................................................ 20 MAP 7 SELECTED COCOA DISTRICTS IN KERALA ................................................................................................... 22 MAP 8 SELECTED BLACK PEPPER DISTRICTS IN KERALA ........................................................................................ 24 MAP 9 SELECTED GINGER DISTRICTS IN KERALA .................................................................................................. 27 MAP 10 SELECTED TURMERIC DISTRICTS IN KERALA ............................................................................................ 30 MAP 11 SELECTED NUTMEG DISTRICTS IN KERALA ............................................................................................... 32

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1 1.1

ANNUAL PLAN OF ACTION UNDER NATIONAL HORTICULTURE MISSION Background information

Kerala is a narrow strip of land spread over an area of 38,855 sq.km with Western Ghats and the Arabian sea bordering it. While its geographical area forms 1.18 per cent of all India area, it supports 3.10 per cent of Indias population. With a population size of 3.18 crore, its density is much higher at 819/sq.km as against the national average of 324/sq.km. Its literacy rate is high at 90.92 percent. Cultivators constitute just around 7 per cent of the workforce and agricultural Labourers around 16 percent. The contribution of agricultural sector, which was more than half of the state GDP in 1960-61 declined significantly to 17 per cent in 2003-04, whereas that of the tertiary or service sectors contribution improved spectacularly to 63.6 per cent. The per capita income of Kerala was Rs.27478 against the National average of Rs.20, 860 in 2003-04. However, BPL families constituted 36.58 per cent in Kerala compared to 26.10 per cent for All India. Primacy of horticulture crops in kerala Horticulture has always been the thrust area of Keralas agricultural scenario. Keralas predominance of commercial horticulture is of national importance in terms of valuable foreign exchange earned through exports and foreign exchange saved through import substitution. The state has virtual monopoly in pepper production (81%), rubber (92 %), cardamom (74%), coconut (44%), besides coffee (22%), cashew (15%), tea (8%). Kerala constitutes 88 per cent of export earnings from pepper, 72 percent from cardamom, 54 per cent from cashew kernels, 56 per cent form ginger and 21 per cent from turmeric. Out of a total cropped area of about 30 lakh hectares, as high as 89.59 per cent of the area has been occupied by horticultural crops. The important horticultural crops of the state include pepper, coconut, cashew, ginger, turmeric, arecanut, cocoa, cardamom, tapioca, sweet potato and other tubers, fruits covering banana and plantains, mango, jack, pineapple, papaya etc besides vegetables such as cowpea, pumpkin, snake gourd, bitter gourd, cucumber, bhendi, amaranthus, brinjal, tomato, chillies, floriculture etc. Production and productivity of Horticulture crops Productivity of horticulture crops in Kerala is trailing behind the National averages excepting in the case of pepper and cashew. National figures available for 1998-99 were still far ahead of state figures for 2003-04, indicating the efforts needed to catch up with national averages. The scope for improvement lies more on productivity improvements than area expansion in a land-hungry State like Kerala. Accordingly the Department of Agriculture, Kerala in its ongoing programmes has given priority for productivity enhancement.
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Alongside NHM

support, the growth rate in horticulture is expected to move up from the current 6 percent growth rate to 10 percent at the terminal year of the Eleventh plan (2011-2012) as a result of the thrust NHM proposes to provide for horticultural sector growth. Accordingly the

horticultural crop production has been projected to go up from 60.47 lakhs tonnes in 2003 to 109.45 MT in 2012, almost accomplishing the goal of doubling of production by 2012. When compared to exports of Horticultural crops at the All India level, good potential exists for Kerala in the years ahead, as exports of these produces were much below one per cent of Global exports. Indias export (2001-02) of horticultural products is summed up in the following table.
Table 1 Indias Export of Horticulture Crops 2001-02

Sl. No. 1 2 3 4 5 6 7 8 9

Commodities Cashew Cashew nut shell liquid Floriculture products Fresh Fruits Fresh Vegetables Fruits and Vegetable seeds Processed Fruits and Juices Processed vegetables Spices

U S Million 386.93 1.03 26.76 85.26 120.68 13.04 107.40 41.71 311.53

% share to total exports 0.86 0.06 0.20 0.28 0.03 0.25 0.10 0.71

(Compiled from journal of exports)

It may be observed that the three air-ports together accounted for the export of fruits, vegetables and flowers to the tune of over 30000 tonnes valued at Rs. 186 crores. 1.1.1 Defined Institutions for Backward and forward linkages

The number of existing institutions helping the farmer in the backward and forward linkages is arrayed below: 1.1.2 Market Infrastructure, Value Addition and Processing

There are 77 wholesale markets, 137 retail markets in the state. Department of Agriculture has developed EU assisted six markets, out of which three are major and three are medium. Horticorp has 644 vegetable and fruit outlets (Haritha stalls for farmers groups), out of which 47 are sasya supermarkets, 462 are Haritha Mini Markets and 135 are Bunks. Vegetable and Fruit promotion Council of Kerala (VFPCK) has set up 93 farmers markets or field centers. Apex bodies of interested groups have been registered under charitable society act in each district with haritha sanghoms, swayam sahaya sanghoms and individual farmers. These sanghoms are named as Sanga Mythries. These Sanga Mythries procure agriculture commodities from farmers and after grading the same will be marketed. These societies have been provided with revolving fund and infrastructure facilities. Besides, the
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Civil Supplies Corporation has its Maveli outlets, and organizes festival fairs like Onam. KHDP was instrumental in the formation of 156 vegetable marketing centers viz, Swrasraya Karshaka Vipanis in important producing centers, enabling farmers to get a competitive price, ensuring correct weighment and avoiding delay in payments. The importance of value addition and processing for the growth of horticultural sector is too obvious to reiterate here, as this has been dealt with in details elsewhere. Thus, Kerala has the framework for the creation of a Market network and processing to synergise the forward linkages for the development of Horticulture sector. 1.1.3 Land Availability

The growing incidence of fragmentation and the resultant shrinkage in size of land holdings has led to the predominance of small and marginal operation holdings, sharing as much as 98 percent of the total holdings, the average size of a holding being 0.2 ha. Marginal

farmers alone constitute 94 per cent. Nevertheless, as the state is rich in bio-diversity, small land holding pattern necessarily would help attain higher cropping intensity, productivity. Cultivable waste and fallow lands do not constitute a significant proportion. It works to hardly 5.3 % of the geographical area. However, there is maximum scope for expansion of area under vegetable and flowers in the summer rice fallows covering about 1.2 lakh hectares. The area can be apportioned to autumn and winter seasons as well. Area under coastal horticulture, specifically cashew, if promoted well, will not pose a problem of dearth of land availability. The programme is expected to cover hardly around 26306 ha which may not be a constraint as formidable as imagined. The land use pattern of Kerala may provide a clue to the availability of land for the programme proposed for NHM. This may be summered up below: 1.1.4 Demand - supply gap

Kerala is highly deficient in its requirement of vegetables. Out of the total availability of vegetables of 8.18 lakh tones, it hardly produces 3.47 lakh tones or 42 % only. 58 percent of the total availability is accounted for by the neighboring states. If the requirement is worked based on ICMR norms, the state requires as much as 24.11 lakh tones. In that case, its production is hardly 14 percent of the total requirement, excluding imports from neighboring states and exports to Gulf. In the case of fruits, the state produces 69.22 percent of total availability with 30.78 percent flowing from neighboring states. As per ICMR norms, the total requirement of the state works out to 13 lakh tons while the state produces hardly around 6.07 lakh tones or 46.69 percent. Though, Kerala is highly deficient in its requirements of vegetables and fruits, it is almost self sufficient in tuber crops like tapioca in total availability and off take. These are detailed below:
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Table 2 Availability, Production and Requirement of Vegetables, Fruits and Tubers Item Total availability (MT) Availability and Local Production Local production (MT) % of production to total availability 42.40 69.22 95.84 Supplies from outsides/ States 471400 270180 19240 % Total requirement as per ICMR Norms Total % of requirement local (MT) producti on 2411044 1300625 1049619 14.39 46.71 42.28

Vegetables Fruits Tubers

818400 877674 463015

347000 607494 443775

57.60 30.78 4.16

There is considerable pent-up demand providing scope for improving and diversifying horticultural crop production.

2 2.1

PROJECT DETAILS Project objective and strategy

Government of India has planned to double the production of horticultural crops in the country by the terminal year of the Eleventh Five Year Plan (2011 2012). The National Horticulture Mission (NHM) launched in April 2005, envisages a paradigm shift in crops diversification, focusing on high value crops under the Horticulture sector to accomplish a breakthrough in fostering production and productivity of horticultural crops, creating a stable and level playing market base and reducing the price spread for enhancing the competitive ability, income and employment of farmers. The mission has been assigned the dynamic role of changing the horticultural scenario of India by promoting, developing and providing financial, technical and ancillary facilities for the development and modernization of

production, post harvest operation including marketing and primary processing of horticultural produces. The State Horticultural Mission, Kerala, in tune with the NHM norms has formulated an Action Plan for 2005 2006 for Horticultural Development. About 69000 ha of cultivable waste and 11 lakh ha of current and other fallow lands are available. The area to be covered under NHM programme (2005-06) includes 31360 ha. In achieving the targeted area expansion under different crops the following strategies will be adoptedAwareness building through extension and information dissemination on crop possibilities and market demand. The State Horticulture extension machinery as well as private sector extension will have a role to play in this. Quality planting material grafts, gootees (air layers), seedlings, micro-propagules - will be made available for orchard development both through the Govt. machinery as well as through private sector participation. This will include seed material for tubers and spices, and certified seeds of vegetables and spices. Technical support services will be made available at the doorstep of farmers to ensure adoption of appropriate crop production and PHM technologies by farmers. The role of the private sector will be encouraged through contract farming arrangements. The State machinery as well as the private sector, through contract farming arrangements, will have a role in extension, supply of quality planting material and provision of technical support services. Thrust will be laid on floriculture that is doing very well over the last few years. The State will strive to emerge as a major producer of cashew and black pepper Since marketing has been identified as the primary constraining factor in development of the Horticulture sector a well-coordinated strategy will be followed for development of
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marketing infrastructure and market linkages. The following strategic interventions have been planned In promoting area expansion, choice of crops and of varieties will be geared to the market and to the needs of the processing units and exporters Development of market linkages through promotion of a chain of marketing operators viz. consolidators, traders, and commission agents will be attempted. For this purpose the necessary regulatory framework will be put in place through amendment of the APMC Act so that value chain is maintained Establishment of appropriate Post Harvest Management Infrastructure will be accorded priority. While the private sector will be assigned primary role, the existing public sector agencies will also play a major role as catalyst Market development will be based on a market study and a comprehensive Master Plan has been assigned to a consultant For Improvement of the supply chain facilities for sorting / grading / packaging/ storage and transportation will be promoted. Provision will be made for development of collection centers and transportation to local markets For exploiting Industrial / Urban markets of neighboring States, development of trade channels will be encouraged Close link with APEDA for exports 2.2 Methodology

In developing the Action Plan, the thrust has been on area approach and promotion of Horticultural crops in compact patches and in cluster villages. While selecting the clusters, comparative advantage of crops like marketing opportunities, seasonal advantage, local consumption, export/import substitution scope for intensification and productivity

improvement have been taken into consideration. Besides contiguity of the potential area for expansion has also been kept in view so that enhanced production and productivity in these regions is taken care of. The methodology of selecting clusters of contiguous areas and potential crops shall entail focused approach as this will integrate all the activities for commercial uptake of the horticulture in that area. This will lead to economic development of the area as the crops selected have comparative advantages. The activities identified for this mission shall be implemented in project mode rather than generic developmental programme of state.

2.3

Detailed action plan 2005-06

Based on geographical and climatic conditions of the growing belts, potential for expansion following 10 districts have been identified in clusters:

Map 1 Identified clusters in Kerala

Cluster-I Cluster-II

Districts Wayanad, Kasargod, Kannur, Mallapuram, Kozhikode Idukki, Ernakulam, Pallakad, Alapuzzha, Thrissur

The crops selected are Mango, Banana and Pineapple in fruits, cashew in plantation crops, Black Pepper, Ginger, Nutmeg and Turmeric in spices and floriculture. The integrated

approach would be adopted for development of plantation, creation of post harvest system and development of marketing Infrastructure in identified crop to make them hubs of activities for doubling the production and enhancing marketing as per the matrix below:
Table 3 District wise and crop wise matrix
M a ng o Kasarg o d Kannur W ayanad Ko zhiko d e M alap p uram Palakkad Ernakulum Thrissur Id ukki A lap p uzha v v v v v v v v v v v v v v v v v v v v v v v v v v A o nl a B a na na P i ne a p p l e G i ng e r T ur me r i c N ut me g C a s he w v v C o co a v v v v v P ep p er F lo ri

Crop wise strategy proposed to be adopted in the action plan 2005-06 is discussed below: 2.3.1 Mango

Mango is grown traditionally in all the districts of the state. It is the major tree fruit crop in the state. It occupies an area of 85,428 ha. However, systematic cultivation with promising varieties is limited to the northern districts like Kozhikode, Malapurram and Kannur. The remaining districts although have a large area under mango; they are mostly seedling mangoes which are inferior in quality with low productivity.

Map 2 Selected mango districts in Kerala

2.3.1.1 Constraints in production The productivity of mango in the state is far below the national level, which is mainly due to the poor genetic material. 2.3.1.2 Advantage of Kerala mango The important indigenous varieties suitable for cultivation in the state are Prior, Olour, Muvandan, Varikka etc which are acclimatized to Kerala conditions. These varieties are having early flowering and regular bearing habits and are coming in the markets including up
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country markets as early as February March. These varieties are widely marketed in India during early period when variety from none other state is available and hence have huge potential. 2.3.1.3 Varieties The main mango varieties selected for plantation are Olour, Prior and Muvandan. The economic yield of mango is expected only from 5-7 years after planting. The anticipated yield under the programme is mostly early varieties, which comes to the market before the north Indian varieties begins to arrive. Hence they command premium price. 2.3.1.4 Proposed interventions It is estimated that 1.00 lakhs grafted plants of different varieties are needed for covering

1000 ha under new planting programme. The districts selected for mango are Kanuur,
Kozhikode and Mallapuram.
Table 4 Interventions for mango S. N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total Cost (Rs. in lakh)

Production of planting material Public sector Small nursery (1 ha) 2 no. Plantation of new orchard (1000 ha) Total

Kozhikode Kozhikode, Mallapuram

Kannur

3 lakh Rs. 22,500 /ha

6 225 231

2.3.2

Indian Gooseberry

Indian Gooseberry is quite suitable plant for the Palakkad district. 2.3.2.1 Varieties The main varieties proposed for development of the crop are Kanchan and Krishna which are superior in yield and quality. 2.3.2.2 Advantages Good demand in the internal market Can be used for pickles High demand in the Ayurvedic preparations There are number of pharmaceuticals units in Kerala like Oushadhi, Kottakkal Aryavaidyasala, Nagarjuna, Pankaja Kasturi

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Map 3 Selected Indian gooseberry districts in Kerala

2.3.2.3 Area expansion An area of 300 ha has been proposed for the development of Aonla in the Palakkad district. About 60,000 grafted plants would be required for new planting. 2.3.2.4 Production of planting material For planting of orchards in 300 ha about 60,000 grafted plants will be required. For this we proposed to establish 1 small nursery in the private sector.
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2.3.2.5 Post harvest management For post harvest management it is proposed that facilities created for banana in Pallakad will be utilized for this purpose. 2.3.2.6 Processing units Since there are already many Ayurvedic units functioning in the state separate units are not required.
Table 5Interventions for Aonla S.N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total Cost (Rs. in lakh)

1 a

Production of planting material Public sector Small nursery (1 ha) 1 nos. Area expansion (300 ha) Post harvest management Sorting Grading line

Palakkad

2 3

1.5 lakh Rs. 22,500 /ha

1.5 67.50

Palakkad

Total

To be shared with facilities created for other crop 69.00

2.3.3

Banana

In India, Kerala is one of the major producing states of banana. According to NHB, banana production in Kerala was 375.9 thousand MT in 2002-03, the total production in India standing at 13304.4 thousand MT. Nendran variety has 50% share of total banana export from Kerala. The ethnic population in Gulf countries is the major consumer of this variety. 2.3.3.1 Comparative advantage of Kerala banana Kerala is known for its unique banana varieties like Nendran, Poovan, and Palayamkodan which have regular demand from non-resident Keralites in gulf both for the fruit and vegetable purposes. The growing potential for potential and banana- based products within the country and abroad has presented Kerala, with a golden opportunity, which it hopes to take advantage of, by aggressively promoting the industry. There is growing demand for processed products of this crop in the gulf countries. The varieties grown in Kerala have high export demand. 2.3.3.2 Constraints Dearth of tissue cultured planting material Low productivity Absence of post harvest facilities including ripening chamber at the market end There is gap between demand and supply of the planting material
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Map 4 Selected banana districts in Kerala

2.3.3.3 Interventions for banana The area under banana has been steadily increasing from 72,150 ha in 1993-94 to 1, 09,402 ha in 2003-04. Being a non perennial fruit crop there is further scope for intensifying the area and production taking into account the scope for export to Middle East countries. An area of 2000 ha will be put under new planting of banana. About 40 lakhs tissue culture plants / suckers would be required for new planting.

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2.3.3.4 Identified clusters for area expansion The high potential clusters in the districts of Waynad, Malappuram, and Palakkad have been identified for promotion. The proposed area expansion in different districts is as followsWayanad Pallakkad : 1000 ha : 500 ha

Mallapuram : 500 ha

2.3.3.5 Planting material production About 40 lakh tissue culture plants/ suckers would be required for new planting. For this it is rehabilitation of tissue culture unit is proposed. The nurseries established at Wayanad for cashew should have facilities for hardening of these tissue culture plantlets. 2.3.3.6 Post harvest infrastructure One pack house is proposed at Marudu in Ernakulam district under the aegis of AEZ. The facilities of this pack house should be utilized. Apart from this it is proposed to establish 3 sorting grading line in the three districts. A banana chips and wafer processing plant has been proposed in Kerala for which assistance can be taken from Ministry of Food Processing Industry. 2.3.3.7 Marketing Being one of the most important crops of the state, banana is marketed in almost all the leading markets of Kerala. The total quantity of produce expected out of 2000 ha is estimated at 30000 tons (15 tons per ha). The major quantity of banana could be marketed through the leading markets in AEZ for export. The balance will be for domestic consumption and chips making. The variety Poovan is meant for domestic consumption.

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Table 6 Interventions for banana S. N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total Cost (Rs. In lakh)

2 3 A B

Production of planting material Public sector Rehabilitation of existing TC labs Plantation of new orchard 2000 ha Post harvest infrastructure Integrated pack house Sorting grading lines in plain area (1 no) Sorting grading line in hill areas (2 no)

Pallakad Wayanad, Mallapuram Ernakulam 1 in plain area

Pallakad,

Rs. 8.0 lakh/unit Rs. 15000 /ha

8 150

2 in hill area

Rs. 200 lakh @ 25 % in the plain area Rs. 2.5 lac each @ 25 % for the general area Rs. 2.5 lac each @ 33.33 % for the hill area

50 6.25

16.5

Total

230.75

2.3.4

Pineapple

Pineapple is another important fruit crop of the state. The area under pineapple is 11484 ha. The commercial cultivation is mostly confined to three districts (Ernakulam 6696 ha; Idukki1459 ha; and Kottayam-821 ha) and the area is gradually increasing to other districts in recent years. 2.3.4.1 Comparative advantage of Kerala pineapple Kerala has exclusive advantage in producing Mauritius variety which is highly suitable for export market. The pineapple growers to a large extent are now adopting the modern cultivation practices like high-density planting, hormone application for uniformity in flowering and other management practices. The pineapple fruits are consumed as fresh fruit or made into products like jam, squash, candy etc for value addition. The variety proposed for cultivation is Mauritius since huge internal market as well as export potential is available. Its advantages include longer shelf life, sweetness and can be consumed as fresh fruits. Sea shipment protocol for export of pineapple has been developed. 2.3.4.2 Constraints Low productivity Lack of proper post harvest management practices

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Map 5 Selected pineapple district in Kerala

2.3.4.3 Proposed interventions The clusters selected for development of pineapple cultivation are Palakkad, Idukki and Ernakulam. Proposed area expansion has to be done in as proposed under: Palakkad Idukki : : 400 ha 300 ha 300 ha

Ernakulam : 2.3.4.4 Variety Mauritius

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2.3.4.5 Planting material production The planting material requirement for the proposed area expansion and existing area of pineapple is 64 lakhs. For this a model nursery of 4 ha is recommended in the private

sector and 15 small nurseries out of which 5 in the public sector and 10 in the private sector. 2.3.4.6 Post harvest and marketing The total quantity of fruits produced out of 1000 ha would be 20000 tons. The major share of the produce would go for processing at the Nadukkara Agro-Processing Centre in Ernakulam district and other private processing centres. The remaining quantity would be marketed to the metro cities in India through the pineapple markets at Vazhakulam and other markets in Kothamangalam, Perumbavoor and Angamaly in Ernakulam district;

Kuruppumthara, Changanacherry, Erattupetta, Kuravilangad and Ettumannur in Kottayam district; Adimali and Thodupuzha in Idukki district. The farmers group at the field level will do the primary processing like cleaning and grading with the technical assistance from the Nadukkara Agro-processing unit. One pack house under AEZ is proposed in Mavattapuzzha in Ernakulam district. Organic farming It is proposed to introduce 1000 ha of newly planted area with organic farming under Pineapple along with the introduction or organic farming in the area.
Table 7 Interventions for pineapple S. N0. 1 a b Component/Activity Location/District Rate assistance/ (Rs.) of Unit Total Cost (Rs. in lakh)

Production of planting material Public sector Small nursery (1 ha) 2 no. Private sector Model nursery (4 ha) 1 no. Small nursery (1 ha) 1 no. Plantation of new orchard (1000 ha) Post harvest infrastructure Integrated pack house Sorting grading (2 hill and 1 plain no) Palkkad Pallakad Ernakulam, Idukki Idukki, Palakkad, Ernakulam, Ernakulam Pallakkad, Idukki Ernakulam, 3 lakh 9 lakh 1.5 lakh Rs. 15000 /ha 6 9 1.5 75

2 3 a b

Organic farming (1000 ha) Vermi compost (1000 ha) Total

Pallakkad, Idukki Pallakkad, Idukki

Ernakulam, Ernakulam,

Rs. 200 lakh @ 25 % in the plain area Rs. 2.5 lac each for the general area @ 25 % and 33 % at hill area Rs. 20,000/ha
Rs. 60,000/ha @50 % of the cost

50 2.275

100 300 543.775

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2.3.5

Cashew nut

India is the second largest producer and exporter of cashew at the global level. India exported cashew kernel worth Rs.1804/- crores during 2003-04 and imported raw nuts worth Rs.1401/- crores resulting in a net foreign exchange earnings of Rs.403/- crores. However, there is 42% decline over the previous year in value terms. Exports declined by 3 % while imports increased by 13 %. However, of late, kernels share is showing a precipitous fall in production from 31% in late 1980s to 13% in 2002-03 at the all India level. Its productivity too declined from 900 kg/ha to 737 kg/ha. Kerala accounts for 15 % of cashew production in the country. Cashew processing units of Kerala, which share more than 90% of the total capacity at the All India level, finds it extremely difficult even to maintain one-third of its capacity. Processed cashew kernels have good demand in international markets. Promotion of high density planting with high yielding cashew grafts is imminent. 2.3.5.1 Area expansion Kerala has potential to expand 15000 ha area under coastal horticulture. The coastal

horticulture with cashew planting will be confined to the districts of Kannur, Kasargod and Mallapuram under this programme. About 10 % of the area is proposed to be taken in year 2005-06. The produce will be marketed through the local merchants and cooperatives to meet the requirement of the Cashew Processing Units in the State, as also for exports. Integrated approach to be followed for development of cashew nut: High productive varieties to be grown High density planting should be adopted Rejuvenation of senile plantation Productivity of cashew suffers a set back in the State due to predominance of old senile and unproductive trees. Such plantations need replanting with high yielding varieties. Accordingly an area of 2500 ha has been proposed for replanting of cashew under this programme. The districts, clusters and varieties identified for cashew rejuvenation are given below: Kannur Kasargod : : 1500 ha 1000 ha

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2.3.5.2 Production of planting material One model nursery in the public sector, one small nursery in public sector and eight small nurseries in the private sector. These nurseries will primarily accommodate the nucleus material of varieties recommended to the state and build-up sufficient infrastructure for irrigation and nursery activity to propagate clones of such varieties in the form of soft wood grafts. 2.3.5.3 IPM IPM has to be adopted for tea mosquito which is a serious disease of cashew nut and for stem and root borer. It is proposed to start IPM in 1000 ha initially 2.3.5.4 Processing

Theses shall be need for cashew processing plants (2 units) that are proposed for Kannur and Kasargod for which project based assistance shall be forth coming from the Ministry of Food Processing after feasibility study, taking into consideration the capacity utilization of the existing plants.

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Map 6 Identified cashew nut districts in Kerala

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The interventions proposed for cashew under NHM are given below:
Table 8 Interventions for cashew nut S. N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total Cost (Rs. in lakh)

1 a

b 2

Production of planting material Public sector Model nursery (4 ha) (1 no.) Small nursery (1 ha) (1 no.) Private sector Small nursery (1 ha) 8 no. Plantation of new orchard (1500 ha) Rejuvenation of old orchard (2500 ha) Drying Yard (4 no)

Kannur Mallapuram Kasargod, kozhikode Kannur, Mallapuram, kozhikode Kasargod Kannur, Kasargod Kannur, Mallapuram, kozhikode Kasargod Kannur, Kasargod

18 lakh 3 lakh 1.5 lakh Rs. 15,000 /ha @ 75 % of the cost Rs. 30,000/ha @ 50 % of the project cost Rs 2.5 lac for the general area Rs. 1000/ha

18 3 12 168.75

3 4

375 25

Integrated (1000 ha) Total

pest

management

12.5 614.25

2.3.6

Cocoa

The cocoa tree (Theobroma cacao) is a native of the dense tropical Amazon forests where it flourishes in the semi-shade and high humidity. These are the conditions highly prevalent in Kerala so its quite a suitable tree for growing in Kerala conditions. 2.3.6.1 Advantages Exclusively produced in kerala Growing demand in the domestic and international market 2.3.6.2 Proposed interventions 2.3.6.3 Area expansion An area of 1500 ha has been considered to be increased in the Cocoa in the districts Kannur and Kasargod.

21

Map 7 Selected cocoa districts in Kerala

2.3.6.4 Production of planting material For production of planting material it is proposed to utilize the facilities created for cashew.

22

Table 9Interventions for cocoa S.N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total cost (Rs. in lakh)

Production of planting material The facilities created for cashew will be utilized for this. 1 2 3 Total 168.75 Rs. 15,000 Area expansion (1500 ha) /ha Drying facilities The facilities created for cashew will be utilized for this. 168.75

2.3.7

Pepper

Pepper is the major spice crop in the sate occupying an area of 216440 ha (2003-04). There was an increase in area of about 32,023 ha during the last 10 years. Majority of the

traditional pepper plantations are poorly managed leading to low productivity of 275 300 kg/ha. However, there is potential for improving productivity level up to one ton/ ha through better management. A systematic rehabilitation programme is also reported to be over due in the major pepper producing districts like Idukki, Wayanad and Kannur where the proportion of old and senile vines in the traditional plantations is significant. Rapid multiplication technique of black pepper for multiplication of the planting material at the rate 1:40. Pepper contributes to about 37% of the total export earnings and kerala shares the 90 % of the production of India. The major pepper producing districts like Idukki, Wayanad and Kannur are proposed to be covered under the programme. The details of clusters selected is as followsIdukki : 2000 ha 2000 ha 1000 ha

Wayanad : Kannur :

Considering the productivity of 1000 kg/ha, the total yield anticipated is 5000 tons. A major share of the produce will go for export after primary processing at the field level by the farmers group. 2.3.7.1 Comparative advantage of pepper Kerala has near monopoly in production of pepper Highest export earner Green and white pepper has a great demand in international market
23

2.3.7.2 Constraints Old and senile vines Attack of major diseases like root rot 2.3.7.3 Integrated approach has to be adopted forRejuvenation of seline vines Management of low productivity IPM to be adopted for management of phytopthora root rot, slow decline and phyllody

Map 8 Selected black pepper districts in Kerala

24

Table 10 Interventions for black pepper S.N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total Cost (Rs. in lakh)

Production of planting material 1 a Public sector Model nursery (4 ha) 1 no. Small nursery (1 ha) 2 no Private sector Small nursery (1 ha) 8 nos. Replanting of saline vines (5000 ha) Drying and curing unit (2 no) Drying and curing unit (1 no) Vermi compost (1000 ha) Integrated pest management (1000 ha) Total

Wayanad Idukki Kannur

18 lakh
3 lakh 1.5 lakh

18
6 12

2 3

Rs. 15,000 /ha @ 50 % Kannur, Wayanad Idukki Idukki, Waynad Idukki, Wayanad, Kannur
Rs. 2.5 lac each for the general area @ 25 % Rs. 2.5 lac each for the general area @ 25 % Rs. 60,000/ha @ 50 % of the project cost Rs. 1000/ha

750 1.875 0.625 300 10 1198.50

2.3.8

Ginger

It grows well in warm and humid climates. It is being cultivated both as a fresh and a dried spice. The main ginger-producing states are Assam, Mizoram, Meghalaya, Kerala and Sikkim. The main ginger growing areas in Kerala are Wayanad, Pallakad and Idukki. Ginger is grown in an area of 10,706 ha producing 40,181 tonnes annually in Kerala. Comparative advantage The state has its strength in production of Cochin ginger which is a premium spice item in the international market. High oleoresin content Value added products of ginger have more demand in the international market The demand for oleoresin of ginger is shooting up Dry ginger has also a high demand in the international market Therefore, increasing the area of such varieties is envisaged under current years programme. An area of 2000 ha has been proposed for cultivation of ginger. The main districts taken for development program areIdukki : 700 ha 500 ha 800 ha
25

Palakkad : Wayanad :

The anticipated yield from 2000 ha would be around 10000 tons. A major share of the produce would be marketed as dry ginger. 2.3.8.1 Exports and export potential During the last decade, its exports have been fluctuating. The export increased to 28,000 tonnes in 1997-98 from 6,000 tonnes in 1990-91 but it suddenly fell to 8,000 tonnes in 199899 and declined further to 6,500 tonnes in 2000-01. This sharp decline in export of ginger is because of unorganised production due to lack of suitable varieties, post-harvest practices and inadequate infrastructure. 2.3.8.2 Constraints in Production The only constraint in ginger production is that post-harvest management of ginger is not of international standards. Soft rot and shoot borer affects ginger production. Integrated approach shall be followed for: Use of high-yielding and high-quality varieties Integrated management technologies for rhizome rot disease involving solarization of seed-beds, phytosanitation, cultural methods, bio-control agents and chemicals should be adopted. Strategies for the management of shoot-borer by pruning infested shoots and application of chemicals and bio-pesticides (Bacillus thuringiensis.) should be used. Post-harvest management is the most significant operation in ginger, since always prefer healthy, tender, disease insect-pest attack free ginger of attractive appearance. 2.3.8.3 Recommended interventions Intervention recommended under national horticulture mission is establishment of one model nursery (4ha) in public sector as good quality seed is the basic need and being heavy feeder, average growers can not produce good quality rhizomes. Model nurseries shall be in the new producing district discussed earlier, 7 small nurseries, two each in public and five in the private sector are proposed in the district of Idukki, Wayanad, and Pallakad. Area expansion shall take place in 2000 ha and IPM on a limited area of 1000 ha. IPM has to be taken for soft rot.

26

Map 9 Selected ginger districts in Kerala

27

Table 11 Interventions for ginger S. N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total Cost (Rs. in lakh)

1 a

b 2

Production of planting material Public sector Model nursery (4 ha) (1 no.) Small nursery (1 ha) (2 no.) Private sector Small nursery (1 ha) 5 no. Area expansion (2000 ha) Drying and curing unit (1 no.) Drying and curing unit (2 no)

Idukki Pallakad Wayanad, Idukki Idukki Wayanad, Pallakad Idukki, Wayanad, Pallakad

18 lakh 3 lakh 1.5 lakh Rs. 15000 /ha Rs. 2.5 lac each @ 33 % for hill area Rs. 2.5 lac each @ 25 % for plain area Rs. 1000/ha

18 6 7.5 225 0.825 1.25 10 268.575

3 Total

Integrated pest management (1000 ha)

2.3.9

Turmeric

Turmeric (Curcuma longa) is a native to Asia and India. Its tuberous rhizomes or underground stems have been used as condiments, a dye and as an aromatic stimulant in several food items and medicines. Turmeric is a very important spice in India, which virtually produces entire global crop and consumes 80% of it. Its area, production and productivity during the last 30 years have shown an increasing trend with some fluctuations. Turmeric can be grown in various climatic conditions, and as an intercrop in coconut and arecanut plantations. 2.3.9.1 Constraints in Development Non- availability of quality planting material Low productivity (2 tons/ha) National average (5 tons/ha) Lack of adequate post-production infrastructure and value-addition Supply of healthy rhizome is intended to be from the two proposed model nurseries in the public sector to supply the basic seed and 4 small nurseries (2 in public and 2 in private) to further multiply the rhizome so that constant supply of rhizome is available. Area expansion over 1000 ha spread over different pockets in these districts is also proposed. Organic farming should be practised over an area of 500 ha with certification provision to enforce the good agricultural practices. In order to increase the productivity following shall be integrated with farming in these areas. Seed material should be selected from disease-free areas. Seed material should be treated with Dithane M-45 @ 3g/litre of water or Bavistin @ 1g/litre of water.
28

Seed material should be dipped for 30 minutes in the fungicidal solution and be shadedried before sowing. Treating seed- rhizomes with 0.25% of Agallol for 30 minutes prior to storing and also at the time of sowing prevent the disease When the disease is noticed in the field, the beds are drenched with cheshnut compound (0.3%) and Agallol (0.1%) Use of improved cultivars, Suvarna, Suguna, Sudharshana, Prabha and Prathibha. Organic farming of turmeric utilizing various organic cakes as nutrient sources should be used. For control of shoot-borer, application of insecticides and bio-pesticides (Bacillus thuringiensis product) to be used. Proper technologies for storage of seed rhizomes involving seed treatment with fungicides and insecticides and use of leaf mulches should be adopted. For providing a constant boost in production, following shall also made and research provision of ICAR. Development of varieties with resistant to biotic and abiotic stress and high curcumin content The cluster development for turmeric has been taken in Idukki, Ernakulam and Wayanad

29

Map 10 Selected turmeric districts in Kerala

30

Table 12 Interventions for turmeric S.N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total Cost (Rs. in lakh)

Production of planting material The nurseries for ginger will cater to the requirement of turmeric also

2 3

Area expansion (1000 ha) Post harvest management Integrated pack house (1 no) Hill area Integrated pack house (2 no) Plain area

Idukki, Ernakulam, Waynad Idukki Ernakulum

Rs.15000 /ha Rs. 2.5 lac @ 33 % Rs. 2.5 lac @ 25 %

112.5 0.875 1.25 114.625

Total

2.3.10 Nutmeg Nutmeg tree produces two spices Nutmeg and Mace. The area under Nutmeg in the state is only 9,718 ha. Nutmeg is only grown in Kerala, Karnataka and Andaman and Nicobar, out of which kerala holds about 95 % of the area. 2.3.10.1 Advantages Exclusively produced in kerala The tree produces two types of spice the seed which is known as Nutmeg and the seed cover is processed into mace About 50 % of the produce is exported to the gulf countries Growing demand in the domestic and international market 2.3.10.2 Constraints Low productivity Poor post harvest management 2.3.10.3 Proposed interventions 2.3.10.4 Area expansion An area of 500 ha has been considered to be increased in the Nutmeg in the districts Idukki, Ernakulam and Allapuzha.

31

Map 11 Selected nutmeg districts in Kerala

2.3.10.5 Production of planting material For production of planting material it is proposed to set up two small nurseries in the private sector and two small nurseries in the public sector. 2.3.10.6 Post harvest management For post harvest management facilities for turmeric will be utilized for this purpose.
32

Table 13Interventions for nutmeg S.N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total cost (Rs. in lakh)

1 a

Production of planting material Public sector Small nursery (1 ha) 2 no Private sector Small nursery (1 ha) 2 nos. Idukki, Ernakulam Allapuzha Idukki, Ernakulam, Allapuzha 3 lakh 6

1.5 lakh Rs. 15,000 /ha

2 3

Area expansion (500 ha) Post harvest management

56.25

Drying units Total

The facilities for turmeric will be used for this purpose 65.25

2.3.11 Floriculture 2.3.11.1 Cut Flowers The climatic condition of the state i.e., tropical climate in plains and temperate climate in hilly areas, are conducive for some selected flower crops. Floriculture has good potential for remunerative self-employment among small and marginal farmers, which deserves greater attention. Cut flowers like Orchids and Anthurium are best suited for the State, as they do not require open area for cultivation. It can be grown in smallholdings in the homesteads under partial shade. It is proposed to bring an area of 30 ha under cultivation of cut flower crops. The

main crops to be taken for development in the area are orchid, Anthurium and cut foliage. A major share of the produce would be exported to gulf countries and metro cities in India. The proposed AEZ for floriculture should be incorporated with NHM for supply for area expansion and post harvest management. Remaining quantity will be marketed for domestic consumption in the local markets of Thiruvananthapuram, and Ernakulam districts. 2.3.11.2 Planting material production It is proposed to utilize the facilities that have been created in the AEZ floriculture for planting material production. Under the NHM it is proposed to establish two large nurseries one in private sector and one in public sector and 5 small nurseries. Planting material can also be taken from tissue culture labs proposed under AEZ at Nelliampathy district

33

2.3.11.3 Post harvest management Production alone can not be complete without sufficient provision of post-harvest infrastructural facilities. Four sorting grading lines and two cold stores are to be established.
Table 14 Interventions for floriculture S. N0. Component/Activity Location/District Rate of assistance/ Unit (Rs.) Total Cost (Rs. in lakh)

1 a

b 2

Production of planting material (12.50 lakhs) Public sector Model nursery (4 ha) 1 no. Small nursery (1 ha) 5 no. Rehabilitation of existing tissue culture lab 1 no. Private sector Model nursery (4 ha) 1 no. Area expansion (30 ha)

Idukki Ernakullam, Allapuzha Pallakad

18 lakh 3 lakh 8 lakh

18 9 8

Pallakad Ernakulam, Palakkad, Idukki

9 lakh Rs. 70,000 /ha

9 10.50

Post harvest infrastructure Sorting grading line Cold store (1 no.)

4 (3 in plains and 1 in hills) Wayanad

Cold store (1 no.)

Idukki

Rs. 2.5 lac each for the general area Rs. 2 crore/unit credit linked back ended subsidy @ 25 % of the total project cost Rs. 2 crore/unit credit linked back ended subsidy @ 33 % of the total project cost

2.7 50

66

Total

173.20

2.3.12 Vegetable Seed Production Kerala is a vegetable deficit state, badly dependent on other states for its requirement. The current per capita consumption of vegetables is much lower against the intake of 285 g/day recommended by ICMR. Of the total availability of 8.18 lakh tonnes, the state produces 3.47 lakh tonnes or 42% only. In terms of ICMR norms keralas production is hardly 14 percent. This requirement could be partly fulfilled if more rice fallows are brought under cultivation for which sufficient quantity of improved quality seeds are required. Presently, the District Agricultural farms, special farms, seed farms, and the farms of the Kerala Agriculture University produce and supply quality vegetable seeds. The facilities of these farms need to be strengthened for scientific vegetable seed production. An area of 30 ha will be brought under cultivation of vegetables for seed production programme. An

amount of Rs. 15 lakh has been proposed for this purpose. Similarly the private farms engaged in seed production programme need improvement. An area of 30 ha will be put under seed production programme and an amount of Rs. 7.5 lakhs has been provided for this item. It is expected that about 8.22 tons of improved vegetable seeds would be produced from the public sector and another 8.22 tons from private sector. This much seeds
34

would be sufficient to cover an area of 3200 ha. The seeds produced from both the sectors will be further tested for purity and germination before distribution. The entire quantity of seeds will be distributed to the farmers through the Krishi Bhavans. Anticipating productivity to the tune of 10 tons per ha, the quantity of vegetables produced would be 32000 tons and the produce will be marketed through the VFPCK/KSHPDC sale outlets and exported to gulf countries through the ports of Kerala. 2.4 Creating water resources

Extensive lakes and ponds, as seen in other states, are not common in Kerala. Most of the lakes are saline backwater areas. Large and extensive fresh water lakes are very few in number and most of the ponds are less than one ha. Hence making ponds and tanks with catchments exceeding a hectare would be difficult. Availability of land is also a constraint to make new ponds extending over 2 ha. Hence it is proposed to make small ponds of sizes varying from 0.1 ha to 1.0 ha to suit Kerala conditions and in areas where watersheds have been identified. It is proposed to make a mixture of ponds of various sizes covering a total area of 15 ha. An amount of Rs. 150 lakh has been provided for this purpose. The clusters identified are given in Table 15.
Table 15 Cluster wise distribution water resources

Creation of water resources- sources Community tanks / farm ponds/ water harvesting structures with an area of 0.1 ha to 1.0 ha ponds /Lift Irrigation programmes

Clusters Palakkad, Thrissur, districts North Malabar Area Malappuram

2.5 2.5.1

Protected cultivation Green house The greenhouse proposed

Polyhouse technology has been standardized to grow orchids.

under AEZ for orchid can be taken from this mission. The green house will also help in checking the pest and disease infestation to crops since the cultivation is under controlled condition. Green house will cover an area of 5 ha and an amount of Rs. 162.50 lakhs has been provided. 2.5.2 Shade Net

Shade net is used to grow plants, which grow under comparatively low light intensity. Flowering plants like anthurium and cut foliage are grown under shade net of different intensities. Shade net also reduces transpiration rate saving water. The shade net proposed under the project is intended for floriculture. It is proposed to provide shade net for an area of 25 ha and an amount of Rs. 25 lakhs is provided.
35

2.6

HRD including Horticultural Institute

About 90 per cent of the cropped area is under horticultural crops in Kerala. Ironically, the state has no specialized institutions on horticulture to impart training to the farmer groups, master farmers, extension officers and others on horticultural related subjects, technologies, demonstrations, pre and post harvest technologies, backward and forward linkages, project formulation on horticulture based products. Horticulture being hi-tech and market-driven, there is an imperative need for an exclusive training institution for horticulture. Training is considered as an integral part of the system in development of horticulture. The technical officers from the grass root to the top level have to be exposed to emerging advances in the field of sustainable agriculture, eco-farming and bio-diversity conservation, biotechnology, INM, IPM, bio-control, organic recycling, water harvesting and watershed management, green house technologies etc. Simultaneously, managerial competency has also to be built up in areas like financial management, human resources management, technical management, project management, strategic management, computer training etc. For this component Rs. 100 lakh has been earmarked for the project. Strengthening of horticulture institute at Malampuzha in Palakkad district, which has a vast span of vacant land suitable for establishing a horticultural training institute along with technology transfer facilities and an amount of Rs. 300 lakhs is proposed for this purpose. 2.7 Pollination support through bee keeping

Establishment of beekeeping colonies will be promoted in the selected districts to enable pollination and honey production. This will also provide additional employment and income to youths and women who will manage these colonies. The State Designated Agency (SDA) for promotion of Bee Keeping for improving crop productivity is the Kerala State Horticulture Products Development Corporation (Horticorp). NHM has recognized Bee keeping as one of the important inputs to maximize agricultural production. Horticorp Kerala is already in the process of procurement, processing and marketing of honey with its brand name Amruth Honey. The Action Plan (2005-06) has proposed 10000 colonies at the subsidized rate of Rs.800 per colony, working out to Rs. 80.00 lakhs. The State Horticultural Mission (SHM), which is the nodal agency of the NHM programme implementation, will pass on the amount allocated under Pollination support through Bee Keeping to the State Designated Agency, viz., Horticorp for implementation of this specific programme.

36

2.8

Technology dissemination through demonstration / front line demonstration

The horticultural farmers are either adopting conventional or outdated technologies or not adopting and primary preservation/processing at the field level at all, making the productionmarketing chain to have a much weaker link. Of late, CFTRI, ICSR and other research institutions have evolved important appropriate technologies at various levels, but these are yet to percolate impressively at the farm gate level to ensure value-addition. It is therefore imperative, in the light of the NHM programme, to demonstrate the utility of such developed technologies to interested groups like horticulture farmers, SHGs, NGOs etc. for creating awareness and stimulate entrepreneurial instinct in them and make them efficient and cost effective. Such demonstrations have to be carried out covering horticultural crops like fruits and vegetables, flowers and spices. Simple improved technologies relating to vegetable cutters/slicers/ peelers, mechanized dehydration instead of sand drying which is climate dependant, time consuming and less hygienic, application of wad emulsions, anti-fungal paste specially for Banana, improved methods of mango ripening, slicing, shredding, dicing, cutting, blanching to avoid discolouring etc. Similarly curing and polishing of turmeric,

dehydration of ginger, pepper and other spices powder making, use of tray driers, driers specifically made for specific commodities, spices grinder, dehumidifyers, disintegrators etc. need awareness creation. An amount of Rs.75 lakhs is proposed under this item. 2.9 2.9.1 Marketing Importance of SCM

Integration of farmers with the market channels has been the major hurdle in the Supply Chain Management (SCM). In the Supply chain Management, marketing is the weakest link. Attempts are being made by EU-assisted institutions like KHDP (now VFPCK), to evolve Corporate Management System to make these linkages effective and efficient through a system of capacity building. Nevertheless, marketing margins are still high with intermediaries grabbing a net margin of 41.41 per cent and the Index of Marketing Efficiency (IME) is invariably less. 2.9.2 Market Channels

AFCs study on marketing Problems of Vegetable Growers in Kerala during the year 2000 has identified different types of channels and functionaries. The major channels include: Producer Village Merchant Wholesaler Retailer Consumer Producer Wholesaler Retailer Consumer Producer Commission Agent Wholesaler -Retailer-Consumer
37

These channels are the most common in urban markets especially secondary wholesale markets located in district headquarters. The producer-consumer direct marketing is commonly seen in the daily shandies spread all over the State. 2.9.3 Marketable Surplus

The study further reveals that over 94 per cent of the farmers have marketable surplus. The marketable surplus constitutes 97.5 percent of the total production. This clearly indicates the need for market development to ensure a remunerative price for the farmer as well as a reasonable price to the consumer by reducing the market margins. 2.10 Interventions for marketing The proposed marketing infrastructure includes the following interventionsUpdated market information serves as an important tool for farmers to negotiate with traders from a position of strength, make them take better decisions for intra and inter seasonal storage can contribute to early warning of impending food security problems, contributes to arbitrage leading to farmers becoming good business men as well. Timely market intelligence reduces transaction cost by reducing risk so even so, the market intelligence is normally used intelligently by corporate, organized traders and exporters. The small and marginal farmers are unable to pay for market information on prices, arrival trends, crop situations, price fluctuations and forecast. The Agri-Business Consortium (ABC) for small farmers is yet to make an impact on them through market information services. One centralized networking system to be established which will connect all the EU markets. Computerized net work is being used successfully for transmission and dissemination of market intelligence on daily basis, besides All India Radio stations, National/Regional New Paper, Doordarshan kendras besides others. For better synchronization for the flow of market intelligence inventory, activation of information and awareness creations among small farmers become all the more important. An amount of Rs. 75 lakhs is provided under market intelligence. 20 rural markets in the plain area and 2 rural markets in the hill are to be established along with faciltities for infrastructure support. One modern whole sale market is proposed at Cochin with automatic facilities for sorting grading, auction hall etc after conducting the feasibility study. Functional infrastructure to be established which should have facilities for sorting, grading drying and packing. A perishable centre at Thiruvananthapuram airport to be set up costing around Rs.18 crore after conducting the feasibility study and land acquisition.

38

2.10.1 Extension, quality awareness and market led extension activities for fresh and processed products A lump sum provision of Rs. 75 lakhs has been made for this item. The number of units to be covered under various clusters is given below:
A Marketing infrastructure Rural markets General Hilly/ Tribal area Extension, quality awareness and market led extension activities for fresh processed products (Project based) 20 Nos. 10 No. Rs. 75 Lakhs

2.11 Mission Management Kerala being a predominant horticulture state, the Department of Agriculture is the nodal agency covering all the activities at the state level, and at the District Level, the Principal Agricultural Officer (PAO) looks after the activities. There is separate technical staff in the Block and Panchayat level. To follow the Mission mode of NHM, the State Horticulture Mission, Kerala has been established. The Director of Agriculture will function as the member secretary under the chairmanship of the APC for taking decision on matters relating to the routine functioning of the mission. Additional man power required for district / state mission will be engaged on contract basis for managing the activities of the programme. An amount of Rs. 200 lakhs has been proposed under this item. The Kerala Horticulture Mission has to provide funds to the district level / state level cooperatives / farmers organizations in the field of Horticulture Development, Post harvest management Processing and marketing. An amount of Rs. 75 lakhs has been provided for this programme for support to farmers cooperatives / farmers organization in the district / state level for building infrastructure. The State Mission / District Mission has to be strengthened including additional engagement of manpower, hiring of technical services, data base development, use of IT software and procurement of hardware besides logistics. The mobility of the technical persons is to be strengthened and for this hiring / purchase of vehicles may be necessary is to be done. Required provisions for State and District Mission for this purpose are estimated at Rs. 150 lakhs. State level Technical Support Group (TSG) for Project Formulation, Appraisal and concurrent monitoring is also planned for Kerala. District / State level consultants will be hired for providing technical support under this programme. A sum of Rs. 200 lakhs has been proposed specific projects will be formulated for these programmes.
39

ANNEXURES The following table sets forth the Area, Production and Productivity of crops: 2.11.1.1.1.1 Crop Pattern: (2003-04)
Area in Ha Gross % to Total Area (ha) Production In Tonnes Productivity kg/ha

Horticultural Crops

3 4

FRUITS PERENNIAL 85428 92861 2.89 3.14 384190 341 (Million Nos) 442220 399717 95001 80755 4497 3672

Mango Jack

NON-PERENNIAL 55906 53496 11484 17699 10886 327760 86376 2162 828 930 762 1142 23876 2028 588 21293 24017 1002 94297 172925 1.89 1.81 0.39 0.60 0.37 11.09 2.92 0.07 0.03 0.03 0.03 0.04 0.81 0.07 0.02 0.72 0.81 0.03 3.19 5.85 65655 15637 12392 5972 3940 27008 88248 23093 11981 2540790 760 7233 14966 6422 5171 23650 3696 1085 11957 26945 7910 7472 8272 4563 -

Banana Other plantain Pineapple Papaya Other fresh fruits Sub Total Dry fruits Cashew 6 VEGETABLES Bitter gourd Snake gourd Ladies Finger Brinjal Amaranthus Other vegetables Thuvara Muthira Drum stick Tubers Sweet potato Tapioca Sub Total Flowers 6.1.1.1.1 Spices and Condiments Pepper Green Chillies Ginger Turmeric Tamarind Cloves Nutmeg Cinnamon Garlic Sub Total

216440 682 8516 2774 19190 744 9718 311 638 259013

7.33 0.02 0.29 0.09 0.65 0.03 0.33 0.01 0.02 8.77

69015 679 32972 5652 29406 49 2427 10846

319 996 3872 2037 1532 65 250 17000

40

Horticultural Crops

Area in Ha Gross

% to Total Area (ha)

Production In Tonnes

Productivity kg/ha

AROMATIC 66 0.00 -

Kacholam

7.1.1.1.1 Non Food

crops/Plantation Tea Coffee Rubber Cocoa Arecanut Fibre drugs and narcotics Oil seeds (Ground nut, sesamum, coconut and others) Cardamom Others 38327 84684 478402 9433 102504 4767 904694 1.30 2.87 16.19 0.32 3.47 0.16 30.62 57553 63850 655134 4877 105490 1502 754 1370 517 1029 -

7.1.1.1.2 Sub Total 7.1.1.1.3 Category II

Crops Excluded under NHM (Food crops) Total food grains(Paddy, other cereals and millets) Sugar crops Sub Total Grand Total Area under Horticultural crops

41332 136539 1800682

1.40 4.62 60.95

8875 -

215 -

298204 9428 307632 2954454 2646822

10.09 0.32 10.41 100.00 89.59

573309 29098 -

3086 -

(Source-Dept of Agriculture and Agricultural Statistics 2003-04)

Exports of fruits and vegetables through the Air ports of Kerala Year Thiruvanthapuram 7.1.1.2 Quantity 20032004 20042005 (for 3 months) 17080 Value 16870 Ernakulam Kozhikode Total Value 18559

Quantity Value Quantity Value Quantity 9498 7027 3865 1989 30641

4602

3988

1166

655

5769

4643

(Source: AEZ Dept of Agriculture) Backward linkages

41

Sl. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14

Institutions in Public Sector Department farms Special farms Seed farms Coconut nurseries Krishi Bhavans Seed Testing Labs Pesticide Testing Lab Fertilizer Quality Control Lab Mobile Soil Testing Labs Soil Testing Labs Pest Surveillance Unit Parasite Breeding Station State Bio Fertilizer Lab Bio-Technology & Model Floriculture Centre (the floriculture lab is well equipped with a production capacity of 20 lakh plants/year) Bio Control Lab Agmark Grading Labs Farmers Training Centres Regional Agricultural Technology Training Centres (RATT) Govt. of India Farms Kerala Agricultural University Nurseries and Farms No. of Nurseries in private sector Engineering Workshops Mobile Agro-Clinic Sales cum Service Depots Organizations Providing Extension Support Directorate of Extension, Kerala Agrl. University
42

No. 10 10 33 08 1047 02 01 02 10 14 01 09 02 01

15 16 17 18 19 20 21 22 23 24 25 26

01 14 02 05 05 23 1300 11 10 08 05 01

Sl. No. 27 28

Institutions in Public Sector Krishi Vigjan Kendras (KVKs) Panchayath Raj Institutions at District Block Grama Panchayath Institutions Providing R & D Support a) Kerala Agricultural University b) Institutions Under ICAR c) Institutions under Science & Tech Dept. Small Farmers Agri-Business Consortium (SFAC)

No. 14 14 152 991 18 05 04 01

29

30

Forward linkages Sl. No. 1 2 3 4 5 6 7 8 9 Institutions in public sector KSHPDC Retail Outlets Sasya Super Markets Agricultural Whole sale Markets (EU Assisted) Marketing wing of Department of Agriculture Sanghamythri (Swasraya Vipanana Kendras) VFPCK (Swasraya Karshaka vipani) Udyanam outlets Agri-Export Zones International Air-Port Big Sea-Port (Kochi) GOI Institutions 1 2 3 4 5 6 7 8 9 10 11 National Horticulture Board (NHB) Agricultural and Processed Food Products Development Authority (APEDA) Coconut Development Board (CDB) National Medicinal Plant Board (NMPB) National Horticultural Research and Development Foundation Directorate of Marketing and Inspection National committee on Plasticulutre Applications in Horticulture Directorate of Cashew and Cocoa Directorate of Arecanut and Spices Development ICAR CSIR
43

No. 644 5 6 1 14 156 5 2 3 1

Sl. No. 12 CFTRI

Institutions in public sector

No.

Institutions in Private sector 1 2 3 4 5 6 Wholesale markets Major Wholesale markets medium Retail markets Village Markets Floriculture stalls Cold storage units Other institutional Support 1 2 3 4 5 Floriculture Nurseries approved by the Dept of Agriculture Active Horti - crops Exporters: Exporters in Kozhikode Major Horticultural Exporters Aromatic and medicinal Plant/ Extract Dealers and Exporters 11 33 27 37 29 29 54 137 1305 1136 32

Land use pattern: Kerala (2003-04) Sl. No. 1 2 3 4 5 6 7 8 Items Total geographical area Net area sown Current and other fallows Cultivable waste Forests Land put to non-agricultural use, Berren & uncultivable, grazing, mixture crops Area sown more than once Crop intensity Ha (lakhs) 38.85 21.88 11.00 0.69 10.82 4.36 7.82 135 % to total 56.32 1.77 27.85 11.22

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PROPOSAL FOR ASSISTANCE UNDER NHM 2005-06, KERALA (Rs in lakh)

Sr. No. A. B. 1 Programme Estamited Cost Proposed assistance Phy Fin

RESEARCH PLANTATION INFRASTRUCTURE & DEVELOPMENT Production of planting material a) Public sector i. Model nursery (4 ha) ii. Small Nursery (1 ha.) iii. Rehab of existing Tissue culture units b) Private sector i. Model nursery (4 ha) ii. Small Nursery (1 ha.) Sub-total iv. Vegetable seed production a. Public Sector ( KAU ) b.Private sector Rs. 18.00 lakh/unit Rs. 3.00 lakh per unit 50% of cost limited to Rs. 9 lakh/nursey 50% of cost limited to Rs. 1.50 lakh/nursey 3 25 27.00 37.50 200.50 Rs. 18.00 lakh/unit Rs. 3.00 lakh per unit Rs. 8.00 lakh/unit Maximum of Rs. 18.00 lakh per nursery Maximum of Rs. 3.00 lakh per nursery Maximum of Rs, 8.00 lakh/unit 4 16 2 72.00 48.00 16.00

Rs. 50,000 per ha Rs. 50,000 per ha

100% of cost 50% of the total cost subject to max of Rs. 25000/ha limited of 5 ha. ascredit linked back ended subsidy 100% of cost

30 30

15.00 7.50

v Seed infrastructure a. Public sector Sub-total 2 Establishment of new gardens (ha.) i. Fruits (Perennials)

Project based

75.00 97.50

ia- Perennials (Mango) ib- Perennials (Aonla) ii. Fruits (Non-Perennials) Banana ii. Fruits (Non-Perennials) Pineapple iii. Flowers (a) Cut Flowers iv.Spices a. Ginger b. Turmeric c. Nutmeg v. Plantation crops a. Cocoa b. Cashew

Rs. 30,000/ha (average) Rs. 30,000/ha (average) Rs. 30,000/ha Rs. 30,000/ha

75% of the cost subject to a maximum of Rs 22,500 per ha 75% of the cost subject to a maximum of Rs 22,500 per ha 50% of the cost subject to a maximum of Rs. 15,000 per ha 50% of the cost subject to a maximum of Rs. 15,000 per ha

1000 300 2000 1000

225.00 67.50 150.00 75.00

Rs. 70,000/ ha

50% of the cost @ Rs. 35,000/ha subject to limit of 2 ha/beneficiary 75 % of the cost subject to a maximum of Rs. 11,250/ha 75 % of the cost subject to a maximum of Rs. 11,250/ha 75 % of the cost subject to a maximum of Rs. 11,250/ha 75 % of the cost subject to a maximum of Rs. 11,250/ha 75 % of the cost subject to a maximum

30

10.50

Rs. 15,000/ha Rs. 15,000/ha Rs. 15,000/ha

2000

225.00 112.50

1000 500

56.25

Rs. 15,000/ha Rs. 15,000/ha

1500 1500

168.75 168.75

45

of Rs. 11,250/ha Rejuventation / productivity enhancement a. Cashew b. Pepper Sub-total D 3 Creation of water resources sources Community tanks on farm ponds on farm water resorvoirs -(No.) with use of plastics-100% assistance Protected cultivation a. Green house

Rs. 30,000/ha (average) Rs. 30,000/ha (average)

50 % of the cost subject to a maximum of Rs. 15,000/ha 50 % of the cost subject to a maximum of Rs. 15,000/ha

2500 5,000

375.00 750.00 2384.25

Rs. 10.00 lakh/unit

upto Rs. 10 lakh /unit of 10 Ha.

15

150.00

Rs. 650/ Sq. m

b. ShadeNet Sub-total E Promotion of IPM Promotion of IPM

Rs. 14/Sq. m.

50% of the cost limited to max of Rs.325/Sq.m for hi-tech GH maximum of 1000 Sq.m./beneficiary 50% ofcostmaxof Rs. 3500/ 500 Sq.m max. upto 2 ha/beneficiary

162.50

25

17.50 180.00

Rs. 2000/ha

50% of cost subject to Rs 1000/ha subject to a limit of 4 ha. per beneficiary

3,000

30.00

Sub-total 6 Organic Farming Adoption of organic farming Rs. 20,000/ba 50% of cost subject to a max of Rs.10000/ha subject to limit of 4 ha.per beneficiary. 50% of cost subject to a max of Rs.10000/ha subject to limit of 4 ha.per beneficiary. 3,000

30.00

300.00

Vermi composting

Rs. 60,000/ha

2,000

600.00

Sub-total G

900.00

7 8

Human Resource Development Pollination support through beekeeping Technology Dissamination through demonstration/ front line demonstration Sub Total POST HARVEST MANAGEMENT I.Integrated Pack House 2. Sorting grading in general areas

Project based Rs. 1600 per colony

100% assistance 50% of the cost subject to max. of Rs.800/colony with bee hive 75 % of cost 10000

300 80.00

Project based

75.00

455.00

10

Rs. 2.50 lakh/unit

3.Sorting grading in hill areas

Rs. 2.50 lakh/unit

4.Cold storage units in hill area

Rs. 2.00 crore/unit

5.Cold storage units in plain area Sub Total MARKETING MANAGEMENT 1. Est. of of Marketing Infrastructure for horticultural produce in Govt/Private/ Cooperative sector a) Market Intelligence

Rs. 2.00 crore/unit

Project based Credit linked back-ended subsidy @ 25% of the capital cost of project in general areas Credit linked back-ended subsidy @ 33.33 % in case of hilly and tribal areas Credit linked back-ended subsidy @ 33.33 % in case of hilly and tribal areas Credit linked back-ended subsidy @ 25 % in case of hilly and tribal areas

5 5

102.75 3.13

6.60

66.00

50.00 228.48

10

Project based

75.00

46

b) Rural Markets/Apni Mandis/Direct Markets in general area c) Rural market in hill area

Rs. 15.00 lakh

Rs. 15.00 lakh

d) Functional infrastructure for collection,grading d) Wholesale markets e) Extension, quality awareness & Market led extension activities for fresh processed products Sub Total MISSION MANAGEMENT a) State & Districts Mission Strucutre including additional manpower & project preparation cost

Rs. 15.00 lakh

Cochin Project based

Credit linked back-ended subsidy @ 25% of the capital cost of project in general areas Credit linked back-ended subsidy @ 33.33 % in case of hilly and tribal areas Credit linked back-ended subsidy @ 25% of the capital cost of project in general areas Project based 100 % asst.

20

75.00

9.90

12

47.40

250.00 75.00

532.30 5% of total annual expenditure on the basis of appraised needs 200.00

b) Support to cooperatives for infrastructure support c ) Institutional strenghning, hire/purchase , hardware, software d) Technical support group (TSG) Sub-total GRAND TOTAL Perishable centre at airport Rs. 18 crores Project based

75.00 150.00 200.00 625.00 5783.03 1800.00 7583.03

47