IMPACT OF COLD STORAGE CAPACITY ON COMPOSITION AND
VOLUME OF AGRICULTURAL PRODUCTION IN ASSAM
Department of Humanities and Social sciences Indian Institute of Technology Guwahati,
Guwahati-39
Baban Bayan Roll No. 10224108
Under the Supervision of
Dr. Mrinal K Dutta
Outline of the Presentation
Introduction Objectives Data sources and Methodology Findings Conclusions & Policy Suggestions Bibliography
Introduction Cold storage (CS) is the most important
infrastructure in the post harvest management of agricultural output.
Post harvest losses due to inefficient handling and poor storage structure account for an estimated 10% of food grains and production and 25% of fruits and vegetables (Reshma, 2010).
CS facility coupled with adequate market linkage helps in even distribution of marketable surplus, an win-win outcome.
Contd.. Growing urbanization and rising incomes
are responsible for transforming agriculture (Rao et al. 2007).
Aswani (2005) observes that horticulture has emerged in the last decade as the focal commercial sector among all agricultural activities in the country, while we have been successful in producing, we have not done so well in protecting what is grown.
Access to CS facility increases production of both food crops and non-food crops.
Contd.. Gill and Gill (1982) and Fugli (1999) remarks
that it is advisable for the farmers to avail themselves of CS facilities and earn more profits. There may be considerable scope for improving the seasonal supply and price stability in many developing countries
In Assam, vegetable crops are grown by almost all the farm households in their kitchen garden.
TMIDH was implemented in the state since 2001-02.
Contd..
As the horticulture sector has gained momentum during 2001-02 to 2010-11 and massive CS capacity has also been created during the same period, research priority has been accorded to study linkage between the compositional change in Assam’s agriculture and availability of CS facility.
Objectives of the study
The specific objectives of the study are as follows
To assess the growth of CS capacity in Assam To analyze the comparative changes of area,
production and productivity of major horticultural crops and food crops in the state during the last decade.
To examine the changes in the production portfolio and volume of agricultural production commensurate with increase in CS capacity in Assam
To provide suggestions for development of agriculture sector in the state.
Data Sources and Methodology
Study makes use of both primary and secondary data: a) Source of secondary data and b) Source of primary data.
Primary data collected with the help of questionnaire method for a sample Size of 60 farmer households.
Multistage sampling technique has been followed in selecting the sample farmer households
For analyzing the data tabular analysis has been followed using percentages and mean-variance analysis wherever necessary
Cold Storage and Agriculture
Importance of CS: Temperature is the single most factor in maintaining quality after harvest.
Cold Storage Scenario in India: Total no. of CS is 5381 with a total capacity of 24.45 million MT (as on 31.12.2009). UP and West Bengal account for more than 60% of the CS capacity. Over 90% of the CS capacity are in the private sector.
Sl. No. Commodity Capacity (MT) % of Total No. of CS
1 Potatoes 184,26,316 75.36 2862
2 Multi-Purpose 56,44,659 23.09 1584
3 Fruits and Vegetables 96,427 0.39 160
4 Meat and Fish 1,88,496 0.77 497
5 Milk and Milk Products 68,230 0.28 191
6 Other 26,524 0.11 87
Total 24450652 100 5381
Contd..
CS scenario in Assam: till 2010-11, the total no. of CS is 26 with total capacity of 1,09,540.9 MT. Districts that own CS are Cachar, Kamrup, Sonitpur, Tinsukia, Karimganj, Hailakandi, Golaghat, Jorhat, Nagaon, Goalpara, Barpeta, Chirang and Kokrajhar.
Only 4.11% of the total capacity are created under govt. sector.
Cond..
Year wise growth of CS capacity in Assam
2001-02
2002-03
2003-04
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
17000
26400
0
5100
10000
16191.9
11237
3312
20300
Area and Production of Food Crops vis-à-vis Horticultural Crops
Growth in area under total vegetables is 22.68% (CAGR=2.30%) against the growth in area under food grain crops 1.21% (CAGR=0.13%).
The CAGR in production of total food grain crop is 2.82% during 2001-02 to 2010-11 while during the same period CAGR in production of all Kharif and Rabi vegetables is 6.96% and 4.41% respectively.
2001-02 to 2002-03
2002-03 to 2003-04
2003-04 to 2004-05
2004-05 to 2005-06
2005-06 to 2006-07
2006-07 to 2007-08
2007-08 to 2008-09
2008-09 to 2009-10
2009-10 to 2010-11
-10
-8
-6
-4
-2
0
2
4
6
8
CAGR
Total Foodgrains Total Vegetables
Fig: Compound Annual Growth Rate of Area under total Food Grain and Total Vegetables during 2001-02 to 2010-11
Socio Economic Profile of the Sample Households
Name of District
s
Name of Villages
Average family size
% of Male
Populatn
Literacy of HH head
Educ. Year/HH
head
Work force (%)
Kamrup
Singimari 5.2 61.5 80 7.8 44.2
Roumari 5.3 65.4 90 10.7 32.76
Dadara 5.8 50 100 10.7 32.76
Dolibari 4.9 55.1 60 6.4 38.78
Kamrup Total
5.4 56.5 82.5 8.05 38.89
Barpeta
Zamadarbori
7.2 62.5 40 2.2 45.83
Sengelia 6.1 49.2 60 3.3 24.19
Barpeta Total
6.7 56.4 50 2.75 36.09
Occupational PatternVillage Agricultur
al Activities
Govt. Services
Private Services
Business Non-farm Total
Prim Secy. Prim. Secy. Prim. Secy
Prim Secy
Prim. Secy
Singimari 60.9 13 8.7 0 4.3 0 21.7 4.3 34.8 13
Roumari 54.5 13.6 13.6 0 9.0 0 9 4.5 31.8 4.5
Dadara 45 30 30 0 5 0 20 0 55 0
Dolibari 44.4 27.8 22.2 0 5.6 0 33.3 5.6 61.1 5.6
Kamrup Total
51 20.5 18 2.4 6 0 20.5 3.6 44.6 6.1
Zamadarbori
78.8 0 0 0 27.3 0 0 0 27.3 0
Sengelia 86.7 13.3 0 0 20 0 0 6.7 20 6.7
Barpeta Total
81 4.2 0 0 25 0 0 2.1 25 2.1
Land Holding Pattern
Size classSingima
riRoumari Dolibari Dadara
Kamrup total
Zamadarbori
SengaliaBarpeta
total
Marginal (below 1.0)
3 (12.6)
2 (9.9)
2 (6.2)
7 (50.7)
14 (16.1)
2 (6.6)
4 (20.5)
6 (12.0)
Small (1.0-2.0)
5 (45.9)
6 (57.4)
6 (43.8)
2 (22.4)
19 (44.3)
4 (30.1)
5 (49.1)
9 (37.5)
Semi medium (2.0-4.0)
1 (14.4)
2 (32.7)
1 (19.2)
1 (26.9)
5 (22.5)
4 (63.2)
1 (30.4)
5 (50.6)
Medium (4.0-10.0)
1 (27.0)
0 (0)
1 (30.8))
0 (0)
2 (17.1)
0 (0)
0 (0)
0 (0)
Large (10.0 & above)
0 (0)
0 (0)
0 (0)
0 (0)
0 (0)
0 (0)
0 (0)
0 (0)
Total10 (100)
10 (100)
10 (100)
10 (100)
40 (100)
10 (100)
10 (100)
20 (100)
Table: Village wise Distribution of Sample Households by Different Size of Operational Holdings.
*Figures in brackets indicate percentages of holdings concentrated to various size classes
Cropping Pattern Cropping pattern at sample farms has been
studied in two ways, by examining the frequency distribution of farms growing various crops and by examining percent area allocated to paddy and other important horticultural crops.
Availability of CS facility (or absence of it) does not seem to have any impact on the cropping pattern of the sample farmers.
Main determinant in inter-village differences in crop composition is micro variation in soil type and largely location factor.
VillagePadd
yMustar
dBrinj
alPotat
oTomat
oCabbag
ePumpk
inRadis
hChill
yCoriander
Garlic
Cauliflower
Cukumber
Singimari 50 80 100 90 30 10 80 60 20 60 30 0 20
Roumari 90 70 80 90 20 0 60 50 20 30 10 0 20
Dadara 90 100 50 100 30 10 70 0 10 20 50 0 0
Dolibari 80 90 80 100 0 10 70 0 70 0 10 0 0
Zamadarbori
100 50 90 0 100 80 20 10 50 0 10 10 10
Sengelia 80 0 50 0 50 80 0 0 10 0 0 60 0
Table: Frequency Distribution of Crop Pattern at Sample HHs. (In percentage)
Table: Distribution of Net Sown Area under Different Crops at Sample HHs. (In hectare)
VillagePadd
yMustar
dBrinja
lPotato
Tomato
CabbagePumpki
nRadish
Chilly
Coriander
Garlic
Cauliflower
Cukumber
Singimari2.95
(25.3)2.09
(17.2)2.36
(16.8)0.99 (8.5)
0.29 (2.5)
0.07 (0.6)
1.67 (14.4)
0.68 (5.9)
0.13 (1.25)
2.34 (20.1)
0.15 (1.3)
0 (0)
0.27 (2.3)
Roumari3.88
(29.6)2.61
(19.9)2.88
(21.9)1.18 (8.9)
0.40 (3.1)
0 (0)
2.48 (18.9)
0.71 (5.4)
0.13 (1.0)
0.94 (7.1)
0.03 (0.2)
0 (0)
0.27 (2.0)
Dadara10.11 (58.1)
3.95 (22.7)
0.40 (2.3)
1.66 (9.5)
0.08 (0.5)
0.03 (0.2)
0.88 (5.1)
0 (0)
0.03 (0.1)
0.27 (1.5)
0.37 (2.2)
0 (0)
0 (0)
Dolibari5.22
(58.2)1.51
(16.9)1.31
(14.6)0.95 (10.6)
0 (0)
0.03 (0.3)
1.02 (11.3)
0 (0)
1.30 (14.5)
0 (0)
0.13 (1.5)
0 (0)
0 (0)
Zamadarbori
10.04 (55.6)
2.54 (14.1)
1.20 (6.7)
0 (0)
1.81 (10)
1.34 (7.4)
0.27 (1.5)
0.07 (0.4)
0.47 (2.6)
0 (0)
0.03 (0.1)
0.13 (0.7)
0.20 (1.1)
Sengelia4.95
(47.7)
0 (0)
0.94 (9.0)
0 (0)
1 (9.7)
1.41 (13.5)
0 (0)
0 (0)
0.09 (0.9)
0 (0)
0 (0)
0.74 (7.1)
0 (0)
Figures in Brackets indicate percentage of net cropped area allocated to the respective crops.
CropTotal
Production (in quintal)
Retained for
Consumption (in
quintal)
Marketed Output (in
quintal)Consumption (%)
Paddy 1118.4 772.8 345.6 69.1%Brinjal 3042.5 34.4 3008.1 1.31%Potato 372.9 99 273.9 26.55%
Mustard 126.95 69.05 57.9 54.39%Pumpkin 1366 33.6 1332.4 2.46%
Tomato 256.6 3.9 252.7 1.52%
Radish 423 3.2 419.8 0.76%Garlic 13.7 2.4 11.3 17.52%Paddy 580.1 443.9 136.2 76.52%
Brinjal 1005 0 1005 0
Tomato 2130 2.9 2127.1 0.14%
Cabbage 1952 1 1951 0.05%
Cauliflower 304 0.5 303.5 0.16%
Jute 24.2 0 24.2 0
Mustard 21.6 1.2 20.4 5.56%
Table. 4.7. Marketable Surplus of Some of the Important Crops and percentage of Consumption in the Sample Households (In Quintal)
In Barpeta
In Kamrup
Kamrup
Crop Singimari Roumari Dadara Dolibari Kamrup Total
Paddy 750 750 766.67 750 754.55
Mustard 2425 2485.71 2916.67 2500 2623.53
Brinjal 950 1100 1100 1362.5 1119.35
Potato 712.5 800 790 800 778.38
Pumpkin 675 740 614.28 614.29 655.56
Barpeta
Crop Zamadarbori Sengelia Barpeta Total
Paddy 815 750 796.43
Brinjal 488 460 478.57
Cabbage 250 218.75 234.38
Tomato 320 280 306.67
Cauliflower 300 408 392
Market Price (Rs
per quintal)
Cond..
Kamrup
Name of Crop Average Market price during harvesting
season
Average Market Price during Slack Season
Gap in %
Paddy 696.43 1008.93 30.97
Mustard 2118.52 2974.07 28.77
Potato 681.58 1303.95 47.73
Tomato 662.5 2500 73.5
Brinjal 690.32 1677.42 58.87
Pumpkin 448.21 1066.07 57.96
Barpeta
Paddy 694.44 947.22 26.69
Brinjal 307.14 1771.43 82.66
Tomato 103.33 1893.33 94.54
Cabbage 111.76 1788.24 93.75
Cauliflower 250 1800 86.11
Jute 1316 1833.33 28.18
Table 4.10 Seasonal Average Price variation of some of the Important Marketed Crops in Sample Farmer Households (Rs. per Quintal)
Transportation of ProductHigher transportation costs for farmers in Barpeta makes farmers incur losses and also leads to wastages of vegetables. Village Push Cart
(Hired)Push Cart
(Own)Bicycle Hanging
Baskets Auto
Van/Truck
Singimari 0 40 50 10 0
Roumari 0 40 40 10 10
Dadara 0 30 30 40 0
Dolibari 0 50 20 10 20
Zamadarbori 100 0 0 0 0
Sengelia 100 0 0 0 0
Accessibility of Cold Storage and its Impact on Agricultural production
No visible impact of the CS on farming practices of the sample HHs in Kamrup
No access of CS resulted in leasing out of the same to private party
Contd..
Reasons for not accessing the Cold Store:
Too limited marketable surplus to access a chamber of the CS
Immediate need of revenue after harvest and problem of ‘distress sale’
Lack of information about probable gain after using the CS
Easy marketing even though price is less Lack of unity among farmers to jointly
access the CS
Conclusions
The hypothesis that “access to CS facility leads to changes in composition of agricultural production by shifting to high value horticulture crops and increases volume of production has been rejected.
Transportation and market access is more crucial factor than the accessibility of cold storage facility in a state like Assam
Policy Suggestions Formation of grower’s cooperative society. Exploring more vegetable growing zone in
Assam and induce farmers to cultivate providing necessary assistance.
Improvement of road communication and transport system.
The selection of location to establish CS has to be based on market linkage scenario and extent of marketable surplus.
Emphasis should be more on ‘cold chain’ concept in the context of Assam instead of CS.
Bibliography
Aswani, p. (2005), Commodity Portfolio Management of Cold Storage units in Hyderabad (AP). An unpublished Ph. D thesis submitted to University of Agricultural Sciences, Dharwad
Borah, R. and R. Savapandit (2008), ‘Economics of Vegetable Crops Cultivation in Assam: A Study in Nagaon and Jorhat Districts’ in Deshpande R. S. et al. (eds.), Glimpses of Indian Agriculture: Macro and Micro Aspects (Vol.2), Academic Foundation, New Delhi
Chand, R. (1999), Agricultural Diversification in India, Mittal Publication, New Delhi
De, U. K. (2003), Economics of Crop Diversification, Akansha Publishing House, New Delhi
Contd.
Dorjee, K. S. Broca and Prabhu Pimgali (2007), ‘Diversification in South Asian Agriculture: Trends and Constraints’ in Joshi P. K. et al. (eds.), Agricultural Diversification and Smallholders in South Asia, Academic Foundation, New Delhi
Gill, D. S. and Gill, G. S. (1982), ‘An Economic Analysis of Potato Marketing in Punjab.’ Agricultural Marketing 24 (2); pp. 25-28
Government of Assam (2010-11), Economic Survey, Directorate of Economics and Statistics
Government of Assam (2010), Statistical Handbook, 2010, Directorate of Economics and Statistics
Contd..Government of India (2010), Status of Cold Storage in
India, accessed from www.indg.in/agriculture/crop.../status_of_cold_storages_in_india.pdf on 06.03.2012
Jairath, M. S. (2010), Agricultural Marketing Infrastructural Facilities in India. pp. 5, accessed from www.cosamb.org/downloads/MISINDIA-Cosamb(F).doc on 06.03.2012
Fugli, K. O. (1999), ‘Economics of Potato Storage: Case Studies’, paper presented at the Symposium on Potato Storage, Processing and Marketing’, Global Conference on Potato, New Delhi, India, December 7-9
Rao, V. M. and K. C. Hiremath (2010), ‘Agricultural Policy Reviews: A Synthesis’ in Asian Development Bank (ADB), Agriculture, Food Security and Rural Development, Oxford University Press, New Delhi pp.8-9
Contd..Ray, D. (1998), Development Economics, Oxford
University Press, New Delhi, Fifth Impression Reshma, A. (2010), ‘Agriculture Marketing- From
Livelihoods to Enterprise’, State of India’s Livelihood Report 2010, Sage Publications India Pvt. Ltd., New Delhi
Sengupta, K. (2010), Determinants of Marketed Surplus in a Backward Economy, Concept Publishing Company Pvt. Ltd., New Delhi
Joshi, P. K. (2010), ‘Crop Diversification in India: Nature, Pattern and Drivers’ in Asian Development Bank (ADB), Agriculture, Food Security and Rural Development, Oxford University Press, New Delhi. pp.211
Field Visit
Piture: Questionnaire Survey in Village Dolibari (Left) and in Dadara (Right) in Sample location at Kamrup.
Thank You