Export strategy for Northeast

The export of agricultural produce from the North-eastern witnessing more than 85% growth
Export strategy for Northeast

The export of agricultural produce from the North-eastern witnessing more than 85% growth over the past six years is reassuring for farmers and entrepreneurs in the region about the high potential of their produce capturing the global markets. Disaggregated official data shows that the agricultural export base of the region is skewed, with Assam accounting for 94% of the total export value and the other seven states together accounting for just six per cent in 2021-22. The paradox is reflective of the gaps in export strategy and bridging those is critical to ensure growth is evenly spread in all states of the region. Data released by the Ministry of Commerce region about the export of agricultural products from the region increased from US Dollars (USD) 2.52 million in 2016-17 to USD 17.2 million in 2021-22 with major destinations of export being Bangladesh, Bhutan, the Middle East, the UK and Europe. Agriculture Ministry data show that of the total export value of agricultural and allied products of Rs 1,813 crore of the region in 2021-21, Assam alone accounts for export worth Rs 1,700 crore with tea continuing to dominate the space in the export basket. The growth in exports can be attributed to several initiatives taken by the Agricultural and Processed Food Products Development and Authority (APEDA), under the Ministry of Commerce and Industry for the promotion of export of agricultural and horticultural produces from the region. These include organizing field visits of importers, who were mostly from the Middle East, far Eastern countries, European nations and Australia to have first-hand information about the qualitative cultivation practices being followed by farmers in the Northeast, capacity-building programmes on export awareness and facilitating buyer-seller meets. The APEDA organized 136 capacity-building programmes and 22 buyer-seller meets in the last three years and a quantum jump in these numbers can be expected to take exports from the region to the next significant level if not to the optimal level. The apex agricultural and processed food export promotion body organizing a conference on the export potential of natural, organic and Geographical Indications (GI) Agro Products in Guwahati in June to tap the abundant export potential of organic agricultural products from Assam and neighbouring states is laudable and expanding a such initiative to all state capitals and subsequently to district headquarters will go a long way in creating the awareness among producers and agri-horti entrepreneurs of the export potential of GI-tagged products in the international market. Export of Tripura's Jack fruit, Assam lemon, Betel leaves and Nagaland's King Chilli to London, Assam's Leteku (Burmese Grape) to Dubai are some of the success stories of export promotion in the region. Assam Chief Minister Himanta Biswa Sarma launching the export of delicious and GI-tagged Tezpur litchi to London in June is expected to benefit a large number of small and marginal farmers and also lead increase in production to cater to growing export demand. According to the Ministry of Agriculture, the region's climatic condition is favourable for growing a variety of horticultural crops including a range of fruit crops and the traditional knowledge of the farmers in organic production offers huge scope for diversifying the export basket of the region. With 98% international boundary, tapping the next-door market has become easier for the region with the Northeast being central to India's Act Policy for its engagement with the ASEAN countries and Neighbourhood First Policy has deepened its engagement with Bhutan, Bangladesh, Nepal and Sri Lanka. The skewed export base in the region is also reflective of the mismatch between the pace of growth of export infrastructure in the form of Integrated Check Post (ICP) and export promotion initiatives. The slow pace of work of ICP Dawki located in West Jaintia Hills in Meghalaya bordering Bangladesh is a pointer in that direction. The construction work of ICP Sabroom in Tripura has commenced after more than a year elapsed since the laying of the foundation stone by Prime Minister Narendra Modi through a video conference. The proposed ICP located in Sabroom town connected to Chittagong Port in Bangladesh through the Maitree bridge on river Feni will provide vital access to the region to sea route and its early completion is crucial to boost the export of agricultural and allied products from the Northeast and capturing a larger export market. Total cargo and passenger movement through three operational ICPs of the region at Agartala, Sutarkandi and Moreh are still far below the pre-Covid level which indicates the adverse impact of the pandemic on the export trade in the region. Fast-tracking the work of ICPs, and establishing more ICPs well connected to export hubs in the states up to the district level will be crucial in achieving the desired growth of export in each North-eastern state. Reviewing the export strategy for the region is the need of the hour.

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