15th Finance Commission’s HLEG on Agricultural Exports submits report

The High Level Group (HLEG) on Agricultural Exports set up by the Fifteenth Finance Commission to recommend measurable performance incentives for States to encourage agricultural exports and to promote crops to enable high import substitution, has submitted its report to the Commission today.

After intensive research and consultations and taking inputs from stakeholders and the private sector through intensive consultations, the HLEG has made its recommendations, major among which are :

1. Focus on 22 crop value chains – demand driven approach.

2. Solve Value Chain Clusters (VCC) holistically with focus on value   addition.

3. Create State led export plan with participation from stakeholders.

4. Private Sector should play an anchor role.

5. Centre should be an enabler.

6. Robust institutional mechanism to fund and support implementation.

          The Group in its report has recommended a State-led Export Plan –  a business plan for   a crop value chain cluster, that will lay out the opportunity, initiatives and investment required to meet the desired value chain export aspiration. These plans will be action-oriented, time-bound and outcome-focused.  The Group has also said that for the success of the State led Export Plan, the following factors needed to be considered:-

The Group was of the view that the private sector players had a pivotal role to play in ensuring demand orientation and focus on value addition; ensuring project plans are feasible, robust, implementable and appropriately funded; providing funds for technology based on business case and for creating urgency and discipline for project implementation. 

The HLEG feels that-

The Members of the HLEG include Shri Sanjiv Puri, Chairman and Managing Director, ITC Chairman;  Ms. Radha Singh, Former Agriculture Secretary;  Shri Manoj Joshi, Representative of Ministry of Food Processing Industries;  Shri Diwakar Nath Misra, Chairman and Shri Paban Kumar Borthakur, Former Chairman, APEDA; Shri Suresh Narayanan, CMD, Nestle India; Shri Jai Shroff, CEO, UPL Limited; Shri Sanjay Sacheti, Country Head India, Olam Agro India Ltd; Dr. Sachin Chaturvedi, Director General, Research and Information System for Developing Countries (RIS).

The Terms of Reference of the HLEG include:

The Commission appreciated the efforts of the Group and  will now look into all the recommendations for finalising its own Report to the Government of India.

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