CII for policy reforms to up agri yield

The Confederation of Indian Industry (CII) on Monday asked the government to take a series of measures to increase agricultural yield and improve market linkages for ensuring involvement of private sector.

In a 10-point agenda submitted to agriculture minister Sharad Pawar, CII has recommended fiscal incentives to private sector, land consolidation for agriculture and food security for long-term competitiveness. The agenda also covers policy interventions under goods and services tax (GST), agri exports, dairy and farm mechanisation.

CII also urged the government to uniformly implement the model APMC Act that would enable a direct linkage of value adding agribusinesses to the farmers and modernisation of the agricultural markets. At present only 16 States have amended the Agricultural Produce Market Committee Act and three states have partially amended. It also recommended giving pro-active encouragement to the commodity exchange, and forward markets as tools of risk mitigation.

To do away with movement, transportation, storage, processing and marketing operations, rigid rules under the Essential Commodities Act, 1955, the CII document clearly outlines the need for abolishment the Act. "The issue of multiplicity of taxes and levies imposed by states on the movement of goods within the country has hampered the integration of the agricultural markets," a statement by CII said.

Rakesh Bharti Mittal, chairman, CII National Council on Agriculture, stated that the document focuses on innovation policy intervention by the government aimed at encouraging large scale investments from the private sector in the entire agriculture value chain.