Day 34 – Q 5. Examine the current status, prospects and challenges associated with the export of livestock products from India.
5. Examine the current status, prospects and challenges associated with the export of livestock products from India.
भारत से पशुधन उत्पादों के निर्यात से जुड़ी वर्तमान स्थिति, संभावनाओं और चुनौतियों की जांच करें।
Animal Products plays an important role in the socio- economic life of India. It ensures food security, provides employment, which leads to reduction in poverty and one the major source of protein intake. Livestock product export gains significance for doubling farmer’s income by 2022.
India has emerged as the largest producer of milk with 20.17 percent share in total milk production in the world. India accounts for about 5.65 percent of the global egg production and also the largest population of milch animals in the world.
Current status of livestock product exports:
- India’s export of Livestock Products was Rs. 30,632.81 Crores which include the major livestock products like Buffalo Meat (Rs. 25168.31 Crores), Sheep and Goat Meat (Rs. 790.65 Crores), Poultry Products (Rs. 687.31 Crores) according to data on APEDA.
- Even though, India’s buffalo meat exports fell 8.7 percent in 2018-19 from a year ago to the lowest level in six years still India is the world’s biggest exporter of buffalo meat.
- India’s Export of Dairy products was 1.13 lac MT to the world, major export locations were Turkey, UAE, Egypt, Bangladesh.
- Leather sector is known for its consistency in high export earnings and it is among the top ten foreign exchange earners for the Country.
- The export of footwear, leather and leather products from India reached a value of US$ 5.69 billion during 2018-19.
- India’s seafood export earned Rs 45,106.89 crore in 2017-18 with frozen shrimp and fish continuing to dominate the export basket.
- Wool exports (woollen yarn, fabrics, and made ups) stood at US$ 185.96 million during 2017-18 and US$ 120.36 million between Apr-Oct 2018.
Prospects livestock product exports:
- The demand for Indian buffalo meat in international market has sparked a sudden increase in the meat exports. Buffalo meat dominated the exports with a contribution of over 89.08% in total Animal Products export from India.
- In the 2018 Budget, the Department of Animal Husbandry made a provision to allocate $383 million for establishment of an ‘Animal Husbandry Infrastructure Development Fund’. The fund supports small and marginal farmers, including entrepreneurs, by helping to get better remuneration for their produce by meeting their working capital requirement to modernize or set-up a new infrastructure.
- Creation of ‘Dairy Processing and Infrastructure Development Fund’ with a net outlay of $1.5 billion to benefit 9.5 million farmers in about 50,000 villages.
- National Dairy Plan (NDP) phase-1 through the National Dairy Development Board for breed improvement, artificial insemination, and fodder development.
- Creation of a special Fisheries and Aquaculture Infrastructure Development Fund is in pipeline; the fish production target is 15 MMT by 2020 and 20 MMT by March 2023.
Challenges associated with livestock product exports:
- Though, Supreme Court suspended the nationwide ban on sale of cattle for slaughter, revival of the idea might hurt the livestock sector.
- Government decided to ban the export of livestock from all sea ports in the country for an indefinite period at a time when the export of livestock from India has boomed from Rs 69.30 crore in 2013-14 to Rs 527.40 crore in 2016-17.
- China, which accounts for more than half of Indian shipments of buffalo meat, has been buying less in the last few months.
- There are concerns raised by China over foot and mouth disease infection among Indian buffalos.
- Indiscriminate and extensive use of antibiotics in poultry rearing needs to be strictly monitored to reduce the incidence of drug resistance in the food web. There are allegations on poultry sector of for spreading superbugs in the world.
- India decided to stay out of RCEP but free trade agreement with countries like New Zealand could have threatened India’s dairy sector.
There is need to develop dedicated institutional mechanism for pursuing market access, tackling barriers and dealing with sanitary and phytosanitary issues and strive to double India’s share in world livestock product export by integrating with global value chains. Farmers should get benefit of export opportunities in overseas market.