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Constraints of Exports

Constraints of Exports

  • Sub-division & fragmented land holdings – average farm size stands at 1.74 hectares.
  • Low productivity per unit area.eg:-


Country Productivity per HA
Productivity of Onion
China 61.76 mts
Australia 44.51 mts
USA 42.96 mts
India 10.62 mts
   
Productivity of cabbage
World Average 24093 kgs
Uzbekistan 72083 kgs
India 18261 kgs
   
Productivity of tomato
World Average 28343 kgs
Netherlands 46667 kgs
India 15143 kgs
   
Productivity of pulses  
World Average 837 kgs
Ireland 4524 kgs
India 584 kgs



  • Unorganised & weak domestic market base.
  • Lack of post-harvest infrastructure facilities like collection & grading centres, washing & packing facilities, reefer vans, pre-cooling & cold storages, intermediate cold storages, processing units & export house.
  • High interest rates for Agri. Investment as well as Export finance.  For eg:- 4 – 6% abroad, whereas in India it is about 16% p.a.
  • Unfavourable tax structure in agriculture and food sector. eg:-

Phillipines & Indonesia (all levies) - 10%
Netherlands & Finland (all levies) - 14%
U.K (all levies) - 15%
China & Ireland (all levies) - 17%
India (all levies) - 25%
  • No clear cut & consistent export policy.
  • Apmc cess adds to the cost of production


Last Updated: 27-05-2020 01:25 PM Updated By: Approver kappec


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