Coffee sector likely to get 60% rise to Rs 950 crore in 12th plan

R&D expenses for solution for White Stem Borer pest attack on Arabica gardens to get focus

The ministry of commerce is hopeful of securing approval from the Cabinet by middle of February for the 12th five-year plan allocations for the coffee sector. The ministry has already got approval from the planning commission for a 60% increase in the allocation to coffee sector at Rs 950 crore for the 12th plan period, a top ministry official said.

“The 12th five year plan allocation for coffee sector has been enhanced by 60% compared to the 11th five year plan period. The expenditure finance commission (EFC) has also given its approval for the detailed packages for several schemes. However, it requires Cabinet approval. We have circulated a cabinet note and waiting for comments from the finance ministry. In all probability, the cabinet approval is likely to come by middle of February,” J S Deepak, additional secretary, ministry of commerce told Business Standard on the sidelines of India International Coffee Festival, here today.

Explaining the main highlights of schemes for the 12th plan, he said the ministry has approved continuation of all major schemes like rejuvenation and replanting scheme, mechanization, export promotion activities, research and development among others.

“The major focus of the 12th plan would be on research and development. We have enhanced the allocation to R&D activities by 60% to Rs 140 crore. There are no constraints on spending money for the R&D. Our thrust area is to find out a solution for the White Stem Borer pest attack on Arabica gardens, which is destroying the crop in major growing regions and affecting the productivity. We hope to find a solution during this plan period,” he said.

Deepak said the Ministry of Commerce and Coffee Board have accorded top priority to finding a solution for White Stem Borer pest in the next few years.

“The Coffee Research Institute has done some pathbreaking research in this area. However, it is working in isolation. We have told the Coffee Board to bring the best minds in the scientific world to launch a combined effort to fight this pest and find a solution in the next few years. We want them to partner with ICAR, horticulture research institute to find a solution,” he said.

Stating that the Coffee Research Institute scientists have found a solution for leaf rust disease, he said the need of the hour is to tackle White Stem Borer, which is threatening the existence of Arabica gardens.

Deepak said most of the schemes announced in the 11th plan period would be continued in the 12th plan period.

Coffee growers from Karnataka, which accounts for 72% of India’s coffee output, had sought a subsidy package of Rs 300 crore from the Central government for mechanisation during the 12th plan period (2012-17).

During the 11th Plan period, the government had allocated Rs 50 crore in the fifth year of the Plan, while only Rs 22 crore of that was released to the beneficiaries.