PMEAC estimates record pulses, oilseeds output in 2013-14

Pulses output expected to be over 20 mn tn in 2013-14

India’s agriculture growth in 2013-14 is estimated to rise to 4.8 per cent from 1.9 per cent a year-ago on the back of expected higher output of rice, wheat, coarse cereals, pulses and oilseeds, according to the Prime Minister’s Economic Advisory Council (PMEAC).

In its document titled Economic Outlook for 2013-14 released on Friday, the PMEAC said that output of pulses is expected to be over 20 million tonnes in 2013-14. In 2012-13, India had produced 18.45 million tonnes of pulses, the best so far.

If PMEAC’s estimates come true, it will have a strong impact on the pulses import bill in 2013-14. In a year, India imports two-to-three million tonnes of pulses because the domestic production is less than the demand. As pulses are scarcely cultivated in other parts of the world, the supplies are always at a higher price.

“If our pulses production in 2013-14 manages to cross 20 million tonnes on the back of good rains, then import bill will come down significantly,” said a senior agriculture ministry official. Pulses and oilseeds are among the major components of India’s annual food import. The country imported around Rs 55,000 crore worth of pulses and oilseeds in 2012-13.

The PMEAC document had some good news for oilseeds as well. It said domestic oilseeds production in 2013-14 is likely to exceed the all-time high production of 32.5 million tonnes achieved in 2010-2011. This means that the domestic production of edible oils will be more, reducing the country’s dependence on imports.

“Edible oil imports in 2013-14 crop marketing year should be around 2012-13 level of 10 million tonnes. Without this bumper production of oilseeds, edible oil imports could have been over 11 million tonnes as demand is rising steadily,” said a leading oilseeds trader. The PMEAC also said output of horticulture products (fruits and vegetables), milk, eggs, meat, and fisheries is expected to grow by almost 4-5 per cent a year.

India produces more than 232 million tonnes of fruits and vegetables annually. According to experts, this will not only help control food inflation, which was hovering at 11.06 per cent in August, but will also improve farmer income.

“Usually, fruits and vegetables give two-to-three times higher returns to farmers than cereals. So if their production increases, it is bound to be beneficial to growers,” Ashok Gulati, chairman of Commission for Agricultural Costs and Prices (CACP), had recently told Business Standard.