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Presentation By Mr. M.C. Goel

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Global Summit<br />

Green Revolution-II<br />

Growth Engine for Transformation<br />

ASSOCHAM INDIA at Hyderabad 15 th June 2011<br />

Mahesh Chandra <strong>Goel</strong><br />

Chief Executive Officer<br />

Agri Business & Farming Solutions<br />

Deepak Fertilisers And Petrochemicals Corporation Ltd.<br />

7’Th October,2010<br />

mcgoel@deepakfertilisers.com<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Green Revolution<br />

• 1944: Norman Borlaug, biggest contributor to Green<br />

Revolution joined Rockefeller Foundation team as the<br />

plant pathologist in Mexico<br />

• 1956: Mexico became self-sufficient in wheat<br />

production by growing more than 40 new, high yielding<br />

& rust-resistant varieties developed by Dr. Borlaug<br />

• 1960’s: Improved wheat varieties gave dramatic<br />

increase in yield in Mexico<br />

• Varieties more responsive to irrigation & chemical<br />

fertilizers<br />

• Soon new rice and maize varieties came up<br />

• 1970’s: spread to millions of third world farmers<br />

• 1990’s: 40% of all farms in third world<br />

- 75% Rice in Asia<br />

- 80% Wheat in third world<br />

- 70% Corn worldwide<br />

• Improved standard of living for millions people worldwide<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Green Revolution: Criticisms<br />

• Green Revolution hasn’t<br />

alleviated hunger<br />

• Economic power, land<br />

controlled by few<br />

• Technology benefited wealthy<br />

therefore, increased inequity<br />

• More hunger and more food<br />

at same time<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Green Revolution: Criticisms<br />

• Food Insecurity of poor not<br />

addressed<br />

• Cash Crops: food flows from<br />

the poor and hungry nations<br />

to the rich and well-fed<br />

nations<br />

• Was not sustainable<br />

- builds imbalance resource<br />

base on which agriculture<br />

depends<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


There are still problems<br />

• Need good land (mostly wealthy<br />

own)<br />

• Agrochemicals bad for health &<br />

environment<br />

• Expensive inputs: profits to<br />

global chemical companies<br />

• Rural people displaced from land<br />

• Mechanization reduced<br />

agricultural jobs<br />

• Not ecologically sustainable:<br />

depletes soil, pesticide race<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Second Green Revolution<br />

It has been reported that by 2020 “cereal<br />

production will need to increase by 41%,<br />

meat by 63% and roots and tubers by<br />

40%...without any significant expansion of<br />

agricultural area.”<br />

• Technology led:<br />

Focused on GM<br />

seeds<br />

• Labor intensive<br />

• Non Farm Agri Sector<br />

included<br />

• Resource<br />

Conservation<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Second Green Revolution - Concerns<br />

• To meet the challenge of increasing food<br />

insecurity<br />

• To deal with the new economic reality i.e. the<br />

dominant role of the private sector by<br />

commercializing its agricultural innovations<br />

• Food insecurity is grounded in poverty a way<br />

has to be found<br />

• To secure for poor farmers the productivity<br />

benefits of the new biotechnology,<br />

• Satisfying the share-holders of the lifesciences<br />

companies which are investing in this<br />

technology.<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Sustainable Agriculture Goals!!!!!<br />

• Environmental Health<br />

• Economic Profitability<br />

• Social and Economic<br />

Equity<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Yields Gaps of few Crops<br />

… a lot to be done<br />

Crops<br />

India<br />

Average<br />

Field<br />

Experience<br />

Best in<br />

India<br />

Best in<br />

World<br />

Yield MT/acre<br />

Country<br />

Banana 15.39 45.00 26.50 80.94 Mali<br />

Grape 9.50 14.00 12.00 12.00 India<br />

Mango 3.76 8.00 7.20 16.19 Cape Verde<br />

Pomegranate 5.94 12.00 10.00 16.50 Israel<br />

Orange/Mandarin 6.24 12.00 10.80 16.31 Guatemala<br />

Onion 7.78 16.00 10.00 16.86 Israel<br />

Potato 6.19 13.00 12.40 18.10 Netherlands<br />

Tomato 10.25 22.00 15.60 180.15 Netherlands<br />

Okra 3.37 6.00 4.40 7.64 Cyprus<br />

Gourd, beans 4.17 7.50 6.00 12.14 Albania<br />

Data source: For India: Rabo team and Indian Horticulture Database , For World: www.faostats.org<br />

Need to begin efforts right from the farms:<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited<br />

DFPCL


Concern: Soil<br />

• Depleting organic carbon contributes<br />

- Degradation of soil health<br />

- Soil texture<br />

- Decrease in productivity<br />

• Organization to look into<br />

- Data generation & tracking of soil<br />

nutrient changes<br />

- Nutrient status & uptake correlation for<br />

crops, progressively improve soil health<br />

• Need to improve the beneficial micro<br />

organisms to control soil pathogen<br />

causing the mortality of the standing<br />

crops<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


F & V- Food Safety Issues<br />

• Pesticide Residue levels - Minimum Residue limits are<br />

announced for F & V.<br />

• MRL had become a non-tariff trade barrier for European<br />

exports.<br />

• Biological – Insect infestation, fungal growth etc.,<br />

• Microbial contaminations – for select F & V.<br />

• An average consumer was demanding the safety<br />

guarantee of food that they were buying from leading<br />

retailers in Europe and UK.<br />

• Global GAP standard had come into force with the<br />

initiative of retailers as part of consumer assurance.<br />

Simultaneously Private initiatives eg Deepak GAP<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


What a marketable produce should meet<br />

• Nutritional Value of produce<br />

• Safety of produce<br />

• Display of produce<br />

• Shelf-life of produce<br />

• Competitiveness of produce in the market<br />

• Sustainability towards environment<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Traceability & Transparency<br />

“Documented recall procedure to manage withdrawal of<br />

registered products from the market”<br />

MH06091207786<br />

Grower code gives<br />

traceability up to<br />

Country code<br />

State code<br />

District code<br />

Taluka code<br />

Farm code<br />

Farmer name<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


The thrust areas…<br />

• Diversification of Agriculture<br />

• Inter-cropping<br />

• Micro Management<br />

• Water Management<br />

• Organic Farming<br />

• Agri-Clinics and Agri-business Centers<br />

• Bio-Technology<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Challenges Ahead…..<br />

• Increasing productivity for increasing<br />

population<br />

• Balancing natural resources, equity &<br />

profitability<br />

• Threat of climate change<br />

• Employment and livelihood<br />

• Reducing malnutrition and under nourishment<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Suggestion…..<br />

Farmers’ Need<br />

Increased productivity<br />

Quality seed, agri inputs<br />

Need Addressed & To be<br />

Addressed<br />

Satisfactory results in food<br />

grains<br />

Attention required in pulses & oil<br />

seeds<br />

Work done in bajra, rice, maize,<br />

cotton, sunflower vegetables.<br />

Varietal improvement required in<br />

pulses & other oil seeds<br />

Suggestion<br />

• Advisory services with<br />

true focus on raising<br />

farm productivity & farm<br />

income<br />

• Linking farmers to<br />

appropriate market &<br />

creating access to<br />

premium market<br />

Marketable produce, Market<br />

Access, Price Realization<br />

Updated technology<br />

Needs fair & effective<br />

distribution for fertilizers<br />

Quality awareness is increasing<br />

Needs effective govt. policies on<br />

quality, safety & pricing<br />

Partial work done<br />

Needs focused attention on<br />

genetic resource conservation,<br />

soil health, input use efficiency,<br />

post harvest management<br />

• Diversification and<br />

optimum utilization of<br />

resources<br />

• Knowledge based<br />

agriculture enterprise for<br />

technology-led growth<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Suggestion…..<br />

Farmers’ Need<br />

Irrigation facility<br />

Agri Financing<br />

Storage infrastructure<br />

Measure to combat climate<br />

change<br />

Weather information<br />

Need Addressed & To Be<br />

Addressed<br />

Partially been taken care<br />

Attention required on water<br />

availability, its quality & modern<br />

technology for better water use<br />

efficiency<br />

Policy is in place<br />

Need fair, transparent & easy to<br />

reach financing system &<br />

effective crop insurance<br />

Available, needs updation in<br />

available ware houses to<br />

minimize post harvest losses,<br />

Special attention required for<br />

fresh produce<br />

Work not yet done, need to start<br />

from scratch<br />

Mobile forecast started<br />

Suggestion<br />

• Creation of knowledge<br />

through relevant<br />

research<br />

• Effective infrastructure<br />

e.g. storage, cold chains,<br />

supply chains & public<br />

distribution system<br />

• Improvising global cost<br />

competitiveness for farm<br />

produce<br />

• Production focusing<br />

minimizing rejects &<br />

increasing storability<br />

Need to extend coverage & its<br />

accuracy<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Shift-Product Promotion: Best Farm Management Practices<br />

Complete solution &Fair<br />

holistic guidance<br />

Who<br />

??<br />

Genetics &<br />

Nutrient Management<br />

Soil &<br />

Water Analysis<br />

Water Management<br />

Traceability<br />

Environmental<br />

Protection<br />

Safety & Hygiene<br />

Best<br />

Farm Management<br />

Practices<br />

Animal & Worker<br />

Welfare<br />

MRL<br />

Yield<br />

Pest Management<br />

Petiole Analysis<br />

PHT<br />

Quality Produce<br />

Results<br />

Higher Productivity<br />

Better Market Access<br />

Happy Farmer<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Key Steps to Encounter the Challenges<br />

1. Paradigm shift in attitude<br />

Yield Increase<br />

2. Orbit shift in crop husbandry<br />

Low input-low output<br />

Crop Nutrition Solution<br />

High input-high output<br />

3. Sustainable high Income & productivity – Prime Goal<br />

4. Guiding principle – Producing as per Market Need<br />

5. Flexible approach & quick modifications in approach matching to the<br />

dynamism of changing Consumer preferences – to be considered<br />

as important success indicator<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Summing up……………………<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


……Our dream<br />

Changing face & Pace<br />

Of<br />

Indian Agriculture<br />

…..<strong>By</strong> Making Indian Farmer Globally Competitive<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


SAARRTHIE Business Model<br />

Pillar – I<br />

Pillar – V<br />

Market needs<br />

based new<br />

product /<br />

practices<br />

development<br />

Pillar – II<br />

Pillar – VI<br />

Pillar – III<br />

“Making Farms Globally Competitive in Cost & Quality of Agri Produce ”<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited<br />

22


Conclusion…<br />

The very fact that some people are not been privileged in<br />

getting the benefit of Green Revolution (inadequate food<br />

supply & balanced nutrition) brings into question whether<br />

the Green Revolution has fulfilled its social objectives.<br />

So, overall I feel that India, has not taken the complete<br />

benefit of Green Revolution whereas further ample<br />

opportunities are thrown open to us with emerging<br />

technologies & good scientific talent<br />

….Hoping for diversified growth, fast implementation &<br />

political willingness to reap benefit of Green Revolution II<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited


Thank You<br />

Thank You for your time and attention<br />

DFPCL<br />

© Copyright 2008 Deepak Fertilisers & Petrochemicals Corporations limited

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