8.32           ndian     onom
     expand their businesses in the growing regions of          Technology (CIPHET), a government-run
     the world.                                                 institute, has estimated the value of farm waste in
           To strengthen and broad base of the market,          India at Rs. 92,651 crore (at the prices of 2014),
     the Forward Markets Commission (FMC), which                that is around 9 per cent of the total produce,
     is the regulator for commodity futures trading             which is much lower than the oft-stated 40 per
     under the provisions of the Forward Contracts              cent level. Although cereals, such as wheat and
     (Regulation) Act 1952, has taken many initiatives          rice, pulses and oil seeds accounted for around
     such as:34                                                 two-thirds of the wastage, the loss in case of fruits
           (i) Conducted awareness programmes in                and vegetables was the highest at up to 18 per cent
                 2011, such as a media campaign under           of the total produce.
                 the Jago Grahak Jago Programme about                 Attending the causes of storage and processing
                 the Dos and Don’ts of trading in the           facilities, something the Government of India
                 commodity futures market;                      is emphasising, this level could come down
          (ii) Police training programmes in the states         significantly and can serve great purpose in helping
                 of Madhya Pradesh, Chhattisgarh, Tamil         the economy to fight the repeated price shocks of
                 Nadu and Delhi with regard to dabba            the past two years in case of fruits, vegetables and
                 trading / illegal trading;                     foodgrains to a great extent.
        (iii) A massive awareness and capacity-building               The losses take place in almost all stages of
                 programme for various stakeholders, with       farming, but the study looked at harvesting,
                 primary focus on farmers.                      collection, grading, cleaning, packaging,
         (iv) On the regulatory front, the FMC                  transportation and storage. If cultivation was also
                 undertook measures for the development         included the loss figure would be much higher.
                 of the commodity futures market, which         The government has said that adoption of better
                 include ensuring more effective inspection     technology has brought about a reduction in losses.
                 of members of the exchanges on regular
                 basis and in a comprehensive manner               IrrIGAtIon
                 covering all aspects of the regulatory regime. The Planning Commission36 classified irrigation
          (v) Bringing out a guidance manual for                projects/schemes in India on the following lines :
                 improving audit practices, prescribing
                                                                      (i) Major Irrigation Schemes—those with
                 penalty structure for client code
                                                                           cultivable command areas (CCA) of
                 modification and for executing trade.
                                                                           more than 10,000 hectares.
         (vi) Granting exemptions for short hedge for
                                                                     (ii) Medium          Irrigation       Schemes—those
                 soyabean/oil futures, issuing directives
                                                                           with cultivable command areas (CCA)
                 for segregation of client accounts.
                                                                           between 2,000 and 10,000 hectares.
                                                                    (iii) Minor Irrigation Schemes—those with
        FArm wAste deBAte
                                                                           cultivable command area (CCA) upto
     A recent study,35 undertaken by the Central                           2,000 hectares. Expansion of irrigation
     Institute of Post-Harvest Engineering and                             facilities, along with consolidation of the
       34.    Ministry of Finance, Economic Survey 2011–12,              Technology (CIPHET), ICAR, Ministry of Agriculture,
              p. 199.                                                    GoI, Ludhiana, Study released in September, 2016.
       35.    Central Institute of Post-Harvest Engineering and   36.    Planning Commission, GoI, N. Delhi, 1961.