Harvesting Hope: Gati Shakti's Impact on Agricultural States in India
Prof Anil Kashyap
President and Chancellor @ NICMAR University | Director General NICMAR
Prime Minister launched PM GatiShakti - National Master Plan for Multi-modal Connectivity, essentially to bring 16 Ministries including Railways and Roadways together for integrated planning and coordinated implementation of infrastructure connectivity projects. PM GatiShakti is a transformative approach for economic growth and sustainable development.?The multi-modal connectivity will provide integrated and seamless connectivity for movement of people, goods and services from one mode of transport to another. It will facilitate the last mile connectivity of infrastructure and also reduce travel time for people.
In a nation where agriculture stands out as pivotal to the economy, enhancing the effectiveness of agricultural initiatives is crucial for comprehensive progress and advancement. This initiative plans to revolutionize India's infrastructure as well as logistical framework, with a certain emphasis on securing the agricultural domain in the states nationwide. Through the optimization of transportation, bolstering connectivity, and refining supply chains, Gati Shakti aims to unleash the vast potential of India's agricultural core, paving the way for a future marked by prosperity and advancement.
Enhancing Connectivity in the Agricultural States
One of the primary objectives of the Gati Shakti project is to improve connectivity in agricultural states. States such as Punjab, Haryana, Uttar Pradesh, Madhya Pradesh, and Bihar, known for their rich agricultural output, stand to benefit greatly from this initiative. By constructing and upgrading roads, highways, and railways, Gati Shakti aims to create a seamless network of transportation that will facilitate the efficient movement of agricultural produce from farms to markets. This enhanced connectivity will not only reduce transportation costs but also minimize post-harvest losses, ensuring that farmers receive fair prices for their crops. According to data from the Ministry of Agriculture, post-harvest losses in India currently range from 4.6% to 15.9% for different crops.
Streamlining Logistics and Supply Chains
Efficacious logistics and supply chain management are critical for the success of the agricultural sector. The Gati Shakti project recognizes this and focuses on streamlining these aspects to benefit farmers and consumers alike. By establishing modern warehouses, cold storage facilities, and agro-processing units in strategic locations across agricultural states, Gati Shakti aims to create a robust infrastructure that will minimize wastage and ensure the quality of agricultural produce. Additionally, the project will leverage technology to optimize supply chains, enabling real-time monitoring and tracking of goods from the point of origin to the point of consumption. This will not only reduce delays and inefficiencies but also provide farmers with better market access and price discovery mechanisms. As per estimates, the lack of adequate storage facilities in India leads to post-harvest losses worth $13 billion annually
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Empowering Farmers through Agri-Logistics Hubs
A key component of the Gati Shakti project is the development of Agri-Logistics Hubs in major agricultural states. These hubs will serve as centres of excellence, providing farmers with access to modern facilities, technologies, and services. From quality testing and certification to packaging and branding, these hubs will offer a range of value-added services that will help farmers enhance the marketability of their produce. Moreover, these hubs will act as knowledge centres, providing farmers with training and guidance on best practices in agriculture, including sustainable farming techniques, crop diversification, and precision agriculture. By empowering farmers with the necessary skills and resources, Gati Shakti aims to boost agricultural productivity and income levels in these states. According to the Ministry of Agriculture, the adoption of modern agricultural practices could increase crop yields by up to 25%.
Boosting Exports and Economic Growth
The Gati Shakti project also has the potential to significantly boost India's agricultural exports. By improving infrastructure and logistics, the project will enable agricultural states to meet the stringent quality standards and delivery timelines required by international markets. This, in turn, will open up new opportunities for farmers to export their produce, thereby?increasing their income and catering to the overall economic?growth of these states. Moreover, the project's emphasis on value addition and processing will help create new employment opportunities in the agro-processing sector, further driving economic development in agricultural regions. According to the Ministry of Commerce, India's agricultural exports are projected to reach $60 billion by 2025, up from $41 billion in 2021.
The Final Say
The Gati Shakti project, introduced by Nitin Gadkari, is a game-changer for India's agricultural states. By enhancing connectivity, streamlining logistics, and empowering farmers through Agri-Logistics Hubs, this initiative has the potential to transform the country's agricultural landscape. From Punjab to Madhya Pradesh, the project's impact will be felt across the length and breadth of India's agricultural heartlands. As the project gathers momentum, it is expected to unlock the untapped potential of these states, leading to increased agricultural productivity, higher farmer incomes, and robust economic growth. With Gati Shakti, India is poised to take a giant leap forward in its desire to become a global agricultural powerhouse, and the agricultural states will be at the forefront of this transformative journey.