National Horticulture Board

The National Horticulture Board (NHB), established during 1984, is involved in the development of high quality horticulture farms in identified belts and make such areas vibrant with horticulture activity which in turn will act as hubs for developing commercial horticulture.

3.3.5.1 Objectives

The objectives of National Horticulture Board are as follows:

• Develop high quality horticulture farms in identified belts and make such areas vibrant with horticultural activity which in turn will act as hubs for developing commercial horticulture.

• Develop post-harvest management and cold-chain infrastructure. • Strengthen Market Information System and horticulture database

• Assist R&D programs to develop products suited for specific varieties with improved methods and horticulture technology.

• Provide training and education to farmers and primary processing industry for improved agronomic practices and new technologies

• Promote consumption of fruits/vegetables in fresh and processed form

3.3.5.2 Programmes

Major Programmes & activities of the National Horticulture Boards are as follows:

• Development of Commercial Horticulture through Production and Post Harvest Management

• Capital Investment Subsidy for Construction/Modernization/ Expansion of Cold Storages and Storages for Horticulture Produce

• Technology Development and Transfer for Promotion of Horticulture • Market Information Service for Horticultural Crops

• Horticulture Promotion Services • Strengthening Capabilities of NHB

Details of programmes and cost norms are given in Annexure-3.5.

3.3.5.3 Budgetary allocation

Against an outlay of Rs. 585.0 crores an expenditure of Rs. 381.3 crores (65.2%) has been incurred.

3.3.5.4 Achievements

The achievements under various programmes are given below:

i. Commercial horticulture through production and post harvest management: Assistance

was provided to 9,653 (Nos.) units and subsidy amount of Rs 170.82 crores released. In addition, letter of Intent (LOI) were issued to around 1.10 lakh projects, which may mature during the course of time. Year wise details of projects sanctioned are given in Table 3.10.

Table 3.10 Commercial horticulture through production, post harvest management and construction/expansion/modernization of cold storage

Year No. of projects Amount of subsidy (Rs. In crores)

No. of projects Amount of subsidy (Rs. In crores) 2003-2004 940 19.29 353 60.79 2004-2005 979 26.02 308 73.83 2005-2006 4781 72.68 116 32.85 2006-2007 (as on 22.12.2006) 2923 52.83 54 4.11

ii. 831 (Nos.) projects approved for construction/modernization/ expansion of cold storages and storages for Horticulture Produce. Details are given in Table 10.

iii. Assistance provided for technology development and transfer of technology for production of horticulture produce. 937 projects/ events sanctioned involving a subsidy amount of Rs. 10.21 crores.

iv. 36 market centers established for collecting and disseminating information on daily basis in respect of fruits and vegetables. A CD-ROM on horticulture brought out for the benefit of public.

3.3.5.5 Constraints

• Inadequate manpower to handle large projects in States. Similarly, in the North Eastern States, NHB has only one office at Guwahati with limited man-power. Whereas because of complexity of the area and the large number of states, there is problem of monitoring of projects.

3.3.5.6 Suggestions and future thrusts

• There are many components/ Schemes which are being under taken both by National Horticulture Mission/ Technology Mission for North East Region. Therefore there is need to reorient such programmes as to avoid overlapping.

• To meet increasing load of work there is need to strengthen man power in specialized area.

• NHB to confine itself post harvest activities.

ii) Technical

• Promotion of Good Agricultural Practices (GAP)

• Organizing Grower’s Associations and Promotion of Producer Groups/ SHGs • Certification of horticulture nurseries

iii) Financial

• There is need to reassess the pattern of assistance under different Schemes keeping in view increasing costs.

• Under development of Commercial Horticulture Scheme following changes are proposed:

• Back-ended capital investment subsidy @ 20% of the total project cost with a maximum limit of Rs 50.00 lakh per project. However, for the North-Eastern/ Tribal/Hilly Areas, maximum limit of subsidy would be Rs 60.00 lakh per project.

• For the projects pertaining to the floriculture sector, enhanced back-ended capital investment subsidy @ 25% of the project cost with a maximum ceiling of Rs 60.00 lakh per project.

• For the women entrepreneurs who are the sole owners of the land, back-ended capital investment subsidy @ 30% of the project cost with a maximum ceiling of Rs 50.00 lakh per project. However, for the North-Eastern/ Tribal/Hilly Areas, maximum limit of subsidy would be Rs 60.00 lakh per project.

• Under Capital Investment Subsidy Scheme for Construction/ Expansion/ Modernization of Cold Storages/Storages it is proposed to that:

• For the projects in the North-Eastern States and special category states/UTs subsidy may be provided @ 33.33% of the project cost with a maximum subsidy not exceeding Rs 80.00 lakh. The unit cost in the case of cold storages in these States would be Rs 5,000/- per MT.

• The unit cost for Controlled/Modified Atmosphere (CA/MA) stores would be considered @ Rs 32,000 per MT where the project size is upto 250 MT with a maximum cost ceiling of Rs 80.00 lakh and @ Rs 22,000 per MT, for projects upto 500 metric tonnes capacity with a cost ceiling of Rs 110 lakh. The quantum of subsidy for CA/MA store would be kept at 25% of the project cost as already provided under the scheme subject to the condition that project up to a capacity of one lakh metric tonne only be supported.

3.3.5.7. Conclusions

The National Horticulture Board was launched with the sole objective of promoting post harvest infrastructure of horticultural crops in the country. However, in due course of period the Board’s programme some how got diluted resulting in deviation from its identified objectives. It is felt that the National Horticulture Board should confine it self to implementing and only over viewing infrastructure development with regards to post harvest management, marketing, database and market information.

The National Horticulture Board is not recommended to be continued in its present form. In view of launching of Technology Mission for Integrated Development of Horticulture in North East & Himalayan States and National Horticulture Mission its role needs to be critically reviewed. This requires total overview of the structure of the horticulture division and various units.