Food Processing Industry: Issues and Developments

Hidden Costs of Agri-Food Systems  

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Not Much

Mains level: Agri-Food Systems

Central Idea

  • A recent United Nations Food and Agriculture Organization (FAO) report highlights the enormous hidden costs of global agri-food systems, totalling over $10 trillion.
  • In countries like India, these costs, amounting to nearly 11% of GDP, manifest in various forms such as increased poverty, environmental damage, and health issues.
  • The report suggests a transformation of agri-food systems, advocating for multi-cropping systems as a solution to enhance farmer well-being, community nutrition, and ecological health.

About Agri-Food Systems 

  • “Agri-food systems” refer to the complex network of activities, processes, and actors involved in the production, processing, distribution, and consumption of food.
  • This system encompasses everything from agricultural production (farming) to the final food products consumed by individuals.

Intensive Agriculture: Impacts and Trends

  • Green Revolution Legacy: India’s agricultural productivity boost over the past five decades has largely been due to mono-cropping and chemical-intensive farming, particularly in paddy and wheat cultivation.
  • Nutritional and Ecological Consequences: This shift has led to a decline in crop diversity, impacting household nutrition and causing ecological issues like groundwater depletion.
  • Economic Viability: The privatization of agricultural inputs has increased farmer indebtedness, making agriculture increasingly unviable in India.

Crop Favoritism and Food Security Concerns

  • Public Distribution System (PDS): The National Food Security Act 2013 ensures food security for a significant portion of the Indian population, but the procurement policy heavily favours rice and wheat.
  • Decline in Coarse Grains: The focus on rice and wheat has led to a reduction in the cultivation of nutritionally rich coarse grains.
  • Water-Intensive Crops: Policies have also encouraged the cultivation of water-intensive cash crops like sugarcane, impacting biodiversity and water resources.
  • Impact of Global Trade: International market fluctuations and trade relations have historically influenced food production systems in countries like India, affecting local agricultural practices and crop choices.

Promise of Crop Diversification

  • Agroecology Principles: Multi-cropping systems, rooted in agroecology, can revitalize land and soil health while providing diverse crop yields.
  • Ecosystem Services: These systems offer multiple benefits, including cash provision, food production, and ecosystem services like nitrogen fixation and biodiversity support.
  • Nutritional and Environmental Benefits: Diversified farming can improve soil health and provide a more nutritious food basket, addressing the hidden costs of current agricultural practices.

Challenges and Transition Strategies

  • Gradual Transition: A systematic shift from mono-cultivation to diversified farming is necessary, involving stages like non-pesticide management and natural farming practices.
  • Economic Modelling: Preliminary economic models suggest that diversified farming can sustain farm incomes and improve ecological outcomes in both the short and long term.
  • Addressing Transition Challenges: Overcoming hurdles related to local seeds, market access, labor requirements, and institutional support is crucial for a successful transition.

Conclusion

  • The FAO report underscores the urgent need to transform agri-food systems to address their hidden costs.
  • Multi-cropping systems offer a viable path forward, promising to enhance ecological health, farmer well-being, and community nutrition.
  • However, this transition requires concerted efforts from various stakeholders, including institutions, policymakers, and farmers, to create economic incentives and support mechanisms for adopting sustainable agricultural practices.

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