4.9 MARKETING :

It is well recognised that proper marketing strategies will be key in determining the growth of the sector. This is particularly true of agro produce, which is perishable, variable and seasonal in nature. Domestic markets will need to be developed simultaneously with export markets, for sustainable growth of the sector.

To promote competitiveness and efficiency in the marketing chain, the State Government will encourage standardization, grading and setting up of world class testing facilities accredited by internationally acceptable agencies, national/regional commodity exchanges, auction houses, terminal market, retail chains, etc. Most of these facilities would be created as part of agri infrastructure either by co-operative sector or through private initiative and government facilitation.

4.9.1

AGRI CO-OPERATIVES :

The State has a wide network of co-op, societies in dairy, fruits & vegetables and other agricultural commodities. These co-op, societies play a pivotal role in extension, financing and marketing agricultural produce. The present arrangement, however, has proved inadequate in the new market environment.

The Co-op. Societies Act will be suitably amended to enable cooperative societies to participate in equity with limited companies/ private entrepreneurs to promote joint/ associate sector projects as per the recommendations of Dr. Y. K. Alagh Committee appointed by Government of India. It is also under consideration to introduce the element of competition in Agricultural marketing by permitting direct marketing, auction center by NDDB and private markets.

4.9.2

NATIONAL MULTI COMMODITY EXCHANGE :

Government of India has liberalized futures trading in almost all the agricultural commodities with a view to provide opportunity for trading in multi commodities. The State Government has supported in setting up of Online Multi Commodity Exchange in the State, with total investment of Rs. 24.00 Crores, wherein investment of the State Government would be 11% from GAIC and 5% from Gujarat Agricultural Marketing Board. The commodity exchange has been set up in the State in the name and style of National Multi Commodity Exchange of India Ltd., and has commenced functioning at Ahmedabad. This exchange will help the farmers to plan their production, sales and realization of better prices by way of trading through warehouse receipts.

4.9.3

QUALITY ASSURANCE :

Micro Agro Units, Tiny Units and Small Scale Units will be encouraged to produce to internationally acceptable quality certification standards like HACCP or similar quality certification recognised by importing countries to encourage exports of products from Gujarat. The Government will provide financial assistance upto 50% of the cost, subject to ceiling of Rs.5.00 lacs.

4.9.4

PATENT REGISTRATION ASSISTANCE :

The State Government will encourage individual organisation in government, private or cooperative sector in patent registration by providing financial
assistance of 50% cost of Patent Registration within a ceiling of Rs.5.00 lacs.

4.9.5

STANDARDS AND GRADING :

With opening up of economy and globalisation under WTO regime, it has become imperative to grade and standardise agri and horticulture products of the State on the basis of international standards. The State would formulate such standards and grading and develop regulatory mechanism for the same.

4.9.6

GENERIC PROMOTION OF KEY CROPS :

The State Government will pro-actively promote global positioning of crops in which it has preeminent position in world market through generic promotion, participation in exhibition abroad & creating brand for agro products of Gujarat special campaign shall be undertaken in targeted international market in association with APEDA, progressive farmers, farmers cooperatives, exporters & agri processors. The targeted crops are castor oil derivatives, isabgul (Psyllium husk), banana, ground nut and sesame seed.

4.9.7

FOOD RETAILING:

World over food retailing chains have been key drivers in the food chain by agglomerating demand and streamlining the supply chain with regard to quality, standard, packaging, and pricing. Such chains exert considerable influence for producing what is in demand and reducing losses and cutting costs all across the supply chain.

Gujarat Government will encourage setting up chain of retail outlets in Gujarat as a crucial link between consumers and producers. The support will be in the form of speedy approvals for land allocation, financial contributions to project costs, facilitation of infrastructure, for fresh produce segment, in particular.

4.9.8

FOOD PARK

Food Parks are the industrial estates specifically for setting up of food processing industries. Development of Food park intends to enable particularly small and medium scale food enterprises to attain viability by defraying cost of major common facilities such as R&D, Laboratory, Cold Storages, warehousing, pack houses, food testing and analysis lab, effluent treatment plant, common processing facilities, power, water supply, etc.

The State Government has contemplated to set up first of its kind Food Park through private entrepreneurs at Dahej and Hazira by innovative use of cold energy generated from regassification of LNG so as to provide low cost refrigeration to the processing units, cold storages and pack houses. A Food Park at Mundra is also proposed adjoining to SEZ.

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