Country's food import could rise to 20 MT by 2012: ADB report
Asian Development Bank today warned that India's foodgrain import could rise to 20 million tons by 2012 if adequate efforts were not taken to augment the output.
By PTI |
LONDON: Asian Development Bank on Monday warned that India's foodgrain import could rise to 20 million tons by 2012 if adequate efforts were not taken to augment the output.
"It is projected that foodgrains demand in India would grow at 22.5 per cent per annum during the 2007-2012 Five-Year Plan period, by the end of which import demand may exceed 20 million tons if the stagnation in cereal yield growth continues," ADB's recent study on Food Price and Inflation in Developing Asia stated.
Pointing out that the availability of cereals driven by market forces has been declining, the report said surplus output of rice and wheat during 1998-2002 turned into deficit by 2006 and the per capita foodgrain output fell to the 1970s level, leading to higher imports though India remained a net exporter in 2007.
Increasing demand and slower growth in domestic output can increase dependence on imports, the report said, adding that "food imports to sustain domestic consumption may not suffice in the changing global food scenario".
As regards edible oils, the ADB report said more than 40 per cent of the country's domestic demand is being met through imports. "Increasing demand and slower growth in domestic output can increase dependence on imports," it added.
The report, however, said that with appropriate policy initiatives "India can indeed leapfrog into an era of high productivity in the medium term of 23 years. If all the states successfully tapped their yield potential, they would produce an additional 13 million tons of wheat and 19 million tons of rice, equivalent to 19 per cent and 20 per cent of their current production".
"It is projected that foodgrains demand in India would grow at 22.5 per cent per annum during the 2007-2012 Five-Year Plan period, by the end of which import demand may exceed 20 million tons if the stagnation in cereal yield growth continues," ADB's recent study on Food Price and Inflation in Developing Asia stated.
Pointing out that the availability of cereals driven by market forces has been declining, the report said surplus output of rice and wheat during 1998-2002 turned into deficit by 2006 and the per capita foodgrain output fell to the 1970s level, leading to higher imports though India remained a net exporter in 2007.
Increasing demand and slower growth in domestic output can increase dependence on imports, the report said, adding that "food imports to sustain domestic consumption may not suffice in the changing global food scenario".
As regards edible oils, the ADB report said more than 40 per cent of the country's domestic demand is being met through imports. "Increasing demand and slower growth in domestic output can increase dependence on imports," it added.
The report, however, said that with appropriate policy initiatives "India can indeed leapfrog into an era of high productivity in the medium term of 23 years. If all the states successfully tapped their yield potential, they would produce an additional 13 million tons of wheat and 19 million tons of rice, equivalent to 19 per cent and 20 per cent of their current production".
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