Despite standing apart from the mainstream of agricultural development, organic agriculture is penetrating farmlands of India, slowly but surely.
It is indeed remarkable that the organic model in its modern form (ie, “certified organic”) has found acceptance among diverse categories of agriculturists operating in different parts of India, under varied agro-ecological and financial conditions and often with diverse objectives.
Equally diverse are the organisational frameworks that have facilitated the growth of this ecological farming technology.
The organisational structures supporting smallholder organic agriculture in India fall into four categories:
- Farmers organised by a company.
- Farmers operating under NGO initiatives.
- Farmers organised or facilitated by government.
- Farmers who have formed their own organisations (cooperatives, associations, self-help groups, etc).
In many instances, however, these basic organisational forms co-exist with one another, giving rise to more complex structures.
Since organic farming has been successful under a number of institutional arrangements, it is hardly possible to prescribe a “one-size-fits-all” organisational framework for its further development.
Nevertheless, some form of support structure is important especially for resource-poor small farmers to successfully venture into organic farming.
The main reason for this is the financial and other obstacles confronting farmers in the initial phase of a switchover from non-organic to organic farming.
This rather difficult phase is called “conversion”, in the terminology of modern organic farming, which is a highly regulated form of ecological agriculture that adheres to legally defined standards and norms of production, processing and labelling.
In order to qualify for the “certified organic” label, a farm must not only conform to the stipulations laid down in organic standards, it also has to acquire a certificate from an independent certification body (recognised in the targeted market) to establish the authenticity of its produce.
The conversion period is basically the time between the start of organic management and the certification of crops or animal husbandry as organic. It is the time taken to neutralise chemical residues, if any, left behind in the soil by practised agricultural techniques.
This intermediate phase is also meant to build up the overall health of the individual farm’s soil -- microbe, plant, animal system -- through techniques of organic farming.
Unlike conventional agriculture where standardised chemical inputs are used, organic farming management does not depend on a uniform strategy.
Instead, appropriate field management practices have to be developed and improvised depending on the particular case and nature of locally available inputs, because organic farming aims at creating a closed system wherein most of the inputs are generated either from within the farm or from locally available resources (preferably renewable).
Organic agriculture is therefore often called “knowledge-based” rather than “input-based” agriculture. It is the knowledge-intensive nature of organic farming that calls for systematic training of farmers undergoing conversion.
The standard duration of the conversion period for annual crops is 24 months; for perennials it extends up to 36 months. However, the certification authority has the discretion of extending or reducing the duration of the conversion period depending on ecological conditions on the farm undergoing conversion. This is often contingent upon the agricultural technology followed during the pre-conversion phase.
Difficult phase
The conversion period may turn out to be a difficult phase for the farmer owing to several direct and indirect costs involved in the process.
As far as the yield behaviour of farms undergoing conversion is concerned, it largely depends on the agricultural practices followed before conversion.
Conversion from a traditional low-external-input system of cultivation rarely results in lower yields. However, when switching from external-input-intensive forms of agriculture, yields may decline significantly, at least in the initial years of conversion, until the natural soil tilth and fertility are sufficiently developed. After that, they may stabilise at comparable, lower or even higher levels depending on the efficacy of organic management, quality of organic fertilisers applied, etc.
Replacement of external inputs (under conventional farming) by internal farm-derived resources generally leads to a reduction in variable input costs on an established organic farm. However, the initial stages of conversion involve several new investments (in machinery, storage, establishment of soil fertility-building mechanisms, etc).
Moreover, since organic techniques often turn out to be more labour intensive, wage costs may increase. Costs may also arise from information and knowledge gathering and in acquiring certification and labelling from an established certification agency. The latter could be prohibitive for small farmers unless alternatives like small farmers’ group certification and internal control systems for farmers exist.
Another problem in the certification procedure is the enormous amount of mandatory documentation involved, often too cumbersome especially for illiterate small farmers. What makes life more difficult for a converting farmer is his inability to sell produce at a premium price because, during the official transition period, products cannot be sold as “organic”.
“Organic in conversion” products can, at best, fetch prices slightly higher than those of conventional produce. Another major difficulty arises from marketing, especially for the export market.
The mechanism of organic marketing is quite different from that of regular marketing. Careful selection and development of target markets and distribution channels are of utmost importance. Such marketing not only requires additional costs but also specialised skills, know-how and experience -- all of which unorganised individual farmers are usually incapable of developing.
Moreover, reliable market information (on organic products, trade, trends, quality requirements, and prices), is often outside the reach of farmers.
Around 85% (according to a rough estimate) of total organic production in the country heads for the export market. The domestic market for organics is thus undeveloped in India. Lack of domestic marketing channels adds to the difficulties faced by organic or under-conversion farmers in accessing export markets.
Institutional support
India has tremendous potential, largely untapped, for a major breakthrough in organic agriculture. Some of the major obstacles to faster growth in organic agriculture in this country have been described above. Given these problems, a strong organisational support structure is a prerequisite for further penetration of organic agriculture into India.
Some areas that warrant appropriate institutional support are:
- Systematic training in organic agriculture management, and an effective extension network capable of providing adequate technical advice to farmers.
- A low-cost, hassle-free certification process and technical assistance for record-keeping.
- An enabling scenario for small farmers’ group certification, internal control system, etc, wherever necessary.
- Dissemination of market information and establishment of marketing channels, both domestic as well as international.
- Managing contacts and transactions with processors, exporters and other intermediaries.
While some of these support systems may come from NGO initiatives or from companies undertaking contract farming, the importance of government intervention in some form cannot be overemphasised.
The initial expenses for conversion, especially from chemical-intensive farming, may be easy to overcome if financial support is given to small farmers. Hence, a well-thought-out subsidy and other support schemes need to be designed.
Until now, government-supported research initiatives and extension services in India have displayed a blatant bias towards green revolution technology. This needs to change in order to create a level playing field for organics.
Rigorous scientific research should be promoted under the Indian Council for Agricultural Research institutions to develop better management techniques and crop varieties suitable for organic farming.
Special emphasis should be given to research in the context of dryland and mountainous regions of the country, where organic farming has huge potential to increase agricultural productivity.
While some capacity-building initiatives have, of late, been undertaken by the Ministry of Agriculture, under the National Project on Organic Farming (NPOF), they appear to be too insignificant to make any real impact.
Organic agriculture has predominantly been viewed by the government as a means of earning export revenue rather than an alternative model of agricultural development. Therefore, it is primarily a subject under the purview of the Ministry of Commerce rather than the Ministry of Agriculture. This approach needs to change.
Substantial public investments are needed to generate awareness about organic products, and to explore various domestic marketing channels (weekly farmers’ markets, buyer-seller meets, organic fairs, etc).
Role of the state
Even where organic farming is facilitated without any direct government initiative the state still has an important role to play, for the following reasons:
- NGOs may not always have the necessary business skills to succeed in marketing. In such situations, collaborations between NGOs and governments may prove effective.
- Companies involved in contract farming arrangements with organic farmers are extremely effective and skilful at reaching organic markets. However, there may be a trade-off between the profit motives of the private company and the best interests of farmers. Hence, it is extremely important that the state creates an appropriate legal framework to enforce contracts and provide trustworthy and effective arbitration that are in the best interests of poor and unorganised farmers.
- Farmers’ organisations have been found to be extremely beneficial in upholding the interests of farmers. However, they require considerable support on a number of levels, including start-up costs, operational expenses, training and marketing. The government or NGO sector may assist in these respects.
Organic agriculture may also flourish under direct government involvement. While it has suffered neglect by the central government, a number of state governments have made significant strides in organic farming. The governments of the mountainous states of Sikkim, Mizoram and Uttarakhand have undertaken initiatives to turn their states into “fully organic” states. State government initiatives in some form have also been developed in Karnataka, Madhya Pradesh, Arunachal Pradesh, Meghalaya, Punjab, etc.
Under the Uttarakhand organic initiative, a multi-pronged strategy, the organic model has been promoted not only as an agricultural technology but also as an integral part of several rural development projects. While exports are not outside the purview of this initiative, significant emphasis has also been placed on domestic market development.
Although it is too early to comment on this programme, if implemented successfully the project could become a role model for state-driven organic development in India.
(This article originally appeared in Economic and Political Weekly, June 16, 2007. Available online at: http://www.epw.org.in/epw/uploads/articles/10724.pdf. The views in this article are personal) |
