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Agricultural Infrastructures in Manipur (November 20) PART 2
A concrete strategy to strengthen called for in the Tenth Plan
By Dr. N.Mohendro Singh

Interestingly, the regional total of Schematic Lending of the NABARD in the North-East was only Rs.965.35 crores in March 2000 as against Rs.13299.67 crores in the Southern Region. A closer look reveals that except Assam, other states in the region, it appears, fail to secure financial support for investment in minor irrigation, farm mechanization and construction of marketing yards. 

In the same fashion, under Rural Infrastructure Development Fund (RIDF) Assam gets 113 crores, Meghalaya Rs 15 crores, Mizoram Rs 11 Crores, Nagaland Rs 6.43 crores as against Rs. 723 crores of Andhra Pradesh in March 2001.

There is a need for a fresh initiative for watershed and wasteland development. In fact the "watershed intervention" should be location and area specific. Unfortunately most projects cannot deliver because of two reasons (a) strict orientation to physical targets and (b) failure to enlist people's participation. What beneficiaries are right from the first stage of preparation of the project nned to be figured out. Extensive broad-based interface and consultation should be really inspiring. The participatory method should be governed by a new sense of transparency and accountability. The functionary of the government work " with" the people and not "for" the people.

Credit: 

Another concern is rising proportion of monetized inputs. The weight of fertilizers, pesticides and diesel that accounted for a mere 14.9 percent of total inputs in 1970-71 in the country increased to 55.1 percent in 1994-95. For a large farmer in commercialized region it could be as high 70 percent and in the absence of increasing public investment or public financial support the implications are resource squeeze in agriculture. Whereas the need for resource to purchase these inputs has been increasing, the marketable surplus has been, if any, very marginal, as the growth of non-farm sector has become very sluggish. 

Out of 8,771 small Units in Manipur, 2707(30.86 p.c.) are found sick (RBI, Report on Currency and Finance, 1997-98). Out of 79, 555 Micro Enterprises in the State, 74,502 (93.52 p.c.) are running without profit. In fact there is less encouraging trend of "occupational multiplicity". Of course, there is also a need for a better "factor productivity" or for a new technological breakthrough, which would cut "cash roots"; implies less incremental resulting in less recovery percentage of outstanding percentage of outstanding amount. 

The recovery performance of the Manipur State Cooperative Bank could be 4 percent in 1998-99, - the lowest in the country. Mizoram follows with 22 percent. Nagaland does better with 31 percent. Haryana tops with recovery percentage of 99.

The question is how far the institutional finance can raise the efficiency at the level of the farm activity. How far the scope, the scale, and the skill of the agricultural sector can be raised to meet the changing imperative of global competition?  What is the possible model of the structural change in the farm sector? At the moment there is less conductive linkage between the two worlds of unorganized and highly individualized profession and highly organized financial market. Attention may be given to issues of "social organization" on economic principles to enrich "collective capacity", not only for "credit intervention " but also for all kinds of interventions.

Rural road: 

What about rural roads? The Road density (Length of Road per 1000 sq.km) of Manipur is 387 as against 828, all India Average. The Hill District which account for 90 percent of the total geographical area of the state have very low road density ranging from 208 in Ukhrul to 402 in Senapati. Only 21.33 percent of Rural Roads (4078 kms) are surfaced and 78.66 percent unsurfaced in Manipur. 

Practically all roads are single-lane weak culverts and minor bridges. Landslides are a frequent in all hill regions not only in Manipur but also in all hilly states of the North East. The steep gradients, low water retention capacity of soil, consolidation of surface rocks and their soft nature make the region vulnerable to weathering and landslides. The denudations of forest area due to jhum cultivation which add to the instability of the slope. 

In  the absence of all weather roads, the rural sector remains visibly deprived of the new turn of increasing productivity, innovation and exciting market linkages. Perhaps, the development of rural roads and village connectivity is the most crucial infrastructure for any strategic agriculture planning in the region.

Another area that calls for a new attention is development and dissemination of agricultural technologies. The farming communities should be inspired to take fuller advantages of agricultural research centers and other extension services. There is a strong belief that "the quality of agricultural research effort has weakened while the extension has virtually collapsed" [Draft Approach Paper to the Tenth Five Year Plan (2002-2007)]. The North-Eastern region needs more research program and better extension services.

Reference may be made to the conditions of warehousing and storage facilities in the region. They are important from the angle of efficient input-delivery and output-scale. The rural marketing networks are in a state of disarray. As a matter of fact when the co-operative system has virtually collapsed in the unhealthy atmosphere of "in breeding" and "vested interest" one can hardly look forward to better rural marketing networks. Out of 452 Central Warehousing, only 6 in Assam and 2 in Tripura and found. Of course Assam Government is running 40 warehouses. There are 262 co-operative godowns in Assam, 18 in Manipur, 59 in Meghalaya, 5 in Mizoram, 14 in Nagaland and 19 in Tripura.

Now, there are enough evidences of multiple handicaps leading to the survival-oriented agricultural production. The size of operational holding is small. Irrigation is poor. Credit is shy. Technology is out-dated. Village roads are in bad shape. Institutional support is low. The farmers are not educated. The performances of Research and Development are limited. Extension-service is quality limited. Rural marketing is in disarray. Co-operative system has virtually collapsed. As such mono-cropping is not a surprise.

Thus it is hight time for the North-East to reassess the existing status of agricultural infrastructure, identify the constraint, suggest practical remedies and ultimately prepare time-bound action plans keeping in view the fact that globalization begins at home. May I suggest an Agriculture Task Force whose commitment is rooted in domestic instruction to undertake Agricultural Mission in the region? A new design of Public-Private-Partnership (PPP) could certainly be a hopeful perceptible process of development.

(The writer is professor, department of economics, Manipur University).

(Courtesy: The Imphal Free Press)

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