• HLEG was set up to recommend measurable performance incentives for States to encourage agricultural exports and to promote crops to enable high import substitution.
Key findings of HLEG:
• Agricultural export has potential to grow from USD 40 billion in FY19 to USD 70 billion in a few years.
• It will create an estimated 7-10 million jobs and enhance farmer income.
• Estimated investment of around USD 8-10 billion across inputs, infrastructure, processing and demand enablers.
Major recommendations:
• Focus on 22 crop value chains – demand driven approach.
• Solve Value Chain Clusters holistically with focus on value addition.
• Create State led export plan with participation from stakeholders. Centre should enable state-led plans.
• Private sector should play an anchor role in driving outcomes and execution.
• Robust institutional mechanism to fund and support implementation.
• Funding through convergence of existing schemes, Finance Commission allocation and
private sector investment.
• Centre introduced an Agriculture Export Policy in 2018 with an aim to double exports ($30 billion to 60 billion by 2022), Diversify export basket, pursuing market access, integration with global value chain etc.
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Mains Paper 3: Economy
Prelims level: high-level group on agricultural exports
Mains level: 5th finance commission’s high-level group on agricultural exports submits report