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  1. 1. Manthan Topic: Sunrise States: Realizing the growth potential of North-East ROUTES TO ROOTS An indigenous model to empower North East India Team Details Akash Purohit ; Manu Bajaj ; Mukesh Rawat ; Sruti Sriram ; Supriy Ranjan
  2. 2. • I dia s e port olu e : $2 . illio • North East s share : $0.01 billion • I dia s North east regio has 9% of geographi al area a d o tri utes 3% to the ou tr s GDP. • About 98% of regio s orders for I dia's i ter atio al ou daries. • Unfriendly trade environment is making the trade expensive . The field survey shows transaction costs at Land custom stations are very high, which vary between 2500 -500 INR per transaction • Informal/illegal trade between Bangladesh and India accounts to ¾ of the regular trade.
  3. 3. Developing north east as an export hub through specific infrastructure development in the region. Overview of the solution proposed Developing NER as a centre for Horticulture and floriculture produce 70% of people are presently employed in agro-based work. The climatic condition of the region is highly conducive towards development of this industry. Opening up of mechanized industries in the region would disturb the social fabric of the tribals. Low investment and environmental friendly. Implementation model Identification of region specific horticulture and floriculture produce. Setting up of seed banks keeping in mind the variety meant for export. Declaration of MSP and the establishment of localized procurement processing and storage facilities. Agro based vocational education to be imparted.
  4. 4. Advantages over the existing model It would cater to the needs of the 14 million people unemployed in the next decade by providing self employment. Scheme aims to develop both the physical infrastructure and capacity to use it. Proper exploitation of climate and terrain in an eco- sensitive manner . Scheme focuses on primary sector hence it will affect the people at the grassroot level directly.
  5. 5. Physical infrastructure Will cater to the infrastructural demand in the production,processing and transportation stages of the agro produced. Capacity Building Emphasis on imparting agro based technical skills so as to enhance the capacity and skill of the masses for the optimum utilization of infrastructure. Allied industries Development of handicraft and animal husbandry as a supporting industry.
  6. 6. R&D by agricultural university for the development of export variety sapling. Encourage cultivators to change land use pattern and adopt terrace Farming. Declare MSP as a confidence building Measure. Panchayat level set up procurement centers Horticulture and Floriculture goods with direct payment mode. Minimum one government storage and processing unit at district level  Roadways • Connecting export centres to cold storage and processing units by 2/4 lane highways. • Interconnection of state capitals • Extension of east west corridor from Silchar to Chittagong via Sabroom (Southern Tripura)  Railways • Connectivity of Southern north east with Chittagong port via Sabroom. • Penetration of railways to Palel in Manipur to cater to the needs of exporting town of Moreh.  Airways • Development of Imphal airport as an international airport which will serve as a export point for Horticulture and Floriculture.
  7. 7. Technical skills and capacity building • Distribution of High Yielding Variety (HYV) seeds. • Subsidy on organic fertilizers. • Seed banks and vocational centers at Community level. • Compulsory welfare services for a minimum period of 1 year by the students of Agricultural universities. Seed Revolution •Rainwater harvesting : creation of surface storage tanks. •State subsidies on drip irrigation. •Making efficient network of canals. Irrigation •Efficient application of SHG schemes and their proper robust connectivity with banks at block level. Self Help Group
  8. 8. Diversification of export basket by exploiting the handicraft and animal husbandry industry Handicraft and Handlooms • Mass production of handicraft based on the Thailand model of targeted one village one product system. • Efficient procurement of handicrafts and artefa ts through ri h et ork of Shilp Kala Ke dras . • Marketting of handicrafts at global level by organizing international events,cultural fairs and exchange programmes in the NER. • Setting up north east specific cultural and research centres both in india and at the global level. • Standardization of handicrafts to protect them from similar produce from mills in ludhiana and jalandhar . Animal husbandry Poor availability of fodder in NER and uneconomical demand of meat in Southeast Asia makes export of fish and flesh unviable.however they need to be developed for huge internal demand. EXPORT purpose : Industries like honey rearing, sericulture and wool rearing have a bright future owing to the fact that NER is a bio-diversity hotspot and the climatic condition are very conducive to it. they should be encouraged by capitalising the infrastructure development of the scheme with state incentives. DOMESTIC demand : Develop indegenious pisciculture and poultry farms to make it self sufficient and not dependent on the mainland india.
  9. 9. Allied sectors benefitting from the model • A great boost to tourism industry by way of opening of an international airport. • Penetration of rail and road in deeper pocket which can be tourist hotspot. TOURISM • The rich connectivity of roads to the interior region would help in delivering better health care facilities. • High growth of herbs and other medicinal plants can be used to research and develop new ayurvedic medicines and internally circulated. HEALTH CARE • Development of large number of agro based trade and export centers would ultimately result in creation of job avenues. This would lead to the development of global agro based research institutes. • The robust infrastructure development would also cater to the security and the strategic demands of the nation. EDUCATION AND EMPLOYMENT
  10. 10. Drawbacks of the Model For coming years, in order to strengthen the regional capacity and integration, an exclusive approach would be needed from center and NER states. The benefits may not be encashed in short term, but the economic prosperity and intrinsic sufficiency will be a huge dividend to the exchequer and in turn contribute in building regional capacity. The challenges to internal security and the conducive environment for drug smuggling plays a major a major hindrance to the scheme. This can be tackled by rigorous awareness and rehabilitation camps with assurance of economic stability.
  11. 11. Appendix • Indian Chambers of Commerce Report 2013 (by price water house cooper) • Research and information system, Ministry of Development of North-East Region (North-East Council, Oct 2011). • Report of the committe on informal cross border trade, Ministry of Commerce. • Look East Policy and the North Eastern States,(mdoner,GOI). • North Eastern Region Vision 2020 (mdoner,GOI). • North Eastern Industrial and Investment Policy(NEIPP) 2007,deptt. Of Industrial Policy and Promotion,Ministry of comm.,GOI • Export potential of horticulture products from north eastern India, agricultural and processed food products export development authority,2008.