Punjab Basmati Rice: A Need to Explore its Production and Export Potential Jagshand Singh Chhina, Bhupinder Singh and Narinderpal Singh* (PAU, RRS, Gurdaspur and FASS, Amritsar)
Introduction Basmati rice is characterized by superfine, extra long grains having a length breadth ratio more than 3.5 with extra elongation and least breadth wise swelling on cooking. Basmati grains contain 0.09 parts per million of the chemical compound 2-acetyl2 acetyl-1-pyrroline, which is about 12 times more than concentrations found in unscented rice varieties, which gives it distinctive spicy fragrance.
Objectives of the study To examine the production of Basmati rice in the study area. To study the export potential of Basmati rice. To develop the policy implications.
METHODOLOGY The study (2005-06) 06) was based on both primary and secondary data and focused in districts of Amritsar and Gurdaspur. A multi stage, random sampling technique was adopted for selecting the study sample. Two blocks from each district were selected and then three villages from each block, resulting into choosing a total of 12 villages in all.
Selection of sample in district Amritsar (Block) Ajnala (Village) Bhullar B. grower =78 Sample = 8 Bhalapind B. grower =54 Sample = 6 Boparai B. grower =54 Sample = 6
Selection of sample in district Amritsar (Block) Amritsar-1 (Village) Mudhal B. grower =75 Sample = 7 Ballian Manjpur B. grower =67 Sample = 7 Talwandi Ghuman B. grower =62 Sample = 6
Selection of sample in district Gurdaspur (Block) Gurdaspur (Village) Lakhowal B. grower =55 Sample = 6 Ammipur B. grower =72 Sample = 7 Bhullechack B. grower =68 Sample = 7
Selection of sample in district Gurdaspur (Block) Batala (Village) Ammo Nangal B. grower =61 Sample = 6 Dhalla B. grower =82 Sample = 8 Mararr B. grower =71 Sample = 7
Categories and sample size Category Small Area (Hac) < 2.1 Sample size (No of farmers) 39 Medium 2.1 to 4.3 31 Large > 4.3 9
METHODOLOGY The values of the intercept a and regression co-efficient b have been estimated by using least square method as given below: Yt = a + bt Where; Yt =Production/export/import values of basmati considered in year t a = Intercept b = Regression coefficients with respect to input variables Compound growth rates of basmati export were computed using the following log linear equation; Yt= αβt eu Or Log Yt = log α + t log β + U CGR = (β 1) 100 Where; Yt = Volume of export of basmati in year t αβ = Regression coefficients U = Random term
Table 1. Regression Coefficient For Basmati Rice on Sample Farms, Punjab (2005-06) 06) Regression parameter Small Farms Medium Farms Large Farms Overall Farms Intercept Area (ha) Human labour (Rs./ha) Farm Machinery (Rs./ha) Irrigation (Rs. /ha) Seeds (Rs./ha) Manures and Fertilizers (Rs/ha) Plant Protection (Rs/ha) 3.475 (1.492) 0.466 (0.231) -0.053 (0.102) 0.329 (0.198) -0.077 (0.157) 0.007 (0.015) 0.227 (0.111) 0.142 (0.084) Sum of electricity 1.019 1.069 1.097 1.046 R 2 0.873 0.835 0.827 0.817 Figure in parenthesis represents the standard errors. 5.319 (1.583) 0.235 (0.103) 0.103 (0.211) 0.432 (0.198) 0.054 (0.142) -0.109 (0.206) 0.283 (0.119) 0.078 (0.042) 4.723 (1.487) 0.358 (0.149) -0.132 (0.146) 0.391 (0.213) 0.119 (0.63) 0.038 (0.052) 0.204 (0.99) 0.144 (0.079) 4.008 (1.987) 0.179 (0.073) 0.093 (0.095) 0.403 (0.212) 0.065 (0.141) 0.050 (0.126) 0.229 (0.112) 0.139 (0.78)
Table 2. Production, Consumption and Marketable Surplus of Basmati Rice on Sample Farms, Punjab (2004-05) 05) (Quintals) Category Total production Total consumption Marketable surplus Small farms 916.10 41.87 874.23 (95.43) Medium farms 1748.48 35.44 1713.04 (97.97) Large farms 1799.59 44.37 1755.22 (97.53) Overall farms 4464.2 121.68 4342.52 (97.27) Figures in parenthesis represent the per cent to total production.
Table 3. Basmati Rice Exports from India, 1980-81 81 to 1998-99. 99. Year Price Rs/ metric tonne Quantity 000 tonnes Basmati Rice exports (Rs. Million) 1980-81 3684.92 440.91 1624.73 1981-82 4739.33 548.25 2598.34 1982-83 5170.87 343.54 1776.40 1983-84 6468.75 175.66 1136.30 1984-85 6836.07 243.58 1665.13 1985-86 8018.01 244.81 1962.89 1986-87 8006.92 244.33 1962.89 1987-88 9568.51 355.28 3399.50 1988-89 9931.07 314.09 3119.25 1989-90 10392.88 309.89 4120.90 1990-91 11914.42 241.83 2081.30 1991-92 18510.64 235.00 4350.00 1992-93 24475.52 286.00 7000.00 1993-94 20129.00 524.23 10612.68 1994-95 19571.54 442.17 8653.89 1995-96 22786.95 373.31 8506.69 1996-97 23849.55 523.12 12476.34 1997-98 28430.72 592.68 16850.27 1998-99 31399.23 597.76 18769.09
Table 4. Basmati Rice Exports from India, 1980-81 81 to 1998-99. 99. Year Price Rs/ metric tonne Quantity 000 tonnes Basmati Rice exports (Rs. Million) CGR 1980-81to 1989-90 12.2103* (0.6096) 2.8943** (1.4625) 9.3215* (3.6955) CGR 1990-91to 1998-99 9.12* (2.2548) 12.86* (2.7530) 23.15* (3.5319) CGR 1980-81to 1998-99 11.7881* (0.9672) -2.5825 NS (3.6881) 15.4560* (1.4818) Basic data Source: Agricultural & Processed Food Products Export Development Authority, New Delhi.
Table 5: Recommended Basmati varieties for cultivation in Punjab Sr. No. Variety Released in Punjab Maturity duration (days) Height (cm) Av. Yield (Kg/acre) 1. Punjab Mehak 1 2009 125 100 17.0 2. Punjab Basmati 2 2008 140 125 12.6 3. Pusa B 1121 2008 137-13.7 4. Super Basmati 2003 145 113 14.0 5. Basmati 386 1995 155 180 9.0 6. Pusa Basmati 1 1990 140 100 19.0 7. Basmati 370-150 165 12.0 Source: Package of practices for Kharif crops 2009 (PAU)
Table 6: Area, average yield and production of Basmati in Amritsar district of Punjab Year Area Av. yield Production Market arrivals (000 ha) (Kg/ha) (000 MT) (000 MT) 2001-02 73 1530 112 107 2002-03 75 1449 109 123 2003-04 90 1464 132 199 2004-05 75 1463 110 121 2005-06 77 1452 112 136 2006-07 35 1506 53 114 2007-08 45 1866 84 135 2008-09 60 1900 114 436 2009-10* 94 1950 Source: CAO; DMO, Amritsar * Estimated,
Table 7: Year wise market prices of Basmati paddy in Amritsar district of Punjab (Rs/qt) Year Minimum Price Maximum Price Average Price Difference in max and min price 1995-96 700 1460 1000 760 1996-97 800 1750 1050 950 1997-98 625 2015 1350 1390 1998-99 805 2151 1478 1346 1999-00 775 1950 1346 1175 2000-01 650 1413 1150 763 2001-02 725 1444 1100 719 2002-03 837 2189 1450 1352 2003-04 701 2400 1300 1699 2004-05 721 1677 1400 956 2005-06 755 1570 1150 815 2006-07 900 2400 2000 1500 2007-08 1220 3225 2400 2005 2008-09 1000 3700 3000 2700 2009-10(up to 26.10.09) 1600 1900 1600 300 Source: DMO, Amritsar
Policy Implications It is more remunerative to increase the area under basmati rice as it will increase the returns on the farms and will also help in reducing the exploitation of under ground water. Government can demarcate specific basmati zone for its promotion and which can be protected under GI. Special incentives for the export of Basmati rice can be considered under VKGUY/ VKUI as being given to various agricultural commodities. A Basmati development board in the area with necessary infrastructure and marketing information system can be developed. Gurdaspur and Batala should be brought under the jurisdiction of Amritsar office of DGFT instead of Ludhiana due to its close proximity.