India Potato production down by 2.3%

• Potato production in India has suffered a short fall due to erratic monsoon and diseases during 2013-14 period. All India production of potato during 2013-14 has decreased by 2.3% in comparison to 2012-13.
• Potato production during 2013-14 was affected by untimely rains and late blight disease during February/March 2014.
• The price rise in potato is not solely due to reduction in production but is attributed to several factors such as:->

(i) seasonality
(ii) adverse weather conditions
(iii) cost of transportation
(iv) cold storage costs
(v) speculation on impending shortage situation

(vi) rising demand due to increasing incomes, urbanisation

• Following important steps have been taken by the Government to do away with the imbalance between demand and supply and to control the prices of potato:

(i) Minimum Export Price (MEP) of US$ 450 per MT has been imposed on potato  w.e.f. 26.06.2014. 

(ii)Stock limits in respect of potato have been imposed for a period of one year with effect from 3rd July, 2014 under the Essential Commodities Act. 

(iii)Advisory to State Governments have been issued to take action against hoarding & black marketing and effectively enforce the Essential Commodities Act, 1955 & the Prevention of Black-marketing and Maintenance of Supplies of Essential Commodities Act, 1980. 

(iv)Small Farmers Agri business Consortium (SFAC) has recently launched Kisan Mandi in Alipur, Delhi to cater to the huge market for fruits and vegetables by sourcing these directly from Farmer Producer Organisations (FPOs) and Growers’ Associations.