Centre To Emulate Karnataka’S Agri Price-Forecast Model

By TheHindu on 06 Nov 2018 | read
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Technical panel, which includes KAPC chairman Prakash Kammaradi, formed

The Centre has taken a leaf out of Karnataka’s book as it is set to emulate the State’s innovative market intelligence model for agri price forecasting, which would help in undertaking swift market intervention when there is a price crash.

Market intervention schemes have often not succeeded in bailing out farmers when prices of crops fall owing to delay in processes involved such as forecasting prices and getting information on market behaviour. However, the new price forecast model of the Karnataka Agriculture Prices Commission (KAPC) cuts the delayby making available all the information in a day.

Impressed by KAPC’s “Krushi Maarukatte Dhaarane Vishleshana Phalaka” (KRIPA or Farm Produce Price Analysis Dashboard), the Centre has constituted a nine-member technical advisory committee of experts, including KAPC chairman T.N. Prakash Kammaradi, for looking into various issues related to market intelligence and price forecasting.

“I was invited to a meeting with the Central authorities in New Delhi on October 22 in which I was asked to coordinate with the Central officials to help develop a market intelligence model for price forecasting by this rabi season. The Centre is looking at developing a national-level model as well as the State-level ones,” Dr. Kammaradi told The Hindu.

The technical advisory committee constituted by the Centre is also supposed to analyse the output of price forecasting, besides providing the required information to the committee of secretaries, led by Union Department of Food on import-export.

KAPC has adopted an innovative method of getting information on arrivals as well as prices of various agriculture and horticultural crops on a daily basis from all the 162 prominent APMC yards in the State. This method that works on a software developed through a Bengaluru-based startup, Anvita, provides forecasting of prices and market trends for the next three months. This is in addition to the consolidated data on arrivals and prices over a specific period.

All these things are done with an intention of ensuring speedy and timely market intervention to help farmers during price crash. Referring to various processes involved earlier, Dr. Kammaradi pointed out that more than a month’s time was being taken earlier for the authorities to enforce market intervention after the price crash. But an analysis of market intervention in the State during 2017-18 by the KAPC showed that 42 per cent of crops had already been sold by farmers at rates below the Minimum Support Price owing to the huge time lag between crash in prices and commencement of market intervention scheme, he said. The KAPC wanted to make the market intervention scheme more effective by cutting the delay with the help of such a market intelligence model of price forecasting, he said.

Though the online platform of KRIPA provides information on almost all crops, the KAPC is presently focussing on 29 major crops that account for nearly 90 per cent of total crop areas of the State.