1. ASSOCHAM's 7th Agricultural Summit "AGRI@8%- Challenges and Way Out“ Inputs, Farm Technologies & Productivity Dr. K C Ravi 15th February 2013 Classification: PUBLIC

2. 2 Future Agriculture Outlook Classification: PUBLIC

3. 3 Did you know that…? By 2050, global population will rise by about a third to 9 billion people Out of which 1.7 billion will be in India alone Calorie demand will increase by 50% 52% of India’s population is involved in Agriculture yet it contributes just 13.7% to India’s GDP Source: FAO, World Bank statistics, Syngenta Classification: PUBLIC

4. 4 World Population and Environmental stresses are increasing World Stress Map Source: UNEP, Cline, Syngenta Climate change impact High Medium Low Classification: PUBLIC Reduction in Water and Arable Land 1950 2.5 billion 2011 7 billion 2050 9 billion Emerging Developed Source: FAO, Syngenta analysis More than 80% of population growth happens in emerging markets The Demand for Food and Feed will increase by 50% from 2010 to 2050 1950 1 hectare fed 2 people 2030 1 hectare needs to feed 5 people

5. 5 The grower’s world is getting increasingly complex Future Farmer Global Financial Instability Value Chain Governments and Regulators Societal Pressures Environmental pressures Input costs Classification: PUBLIC

6. 6 Challenges facing the Indian Grower Classification: PUBLIC

7. 7 Growing population and food demand Classification: PUBLIC By 2050 total calorie requirement will go up from 2495 to 3000. Food grain production would need to increase by 5.5 MT annually. Continuing migration of people into cities, an increase in wealth and a shift towards diets rich in meat and dairy, will raise demand for high-value food commodities by > 100% High value foods require better infrastructure for handling, value-addition, processing, marketing. Key challenges for Input providers: Develop technologies and management options in a deteriorating production environment. Create infrastructure and evolve institutional arrangements for production, post-harvest and marketing of high-value commodities and their value-added products.

8. 8 Hectare of Arable Land Source: UN and FAO, 2005 Arable Land (ha) per person Most populous countries have least room to expand Produce more with less… Land | Water | Labor Growing resource constraints Much of India’s total arable area already in use (46%) Most remaining land has serious soil and terrain constraints Classification: PUBLIC

9. 9 Agriculture is India’s largest user of water >40% lost to inefficient practices Syngenta Solution: ‘More crop per drop’ ●Drip irrigation ensures effective water and fertilizer supply. ●Drought-tolerant seeds help produce - reliable yields even when water is scarce. ●Weed control with herbicides lowers tillage, improves water absorption. ●Better Agronomy: Hi-Pop, Mulching, Protected Cultivation help increase yield. ●New irrigation technologies can reduce water use 30% to 60%. Source: UN-Water and FAO Produce more with less… Land | Water | Labor Growing resource constraints Classification: PUBLIC

10. 10 ●Farm demographics- aging population and migration to cities influence agricultural labor availability ●High-tech machines, complex production processes and strict production regulations require skilled labor. This affects capital requirements Source: UN-Water and FAO Produce more with less… Land | Water | Labor Growing resource constraints Classification: PUBLIC

11. 11 Indian agriculture dominated by small farmers Landholdings declined from 2.30ha in 70s to 1.32 ha in 2000-01 If this continues, average size would be a mere 0.68 ha in 2020 and 0.32 ha in 2030 Decline causing fall in farm income. Smallholders moving to postharvest and non-farm activities Input provider challenges: Evolve technologies and management options for smallholders and involve them in agri-supply chain through institutional innovations Classification: PUBLIC

12. 12 Classification: PUBLIC Source: Intergovernmental Panel on Climate Change (IPCC), World Bank Climate change By the end of this century, global temperature will increase by 1.8 to 4.0°C. This will Impact water availability, cause floods, droughts, recession of glaciers. Dynamics of pests and diseases would be significantly altered. Which will result in greater instability in food production Input provider challenges: Increased adaptation and mitigation research, capacity- building, changes in policies, and regional as well as global co-operation. Syngenta developing framework to understand environmental impacts of agriculture to increase productivity per hectare while reducing the environmental impacts.

13. 13 Degradation of production environment ●Soil erosion has degraded 120.72 million ha of land in India ●8.4 million ha has soil salinity and water-logging ●Water-table & water quality deteriorating. ●Green-revolution belt exhibiting problems owing to over- exploitation and mismanagement of soil-and-water resources ●Input provider challenge: Stop further degradation and rehabilitate degraded land and water resources cost-effectively Classification: PUBLIC

14. 14 Future orientation of input providers Classification: PUBLIC

15. 15 Research, Extension and Technology ●R&D: Need to shift from research focused on irrigated areas towards research on crops and cropping systems in the dry lands, hills, tribal and other marginal areas ●Private sector participation in extension need to be intensified ●Agriculture needs new technologies and integration of the full technology toolbox from genetics all through the various parts of chemistry Classification: PUBLIC

16. 16 Harnessing Science Synergies of frontier sciences Agricultural research needs to leverage —nano- technology, ICT, remote sensing; Geographic Information System and GPS for improving research efficiency, better targeting of technologies and identifying production and marketing environments Power of biotechnology Time tested 1st and 2nd generation biotechnologies should be used to speed-up breeding processes, reduce investment on research for increasing yields, minimizing production risks, sustaining environment and meeting consumer preferences Science part of transgenic research should be continued and further strengthened Classification: PUBLIC

17. 17 Syngenta Solution: Innovating across technologies to transform the way crops are grown Breeding Native traits GM traits Seed care Crop Protection Nutrients, water Machinery Grower’s needs Technology Weed control Insect control Disease control Nematode control Yield potential Nitrogen efficiency DroughtQuality traits Labor shortage Post harvest Chemical solutions Biological solutions Classification: PUBLIC Services

18. 18 Resource conservation Full Potential of conservation agriculture, zero tillage, precision agriculture and micro-irrigation for different agro eco-regions needs to be exploited Efficient farming systems, composite farming, INTEGRATED crop management, nutrient management, pest management and water management should be perfected further for wider adaptability, integrated with public and private sector programmes for holistic development Enhanced participation of stakeholders and increased agro ecological literacy to be given priority in managing resources Classification: PUBLIC

19. 19 Agricultural diversification and the value chain Meet demand for high-value commodities by using research to augment their production more efficiently, competitively Develop improved genotypes (varieties and hybrids) and agronomy for raising productivity in different agro-eco- regions Give priority to Consumer- preferred quality traits and food safety Since these are perishables, R&D focus needs be on entire value-chain from production and postharvest to value-addition, processing and marketing Classification: PUBLIC

20. 20 Post-harvest and value-addition: 18 to 25% losses occur in supply-chain from production to consumption. Three-pronged strategy needed to reduce post- harvest losses Compress supply chain by linking producers and markets; Promote processing of food commodities in production catchments to add value before being marketed Small-scale processing chambers, storages with conventional and non- conventional energy sources Classification: PUBLIC

21. 21 Institutions and policies ●PPPs are essential ●Growing uncertainties call for policies and institutional mechanisms, evolving decision-making processes, mobilizing political support and improving governance of service providers ●Added challenge- intellectual property rights regime ●Effective, need-based institutions to accelerate innovations and link farmers with different stakeholders ●Innovative institutional models, pro-agricultural policies and regulatory mechanisms needed. Classification: PUBLIC

22. 22 Classification: PUBLIC Thank You!