networking
I
Food security
Poor relation
The right stuff
What'sNewS Issue 2 February 1999 *J
is high on the government's
agenda, you must remember
this huge country also has a
huge domestic market.
Purchasing power is increa-
sing tor large numbers of
people and one of the first
things they do with increased
wealth is increase their
protein consumption. That is
one of the reasons that
poultry will also be a focus
for us.'
In spite of very low yields
compared to world averages
in just about all sectors, India
^still heads production tables
"in many commodities - tea,
fruit and vegetables, mi lk,
sugar - and ranks among the
top five in numerous others,
such as rice. For many
decades, successive Indian
governments have prioritized
food securitv for the country's
Indian minister ofagriculture, Som
Pal, revitalizing F&A through
attracting corporate funding
900 ntillion population
(another area where India will
soon have top world rankings
- overtaking China in the
early millennium), l.ike many
countries which have suffered
structural food shortages and
fantine, India has focused
strongly on supplying the
needs of the domestic market
through the so-called Green
Revolution launched in the
1 960's. Major effort on the
part of government to banish
structural famine has been
rewarded to a great extent,
though when speaking at the
Fourofthe five-strong Indian management team addressing conference,
right Flans Hannaart, Rana Kapoor, Rabobank deputy chairman Flans
Smits, Ashok Kapur and Flarkirat Singh
seminar organized in Delhi by
Rabo India and the
Confederation of Indian
lndustry, the minister of
agriculture, Som Pal, said that
the momentum and urgency
had somehow been lost. For
example, investment in
irrigation, so vital to a
country which is pre-
dominantly rain-fed, has
declined dramatically in
recent years.
He urged the private sector,
which was well represented at
the seminar, to push for a
revitalized approach to food
and agribusiness (F&A),
especially food processing.
'We need major investment
throughout the food chain,'
he told the 200 participants.
'For many years, manu-
facturing was the priority here
in India, with agriculture as
something of a poor relation.
That must change. We have
to attract corporate funding
through the creation of a
legislatory and regulatory
environment.' As the minister
spoke, the proposals of a
prime ministerial task force
were being considered by the
Indian cabinet - action plans
will be announced on
February 24. The task force
was established last year with
four objectives:
increasing food production
utilizing and marketing
more of the food produced
through reduction in wast-
age and by adding value
creating an enabling
environment
focusing on exports
No one in India - be they
public sector, private sector,
and especially not our people
on the ground -
underestimates the challenges
entailed in bringing
agriculture and particularly
agribusiness industry, but
specifically in food
processing. 'Our aim in
establishing this award,' he
said, 'is to express our
commitment to participating
in building India's potential
as the food factory to the
world. This can only take
place if everyone concerned
feels the same sense of
urgency. We want to honour
the true pioneers.' The first
Rabobank award winner will
be announced later in the
year. Our team in India will
be setting up an independent
council of authoritative
people from all sides of the
F&A spectrum to advise on
nominees. Activity of this
kind is crucial to building
name recognition in a market
where Rabobank was
virtually unknown; the
amount of press coverage
achieved by a well-planned
se.ries of high-profile events
involving our people from
Rabo India and specialists
from around the world has
done much to increase Rabo-
awareness in India. However,
the teams in both Mumbai
and Delhi firmly believe it is
The Delhi team, left to right, Jai Saxena, Rajesh Srivastava, Reena Lawrie,
Atul Kapur and Pankaj Karna
food processing (in a country
with a decided and over-
whelming preference for fresh
food) to the priority table. In
recognition of the need to
change the common mindset,
Hans Smits announced the
creation of an annual award
to honour agents of change
in the Indian food and
now time to get on with the
business. Says Ashok Kapur:
'We have done a lot to pro-
mote name recognition and to
explain to the industry what
we are about. I think we all
believe the time has come to
show customers in our
selected sectors exactly what
Rabo India can do for them.'
