The horticulture sector encompasses a wide range of crops e.g., fruit crops, vegetable crops, potato and tuber crops, ornamental crops, medicinal and aromatic crops, spices and plantation crops. India, with its wide variability of climate and soil, is highly favourable for growing a large number of horticultural crops. It is the fastest growing sector within agriculture. It contributes in poverty alleviation, nutritional security and have ample scope for farmers to increase their income and helpful in sustaining large number of agro-based industries which generate huge employment opportunities. Presently horticulture contributes 28 per cent of agricultural GDP. The national goal of achieving 4.0 per cent growth in agriculture can be achieved through major contribution from horticulture growth.
Current Scenario
After the Green Revolution in mid-sixties, it became clear that horticulture, for which the Indian topography and agro climate are well suited, is the best option. India has emerged as the largest producer of mango, banana and cashew and second largest producer of fruits & vegetables in the world.
The most significant development that happened in the last decade is that horticulture has moved from rural confines to commercial production and this changing scenario has encouraged private sector investment in production system management. The last decade has seen technological infusion like micro-irrigation, precision farming, greenhouse cultivation, and improved post harvest management impacting the development, but during the process various issues have emerged.
Role of Banks in development of this sector:
Institutional finance has a prominent role to play to meet the fund requirement for strengthening the supply base of horticulture and plantation sector. The credit requirement under this sector during the X plan period has been assessed as Rs.18, 420 crore. In order to meet this target, banks have been asked to