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NORTH EAST

Harnessing Agribusiness

Potential in the

Ministry of Development ofNorth East Region

Ministry of Development ofNorth East Region

NORTH EAST

Harnessing Agribusiness

Potential in the

Title Harnessing Agribusiness Potential in the North-East

Author Food and Agribusiness Strategic Advisory and Research (FASAR) team

Year January 2011

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FOREWORD

The North-eastern Region (NER) in India with its endowment of vast untapped natural resources along with an attractive virtual

tax free fiscal package offered by the Government is being envisaged as a major growth area in the country, creating

opportunities for diversified investments in the region.

The potential of this region in the field of agriculture, particularly in horticulture, floriculture, spices, agro and food processing,

organic farming, plantation and animal husbandry is well known. However, the region is unable to fully harness this potential

due to a number of constraints such as inadequate infrastructural facilities, use of traditional and outdated methods of

production, lack of market access and insufficient credit. The issue of development of the Agribusiness sector in the NER needs

to be approached by fully exploring the potential of the region, and strategizing the methods of harnessing the same. It should

be based on a holistic strategy to create a favourable environment by making available the infrastructural facilities and linkages

necessary for economic productivity, market linkages, enhanced processing facilities, positioning of the products in the

domestic and export market and sustainable agricultural development.

The report provides an overview of the focus areas as well as the required interventions and initiatives in the context of the

NER. The key investment opportunities for the development of Agribusiness opportunities in the NER have been identified

and brought out in this report. The report also envisages an integrated approach based on long term planning to usher

economic development. It is our strong belief that such an effort should be focused on sector specific needs with a greater role

for Public Private Partnerships in order to address the viability gap needs of projects in the region.

We trust this document will further facilitate a better understanding of the interventions required both by the Government as

well as the private sector, and will be instrumental in designing their action plans.

Sincerely

President, Founder/ Managing Director & CEO

Indian Chamber of Commerce YES BANK LTD

Jayanta Roy Rana Kapoor

CONTENTS1. THE NORTH-EAST REGION: AN OVERVIEW 9

1.1 Strategic location 9

1.2 Topography and Agro-Climatic Situations 9

1.3 Connectivity / Logistics 9

1.3.1 Air Connectivity 9

1.3.2 Rail and Road Connectivity 10

1.3.3 Inland Waterways 12

1.4 SWOT Analysis of NER 12

1.5 Demographic profile and Socio-Economic Characteristics 12

1.6 Agriculture 13

2. Potential Agribusiness Sectors in the North-eastern Region 14

2.1 Horticulture in North-eastern Region 14

2.1.1 Importance of Horticulture in the North-eastern Economy 14

2.1.2 Fruits and Vegetables 17

2.1.3 Spices 24

2.1.4 Plantations 28

2.1.5 Floriculture 31

2.1.6 Medicinal Plants 32

2.1.7 Major Constraints to Horticultural Growth 33

2.1.8 Horticulture- The Way Forward 33

2.2 Dairy Farming in NER 34

2.2.1 Government Initiatives 35

2.2.2 Constraints in Milk Production 35

2.3 Fisheries 36

2.3.1 Potential of Fishery in NER 37

2.4 Sericulture 38

2.4.1 Government Schemes 40

2.5 Jute Sector in NER 41

2.5.1 Challenges in Jute Sector 43

2.5.2 Government Initiatives 44

2.5.3 Way Forward for Jute Industry 45

3. Agro Food Processing 46

3.1 Tea Industry 46

3.2 Processing of Horticulture Produce 46

3.3 Bamboo Industry 47

3.4 Agri-Infrastructure 49

3.5 Agriculture Marketing 50

3.6 Eco-Tourism 50

3.7 Handicrafts in the NER 51

3.8 Agri-research and Education 52

4. Investment Scenario in North-eastern States of India 54

4.1 Incentives for investors 54

4.2 Arunachal Pradesh 54

4.3 Assam 55

4.4 Manipur 56

4.5 Meghalaya 56

4.6 Mizoram 56

4.7 Nagaland 57

4.8 Sikkim 57

4.9 Tripura 58

5. Way Forward 59

Exhibit 1: North-east Region 9

Exhibit 2: Existing and Proposed Airports 10

Exhibit 3: Statewise Length of Roads Under Different Agencies 11

Exhibit 4: State wise Length of Railways by Type in the Project Area 11

Exhibit 5: SWOT Analysis of NER 12

Exhibit 6: Agri Snapshot of NER 13

Exhibit 7: Agri-Business Potential of NER 13

Exhibit 8: Share of Different States in Production of Horticulture Crops, 2008-09 14

Exhibit 9: Projected increase in production of Horticultural Produce in India 14

Exhibit 10: Area under Horticultural Crops in NER, 2005-06 15

Exhibit 11: Production of different Horticultural Crops in NER, 2008-09 15

Exhibit 12: Highest Comparative Advantage for Horticultural Products of NER 16

Exhibit 13: Availability of Horticultural Produce 16

Exhibit 14: Production of Fruits and Vegetables in North-eastern States in 2005-06 17

Exhibit 15: Production of Fruits and Vegetables in North-easter States in 2008-09 17

Exhibit 16: Area and production under major fruit crops in Assam 17

Exhibit 17: Area and Production of Vegetables in Assam 18

Exhibit 18: Area and Production of Fruit Crops in Arunachal Pradesh, 2008-09 18

Exhibit 19: Area and Production of Vegetables in Arunachal Pradesh, 2008-09 19

Exhibit 20: Area and Production of Fruit Crops in Manipur, 2008-09 19

Exhibit 21: Area and Production of Vegetables in Manipur, 2008-09 19

Exhibit 22: Area and Production of Fruit Crops in Meghalaya, 2008-09 20

Exhibit 23: Area and Production of Vegetables in Meghalaya, 2008-09 20

Exhibit 24: Area and Production of Fruit Crops in Mizoram, 2008-09 20

Exhibit 25: Area and Production of Vegetables in Mizoram, 2008-9 21

Exhibit 26: Area and Production of Fruit Crops in Nagaland, 2008-09 21

List of Exhibits

Exhibit 27: Area and Production of Vegetables in Nagaland, 2008-09 22

Exhibit 28: Area and Production of Fruit Crops in Sikkim, 2008-09 22

Exhibit 29: Area and Production of Vegetables in Sikkim, 2008-09 22

Exhibit 30: Area and Production of Fruit Crops in Tripura, 2008-9 23

Exhibit 31: Area and Production of Vegetables in Tripura, 2008-09 23

Exhibit 32: Production (in ‘000 tonnes) of Spice crops in NER 24

Exhibit 33: High Intrinsic Value of Spices produced in NER 24

Exhibit 34: Export Potential of North-eastern States (Spices) 25

Exhibit 35: Coffee Production in NER 29

Exhibit 36: Area under Rubber Plantation in NER 29

Exhibit 37: Tea production in NER and India, 2007 30

Exhibit 38: Potential Areas of Different Flowers in Arunachal Pradesh 31

Exhibit 39: Various plant derivatives from Arunachal Pradesh having industrial applications 32

Exhibit 40: Milk production profile of North-eastern Region 34

Exhibit 41: Various Government Initiatives for dairy development 35

Exhibit 42: Various constraints in milk production 35

Exhibit 43: North-East Fishery Resources 37

Exhibit 44: Total Fish Production in the North-east 37

Exhibit 45: Production of Mulberry and Non-mulberry Raw Silk in NER, 2006-07 39

Exhibit 46: Estimated Demand of Raw Silk in India, 2006-07 39

Exhibit 47: Silk Export Earnings in India (INR in crores) 40

Exhibit 48: Funds released by the CSB under Catalytic Development Programme in India 40

Exhibit 49: Production of Jute in NER (‘000 bales of 180 Kg each) 41

Exhibit 50: Different Products made from Jute 42

Exhibit 51: Areas known for jute craft in NER 42

Exhibit 52: Domestic Consumption of Jute Goods in India (in ‘000 MT) 42

Exhibit 53: Export of Jute Goods from India 43

Exhibit 54: Funds earmarked under Jute Technology Mission (INR in crores) 44

Exhibit 55: SSI units in food processing 46

Exhibit 56: Processed Sales items from NER, 2006-07 47

Exhibit 57: Bamboo Area in the NER 47

Exhibit 58: Consumption pattern of bamboo in India 48

Exhibit 59: Examples of Agri-infrastructure in NER 49

Exhibit 60: Tourism Initiatives in NER 51

Exhibit 61: Handicraft in the NER 52

09

1. The North-east Region: An Overview

1.1. Strategic location

1.2. Topography and Agro-Climatic Situations

1.3. Connectivity / Logistics

1.3.1. Air Connectivity

The North-east Region (NER) consists of eight states - Arunachal Pradesh,

Assam, Meghalaya, Manipur, Mizoram, Tripura, Nagaland and Sikkim. The

area is located between 22° 1' and 29° 31' North latitude and 89° 47’ and

98° 55' East longitude. The NER covers an area of 2.62 lakh sq. km and

accounts for around 8 percent of the total area of India.

The region is a true frontier region sharing 98 per cent of its borders with the

neighboring countries of Bhutan, Nepal, China, Bangladesh and Myanmar

spanning over 2000 km.

NER has three critical border roads that could be the harbinger of

development for the region in the years to come. They are the Stilwell road or

the Ledo road which connects Ledo in Assam to Kunming in Yunnan, China;

the Numaligarh-Moreh road which connects the states of Assam, Nagaland and Manipur with Myanmar through the border

point at Moreh; and the Aizawl - Champhai- Zowkathar road which connects Mizoram with Myanmar.

More than sixty per cent of the total area is covered by thick and deciduous forest (164.101 million hectares under forest).

Except for a small valley plain of about thirty per cent, the region is hilly and mountainous and is bestowed with rich natural

resources viz. water, petroleum, minerals, rare flora and fauna.

The topography of the area varies from mountains to plateaus, foothills to riverine plains with altitude ranging between 100

mt. to 8400 mt from MSL. Being predominantly hilly terrain, wide altitude variation within limited geographical area, is very

common. As such all types of climatic situations namely, Temperate, Tropical and Sub-Tropical are predominant. North-east

Region has a predominantly humid sub-tropical climate with hot, humid summers, severe monsoons and mild winters. Along

with the west coast of India, this region has some of the last remaining rain forests of the Indian sub-continent. The region

receives heavy and well distributed rainfall varying between 2000 to 4000 mm. However Cherrapunjee and Mawsynram

Ranges get above 11000 mm of average annual rainfall.

The key driver of development and prosperity for any region is world-class infrastructure and a network of connectivity. Good

transportation networks are necessary to inter-link potential growth centres, promote tourism, connect to border trade points

and support economic, social and security needs. Faster movement of goods and people at lower costs is essential to provide

impetus to economic activity. Improving connectivity goes a long way towards the creation of a common market and is

necessary for the development of the region; however, the North-eastern region seems to be lacking it.

Air connectivity to the region is poor. While the region has 11 airports (Exhibit 2) three of the state capitals (Itanagar, Gangtok

and Shillong) do not have airports. Connectivity to the state capitals where airports exists is through feeder services from

Delhi/Kolkata/Guwahati while most of the intra-regional connection is routed through Kolkata, which is expensive both in

terms of time and money. This leaves a lot of scope for development in terms of air connectivity, especially given the fact that

there is a lot of scope of cooperation between South East Asia and the North-eastern states.

Exhibit 1 : North-east Region

10

State Operational Proposed (greenfirld)

Assam Dibrugarh, Guwahati, Jorhat, Lilabari, Silchar, Tezpur Kokrajhar

Nagaland Dimapur Cheithu

Manipur Imphal

Tripura Agartala

Mizoram Aizwal

Meghalaya Shillong

Sikkim Pakyong

Arunachal Pradesh Tawang, Itanagar

Exhibit 2 : Existing and Proposed Airports

Source: Ministry of Development of North-east Region

1.3.2. Rail and Road ConnectivityThe biggest constraint in the NER has been the poor state of infrastructure, in particular, roads, railways, waterways and power.

The railways and roads network in Northeast was primarily built by the British to take tea, coal, oil and other resources out of

Assam and into the rest of India and also to Europe. The network needs to be reinforced to support the evolving dynamics and

encourage trade, not only with the rest of the country but also our neighbours.

NER has a total road length of just 66 km/100 sq. km area. The road length in the region is lower than that the average of the

country (75 km/sq. km) and the quality of roads in the region is extremely poor. The national highways that serves the region

are NH-31, 31B, 31C, 36, 37, 37A, 38, 39, 40, 40E, 44, 51, 52, 52A, 52E, 53, 54 and 61. Besides, there are also the state roads.

Improvement of the road infrastructure is on and some of the important projects currently being undertaken are construction

and repairing of border roads under NEC, construction of road under PMGSY, renovation, widening and improvement of NH-

37, NH-44, NH-51, NH-52, NH-54, NH-61& NH-62, construction of bridges on river Lohit, Dibang and Siang. Construction

of 4th bridge over river Brahmaputra and ongoing construction of Express Highway connecting Surat and Silchar would add

unthinkable dynamism in the development process of the NER.

In addition, NER has three critical border roads that could be the harbinger of development for the region in the years to come.

They are the Stilwell road or the Ledo road which connects Ledo in Assam to Kunming in Yunnan, China; the Numaligarh-

Moreh road which connects the states of Assam, Nagaland and Manipur with Myanmar through the border point at Moreh;

and the Aizawl- Champhai- Zowkathar road which connects Mizoram with Myanmar.

Of these three roads, two are operational as far as border trade is concerned, with the Stilwell Road/ Ledo Road being the only

one remaining closed. The official border trade in the Moreh and Champhai outposts is very minimal when compared to the

overall potential for trade through these corridors. Much work needs to be done in terms of creation of proper infrastructure

which would benefit the region as a whole.

11

Sl. State N.H. PWD BRTF Rural Road/ Forest Road Total

No. Road Road District Road (Km)

1. Arunachal Pradesh - 6691.62 3756.12 2002.00 1110.00 13559.74

2. Assam 2754.00 34761.00 - - - 37515.00

3. Manipur 967.00 1632.00 - 60.45 - 8644.00

4. Meghalaya 606.00 7271.00 - - - 7877.00

5. Mizoram 328.00 160.97 1499.81 3959.37 - 5948.15

6. Nagaland 248.00 1032.50 2337.90 221.50 3839.90

7. Tripura 400.00 1362.00 - 8012.00 - 9774.00

Exhibit 3 : Statewise Length of Roads Under Different Agencies

The total railway track length in the entire region is 2,592 km, with broad-gauge track confined to Assam. Some of the

important rail-heads in the NER are Guwahati, New Bongaigaon, Jorhat, Tezpur, Dibrugarh Town, Tinsukia, Lumding, Silchar,

Dimapur and Kumarghat. In the recent times, Rajdhani Express services have been introduced between Guwahati and New

Delhi. Train connections are also available to New Jalpaiguri, Kolkata, New Delhi, Mumbai, Chennai, Trivandrum etc from

NER. The extension of the railway line to Sabroom would improve connectivity to the Chittagong port.

S. No. State Railway length (km) Remarks

B.G. M.G. Total

1. Arunachal Pradesh Nil Nil Nil Rangia – Morkangselek MG line over

Assam provides Rail heads for the state at

Morkangselek. Rail head is also available

from Tinsukia (BG) in Assam.

2. Assam 1227 1057 2284 By and large the whole state is connected

by railways.

3. Manipur Nil Nil Nil Nearest Rail heads are Dimapur (BG) in

Nagaland and Bhairabi (MG) in

Mizoram

4. Meghalaya Nil Nil Nil Nearest Rail heads are available from

Assam namely, Guwahati (BG), Dudhnoi

(BG), Silchar (MG), Dhubri (BG),

Bongaigaon (BG) etc.

5. Mizoram Nil 2.00 2.00 Bhairabi (MG) is only rail head.

6. Nagaland 9.30 Nil 9.30 Dimapur (BG) is the only railway station

in the state. Apart from that Mariani (BG)

in Assam is also a logistic Rail head for

the state.

7. Tripura Nil 44.72 44.72 A major part of the state is now

connected through MG lines.

Exhibit 4 : Statewise Length of Railways by Type in the Project Area

12

1.3.3. Inland WaterwaysInland waterways in the Brahmaputra and smaller rivers, such as the Kolodyne in Mizoram and Barak in Assam, have become

virtually non-functional after the partition of the country and at best, they can be used for the transportation of goods and not

people. Access to the Chittagong port and opening up of the inland water route could lead to economic resurgence of the

region. In fact, the Chittagong port is only 75 km from Sabroom in Tripura and could become an important gateway for India to

East Asian countries. The construction of a bridge by India across the 110-metre wide Feni River, and helping Bangladesh

modernize the Chittagong port, could go a long way in building confidence and goodwill for the benefit of NER along with

Bangladesh.

1.4. SWOT Analysis of NER

Opportunities

Threats

• Creation of agri infrastructural facilities with greater

private sector participation

• Introduction of agri technology

• Organic Farming

• Ornamental fisheries

• Provision of greater market and credit access

• Design and application of appropriate policy

instruments for agricultural development

• Focus of Agro industry

• Potential international markets due to geographical

location

• Competition from the other eastern states

• Political Instability

• Insurgency

Strengths

Weaknesses

• Rich diversity of climate from tropical to sub-alpine,

creating potential for growing wide varieties of crops

• Rich biodiversity

• Availability of good quality usable timber

• Numerous rivers, streams etc with perennial flow of

water

• Proximity to nearby export markets

• Natural resources like soil and water are not degraded

with excessive use of agricultural inputs

• Availability of unique and exotic products

Availability of skilled manpower

• Lack of agri infrastructural facilities along the food

value chain

• Weak capital base

• Lack of market access – domestic and international

• Limited flow of men and material

• Lack of data base

• Need for technological interventions

• Prevalent practice of Jhum Cultivation and Subsistence

Farming

• Excessive dependence on erratic rainfall,

unpredictable and variable monsoon

Exhibit 5 : SWOT Analysis of NER

1.5. Demographic profile and Socio-Economic CharacteristicsThe region is home to about 40 million people accounting for about 3.8 per cent of the total population of the country. NER is

the home for more than 166 separate tribes speaking a wide range of languages. Some groups have migrated over the centuries

from places as far as South East Asia; they retain their cultural traditions and values. As a result, NER has a strong genetic and

cultural similarity with the people of East Asia and South East Asia.

Rural population in NER is approximately 84.08% of the total population. Economic situation of the rural areas may, therefore,

meaningfully influence the overall economic scenario of the region. Unemployment and pseudo-employment is very high in

NER with the highest figure in Tripura followed by Assam.

13

1.6. AgricultureAgriculture is the single largest economic activity in NER

involving 66.76% of the total workers. The contribution of

agriculture to net income is also highest as compared to other

sources.

The NER’s agricultural scene is blemished by low usage of

high yielding varieties (HYV) seeds and fertilizers and

inadequate irrigation, infrastructure and credit facilities that

gives the region a distinct advantage, as almost the entire

region is organic by default.

The agribusiness potential of NER is shown in Exhibit 7. We have elaborated on each of the sectors in Chapter 2.

Exhibit 7 : Agri-Business Potential of NER

Total geographical area 2.62 lakh sq. km

Gross cultivable area 65,500 sq. km

Land man ratio for NER 0.66 ha

Land man ratio for India 0.32 ha

% utilization of cultivable area in NER 58.74%

% utilization of cultivable area in India 73.05%

Exhibit 6 : Agri Snapshot of NER

States/ Sectors

AgroForestry

AgroProcessing

Cerealcrops

PlantationCrops Fisheries Floriculture Horticulture

JuteIndustry

MedicinalAromatic plants

OrganicFarming

Livestock &Poultry Spices Sericulture

ArunachalPradesh

TimberBamboo,cane

Fruits andVegetableProcessign

Rice, WheatMaize,OilseedPotato,Sugarcane Rubber Tea Fish Production Orchis Cultivation

Apple, OrangePineappleBanana,Kiwi, Alma, OliveAnd Vegetable Medicinal Plants

Cattle, Sheep,Goat, Piggery,Poultry

Ginger, chilliesTurmeric Eri Silk

Assam

Mani Pur

Meghalaya

Mizoram

Tripura

Nagaland

Sikkim

FruitsVegetable,Spices

BambooTimberFirewood

TimberBamboo,Reed,BroomsticksCane

Fruits,Vegetableand TeaPrecessing

WheatPulses,Maize, Rice Tea

Fruits andCerealProcessing

Rice, WheatMaize,OilseedPotato,Sugarcane

gingerDehydrationturmeric,Arecanutprecessing

Rice Wheat,Maize,Millets

TimberBamboo,TungPlantation

FruitPrecessing

Rice, MaizePulsesTapioca,Oilseed,Sugarcanevegetable

Coffee,BetelvineArecanut,coconut

Cashee nut,Arecanut

Ornamentalfisheries

Fish Production

Fish Production

Rubber coffee,Cashewnut,Arecanut,Coconut

FruitsProcessingTea processingMedicinal PlantDistillation

Timber,Bamboo

Paddy,WheatPulses,Potato

Timber,

FruitPrecessing

Paddy,maize,Wheat,Gram,

Mustard,Cotton,Sugarcane

Tea Coffee,RubberArecanut Fish production

Inland FisriesTea Coffee,

Rice,WheatMaize,millets,Pulses,Oilseed

Tea &Horticultureprocessing

Timber,AlpineShrub,Broomgrass,BambooCane

Ornamental fishers

Gladioli, liliumanthurium, orchids,Chrysanthemum,Roses, Gerbera

Banana, Mango, OrangePineapple, Papaya,jackfruit and vegetable

Pineapple,Banana, Passionfruits, Lemon,Orange Amla, Oliveand vegetable

Pineapple, PeachPlum, Cashew,Arecanut, Potato,Tapioca andVegetableOrchid Cultivation

Temperate fruits,orange, Banana,Passion Fruits,Pineapple, CitrusAvocadoand vegetable

Banana, Orange,coconutpineapple andVegetable

Mangold,Gladious,ChrysanthemumTuberrose

Orchids,cymbidiumDendriumOrnamentalPlants

Gladioli liliimAnthurium,OrchidsRhododendrons

Pineapple, Plum,BananaPassion Fruits,Citrus Fruitand Vegetable

Mandarin, Orange,Gava, MangoBanana, Potatoand Vegetable

JuteCultivation Organic Tea

Goat Poultry,Cattle

Ginger, chillesTurmeric,Paper, other

Muga,OakMulbery

CattleSheepGoat,PiggeryPoultry

LargeCardamom,Ginger,ChilliesTurmeric

MedicinalPlants

OrganicFruitsandVehetable

Cattle, SheepPoultry

TurmericChillies, BlackPepperTezPatta

Eri,MugaSilk

Emblic, RoultiaWithania,Cymbopogan

OrganicCerealOrganicHorticulturecrops

Cattle,Sheep,Goat,Piggery,Poultry

GingerTurmeric,chilli,Black Paper

JuteProducts

Emblic, RoultiaWithania

CitronellaGinseng

JuteCultivation

OrganicHorticultureProduce

Cattle,Poultry,Piggery,Duckery,Rabbit

Ginger, GarlicCardamom

Mulbery,Muga, Eri,Oak

OrganicTeaand MedicinalPlants

Dariy farming,Goat RaringPiggery

SeasameTurmeric,ChilliCardamomPepper

Cattle,Poultry,Piggery,Sheep,Goat, Yaks

Chilli,Cardamon,Ginger,Turmeric

14

2. Potential Agribusiness Sectors in North-eastern Region

2.1.1. Importance of Horticulture in the North-eastern Economy

2.1. Horticulture in North-eastern Region

The NER is a predominantly agrarian economy and the contributions of agriculture to the gross state domestic product (GSDP)

of these states are greater than the country’s average. Primary sector constitutes nearly 30% of net state domestic product

(NSDP). Assam is the largest tea producer in the country and Tripura is the fifth largest tea producer. NER accounts for more

than half of tea production in India. Tripura is the second largest producer of rubber and largest producer of true potato seed.

States like Meghalaya, Sikkim and Manipur have horticulture as major contributor to their economies. Nearly 75% of the work

force in NER depends upon primary sector of which horticulture forms a huge share.

ArunachalPradesh, 261Tripura, 797

Sikkim,155

Ngaland, 270

Mizoram, 331

Meghalaya , 797

Manipur, 254

Assam, 4679

Source: National Horticulture Board and YES BANK analysis

Exhibit 8 : Share of Different States in Production of Horticulture Crops, 2008-09

Consumption of horticultural produce - both fresh as well as processed has been on the increase, primarily driven by

increasing disposable income, changing lifestyles and enhanced nutritional concern. This increased consumption has lead to

further increase in demand for horticultural produce as being projected in the table below:

Exhibit 9 : Projected increase in production of Horticultural Produce in India

Commodity Production in million tones

2001-02 2003-04 2006-07 2008-09 2011-12

Fruits 43 45 59.56 68.46 81

Vegetables 88.6 88 115.52 129 185

Spices 3.7 5 3.9 4.1 5.5

Plantation crops 9.6 13 12 11.3 na

Total 146.3 153 191.8 214.7 300

Source : Industry and YES BANK Analysis

15

The NER, which is already contributing significantly to the horticultural basket of the country, has the potential to meet a large

portion of the future demand. The area under fruits is significantly high in the states such as Arunachal Pradesh, Manipur and

Nagaland, while the states such as Assam and Meghalaya have a large area under plantation crops. Sikkim, Tripura and

Meghalaya hold a promise for cultivation of flowers and vegetables. The proportionate distribution of area under different

horticultural crops in the NER is given in Exhibit 10.

Exhibit 10 : Area under Horticultural Crops in NER, 2005-06

ArunachalPradesh, 92.8Tripura, 75.8

Sikkim 58.72

Nagaland36.87

Mizoram 79

Meghalaya106

Manipur 68

Assam, 49.6

Source: National Horticulture Board and YES BANK Analysis

Horticulture production in the NER is organic by default as they do not use fertilizers and pesticides. As a result, most of the

produce -- fruits, vegetables and spices – can be positioned as being organic and premium. The volumes of production of fruits

are very high in Assam, Tripura, Meghalaya and Manipur. Vegetables production is significant in Assam and Tripura.

Production of flowers is sizeable in Sikkim and Mizoram. Production of fruits, vegetables, plantation crops and flowers are

depicted in Exhibit11.

5000

4500

4000

3500

3000

2500

2000

1500

1000

500

0

Flower

Plantation crops

vegetables

fruits

Aruna

chal...

Assam

Man

ipur

Meg

halaya

Mizor

am

Nag

alan

d

Trip

ura

Sikk

im


Exhibit 11 : Production of different Horticultural Crops in NER, 2008-09

16

The NER produces a variety of horticultural crops and such crops are produced in abundance. Some of the states specialize in

the production of few horticultural crops owing to their specific climatic and local conditions. Such states are said to have a

comparative advantage for producing those specific horticultural crops. By identifying crops in which different states have a

comparative advantage, resources can be concentrated and efforts made to promote their cultivation at least in the short run.

Based on these, specialization patterns that are best suited to the different states are indicated in Exhibit 12.

Each state demonstrates a certain production advantage: Arunachal Pradesh for fruits, Assam for tea, Meghalaya and

Mizoram for ginger, Manipur for chillies, Nagaland for pineapple, Tripura for natural rubber and Sikkim for flowers.

Exhibit 12: Highest Comparative Advantage for Horticultural Products of NER

State Products

Arunachal Pradesh Chillies, Apple, Citrus, Passion Fruits, Ginger

Assam Turmeric, Potatoes, Bananas, Pineapple

Manipur Chillies, Ginger, Pineapple, Brinjal, Mushroom, Potatoes

Meghalaya Turmeric, Ginger, Potatoes, Pineapple

Mizoram Ginger, Brinjal, Mushroom

Nagaland Passion Fruit, Pineapple

Sikkim Ginger, Large Cardamom, Flowers, Seasonal Vegetables

Tripura Citrus, Bananas, Pineapple

Source: Business Opportunities in North-eastern India, Ministry of Agriculture

For any region, it is important to know the time of availability of horticultural produce as the decision helps in marketing and

processing of largely perishable produce. Exhibit 13 shows the monthly availability of horticulture produce in the NER.

Exhibit 13 : Availability of Horticultural Produce

Products Jan Feb Mar April May June July Aug Sept Oct Nov Dec

Apple

Pineapple

Orange

Passion FruitBanana

Turmeric

Ginger

Cardamom

Vegetables

Cashew

Flowers

Peak

Lean

Off

Source: Peace, Progress and Prosperity in the North-eastern Region, Vision 2020, Volume II

17

Banana, vegetables and flowers are harvested at peak throughout the year. Ginger is abundantly available in July and August

whereas the availability is scanty during the rest of the year. Peak season for the harvesting of apples is during August and

October. Availability of pineapple peaks from June to October and then again from December to February and is scarcely

available during the rest of the months. Turmeric is harvested from October to February and hence available only in those

months. Cashew is available only from April to June.

The horticultural production in the NER has been showing a positive trend in the recent past. The following table gives the

production of vegetables and fruits for the last few years:

Exhibit 14 : Production of Fruits and Vegetables in North-eastern States in 2005-06

2.1.2. Fruits and Vegetables

Crops Production ( 000 MT) All India Prod ( 000 MT) Share in All India Production

Fruits 2501.8 55356 4.50%

Vegetables 5253.1 111399 4.70%

Total 7754.9 166755 4.65%

Source: National Horticulture Board, GOI

The fruits and vegetable production has increased significantly in this region, thus increasing the share of its contribution to the

national production. The following table gives the production of fruits and vegetables in the NER for the year 2008-09:

Crops Prod in NER ( 000 MT) All India Prod ( 000 MT) Share in All India production

Fruits 3087 68466 4.5%

Vegetables 4202 129077 3.2%

Total 7289 197543 3.68%

Source: National Horticulture Board, GOI

Exhibit 15 : Production of Fruits and Vegetables in North-eastern states in 2008-09

2.1.2.1. State wise Scenario of Fruits & Vegetables in the North-east

ASSAM

Assam has a unique agro climatic condition favourable for growing different varieties of horticultural crops and is self sufficient

in the production of vegetables, fruits and spices. Exhibit 16 below gives the area and production of major fruit crops in Assam

for the year 2005-06.

Exhibit 16 : Area and production under major fruit crops in Assam

48

853

191.5

1980

4.4 4.834.9 4.8 7 13 4 20

Banana Citrus Guava Litchi Mango Papaya Pineapple Others

Area (000 ha) Production (000 MT)


18

Assam has a vast area under potato cultivation and the production is very high. It has a huge potential for setting up of potato

processing units. The state also produces onion, sweet potato and tapioca as given in Exhibit 17.

Exhibit 17 : Area and Production of Vegetables in Assam

276

15.5 29

585

20

283 297

15.67

32.980

31.58.7 2.8

13.5 10

129

19 12

669

32

587

Brinjal Cabbage C Flower Tomato Onion Potato S Potato Tapioca Okra Peas Others



ARUNACHAL PRADESH

Exhibit 18 : Area and Production of Fruit Crops in Arunachal Pradesh, 2008-09

Arunachal Pradesh specializes in growing different tropical and sub-tropical fruits like apple, plums, pear, pineapple, walnut,

chestnut, orange and guava.

This state has tremendous potential for fresh and processed fruits and vegetables, mushroom processing, alcoholic beverages,

ginger paste, ginger powder and starch based units from potato. Area and production of fruit crops is given in the Exhibit 18.

10.8 9.85.3

15.3

2528.4

9.3

37.8

7.2

16.7

Apple Banana Citrus Pineapple Others



Arunachal Pradesh has low temperatures and it is largely a hilly region, making it suitable for the cultivation of potato.

Production of seed potato could also be considered in Arunachal Pradesh. The area and production of vegetables in Arunachal

Pradesh is given in Exhibit 19.

19

Exhibit 19 : Area and Production of Vegetables in Arunachal Pradesh, 2008-09

Potato Others



MANIPUR

Manipur abounds in the production of fruits such as banana, pineapple and citrus which take a major share in the state. In

addition to these, the state also produces guava and papaya. The area and production of fruits in Manipur for the year 2008-09

is given in the Exhibit 20. The state has a huge potential for trading in fresh and processed fruits.

Banana Citrus Pineapple OthersArea(000 ha) production(000 MT)

5.6

71.7

7.254.9

8.6

78.5

21

136.7


Exhibit 20 : Area and Production of Fruit Crops in Manipur, 2008-09

Vegetables such as pumpkin, bottle gourd, cucumber and french bean are abundantly grown and the state has potential for

brinjal, tomato, chillies, capsicum, brussels and broccoli. Tomato, cabbage, cauliflower and radish can be grown as off season

vegetables. The area and production of various vegetables grown in Manipur are given in Exhibit 21.

Exhibit 21 : Area and Production of Vegetables in Manipur, 2008-09

Others


43.8

4 1.9

19.2

3.5

34

1.8

23.1

1.7

15.23.7

39

PotatoTomatoPeasC flowerCabbage


20

MEGHALAYA

Meghalaya has a climate which is conducive for the production of quality oranges, citrus fruits, pineapples, peaches, pears,

guavas, plums and bananas. It has an immense scope for commercialization of horticulture products and setting up of large

scale fruit processing units and cold storage facilities. The area and production of fruit crops is given in Exhibit 22.

Exhibit 22 : Area and Production of Fruit Crops in Meghalaya, 2008-09

7

82.8

10.143.1

0.7 5.6 10.8

106.8

4.4

56.5


Banana Citrus Papaya Pineapple Others


Meghalaya also produces tuber crops like potato, sweet potato and tapioca abundantly. The area and production of vegetables

in Meghalaya for the year 2008-09 is given in Exhibit 23.

Exhibit 23 : Area and Production of Vegetables in Meghalaya, 2008-09

20.3

221.7

5.5 19.2 4.9 26.4 13.7

148.5


S Potato TapiocaPotato Others


MIZORAM

Agriculture is the chief occupation of in Mizoram and the tropical and sub-tropical climate of the state makes it ideal for

growing horticultural produce. The chief horticultural crops of Mizoram are orange, banana and pineapple which have

witnessed a sharp increase in area and production. The area and production of various fruit crops are given in Exhibit 24.


8.7

66.4

10.6 10.6 1.2 10 1 4.5 0.4 2.4 12.229.2

Banana Citrus Grape Papaya Pineapple Others


Exhibit 24 : Area and Production of Fruit Crops in Mizoram, 2008-09

21

Mizoram has a diversified vegetable production ranging from tuberous vegetables such as potato, tapioca and sweet potato to

cole vegetables such as cabbage and cauliflower. The area and production of various vegetables in Mizoram has been given in

Exhibit 25.

2.98523.88

0.33 3.3 0.6 4.96 2.903 9.87

72.364

7.6

OthersPotatoTomatoC flowerCabbage



NAGALAND

Nagaland has varying soil and agro climatic conditions which are most suitable for horticultural production. The production of

various fruits in the state is around 5 lakh tonnes from a total area of about 43 thousand hectares. Area and production of fruit

crops grown in Nagaland is given in Exhibit 26.

However, there is tremendous potential for increasing the existing production by four times. The state abundantly produces

fruits such as pineapple, plum, bananas, passion fruit and citrus fruits. Integrated fruit processing units have tremendous

potential in the state.

Exhibit 26 : Area and Production of Fruit Crops in Nagaland, 2008-09

Exhibit 25 : Area and Production of Vegetables in Mizoram, 2008-9


0 0.1 2.7

59

5.717

0.2 0.1 0.3 1.4 3.7

57.5

0.7 5.6 4.49.7

Apple Banana Citrus Grape Guava Pineapple Papaya Others


Nagaland produces vegetables like melon, cucumbers, spinach leaf, mustard, onion, chilli, carrot, tomato and brinjal, which

are of high quality and have huge potential for fresh market as well as for processing. The area and production of vegetables in

Nagaland for the year 2008-09 is given in Exhibit 27.

22

1.510

0.132.2 0.2530.10.15 00.15 0.141 4

0 0.10 0.95 6 6.47

51.43


Potato Brinjal Cabbage C flower Okra Peas Tomato S Potato Tapioca Others


Exhibit 27 : Area and Production of Vegetables in Nagaland, 2008-09

SIKKIM

Sikkim is a small hilly state and horticulture is one of the major economic activities of its people. Almost 90% of large

cardamom produced in the country comes from the state. Apart from large cardamom, ginger and turmeric are the principal

crops while Mandarin orange, guava, mango, banana are the principal fruits grown in state.

Exhibit 28 : Area and Production of Fruit Crops in Sikkim, 2008-09

15

10

5

0


Citrus Others


There is a vast scope for seed production of various vegetables like broccoli, cabbage, cauliflower, beans and peas. Production

of high quality seed potato in Sikkim could be a potential activity as potato is grown abundantly here. There is a huge potential

for cultivation of gherkins and avocado in the state. Area and production of vegetables in Sikkim for the year 2008-09 are given

in Exhibit 29.

Exhibit 29 : Area and Production of Vegetables in Sikkim, 2008-09

1.1237.094

0.235 1.075 8.071

35.689

12.057

54.181

Tomato Onion Potato Others



23

TRIPURA

Tripura offers a lot of scope for growing fruits and vegetables as it has ideal climatic conditions with abundant moisture, rich

soil and ideal terrain for growing horticulture crops. Tripura is abundant in the production of fruits like banana, citrus

pineapple and mango, among others.

7.7

76.2

5.213.40.3 1.1 2.8

14.44.515.9

1.318.4

6.3

101.2

0.1 1 8.3

235.6

Banana Citrus Guava Litchi Mango Papaya Pineapple Sapota Others



Exhibit 30 : Area and Production of Fruit Crops in Tripura, 2008-9

Tripura produces large quantities of tuber crops such as potato and tapioca. There is a large scope of setting up potato

processing industry and also for diversifying into other vegetable crops. Rubber and tea are also produced in some parts of

Tripura. Agriculture and food processing are important industries in the state. The area and production of vegetables is given

below in Exhibit 31.

Brinjal Cabbage C flower Okra Tomato Others


2.9

38.4

1.9

41.4

1.722.4

1.1 10 1.324.9 16.7

157.6


Exhibit 31 : Area and Production of Vegetables in Tripura, 2008-09

2.1.2.2. Way Forward for Fruits and Vegetable Industry in NERThe following measures will take ahead the fruit and vegetable industry of the NER:

• Positioning of the fruits and vegetables grown in NER as organic and premium products

• Increasing supply chain efficiencies and distribution network

• Establishment of post-harvest storage facilities, collection centres and cold chains

• Improved packaging facilities minimizing the damages during transportation

24

• Ensuring better connectivity through improved transportation for the bulky and perishable fruits and vegetables

• Encouraging investment into the processing of fruits and vegetables by providing attractive incentives and bringing

policy reforms

The hilly and high rainfall areas of the NER provide favourable environment for the cultivation of high value spices like ginger,

black pepper, large cardamom, bay leaf, turmeric, cinnamon and others. The production of various spice crops in different

states of NER is given in Exhibit 32. Due to the inherently low usage of agro chemicals in the region, the NER lends itself to

being developed into the 'organic spices hub' of India. Cardamom is a perennial cash crop grown beneath the forest cover on

the marginal land in Sikkim and most of the produce is purely organic. Ginger grown in this area is less fibrous with high

moisture content and suitable for manufacture of ginger products like preserve, candy, crystallized ginger, ginger biscuits etc.

An oil and oleoresin extraction unit can be established to add value to the existing ginger and cardamom plantations. Sikkim

produces a special chilly locally known as 'Dalle Khorsani' which has a good aroma with considerable pungency. In Tripura

spices such as ginger, chillies, cardamom, pepper and turmeric are produced in sufficient quantities. Meghalaya also produces

spices such as ginger, chillies (dry), turmeric(green), black pepper and bay leaves.

2.1.3. Spices

Exhibit 32 : Production (in '000 tonnes) of Spice crops in NER

Spice Sikkim Nagaland Mizoram Meghalaya Manipur Assam AP

Cardamom (Large) 3.8 - - - - - -

Ginger 35.6 12.3 17.2 57.3 7.5 124 40

Turmeric 1.9 24.5 14.4 0.3 8.5 2.3

Chilli - 1.0 1.0 1.4 5.3 10.0 3.0

Bird Eye Chilli - 9 0.2 - - - -

Garlic - - - 0.1 0.1 22.2 -

Rapeseed & Mustard 4.0 26.6 0.2 4.9 0.2 122.9 23.8

Bayleaf - - - 16 - - -

Coriander - - - - - 19 -

Source: Spice Board, India and YES BANK Analysis

Spices such as the lakadong turmeric, bird eye chilli and ginger grown in the NER have high intrinsic value and hold vast

industrial and pharmaceutical potential. The percentage of active ingredients present in the spices grown in the NER is greater

than those grown in any other part of the country (Refer Exhibit 33). Hilly areas of Sikkim, Nagaland, Meghalaya, Mizoram,

Manipur and Arunachal Pradesh hold high potential for large cardamom, organic ginger, turmeric and chillies.

Exhibit 33 : High Intrinsic Value of Spices produced in NER

Item Active Ingredients

% in North-east Produce % in Produce from Other Regions

Lakadong Turmeric Curcumin 6.8-7.6% 3-4%

Bird Eye Chilli Capsaicin 1% 0.5-0.6%

Ginger Oleoresin 5.9-8.56% 5-8%

Source: Spices Board, Government of India

25

Availability of high quality spices in the NER makes it a potential organic spices export hub. Spices are exported to countries

such as Malaysia, China, Indonesia, Srilanka etc.

Spice End Product World Market

Quantity (MT) Value (INR. Crore)

Birds Eye Chilli Capsaicin 2000 110

Chilli Oleoresin 2500 300

Turmeric Curcumin 300 35

Ginger Oil 30 14

Oleoresin 250 28

In Brine 100000 500

Candy 18000 350

Source: Spices Board, Government of India

Exhibit 34 : Export Potential of North-eastern States (Spices)

2.1.3.1. The Way Forward for North-east Spice Industry

It is important to prepare the NER to compete with far Eastern countries by encouraging organic production, value addition

and export of:

1. Pepper

2. Large cardamom

3. Turmeric

4. Ginger

5. High colour chilli and

6. Culinary spices

7. Rosemary, thyme, parsley and oregano

Promotion of spices grown in the NER under common logo preferably on retail packaging is required. ITC has shown its

willingness to work in association with Sikkim, Meghalaya and Nagaland and the Spice Board for cultivation, processing and

export of cardamom, ginger, turmeric and Naga chillies. Tata Tea is investing in the cultivation of black pepper and marketing

of ginger and other spices. The Spice Board pays the cost for obtaining organic certification for the growers and has recognized

12 agencies for this purpose. The Spice Board presence in the NER needs to be strengthened with the board focusing on

assisting the states and growers for improving productivity and marketing the produce. Current investments by the Spice Board

in the NER are inadequate (INR.17 crore has been proposed to be invested during the Eleventh Plan).

In the North-eastern Region a number of incentives are being offered to industrial units by the central government as well as

state governments. Some of the incentives are listed below.

For accelerating industrial development in the entire North-eastern Region (NER), Department of Industrial Policy and

Incentives from GoI to promote spices production and processing:

North-east Industrial and Investment Promotion Policy (NEIIPP), 2007

26

Promotion had announced an Industrial Policy titled the North-east Industrial Policy (NEIP), 1997 on 24.12.1997. Similar

policy was announced for the State of Sikkim in the year 2002. NEIP, 1997 was revised with the approval of CCEA and the new

‘North-east Industrial and Investment Promotion Policy (NEIIPP), 2007’ was notified by DIPP on 1.4.2007, which is effective

for 10 years. The Policy now covers Sikkim also. Under NEIIPP, 2007, benefits of the following Schemes and incentives are

available to Industrial Units in NER for period of ten years from the date of commencement of commercial production:

a) The Scheme provides for Capital Investment Subsidy @ 30% of the value

of plant and machinery, without any upper ceiling. The limit of automatic approval of subsidy is Rs. 1.50 crore; Grant of

subsidy higher than Rs.1.50 crore but upto a maximum of Rs. 30 crore would require approval of an Empowered

Committee; Grant of subsidy higher than Rs. 30 crore, would require approval of the Union Cabinet.

b) The Scheme provides for an Interest subsidy @ 3% on working capital loan taken by

an industrial unit.

c) Provides for 100% reimbursement of insurance premium paid by an

industrial unit.

d) Besides benefits under the above-mentioned Schemes, NEIIPP, 2007 also provides for fiscal benefits

like 100% Excise duty exemption on finished goods made in NER and 100% Income tax exemption for a period of ten

years.

In addition to ‘manufacturing sector’, the benefits under NEIIPP, 2007 have, for the first time, also been extended to ‘service

sector’ (hotels- not below two star category, nursing homes- minimum capacity 25 beds, old age homes, adventure and leisure

sports, training institutes etc.), ‘Bio-technology Industry’ and ‘Power generating Industries upto 10 MW also.

A Negative List/List of activities of low value addition has been introduced for the first time in order to prevent environment

pollution and health hazards. The list includes Tobacco and manufactured tobacco substitutes, Pan Masala, Plastic carry bags

of less than 20 microns.

The Transport Subsidy Scheme was announced on 23.7.1971 with the objective of promoting industrialization in the remote,

hilly and inaccessible areas by providing subsidy on the transportation cost incurred by the industrial units on movement of

raw material and finished goods so that they could withstand competition from similar industries located in other areas, which

are geographically better, placed. The Scheme is applicable to 14 States/UTs including North-eastern states.

The Scheme is applicable to all industrial units (barring plantations, refineries and power generating units both in public and

private sectors, irrespective of their size). The scheme has been extended from time to time.

Central Capital Investment Subsidy Scheme:

Central Interest Subsidy Scheme:

Central Comprehensive Insurance Scheme:

Fiscal Incentives:

Transport Subsidy Scheme, 1971

Quantum of Subsidy

Period of eligibility

Nodal Agency

Subsidy ranging between 50% and 90% of the transport cost for transportation of raw material and

finished goods to and from the location of the unit and the designated rail-head. (For North-east

States, J&K and UTs, the subsidy is 90%. For H.P. and Uttarkhand and Darjeeling District of West

Bengal, the subsidy is 75%. However, for movement of goods within NER, the subsidy is 50 %.)

The subsidy is eligible to a unit for a maximum period of five years from the date of commencement

of commercial production. The period includes the period of ‘substantial expansion.’

The disbursement of subsidy to the eligible industrial units is made through North-east

Development Financial Corporation (NEDFi), Guwahati for North-eastern Region

27

North-eastern States offer immense potential for large-scale cultivation of spices. It is anticipated that the region can create

exportable surpluses at competitive prices so that the top slot occupied by the country in the international spice market would

be maintained. It also gives large-scale employment opportunities and wealth creation in the area. The major activities

proposed are:

Large Cardamom presently grown in Sikkim and parts of West Bengal is being extended to the States of Arunachal Pradesh,

Meghalaya, Mizoram, Manipur and Nagaland. To motivate the growers Spices Board proposes to provide Rs.17, 500/- per ha.

as subsidy.

To provide forward linkage to expansion of large cardamom production, 15 community curing houses each with a capacity of

1000 Kgs are proposed to be constructed during the last three years of the plan period. The entire cost will be borne by the

Spices Board.

Board proposes to support development of organic pepper in all the North-eastern States by offering 33% of the cost as subsidy

with a ceiling of Rs.12, 500/- per ha.

The climate in the North-eastern States is suitable for cultivation of herbal spices and Spices Board proposes to introduce these

crops in North-eastern States by providing a subsidy of Rs.20, 000/- per ha.

In order to equip the growers in North-eastern States to produce organic inputs, Spices Board proposes to provide Rs.1250/- as

grant-in-aid per unit.

Lakadong Turmeric is a much sought after variety by the extraction industry because of its high curcumin content (<5.5). It is a

location specific variety grown in Meghalaya. Spices Board proposes to extend its organic cultivation in 1000 ha during the

plan period by providing Rs.12,500/- per ha as subsidy.

Ginger is widely cultivated in North-eastern States. Organic cultivation of varieties like Nadia and China are proposed to be

promoted for export market by providing Rs.12,500/- per ha as subsidy.

To support ginger and turmeric growers to take up scientific drying of their produce for fetching better prices, Board proposes

to provide Rs.10,000/- per drier as subsidy.

Large Cardamom Development

Construction of Large Cardamom Curing Houses

Production of Organic Pepper

Development of Herbal Spices

Setting up of Vermicompost Units

Organic Cultivation of Lakadong Turmeric

Organic Cultivation of Ginger

Supply of Driers for drying Ginger and Turmeric

28

Construction of Warehouse-cum-Cold Storages

Training for Officers and Farmers in North-eastern States

Working procedures- full details on the above schemes is available with Spices Board and local state offices

In order to insulate farmers from the adverse impacts of the price fluctuations, Spices Board proposes to set up 4 warehouse-

cum-cold storages with a total capacity of 3000 tons during the plan period. The programme will be implemented with the

assistance of the State Agricultural Market Committees/Agricultural Marketing Boards/Agro Industries Corporation / Agri-Horti

Department/Farmers’ Groups.

Board proposes to train officers of the Agricultural/Horticultural Departments in North-eastern States, and growers in various

production, post harvest, quality management and export processing aspects. These programmes will be conducted also in

training centers outside North-east.

Looking at the incentives offered, at least two major initiatives have taken the first steps as detailed below:

• The state government of Nagaland is planning to set up an agro and food processing Special Economic zone (SEZ). This

will be the first ever SEZ in North-east India. This SEZ will be set up in the Export Promotion Industrial Park (EPIP) which

is non-functional now. The Union ministry of commerce and industry notified 50.70 hectare in Ganeshnagar under

Dhansiri sub-division in Dimapur district as a Special Economic Zone with a proposed investment of INR 35 Crores. The

investment for the SEZ is jointly made by the state government and Nagaland Industrial Development Corporation Ltd

(NIDC). Already, aMoU has been signed up with a Korean firm which will set up ginger processing units. A number of

other players from the agro and food processing sector are showing keen interest in investing in the SEZ

• The Govt. of Assam is setting up a Mega Food Park at NathKuchi in Nalbari district under the MFP scheme under the

Ministry of Food processing. The total project area is 150 acres. The basic idea to set up the park is to provide facilities

like storage, testing & skill development, training facilities apart from providing infrastructure to the investors. The total

project cost is INR 75 Crores. The Grant in aid from the Ministry of Food Processing Industries is 50 Crores. Equity

contributions are INR 15 Crores and term loan is INR 10 Crores. The name of the food park is “North-east Mega Food

Park Limited” and the SPV partners are AIDC, Ozone Ayurvedics, LMJ International Ltd, Rajsekhar construction Pvt. Ltd

& ASIDC.

Plantation crops are high-value crops of great economic importance and provide huge employment opportunity, especially to

the women throughout the year. The sub-tropical climate of the NER is extremely favourable to the cultivation of many

plantation crops. Major plantation crops grown in the NER are tea, coffee and rubber. Suitable land and climatic conditions

provide favourable environment for tea, coffee and rubber plantation in Arunachal Pradesh, Manipur, Meghalaya, Mizoram

and Nagaland, but it is not fully exploited. At present 3.33 lakh ha area are under these crops in the region, which is a major

source of revenue to the economy of the states. The organically grown plantation products have been gaining popularity

worldwide and fetching premium price both at the domestic as well as international market.

A total of 5,473.54 ha area is under coffee cultivation in the NER. The maximum plantation area is in Nagaland (2,129 ha)

followed by Mizoram (933.8 ha), Meghalaya (866.20 ha) and Assam (754.39 ha). Coffee holdings are small and scattered.

Both the traditional coffee varieties namely Robusta and Arabica are grown in this region. However, the production of Arabica

variety is more in the NER.

2.1.4. Plantations

2.1.4.1. Coffee

29

Exhibit 35 : Coffee Production in NER

Coffee Board has been implementing a Special Area Programme (SAP) in the NER from the Ninth Plan onwards. A total of

INR.118.3 lakh has been disbursed by the Coffee Board under “Coffee Development in North-east Region”.

Rubber plantations provide gainful self-employment and sustainable livelihoods. It generates direct employment—around

1,000 man days/ha. During the immature phase it provides permanent jobs for seven persons per 10 ha. in mature phase. It

provides indirect employment—nursery, production and distribution of plantation inputs, intercropping, rubber dealers,

processors, rubber wood cutting, sale, processing and furniture making. It has potential for export of natural rubber (NR) goods

to neighbouring countries when production increases. In 2007, the Rubber Board had a INR 528 crore plan to double the area

under rubber cultivation in the NER to 60000 ha in the next 10 years. The plan envisages to cover 60% of the area within 5

years.

2.1.4.1. Rubber

Coffee Productioon Production (MT) in North East Region

Robusta

60

Arabica

75

Source: Coffee Board, YES BANK Analysis

Exhibit 36 : Area under Rubber Plantation in NER

Area(’000 ha under Rubber Plantation in NER

0.8 0.2

1.6

9

29

13

4 2

Tripura Assam Meghalaya Nagaland

Source: Rubber Board, YES BANK Analysis

30

Rubber plantations are a success story in Tripura which is now the 2nd largest rubber growing state with 33.7 per cent of the

potential area under rubber. The Tripura Forest Development Plantation Corporation has taken up commercial planting of

rubber while the Tripura Tribal Areas Autonomous District Corporation (TTAADC) is involved in tribal settlement through

rubber planting. The Government of Tripura has contributed 40 per cent of the cost of Community Processing Centres and

established a Rubber Park with common facilities for rubber based industrial units.

Against a potential of 4.5 lakh ha in the NER, the present rubber plantation area covers just 13 per cent. The factors restricting

the growth of rubber plantation are lack of technical assistance, shortage of manpower, insufficient supply of planting material

and law and order problems. The Rubber Board started activities in the NER by opening a field office in Agartala in 1967. From

1985 onwards special schemes for rubber development in the NER with components for development, research have been in

operation.

China and Assam are the only two regions in the world with native tea plants. The NER account for 55 per cent of area under

tea and 53 per cent of the total production. The region has 2.8 lakh hectares under tea plantations producing 494 million kg of

tea (Refer Exhibit 37). Assam and Tripura are the traditional tea growing States. Assam alone accounts for nearly 98% of tea

produced in the NER. The second largest producer is Tripura with only 8,200 hectare under tea and producing 7.5 million kg.

Since Eighth Five Year Plan, efforts have been made to introduce tea in other states such as Arunachal Pradesh Nagaland,

Sikkim, Manipur, Meghalaya and Mizoram which together produce about 10 million kg of tea at present.

Exhibit 37 : Tea production in NER and India, 2007

2.1.4.3.Tea

Tea production (Million kg) in NER and India

955.91

493.63

NER India

Source: Industry and YES BANK Analysis

Assam tea is well known for its distinctive quality, especially for its strong strength and a rich body, taste and color. In order to

provide it a distinct identity, the Tea Board had introduced a logo for Assam Tea. Steps have been also been initiated to register

Assam orthodox tea as a G.I (geographical indicators). The tea produced in non-traditional NER is of superior quality as they

are young and mostly colonial plantations. There is good scope for producing organic and other specialty tea in this region

Assam orthodox tea /CTC are mainly exported to developed markets such as UK and Europe. There is a scope for exporting

specialty tea including organic and high-grown tea that are produced by small growers in the hilly non-traditional regions.

31

Assam has a dry port at Amingaon. In order to facilitate direct export, incentive @ INR 1.50 per kg is provided by the Tea Board

towards the cost of freight and handling charges of containers from Amingaon ICD up to the point of trans-shipment at Haldia

port in West Bengal.

NER has a tremendous potential for growth in the plantation sector. Emphasis should be given on certain aspects to fully utilize

the potential such as:

• Research and development for increasing productivity and disease resistance of cultivars

• Establishment of processing units in the vicinity of the production centers to ensure quality of processed products

• State intervention to address the issues pertaining to small holdings, community holdings

• Availability of ancillary supporting infrastructure for regular supply of raw materials, inputs, agro-chemicals and other

requirements

• Incentives for the branding and promotion of export of organic produce from the NER

The NER especially Arunachal Pradesh, Tripura and Sikkim have a great potential for commercial floriculture. Arunachal

Pradesh offers great potential for the development of floriculture and studies suggest that flowers such as cymbidium,

gladiolus, lilium, dendrobium, anthurium and foliage plants are best suited to capture this potential. Exhibit 37 depicts the

recommended flowers for potential areas of cultivation.

Exhibit 38 : Potential Areas of Different Flowers in Arunachal Pradesh

2.1.4.4. Way Ahead for Plantation Industry

2.1.5. Floriculture

Sl. No. Potential Area Recommended flowers

1 Ziro-Hapoli Cymbidium, Gladiolus, Lilium

2 Itanagar Dendrodium, Anthurium, Foliage Plants

3 Bomdilla Cymbidium, Gladiolus, Lillium

4 Tawang, Dirang Cymbidium

5 Namsai Gladiolus

6 Pasighat Anthurium, Gladiolus, Dendrobium, Foliage Plants

Source: Dept. of Horticulture, Naharlagun, Arunachal Pradesh

Sikkim is the paradise of flowers. The present area under floriculture is about 118 Ha which is mostly concentrated in east and

south districts. The total cut-flower production is about three million while production of planting materials, mostly bulbs is

estimated at 3.5 million. Gladiolus has been under cultivation for more than six decades and is still a popular flower. The total

area under this flower is about 50 Ha with total production of more than three million top sized corms and about two million

cut flowers. This is under extensive cultivation mainly in 4-5 villages in south Sikkim, where favourable and conducive soil

and microclimate prevails. Recent years has seen an upsurge in the cultivation of rose, cymbidium orchids, lilium and

anthurium supported by Technology Mission of Government of India. Cymbidium is the most important flower with a

potential to emerge as a monopoly crop in future.

In Assam, a wide range of ornamental flowers are found such as gladiolus, lilies, chrysanthemum, roses, anthurium, gerbera

and dahlia. Orchids also deserve special attention. The State can also promote the cultivation of cymbidium, paphiopedilum

and dendrobium which are in great demand.

32

A variety of commercially important flowers are found in Meghalaya because of favourable climatic conditions. The main

ones are orchids, bulbous plants, birds of paradise, chrysanthemum, gerbera, gladiolus, marigold and carnations.

Nagaland abundantly houses flowers such as cymbidim tribe, dendrobium tribe, cattle and vanda. There is great scope for the

expansion of floriculture for commercial purposes.

The North-eastern States are a treasure house of valuable medicinal and aromatic plants. Most of the medicinal plants are

harvested in the wild to be used in Indian System of Medicines. Many of the plant derivatives have industrial applications too.

Exhibit 38 illustrates for some of the industrial products derived from various medicinal and aromatic plants grown in

Arunachal Pradesh.

Exhibit 39 : Various plant derivatives from Arunachal Pradesh having industrial applications

2.1.6. Medicinal Plants

Sl. No. Industrial Products Name of Plants

1 Ajmaline

Rescinnamine

Reserpine Sarpagandha (Rauvolfia serpentine)

2 Ajmalicine Periwinkle (Catharanthus roseus) and Sarpagandha

3 Atropine Bishalyakarani (Atropa belladonna), Dhatura (Datura

stramonium)

4 Caffeine

Theobromine

Theophylline Chahgoch (Camellia sinensis)

5 Citronellal

Citronellol Java Citronella (Cymbopogon winterianus)

6 Colchicine Agnishikha and Uluchandan (Gloriosa superba)

7 Curcumum Haldi (Curcuma longa)

8 Dimethyloctane Java Citronella

9 Eugenol Dalchini, Tejapat

10 Geroniol Geranium (Pelargonium graveolens)

11 Hyoscyamine Bishyalakarani

12 L-Dopa Bandar kekoa (Mucuna prurita)

13 Lynalool Podina (Mentha citrate)

Linalyl acetate

Menthol

15 Marsilin Pani tangeshi (Marselia minuta)

16 Papain Omita (Carica papaya)

17 Sarpagandha

18 Strychnine Mekuri kendu (Strychnos nux-vomica)

19 Vetiverol

Vetiveryl acetate Birina (Vetiveria zizanioides)

20 Vinblasin

Vincristine Periwinkle (Catharanthus roseus)

Source: Industry

33

Development of medicinal plant is one of the thrust area in the NER. There are more than 500 species of medicinal plants in

Arunachal Pradesh alone. Most of these are in great demand by pharmaceutical companies. So priority should be given to

produce these on a commercial scale. Similarly, Mizoram and Tripura have tremendous potential in commercial cultivation

of medicinal plants.

The major constrains to the growth in horticulture are:

• Small landholdings particularly in the plains (0.63 acre per operational holding in Assam) preclude mechanization of

agriculture.

• Scarcity of water in the high altitudes, driven by water run-off leads to lack of water for agriculture particularly during the

winter despite having abundant rainfall in summer.

• Lack of irrigation facilities and absence of water-retention practices severely limit possibilities of multiple cropping

resulting in low land productivity.

• Ownership of land not by individuals but by the community as a whole (in some states).

• Practice of jhum or shifting cultivation.

• Floods and bank erosion are annual phenomena in the Brahmaputra river basin.

• Lack of funding and investment in horticultural sector.

The following steps can help overcome the constraints:

• Land reforms ensuring land ownership to the tiller.

• Provision for multiple-cropping by using short-duration crops.

• Mechanization of agriculture, creation of provision for irrigation and water retention.

• Skill up-gradation of farmers.

• A shift to commercial farming such as horticulture and floriculture.

• Provision for market formation.

The potential for growing various commercial crops such as tea, pineapple, large cardamom, oranges, banana, rubber and

ginger have been clearly demonstrated in the region. There is tremendous potential for cultivating horticultural crops in the

hills, but success depends upon various factors such as:

• The development of rural infrastructure including marketing links, cold storages and processing facilities

• Improvement in extension services with better provision of good quality seeds, inputs and seedlings.

• Significant research and extension services to adopt improved practices and control pests

• Expansion of horticulture in tribal areas to replace jhumming (it is a challenging task and the strategy for this has to be

worked out carefully).

• Formation of Self-Help Groups comprising fruit, vegetable and flower growers, and providing training and micro-

finance support.

• Increase private sector participation through tie-ups [The high fertility of virgin land in hill areas of the region is

conducive for the introduction of organic farming of horticultural crops under the National Programme for Organic

Production (NPOP)].

2.1.7. Major Constraints to Horticultural Growth

2.1.7.1. Steps to overcome the constraints

2.1.8. Horticulture- The Way Forward

34

• Harmonising the policies among different states in the NER. The government should work towards bringing states

together to negotiate with large agro-processing firms.

With the provision of complementary infrastructure and services, by 2020 the area under fruit cultivation could be increased

by 50 per cent (from the present level of 4 lakh hectares to 6 lakh hectares) and production of fruit crops could be raised from

the prevailing 40 lakh MT to 60 lakh MT.

Under conditions of relatively small land-human ratio and low agricultural productivity in the NER, animal husbandry forms a

complementary source of employment and livelihood. Livestock rearing is an important enterprise in the NER. The NER in the

past has not been able to keep pace with the agricultural production of the rest of the country including animal husbandry and

dairying. The main stumbling block has been the lack of basic infrastructure including road communication, marketing and

input supplies.

The NER has the largest number of nondescript animals in the country predominantly amongst the tribals and other socially

and economically deprived groups, who are basically landless, small and marginal farmers.

The milk production profile of the eastern region and NER vis a vis the nation as a whole shows that the region is lacking in per

capita milk availability as well as yields. (Exhibit 40)

Exhibit 40 : Milk production profile of North-eastern Region

2.2. Dairy Farming in NER

Parameters National Level North Eastern Region

Human Population (in thousands) 353060 44004

Milk Production (in thousand tonnes)o Cow Milko Buffalo Milko Goat Milk

10480

41 %53 %4 %

1112

68 %11 %3 %

Per Capita Milk Availability (ingms/day)

258 89

Milk Bovine Population (in thousands)o Cross Bred Cowso Indigenous Cowso Buffaloes

123021522150973

4393244296

Average Milk Yield Per Day (in kgs)o Cross bred cowso Indigenous cowso Buffaloes

6.522.094.44

5.691.061.53

35

2.2.1. Government Initiatives

Exhibit 41 : Various Government Initiatives for dairy development

Scheme Purpose Component

New North-eastIndustrial &InvestmentPromotion Policy

Promotion of investments by all new aswell as existing units effecting anincrease of 25 % or above in plant &machinery for expansion/modernization/diversification locatedanywhere in NER.

i) 100 % excise duty exemption onfinished products ii) 100 % incometax exemption Reimbursement of 100% insurance premium iii) 3 % interestsubsidy on working capital loan iv)30 % capital investment subsidywithout any limit

Venture CapitalFund for DairySector

Provision of financial assistance forimproving the quality of milk handledby the non – organized sector/small –scale milk producers in rural areas.

50 % subsidy on interest componentfor establish ment of small dairyfarms, purchase of milking machines,dairy processing equipments, coldstorage etc.

Integrated DairyDevelopmentProject in Non –Operation Flood,Hilly & BackwardAreas

Development of milch cattle/buffaloes,increasing milk production ,procurement, processing & marketing ofmilk in a cost effective manner,generation of additional employment

100 % grant– in – aid basis

StrengtheningInfrastructure forQuality & CleanMilk Production

Creation of necessary infrastructure forthe qualit y milk & milk productsproduction, improvement of milkingprocedures & training & strengtheningof infrastructure for clean milkproduction.

100 % grant – in – aid for all thecomponents except bulk coolers (75 :25)

2.2.2. Constraints in Milk Production

Exhibit 42 : Various constraints in milk production

High density of Bovine Population Pressure on existing feed resources which are already scarce.

Poor Animal Management Lack of scientific knowledge management due to lack of desiredlevel of linkages among research, development, extension &financing agencies.

Scarcity of Feeds & Fodders Negligible area under cultivation of fodder crops & procurementof concentrates from other states increasing the cost of milkproduction.

Low Genetic Potential of Animals Majority of the milk producers are non – descript type & pooryielders. Age at first calving & larger inter calving periods makedairying less remunerative.

Lack of Financing Agencies Availing loan is difficult due to complexity of procedures

Absence of Adequate

Infrastructural

Facilities

Lack of AI coverage, frozen semen centres, milk pasteurization &chilling plants, feed mixing plants, fodder seed production units,road

36

2.2.2.1. Steps to be taken to overcome the hurdles

2.3. Fisheries

The following steps needs to be taken to overcome the bottlenecks in the development of the dairy sector in the NER. These

include:

1. Improving the feed resource base both qualitatively and quantitatively. For increasing the fodder production, measures

such as inclusion of fodder crops in Watershed Development Programmes (WDP), planting of fodder trees and grasses

on wastelands, promotion of silvi-pasture and agro forestry systems at farmers fields need to be taken up aggressively.

2. Appropriate breeding policy for maintaining optimum productivity.

3. Strengthening of artificial insemination (AI) techniques using frozen semen technology, covering more areas under AI

service, use of mobile AI vans amongst others

4. Extension on basic components of animal husbandry practices like good management, balanced feeding, disease

control

5. Formation of milk cooperatives at each district level

6. Establishment of milk processing plants to provide quality milk to consumers

7. Increased production of local feed ingredients by establishing of feed mixing plants enabling manufacture of low cost

concentrates mixtures using locally available feed materials

8. Formulation of appropriate legislative rules and regulation to prevent adulteration of milk.

The NER has abundant water resources. It hosts approximately 38% of India’s run-off water flows through Brahmaputra and

Barak rivers and offers tremendous potential for production of fish.

The fisheries along with the livestock sectors together account for about 30 per cent of the value of the output of the agriculture

and the allied sector and provide employment (both full-time and part time) to 5.5 per cent of the total working population - a

majority of who are women.

The two main fish-producing states in the NER are Assam and Tripura, partly reflecting regional tastes as well as the availability

of resources (mainly storable water) for fish cultivation. But per capita production in the NER (5.9 kg.) is lower than the national

average of 6.2 kg. The low per capita production coupled with the high demand intensity for fish, results in a high regional

dependency on fish ‘imports’ from Uttar Pradesh (UP), West Bengal, Bihar and Andhra Pradesh.

The region has a good hygroscopic profile and the river system of the region reveal a good repository of the aquatic resources

and have great potential for development. The region has potential of both warm as well as cold water fishery. The water

resources can be further classified into lakes and beels, tanks and ponds. A comprehensive strategy is needed for the

development of the water resources involving identification of potential, proper planning and phase wise implementation.

37

Fish is an important source of protein in the diet of the people of the NER. The annual fish production is reportedly about

2,46,690 metric tonnes and the annual estimated fish requirement 2,80,000 metric tonnes. The perennial problem of floods,

under utilization of aquatic resources and low-lying areas, use of unscientific methods in fishing and indiscriminate poaching

of brood fish are some of the main reasons for the current low fish production.

Substantial portion of the wasteland needs to be converted to the rice-cum-paddy culture.

Beels are the major fishery resources, however a major portion have been rendered unproductive due to excessive siltation

and growth of weeds and only 33% of the potential is used for the purpose of fishery. The potential of large Beel fisheries has

not been harnessed so far, as no development effort has been taken up due to financial constraints.

2.3.1. Potential of Fishery in NER

Exhibit 43 : North-East Fishery Resources

S No State/UT’s Rivers and

Canals

Km.

Reservoirs

(Million Ha)

Ponds and Tanks

(Million Ha)

Beels, Ox Bow

Lakes &

Derelict Water

Bodies

(Million Ha)

1 Assam 4,820 0.002 0.023 0.11

2 Manipur 3,360 0.001 0.01 0.004

3 Meghalaya 5,600 0.01 0.002 Neg

4 Nagaland 1,600 0.02 0.05 Neg

5 Sikkim 900 - - 0.003

6 Tripura 1,200 0.005 0.013 -

Pradesh7 Arunachal 2,000 - 0.28 0.04

8 Mizoram 1,395 - 0.002 -

Total 20,875 0.038 0.380 0.157

Source: Hand Book on Fisheries Statistics, 2006, DAHD, MoA, Govt. of India

250

246

240

235

230

225

220

215

210

205

1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07(P)

219.7 3 221.27 223.41

228.5

233.46

241.01

246.36 246.69

Total Fish Production ( In 000 Tonnes )

Source: Ministry Of Agriculture

Exhibit 44 : Total Fish Production in the North-east

38

Asia's biggest dry fish market is located at Jagirod, Assam. It is a INR 400 crore annual business and on average 400 truck load

of dry fish is sold in this market every year.

There is a great export potential for ornamental fishery in the region which is a successful commercial aqua business venture.

The presence of diverse natural bodies, mild climate and abundance of ornamental fishes in the region is an added advantage.

The NER has 196 ornamental species out of which 154 have been identified as viable for export. Manipur in particular has rich

fish resource. A variety of endemic species found in the Wet land ecosystem (Loktak and other lakes) have been documented.

Several migratory fishes along the Chindwin-Irrawaddy and Barak river systems have also been listed. As many as 140 fish

species (only in Manipur) have been found, including a number of small ornamented fishes in the hill streams. In addition,

many edible snails and mussels, edible red algae, Lemanea australis (Nungsam) are also available in this region. Altogether 40

imported (exotic) ornamental fishes containing 72 varieties are traded in the NER.

The region has immense potential for mass production of exotic varieties because of availability of the reliable technology for

breeding, raising, feeding, stocking and as well as conducive culture for growing. Small farmers with limited infrastructure

capabilities need to be promoted for area specific ornamental fish culture, with support in the form of scientific and systematic

exploration of its potential.

Monoculture of fresh water prawn or poly culture with fish is highly profitable. There is an ample scope for commercial culture

of freshwater mussels and prawn and also hill stream fishes many of which are highly prized with good demand in domestic as

well as the international market.

Development of storage and transport infrastructure to export fish to other states would however be required to exploit the

potential fully. It is also important to ensure that fisheries are exploited rationally. There is also a need to strengthen the

cooperative movement in Assam to usher in a revolution in fish farming.

Sericulture is one of the most important cottage industries in the NER. Sericulture involves a series of bio-technological

processes for the production of silk providing multiple ways of income generation to the rural masses. The activities involved

in sericulture are plantation of host plants, rearing of silkworms and processing of silk from cocoon for textile industry. It is a

land based labour intensive agro industry. This industry is rightly known as "the industry of the poor' that produces the 'Queen

of Fabrics'.

Sericulture mainly deals with five types of silkworms that feed on different host plants to produce various qualities of silk, viz.

Bombyx mori (mulberry silkworm) that feeds on Mulberry leaves, Philosomia ricini (eri silkworm) feeding on castor leaves,

Anthraea assama (muga silkworm) feeding on som and soalu leaves, Anthraea proylei (temperate/ oak tasar silkworm) feeding

on oak leaves and Anthraea mylitta (tropical tasar silkworm) feeding on terminalia leaves.

Out of these the famous non-mulberry silks like Tasar, Eri, and Muga are produced traditionally in the NER. Muga is the pride

of the Assamese ladies. Oak tassar was introduced in Assam only in 1972. To promote sericulture in the NER, an amount of

INR 37.45 crores has been allocated under plan as central share for implementation of various schemes in sericulture for

product development, diversification and marketing of non-mulberry silk. A Vanya (non mulberry) silk production-cum-

training centre has been established in Assam. Two out of six full-fledged training institutes have been set up by the Central Silk

Board (CSB) in the NER namely Jorhat (Assam) for muga silk and Mendipathar (Meghalaya) for eri silk.

2.4. Sericulture

39

Exhibit 45 : Production of Mulberry and Non-mulberry Raw Silk in NER, 2006-07

Production in MT

States Vanya SilkMulberry

Tasar Eri Muga

Total

Assam 750 107 868

Arunachal Pradesh 5.6 1.37 7

Manipur 374 0.18 444

Mizoram 4.5 0.2 10

Meghalaya 202 5.64 209

Nagaland 115 0.18 116

Sikkim 0 0 1

Tripura - 0 3

Total

11

0.3

69

5

1

1

1

3

91.3

1.3

0.1

0

0

1.4 1451.1 114.57 1658

Source: Lok Sabha Unstarred Question No. 1232, dated 21.08.2007

The NER abounds in the production of non-mulberry silk. Although these states together contribute nearly 9% of the total silk

production in India, their contribution in the total vanya (non-mulberry) silk production is to the tune of whopping 80% of the

total country's production. NER, we feel, could contribute significantly in meeting the demand of raw silk in India.

Exhibit 46 : Estimated Demand of Raw Silk in India, 2006-07

States Estimated Demand of Raw Silk (M.Ts)

2004-05 2005-06 2006-07

Andhra Pradesh 1500 1500 1500

Karnataka 7000 7250 7500

Tamil Nadu 1000 1500 1700

Jammu & Kashmir 100 100 100

Uttar Pradesh 5500 5500 6000

Bihar 100 150 200

West Bengal 2000 2000 2000

Assam 2000 2000 2000

Others 4800 5000 5000

Total 24000 25000 26000

Source: Lok Sabha Unstarred Question No. 2310, dated on 03.12.2007

40

India continues to be the largest importer and consumer of raw silk despite the fact that it is the second largest producer.

However, silk has a significant export potential and the NER could contribute significantly in boosting the export earnings.

Along with raw silk, other silk items like silk fabrics, garments and carpets are exported from India to various countries such as

Thailand, China, Hong Kong, USA, Denmark and Belgium.

Exhibit 47 : Silk Export Earnings in India (INR in crores)

Items of Export 2006-07 2007-08

Natural Silk Yarn, fabrics & Made-ups 2365.34 2400

Readymade Garments 817.87 925

Silk Carpets 132.36 150

Silk waste 22.78 25

Total 3338.35 3500

Source: Lok Sabha Unstarred Question No. 2310, dated on 03.12.2007

2.4.1. Government SchemesCentral Silk Board has implemented several projects for the development of sericulture in the NER. Some of those projects are

listed below:

• Manipur Sericulture Project

• Micro Project on Oak Tasar in Manipur

• SGSY Project for Mulberry in Mizoram

• Arunachal Pradesh-Muga and Eri

• Perspective Plan for Development of Vanya Silks in Arunachal Pradesh

• Development of Muga and Eri Culture in Assam-BTC

• Development of Eri Culture in Wokha and Mokokchung dists of Nagaland (Phase I)

• Development of Eri Culture in Mon and Tunensang dists of Nagaland (PhaseII)

Central Silk Board has also been implementing highly growth oriented schemes such as the Catalytic Development

Programme (CDP) during the XI Five Year Plan. The programme supports stake holders in operations ranging from food plant

cultivation to marketing of products in mulberry, tasar, eri and muga silk. Technology absorption, investment generation,

productivity improvement and employment generation form the basic objective of the programme. The centre has proposed

to implement the programme in the NER through independent vendors.

Exhibit 48 : Funds released by the CSB under Catalytic Development Programme in India

States Expenditure During

2003-04 2004-05 2005-06 2006-07 Total

Sikkim 16.45 43.27 25.51 54 139.23

Assam 315.28 442.21 922.53 611.95 2291.97

Arunachal Pradesh 48.79 88.63 54.19 61.58 253.19

Manipur 24 67.24 80.25 62.89 234.38

Meghalaya 87.39 173.19 183.49 142.88 586.95

Mizoram 106.97 141.71 367.91 182.71 799.3

Nagaland 32.31 106.45 151.59 127.77 418.12

Tripura 28.01 185.73 130.43 198.13 542.3Source: Central Silk Board, Government of India

41

Most of the components under CDP provide financial assistance with subsidy or assistance to be provided to the beneficiaries

both by the CSB and the concerned state government mainly under three heads -- seed, cocoon and post-cocoon.

• The sericulture industry today is faced with numerous problems which are creating hurdles in boosting production.

These inter alia include continuous fluctuation of prices of raw silk and cocoons. According to the industry circles, the

prices have declined 13% during the fiscal ended March 2008 due to lower export demand for finished silk goods

• Surge in cheap imports from China has also resulted in sharp drop in prices of raw silk, threatening the cultivators

dependent on silk farming

• Increased competition from synthetic fibres like viscose and polyester

• Research and development to optimize cost of production and enhancing the productivity

• Policy regulations to protect and promote domestic silk producers especially in remote areas like NER

• Promotion of blended and knitted silk as an alternative to synthetic fibres

• Branding and marketing of silk as an environment friendly, luxury product

• Improving infrastructure facility for production, storage, processing and marketing of silk and silk products

• Bringing in new more productive and stable silkworm races and improved silkworm rearing practices

• Improvements in reeling by promoting installation of modern technology based machines

• Encouragement of plantations of new food plants for tasar, eri and muga silk

• Enhancing value of silk by improving designs, colour combinations, finishing methods

• Promoting exports of value added silk products like dress materials and made-ups through incentives

• Develop a market for by-product of sericulture

Jute, sometimes called golden fibre, is a nature friendly fiber and has emerged as an alternative to plastic, especially in

packaging industry. Inherent qualities of jute such as cellulose composition, no emission of toxic gases on combustion, high

tensile strength, low extensibility, high frictional resistance and good dimensional stability make it a natural choice for

packaging.

Jute is grown widely in the NER such as Assam, Meghalaya, Nagaland and Tripura. Harvesting season for jute in Assam and

Meghalaya is July-August. More than half a million farmers are directly employed with this cash crop.

Constraints to the development of sericulture

Measures to overcome constraints

Sericulture in NER -Way Forward

Exhibit 49 : Production of Jute in NER ('000 bales of 180 Kg each)

2.5. Jute Sector in NER

States 2003-04 2004-05 2007-08

Assam 665 410.4 726.4

Meghalaya 35.7 20.2 73

Nagaland 6.1 6.7 25

Tripura 10.9 10.7 22

Source: Ministry of Agriculture, Govt. of India and Lok Sabha

42

Assam is the largest producer of raw jute amongst the NER states and ranks 3rd in country as a whole. Assam produces the best

quality raw jute in the country. More than 70% of the raw jute is sold outside the NER due to lack of adequate processing

facilities in the region. Within the NER, jute is consumed both in the household as well as the industrial sector (primarily the

mills).

Exhibit 50 : Different Products made from Jute

Category Product

Handloom Jute cotton fabrics for curtain cloth, bags and other made-ups, Foot mats, Floor mats,

Durries, decorative wall hanging, Jute-cotton carpet, lamp shade etc.

Braided Handicrafts Table mat, ladies hand bags, shopping bags, carpet, door-mat, hat, wall hanging, chappals,

lamp shade, hanging chairs, hammock etc.

Partial Production of Mills Sutli, fine yarn, Odourless jute fabrics, Hessian, gunny bags, jute tea bags etc

Source: North-eastern Development Finance Corporation Limited

Exhibit 51 : Areas known for jute craft in NER

Areas well known for jute craft in NER

Entire Dhubri district comprising of Gauripur, Alamganj, Salakura Char (River Island), Baglomari is famous for braided

products. Goalpara, Darrang, Nalbari, Barpeta, Sonitpur, Lakhimpur & Dhemaji, Morigaon, Nagaon, Golaghat, Sivasagar,

Tinsukia & Cachar, Manipur, in and around Imphal, Arunachal Pradesh in and around Itanagar, Almost all the districts in

Tripura are known for braided & loom based products.

The NER has sufficient jute production to meet the demands - both domestic as well as exports. Though consumption of jute in

India has been decreasing due to several factors (including threat from competitive products), it is expected to stabilize

because of increased Government initiatives such as mandatory usage of jute bags for packing of food grains and sugar for the

year 2008-09 (July-June) {enforced by the Cabinet Committee on Economic Affairs} .1

Exhibit 52 : Domestic Consumption of Jute Goods in India (in '000 MT)

Year (April-March) Hessian Sacking CBC Yarn

2003-04 253.3 910 0.3 29.8

2004-05 249.5 996.2 1.1 33.8

2005-06 237.6 974 0.7 -

2006-07 209.1 854.4 0.5 -

2007-08 (Projected) 240.7 964.7 0.3 -

Source: Office of the jute Commissioner, Government of India

1The cabinet has given exemption from the provision for sugar fortified with vitamins, packaging for export of the commodities, small consumer packs of 25 kg

and below and bulk packaging of more than 100 kg

43

India is the second largest exporter of jute, next only to Bangladesh. By 2010 it is projected that India will increase its

dominance of global jute production, accounting for 66 percent of the world production as compared to 58 percent in the past.

Export trend, as seen by experts, reveals that USA, Belgium, Syria, UK and Turkey have been the five major importing

countries for Indian jute goods in the past accounting for almost 51% of total value of jute goods. Other five major countries

importing jute from India were Japan, Egypt, Netherlands, Saudi Arabia and Germany (accounting for 18% of total value of

exports). Rising demand in China will increase demand for Indian jute which otherwise would have declined.

Exhibit 53 : Export of Jute Goods from India

Jute Product Qty:'000 MT; 2004-05 2005-06 2006-07

Value: INR In crore

Hessian Qty. 153.7 171.6 58.2

Value 425 439.35 156.8

Sacking Qty. 31.2 33.2 23

Value 77.72 99.64 60.5

Yarn Qty. 120.4 48.4 48.4

Value 336.6 168.2 168.2

JDP (Diversified Jute Products) Qty. - - -

Value 253.7 190.1 190.1

Others Qty. 16.5 9.3 9.3

Value 53.9 34.6 34.6

Total Qty. 321.8 138.9 138.9

Value 1146.9 610.1 610.1

Source: Ministry of Textile, Government of India

2.5.1. Challenges in Jute Sector

2.5.1.1. Measures to overcome the hurdles

The challenges faced by Indian Jute industry are:

• Competition from the synthetic sector

• High labour cost

• Obsolescence of machinery and uneconomic working

• Lack of financial assistance from banks/financial institutions for jute entrepreneurs (on account of low investment in

fixed assets and larger requirement of working capital)

• Non-availability of equipments and consumables

• Lack of skill at the local producers, artisans and traders level in bleaching & dying of yarn

Certain measures can help the jute industry overcome the challenges faced by the industry and move ahead. These are:

• Positioning of jute as environment friendly fibre

• Initiating entrepreneurship development programmes (EDP) for imparting skill, knowledge and resources to the local

people

• Research and development in improving the productivity and quality of jute

• Technology up-gradation

44

• Creation of infrastructure for storage and marketing of raw jute and improvement of the existing infrastructure

• Enhancing the product and market development activities for jute and diversified jute products

Under the Jute Technology Mission (JTM) 5 (five) schemes are being implemented in mini mission - III (MM-III) and 9 (nine)

schemes are being implemented in MM - IV. The funds earmarked for the NER are given below:

Exhibit 54 : Funds earmarked under Jute Technology Mission (INR in crores)

2.5.2. Government Initiatives

2007-08 2008-09

General states 29.50 72.00

NER 8.00 8.00

Total : 37.50 80.00

Source: Ministry of Textiles, Government of India

Under all the schemes in MM- III & IV efforts are being made for implementation of the projects in the NER. Especially,

following schemes have been targeted for the region.

• Scheme for development of market yards

• Scheme for construction of departmental purchase centres (DPCs)of Jute Corporation of India (JCI)

• Scheme for construction of retting tanks

• Scheme for demonstration of retting technology and training to jute growers

• Scheme for acquisition of modern machinery

• Scheme for promotion of jute diversification

• Scheme for helping NGOs and women Self Help Groups (SHGs)

• Scheme for jute parks in NER

The strategic thrust under National Jute Policy, 2005 will be for a new commodity development strategy incorporating the

following:

• Position jute and allied fibres as superior and environmental friendly materials vis-à-vis synthetics

• Check the erosion of the market for traditional fibre products and encourage diversification by timely regulatory and

promotional interventions.

• Enhance the productivity/yield of raw jute through basic, strategic, modern adaptive researchandimprove on - f a rm

practices

• Modernise the jute industry to improve efficiency in production and processing, to reduce cost and enhance product

quality;

• Address the issues pertaining to the welfare of workers engaged in the jute industry and to improve their working

environment conducive to a reasonable quality of life

• Increasing exports through innovative marketing strategies and improving the product design and quality parameters

• Minimizing environmental degradation that may result from the production of these fibres

45

2.5.3. Way Forward for the Jute Industry• Modernization and technological upgradation of the manufacturing sector should be taken up

• Reorientation of manufacture of jute goods as per current international requirements while addressing the issues of

quality and cost competitiveness;

• to energize the jute yarn and twine making sector in view of the rise in demand for Jute Diversified Products;

• Adopting environmental friendly manufacturing processes in the jute sector

• Augmenting the research and development efforts to commercialize jute technical textiles including geo-textiles

• Taking full advantage of the existing schemes like the Textile upgradation Fund Scheme (TUFS) and the JMDC Incentive

Scheme for modernisation of the Jute Industry

• Diversified and Composite Jute Products and Jute Handicrafts in both the domestic and International sectors

• Retail outlets in public-private initiative mode for diversified jute products can be envisaged in all major towns and

cities

46

3. Agro Food Processing

Food-processing industries play an important role in the economic life of the NER and offer an important avenue for

investment in the states of Manipur, Mizoram, Tripura and Meghalaya. While only 12 per cent of food is processed in the

region, more than 30 per cent of the food produced is wasted due to lack of proper technology and post-harvest management.

The same can be envisaged by the number of functional food processing units prevailing in the region as provided in Exhibit

55.

Exhibit 55 : SSI units in food processing

Food Processing Industry Status in NE

Units with FPO License No. of functioning Units Share of Functioning units

93 40 43%

Source: A study on the status of SSI of the NER

Further, almost 98 per cent of the NER is having international border & large-scale production of food products in the region

can be leveraged to develop trade & commerce with the South East Asian countries.

Initiatives taken for promotion of Agro Food Processing: The below given processing industry having relevance to the NER and

have been are discussed in detail:

Tea cultivation in the NER is mainly concentrated in Assam which accounts 50 per cent of total Indian production. However,

in the export of tea, the share of the NER is lower, as south India accounts for over 50 per cent of Indian tea, though accounting

for only about 25 per cent of total production. The Department of the North-eastern Region (DoNER) has of late emerged as the

focal point for ensuring the uniform development of the eight states in the NER. Efficient utilisation of resource endowments,

particularly commercial crops, holds out promise for transforming the NER over the long haul, provided the plans and

programmes meant for this region are indeed implemented with commitment. Much emphasis has been laid on development

of tea industry in view of earning foreign exchange. Special package is now being announced for the upliftment of ailing tea

industry and to remove loss of state revenue. Assam Industrial Development Corporation (AIDC) and Industries and

Commerce Department of State are endeavoring their best for implementation of various promotional schemes. There is also

great scope for expanding the tea production to other potential states like Meghalaya which is highly suitable for tea

production.

NER abundantly produces some horticulture products that create opportunity for processing, thereby, adding value to the final

product market. Various levels exist in processing the agro-produce. Preliminary processing and value addition takes place at

the stage of cold storage. There are some existing cold storage structures in the NER some of which possess low capacities.

States like Manipur, Meghalaya, Nagaland and Sikkim have very small number of cold storages in spite of their vast

horticultural production. There is a vast scope for the private players to invest in creating cold storage infrastructure and other

preliminary processing facilities like ripening chamber, grading and sorting facilities.

Secondary processing, which is the next level of agro-processing, adds further value to the horticultural produce. For instance,

in the NER, fruit products are processed into pickles, syrups, squash, slices and jam and fruits like pineapple are largely

processed into juice. Oil is extracted from spices like ginger and clove, while turmeric powder is obtained from raw turmeric.

The various processed sales items from the NER for the year 2006-07 and their value is given in Exhibit 56.

3.1. Tea Industry

3.2. Processing of Horticulture Produce

47

Exhibit 56 : Processed Sales items from NER, 2006-07

Other secondary and tertiary processed end products such as oleoresin, capsaicin, curcumin and certain oils have vast export

potential. There are about 93 FPO registered processing units in the entire NER. The number and the capacity of such

processing units need to be increased significantly in the NER with focus on modernization of the processing industry. With

many big corporate houses showing interest in investing in F & V and spices processing industry, there lies a bright future and

growth potential for processing of horticultural produce.

Bamboo is an integral part of the socio-cultural and economic traditions of the NER due to its abundance in the region. It is

used in this region in a wide variety of applications and as a result also significantly generates employment. Globally India has

the largest area (about 11.4 million hectares) under natural and planted bamboo. Of this, the NER accounts for more than 50

per cent of the area. Within NER the distribution of bamboo acreage is given in Exhibit 57.

Exhibit 57 : Bamboo Area in the NER

3.3. Bamboo Industry

Fru

it

Pro

du

cts

Pin

eap

ple

Juic

e

Pin

eap

ple

Sliced

Cash

ew

nu

t

Gin

ger

oil

Tu

rmeri

c

Po

wd

er

Value (thousand rupees)

Processed Sales Items from NER, 2006-07

679

1477

654 395

4281

135

Source: NER Agri Marketing Corporation Ltd, YES BANK Analysis

Bamboo Area (Sq Kms)

Nagaland

3% Sikkim

3%Mizoram

10%

Meghalaya

12%

Manipur

15% Assam

27%

Arunachal

Pradesh

30%

Arunachal Pradesh

Assam

Manipur

Meghalaya

Mizoram

Nagaland

Sikkim

48

The main commercial uses of bamboo can be detailed as follows:

1. Raw material: Bamboo is a non-durable resource and is used for exposed conditions with or without treatment. Bamboo

can be processed into modern products (engineered bamboo) that may successfully compete with wood products in

price and performance. Use of bamboo in composite panels and boards overcomes differences in quality related to the

culms and allows the production of homogeneous products. Engineered bamboo may well replace wood, steel and

concrete in many uses.

2. Bamboo charcoal: Bamboo charcoal is traditionally used as a substitute for wood charcoal or mineral coal. It can serve

as a fuel, absorbent and conductor.

3. Housing

4. Pulp, paper and cloth

5. Panels and flooring

6. Weaving products and crafts

7. Furniture

8. Fuel

9. Edible bamboo shoots: Fresh bamboo shoots are delicious and healthy, with high fiber content. Cooked bamboo shoots

can be stored in containers and shipped worldwide.

The world market for bamboo is large and growing. Recent estimates place the global market for bamboo at about $12 billion

and it is expected to grow to $20 billion or more by the year 2015.

Size of India’s domestic bamboo economy is estimated at INR 20 billion by the Planning Commission while the potential is

estimated at INR 45 billion, which could grow to INR 260 billion by 2015. India's share in the global market is estimated to be

$1 billion (around INR 40 billion) and is expected to increase to $5.7 billion (around INR 228 billion) by 2015. According to

United Nation’s Industrial Development Organization, the bamboo business in the NER will be worth INR 50 billion by 2012.

Uses Percentage consumption (%)

Pulp 35.0

Housing 20.0

Non-residential 5.0

Rural uses 20.0

Fuel 8.5

Packing, including basket 5.0

Transport 1.5

Furniture 1.0

Others, wood working industries 1.0

Others, including ladders, mats etc. 3.0

Source: Source: Planning Commission

Exhibit 58 : Consumption pattern of bamboo in India

49

Challenges in developing domestic bamboo economy:

1. Lack of reliable data: The data on bamboo is neither standardised nor rigorously collected resulting in unreliable,

incomparable and outdated data. This acts as a major deterrent to the investment process.

2. Productivity: Despite having the largest area under bamboo in the world with 136 different species, India has only

about 4 per cent share in the global market, mainly due to the low yield in India (around 0.4 tonnes per hectare).

3. Lack of processing facilities

4. Poor quality and high cost of processing equipment

5. Lack of technical expertise in management of the business

6. Absence of branding on account of insufficient marketing effort

Infrastructure development is a fundamental prerequisite for improving the investment climate and attaining progress in the

NER. Agricultural infrastructure, in particular, is lacking in the NER with limited presence of infrastructure such as agricultural

link roads, cold storages and cold chain. In the context of the NER, agricultural infrastructure is a basic prerequisite for

development and has a strong positive correlation with the overall expansion of the agriculture and related industry and

services. Expansion in the supply of basic infrastructure such as an efficient transportation network, telecommunications and

power and broadband connectivity should also be done for the development of the region. The following are the major

initiatives taken in the field of development of agri- infrastructure for the NER.

Exhibit 59 : Examples of Agri-infrastructure in NER

3.4. Agri-Infrastructure

S.No State Agri Infrastructure

1 Arunachal Pradesh • Bamboo Technology Park under construction since January 2007

• Large and Medium Industries in the State include Cement Plants, Fruit

Processing Units, Tea and Plywood industries

2 Assam • North-east Mega Food Park Ltd promoted by Ministry of Food Processing

Industries (MOFPI)

• Food Processing Park (FPP)

• 4 proposed Integrated Industrial Development Corporation (IIDC)

3 Manipur • Food Processing Industrial Park and Growth centres have been proposed

4 Tripura • Food Processing Industrial Park and growth centres have been proposed

The development of infrastructure and industry in the region is the key to the development of the region. The following issues

should be considered towards development of comprehensive policy for the region:

• Synchronizing of various state industrial policies to a common platform for promotion of industrial activities across the

NER

• Shifting of focus to marketing and removal of infrastructural bottlenecks rather than providing incentives (such as easy

credit facilities, tax holidays, export promotion parks and capital investment subsidies) [‘Demand Side Promotion’ and

strengthening of marketing structure]

• Development of support infrastructure such as road, rail, air, inland waterways within as well as between the states to

provide favorable climate to attract investors

• Cluster based development approach

50

3.5. Agriculture Marketing

3.6. Eco - Tourism

An efficient agricultural marketing is essential for the development of the agricultural sector. The marketing system contributes

greatly to the commercialization of subsistence farmers apart from providing outlets and incentives for increased production.

The NER is characterized by low level of agricultural marketing activity as compared to the country as a whole. There is a

significant market potential for spices, ginger, pineapple along with other fruits and vegetables. An integrated development

strategy needs to be developed for the region as a whole, taking into consideration the problems, issues and the constraints

associated with the NER.

A trans-NER platform should be created to promote agriculture marketing in a big way with participation of the concerned

regulatory authorities, various state Governments, corporates and private investors to improve the status of agricultural

marketing. Such a platform should look at the unique characteristics of the NER and brand them not only across the rest of the

country but also with our international trading partners.

Some of the important measures that need to be taken are listed below:

1. Removal of trade barriers specifically for agricultural produce to encourage trade in agricultural produce across the

borders

2. Increased private sector participation through favorable investment policy for the region

3. Creation of required agricultural marketing and storage infrastructure

4. Increasing price transparency in transactions

5. Measures to shorten the distribution chain to increase farmer margin

6. Provision for better support prices for the farmers

7. Effective and commercially oriented agricultural extension

8. Promotion of contract farming

It has been observed that the various horticultural/ agricultural schemes exist that are promoted by the Central as well as state

Government to promote agriculture marketing. But there is no synchronized functioning of these schemes at the ground level.

There is a strong need to have a convergence among these schemes and the state Government should take forward this

herculean task.

The growth of industries and tourism in the NER can play an important role in development of commerce and trade throughout

the NER. The favorable ecological and environmental conditions of the NER make it a natural choice for the tourists. Already

some of the hill states have very successfully expanded their tourism activities, and in the process, generated employment and

income - both directly and indirectly. In spite of this, the region received only 51 lakh domestic tourists and 47,000 foreign

tourists in 2008 displaying a moderate increase in footfall over previous years. Assam, Meghalaya, Sikkim and Tripura

received the most tourist arrivals, with the number of tourists to Assam being greater than all the other states taken together.

Tourism services can be offered in various areas such as tribal lifestyle, heritage, tea garden, golf, monasteries at the one end

and the more commonly offered ecotourism, adventure and wild life on the other end depending on the characteristic of the

particular state. In Nagaland, for example, there seems to be an interest in eco-tourism and model villages are being developed

which are also horticultural centres. In addition, the infrastructure provision is to a certain extent decentralized as tourism is

also being put under the communitization programme of the state.

The NER states have taken initiatives in strengthening the tourism sector. The key highlights of tourism policy for various NER

states are summarized in Exhibit 60.

51

S.No Sates Tourism Policy/ Other initiatives

1 Arunachal Pradesh 1. Reduce poverty by ensuring economic participation of the local community in

Tourism opportunities

2. Capacity building and deployment of mechanisms in support of Small and

Medium Scale Enterprises

2 Meghalaya 1. Comprehensive tourism policy was Introduced in 2001

2. Targets the grassroots of the population for mitigating innumerable interlinked

problems being faced

3. Focus on providing incentives to attract investment

3 Tripura 1. Eco Tourism Policy introduced in 2004

2. Take advantage of the natural beauty, promote sustainable

Tourism as a source of revenue and create local employment.

4 Nagaland 1. Government of Nagaland has enacted the Nagaland

Communitization of Public Institutions and Service (NCPIS) Act, 2002 enlarging

the scope of community participation in development and welfare programs in

areas such as education, health, power, rural water supply, rural tourism, roads,

forest, sanitation and rural childcare.

Source: Government sources

Exhibit 60 : Tourism Initiatives in NER

However, on a broader level a steady inflow of expenditure from an expansion in tourism services is an important driver for

generating sustainable income in the years to come.

A parallel development of the related services is an essential requirement for the development of tourism sector, as mentioned

below:

• Banking and insurance

• ICT

• International tourism with connectivity with neighboring foreign countries.

• Repair and maintenance-based services

• Marketing/business enterprises

• Employment opportunities development

Handicraft is the most important industrial sector in the NER. The region has approximately 20 per cent of the total number of

handicraft units in the country and in value terms, it accounts for around 80 per cent of the total value of handicrafts being

produced in the country and provides employment to 22 per cent of the total number of artisans in the country. As per the

Handloom Census 1995-96, Out of 25.4 lakh units engaged in handloom activities, 14.6 lakh units (household and non-house

hold) are concentrated in North-eastern States. Over 53% of looms in the country and more than 50% of weavers belong to

North-eastern states. Manipur has the most craft units followed by Tripura (Exhibit 61) but in terms of value, Nagaland ranks

the highest, followed by Assam.

3.7. Handicrafts in the NER

52

Exhibit 61 : Handicraft in the NER

3.8. Agri-research and EducationThe NER is a predominantly an agrarian economy. States like Meghalaya, Sikkim and Manipur have horticulture as major

contributor to their economies. Nearly 75% of the work force in NER depends upon primary sector, of which horticulture

forms a huge share. Rich germplasm, suitable agro-climatic condition and traditional farming practices are unique features of

the region.

Historically, horticulture technology generation remained non-significant and technology transfer was almost absent. Existing

horticulture research supports -namely ICAR Research Complex for hilly region in the NER and Assam Agricultural University

(AAU) - are too meagre to address the problems of horticulture crops.

Recently, a separate institute named Central Institute of Horticulture was established in Nagaland under the Department of

Agriculture and Cooperation, Ministry of Agriculture for promotion of developmental activities. Even for this institute, a strong

technology back up is required.

Given the dominance of horticulture in the NER, there is a strong need to establish a central research institute for horticulture

for this region focusing on hill horticulture covering crops like citrus, banana, pineapple, cashew, apple, kiwi, off season

vegetables, ginger, turmeric, large cardamom. Flowers like anthurium, lily and selected medicinal and aromatic plants can

also be covered by the institute. The NER offers unique opportunity for development of agricultural research, specifically for

the horticulture sector.

As per an estimate by the Working Group on Agriculture Research and Education of the Planning Commission, an amount of

INR 15 crores would be required to set up the institute.

AICRP (All India Coordinated Research Project) on groundwater utilization does not have any centre either in the NER or in

east coast of India. So we suggest a new centre for AICRP at College of Agricultural Engineering and Post Harvest Technology,

CAU, Ranipool, Gangtok, Sikkim, to cater to the needs of the NER.

Similarly, fisheries division under the ICAR has no research centers in the NER. Specific programme for development of fishery

and aquaculture in the NER under the North-east component has been initiated by the Central Inland Fisheries Research

Arunachal Pradesh Assam Manipur Meghalaya Mizoram Nagaland Sikkim Tripura

Manipur, 40

Mizoram, 1

Nagaland, 8

Sikkim, 1

Arunachal

Pradesh,12

Assam, 2Tripura, 32

Source: Handloom Census – 1995-96

Meghalaya, 4

53

Institute (CIFRI), Barrackpore; Central Institute of Freshwater Aquaculture (CIFA) Bhubaneswar; Central Institute of Fisheries

Education (CIFE); Central Institute of Fisheries Technology (CIFT), Cochin; National Bureau of Fish Genetic Resources

(NBFGR), Lucknow and National Research Centre for Coldwater Fisheries, Bhimtal. The following are some of the major

research programs implemented through the association of the above institutes:

• Preparing the inventory of ornamental fishes of NEH States

• Preparing the inventory of indigenous crafts and gears of NEH States

• In situ conservation programs for threatened fishes in the identified water bodies involving local communities

• Training in cage rearing for raising fish stocking material in floodplains wetlands

• Pig-cum-fish culture demonstration involving 25 beneficiaries covering 25 ponds in 16 districts of Arunachal Pradesh

was conducted

Looking at the vast potential of fresh water fish in the NER, we suggest a regional centre of National Fisheries Development

Board, Hyderabad to be established in the region. This will cater to the regional specific needs.

The development of the research education in the region should be accompanied with an equivalent development of trained

manpower in the region. The educational systems should also gear up to meet such requirements of teaching and training at

the university level to cater to this need.

54

4. Investment Scenario in North-eastern States of India

4.1.Incentives for investors

4.2. Arunachal Pradesh

The NER has diverse topography and climatic conditions enabling cultivation of a wide variety of crops. On one hand we have

a highly mountainous terrain in Sikkim that is situated in north of West Bengal on the other hand we have Assam that is

predominantly flood plains of the River Brahmaputra. However, there are some common characteristics which make these

states attractive for agriculture based businesses. These are:

• Opportunities for growing exotic or off season crops on account of cooler climatic conditions in the high altitude

regions

• Large tracts of very fertile soil

• Opportunity for development of large scale organic farming due to low penetration of fertilizers and pesticides

• Low level of mechanization (as shifting agriculture is still the main practice) leaving a scope for improving productivity

• Strong horticultural base on account of wide variety of native vegetables fruits, flowers and aromatic & medicinal plants

• Easy availability of quality manpower as a result of high literacy rate

In the NER, 70 per cent of the population is engaged in agriculture. The produce is generally sold in the local markets without

much value addition. In terms of geographical area, the NER covers about 8.0 per cent of the area of the country and produces

1.5 percent of total food grains produced in India. The region is a net importer of food grain.

The region is also plagued by lack of infrastructure and, more importantly, lacks connectivity with the rest of the country. In

order to mitigate this problem the government is investing in infrastructure in the NER and is offering substantial fiscal benefits

to the investor. We have listed the fiscal incentives below and discussed the specific advantages of each of the states along with

the major industries operational in the region.

The North-east Industrial & Investment Promotion Policy of 2007, which is effective till March 31, 2017, provides the

following fiscal incentives for units in the NER (including Sikkim) as well -

• Excise duty exemption of 100 per cent on finished goods produced in NER

• Income tax exemption to the extent of 100 per cent

• Reimbursement of premium on comprehensive insurance cover to the extent of 100 per cent

• Capital subsidy to the extent of 30 per cent of expenditure on plant & machinery, with automatic approval for subsidy

requirement of INR 15 million or less. (An empowered committee chaired by the Secretary of Department of Industrial

Policy & Promotion will approve subsidy requirements between INR 15 million and INR 300 million, while subsidy of

over INR 30 million will have to be approved by the Union Cabinet.)

• Interest rate subsidy of 3 per cent on working capital loans

These incentives are effective on all location across the NER and there are no distinction between thrust areas and non-thrust

areas (as was the case with NEIIPP 1997). All new industries or existing units implementing substantial expansion will be

eligible for these incentives. Substantial expansion now refers to at least 25 per cent increase in the value of plant and

machinery for the purpose of capacity expansion or modernisation or diversification. These incentives are, however, not

available for peripheral activities such as preservation during storage, cleaning operations, packing, re-packing, labelling or

re-labelling, sorting, alteration of retail sale price etc.

Arunachal Pradesh, with a total land area of 83,743 sq km, is the largest state in the NER in terms of area. It shares the

international boundaries with Bhutan, Tibet, China and Myanmar to the west, north-east, north and east respectively, and the

national boundaries with the States of Assam and Nagaland. The state is divided into five river valleys. Agriculture is the

55

mainstay of the economy of Arunachal Pradesh and principal crops are rice, maize, millet, wheat, pulses, etc. Nearly 75% of

the State's total workforce is engaged in agriculture. Since agriculture is mainly shifting agriculture and penetration of

fertilizers and pesticides are low, there is significant potential for developing a base for organic farming. Most of the land of the

state is covered with dense and rich forest.

There is significant potential for developing horticulture owing to good agro-climatic conditions and topography, which is

suitable for the development of varied varieties of tropical, sub-tropical and temperate fruits like apples, oranges and

pineapples; vegetables (including off season vegetables); spices; aromatic and medicinal plants; and mushrooms and flowers.

In fact the state is home to a wide variety of flowers. State administration is focused on developing horticulture based industry

e.g.

• Fruit based alcoholic beverages facilities

• Cold storages

• Multipurpose fruit and vegetables processing facilities

Cane and bamboo already have a strong presence and are used extensively for domestic consumption. There is a significant

potential for developing a production base for products like bamboo timber and bamboo furnishing for the pan Indian market

as well as the international market.

Union government is also investing in building infrastructure e.g. five air ports are being developed along. Efforts are also

being made to increase the road and rail network along with power generation in order to facilitate movement of goods and

people and support industrial activity.

Assam is the hub of the NER and has some of the most fertile lands in the country. It has a total land area of 78,438 sq km. It is

bound by Bhutan and Arunachal Pradesh on the north; Manipur, Nagaland and Arunachal Pradesh on the east; and

Meghalaya, Tripura and Mizoram on the south. It provides a strategic base for foreign and domestic investors to tap the vast

potential of contiguous markets of South East Asia such as Myanmar, Malaysia, Thailand, Philippines, Cambodia, Indonesia as

well as our neighbouring countries like Bangladesh, Nepal and Bhutan. Assam's internal waterway network gives it access to

the ports of Chittagong (Bangladesh), Kolkata and Haldia (West Bengal).

The main food crop of the state is rice while the cash crops are jute, tea, cotton, oilseeds, sugarcane. The state has an estimated

39.44 lakh hectares gross cropped area. Assam is also known for her rich forest wealth which constitutes 22.21 per cent of its

area. The agro-climatic condition of Assam make it suitable for cultivating of a variety of fruits, vegetables and spices such as

orange, banana, pineapple, areca nut, coconut, guava, mango, jackfruit, citrus fruits, ginger, turmeric, chillies and potatoes.

Recent improvements in quality of planting material, research support and better technical know-how has taken the state to a

stage where it is poised for a major boom in the fruit production as well as food processing industry.

Assam is the largest producer of tea in India and accounts for nearly 53% of the all India production and about 1/6th of the tea

produced in the world. Around 80 million kgs of tea are exported annually from Assam. Tea is grown both in the Brahmaputra

and Barak plains of the state and employs 17 per cent of the work force. There is significant potential for investment in

improving the processing, value-addition and branding and marketing of tea. The sector also needs to invest significantly in

replanting tea bushes as the productivity of the plant declines with age.

Cane and bamboo has been accorded priority status by the state government. Presently Cane and Bamboo are used to make

large varieties of handicrafts for the domestic and international market and also used for industrial products e.g. paper. Cane

furniture of Assam has significant export market. However, the industry needs a lot of investment in both plantation and

processing of bamboo to achieve industrial scale cultivation and processing of bamboo. Investments are also needed in the

marketing.

4.3. Assam

56

Assam is also home to several types of silks including eri, muga and mulberry and tassar is being cultured on an experimental

basis. The muga silk, known for its fine shine and golden colour is used by the local silk weaving industry and this has

contributed to the development of the muga culture in the State. It is produced only in Assam in the world. With further

infusion of capital and modern methods, the State offers a tremendous potential for the development of a large-scale industry

based on silk. Assam has a high concentration of handlooms, and the total number of looms, all types included, in the State

stands at around eight lakh.

Manipur comprises of two parts in terms of the topography - the hills and the valley. The fertile valley is at the centre,

surrounded by hills on all sides. Bounded by Myammar (Burma) on the east, Nagaland on the north, Assam on the west and

Mizoram on the south the state covers an area of 22,327 sq. kms. It has wide variety of native flora e.g. exotic orchids. Manipur

also has abundant wealth of forests. The agro-climatic condition in the state makes it suitable for growing almost all kinds of

agricultural and horticultural crops. The main crops of the state are paddy, wheat, maize, pulses and oilseeds. It also has

produces a wide variety of fruits e.g. pineapple, lemon, banana, orange and vegetables e.g. cauliflower, cabbage, tomato and

pea.

As the state has a wide basket of fresh produce, the state is an attractive destination for the food processing sector, which can

also help in diversification and commercialisation of agriculture, horticulture, fisheries, poultry, animal husbandry and forest.

In view of the importance of the industry, state Government has also established a 'Food Processing Training Centre' and

'Food Processing Training Hall at Imphal. A food Park is also being set up at Imphal.

State of Meghalaya has, in order to attract investors, provided several incentives in the form of subsidies on cost of

infrastructure, transportation, training and power to name a few. A number of sectors have been identified as having potential

investment opportunities.

The food processing industry has been identified as a major thrust area by the state as it has good production capability for

oranges, peaches, pineapples, pears, guavas, plums and bananas. In the vegetables segment the main crops are potatoes,

tapioca, bay leaves, ginger, maize and jackfruit. Plantation crops like coffee, rubber, black-pepper and areca nut are also

becoming important products of the state and now tea is also being produced. Meghalaya's climate is also congenial for

animal husbandry like rearing of cattle, pigs, goats and poultry.

Mizoram is predominantly an agrarian state with 80 per cent of population involved in agriculture, but has the distinction of

having the second highest literacy rate in the country. The state has numerous investment opportunities in the bamboo,

horticulture, tourism and information technology sectors.

Mizoram has an abundant reserve of bamboo forests covering 12,54,400 hectares that is about 14 per cent of the total national

area and consists of over 20 varieties. Bamboo is extensively used in the state for a wide range of activities such as water pipe

for irrigation, for making of dams, manufacture of furniture and as a raw material for paper. The state Government invites

investors for setting up of industrial units in all the above areas, either in joint venture with Mizoram Bamboo Development

Agency or other with local entrepreneurs.

Agriculture in Mizoram is mainly shifting cultivation and there is significant scope for modernisation. Alternatively the state

can be developed as a sourcing hub for organics. The climatic condition of the state offers opportunity for growing a variety of

fruits e.g. mandarin orange, banana, passion fruit, grapes, hatkora, pineapple and papaya; flowers such as anthurium, bird of

paradise, orchid, chrysanthemum and rose and spices such as ginger, turmeric, black pepper and bird's eye chillies.

Cultivation of oil palm, medicinal and aromatic plants has also started in the recent years.

4.4. Manipur

4.5. Meghalaya

4.6. Mizoram

57

4.7. NagalandNagaland is endowed with fertile soil, plentiful rainfall, salubrious climate as well as availability of vacant land for plantation

purposes. The conditions are quite suitable for floriculture, horticulture, rubber plantation, dairy and allied products,

sericulture, tea cultivation and processing and mushroom cultivation and processing. The sub-tropical/temperate climatic

conditions in the hilly areas are suitable for development of pastures and animal husbandry. In addition, 50 per cent of the

land (approximately 0.83 million hectares) is under forest cover making the state a prime candidate for development of agro

forestry. The most prominent products from these forests currently are cane, bamboo and timber.

Agriculture is the main occupation in Nagaland with about 70 per cent of the population depended on it. Rice, the staple food,

occupies about 70 per cent of the total area under cultivation and constitutes about 75 per cent of the total food production in

the state. Other major crops are maize, wheat, millets, grams, mustard, cotton, jute, sugarcane, tea and rubber. Agriculture is

largely shifting agriculture and therefore there is significant scope for improving productivity through modernization.

Potential also exits for using the state as production base for organic produce on account of the low penetration of fertilizers

and pesticides.

Horticulture potential of the state is also quite high on account of available climatic conditions. The altitude of the state varies

from 100 metres to an altitude of 3,840 metres in the interior of the state, which provide favourable conditions for growing

different varieties of tropical and sub-tropical fruits and vegetables. Major vegetables are ginger, garlic, chilli, tomato, potato

and cabbage. The major fruits are banana, pineapple, orange, passion fruit, pears, plum and sweet potato. The climatic

conditions are also suitable fro the development of floriculture and the state already has a wide variety of native flowers

(orchids being the most prominent). The state Government has identified floriculture, sericulture, bio-technology, cane &

bamboo as well as aromatic and medicinal plants as potential area for development. The Government is also trying to attract

processing industry for brown rice, gelatinous & aromatic rice, maize, ginger, rajmah (kholar), rice beans, soya beans, potato,

tea, citrus, banana, pineapple, chilli, anthurium, roses, lilium and aloe vera. In order to support the creation of these industries,

the state is also trying to develop a network of cold stores, Agri-Eport Zones along with small and large agricultural markets. In

fact, the state is in the processes of setting up modern terminal market (MTM) for fruits and vegetables. In order to develop a

marketing mindset in agriculture, the state is widening the network of the state agriculture marketing committee (AMC) to

district and village level by creating local management committees.

The agro-climatic conditions of the state also favour the development of sericulture in the state. The main four varieties of silk

worms which are reared in the state are eri, mulberry, oak tasar and muga. Sericulture demonstration farms (SDFs) as well as

spinning units have been set up in the state for promoting the sector.1.8.Sikkim

Sikkim, located in the eastern Himalayas, is bounded by Nepal in the east, Bhutan in the west, West Bengal in the south and

Tibet in the north. It is listed as one of the 18 biodiversity hotspots in the world with 4000 varieties of flowers and 300 varieties

of ferns and allies.

Agriculture in Sikkim is mainly practiced on its terraced fields and maize, rice, wheat, potato, large cardamom (largest

producer of cardamom in the country), ginger and turmeric are the principal crops while mandarin orange, guava, mango and

banana are the principal fruits. As far as floriculture is concerned, the state produces a variety of orchids, gladioli, anthuriums

and rhododendrons, the commercial cultivation of which is picking up rapidly along with the cultivation of medicinal and

aromatic herbs.

But, there are several limitations in terms of productivity, irrigation and the scope for extending cultivation due to the practice

of terrace farming. Hence, there is a necessity for investment in the fields of horticulture, floriculture and in innovative

practices of land management. Also, due to the availability of all the necessary raw materials, there is an enormous untapped

potential for setting up of various agro-based industries in the state. The state Government of Sikkim is focusing on promoting

floriculture, organic farming and seed production business due to the low volume and high value nature of these products.

58

Major Projects:

üCymbidium project in collaboration with Natson Flora – producing 100,000 cut flowers per annum, which is the largest

production facility for cymbidiums in India

üSimilar anuthurium project is in implementation phase

It is the second largest state in the NER of the country in terms of population. It is bounded on the north, west, south and south-

east by Bangladesh whereas in the east it has a common boundary with Assam and Mizoram. The state is rich in natural and

human resources with high educational levels. It has vast reserves of natural gas with high methanol content. There is potential

for setting up gas based fertiliser, methane, PVC, compressed natural gas and other related projects. The state has a large

variety of fruit crops like pineapple, orange, jackfruit and litchi which are of high quality and has scope processing.

Tripura offers an investor-friendly environment. The Government welcomes investments into the state, from both domestic

and foreign investors. Tripura Industrial Development Agency (TIDA) has been established to provide single-window service

to investors in facilitating all necessary Government clearances.

The state Government has identified food processing as a major thrust area. There is a vast potential for setting up of food

processing units in the State. The agro-climatic conditions in Tripura are ideally suited for production of a large variety of

horticultural crops. The "Queen" and "Kew" varieties of pineapple, jampui oranges, lichis and cashew of Tripura are well

known in the rest of the country. These products are largely organic in nature.

1.9. Tripura

59

5. Way Forward

NER has a highly diversified and unique agricultural scenario. In order to fully utilize its opportunities, there is a need to

address several issues as follows:

1. The NER needs to be mapped in terms of existing agri-infrastructure and productivity to bring out the true potential of

the region. Mapping will highlight the gap between supply and demand and focussed interventions can then be taken

up with greater private sector participation. It will also highlight the requirement of infrastructure and support,

preparing the ground for holistic development of the region.

2. Food processing clusters needs to be developed as there is a vast scope for processing of agricultural and allied produce

in the region. The focus should be on establishing

a. fruit and vegetable processing units

b. dairy and milk processing

c. cereal and spices processing units and

d. meat and poultry processing units

in the potential regions of the NER. Efforts should also be made to improve the existing processing capacity in this

region. An integrated processing model can also be envisaged by establishing agro-food parks for the NER as a whole.

The Government should embark on public private partnership (PPP) for the above areas along with agri-infrastructure

and marketing. While a lot of government support in the form of subsidies, policy interventions, equity participation

and risk sharing is already available, PPP will take forward the process of development in the region.

3. The Governments should work towards creating linkages with the private sector, helping the farmers to grow what the

market wants and also get the appropriate prices by rationalizing the number of intermediaries (reducing the

intermediation chain).

4. NER should be promoted as agri-trading hub with the neighbouring countries of the region by taking out restrictive

clauses in the existing trade agreements (like the one with Myanmar) restricting cross border trade in agricultural

products.

5. Given the favourable image for horticulture produce and natural fibres (on account of organic production with low

penetration of fertilizers and pesticides), efforts should be initiated to brand the horticultural produced coming out of

the region, to start with. Such an effort will go a long way in differentiating the produce from other states or countries and

also result in better realization of the farmers (including producers of silk and jute) of the region.

6. Contract farming, which already exists in the region in a limited way, needs to be encouraged to cover a larger area in

the region. Innovative models in contract farming must be envisaged taking into account the local regulatory structure,

rural infrastructure as well as available buy back system.

7. Promoting use of Information and Communication Technology (ICT) tailor made to suit the local language and culture

of the region enabling the farmers to have access to valuable information and market intelligence system. ICT could play

a prominent role in different areas of agri-value chain such as providing agricultural research and know how on the

latest agricultural developments, providing real time information about weather conditions and price movements,

connecting small scale farmers to emerging markets, providing relevant market information and enabling the reach of

the financial institutions to every part of the NER including the interior rural areas. Other innovative and alternative

technological innovation under ICT such as E-Commerce can have a great impact on the agricultural scenario of the

region. Success potential of ICT initiative is high on account of the high penetration of literacy.

8. States should focus on long term policy initiatives to improve production capacity, quality and productivity of the region

along with improvement of connectivity with the world in general and rest of India in particular.

Founded in 1925, Indian Chamber of Commerce (ICC) is the leading and only National Chamber of Commerce operating from Kolkata, and

one of the most pro-active and forward-looking Chambers in the country today. Its membership spans some of the most prominent and major

industrial groups in India. ICC is the founder member of FICCI, the apex body of business and industry in India. ICC’s forte is its ability to

anticipate the needs of the future, respond to challenges, and prepare the stakeholders in the economy to benefit from these changes and

opportunities. Set up by a group of pioneering industrialists led by Mr G D Birla, the Indian Chamber of Commerce was closely associated with

the Indian Freedom Movement, as the first organised voice of indigenous Indian Industry. Several of the distinguished industry leaders in

India, such as Mr B M Birla, Sir Ardeshir Dalal, Sir Badridas Goenka, Mr S P Jain, Lala Karam Chand Thapar, Mr Russi Mody, Mr Ashok Jain,

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ICC is the only Chamber from India to win the first prize in World Chambers Competition in Quebec, Canada.

ICC’s North-East Initiative has gained a new momentum and dynamism over the last few years, and the Chamber has been hugely successful in

spreading awareness about the great economic potential of the North-East at national and international levels. Trade & Investment shows on

North-East in countries like Singapore, Thailand and Vietnam have created new vistas of economic co-operation between the North-East of

India and South-East Asia. ICC has a special focus upon India’s trade & commerce relations with South & South-East Asian nations, in sync

with India’s ‘Look East’ Policy, and has played a key role in building synergies between India and her Asian neighbours like Singapore,

Indonesia, Bangladesh, and Bhutan through Trade & Business Delegation Exchanges, and large Investment Summits.

ICC also has a very strong focus upon Economic Research & Policy issues - it regularly undertakes Macro-economic Surveys/Studies, prepares

State Investment Climate Reports and Sector Reports, provides necessary Policy Inputs & Budget Recommendations to Governments at State

& Central levels.

The Indian Chamber of Commerce headquartered in Kolkata, over the last few years has truly emerged as a national Chamber of repute, with

full-fledged offices in New Delhi, Guwahati and Bhubaneshwar functioning efficiently, and building meaningful synergies among Industry

and Government by addressing strategic issues of national significance.

. Currently, Mr. Jayanta Roy is leading the Chamber as it's President.

YES BANK, India’s new age private sector Bank, is the outcome of the professional & entrepreneurial commitment of its Founder, Rana

Kapoor and his top management team, to establish a high quality, customer centric, service driven, private Indian Bank catering to the

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Indian Chamber of Commerce

Head Office

Director General-ICC,4 India Exchange PlaceKolkata 700 001

Ph: 033-22303242

Fax: 033 2231 3380, 3377


Web : www.indianchamber.net

Dr. Rajeev Singh

Delhi Office

Head, Northern Region- ICC323, Ansal Chamber II6, Bhikaji Cama PlaceNew Delhi - 110 066

Ph: 011 46101431-38

Fax: 011 4610 1440/1441

Mob: 9871121334


Mr. Sunil PatelGuwahati Office

Regional Director, North East- ICCHouse No.209, 2nd FloorOpp. Overtnite ExpressNear AIDC, R.G.Barua RoadGuwahati - 24

Ph: 0361 2460216 / 2464767

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