Srinagar, July 25: Smiles have returned to Kashmir fruit growers after apples were excluded from the list of zero-duty items under the India-UK Comprehensive Economic and Trade Agreement (CETA).
Kashmir Valley Fruit Growers Cum Dealers Union (KVFGDU) said it is a significant step towards protecting the interests of lakhs of apple growers across India, particularly those in Jammu and Kashmir, Himachal Pradesh, and Uttarakhand.
“Apples have been excluded from the list of zero-duty items. It is a critical and farsighted move that protects the region’s horticulture sector from the threat of low-cost imports,” said Bashir Ahmad Basheer, Chairman, Kashmir Valley Fruit Growers Cum Dealers Union
Kashmir accounts for more than 75% of the total apple production in the country, and the zero duty decision will give a huge boost to the sector. “It is a major relief. That tariff-free imports from the UK could have hurt local production. This is, therefore, a welcome decision. Inclusion of apples in the list could have threatened our livelihoods,” he said.
The horticulture sector, especially Apple farming, is the single largest employment generator in Jammu and Kashmir after government service. The Kashmir Valley Fruit Growers Cum Dealer Union had explicitly raised this matter with Union Commerce Minister Piyush Goyal and Shivraj Singh Chouhan, Union Agriculture Minister, during their recent visit to Srinagar.
“We had urged that no Trade Deal should undermine the survival of our Fruit Growers. We are glad that the government has acted wisely and sensitively in the case of the India–UK Free Trade Agreement, and the aid decision has brought a much-needed relief for orchardists who are already facing severe distress due to declining prices and rising input costs,” said Bashir.
The Kashmir Valley Fruit Growers Cum Dealer Union had made it clear through multiple representations to the Jammu and Kashmir government and the Union Agriculture Ministry as well that including Apples in such Trade Agreements would be a serious blow to the horticulture industry of J&K, Himachal Pradesh, and Uttarakhand.
“Fruit growers and dealers are already operating on thin margins, and the entry of cheaper apples from abroad, like Washington, has completely destabilized the local market. The exclusion of Apples from the list of zero-duty items has given breathing space to fruit growers of the Valley. However, we are not out of the woods yet. The same protection is needed with the India-United States Trade Deal, which poses an even greater threat given the scale of American apple exports,” said Bashir.
Horticulture is the fundamental strength of Jammu and Kashmir’s economy. The production of 1.83 MTs in 1972-73 has risen to more than 24.94 LMTs, with revenue earned more than Rs. 6300.00 crores during 2021-22. The industry is also a key contributor to the state’s Gross State Domestic Product (GSDP), providing direct and indirect employment to about 23.00 lakh people and is responsible for generating about 8.50 crore man-days each year.
It is with this potential in view, the government has declared Horticulture as a thrust area, and J&K has been declared an Agri Export Zone for Apples and Walnuts and has been facilitating various schemes for farmers and potential Agriprenuers.