Jaipur |
In a small village near Jaipur, mustard farmer Mahesh Rao watches as his golden fields sway in the winter breeze. He has been growing mustard for over two decades, and every year, he follows the same routine—harvest, take the produce to the mandi, and wait for traders to set the price. “If I could process it myself—make oil, package it, sell it—I’d earn much more,” he says.
That is the untapped potential of Rajasthan’s agriculture sector. The state, a leader in mustard, pearl millet, Guar, oilseeds, and spices like cumin and fenugreek, contributes nearly 27% to the state’s GDP. But while Rajasthan produces plenty, it does not always profit.
The Missing Link: Agro-Processing
Trade and industry leaders believe Rajasthan needs a shift in mindset—from just growing and selling crops to processing and adding value.
“The problem is simple,” says Kailash Sharma, senior vice-president of the All Rajya Trade and Industry Association (ARTIA).
“We produce in bulk, but we don’t process enough. There aren’t enough mustard oil mills, spice grinding units, or dairy plants. That means raw produce is sold outside the state, processed elsewhere, and then sold back to us at higher prices.”
This lack of processing units means farmers lose out on potential earnings. Take garlic, for instance. Rajasthan grows a huge quantity of it, but without local processing units, farmers must sell it at low mandi prices. If there were more garlic paste, powder, and oil extraction plants, the profits could remain within the state.
The Opportunity Ahead
Trade bodies are now calling for big investments in Rajasthan’s agro-processing and agri-business sectors. They see potential in:
- Dairy Processing: Rajasthan has vast livestock resources, but much of its milk is sold raw instead of being processed into cheese, yogurt, or packaged dairy products.
- Oilseed & Spice Processing: Instead of selling raw mustard or cumin, small industries could produce packaged mustard oil or ground cumin powder.
- Organic Farming & Export: Rajasthan is emerging as a key organic farming hub, but processing and branding remain weak. With better infrastructure, the state could cater to national and international organic markets.
A recent session organized by PHDCCI on ‘Business Opportunities for Agri & Food Processing Sector in Rajasthan’ echoed these concerns. Industry experts believe the state government needs to step in—offering incentives, easier loans, and infrastructure support for agri-processing units.
Government’s Role in the Future
An official from the state agriculture department confirmed that Rajasthan is focusing on building agro-industries and improving value-addition infrastructure. “We understand that merely harvesting and selling is not enough. Farmers should have access to processing units, packaging centers, and direct marketing opportunities,” he said.
What This Means for Farmers Like Mahesh
For farmers like Mahesh, investment in agro-processing could mean the difference between just making ends meet and thriving. Instead of selling raw mustard at fluctuating prices, he could press it into oil, bottle it, and sell directly to customers or retail chains.
“If that happens,” he says, “I won’t just be a farmer. I’ll be a businessman.”
The call for investment in Rajasthan’s agri-processing sector is not just about economics—it’s about empowerment. It’s about keeping profits in the hands of those who grow, rather than those who buy and resell. The potential is there; now it’s up to policymakers, investors, and entrepreneurs to step in and make it a reality.
