Suggesting that successful agricultural models could be replicated to curb food inflation in the country, Deputy Governor of Reserve Bank of India (RBI) K C Chakrabarty on Friday said the models followed in Punjab, Haryana and Gujarat could be adopted by other states to increase agricultural productivity.“We need to work on finding measures to curb food inflation by increasing agricultural productivity and improving the supply,” Chakrabarty on the second day of the Annual Knowledge Summit, organised at the Indian Institute of Management, Ahmedabad (IIM-A).
“If we can bring the agricultural model of Punjab, Haryana in eastern Uttar Pradesh and Bihar, which have fertile soil and figure out a way to organise people, then it can increase productivity... I am told that Gujarat has 10% growth rate in agriculture, then why can’t Maharashtra achieve the same GDP in agriculture?” Chakrabarty said, while delivering the keynote address at the Knowledge Summit ‘2013’, Speaking on his vision on how to bridge the “courage gap” in the country, he enlisted five ideas, “ideas to improve productivity”, “harness R& D and managerial innovations to improve productivity”, “curb food inflation”, “cater to the needs of SMEs” and “increase financial inclusion”.
Yet another idea of his is to address the requirements of the SME (Small and Medium Enterprise) sector and arm them with the knowledge of finance, capital and production. We need to evolve a system in a cost-effective manner like creating an “SME servicing centre”, which can provide end-to-end solutions for production because SMEs that cannot afford to hire IIM graduates. These can be done for 100 SMEs in a cluster basis in the financial areas so that they can provide services to SMEs,” he said.