Exporters of agriculture products have welcomed P Chidambaram's Budget proposals and said the decision to reduce import duty on some agriculture inputs and food processing sector would help sharpen competitive edge of Indian agro exports.
Walter D'Souza, convenor of Federation of Indian Export Organisations Committee on Agro Exports said the proposals to reduce import duty on equipment, plant and machinery meant for drip irrigation, sprinklers, and for food processing machinery from 7.5 per cent to 5 per cent and the proposal to extend 100 per cent excise duty exemption for the food processing sector are welcome steps.
"These will sharpen the competitive edge of Indian agro exports in the global markets," he said in a statement.
He said it is heartening to note that the Budget has tried to give impetus to the agriculture sector with high priority.
"We are of the opinion that only Indian agro exports can generate higher return for the Indian agriculture produce, provided the benefits proposed in the Budget are substantially raised to the desired levels," he added.
D'Souza, who is also the chairman of the Cashew Export Promotion Council of India, hailed the move for a financial mechanism for cashew, coffee, rubber, spices and coconut on line with the rejuvenation scheme for tea.
"While the details got to be worked out, we appeal that his scheme will include the urgent need to modernise the agro exports industry," he added.
G Giridhar Prabhu, convenor of Vision 2020 committee of CEPCI, said cashew sector would look forward to any direct assistance for cultivation and sustaining of the crop.
Welcoming the decision to constitute a special purpose fund for plantation sector, K Prakash Rao, president of the Karnataka Cashew Manufacturers' Association, said the Budget has given significant focus on plantation sector.Powered by 
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