14/02/2012 (Hindu Business Line) - In an effort to fight relentless inflation in food prices, the upcoming Budget may provide higher allocation for increasing production of pulses, palm oil and vegetables. There is also thinking to involve more cities in the vegetable cluster programme.

A source in know of the development said, “Various initiatives have resulted in significant increase in the production of pulses, oil palm and vegetables. So, there is case to increase the outlay to boost the production further.”

The allocation could be raised up to 50 per cent, he indicated.

According to the second advance estimate, the Government expects pulses production to touch 17.28 million tonnes during 2011-12.

Although, it is less than the final estimate of 18.24 million tonnes in 2010-11, it is higher than the 14.66 million tonnes achieved in 2009-10. The vegetable cluster programme has been launched in two States and results are encouraging.

The Finance Minister, in his Budget speech last year, had proposed to provide Rs 300 crore to promote 60,000 pulses villages in rain-fed areas for increasing crop productivity and strengthening market linkages. The aim is to attain self sufficiency in three years.

He had also proposed Rs 300 crore to bring 60,000 hectares under oil palm plantation and by integrating the farmers with the markets. The initiative would yield about 3 lakh tonnes of palm oil annually in five years.

Regarding vegetable clusters, the source said that now the view was to establish such a centre in more than one city in a State. “All the cities with population of at least one crore could be allowed to have a vegetable cluster. This means many States may have more than one centre,” he said.

In States like Jammu and Kashmir and the North-Eastern States, which do not have any city with 1 crore population, the cluster could be allowed to set up near the State capitals, he clarified.

In the current fiscal, the Finance Minister had provided Rs. 300 crore for implementation of the vegetables initiative.