The SAFTA agreement allows duty-free imports through land routes, and many shipments are routed via Afghanistan, enabling the import of cheaper apples.
Lokinder Singh Bisht
The apple farming industry in Himachal Pradesh, a vital sector of the region’s economy, is facing a series of critical challenges. Rising production costs, declining yields, and growing competition from cheaper Iranian apple imports are making it increasingly difficult for local farmers to remain competitive. In an exclusive interview with journalist, Lokinder Singh Bisht, President of the Progressive Growers Association, provides valuable insights into these pressing issues. He discusses the impact of climate change, the need for adaptive farming practices, and the steps required from the government to ensure the sustainability of the apple industry. Bisht’s vision emphasises the adoption of innovative farming techniques, improved infrastructure, and fairer trade policies to secure a prosperous future for Himachal’s apple farmers.
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Q1: What are the main factors driving the rising costs of apple production in Himachal Pradesh, and how does this affect the competitiveness of local farmers?
A: The primary reasons for rising costs include a significant increase in the prices of fertilisers and fungicides, which have nearly tripled since COVID. Most orchards in Himachal Pradesh are small, averaging 1.5 to 2 acres, and their fragmented, hillside locations make mechanisation impossible. This forces farmers to rely on manual labour, mainly migratory workers from Nepal. Over the past 5–6 years, labour availability has decreased as many Nepalese workers are migrating to other countries, driving wages higher. Unskilled workers now charge ₹450–₹600 per day, and skilled workers for tasks like pruning, grading, and packing cost ₹800–₹1,000 per day.
Additionally, rising transport costs and ageing orchards-over 65% of which are past their prime-further increase production expenses. These factors have made local apples less competitive against better-quality, cheaper imports.
Q2: Apple productivity in Himachal Pradesh has declined over the last three years. What challenges are farmers facing, and how can these be addressed?
A: Weather conditions over the past 3–4 years have significantly impacted productivity. Inadequate snowfall during December and January has resulted in insufficient chilling hours, which are essential for healthy blooming. Apple trees require 700–1,500 chilling hours during dormancy for proper enzyme activation in the fruit buds. Additionally, untimely rains during the blooming and fruit-setting periods in March and April have further reduced yields.
To address these challenges, farmers need to adopt newer, low-chill varieties like Gala and Spur, particularly for orchards in low and medium elevations. These varieties are better suited to current climatic conditions and can help sustain productivity.
Q3: How do Iranian apple imports affect the profitability of Indian farmers?
A: Iranian apple imports are a major reason for the financial losses being borne by Indian farmers. The cost of producing apples in Himachal Pradesh is ₹60–₹70 per kilogram, while Iranian apples are available at similar or even lower prices, making it impossible for local farmers to recover production costs.
The SAFTA agreement allows duty-free imports through land routes, and many shipments are routed via Afghanistan, enabling the import of cheaper apples. Although the Indian government imposed a minimum import price of ₹50 per kilogram in 2023 and added a 50% import duty, Iranian apples are still being sold at prices lower than ₹80–₹90 per kilogram, indicating under-invoicing of shipments. If these practices continue unchecked, local apple production will become unsustainable.
Q4: What steps should policymakers take to address the challenges faced by apple farmers?
A: The government must ensure that imports complement, rather than replace, local production. To achieve this, the minimum import price for apples should be raised to at least ₹90–₹100 per kilogram, and phytosanitary inspections of import shipments must be more stringent.
Apple should be given special category status under the WTO customs structure so that the current 50% customs duty can be increased to 100%. Authorities also need to thoroughly investigate under-invoiced imports to create a level playing field for domestic producers.
Additionally, small-sized cold storage facilities with a capacity of under 20 tonnes should be encouraged and subsidised. This would enable farmers to store their produce locally during market gluts, ensuring better profitability.
Q5: How can Himachal Pradesh's apple farmers adapt to climate change to sustain productivity?
A: Himachal farmers are capable of adapting to production challenges. Moving to low-chill varieties such as Gala and Spur is critical to counter the effects of inadequate snowfall. High-density apple orchards using clonal rootstocks are another essential step for improving quality and productivity.
These orchards require less fertiliser and labour compared to traditional ones, but the high costs of land development, planting material, support structures, and irrigation systems remain a barrier. Institutional support and government subsidies are necessary to help farmers make this transition and secure the future of apple farming in Himachal Pradesh.
Te apple farming industry in Himachal Pradesh is facing significant challenges, including rising production costs, declining productivity, and competition from cheaper Iranian imports. To ensure the sustainability of this vital sector, it is essential for both farmers and policymakers to adopt adaptive strategies. By embracing newer, low-chill apple varieties, promoting high-density orchards, and securing government support for infrastructure such as cold storage and mechanisation, farmers can improve productivity and profitability. Moreover, stricter regulations on imports and fairer trade policies will be crucial to create a level playing field for local producers. The way forward requires a collaborative effort to safeguard the future of Himachal Pradesh’s apple industry and ensure its continued contribution to the economy.
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