Millet-based startups under water as bajra battles soaking season

In the aftermath of heavy rains and floods in North India, concerns loom over the potential impact on the millet-based industry, particularly pearl millet (bajra), a popular variety. Experts predict a decline of about 30 to 50 per cent in bajra cultivation and a moderate fall of less than 20 per cent in overall millet crop production, contingent upon future weather conditions and government interventions.

"The high resilience of millets allows them to withstand adverse conditions such as standing water," Raj Yadav, Founder and CEO of agritech firm Gramik told Republic. "Although it is still early to predict the precise impact of heavy rains and floods, we hope the loss to millet crops to be less than 15 to 20 per cent," he added.

Millet based product's expansion in market 

Over the past few years, the millet market in India has witnessed significant development, driven by various factors. 

"The millet production in India has experienced a substantial surge over the past five to six years,” he stated. 

"Production has increased from 164 lakh tonnes in 2017-18 to 176 lakh tonnes in 2020-21. This rise can be attributed to the nutritional value and climate resilience of millets, which have led farmers to adopt millet cultivation practices more widely," Yadav said.

Highlighting the future growth projection, Anubhav Das, founder & MD, Red Otter Farms said,

The millet market is estimated to increase at a CAGR of 4.60 per cent between 2023 and 2028, from $11.02 billion in 2023 to $13.80 billion by 2028.

He also emphasised India's significant contribution, being the world's largest millet producer, accounting for 20 per cent of global output and 80 per cent of Asian output.

"India's export figures have been steadily increasing at a CAGR of approximately 3 per cent over the past five years," Rituraj Sharma, Founder, Growpital said.

The United Nations declaration of 2023 as the Year of Millets and the Indian government's initiatives have played a pivotal role in raising awareness about the nutritional value and climate resilience of millets.

The true spread of millets throughout India occurred after the UN declared 2023 as the Year of Millets. Prime Minister Narendra Modi coined a new term for millets, 'Sree Ann', and various government activities have led to a tremendous awareness about millets. As a result, the market now has numerous different and easily accessible millet-based products, such as pre-mixes, cookies, and snacks.

COVID-19 has also influenced a mindset shift towards healthy eating, which has contributed to the increased adoption of millets in daily life, said Aanchal Saxena, Co-founder, Mad Over Millets. 

"Millets are very diverse in their usage and cater to various age groups. They are even proven to be healthy for dogs," she explained.

Pearl millet cultivation will decline by minimum 30% in the wake of floods | Image credit: Pexels

Flood's impact on millet-based industry

However, the present challenges faced by the overall commodity market, such as skyrocketing retail inflation and increasing prices of vegetables, may impact the millet-based industry as well. Nonetheless, millets remain comparatively affordable.

"We believe millets will soon find their place as well-priced products due to their nutritional value," Saxena said.

The recent heavy rains and floods pose additional concerns for the millet economy. Flooding can damage crops and disrupt transportation infrastructure, affecting the production-to-demand ratio and overall success of the industry.

"Local authorities, agricultural experts, and policymakers need to monitor and manage the effects of adverse weather conditions on the millet economy. Implementing appropriate measures to mitigate the impacts and supporting farmers during challenging times is crucial," Raj Yadav asserted.

Future growth prospect

Despite these challenges, the future growth projections for the millet-based industry in India remain promising. According to experts growing consumer awareness about the health benefits of millet and the growing interest in millet-based products in domestic and international markets are expected to drive further growth. Millet cultivation was predicted to expand to 250 lakh tonnes by 2030, from a total output of 120 lakh tonnes three years ago. 

Earlier this month, a comprehensive strategy to increase the procurement of coarse grains was discussed and formulated during a conference chaired by Union food minister Piyush Goyal in New Delhi. The Indian government aims to procure 2.6 million tonnes of coarse grains or millets in the 2023-24 Kharif marketing season and distribute 2.2 million tonnes. This strategic focus on coarse grains reflects a broader objective to strengthen the nutritional security of beneficiaries. According to an official statement, a total of 26.14 lakh metric tonnes (LMT) of coarse grains were projected to be procured in the Kharif Marketing Season (KMS) 2023-2024, with an expected distribution of 22.31 LMT.