Bihar’s Makhana Industry – Growth and Challenges Ahead

Bihar, India’s leading producer of makhana or foxnut, is witnessing renewed focus on this traditional crop as a potential economic booster. The recent launch of the National Makhana Board marks step in promoting Bihar’s makhana sector. This move comes amid growing global demand for makhana as a nutritious superfood and ahead of the state Assembly elections, denoting its political and economic importance.

Makhana Production and Regional Significance

Makhana is the edible seed of the aquatic plant Euryale ferox, mainly grown in freshwater ponds. Bihar produces about 90% of India’s makhana, concentrated in nine northern and eastern districts known as Mithilanchal. Darbhanga, Madhubani, Purnea, and Katihar alone contribute 80% of the state’s output. The crop is cultivated on around 15,000 hectares, yielding nearly 10,000 tonnes of popped makhana annually.

Health Benefits and Market Potential

Makhana has gained recognition as a low-fat, nutrient-rich snack ideal for health-conscious consumers. This rising popularity has expanded its market globally, valued at $43.56 million in 2023 and expected to surpass $100 million by 2033. The government aims to capitalise on this trend by supporting production, processing, and marketing to boost income for farmers and the state.

Challenges in Production and Processing

Despite Bihar’s dominance in cultivation, the state lags in processing and export infrastructure. Most makhana farmers sell raw produce at low prices to food processing units in Punjab and Assam, which add value through packaging and flavouring. The cultivation process remains labour-intensive, involving manual sowing, harvesting by diving underwater, and traditional processing methods. Adoption of high-yield seed varieties is limited, keeping productivity low at 1.7-1.9 tonnes per hectare compared to 3-3.5 tonnes from improved seeds.

Government Initiatives and Infrastructure Development

The National Makhana Board, with an initial budget of Rs 100 crore, aims to create an ecosystem for production, processing, value addition, and marketing. The Board will provide training and support to farmers and help them access government schemes. Plans include expanding food processing units and improving export facilities through upgraded airports in Patna, Purnea, and Darbhanga with cargo capabilities.

Socio-Political Importance

Makhana cultivation is a major livelihood source for about 10 lakh families, predominantly the Mallah community, a traditionally marginalised fishing caste in Bihar. This labour-intensive industry offers employment and economic upliftment for this group. Ahead of elections, the ruling coalition views makhananomics as a strategy to address unemployment and rural distress, while securing political support from the Mallahs and allied communities.

Geographical Indication and Future Prospects

In 2022, ‘Mithila Makhana’ received a Geographical Indication (GI) tag, recognising its unique regional identity and quality. This certification is expected to enhance the product’s market value and protect local producers. However, realising the sector’s potential depends on sustained government investment, improved infrastructure, and farmer adoption of modern techniques.

Questions for UPSC:

1. Point out the significance of Geographical Indication (GI) tags in promoting regional agricultural products with examples from India.
2. Critically analyse the role of government boards and institutions in enhancing agricultural value chains in India, with reference to the National Makhana Board.
3. Estimate the impact of labour-intensive agricultural practices on socio-economic development in rural India and suggest measures for mechanisation.
4. What are the challenges of agricultural export infrastructure in India? How can improving airport cargo facilities aid in boosting agri-exports?

Answer Hints:

1. Point out the significance of Geographical Indication (GI) tags in promoting regional agricultural products with examples from India.

1. GI tags certify unique qualities linked to a specific geographical origin, enhancing product authenticity and reputation.
2. They help protect local producers from imitation and unfair competition, preserving traditional knowledge.
3. GI status can increase market value and demand domestically and internationally (e.g., Darjeeling Tea, Alphonso Mango, Mithila Makhana).
4. Promotes rural livelihoods by encouraging sustainable and region-specific farming practices.
5. Enables better branding and marketing, attracting investments and government support.
6. Boosts export potential by assuring quality and origin to global consumers.

2. Critically analyse the role of government boards and institutions in enhancing agricultural value chains in India, with reference to the National Makhana Board.

1. Government boards provide institutional support for production, processing, marketing, and quality control.
2. The National Makhana Board aims to improve farmer training, adoption of modern techniques, and access to schemes.
3. Boards can help develop infrastructure, such as food processing units and export facilities, to add value locally.
4. Effectiveness depends on adequate funding, administrative efficiency, and sustained political will.
5. Challenges include bureaucratic delays, lack of skilled manpower, and coordination gaps (e.g., earlier under-staffed Makhana Research Centre).
6. Successful boards can reduce intermediaries, increase farmer incomes, and enhance competitiveness in global markets.

3. Estimate the impact of labour-intensive agricultural practices on socio-economic development in rural India and suggest measures for mechanisation.

1. Labour-intensive practices provide employment to marginalised communities, supporting rural livelihoods (e.g., Mallah community in makhana cultivation).
2. High labour input increases production costs and limits scalability and productivity.
3. Manual methods can be physically demanding, reducing efficiency and discouraging youth participation.
4. Mechanisation can improve productivity, reduce drudgery, and lower costs but requires affordable, suitable technology.
5. Challenges to mechanisation include lack of efficient machines for specific crops and farmers’ limited awareness or capital.
6. Measures – R&D for crop-specific machinery, subsidies, training programs, and public-private partnerships to develop and deploy mechanised solutions.

4. What are the challenges of agricultural export infrastructure in India? How can improving airport cargo facilities aid in boosting agri-exports?

1. Challenges include inadequate cold storage, poor logistics, inefficient customs clearance, and fragmented supply chains.
2. Lack of integrated infrastructure leads to post-harvest losses and reduced product quality during transit.
3. Limited air cargo capacity restricts export of perishable and high-value agricultural goods.
4. Improved airport cargo facilities enable faster, safer transport, preserving freshness and quality.
5. Enhanced connectivity (e.g., Patna, Purnea, Darbhanga airports) can open new markets and reduce transit times.
6. Better cargo infrastructure attracts exporters, increases competitiveness, and boosts farmers’ incomes through higher export volumes.