Coconut Promotion Scheme (2026–27 Union Budget)

1️⃣ Institutional Background

🔹 Coconut Development Board (CDB)

Under Ministry of Agriculture & Farmers’ Welfare
Promotes coconut cultivation, processing, and marketing
Provides capital subsidy for value addition (25%)

🔹 Central Plantation Crops Research Institute (CPCRI)

Under ICAR
Research on coconut, arecanut, and cocoa
Climate projections & disease research

🔹 National Horticulture Board (NHB)

Implements Cluster Development Programme (CDP)
Focus: Production + Value Addition + Marketing

🌍 2️⃣ India’s Coconut Sector – Key Facts

India = World’s largest producer & consumer
Major States:
- Kerala
- Tamil Nadu
- Karnataka
- Andhra Pradesh
Expansion into:
- Gujarat
- Assam
- Non-peninsular regions

📌 Interesting point:

Productivity per palm is higher than in Sri Lanka, the Philippines, and Indonesia, yet domestic prices are higher.

🌡️ 3️⃣ Climate Change & Suitability Shift

CPCRI Projections:

+1.6–2.1°C rise by 2050
Up to +3.2°C by 2070
Increased Vapour Pressure Deficit
Intensified drought stress

Regions Becoming Less Suitable:

Interior Karnataka
Andhra Pradesh
South interior Tamil Nadu
East coast belt

Regions Still Suitable:

Western Ghats belt
Coastal Karnataka
Western Tamil Nadu

🦠 4️⃣ Major Disease Concern: Root Wilt

Severe in:
- Alappuzha (Kerala)
- Pollachi (Tamil Nadu)
Devastating impact on livelihoods
Climate stress aggravates vulnerability

📌 UPSC Link:

Plant pathology
Impact of climate change on plantation crops
Farmer distress

🏗️ 5️⃣ Key Issues in the Scheme (Critical Analysis)

A. Productivity vs Resilience

Government focus:

High-yield varieties
New plantations

But real challenge:

Heat tolerance
Drought resilience
Wilt resistance

👉 Shift needed from Yield-centric to Resilience-centric policy

B. Input Subsidy vs Direct Benefit Transfer

Problem:

Substandard biological inputs
Poor storage → reduced microbial viability

Suggestion:

Direct Benefit Transfer (DBT)
Farmer autonomy
Efficient resource allocation

📌 GS III Link:

Agricultural reforms
DBT vs subsidy debate

C. Failure of Cluster Development Programme

Issues:

₹150 crore outlay
High investment barriers
Excessive compliance
Private sector disinterest
Idle equipment

Example:

Banana cluster (Southern TN) remains mostly on paper

📌 Governance Lesson:

Top-down model failure
Need for cooperative-driven pilot models

🏭 6️⃣ Value Addition Challenges

Current Reality:

Domestic demand high
Production barely sufficient
The price tripled since 2024

Risk:

Encouraging FPOs to invest in processing during lean supply = financial risk

Better Approach:

Marketing partnerships (e.g., FMCG players)
Smaller pilot clusters
Assured market linkage

📝 7️⃣ UPSC Syllabus Mapping

🔹 GS Paper III

Agriculture & cropping patterns
Food processing industry
Climate change impact
FPOs & cooperatives
DBT
Agricultural research

🔹 GS Paper II

Role of statutory bodies (CDB, NHB)
Cooperative federalism

🔹 Essay Themes

Climate Resilient Agriculture
Policy vs Ground Reality
Trusting Farmers

📊 8️⃣ SWOT Analysis

Strength	Weakness
Strong domestic demand	Climate vulnerability
High productivity	Disease spread
Existing institutional support	Scheme duplication

Opportunity	Threat
Climate-resilient breeding	Rising temperature
Expansion to new regions	Policy design failure
DBT reforms	Farmer distress

🎯 9️⃣Practice PYQs (UPSC Pattern) with Explanation

Q1. With reference to vapour pressure deficit (VPD), consider the following statements:

It increases with rising temperature if rainfall remains unchanged.
Higher VPD intensifies drought stress in crops.

Which of the above statements is/are correct?

A) 1 only

B) 2 only

C) Both 1 and 2

D) Neither

✅ Answer: C

Explanation:

Higher temperature → higher evaporation → increased VPD → drought stress.

Q2. Which of the following institutions is specifically mandated for coconut development in India?

A) National Horticulture Board

B) Coconut Development Board

C) ICAR

D) APEDA

✅ Answer: B

Explanation:

CDB is the statutory body dedicated to coconut sector development.

Q3. Root wilt disease primarily affects:

A) Fruit size

B) Root system and nutrient uptake

C) Soil microorganisms

D) Only tender coconut stage

✅ Answer: B

Explanation:

It damages root functioning, leading to yellowing and reduced yield.

Q4. Consider the following regarding Direct Benefit Transfer (DBT) in agriculture:

It reduces leakages.
It increases farmer autonomy.
It eliminates climate risk.

Which are correct?

A) 1 and 2 only

B) 2 and 3 only

C) 1 only

D) 1, 2 and 3

✅ Answer: A

Q5. Which of the following best explains why high productivity does not ensure farmer prosperity?

A) Export bans

B) Demand-supply mismatch

C) Climate and disease vulnerability

D) High rainfall

✅ Answer: C

🖋️ 10️⃣ Possible GS Mains Question (250 words)

“Enhancing productivity alone cannot secure the future of plantation crops in the era of climate change.” Discuss with reference to coconut cultivation in India.

Monday, March 2, 2026