Centre wants PRIs to take initiative in forming RBHs

Hyderabad, Nov 8 (UNI) Panchayat Raj Institutions have a critical role to play in formation of Rural Business Hubs (RBHs) mooted by the Centre to turn agriculture into a growth engine, M K Khanna, Additional Secretary, Union Panchayat Raj Ministry said today.

Giving a national perspective on RBHs to PRI institution heads here, he said based on inputs received from them, an action plan would be formulated to ensure that institutions of local-self government secured economic development and social justice in their respective areas in collaboration with industry, which would provide support in the form of technology, branding and marketing.

Noting that people in rural areas were engaged in sub-optimal activities, he said the RBH, a joint initiative of the Centre and the Confederation of Indian Industry, would help bridge the gap between rural and urban India. Farmers would immensely benefit in terms of higher income, revenue through better yield, transfer of technology and reduced transaction cost, while industry would be able to save procurement costs and obtain standard and quality produce.

Speaking on the occasion, State Panchayat Raj Minister and RBH Council Chairman J C Diwakar Reddy urged local bodies to draw up local area plans based on local resources to produce quality products in consultation with the CII.

Two big agro-based processing firms had evinced interest to procure agro-products directly from farmers to ensure remunerative prices for their produce, he said, adding two other companies were eager to involve themselves in bio-diesel production. The modalities were being worked out.

UNI SM AA 1557