Farmers and Government : A way forward

“The implementation of Farm Act sooner the better was a Hobson’s choice with any Indian political party in power to exploit the proliferating global and domestic demand for agricultural produce by 2025, let the Indian agricultural sector put aside the opportunities in the international market even the increasing domestic demand cannot be catered by the prevalent low productive system eventually food imports leading to lost self-sufficiency especially to China becoming vulnerable to diplomatic uncertainty for continuous supplies”

Indian economy has already adopted the policy of liberalization only the contours of it’s economy are centrally planned and market protected but the boundaries are deemed to blur. The recent structural agricultural reforms were in consideration since long, for Indian subsistent agriculture the Act has prospects and brings challanges as well. The issue is matter of debate?

The deliberations about the subject must be genuinely implemented for advantages like alternative sale option apart from regulated mandis, amendment in Essential Commodity Act removing the cap on stocking to regulate the flow of supplies in non harvesting season controlling inflationary pressure, solution to security and distress sale through contract farming, infrastructure bottleneck in storage capacity (godowns as well as cold storages chain) and farm mechainization, formation of e-Martketplaces, organised commodity market and transperent price discover via indices, FCI procurement and distribution via TDPS leads to high economic cost of food grains and huge losses funded by the government exchequer, farm wastes, increase in farmer income.

The challanges of corporate, contract farming and globalization are less feasible for marginal farmers due to lack of capital, investement, entrepreneurship and quality of the produce as world and corporations will procure the best. The government cannot provide legal guarantee on MSP because there is no scope for PDS in future, the Priority household (BPL) that depend on PDS the government can opt for DBT. The capital intensive practice mean more unemployment that is already the victim of disguised unemployment. Rising Food insecurity as the farmers will sow that is in demand and benifits them the most.

The farmers can hold the bargaining power by conglomeration forming organisations and cooperatives and GOI as well as states need to formulate effective policies that are sustainable and inclusive.

A piece by Tariq beigh (Student & entrepreneur)

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