A new agenda for India’s agriculture
Three weeks before the presenting of annual budget 2015-16 to the country (that is, us Bharatvaasis) and to the Parliament, the NDA-BJP government needs very much to recognise and respond sensibly to several truths. These are: that most Indian households and families are rural and agricultural, that the macro-economic fashion that has been followed since around 1990 elevates a uni-dimensional idea of economic ‘growth’ above all other considerations, and that several important factors both external and internal have rendered this idea of ‘growth’ obsolete.
Concerning the interaction of the three points – there are 90.2 million farming households households in Bharat – the analyst and commentator Devinder Sharma has reminded Arun Jaitley, Jayant Sinha, Rajiv Mehrishi, Arvind Subramanian, Ila Patnaik, H A C Prasad and other senior officials of the Finance Ministry that there is a continuing crisis which needs specific attention.
Sharma has outlined eleven points for the Ministry of Finance to take note of in its preparations for annual budget 2015-16 and I have summarised these points hereunder, and added four adjunct points to elaborate his very thoughtful advice.
Called ‘An 11-point agenda for resurrecting Indian agriculture and restoring the pride in farming’, Sharma has said: “Indian agriculture is faced with a terrible agrarian crisis. It is a crisis primarily of sustainability and economic viability. The severity of the crisis can be gauged from the spate of farm suicides. In the past 17 years, close to 3 lakh farmers reeling under mounting debt have preferred to commit suicide. Another 42% want to quit agriculture if given a choice. The spate of farmer suicide and the willingness of farmers to quit agriculture is a stark reminder of the grim crisis.”
Item 1. Providing a guaranteed assured monthly income to farmers. “Set up a National Farmers Income Commission which should compute the monthly income of a farm family depending upon his production and the geographical location of the farm.”
Item 2. No more Minimum Support Price (MSP) policy. This has historically been used to ask about its impact on food inflation. “Move from price policy to income policy. The income that a farmer earn should be de-linked from the price that his crops fetch in the market.”
Item 2.5. About 44% of agricultural households hold MGNREGA job cards. Among agricultural households, depending on the size of land held, non-farm income is significant. The need is to strengthen rural employment sources and income reliability as a major plank of local food security.
Item 3. Strengthen immediately the network of mandis (market yards) in all states and districts which provide farmers with a platform to sell their produce. “Leaving it to markets will result in distress sale.”
Item 4. Provide a viable marketing network for fruits and vegetables (horticultural produce). “I see no reason why India cannot carve out a marketing chain (like the milk cooperatives) for fruits, vegetables and other farm commodities.”
Item 4.5. ‘Market’ does not mean ‘mandi’. The thrust of the ‘reform’ demanded in the Agricultural Produce Marketing Committee (APMC) Acts is to “remove deterrent provisions” and “dismantle barriers to agriculture trade”. This effort will ruin smallholder farmers and must be halted.
Item 5. Cooperative farming must be encouraged including with legal support to make cooperatives more independent and effective. “Small cooperatives of organic farmers have done wonders” which be replicated for the rest of the crops.
Item 6. Villages must become self-reliant in agriculture and food security. “Shift the focus to local production, local procurement and local distribution” throughout the country for which the National Food Security Act needs amendment.
Item 7. Green Revolution areas are facing a crisis in sustainability. “With soil fertility devastated, water table plummeting and environment contaminated with chemical pesticides and fertiliser, the resulting impact on the entire food chain and human health is being increasingly felt.” We need a country-wide campaign to shift farming to non-pesticides management techniques.
Item 7.5. The agro-ecological approach to cultivation under decentralised planning (panchayat cluster) must be promoted. This has long been identified as the primary rural guide: “In the Indian development strategy, self-reliance has been conceptualised … in terms of building up domestic capabilities and reducing import dependence in strategic commodities” (from the Seventh Five Year Plan, 1985-90).
Item 8. Agriculture, dairy and forestry should be integrated. “Agricultural growth should not only be measured in terms of increase in foodgrain production but should be seen in the context of the village eco-system as a whole.”
Item 9. The government must not yield to pressure exerted via free trade agreements signed and stop food imports. “Importing food is importing unemployment.” The government must “not accept the European Union’s demand for opening up for dairy products and fruits/vegetables by reducing the import duties.”
Item 10. Climate change is affecting agriculture. Don’t look “at strategies only aimed at lessening the impact on agriculture and making farmers cope with the changing weather patterns, the focus should also be to limit greenhouse gas emissions from agriculture.” Reduce chemical fertiliser/pesticides in farming.
Item 10.5. The area-production-yield metric for agriculture is as outdated as ‘GDP growth’ is to describe a country. By adopting the principles of responsible and ecologically sound self-reliance, the whole system demands of agriculture need to be assessed with district planning being incentivised towards organic cultivation (expressly banning GM/GE).
Item 11. Localise the storage for foodgrains. In 1979 under the ‘Save Food Campaign’ grain silos were to be set up in 50 places. Localised and locally-managed foodgrain storage must be at the top of the agenda.
This is an agriculture and food agenda for the NDA-BJP government, to guide the strategies and approaches so that India does not compromise its food self-sufficiency, self-reliance (swadeshi) and return our farming households to dignity and self-respect.