Independent India’s maiden budget was presented on 26th November 1947. As usual, it was also waited with bated breath and puckered pockets. Since then no budget, with a few exceptions, has been “a common man’s budget.” In India the most common man is our farmer.
Indian budget for year 2007-2008 has some glaring contradictions in itself. On one hand the Center Government and its state counterparts are bent upon developing Special Economic Zones (SEZs) by acquiring poor farmers’ fertile tracts of land and on the other hand are promising for provisioning land to the landless farmers. If government has any surplus land it should give the land directly to the developers of SEZs. I doubt government’s intra-department coordination. If government really wishes to help the poor farmers, it should provide some financial help to needy farmers from social security fund, as it is the practice in other countries.
One more serious lapse in land-acquiring policy raises eyebrows. How and why even a single big landholder’s land is not being acquired till date? That is why; the small and middle-class farmers are mutinying against governments’ “special economic development drive.” This eye-catching instance brands SEZs policy a dubious, shady and conspiracy-laced one.
In 1947, our 75% of population (approximately 200 million) was engaged in agriculture and around 80% of the total area (2.5 million sq km) was under agriculture. Now around 65% of Indian population (approximately 650 million) is farming on 60% of the total area (approximately 2 million sq km). The area under cultivation has decreased by 20% where the total population engaged increased by even more than 200%. If we calculate per capita land availability to a farmer, it has decreased manifold.
Why most Indian farmers never want to see his son or grandson working as a farmer?
This question bothers me a lot and always leaves me high and dry. To address this query I outlined following reasons that I feel are mainly responsible for pushing India’s breadwinner towards committing suicide:
At first, with spurt rise in population after independence and subsequent decrease in landholding size, a typical Indian farmer can’t feed his family properly. Around 70% farmers own less than 10 acres of cultivatable land. Moreover materialistic thinking caused early mushrooming of nuclear families. Early division among families broken the parental ties and divided the tracts of acres into small plots. A typical farming father cultivates 10 acres with a single tractor, but his separated sons driven by their egos purchase personal tractors most of the time on credit and these tractors despite being assets become liabilities. As per agro-technocrats, one tractor should work at least for 10 hours a day; otherwise its return-on-investment diminishes to an unmanageable end. That is why second-hand tractors galore in the market at throw away prices.
Secondly, every farmer most of the time sells his produces at wholesale price but purchases all his farm or house-hold necessities at retail price. Anti-farmer WTO policies, sinking productivity due to climate uncertainties and all time high cost of farming has widened the gap between wholesale and retail prices. Government should bridge this gap by making all farmer necessities available at wholesale prices.
Thirdly, wheat and rice being staple food items are largely consumed domestically. So its MSP should not be increased because this increase affects the poor and landless community. On the other hand, MSP of the cash crops like cotton, sugarcane should be increased sufficiently. For example, from last 10 years MSP of cotton is around Rs 2000/- per 100 kg where its cost of production increased manifold.
Fourthly, in the recent budget, an amount of approximately Rs 2,25000 Cr is earmarked for agriculture credit but unfortunately not more than 20% of it reaches the destination. The money flowing route is too time-consuming and full of hassles like conflict between political ideologies of Center and State Governments, looming political instabilities on both Center and State Governments, lack of coordination among disbursing agencies and little awareness among farmers. I think government should shorten and lubricate this disbursement route to materialize results.
Fifthly, though it seems odd but farm sector should be taxed. The rate of tax should be nominal as close to naught. Most of the farmers being illiterate or partially literate steer clear from financial figures. They feel maintaining an account is not their cup of tea. This exercise will require the farmers to look into their net profit figures by weighing their revenue and cost scale.
Lastly, the Kisan credit card, a tool to get hassle-free loan has failed to rescue farmers from local moneylenders and corruption-minded rural banks. These banks mortgage farmers’ land before issuance of the card. It is well known fact that more than 50 percent farmers are always in the need of credit and owing to easier availability of credit, so credit cards will push them further into the debt trap. At the end of the day credit card scheme will be a goon rather than a gift. Government should apply some checks and controls on moneylenders. The best available option for such checks is implementation of Moneylenders’ Regulation Act.
In sum, government should shoulder farmers’ yoke so that they can keep on feeding India’s elephantine population.
The end
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Respected Vijayanand
Thanks for the nice comments.
Kind regards
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Respected Dorelooo
Thanks for the acknowlegdement. Sure, I will try to be up your expectations.
Kind regards
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I like your style of writing. And the fact that you write about social and economic issues I can see that you have a talent for these things. And I am not the only one that thinks that i can see. Keep up the good work because I will sure keep reading you.
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Debt Settlment
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Excellent , indepth analyzis of existing problems of our vast farmers.
The Nation's Wealth is the growth of farmers , where as here in our country, it's the opposite.
The plight of present farmers are pathetic.
The GAAT agreements in one side is creating havoc in our rights for cultivation of herditiary crops by imposing patent rights.
MNC's entering in to large scale farming and those peasant small farmers are left in lurch, with one end struggling by the nature's fury, other side steep in farming costs.
No labour available for farming, new hi-tech methods crepts in farming which ordinary peasants have no sources to reach.
The lands too are now facing the grudge of accquistations by the Govt agencies to create the SEZ .
What is the remedy ?
As a true citizen One has to think many times and help all possible ways to help out these farmers.
Cya...........subbu
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This is just my 2cents..
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