Farm friction: on the malaise in agriculture

Farm friction: on the malaise in agriculture

News:

1. Farmers are on a 10-day strike to highlight agricultural distress and to nudge the government to take some action.

Important Facts:

2. The “Gaon” Bandh:
(i)Many farmer bodies have stopped supplying vegetable and dairy products to major cities.
(ii)The farmers are holding dharnas on different national highways without blocking the
movement of vehicles.

3. Implications:
   (i)Inflation in prices of vegetables and fruits.(In addition to the existing one in the beginning of
   the year)
   (ii)Fishermen in cities like Mumbai also joined the movement.
4. Demands of the farmers:
   (i)Increasing Minimum Support Price for crops in accordance with M.S Swaminathan
   Committee recommendations.
   (ii)Increase procurement price for milk
   (iii)Waiver of loans to offset low or negative returns on investments.
5. Farmer agitations and problems have been a common phenomena in recent times.For example some some farmers were killed in police firing in Mandsaur, Madhya Pradesh, during an agitation for better crop prices. This was followed by agitations in Tamil Nadu, Punjab, Haryana, Maharashtra etc.
6. Reasons behind the strike:
   (i)Failure of previous strikes, bandhs, and other efforts to ensure any concrete action from the
   government.
   (ii)No action taken regarding the government’s assurances of doubling the farmer’s income or
   increasing MSP.
7. There is a need for structural reform in the agricultural sector. It must be freed from over regulation.
8. The food processing sector is also facing challenges which the government has not rectified inspite of giving assurances a year back. For example, 100% FDI in the Food Retail Business has not taken off as the policy does not allow stocking of non food items.