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Dimensions of agrarian crisis and underlying policies

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Dimensions of agrarian crisis and underlying policies

  1. 1. Dimensions of Agrarian Crisis and Underlying Policies Dr. G. V. Ramanjaneyulu Centre for Sustainable Agriculture National Workshop on Rethinking Economic Policies for Income Security in Agriculture
  2. 2. The Crisis • Increasing Costs of Cultivation • Trapped in high-risk high-input agriculture • Unremunerative Prices; Devaluing of agricultural produce • Disparity and neglect of rainfed areas and dryland crops • Ecologically unsustainable models • Lack of holding capacity among small farmers • Processing and marketing not in farmers’ hands • Decrease in public investments; skewed subsidies • Increasing Living Costs
  3. 3. Wrong framework • Our models of agriculture and support systems are not based on our situations and needs • Green Revolution was technology and productivity centric • From 90s we have become technology and market centric • Both never cared for the externalities
  4. 4. Agrarian Crisis Farmer Policies Markets • Small holdings • Lack of bargaining power • Increased tenancy • Lack of knowledge and skills • Low investments in agril • Against small holders • Support high extrnl input agril • Monocultured and monopolised markets • More cost addition than value addition
  5. 5. Dimensions of Crisis • Agriculture Crisis: Neglect of agriculture, unsustainable models • Resource depletion • Increasing chemicalisation • Monoculture • Increasing risks of failure • Lack investments • Agrarian Crisis: Threatening livelihoods of small and marginal farmers • Decreasing incomes • Lack of support systems
  6. 6. People depending on Agriculture in India 69.9 99.6 78.2 92.5 110.7 127.31 118.7 27.3 31.5 47.5 55.5 74.6 106.1 144.3 0 50 100 150 200 250 300 1951 1961 1971 1981 1991 2001 2011 Indian Census 1951-2011 Cultivators Agriculture labour 49.93% 19.5% 52.78% 16.69% 43.35% 26.33% 37.82% 22.69% 35.24% 23.75% 31.65% 26.38% 24.64% 29.96% 69.43% 69.47% 69.68% 60.51% 58.99% 58.03% 54.6% • People depending on agriculture has come down from 69.43% to 54.6% in last 60yrs • For the first time the number of cultivators is lower than agriculture workers both in proportion and absolute numbers • Between 2001-2011 about 86.10 lakh people have left farming in India which is about 2358/day • In 2011 main cultivators (depending on farm income for more than 6 months) are only 95.8 m which is about 8% of Indian population) (People in Million) (% of workers) Source: Census of India 1951-2011 http://www.agrariancrisis.in
  7. 7. Where are they going? • From 2004-05 to 2009-10, only 2 million additional employment was generated but 55 million were added to working age population! • 25.1 million people lost their self-employment • Increase in the number of casual workers by 21.9 million, while growth in the number of regular workers nearly halved between 2004-05 and 2009-10, compared with the previous 5 year period. Sector 2004-05 2009-10 Difference Agriculture 258.93 243.21 -15.71 Manufacturing 55.77 48.54 -7.23 Services 112.81 112.33 -0.48 Non-Manufacturing (construction) 29.96 56.10 26.14 TOTAL 457.46 460.18 2.72 Sector-wise employment (millions)
  8. 8. 0 2000 4000 6000 8000 10000 12000 14000 16000 18000 20000 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Farmers suicides in India No. of suicides Source: NCRB 1995-2012 Total 2,84,694 in 18 years http://www.agrariancrisis.in
  9. 9. Farmers Suicides in India, 2012 Four major cotton growing states form 68% of the suicides AP and Maharashtra form 46 % Source: NCRB 1995-2012, http://www.ncrb.nic.in Total 13754 http://www.agrariancrisis.in
  10. 10. The table only includes States whose annual averages have risen or fallen by over 100 farm farm suicides between the to periods. It also treats Madhya Pradesh and Chhattisgarh as one unit for data purposes. Source: NCRB Accidental Deaths & Suicides in India Reports 1995-2012 Average (2004-12) Average (1995-03) Differe nce Andhra Pradesh 2376 1613 763 Assam 310 159 152 Jharkand 109 8 101 Madhya Pradesh+Chhattisgarh* 2513 2327 186 Maharashtra 3745 2656 1089 *MP state was formed in 2001 Increasing crisis
  11. 11. Crop A2+FL/ha C2/ha A2+FL/q C2/q C3/q Yield q/ha Implicit price/q MSP/q Paddy 35104.50 54202.54 603.62 932.35 1033.43 54.69 1122.25 1050 Cotton 27204.15 42919.35 1525.73 2405.53 2547.15 17.53 2905.54 3000 Jower 16012.21 23757.04 1000.62 1429.67 1572.64 14.17 1452.57 540 Maize 26735.73 35564.55 576.95 531.69 917.69 44.25 547.34 540 Redgram 16519.59 30960.04 1674.31 3149.79 3465.00 9.50 4316.33 2300 Moong 7351.55 12624.29 2340.03 4013.55 4414.92 3.14 5103.19 2750 Blackgram 14304.52 25555.33 1615.53 2554.59 3207.54 5.54 4422.75 2520 Groundnut 24771.12 35699.44 1765.24 2537.04 2791.30 13.27 2312.25 2100 Cost estimations for 2009-10
  12. 12. Focus on Farm Incomes & Sustainability • Make incomes of small farmers the focus of Agriculture policy; Sustaining small farmers not pushing them out of agriculture • Economical and Ecological Sustainability Why? • Foundation of Rural economy; Livelihood of 60% of our citizens; Required to ensure nation’s Food Security • Production-focused support policy of 1960’s has broken down • Growth models in other countries show: unless the model has focus on farm incomes, growth is not poverty-reducing.
  • kavipriya2031993

    Nov. 10, 2017
  • ShivnandanShukla

    Jan. 20, 2016

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