English हिन्दी
Connect with us

India News

PM Modi’s promise of doubling farmers’ income needs a reality check

Published

on

PM Modi’s promise of doubling farmers’ income needs a reality check

Agriculture is in deep crisis, deepened further in the last three due to restrictions on livestock trade.

Yesterday (Wednesday, June 20) Prime Minister Narendra Modi interacted with select group of farmers through video-conferencing over the Namo App to hear stories of how some of them had increased incomes and were leading happy lives. Modi then repeated his promise of doubling farmers’ income by 2022.

Just about a week earlier, a Down To Earth (DTE) report titled “How India lost its historic agriculture recovery growth phase in just four years” should bring this narrative down to proverbial earth.

Citing Government data, it noted a disturbing trend. In financial year 2017-18, agriculture would be growing at 2.1 per cent compared to 4.9 per cent in the previous year – and this, when India had a normal monsoon and previous two years of below normal monsoon had provided a low baseline: after a drought, agriculture growth is higher due to low baseline level.

The DTE said a crucial fact that has been missed by Modi government is its own series of rigorous reports on agriculture called “The Committee on Doubling Farmers’ Income” led by Ashok Dalwai.

The first report of the Dalwai committee using inputs and research of over 100 experts has pointed out that India’s agriculture is currently in a deep crisis.

This analysis is supported by reports that farmers’ distress, and consequently, protests are growing all over the country. If that is unpalatable to Modi government, Modi government’s Dalwai committee report gives more inconvenient facts.

According to DTE, it says the country’s agriculture sector witnessed its highest ever growth phaseduring 2004-14: the period of Congress-led UPA-I and UPA-II governments. The report calls it the sector’s “recovery phase”; a term it defines as historic.“The agricultural sector grew at the growth of around 4 per cent per year during 2004-05 to 2014-15 and the growth was quite impressive as compared to 2.6 per cent per annum during the previous decade (1995-96 to 2004-05),” says the report.

More so, the report attributes this impressive agricultural growth more to government interventions than to other situational favourable conditions, said the DTE. “The most important factor for improved performance of agriculture, post 2004-05 period, has been the price received by the farmers caused by a number of underlying factors: hike given to MSP, increase in foodgrain procurement, increase in global agricultural prices and strong domestic demand for food,” it finds.

All recent farmers’ protests amid bumper harvests are for increasing the government’s minimum support price (MSP) and to force the NDA government to keep its electoral promise of a MSP plus 50 per cent extra to farmers.

Significantly – and alarmingly – it said that in the last three years, less than 10 per cent farmers could sell their produces in MSP, which is growing at pace seen during the 2004-14 period. Also, farmers across the country sold their bumper harvests at 30-50 per cent less than the MSP for all their produces during 2015-17.

The report just adds on to this worry of Modi. It sees the recent farmers’ protests as an indication of deepening crisis in agriculture sector post the “recovery phase”.

“At the basic level, agriculture when defined as an enterprise comprises two segments–production and post-production. The success of production as of now amounts to half success, and is therefore, not sustainable.”

“Recent agitations of farmers (June-July 2017) in certain parts of the country demanding higher prices on their produce following record output or scenes of farmers dumping tractor loads of tomatoes and onions onto the roads or emptying canisters of milk into drains exemplify neglect of other half segment of agriculture.”

Modi government’s performance in agriculture has been lacklustre, observes DTE. In 2015-16, agriculture contributed 17.4 per cent to India’s GDP, which was 18.3 per cent in 2013-14, the year before he came to power. In 2014-15, agriculture reported negative growth at -0.2 per cent. Despite this low base, next year it reported 1.2 per cent growth. And in 2016-17, it was estimated to be 4.1 per cent. At an average, the growth in the last four years is around 2 per cent.

Modi government’s cow preoccupation to push Hindutva agenda worsened this with cattle trade ban.

“The last three years are also known for restrictions on livestock trade. While government fiddled with this sector, the agrarian crisis deepened,” said the DTE.

It said the Dalwai Committee Report points out that the biggest contributor to the agricultural growth in 2004-14 was livestock sector, which has never reported a negative growth in the last 35 years.

“Thus, the livestock sector is likely to emerge as engine of growth of agricultural sector and can be relied upon for risk mitigation and minimising the losses to the farmers in case of even worst outcomes from others sub-sectors. Previous studies have unanimously reported that livestock as the best insurance against agrarian distress as the sector is the source of sustained income and generates income more frequently than the crop sector,” the report says.

It is known by this time that across north India, due to the restrictions and raids from cow protection groups, livestock trade and prices have crashed, the DTE said.

The DTE then delves into the question of whether a last-ditch attempt by Modi government to make its last full budget all about rural and agriculture sectors turn around the fate of farmers and rural Indians, or at least result in rich electoral harvest for Modi.

It answers in the negative, saying that the current agrarian crisis is too deep-rooted to witness an instant recovery through a farmer-friendly budget.

Looking into the income of a farmer in India, it says even during the “recovery phase”, a member of an agricultural household earned around Rs 214/month but his/her expenditure was about Rs 207, leaving a disposable income of just Rs 7/month.

Since 2015, India has witnessed two major droughts, some 600 incidents of crop losses due to unseasonal rains and other related incidents, and finally in two years of bumper harvests prices for their produces crashed majorly. It means, a farmer neither has any base capital to invest, nor has he the capacity to take the risk of going back to agriculture. This has added to the crisis that manifests in extreme resentments.

For the first time in recent history, relatively rich farmers were out on the streets protesting for better price for their produce, noted the DTE.

The Dalwai committee report shows that the government’s move to import foodgrains to curb inflation has majorly distorted the market against the domestic farmers. India’s export of agricultural produces has dipped. It recorded more than five times growth during 2004-2014: from Rs 50,000 crore to Rs 260,000 crore. In a year it dipped to Rs 210,000 crore in 2015-16, or a market potential loss of Rs 50,000 crore.

On the other hand, agricultural import has reported constant growth. It was Rs 30,000 crore in 2004-5, which increased to Rs 90,000 crore in 2013-14, the last year of the UPA-II government. In 2015-16, it reached to Rs 150,000 crore.

Close to 22 per cent of farmers subsist below the poverty line. The dip in farmers’ income, while giving a call for doubling income, shouldn’t be just another grand plan for a “new India”, because agricultural growth critically decides poverty reduction.

According to historic data, agricultural growth has much more impact on poverty reduction than any other activity like industrial growth. The DTE said it is time government got its focus back into the factors that once ensured this recovery phase.

India News

MK Stalin predicts frequent PM Modi visits to Tamil Nadu before assembly election

MK Stalin has said Prime Minister Narendra Modi will visit Tamil Nadu more often ahead of the Assembly election, calling the tours politically motivated and questioning the Centre’s support to the state.

Published

on

MK Stalin

Tamil Nadu Chief Minister M. K. Stalin has predicted that Prime Minister Narendra Modi will increase his visits to the state as the Assembly election, expected in April or May, draws closer.

Speaking ahead of the polls, the DMK president said the Prime Minister has already begun touring Tamil Nadu and is likely to visit frequently in the coming months. He claimed that such visits could create discomfort within the BJP-led National Democratic Alliance (NDA), as alliance partners may fear the political impact of repeated appearances.

Stalin calls visit politically motivated

The Chief Minister described the Prime Minister’s scheduled programmes in the state as “politically motivated”. PM Modi is set to attend various events in Madurai in southern Tamil Nadu, including the inauguration of the first phase of the AIIMS hospital project. He is also expected to visit the Thiruparankundram Temple amid the Karthigai Deepam-related controversy and participate in a public meeting organised by the NDA.

Stalin said he has been working for all sections of the population, including those who did not vote for his party. In contrast, he remarked that some leaders are visible in the state only during election time and increase their visits as polls approach.

Criticism over Union Budget allocations

The DMK leader also criticised the BJP-led central government, accusing it of neglecting Tamil Nadu. He pointed out that while approval was recently granted for the Gujarat Metro project, there were no major announcements or allocations for Tamil Nadu in the Union Budget.

Stalin asserted that voters would remember the lack of significant measures for the state. He framed the upcoming election as a contest between Tamil Nadu and the NDA, stating that the state should be governed from Fort St George in Chennai rather than from Delhi.

The ruling DMK is currently allied with several smaller parties and, at present, the Congress, as it seeks a third consecutive term in office. Its principal rival, the AIADMK, is aligned with the BJP as part of the NDA.

Continue Reading

India News

Shashi Tharoor questions Centre over Kerala name change to Keralam

Shashi Tharoor has criticised the Centre’s decision to approve renaming Kerala as Keralam, questioning its impact and pointing to the lack of major projects for the state.

Published

on

shashi tharoor

Congress MP Shashi Tharoor has criticised the central government over its decision to approve the renaming of Kerala as ‘Keralam’, arguing that the move prioritises symbolism over development.

Reacting to the Union Cabinet’s approval, Tharoor said that the state’s name has always been ‘Keralam’ in Malayalam and questioned the practical impact of introducing the Malayalam term into English usage.

“It has already been ‘Keralam’ in Malayalam. So now, a Malayalam word is coming into English. I don’t know what difference it makes,” he said, adding that the state has not received major projects such as an AIIMS or new institutions from the Centre. He also pointed out that no significant allocations were made for Kerala in the Union Budget.

In a separate post on X, Tharoor raised what he described as a “small linguistic question” about what residents of the state would be called if the name change is implemented. Referring to existing terms such as “Keralite” and “Keralan”, he remarked that alternatives like “Keralamite” sounded like a microbe and “Keralamian” like a rare earth mineral.

The Union Cabinet, chaired by Prime Minister Narendra Modi, cleared the proposal on Tuesday. The move comes ahead of the upcoming state Assembly elections, in which 140 members of the legislative assembly are to be elected. The poll schedule is yet to be announced by the Election Commission of India.

The state assembly had earlier passed a resolution seeking the change in official records. Chief Minister Pinarayi Vijayan had moved the resolution in 2024, urging the Union government to adopt the name ‘Keralam’ in all languages listed in the Eighth Schedule of the Constitution.

He had stated that the demand for a united Kerala for Malayalam-speaking people dates back to the national freedom movement.

Continue Reading

India News

Tamil Nadu potboiler: Now, Sasikala to launch new party ahead of election

Sasikala has announced the launch of a new political party ahead of the Tamil Nadu Assembly elections, positioning herself against AIADMK chief Edappadi K Palaniswami.

Published

on

In a significant political development ahead of the Tamil Nadu Assembly elections, expelled AIADMK leader V. K. Sasikala has announced that she will float a new political party and contest the polls by fielding her own candidates.

Speaking in Madurai before heading to Pasumpon for a public event, Sasikala said she would unveil her party’s flag later in the evening. She indicated that more details regarding the party’s structure and plans would be shared at the gathering.

The event venue carries political symbolism. Pasumpon is the birthplace of Thevar leader Muthuramalinga Thevar, and Sasikala herself belongs to the influential Thevar community in southern Tamil Nadu. The programme was held as part of birth anniversary events of former Chief Minister J. Jayalalithaa.

Direct challenge to EPS

Sasikala’s move is being viewed as a direct political challenge to AIADMK general secretary Edappadi K. Palaniswami (EPS). After Jayalalithaa’s death in 2016, Sasikala briefly took control of the party and had appointed Palaniswami as Chief Minister. However, following her conviction in the disproportionate assets case, she served a four-year prison term, and during that period, she was expelled from the party.

Palaniswami later aligned with O. Panneerselvam, whom Sasikala had earlier removed from the Chief Minister’s post. The two leaders subsequently adopted a dual leadership arrangement within the party and government.

Sasikala remains disqualified from contesting elections until 2027 due to her conviction. Nevertheless, she has stated that she intends to field candidates under her new party banner.

Fragmented Thevar vote base

Over the years, expulsions within the AIADMK — including Sasikala, her nephew TTV Dhinakaran and O Panneerselvam — have led to divisions within the Thevar support base. Political observers have linked this fragmentation to the party’s weakened electoral performance in the elections following Jayalalithaa’s passing.

While Dhinakaran has returned to the NDA fold, reports suggest Palaniswami is opposed to any arrangement that includes Sasikala or Panneerselvam. OPS, meanwhile, has exited the NDA.

Sasikala has repeatedly criticised Palaniswami, describing him as a betrayer, while he maintains that his leadership stems from the support of AIADMK legislators rather than her backing.

The AIADMK has not issued an official statement on Sasikala’s announcement. However, a senior party leader questioned her political standing, pointing out her disqualification from contesting elections and referring to legal issues linked to Jayalalithaa’s death.

With the Assembly polls approaching, Sasikala’s re-entry into active politics could further complicate the opposition space in Tamil Nadu and influence electoral calculations, particularly in the southern districts.

Continue Reading

Trending

© Copyright 2022 APNLIVE.com