Solutions for the Jigsaw Puzzle that is Indian Agriculture

Context: Ailing Indian agriculture with high turnover rate is in the dire need of Union and State initiated reforms.

Problems of Indian Agriculture

• 94% of farmers lack access to regulated markets.
• 40% of farm produce is grown by tenant farmers.
• Land fragmentation and Inefficient credit delivery system.
• India’s farm and food policies have an urban bias. 

• Amending Essential Commodities Act (ECA): will not solve the issue as government plans to remove food items from the ECA list, but not petrol and diesel.

Way Forward

• Removing poverty in India is synonymous with improving the lot of Indian farmers. 

• Reforms in industry and services and increasing share of manufacturing in India’s gross domestic product (25%) will improve state of agriculture too.

• Prioritise state initiated farm policies (agriculture is a state subject) over National Farm policies.

• Need of Agricultural Produce Marketing Committees act (APMCs) for better price discovery and increasing farmer’s access to regulated markets.

• Credit delivery to tenant farmers: to the farmers who don’t own the land, required for collateral based loans.

• Ensure of land consolidation through land pooling with help of farmer producer companies.

Way Forward

• The plight of and shackles around Indian agriculture can be solved with emergence of local solution and help from the center and states.