While farming practices, agro-climatic conditions and crop selection differ from State to State, a common problem faced by our farmers has been the volatility in prices for produce. A record price for a crop in a season attracts more farmers to cultivate it, causing a glut which drives down the prices. Governments cannot extend the minimum support price mechanism to cover all the crops. Indian agriculture that has overcome production crises is now facing a marketing crisis. Policymakers will have to look at marketing solutions that will fetch remunerative prices if not windfall profits to the growers of different crops. India is a huge market and there is no reason why farm products have to be sold at distress prices in traditional captive markets if governments can deploy market research to assist farmers to reach out to untapped markets.
The UPA government started the farm loan waiver culture by introducing the ‘mother of all waiver schemes’ in 2008 in order to retain political power. What should be the last resort has now become the default response of governments which want to be seen as pro-farmer (‘Ground Zero’ page – “ Fault lines in the fields ”, June 10).
V.N. Mukundarajan,
Thiruvananthapuram
