Prof SK Tripathi
AHANDFUL of farmers and trade union leaders are on the streets again, some two years after their demand for the repeal of three farm laws were met. Also, this is despite the fact that a Government-formed committee is discussing matters pertaining to their demands.
The terms and reference of the committee include betterment of agriculture and farmers in the country, and also the contentious issue of minimum support price (MSP).
While forming the committee, the Government had invited representations from major farmer unions. Those protesting today had then boycotted this committee. They still refuse to come to the negotiating table, yet hold the nation to ransom with pickets on the highways.
Budget allocations rise
During the past decade, the Union Government has initiated a slew of schemes for the benefit of farmers and has significantly hiked budget allocations for the agriculture sector.
The commitment of the Prime Minister Narendra Modi-led Government to the welfare of farmers is evident from the fact that in FY 2013-14, when the Ministry of Cooperation, Department of Animal Husbandry and Dairying, and Department of Fisheries were integral parts of the Ministry of Agriculture and Farmers Welfare, the total budget allocation was Rs. 27,662.67 crore.
Despite the subsequent separation of these ministries and departments, the total budget allocation for the Ministry of Agriculture and Farmers Welfare has witnessed a substantial increase, reaching Rs 1,25,035.79 crore in FY 2023-24. The Budget Estimate for Agriculture and Allied Activities has now been pegged at Rs 1,46,819 crore for 2024-25.
Procurement goes up Meanwhile, procurement of foodgrain has increased from 761.40 lakh metric tonnes in 2014- 15 to 1,062.69 lakh metric tonnes in 2022-23, benefitting more than 1.6 crore farmers.
The expenditure incurred (at MSP values) on procurement of foodgrain increased from Rs 1.06 lakh crore to 2.28 lakh crore, during the same period.
Electronic National Agriculture Market (e-NAM) integrated 1,361 mandis, providing services to 1.8 crore farmers with trading volume of Rs. 3 lakh crore.
Further, in April, 2016, the Government constituted an inter-ministerial committee to examine issues relating to the doubling of farmers’ income (DFI), and recommend strategies to achieve the same. The committee has submitted its final report and the recommendations are being considered.
Consider the MSP, where the Government buys 23 crops from farmers at a promised rate. This price is determined by the Union Government on the recommendations of the Commission for Agricultural Costs and Prices (CACP). Every year, the Government has been significantly increasing procurement costs.
Subsidy major part
Food subsidy comprises a major part of the total expenditure by the Department of Food and Public Distribution, where around 96 per cent was allotted for this in financial year 2024. The subsidies constitute approximately one-ninth of India’s total budget expenditure of Rs 45 lakh crore for the current financial year, ending March 31.
Food subsidy protects farmers against fall in market prices and provide consumers with affordable foodgrain through Public Distribution System (PDS).
Prime Minister Narendra Modi
Agriculture falls in the State List under the seventh schedule under Article 246 of the Constitution which deals with the division of powers between the Union and the states. Thus, implementation of several beneficial schemes, including the MSP, is in the hands of individual state government.
Timing of protest
The timing of the farmers’ protest is such that it coincides with either Vidhan Sabha or Lok Sabha elections. In the last instance, the protesting leaders fanned out in states gearing for elections and sought votes “against the BJP”. This time again, a similar cry is being raised, with anti-PM Modi sentiments coming to the fore.
That’s because many of the participating unions are led by people who actively dabble in politics. The political affiliation has led to the disintegration of the original Samyukta Kisan Morcha (SKM) that spearheaded the 2020-21 protest.
Beneficiary-oriented schemes
Pradhan Mantri Kisan Samman Nidhi: Rs 6,000 per year to all landholding farmers in three equal instalments
Pradhan Mantri Kisan Maan Dhan Yojana: Social security net for small and marginal farmers Rashtriya Krishi Vikas Yojana – Remunerative approaches for agriculture and allied sector rejuvenation, making farming remunerative
Pradhan Mantri Fasal Bima Yojana: Affordable crop insurance scheme for farmers Per Drop More Crop: For efficient use of water
National Honey and Bee Mission: Promotion and development of scientific beekeeping
Agri Infra Fund: Debt financing for investment in viable projects for post-harvest management
Interest Subvention Scheme: For providing credit support by way of short-term crop loan up to Rs 3 lakh.
National Bamboo Mission: To increase area under bamboo plantation to supplement farm income
Soil Health Management: To develop and promote soil test based nutrient management for enhancing nutrient use efficiency
Sub-Mission on Agriculture Extension: Disseminating technology to farmers through new institutional arrangements
Sub-Mission on Agriculture Mechanisation: Increase reach of farm mechanisation to SMF and where availability of farm power is low
Mission for Integrated Development of Horticulture: Stimulate holistic growth of horticulture sector
Sub-Mission on Seed and Planting Material: Production and multiplication of high yielding certified/quality seeds of all crops
National Food Security Mission: Increasing production of certain crops
Integrated Scheme for Agriculture Marketing: To develop marketing infrastructure to effectively handle and manage marketable surpluses
Formation and Promotion of 10,000 Farmer Produce Organiszations: To enhance economic strength and market linkages for increasing their income.
