| ‘Bring Agriculture under concurrent list, P. Chengal Reddy, Secretary General, C I F A, at Indian Economic Summit |
| KEY ISSUES |
| Indian Economic Summit 2010 organized by World Economic Forum on 14th-16th November, 2010 at New Delhi. |
Food security to 1100 India’s population, sustainability of 600 million small and illiterate farmers, shrinking water and land availability, protecting the environment and other key issues are discussed. |
Involving farmers in discussion organized by WEF is awelcome addition. The field conditions of 600 million small and illiterate farmers based Indian Agriculture Sector is a challenging task not only to improve productivity but also to bring them into marketing network. |
Panel members: Dr. M.S.Swaminathan, Sri Bhupendra Singh Hooda, Chief Minister, Haryana; Sri Ashok Gulati, IFPRI; Mr. Raj Jain, CEO, Wal-Mart ; Mr. Subba Raman, Nomura International, Hongkong; Mr. Jerry Strainer, Executive Vice President, Monsanto, USA and Mr. Abraham, ED, Indian Business School. |
What ails India’s agriculture and what are the remedial measures to achieve the target growth are the issues that were discussed Mr. Hooda demanded fixing MSPs of farm produce at cost of production (C2 cost) plus 50% to the farmers. Mr. Ashok Gulati said of the total expenditure on agriculture, 20% is investment and 80% subsidy which requires to be reoriented. He suggested direct subsidies to farmers. He stated that the Government retains control through price fixation, monopoly procurement, restrictions on exports. He suggested liberalization the agriculture sector. Other members including Mr. Strainers stressed on utilizing technologies developed and successful in other countries by Indian Farmers. It was suggested that small farming can be made sustainable by integrated approach of animal husbandry, dairy etc. Working with farmers is welcomed by all the participants. |
| On behalf of CIFA P. Chengal Reddy emphasized on the following:- |
1) It is an accepted fact that Government of India has enabled industry and service sector achieve 6%-8% growth on an average due to removal of controls. On the contrary agriculture growth is stagnating at 1% since 1990. |
| 2) The successful PPP in health and education is a modal to be adopted by Agriculture Sector. |
3) Indian farmers have capacity to absorb technologies as evident in green revolution, vegetable production, dairy development and specially seamlessly changing to BT Cotton cultivation. |
4) Indian farmers need to have access to bio technology and mechanization. Large farmers in USA and small farmers in China are both successful because of adoption of new technologies. |
| 5)
Government of India should bring about important policy changes in the following areas: |
| i.Constitutional reforms to bring agriculture and irrigation under concurrent list. |
| ii.Increased Government investment in agri infrastructure & research. |
| iii.Institutional reforms-CACP-FCI-ICAR-Commodity Boards |
| iv.Professionalization of agriculture services. |
| v.Empowerment of farmers and management of Institutions and Resources-Agriculture Planning-Water-Markets-Cooperatives. |
| vi.Legal reforms-Legalizing Tenancy- Contract Farming-Consolidating Land Acts. |
| vi.Liberalization of agriculture sector-removing control, permits & restrictions. |
| vii.Market reforms-Contract Farming-FDI in Agriculture. |
| CHALLENGES |
| Is the industry, specially input and processing industry (Indian-MNC), willing to join hands with small farmers as equal partners for sustainable agriculture development and individual farmer’s welfare? |
| The industry has to extend a hand friendship by helping in the fields of: Extension, Farmers Training, Mutually beneficial policy identification and joint lobbying. |
| The Indian Industry has many success stories while working with farmers. However the scale of operations and also integrating policy issues in their partnership programs is essential. |
| The World Economic Forum which has been working at International and National level policy level has to reorient it’s strategies by working at grass root level with farmers. |
| WAY FORWARD |
1) Initiating partnership dialogue between farmers and industry covering one or two commodities. It was suggested after the meeting that a horticulture (Vegetable) Producers and retailers interaction be held during 7th National Farmers Conference at Bangaluru to be held in the last week of January, 2011. |
| 2) World Economic forum to coordinate farmers and industry partnership program on a long term basis. |
| krsr/221110 |