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‘Continuing duty-free sugar import means destroying farmers in India’, O.P. Dhanuka
 
By continuing to exempt import duty on sugar, we subsidise costs for industrial consumers, such as soft drink , biscuit and confectionery manufacturers, who make 50 to 60 per cent profit on their turnover. Continuing duty-free import means destroying farmers in India and extending subsidies to the farmers and sugar industry in Brazil, Thailand and other countries. Is our Government concerned about the well-being of cane growers in other countries or should they look after our own own farmers? In the past too, the Union Government failed to take timely decisions and the industry suffered.
When the decision to export was delayed (in 2006-2007), the sugar industry had suffered and incurred losses. Likewise, when the sugar import decision was delayed (in 2008-2009), conversion of raw to white sugar became difficult in 2006-07.
Cane prices:  Past records also speak volumes. Whenever cane prices increased by 50 per cent or more, production also went up by 50 per cent or more, the very next year. In 2009-10, the price of sugarcane increased around 100 per cent and even if we assume a 50 per cent increase in sugar production, that works out to 285 lakh tonnes. (190 plus 95). If the authorities concerned execute appropriate long-term plans, India can undoubtedly become a net permanent exporter like Brazil. The Government is talking about shortage. Is it possible that in conditions of shortage, sugar prices reduce from Rs 4,200 a quintal? Ex-factory to Rs 2,700 a quintal? These changes have happened only in three months. O.P. Dhanuka, B L 180610
NOTE: According to the latest Government estimates, sugar production in the country is expected to touch 22-23 million tonnes (mt) in 2010-11against 19 million tonnes last year. Production fell sharply to 16 mt in 2008.
Pulses Production Problem cannot be solved by MSP hike alone
 
Acreage has stagnated. Output is trapped between 13 million and 15 million tonnes. Yields continue to be rather low at about 600 kg per hectare. In developed economies pulses yields are in excess of 1,500 kg.
Planting in small and marginal lands, suspect quality of inputs, lack of irrigation facilities (only 15 per cent of the acreage is irrigated), no breakthrough in seed technology, susceptibility to pest and disease attacks, lack of rural infrastructure and absence of strong government-backed marketing support (similar to rice and wheat) have all combined to cause stagnant acreage, poor output growth and woefully low yields.
NOT BY MSP HIKE ALONE: A mere increase in MSP, however steep, is unlikely to
deliver the desired results. Under the seriously challenged farm conditions in India, a higher minimum support price cannot guarantee higher output.
IDEAL FOR CROP ROTATION
Encouraging pulses cultivation in traditional grain mono-cropping areas and procuring the output for supply through the public distribution system is a strategy that is sure to deliver multiple benefits.
It will help address soil health problems, expand pulses output, boost growers' confidence by providing ready marketing outlet, enable the poor across the country consume pulses at affordable rates and reduce dependence on imports and global market volatility. The potential benefits would far outweigh the financial implications of the strategy. BL 180610 Under attack, Govt resiles & rescinds ban on cotton exports
By blocking exports and at the same time freezing the MSP (thereby making it un-remunerative for farmers to sell in the domestic market as well), the issue has threatened to assume political dimensions. Cotton exports have become highly attractive following a spurt in international prices.
The criticism mounted with the Union Cabinet last week deciding not to increase the minimum support price (MSP) for kapas (un-ginned cotton) crop for the second successive year. The virtual ban on exports has come under attack for being against the interests of the country's cotton growers.
Under heavy criticism for allegedly pandering to the textile lobby, the Centre on Friday said that export restrictions on cotton would be lifted from October 1 when the new crop starts arriving in the market.
UNDER OGL:“ The current export restrictions are essentially till September 30. From October 1, when the new cotton year begins, we shall revert to status quo ante (the way things were before). It will be back to good old days of cotton exports being on Open General Licence without any restrictions,” the Commerce Secretary,  told reporters here. The Directorate General of Foreign Trade had, on May 21, moved cotton exports from “free” to the “restricted” list, with shipments being permitted only against licence.  BL 190610
Collateral free farm loans upto Rs 1 lakh
In a bid to increase credit flow to agriculture, the Reserve Bank of India (RBI) on Friday said banks may waive margin/security requirements for agricultural loans up to Rs 1 lakh as against the existing level of Rs 50,000. In the case of loans for setting up agri-business and agri-clinics, the loan limit up to which banks can waive margin/security requirements will continue to be Rs 5 lakh. — The Hindu 190610
Long-term neglect of agriculture main cause of double digit inflation
The government's response for spiraling inflation is that the trend is likely to reverse itself with the onset of the monsoon. To the extent that any policy response is being spoken of, the reference is mainly to a tightening of credit and an increase in interest rates by the Reserve Bank of India. This ignores the adverse effect of long-term neglect of agriculture that has affected the level and pattern of agricultural production to an extent where supply-side constraints are leading to inflation every time growth picks. The Hindu Edit-Double-digit inflation-160610
12th Plan to retain 4% farm growth target: Montek
The Planning Commission today said the 12th Plan is likely to retain the farm growth target at 4 per cent, as the previous two Plans failed to achieve.  PTI 170610 Krsr/220610
 
 
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