Problems with Farmers in India

Ten things wrong with Agriculture in India

1. Shrinking Size of Farms

- 67% of farms are under 1 ha

- 18% of farms under 2 ha

- Are used for political mileage

2. Obsession with Subsidies

- Averaged at Rs 16,300 per ha per annum

3. Distrust of the market

- Farmers are forced to sell their produce in mandis

- Inter-state restrictions

4. Farm-related policies are centralised

- While the agriculture problems are localised

- Same policies are not applicable everywhere

- Each state must have its own variation of Food Security Act and Land acquisition policies

5. Wrong crops are encourged

- Policies support water intensive cultivation (Like sugarcane, rice etc.)

- Agriculture uses 90% of total water drawn but produces only 15% of GDP

6. Enable farmers to take to dairying and animal husbandry

- Risks are reduced from multiple incomes flowing

7. Need to expand corporate & contract farming

- Easy leasing of fragmented landholdings

8. Need for marketing and branding for cooperatives

- Like Amul

9. Farmers need financial support tailored for their needs

- Not just a Good crop insurance