M2022HRM066

FC2 Section B

Q3.

Write a reflective note on the nature and causes of current agricultural problems in India
and their effect on livelihoods and job creation in rural areas.

Agriculture remains an important source of income for a significant population in the nation.
Although the contribution to Gross Domestic Product might have reduced, agricultural
production has grown. This can be attributed to the increasing population and globalization
effects. The future of agriculture remains an issue especially given the growing population, but
more importantly, agriculture as a sector is also undergoing severe problems.

With the liberalization, agriculture was severely affected, especially when the state withdrew
many of the services, and there is a case of good strong alternatives too.

As argued by Corbridge Harris Jeffrey, the transformation of the Indian economy from a
primarily agricultural one to an industrial one is incomplete. It can be termed lopsided or failed
transition. Moreover, in the name of development, many peasants were dispossessed of their
lands and got a share of fragmented land. The average land size of holdings came down from
2.28 hectares in 1970-71 to 1.50 hectares in 1990-91. The problem is more intense in densely
populated states like Kerala, West Bengal, and Bihar.

In the context of globalization, farmers were exposed to the world market, exposing them to
price volatility. Adding to this was the lesser investment in the agricultural sector. The
expansion of public sector banks was ending, and many rural branches of central banks were
shut down. At the same time, the costs of many agricultural inputs have increased rapidly.
Coping with the situation, there was an inflow of people to urban centers, which also resulted
in the feminization of agriculture. As argued by Sanyal and Bhattacharya, this movement to
urban centers resulted in the creation of 'excluded labor.’

Moreover, the issues of irrigation and fertilizers remain to be solved. Almost one-third of the
total land is irrigated in the nation. Faulty irrigation results in high alkalinity too in the soil.
Besides, agricultural marketing is still in bad shape. The rural credit survey report shows how
farmers are forced to sell their products at unfavorable prices. Storage facilities and transport
of the outputs are also not running in good shape in the nation.
The current scenario predicts an upsurge in the competition for small-scale farmers, especially
from the private sector. Climate change hurts farmers. The challenge for them is to switch
between different practices.

The future challenges include the digitalization of retailing in agriculture and the use of new
and precise technology for increased productivity in agriculture. Keeping the challenges in
view government should implement inclusive policies. It is also essential to have a good market
with proper functioning. The future depends on the implementation of sound policies in this
sector. Also, it is crucial to look beyond government for solutions; for instance, small farmers
can form collectives and the scope of newer farming modes, including corporate farming. There
should be institutional innovation in the sector too.