Agricultural Distress

About

• India has one of the fastest-growing economies in the world. Almost half the nation works in agriculture as their main job. 
• The agriculture sector’s contribution to economic development has declined throughout the previous few decades, while the manufacturing and services industries have made increasingly significant contributions. 
• For about ten years, farmers throughout India have been impacted by an unprecedented agricultural crisis.

Causes

• • Poor Planning and Policy: The Government’s plan previously centered on boosting agricultural production and enhancing food security, ignoring the requirement to increase farmers’ earnings.
    • One of the primary causes of agricultural hardship is also the lack of specific initiatives to improve farmers’ well-being.
  • Diminishing Average Farm Size: Due to rising population density, disguised agricultural employment, and the conversion of agricultural land to other uses, the average land holding has significantly decreased.
  • Rainfall and Climate Dependency: Indian agriculture is heavily reliant on the monsoon, and ever-increasing global temperature has made agriculture more prone to extreme weather events.
  • Falling Farm Prices: The low cost of imports has harmed domestic prices, and the low cost of global prices has impacted exports.
    • Agriculture’s dependence on lenders and its inability to obtain credit easily.

• Chains of supply that are broken up:

• • Cold chains, significant storage gaps
  • Restricted connectivity
  • lack of promotional resources
• Insufficient Mechanization: Due to a number of factors, such as limited access to credit and poor awareness, the adoption of modern technology has been slow.
• Additional Causes: Due to diseases and pests, crop output is always threatened.
  • Inputs such as seeds and irrigation infrastructure are in short supply.
  • Inefficiencies in the Agricultural Produce Market Committees (APMC) Act.

Effects of Agri Distress

• Negative Impact on Farmers’ Income: The prevalence of poverty among farm families indicates that farmers’ income is low as a result of the aforementioned reasons.
  • The low and extremely variable farm income is hurting the desire for farming and farm investments, as well as driving more people into and more farmers, especially those in the younger age range, to quit farming.
• Cases of Suicide: In addition, in recent decades, there has been a dramatic rise in the number of farmer suicides in the nation.
  • This might hurt the future of the nation’s agriculture and food security.

Government Initiatives Taken

• The aim of doubling farmers’ income by 2022–23 is a crucial component of advancing farmers’ well-being, mitigating agricultural distress, and bringing about real change in the lives of farmers. 
• Central Government Initiatives: The Central government has implemented a number of initiatives in recent years, including the PM Krishi Sinchai Yojana (PMKSY), electronic National Agricultural, and PM Fasal Bima Yojana (PMFBY), neem-coated urea, soil health card, and the electronic national market (e-NAM) are examples.
• Priority Sector Lending (PSL) places a strong emphasis on agriculture, and the objective for bank lending to agriculture has been raised annually.
• Fertilizer Subsidies: The government provides fertilizer subsidies annually, in addition to the food subsidies provided under the PDS.

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