Tuesday, December 29, 2009

Passionate About India: IT IS SO UNFORTUNATE THAT WE HAVE CONVERTED THE WORLD’S FOOD BOWL INTO A BEGGING BOWL!- Arindam Chaudhuri

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    • There is no reason why the middlemen in Indian agriculture should get such high margins. More shocking is the fact that in the case of no other commodity, especially in the industrial sector, have the manufacturers been a deprived lot as is the case with the Indian farming community. The middlemen add no value whatsoever and yet corner heft y margins. Most of the elements involved in these activities have strong political lobbies because of which they are always able to prevent the entry of organized retailers in this business. We all know how e-choupal of ITC benefited the farming lot. Similarly, if organized wholesalers like Metro Cash & Carry or Reliance Field Fresh are allowed to enter into contracts with the farmers directly, then the farmers would surely get far higher prices than what they get right now. Also, along with all that, the central government should take necessary steps to amend the Agriculture Produce Marketing Committee (APMC) system. It is through this that state governments control agriculture in their respective states. And this is the system because of which farmers cannot sell their produce directly to the end user or the retailer. Reform in the APMC would go a long way in correcting the anomaly in the agricultural market. In an era where the price of everything is going down, there’s no reason why the price of farm produce should increase – and given that, why the farming community should continue to be the deprived lot.

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