Paradoxical theory of agriculture suffer plenty of production in India: Frame of theory, proof, policy advocacy, prophecy

Abstract


M B Dastagiri*

Global food production surpasses the food requirement. But the farmers suffer why? Since many decades, developing countries farmers faced declining and low agricultural prices. Hence, these countries agricultural price policies are need to examine for economic precision. This led to conception of the study. India successfully feed the rising population, despite its population getting multiplied. But the Indian farmers suffer due to debt trap, poverty and commit suicide. This is basically frame work of paradoxical theory of Indian Agricultural suffer plenty of production without receiving farmer’s profitable prices. The Theoretical Frame, scientific approach, and political policy analysis were approached to validate the results. The Proof of Theory shown with estimated growth rates of MSP, WPI, Domestic prices, Export and Import Prices during 1990-2019. It also analyzed role of MSP in Improving Farmers welfare and Increase in area, production and reduce poverty and inflation. The theory results show farmers are not receiving profitable prices because the duality between what farmers want against to other powerful stakeholders wish like, consumers, government, middlemen, transnational corporation, WTO. The theory says that farmers suffer because they cannot fight against strong stakeholders. The proof is that for the last 40 years most of the cereals, pulses, Oilseeds crops domestic and international prices growth rates less than MSP. So farmers are not benefiting market prices. Hence, farmers are growing these crops based on MSP. The significant finding is Increasing MSP of cereals, pulses, oilseed increasing area, production, productivity and reduces poverty, inflation. Hence, Government should continue and increase MSP of cereals, pulses and oilseed. But Indian MSP is very less compare to countries such as USA, China, Australia, Europe where farmers will get MSP is world prices + more. Government must give profitable prices and support farmers by price supporting, price loss coverage, price insurance and other risk mitigation programs. The researchers, think tank organizations and policy makers must do scientific, political, professional policies analysis then frame policies.

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