Monday 13 February 2012 Government 2.0: The Road Ahead
India farm sector needs better deal: Survey

Renewed attention needs to be paid to improve farm production and productivity, the survey said

New Delhi: The Economic Surrey 2009-10 has called for addressing the challenges of the agricultural sector through comprehensive and coordinated efforts.
 
Renewed attention needs to be paid to improve farm production and productivity, better utilisation of agricultural inputs, proper marketing infrastructure and support, stepping up investment in agriculture with due emphasis on environmental concerns and efficient food management, the survey said.
 
The Survey says that the country has been able to manage one of the most deficient monsoons with concerted efforts of the state governments and the centre.
 
Several incentives and concessions allowed to farmers by the states and central government resulted in minimising the loss in kharif production and maximising rabi production.
The sector, however, faces various challenges, which need to be addressed sooner than later, the Survey says.
 
Although the yield per hectare of foodgrains has shown some improvement in recent years, it is not sufficient to cater to the needs of the rising population when income levels are also rising.
 
Since farm productivity is not showing desirable growth, the Survey feels that there is an urgent need to focus on research as well as better agricultural practices to ensure that productivity levels are increased in the shortest period of time.
 
The Survey also feels that special attention is required for states with relatively low productivity.
 
The Economic Survey has raised deep concern over the consistent decline in the share of private sector investment in the agriculture sector.
It says that this trend needs to be reversed through creation of a favorable policy environment and availability of credit at reasonable rates on time for private sector to invest in agriculture.
 
The Survey has also said that the inability of a large number of small and marginal farmers to directly access the agricultural markets puts a question mark on increases in the Minimum Support Price (MSP) actually benefiting such farmers though there has been a substantial increase in MSP of various crops over the last few years.
—iGovernment Bureau

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