Changing dietary preferences are expected to continue to benefit the agricultural sector
- Signs of favorable conditions for the processed food industry in the country in the coming years
Farmers of the country have been fighting for a long time to get a viable return on their agricultural produce. Whether it is the minimum support price or other forms of relief, farmers have to constantly fight to survive. As the country's agriculture depends entirely on monsoons and weather, there is constant uncertainty in returns, so farmers are now demanding a legal guarantee on support prices. 23 Legal guarantee of support prices for agricultural crops cannot be seen from the financial position of the country but it is necessary to make more efforts to increase the income through agriculture by removing the deficiencies in the overall agricultural sector. The support price system seems to be effective in rice and wheat as the government buys these two agricultural crops massively for food security at support prices which are not found in other crops.
On the one hand, farmers are insisting on guarantee from the government regarding their income, on the other hand, a recent survey report has revealed that there has been a significant change in the choice of food in the country in the last decade. It would not be wrong to say that this report indicates that the equations of the agriculture sector will change in the coming days. With the improvement in the economic condition of the country, it cannot be ruled out that consumers in rural or urban areas will see more changes in their eating patterns in the future.
Since the independence of the country, there have been many attempts to increase the income of the farmers, although there is no significant change in the condition of the Bhumiputras, it can be said from the frequent agitations by the farmers and the election promises made by the political parties for the farmers. The support price policy may have increased farmers' income but the high rate of inflation against the support price has made the situation dire for farmers. The government takes into account the cost of sowing the crop while fixing the support price, but whether the support price is adequate compared to the cost has always been a matter of debate. Not only the prices of fuel are continuously high, the prices of fertilizers and pesticides have also gone up. The cost of animal feed has also increased. In such circumstances there is doubt as to the actual increase in income through agriculture. Despite the fact that the government is well aware of the huge burden on the country's economy in providing support to farmers, there are other popular announcements besides support prices for farmers. These announcements are made keeping in mind the prevailing situation. Despite increasing the support price of agricultural products, many times the market price of agricultural goods is seen to be quoted at a discount of 25 to 30 percent from the support price. Except for wheat and rice, government agencies buy agricultural products at subsidized prices, but these purchases are in such small quantities that even farmers do not have much enthusiasm to sell goods to agencies.
Several measures must be taken to improve the condition of the country's agricultural sector. Especially measures for water availability. Water resource management is a major challenge for farmers. Integrated irrigation facility reduces dependence on rainwater for agriculture. Irrigation system can see stability in agricultural production and increase in profit. Through water management technologies, the conflict for agriculture, industry and domestic use of water can be avoided. The use of such technologies and new and efficient water management methods can attract the new generation to agricultural business. These technologies and methods continue to require substantial R&D.
If decisions are taken keeping aside politics in the formulation of agricultural policy, the farmers as well as the consumers will continue to get food grains at the right price which can be considered as remunerative for them as well. Many a times it is seen that there is a record production of foodgrains but the prices do not remain low accordingly. It is a common math that as supply increases, prices should fall, but this math does not hold in the case of grains. The reason why prices will not come down is because of high production costs. It is the responsibility of the country's policy makers to play the role of proper stewardship and failure to fulfill this responsibility will not benefit the farmers or the consumers, whatever the bumper crop. A huge investment in research and development in agriculture is required today to increase yields with less cost.
The recently released Household Consumption Expenditure Survey report is showing signs of changing consumer preferences in urban and rural areas of the country. Using this survey report as a ready reckoner, it would not be wrong to say that the government has got an opportunity to think about how the changing patterns of food consumption can be benefited. A picture is emerging of rural India spending more money on cold drinks and processed food than on pulses. According to the report, the share of cold drinks, prepared food, processed food is higher than that of grains in the total expenditure of the rural family. Given the changing consumption patterns and emerging opportunities, the situation is expected to be favorable for the processed food industry in the country in the coming years.
Comments
Post a Comment