The Agricultural Reforms in India includes, the contract farming, modernization to enhance productivity, market access etc.

What are the Agricultural Reforms in India?

Introduction  –

The Agricultural Reforms in India include deregulation, contract farming, modernization to enhance productivity, income, market access etc. In 2020, changes were brought in the Parliament of Agriculture Act, due to which a lot of structural changes have been made in the agricultural system of India. In the economic crisis of 1990, we accepted the capitalist model of democracy, from which we accepted policies like open economy, privatization and globalization.

Capitalist Capitalist Democracy This model has been the subject of controversy all over the world, but developed countries like India and Europe do not have the same system, so how much this system will work in India has been a matter of revision.

Adam Smith believed that instead of controlling the economy by any state, it should be left to the market, which he called the invisible hand in which demand and supply are called. Therefore, we will try to find out the reasons for this by reflecting on the turmoil that is happening in India regarding agricultural law.

What are Agricultural Reforms in India –

Before the 1970s, the number of hunger deaths in India was very high, the main reason being that despite India being an agricultural country, we could not meet the food requirement of our people. For which it became very important to increase the agricultural production of the country, for this, with the help of American expert Norman Borlaug and Indian agricultural scientist Swaminathan, we had solved this problem and made an agricultural plan.

On this day, farmers of Punjab and Haryana are agitating more against the agriculture bill, it is because of these farmers that we made India’s food security plan successful. Because these two states had made the wheat problem successful with the help of the average price of the Government of India.

There is a need to change the agriculture sector in India, this is a reality because the old system has become barbaric due to corruption and the purpose for which this system was made cannot be said to be fulfilled. This system is also very infamous due to political reasons, so it is very important to improve it. For this reason, the Government of India had brought the next three laws, which have recently been announced to be withdrawn.

  • The Farmer Produce Trade & Commerce (Promotion & Facilitation) Bill 2020
  • Farmer’s (Empowerment & Protection) Agreement on Price Assurance & Farm Services Bill 2020
  • Essential Commodities (Amendment) Bill 2020

Requirement of Agricultural Reforms –

Cotton production was the most profitable production in the agricultural sector in British India, so in British India, provisions were made to keep its price under control by making laws for it. There was a need for reforms in the agriculture sector in independent India because our entire economy was dependent on it, so today’s proposed system was created for the protection of farmers,

Due to the constitutional right of all the states to make agricultural laws, these agricultural media have had a lot of influence on the entire politics of the country, so instead of getting justice, small farmers get to see their exploitation. The minimum price is fixed by the government for only 22 items, due to which there is no protection for the remaining perishable products.

With production like wheat, rice and sugarcane getting benefits under government policy, farmers began to produce on a large scale in such a way that the ground water level began to fall and the need for reforms in agricultural laws was felt. There was a need to change the agricultural law for many such reasons, the most important being the economic policy accepted since 1190, which necessitated the reform of agricultural law.

History of Green Revolution in India –

In 1970, the problem of poverty and hunger in India was the biggest problem, which was being implemented in poor countries by the then Indira Gandhi government to remedy the Green Revolution, which was being implemented in poor countries through the United Nations. With the help of American agricultural expert and Nobel Prize winner Norman Borlaug, many changes were made to increase agricultural production in India, which is called Green Revolution for agriculture.

Through which the suggestion of doing the complete process of agricultural production in a modern way was suggested by Norman Borlaug. We also get to see some side effects of this, but India’s policy of food security got success in a way and we became self-supporting in the matter of food.

For this, two important productions of wheat and rice have been very important, due to which our problem of starvation was solved and in which the farmers of Punjab and Haryana have played an important role.

The farmers of Punjab and Haryana produced wheat on a large scale due to the security of the government’s production, due to which the farmers of this region were more prosperous than the rest of the farmers of India. The basic basis of which is the security of the average price and the market market in which mainly those who are hiding are from the farmer family.

Liberalization & Agriculture in India –

After the 1990s, this situation changed and the process of running the economic market gradually under the control of the private sector began. At the first level, government companies and government property were started to be sold, till then all was well, no government had to face much opposition.

But when the matter of privatization started in the agriculture sector, in which a large number of people are dependent, it started protesting, in which we see that in the matters of agricultural reform, this protest lasted for a long time and finally the government withdrew this bill.

In the open economy, big companies give very good facilities in the beginning, but as soon as the monopoly and market comes under control, it starts its exploitation, we see such a trend in the economic market. For this the intervention of the government is very necessary, but in capitalism, the government acts only as an ally and the market becomes based on the ups and downs of the market.

Agricultural Produce Market Committee (APMC)  –

In order to regulate agricultural production, after independence in India, this law was made for the protection of farmers, whose main objective was to free the farmers’ production and financially from India’s moneylender trap. If we look at the situation today, its purpose has not been fulfilled completely and only 6 percent of the people take advantage of the average price of the government, the rest of the people do not benefit from it.

These committees are regulated by the state government and from this the state government gets money in the form of tax and those who are obstinate, they work on commission, who are mainly farmers and are related to politics.

Politics and big farmers get benefits in these agricultural markets, most of the small farmers in India have faced exploitation due to this and the average price is just a paper process and corruption has gripped the system. There is a need to reform the law, this is the reality.

With the coming of this new law, the security of the average price of the farmers will end.

Important Points of Agricultural Reforms Bill –

  • With the introduction of agricultural reforms, the monopoly of the proposed market mandis will end and the farmer will be able to sell his produce in the open market at the market price on which no tax is required to be paid.
  • After this reform on the agricultural market, there will be a lot of results as it will have a great impact on the tax system of the states.
  • The government has not made any changes in this law on the MSP that the farmers get through the minimum rate, but by opening the market, it is going to have an impact on itself in the future.
  • The Government’s price protection on perishable produce has not been there in the past and is not given in this law either.
  • Through farming contract, the farmer can sell his agricultural produce to any company, it seems absolutely positive, but there is no guarantee that a big company cannot take advantage of its legal complexity in future.
  • The judicial system proposed under this law has been kept out of the problems of the agricultural system, which has caused problems to the farmers.
  • For example, the private sector was given entry by closing the government companies from the open economy, which got a lot of benefit in the initial phase, but its ill-effects started coming to the fore later, this fear is felt by the farmers.
  • Mainly three laws have been made for agriculture law, in which farmers’ production can be protected, open market, and corporate companies and farmers can deal directly.
  • The influence of the states on the agricultural markets has been somewhat neutralized and agricultural production as an open economy has been left to market volatility.

Liberal Policies & Agricultural Reforms –

In 1990, India accepted the policy of free market, the most important reason was foreign capital, which used to buy essential things for the country from the international market, in which the most money had to be spent on things like petrol and diesel. For this, we changed our economic policy and opened the Indian market, secondly, we changed ourselves from socialist policy to capitalist policy.

How right and wrong this decision is, it is a matter of contemplation, it is a struggle of an international ideology, in which which model of democracy is good, there is a dispute in it. The reason for the creation of economic crisis in India is given to the socialist system, which was not productive, so government companies were sold and the private sector was promoted.

The biggest problem of running this model of capitalist democracy in India is that India is not as rich as the western countries from the beginning. Keeping the market open under the capitalist policy is a very difficult task in a country like India. Therefore, this model of democracy of western countries is very difficult to follow in India, the first result we have got to see in the context of agricultural law.

Green Revolution & Industrial Development Effects in India –

Most of the agitations against the agricultural law are seen in Haryana and Punjab, the reason for this is that the farmers of these two states have got the maximum benefit from these laws. We should not forget that these two states have played a very important role in ending the food problem of the country.

When the country became independent, more than 70% of the country’s economic system was based on agriculture, due to industrialization and changes in the social structure in India, people started moving from villages to cities in search of jobs, which was the reason for big textile mills. It was from British India. Due to industrialization, gradually the economic share of the agricultural sector started decreasing and most of the farmers started doing farming at a loss, due to which today we see that farming has become a cause of prestige only.

The most important reason for this is the failure of agricultural policies, due to which there are many reasons, including corruption and political reasons. The Green Revolution increased the productivity of the country, but the cost of production started increasing and the farmer got buried under the burden of debt, so good education policy equal to agricultural policy, this farmer needs to make good agricultural laws to get out of this dilemma.

Agricultural Reforms and Economic Situation of India  –

In India, 80% of the people work in the unorganized sector, in which agriculture also comes, this law has been very successful in America because the agricultural sector is very developed there. Talking about India, except for the production, which is the base price, it can be said that all the production is produced in deficit because the cost of production is very high and the market price is very uncertain.

America’s farmer is educated and trained for modern agriculture and he is economically more than a farmer of India, secondly, the number of farmers cultivating on small land is very high in India, so he profit by increasing production cost. unable to cultivate.

How successful the open economy will be in the agriculture sector due to the low purchasing power of the people in India is a matter of considerable revision. Most of the society in India struggles throughout life to fulfill only basic facilities and its income is very less, so how will it accept an open economic system in agriculture sector is a matter to think about.

Agricultural Reforms & Corporate Sector  –

Capitalism knows that raw materials are very important for making finished products from the 16th century. Looking at today’s situation, big corporate houses have entered the retail market where they have started keeping agricultural produce in their malls and they want to control the agriculture sector to keep its price under control.

If we look at the corporate sector, then agriculture sector is a profitable business, but if we talk about the society of India, then it is not the only way to earn money. The politics of India are related to the agriculture sector and the social structure of India is related to the agriculture sector, so it will be a very difficult task to change it.

As long as it is a different thing for government companies to use policy through privatization and privatization in the agriculture sector, it is a different thing. Farmer of India This has been a very influential factor in the political and social structure and in that too the farmers of Punjab and Haryana are more powerful than the rest of the country.

Most importantly, it was because of the farmers of Punjab and Haryana that we made the Green Revolution successful and ended the problem of hunger in our country.

Conclusion –

The Government of India has withdrawn under the pressure of the agricultural law movement, but it is the government’s compulsion that the policy changed in 1990 has to follow the policies of the World Bank and the International Monetary Fund. Even if there is a difference between what your policies are and what the World Bank’s policies are, still those policies have to be implemented.

Till the time this free market system was to be implemented at the government level, we did not see much opposition to this policy, but now it is a matter of change in the agricultural sector, which will depend on the free market, which the farmers of India will not accept at all. The most important reason for this is that this class keeps its influence on the politics of India in the whole country and it is not so easy for the government to make this change directly.

Therefore, while implementing the policies of the free market in India, any government will have to decide its policy keeping in mind the economic and social condition of India. By the way, there are many drawbacks of capitalist democracy, which will be discussed a lot in the coming times. Talking about agricultural law, in the coming future, we will get to see what its consequences are to be seen on the politics of India.

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