Thursday, February 4, 2010

The math behind the farmer suicides(part1)

Aatmaram a farmer in Vidharbha spends around 12 hours in his field.Its not because he is busy working.He prefers to stay back in his field,so that he could avoid the sight of his hungry family.Due to the insufficient rains Aatmaram has failed to generate sufficient income to feed his family and thereby he has failed to capitalize on the rising food prices.The greedy moneylender threatens Aatmaram on a daily basis to repay the money loaned to him.The only solution that Aatmaram has thought of is to consume the bottle of poison that he has been carrying in his pocket for some time.
So now let us analyze what is leading farmers to take such a drastic step.In the past 5 years we have been growing at 6%-10%,inflation has been hovering between 4%-13%(however the year 2009 was an exception).Looking at these wonderful growth rates it is difficult to digest the fact that thousands of farmers have been committing suicides annually.Unfortunately what we fail to understand is that the answer lies in the numbers.We have seen the inflation hover between 4%-13%,but the growth rate in agriculture has always been below 4%.despite a higher food inflation the farmers have failed to capitalize on it due to the inability to increase production(supply of land is generally limited for a poor farmer) and poor monsoons.So we are seeing a scenario where the expenses and costs of a farmer to take care of his field and his family has been growing at a faster pace than the pace at which his income has been growing,besides the purchasing power in the urban areas has shot up significantly and these farmers are finding it difficult to cope up with this sudden change.
Poor rainfall this year is only going to make the problem worse.As always I criticize Mr. Pawar for the lack of initiative taken as the agri min. of the country.He seems to be working as the agri minister of western Maharashtra.It would be helpful if he realizes that he is the agri min. of India.
Finally the question that comes to my mind is,will Aatmaram consume the bottle of poison that he has been carrying in his pocket..............to be contd................

2 comments:

  1. Yogesh ,You have nicely highlighted not only the problem faced by the farmers in maharastra(especially eastern maharastra) but also the politics behind it, but i would like to add something to this ,there is one more point which is to be highlighted and many people are unknow about it , That is the preference given by GOI to the crops grown in Maharastra the GOI gives more emphasis to sugar as compared to cotton , the import duties being charged on cotton is very less as compared to other crops grown in maharastra.The procurement scheme is in the red owing to the fall in international prices of cotton and heavy imports since 1997. Cultivators in Western countries receive huge subsidies from their governments. They can afford to sell their produce at much lower prices. The Indian government could protect its producers from imports and crashing international prices by hiking the import duty on cotton. At present, it is only 10 per cent, while import duty on other products like sugar (60 per cent), rice (80 per cent) and second hand cars (180 per cent) are much higher.The government is willing to protect sugar farmers and foreign car manufacturers, but not cotton growers.

    The amount of sugar released in the market every month is regulated by the Central government to ensure that the price does not fall. If the State can intervene to protect sugar producers, then why can't it also safeguard cotton growers?

    MAHARASHTRA'S 30 lakh cotton farmers are being told to innovate and diversify. Innovations only increase the burden of debt. And the interest rate is high. Banks charge 12 per cent. While the rate of interest for consumer loans is only 7 per cent and for credit to start a sugar factory a mere 4 per cent, moneylenders, now the main source of credit, charge between 60 per cent and 120 per cent. And the farmer risks losing his land.

    An eg (REAL TRAGEDY): Farm improvements cost a farmer (Sudhir tatle) his life. He spent more than Rs.2 lakhs sinking tubewells and installing sprinklers and drip irrigation on his orange orchards and cotton fields in Lehegaon. But nothing seemed to work. The water table had fallen. Finally, he swallowed poison and killed himself in 1998. 12years later, his family is still burdened by debt. They have given up on agriculture and leased out the fields to others.


    The cost of the cotton seeds is 12 times more as compared to other seeds, and not only that the cost of pesticide is yet to be included.After investing such huge amount in their respective farms and this is the kind of discrimination these farmers are getting from Goverment of India then it is a matter of great concern.

    I would say ,Cows in europe are in better position then the farmers in Vidharba, it is a matter of shame for Goverment of Maharastra.

    The Cotton corporation of India is busy showing their Quaterly reports and also their success stories and achievement in growing cotton and performing so well, in their official website.But i doubt if our Ex-Chief Minister Mr.Deshmukh still remember what he has promised to the farmers of Vidharba during his visit...Jai hind !!..to b contd

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  2. wow.....gr8 post Ritesh.....sad to see that ppl in mumbai aren't bothered about the lives of these poor farmers...politicians are busy fighting on petty issues.....NGO'S are busy fighting for gay rights......jai hind!!

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