THE FARM INCOME CHALLENGE

Months into 2021, the government will have just one year to meet its promise of doubling farmers’ incomes by 2022. Experts say this was an unrealistic target to begin with and is now looking increasingly so.

Three farm bills were passed in September to “ensure a complete transformation of the agriculture sector”, according to Prime Minister Narendra Modi. However, farmers and farmer unions have reservations about the impact of these laws and doubts about the doubling of farm incomes.

The average household income of small and marginal farmers in 201516 (at 2011-12 constant prices) was estimated at ~61,138, 17.5% less than the national average for all farming households (~74,108), according to the Ashok Dalwai panel set up to create a blueprint on doubling farmers’ income.

With the pandemic-led crisis, the government will have an even harder time keeping its promise of doubling farm incomes by 2022-23. It was “never realistic to start with”, said Sudha Narayanan, agriculture economist, and “badly designed”, said R Ramakumar, Nabard chair professor at the School of Development Studies at the Tata Institute of Social Sciences, To boost Mumbai. farmer incomes, PM-KISAN scheme was announced to provide ~6,000 per year to landowning small and marginal farmers. But this neglects farm labourers.

Experts emphasise the need to reduce input costs in agriculture, work towards remunerative prices, achieve diversification and sustainable, higher productivity, and secure responsible private investment over the long term.