Subsidies to Farm Sector in India Need to Rationalize & its Efficient Use

Authors(1) :-Dr. Amrit Patel

At the time of country’s Independence, hardly 10% of the cultivated area had assured irrigation and the average consumption of NPK nutrients was less than 1 kg a hectare. The average yield of wheat and rice was about 800 kg per hectare. Agricultural development programs, therefore, focused to achieve self-sufficiency in food production, make country free from food-import & ensure that food is available to poor consumers at affordable prices. The Government policy, therefore, focused on providing farmers subsidies on fertilizers, electric power, seeds & bank credit in particular. While this yielded rich dividends, provision of subsidies has created adverse impact on country’s economy. In this context, this article briefly highlights the once-upon-a-time need for subsidies, analyses the growth of subsidies on fertilizers, power, water, credit over a period of time, pinpoints its serious consequences on country’s soil health & groundwater depletion and suggests specific measures to improve the efficacy of the use of subsidy where necessary and enhance investment in specific areas to improve country’s farm sector.

Authors and Affiliations

Dr. Amrit Patel
[From Dr Former Deputy General Manager, Bank of Baroda] Agricultural & Rural Credit Consultant, Ahmedabad, Gujarat, India

NPK, MSP, CAGR, MHA, MSP, CIP, FCI, GDP

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Publication Details

Published in : Volume 2 | Issue 6 | November-December 2016
Date of Publication : 2016-12-31
License:  This work is licensed under a Creative Commons Attribution 4.0 International License.
Page(s) : 01-11
Manuscript Number : IJSRSET162612
Publisher : Technoscience Academy

Print ISSN : 2395-1990, Online ISSN : 2394-4099

Cite This Article :

Dr. Amrit Patel, " Subsidies to Farm Sector in India Need to Rationalize & its Efficient Use, International Journal of Scientific Research in Science, Engineering and Technology(IJSRSET), Print ISSN : 2395-1990, Online ISSN : 2394-4099, Volume 2, Issue 6, pp.01-11, November-December.2016
URL : http://ijsrset.com/IJSRSET162612

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