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


Dr. Amrit Patel
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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.

Dr. Amrit Patel


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Publication Details

Published in : Volume 2 | Issue 6 | November-December - 2016
Date of Publication Print ISSN Online ISSN
2016-12-31 2395-1990 2394-4099
Page(s) Manuscript Number   Publisher
01-11 IJSRSET162612   Technoscience Academy

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.php