Farmers Income : Trends for Future Growth

Abstract

Indian agriculture is passing through difficult times due to two consecutive drought situations in several parts of the country, thereby resulting into wide spread distress among farmers. Past strategy for development of the agriculture sector in India has focused primarily on raising agricultural output and improving food security & did not explicitly recognise the need to raise farmers’ income and did not mention any direct measure to promote farmers welfare. The net result has been that farmers income remained low, which is evident from the incidence of poverty among farm households. The low level of absolute income as well as large and deteriorating disparity between the income of a farmer and non-agricultural workers constitute an important reason for the farmers’ suicides during 1995 to 2004, and is also forcing more and more cultivators, particularly younger age group, to leave farming. This can cause serious adverse effects on the future of agriculture in the country. To provide a solution for all these, in February 2016, Prime Minister Narendra Modi announced a scheme “Doubling farmers’ income” by 2022 by spelling out 6 points strategy.