Class Notes 4 You

India-11%-of-world's-arable-land-area. (2020) R&D: Allocation is a meagre Rs 8518 cr.  (Budget 2021). 1/3rd of what a pvt company like Bayer spends on agri R&D (20k cr) Share-in-total-investment: 17.9%-in-1950s 7.9%-in-1990s 9%-in-2002-03 5.6%-in-2005-06 share of public sector in the total investment in agriculture has declined more sharply during the 1990s (6.5 per cent), as compared to the 1980s (11.6 per cent), while that of private sector investment has gone up simultaneously >70%-is-pvt.(Share-increased TOtal:Increased,not-steadily Brain Drain: Why is agri less remunerative? Recent RBI study: Avg potato farmer earns only 28% of what consumer pays Across all crops, farmgate prices are 40-60% less than consumer price 30-40% of post harvest value is lost due to storage, transport losses General stats:  Fao: 60% global popn still dependent on agri, but contributes only 4% of global GDP.   India- China- Israel: ( Book : From Food scarcity to Surplus by Ash...

pre-1997 India had universal PDS benefiting both poor and non poor household. But after 1997 with targeted PDS beneficiaries divided into BPL and APL households. Subsidies given only to BPL households central issue price 50% of economic cost for BPL households where as APL households were given no subsidy and had to pay hundred percent of the cost. Government argued that non-poor should not be given subsidies and targeted public distribution system will reduce food subsidy. But there was instead an increase in food subsidy higher as APL households with no subsidy withdrew from the PDS system after 1997 Wadhwa Committee on PDS 2007 recommended for computerisation of operations and decreasing human intervention Public distribution system (PDS) is an Indian  food Security System established  under the Ministry of Consumer Affairs, Food, and Public Distribution. PDS evolved as a system of management of scarcity through distribution of food grains at affordable prices. PDS is ope...

Edible Oil Deficiency in India Currently, total edible oil production is just 7.31 million tonnes (mt) . Estimated demand of edible oils in India is 24.5 mt. So, total edible oil import account for 65-70% of the domestic requirements . In early 1990s, it was less than 5%. India is third largest consumer of edible oil . Total edible oil requirement by 2022 is estimated at 33.2 mt. Palm oil major edible oil imported as well as consumed by Indians. Other major oils are- Soybean Oil and Mustard oil. India is the fourth largest oil seed-producing country in the world after USA, China and Brazil. Currently, annual oilseed production from primary sources in India is around 34 mt. oilseeds accounts for 13% of the gross cropped area, 3% of the Gross National Product and 10% value of all agricultural commodities. Major Oilseed producing states in India: Groundnut : Gujarat (leading), Andhra Pradesh, Karnataka, & Tamil Nadu Mustard : U.P (leading) Haryana, West Bengal Soybean : M.P (leading...

The NITI Aayog recently circulated a discussion paper on a proposed revision in the NFSA, 2013. Need for revisiting NFSA, 2013 Validity of Central Issue Price (CIP) : subsidised prices were fixed for “a period of three years from the date of commencement of the Act (i.e. till July, 2016). However, the CIP has remained unchanged since 2013. Rising food subsidy bill: MSP at which Food Corporation of India (FCI) procures rice and wheat (plus cost of storage, etc.) is much higher than CIP i.e., the price at which foodgrains are provided through the Public Distribution System (PDS) resulting in high food subsidy bill. Burden of maintenance of surplus stocks: High production and hikes in MSP with no changes in the CIP has led to accumulation of stocks with FCI. These surplus stocks beyond the operational and strategic reserve requirement have also risen. Maintenance of these surplus stocks has placed an additional burden on the food subsidy bill. Market distortion: If CIP is not revised, a...