Agricultural demand...

More competition, more supply, even from imports and simple FDI too should keep prices in check for a larger set of consumers compared to producers subset... farmers are also consumers... And, a good thing is that a farmer does not buy grain, they are sellers... it is the excess of what he can consume so his food problems are partly solved... if any farmer does it he is making a mistake, because he is then buying it from the market at a higher price... not wise... food problems are for the rest of us... Villages are full of good and nutritious food... most farming is done in small villages... but it is devoid of good education and close markets... The long-run trend found in the west that as money-supply has increased more supply of goods and services has kept prices in check except oil... is opposite of what the quantity theory of money says... In short, lower prices ahead and the region is also ahead in terms of jobs (quality too) and the standard of living... I do not know about Europe but as far US is concerned, after Paul Volcker (a former fed chief) inflation remained under control within the comfort levels below 10 % even after increases in oil prices... so to reduce subsidy market is the best strategy...  Food is problem for those who is not growing it... it is a problem for others... So food prices rise or fall it does not impact the rural-population nutrition charts... Extreme poverty is a partial condition... Not a general observation... mostly attached to cities... More farmer income will directly benefit the industry... And when 50% population of INDIA is seasonal occupied by the agriculture... it is major source of income... a big sector... a lot of population is dependent on agriculture... alot of demand will be generated... This will work in through the multipliers (actually accelerator)... The more industry will pay the more it will reap... The government is increasing cost in the middle... Agricultural subsidies will be paid by the market... They would invest in storage... Market is competitive it would cut the costs... When it will become profitable more investment would follow... INDIA is populated... Scale is too big for investors... Just like a cheap and volatile share... Volatility increases the risk for investors and returns high... The more you can buy the more you can sell... more profits... Very good investment...