INDIA is a big exporter of cereals... a big part is
going out of the country and prices can go down if we reverse the situation...
if everybody else's expenditure on food will go down other prices will
follow... food inflation in cereals was always high... but does this price
reach the poor farmers pocket... grains are bought at an earlier date and is
sold (by the government) after months... Prices go up every month, but this
gain does not reach to the farmers... our poor farmers are not very
speculative... beside big fishes... those who have control-over storage and
release of food grains to the markets... i do not think the farmers have all the
control to market his produce... the difference between the farmers price, the
storage price, the whole sale market-price and the retailers price... with-out
much value-addition... only increasing the market cost... The GoI should help
farmer store without cost and sell to the whole-sale market when he thinks
prices are right to run the cost and earn profits, not the middle-man... Our
60% of population live in villages and dependent on agriculture for a living...
The middle-man chain has depressed agricultural income... The profits are not
reaching the farmers and also cost the GoI subsidies and MSP determination...
All these have made agricultural unattractive to other professions... Land is
most scarce... for housing too... agriculturalists low income is against demand
and growth... Everybody else’s income is increasing faster...
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