Lok Sabha Question No. 1090 (UNSTARRED), answered on 2018-07-24
Subject: Farmers Crisis
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: GOPALAKRISHNAN CHINNARAJ

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE, COOPERATION AND FARMERS WELFARE

## LOK  SABHA UNSTARRED QUESTION NO.1090

TO BE ANSWERED ON THE  24 TH  JULY, 2018

## FARMERS CRISIS

1090.  DR. C. GOPALAKRISHNAN:

Will  the  Minister  of  AGRICULTURE  AND  FARMERS  WELFARE      ‡ãðŠãäÓã एवं  कसान  कयाण ½ãâ¨ããè be pleased to state:

- (a) whether it is  true  that  the  Indian  farmers  are  facing  an  array  of  risks/crisis  relating  to production, weather, crop prices, credit and policy decision by the Government according to the second volume of Economic Survey-2016-17;
- (b) if so, the details thereof;
- (c) whether  the  Government  has  taken/proposed  to  take  any  steps  to  mitigate  all  these risks of farmers across the country;
- (d) if so, the details thereof; and
- (e) if not, the reasons therefor?

## ANSWER

MINISTER OF  STATE IN THE  MINISTRY OF  AGRICULTURE AND  FARMERS  WELFARE

‡ãðŠãäÓã एवं  कसान कयाण ½ãâ¨ããÊã¾ã ½ãñâ Àã·¾ã ½ãâ¨ããè (  SHRI  GAJENDRA SINGH SHEKHAWAT)

- (a) & (b): Economic Survey 2016-17 (Vol. II) has indicated that Indian farmers face risks related to production, weather, price, credit, market and policy. The details of these risks are given in the Annexure.

(c) to (e): The  Government  has  implemented  various  schemes  to  mitigate  farming  risk across  the  country  which,  inter-alia,  includes:  Interest  Subvention  Scheme,  National  Food Security Mission, Rashtriya Krishi Vikas Yojana,  Pradhan  Mantri  Fasal  Bima  Yojana, Paramparagat Krishi Vikas Yojana, Soil Health Card & Neem Coated Urea, Pradhan Mantri Krishi Sinchai Yojana, and National Agriculture Market (e-NAM). In addition to above schemes, Minimum Support Prices are provided at the rate of 1.5 times the cost of production.

## Annexure related to  reply to part (b) of Lok Sabha UQ no. 1090 due for reply on 24.07.2018

| Type of Risks                         | Causes                                                                                                        | Reasons for Severity                                                                     |
|---------------------------------------|---------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------|
| 1. Production risks                   | Pests, Diseases, Shortage of inputs like seeds/ irrigation                                                    | Low productivity, declining yield                                                        |
| 2. Weather and Disaster related risks | High share of rainfed agriculture, Low irrigation coverage, drought, flooding, hailstorm and unseasonal rains | Production loss, Lower than potential production                                         |
| 3. Price risks                        | Lower than remunerative price                                                                                 | Absence of marketing infrastructure, Presence of and excessive profiteering by middlemen |
| 4. Credit risks                       | Predominance of informal sources of credit, money lenders, Lack of capital for short term and long term loans | Absence of stable incomes/ profits lead to defaults/ indebtedness                        |
| 5. Market risks                       | Changes in demand/ supply domestic or international                                                           | Loses market/ market share                                                               |
| 6. Policy risks                       | Uncertain policies, regulations                                                                               | Impact of Government policies, APMC Act and other regulations                            |

Source: Economic Survey, 2016-17, Government of India

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