More Non-Farm Jobs Must for Securing Farmers' Income: Government
New Delhi: There is a need to create more non -farm opportunities in rural areas and to facilitate farmers' migration to those jobs so as to ensure income security for them, as per the Agriculture Secretary Ashish Bahuguna.
"We are food secured country. We will remain food secured for foreseeable future. But what is not secured is farmer’s income. This we need to address," he said at CII AGM here.
"We should get together and see how we can create non- farm opportunities in rural areas and facilitate migration from agriculture sector," Bahuguna added.
Presently, there is inequity in distribution of wealth among farmers as more than 50 percent of the population is dependent on farming sector, which contributes only 13 percent of the country's gross domestic product (GDP), he said.
Based on 2010 prices, average income per person in India is estimated at Rs 45,000. While farm income is estimated at Rs 10,000, non-farm income at Rs 80,000, he said during a panel discussion on India's food security and 2nd green revolution.
"If this is the kind of variation in generation of wealth, we must address this and reduce burden on agriculture," Bahuguna said.
On crop diversification, the Secretary said farmers will shift to non-food grains crops like horticulture responding to price signals but the problem they face is when the market is distorted through controls.
The government is promoting crop-diversification through a central scheme in states like Punjab where water table has depleted due to mono-cropping of wheat and rice.
Participating in the panel discussion, the Commission for Agriculture Costs and Prices (CACP) Chairman Ashok Gulati said the government needs to do "real rethinking" on the minimum support price (MSP) policy and suggested MSP should be limited to only 4-5 commodities instead 24.
CACP, which advises the government on pricing policy of farm commodities, said that 'minimum' support price has become the 'maximum' price and "we are going towards nationalization of grain trade".
Gulati also said: "We have huge stocks of food grains. It is expected to touch 90-95 million tones on July 1. There is huge carrying cost."
Noting that the country has enough food grains, CACP chief said that the biggest challenge is economic access to food.
Gulati said although the government is bringing food security legislation, it faces challenge of efficient distribution as 40 percent of grain is diverted and does not reach to targeted beneficiaries.
"Can we make public distribution system leakage-free? This is a big challenge. The country after country has moved away from physical distribution of food. My suggestion is that we should try direct cash transfer of food subsidy in 33 cities having one million population," he said.
Speaking on the same occasion, farmers' body Bharat Krishak Samaj Chairman Ajay Jakhar shared market hurdles that farmers face due to crop diversification.
He also suggested setting of up of the National Food Security Advisory Board to co-ordinate among various ministries on all agriculture related policies.