Indian Express Editorial Summary

Editorial Topic : Reviving India’s Agricultural Economy

 GS-3 Mains Exam : Economy

Revision Notes

Introduction

• Recent appointment of Shivraj Singh Chouhan to head the Ministry of Agriculture and Farmers Welfare (MoA&FW) is a positive step for India’s struggling rural economy.

Boosting Agricultural Productivity and Income

1.Invest in R&D and Climate-Smart Agriculture

• Agriculture is a complex food system encompassing production, marketing, and consumption.
• Rising climate change threats necessitate investment in climate-resilient practices.
• The government should significantly increase spending on agricultural R&D and extension services (to at least 1% of agri-GDP) to develop heat-resistant crop varieties and water-efficient farming methods.

2.Eliminate Consumer Bias in Pricing and Exports

• Farmers need access to cutting-edge technologies and fair market opportunities.
• The government should abandon policies that favor consumers over farmers, such as:
  • Frequent export bans on agricultural products
  • Stocking limits imposed on traders
  • Unloading government stocks at low prices
  • Suspending futures markets
• A calibrated approach can be taken, starting with removing the onion export ban.

3.Replicating AMUL’s Success for Other Products

• The government should collaborate with other ministries to develop value chains for high-value crops, fruits, vegetables, and livestock products.
• Strategies include:
  • Partnering with organized private sectors, cooperatives, or farmer producer companies
  • Offering incentives similar to the PLI scheme or the AMUL model for milk production
  • Increasing farmers’ share of consumer spending
• The TOP scheme (tomatoes, onions, and potatoes) can be a starting point for fixing value chains to benefit both producers and consumers.

4.Optimize Fertilizer Subsidies

• Transfer the fertilizer subsidy budget (currently Rs 1.88 trillion) to the MoA&FW.
• The current subsidy system heavily distorts the NPK (nitrogen, phosphorus, potassium) balance in favor of nitrogen.
• This has led to:
  • Reduced grain-to-fertilizer ratio (from 10:1 in the 1970s to 2:1 today)
  • Inefficient fertilizer use (plants absorb only 35-40% of supplied nitrogen)
  • Environmental damage from nitrous oxide emissions
• Reform the subsidy system by:
  • Providing direct cash transfers to farmers
  • Deregulating fertilizer prices
  • Issuing digital fertilizer coupons for purchasing chemical or bio-fertilizers/natural farming practices
  • Careful planning for a smooth transition

Conclusion

• A multi-pronged approach is crucial for revitalizing India’s agricultural sector.
• Implementing these comprehensive measures can boost farmer incomes and propel India’s agricultural sector towards a brighter future.
• Reviving the rural economy is essential for India’s ambition of becoming a developed nation by 2047.

 

 

Indian Express Editorial Summary

Editorial Topic : India-Bangladesh Ties

 GS-2 Mains Exam : IR

Revision Notes

Strong Leadership Fosters Closer Relations

• Prime Ministers Sheikh Hasina (Bangladesh) and Narendra Modi (India) have driven a period of intense engagement, meeting 10 times in the past year.
• Their commitment has ushered in a “golden chapter” in bilateral relations.
• The recent visit by PM Hasina to India signifies the importance placed on this partnership.

Building on Progress: A Vision for the Future

• The two leaders unveiled a “vision for a shared future” to further strengthen ties.
• Key areas of focus include:
  • Completing the “unfinished agenda of connectivity” (easier visas, freer movement of goods, cross-border energy flow, digital infrastructure).
  • Establishing a Comprehensive Economic Partnership Agreement (CEPA) to boost trade.
  • Deepening regional economic integration, especially in the Bay of Bengal region.
  • Modernizing the bilateral defense partnership through collaboration and support for Bangladesh’s armed forces.
  • Promoting regional and international collaboration on issues like disaster management and global South interests.

Challenges to Address

• Unresolved border disputes and water sharing issues from common rivers can cause tensions.
• Illegal migration from Bangladesh to India strains resources and is further complicated by the Rohingya refugee crisis.
• Non-tariff barriers and complex trade regulations hinder smoother economic ties.
• Security concerns like cross-border smuggling and human trafficking require joint efforts.
• China’s growing economic influence in Bangladesh presents a potential strategic challenge for India.

A Promising Future

• Despite remaining challenges, the leadership of Hasina and Modi has significantly improved India-Bangladesh relations.
• A shared vision for the future offers a path to unlock the full potential of this strategic partnership.