In fact, the govt has tried to protect farmers through import tariff hikes and MSP-procurement operations though the latter has caused losses for it
Many decrees of governments all over the world—though deemed to be issued in public interest—may not be innocent of causing public harm.
Indian authorities have reacted prudently to this situation, in a bid to outsmart the international sellers pushing their value-added refined oil in India while depriving the Indian oil-seed industry of its due share in the market.
The period before Socrates’s in Greece—of the Sophists—that dates back about 2,600 years, believed that right and wrong were relative as were good and evil. Sophists were adept in proving right as wrong and vice versa, by clever play of logic and rhetoric.
But the frequently-changed import duty will help MNC traders more than local traders as they can take advantageous positions at the origins themselves.
With surplus foreign exchange earnings by the precious metal and precious stones sector, the notion of depletion or pressure in forex reserves due to their imports is erroneous.
The Indian agri export statistics include all plantation crops, meat, poultry, dairy and marine products.
Russian wheat supremacy and bearish values create a dilemma of duty for India.
Right now, international prices are supportive and thus imports with viable duty can soften domestic values
There are whispers in the market that Iranian buyers are yet to pay for 1.25 lakh tonnes of rice—valued at nearly Rs 875 crore—that had been shipped out in 6,000 containers a few months back.
The resurrection of MMTC, STC and PEC will be rewarding if they are empowered to “trade” in the real sense
A broad analysis of the sugar market from 2009 onwards till July 2017 reveals that a trend of sugar prices remaining bullish.
UPA-era talks on FCI delivering rice to Bangladesh failed because of the PSU’s limitations. Indian private rice trade partnering FCI could be a wayout.
Algorithmic application for import duties would create a more transparent environment. Even though imposition of duties would still be the government’s call, the basis of the computation would be accessible for all
MSP should be raised to augment higher production without neglecting importance of higher yields while attending to the vulnerabilities of cheaper imports.
India’s farm produce is private; mills are private; traders are self-employed who arrange financing privately; market risk of profit and loss is private; buyers/importers too are largely private.
Indian sugar business has four prime stakeholders—farmers, sugar mills, consumers and the government. Despite deregulation of sugar industry in 2013, the government commands the most dominant force of intervention amongst other three stakeholders.
There is a rise of 30% in value of imports of three essential agro items, namely wheat, pulses, vegetable/edible oils—indicative of substantive demand pull in the country.
The current agitation of farmers on cereal, oilseeds and vegetables has attracted a lot of analysis with regards to the causes.
Contrary to the general perception that zero import duty on wheat notified by the government on December 8, 2016, will hurt interests of Indian farmers, it will, in fact, benefit them.
The cut in wheat import duty on September 23, 2016, from 25% to 10%, is a tacit but an indirect admission that wheat output for FY16 was indeed much lower than governments own estimates of 93-94 million tonnes (mts).
The government has taken a call on import of pulses from Mozambique, Malawi and Myanmar. It would be a loss-making proposition
Not only is FCI’s price likely to be uncompetitive, it may not be able to ensure timely delivery which is a ‘must’ for Indonesia
In 2016-17, import at the current rate of exchange (without custom duty) may not exceed Rs 1,400 per quintal against an MSP of Rs 1,525 per quintal.
Agricultural output is in distress and, therefore, whispers of wheat import by the government due to a skewed supply-demand equation are logical
Markets can spring surprises and there is no room for complacency in fixing macro policies before it is too late
If one scans through agro-policy profiles of various governments across the globe, they are generally irrational, full of rhetoric for political agenda and lack pragmatism.