India’s farm crisis: Absurd agricultural subsidies, not IPL doing the damage

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New Delhi | Updated: Apr 20, 2016 7:08 AM

Nothing symbolises the damage caused by India’s absurd farm subsidies more than the need to shift the IPL out of Maharashtra.

Nothing symbolises the damage caused by India’s absurd farm subsidies more than the need to shift the IPL out of Maharashtra.Nothing symbolises the damage caused by India’s absurd farm subsidies more than the need to shift the IPL out of Maharashtra.

Nothing symbolises the damage caused by India’s absurd farm subsidies more than the need to shift the IPL out of Maharashtra.

The 6 million litres of water that would have been used in the matches — shocking in a drought-hit state — are what producing just 3 tonnes of sugar in the state consumes, and the state produces 8-9 million tonnes each year since water is available for free.

ICRIER points out that India’s Rs 175,000-180,000 crore of annual agriculture subsidies are around three times the government’s capital formation — in other words, cut subsidies and you can invest more. Investing the same amount of money on R&D — to produce drought- and flood-resistant GM seeds, for instance — is 22 times more effective than fertiliser subsidies when it comes to both boosting agricultural growth and in terms of being able to reduce poverty.

Gr3

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