A meticulously researched book by A. Vaidyanathan, Agricultural Growth in India: Role of Technology, Incentives and Institutions, is an illuminating scholarly work. Thinking about it one realizes the dismal and declining state of Indian agriculture and the poor governance at both Central and state government levels that has brought it to this sorry pass. A valuable compendium of data and analysis of Indian agriculture since Independence, it is a valuable...

The Planning Commission has offered an objective assessment of the unsatisfactory situation as far as Indian agriculture is concerned in its mid-term appraisal of the 11th Five-Year Plan. The commission has done well to remind us that the farm sector is still subject to strangulating controls that dissuade private investment in key areas, including logistics and storage. The government’s agricultural pricing policies, which have rendered Minimum Support Prices (MSPs) the...

Food inflation remains extraordinarily high at 17.79%. The government emphasises supply problems caused by last year’s drought, But a bigger and less reversible problem is government-led inflation through big increases in the Minimum Support Prices (MSP). The MSP for wheat and paddy rose only modestly between 2002-03 and 2005-06 , from Rs 620 to Rs 650/ quintal and from Rs 530 to Rs 570/quintal respecticely. But after that the MSP shot...

WELL before Budget 2010-11 was presented, inflation had emerged as the principal economic problem in the country. With food-price inflation running at close to 20 per cent, even the United Progressive Alliance (UPA) government at the Centre had been forced to recognise it as a problem that deserved as much attention as the objective of achieving a 9 or 10 per cent rate of growth, if not more. In fact,...

Spiralling prices of pulses have shown India’s dependence on imports. Pulses are integral to India’s diet but not its food policy. As a result, supply cannot meet demand. What are the consequences and solutions? Surendra Nath has switched to eating grass-pea, though he knows it is not good for health. But so is tobacco, he argues. He cannot do without pulses and pigeon-pea selling at Rs 100 a kg is beyond...