As the common man continues to reel under the spiraling rise in prices of essential commodities especially key food items and vegetables the forever-rising food inflation is posing a serious challenge to policy makers. Though top government officials, including the Finance Minister and the Chairman of the Planning Commission have repeatedly assured that the food prices will soon stop rising, in reality it has gone the other way. The rising spree...
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Ideal time to export surplus food stocks, say economists by Devika Banerji
Blame stubborn procurement policy as the root of all evil. With the government sitting on heaps of foodgrain and with an acute shortage of quality storage facilities, analysts, some within the government, suggest exporting foodgrain and reviewing procurement policy. The suggestion is gaining ground among advisors and experts, given the current global situation, where wheat prices are on the rise on fears of subdued production in drought-hit countries like Russia, Uzbekistan and...
More »Higher state support price drives farmers to increase land for pulses by Prabha Jagannathan
The higher purchase price announced by the government has finally driven farmers to set aside more land for pulses this kharif, but experts doubt the approach can fill the increasing gap between demand and supply of this increasingly important source of protein for Indians. In the short-term though it could help reduce imports of pulses, running into thousands of crore every year. This year the acreage for pulses is pegged...
More »MGNREGA: Mixed success so far
Mahatma Gandhi National Rural Employment Guarantee Scheme (MG-NREGA) has been in news mainly due to corruption or inefficiency. The country has spent close to Rs 40,000 crore this fiscal but a large number of urban middle class people and opinion leaders don’t know what to make of it. Cynicism apart, the rights-based scheme has proved to be a game-changer in rural India despite mixed success. The scheme has been relatively...
More »Keynes-Hayek dilemma by KP Prabhakaran Nair
With more than 400 million Indians going to bed hungry each day, food security has become a crucial issue. On June 4 last year, the president made an announcement: “My government proposes to enact a new law — the National Food Security Act — that will provide statutory basis for a framework which assures food security for all. Every family below the poverty line in rural as well as urban...
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