The new food security schemes point to the capacity of agriculture to produce more when the incentives are right. Supply of cheap foodgrains will trigger demand for other food products, which the farm sector will have to meet. The many rural development programmes in operation have complex effects on the rural economy. Programmes such as Bharat Nirman are expected to improve connectivity of markets, provide access to more efficient sources of...

In an address to the Berlin Agriculture Ministers meeting last month, World Trade Organisation (WTO) Director General Pascal Lamy said export restrictions are a prime cause of recent surges in global food prices, and countries should find other ways of securing domestic supplies (“WTO chief: Alternatives to food export curbs needed”, Business Standard, January 23). Though export restrictions are an important contributor to rising food prices, they are by no...

Faced with soaring food prices for the second time in three years, senior United Nations experts today called for greater investment in agriculture from both the public and private sectors to increase smallholder productivity.   “Policy-related solutions are also required to increase the longer-term resilience of global agriculture to allow greater levels of supply to markets as demand grows,” UN Food and Agriculture Organization (FAO) Senior Economist Jamie Morrison told a meeting...

President Pratiba Patil today said the Centre is consulting state governments on the proposed National Food Security Act (NFSA), which will give the poor a legal entitlement to subsidised foodgrains. “The states are being consulted as the success of the programme (NFSA) hinges critically on their commitment to reforms in the public distribution system (PDS),” Ms. Patil said in her address to Parliament to mark the beginning of the Budget Session. The...

Non availability of timely credit has been a major drawback for the agricultural sector of India. In a country which relies mostly on agriculture, constant endeavors are needed to see that rural and agricultural credit facilities are enhanced with time. As a part of these efforts, agricultural credit cards got introduced in the agricultural lending system. Similarly cash credit facility was also being offered by many banks. However, a major shortfall...