Although rising food prices remain a critical concern, finance minister Pranab Mukherjee is counting on better supply management, improved output of pulses and rice, better access to rural credit and strengthening of existing agricultural schemes to bolster India’s farm output. The rural economy employs about 60% of India’s work force, contributes about 17% of gross domestic product, and is expected to post 5.4% growth over last year, according to advanced estimates...

Union Finance Minister Pranab Mukherjee presented Budget 2011-12 in Parliament on Monday promising to stimulate growth and bring down inflation. Admitting that food inflation remains a matter of concern, Pranab said that the economy could have performed better. He said that the development needs to be more inclusive while announcing increased outlay on social sector schemes. "Total food inflation is down from 20.2 per cent last year to 9.3 per cent...

Increase in offtake under various public distribution schemes. Supply of wheat and rice will have to be doubled if the proposed National Food Security Act for targeted beneficiaries is implemented with the current delivery mechanism, in which leakages are too high, the Economic Survey for 2010-11 has said. “Once we give a legal guarantee to people about the food that they are to receive, if we try to deliver on this promise...

The major problem that the media is addressing these days is the consumer price index. This is going to be discussed during the budget session. The focus has to turn to consumer pricing. People also face policy problems because of their wage negotiations and inflationary expectations. Consumer prices escalate by 5 percent every month and that is the first issue that needs to be addressed and attended as of now....

Is the chemical fertilizer-based food production system sustainable? As a result, what happens to the soil and the larger issue of food security? After a raging debate, the government finally decided to hike the chemical fertilizer subsidy, to catch up with spiralling fertilizer prices in the global market. Also, there is talk about bringing urea under the Nutrient Based Subsidy (NBS) system and decontrolling its prices. Obviously, the fertilizer industry...