How to double India?s farmer?s income?

How to double India’s farmer’s income?
 

News: On February 28, 2016, Prime Minister Narendra Modi shared his dream of doubling farmers’ incomes in the year when India completes 75 years of Independence and enters Amrit Kaal.
 

Background:
 In this editorial we will discuss about the agricultural sector, issues and how Farmers income can be doubled.
 

How is the government helping Farmers?
 Fertilizer subsidy - Even when global prices of urea crossed $1,000/metric tonne, the Indian price of urea remained flat at around $70/tonne.
 Budgetary allocation of INR 60,000 crore for PM KISAN scheme.
 Many small and marginal farmers also get free ration of at least 5 kg/person/month through the PM Garib Kalyan Anna Yojana.
 There are also subsidies for crop insurance, credit and irrigation (drip).
 States also dole out power subsidies in abundance, especially on irrigation.
 Even farm machinery for custom hiring centres is being subsidised by many states.

Have the subsidies helped the farmers?
 The policy of heavy subsidisation of input subsidies, especially fertilisers and power, along with assured and open-ended procurement of paddy and wheat at least in some selected states, is playing havoc with the environment.
 Probably, the CAG should take up the audit of all subsidies given by the Centre and by the states to examine their outcomes in terms of the incomes of farmers and environmental consequences.
 

How can we realign these support policies?
 Firstly, we must keep in mind the environmental outcomes and what can alternatively be done is to give carbon credits to incentivize cultivation of millets, oil-seeds, and much of horticulture.
 We need to make subsidies/support crop-neutral by not favoring water guzzling crops like wheat and rice alone as part of free food grains.
 The author of article Ashok Gulati also shares about his recent field visit in MP, “He found one corporate working on 100 acres to develop medicinal plants, which they have already scaled up to 5,000 acres on farmers’ fields. The lands are much poor for wheat or paddy, and farmers are readily adopting these medicinal plants as it gives them better incomes. The corporate is giving them an assured buyback arrangement to reduce their market risk. (Quote such examples in your answers, make note of them in your books)
 Another corporate was buying soybean at Rs 6,000/quintal, way above the MSP of Rs 4,300/quintal to make tofu, soya milk powder, soya ice cream, and even frozen soya yoghurt.
 We need innovations in technologies, products, institutions and policies for more diversified high-value agriculture that is also planet friendly.
 Diversify to high value crops, put solar panels on farmer’s fields.
 

Way Forward
 Only concerted and sustained efforts can help double farmers incomes.