SURPLUS FOOD AND INFLATION
India is currently facing a conflict situation between food inflation and the shortage of storage system for food grains.
There has been food inflation in the country since end of last year and on the other hand we do not have enough space to store the food grains produced in the country mostly wheat and rice. Still we continue to produce the same.
Our’s is a pro cereal food policy, where farmers get a stabile income from government if they produce cereals, and also get huge number of subsidies. And as a result the production of cereals has increased but the demand for them has not increased much.
The demand for other products like milk, fruits, vegetables, poultry etc has been increasing. These products are perishable, Essential commodities act leads to volatile prices, due to this people do not want to enter into this business.
What can be done?
Adequate storage facility.
Free trade of agricultural products.
Bring markets to the farmers.
Government Initiatives
- Scheme for establishing fruit gardens.
- NHB Credit Linked Back ended Subsidy Schemes.
- Weather Based Crop Insurance Scheme.
- Pradhan Mantri Krishi Sinchai Yojana.
- National Mission for Sustainable Agriculture.
- Rashtriya Gokul Mission.
- National Dairy Plan-I.
- Dairy Enterpreneurship Development Scheme.
- Schemefor Integrated Murrah Development.