Market analyst Deepak Talwar says interests of farmers India-wide not homogenous

A top market analyst has said that a group of farmers, who seem to think they can drive society in the direction they want because they have the Opposition on their side, could end up fruitless.

Seasoned market analyst Deepak Talwar said that the tough method adopted by PM Narendra Modi and his trusted Home Minister Amit Shah during the anti-Citizenship Amendment Act (CAA) movement showed disruptors would not be able to thrust their agenda despite rioting and protests like the one at Shaheen Bagh.

“There could be some nominal concessions here and there but I sincerely hope that the government won’t let Punjab farmers veto the long-pending farm reforms from being implemented nationally,” says Talwar.

Talwar said that a serious analysis of the numbers will explain everything. In the post-Rabi harvest season, government agencies procured 382 Lakh Metric Tonnes (LMT) of wheat at Minimum Support Prices (MSP). Now, 86 percent of this procurement was from just three states Madhya Pradesh (129 LMT), Punjab (127 LMT), Haryana (74 LMT). “But ironically, these states are not the biggest producer of wheat.”

Talwar said that Punjab’s farmers produced 175.6 LMT of wheat this year and brought 127.62 LMT to mandis and sold 127.12 LMT at MSP, i.e. 99.9 percent. Now Madhya Pradesh produced 336 LMT, over 90 percent more than Punjab. MP kept 200 LMT for the state’s consumption and sold 129 LMT at MSP. “So 72 percent of Punjab’s total wheat produce was sold at MSP, the figure for MP was 38 percent. Last year, it was less than 20 percent. MP has emerged as a major wheat producer in recent years. It also shows the MSP system is being established slowly.

“So if the agitation continues, farmers of MP will also start bringing most of their produce to mandis like Punjab’s farmers,” says Talwar.

He said that the farmers in Uttar Pradesh produce almost one-third of India’s wheat but only 32 LMT of its wheat (around 10 percent) is procured at MSP. Rajasthan farmers produce around half the wheat Punjab farmers do but their procurement at MSP is only 19 LMT - more than six times less than Punjab’s farmers.

“So what we are seeing is that the interests of Punjab’s farmers are not aligned with those of farmers in other states. So, this disinformation that this is a protest championing the cause of all farmers should stop. The Indian government spent Rs 73,500 crore for MSP procurement of wheat this year. Given that Punjab’s share out of this was over 33 percent (while the share in total India’s wheat production was around 17 percent), Punjab’s farmers took Rs 25,000 crores when their fair share comes to half of that.”

Talwar said that over 90 percent of the farmers don’t benefit from the MSP regime. The government cannot allow a small irrational group to hold the interests of crores of farmers ransom.

“It is time the government stops food subsidy, running the PDS system, procurement/storage costs, fertilizer subsidy. Let agriculture be a state subject and let the states decide what is best for them,” says Deepak Talwar.

Source : NewsOnFloor

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Comments (2)

  • - samir sardana

    The Bania BJP vermin are using the Indian SC to stall the farmers JUST BEFORE the 26th of January !They used an Indian Lawyer to move the SC.This man Harish Salve is the same man who defended the Indian Terrorist Jadhava at the ICJ. The GOI wanted the SC to stay the laws and so,the GOI provided no arguments - NOT TO STAY THE AGRI LAWS.No GOI funded farmers unions who support the bills made a say. But the Indian Farmers are NOT Fools. D-Day is 26th of January,2021.The world's superpower is coming to India for the Republic Day Parade. Allow me to present the leader of the free world - the PM of Surinam ! This is the time for the farmers to strike The Farmers are missing some key statistics 1.The GOI is bust and CANNOT keep buying rice and wheat from Punjab and Haryana,as there is no demand and export rates are low 2.Punjab Farmers DO NOT want to grow cash crops,as there is no price certainty,price stability and no fixed dates of payment (besides crop risks - w.r.t diseases etc.).Rice and wheat is a tried and tested model,for the farmers 3.The GOI wants to make farmers grow cash crops and veggies and over produce.Then they want the farmers to use the news laws,and dump the cash crops all over India.Basically,the aim is to destroy the pricing power of farmers in all states (w.r.t cash crops,veggies and fruits).That will destroy cash crop and veggie prices all over India 4.In comes the Industry and Retail - who will procure cash crops and veggies etc.,at the lowest cost.Who are the Big sharks in Retail ? Reliance and Adani ! Reliance has tested and studied the consumer demand and market for veggies,fruits and cash crops from their POS and Online retail ventures (for the last 10 years).They know the buyers who will pay 10 USD for One 5 foot cane stick ! 5.Once the input costs are reduced for Industry and Retail, the GOI will earn tax on profits and GST on sales - which was NOT earned before.THAT IS THE PURPOSE OF THE AGRI LAWS.The GOI view is that if farmers pay no tax - hammer the agri prices so that the farmers profit is transferred to corporate Balance sheets and taxed as profit and GST on sales Gradually these cash crop farmers will die and be busted,and corporates will take over the land for farming and infra,and the farmers will become toilet cleaners,janitors and sweepers. This is the plan of MODI. The SC has made a committee.1 man is PRO-Farm bill (and its architect) and the others have no clue about farming ! It is the start of a long overdue farmers revolution ! dindooohindoo

  • - rishab dixit

    very well said by mr deepak talwar

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