Hyderabad: Niti Aayog has proposed several reforms that will allow farmers to double their incomes. In its report to the state government, Niti Aayog has said that the lowest salary of an employee of the Central government is Rs 18,000 per month, but the average income of a farmer is much lower than this — even with 40 per cent of his incoming coming from non-farming sources.
Explaining the faulty pricing system in the country, Niti Aayog says that the prices of tomatoes in AP were Rs 3,015 per quintal in June 2016, Rs 551 per quintal in May 2017, and Rs 1,745 per quintal in June 2017. It has suggested methods to double farmers’ farm income while strengthening sources of non-farm income. The reforms suggested by Niti Aayog include liberalisation of contract farming, direct purchase by processors, industries, exporters and bulk buyers, direct sale by farmers to end users, de-linking of provisions and requirements for registration of traders and market functionaries, exemption of fruits and vegetables from the provisions of the Agr-iculture Produce Market Committee (APMC) Act, exemption of all tree species grown on private land from felling and transit regulations, and enactment of a new land lease law. The suggestions have been segregated into two categories — hard options and soft options.
Hard options include shifting of the workforce to non-agricultural occupations, an inclusion of supplementary sources of income, modernisation of farming and marketing practices, reforms in land lease, and better price realisation. Soft options include waiving of loans, and provision of subsidised or free inputs such as fertiliser, seed, power and water. The report says that agriculture should be recognised as an industry, and farmers should be guaranteed an income and interest-free loans. Niti Aayog says that many farmers do not have a source of non-farm income, and they will only be able to cross the minimum-needed income of Rs 18,000 per month by doubling their farm incomes.
