news details |
|
|
| AGRICULTURE POST COVID -19 PANDEMIC | | | Dr. Parveen Kumar
The biggest shock to the world economy after the Great depression of 1930s and the World War II came in the form of COVID-19 pandemic. Almost all countries of the world are till now suffering from a major crisis. It has left almost all the sectors disturbed. India suffered the most with a significant shrink of 23.9 per cent in GDP in the first quarter of Financial Year 2020-21. Countries are facing a challenging and daunting task to revive the health, infrastructure, education, manufacturing services and agriculture sector. Only one sector agriculture along with its allied activities emerged as the only bright spot with a 3.4 per cent GDP growth rate at constant prices. However, the vulnerabilities in agricultural supply chains and depleted workforces caused by the COVID-19 crisis have hurt farms of all sizes in India, especially high-value farm enterprises. Most affected have been dairy farming, floriculture, fruit production, fisheries, and poultry farms. Being an agrarian country and with agriculture as the core sector which generates employment, it was the first sector to get relaxations for manufacture and transport of agricultural inputs, seeds, machinery etc. Supply chains related to agricultural goods and services were allowed to function and operate with protective measures in place. Government also came up with different schemes and financial stimulus packages.
Amidst the pandemic, Government went for overhauling the agriculture sector by bringing in three new laws. The agriculture sector reforms free up farmers to sell their produce as they wish while those involved in supply chain can invest in storage without fear of being labeled as hoarders. This will allow the farm sector and farm related industries to adopt their activities to changes in demographics, climate change, consumer tastes and so on. India has the world’s second largest cultivable land and there is no reason it should not be an export powerhouse in agriculture. To sustain agriculture growth and boost rural economy in the post Covid era, it is vital to have a robust infrastructure in place to support farm and farm processing based activities.
As the corona virus is not showing any chances of decline and with no control measure in sight in near future, agriculture sector has also to adjust to new changes. Post Covid-19, the thing most exploited and used will be the Information and Communication Technologies (ICTs). The COVID-19 crisis has already shown how digital technologies can help make supply chains function better and more efficiently. Problems can be forecast and temporary shortages managed to preserve food chains. New technologies could facilitate the supply-demand interface, which would be especially valuable for supply chains of highly perishable goods. It has been seen that the horticultural farmers have faced bigger problems than have other farmers in harvesting and selling their crops. Policies should facilitate and incentivize mobile procurement of perishable commodities through the National Agricultural Cooperative Marketing Federation of India (NAFED), farmer producer companies (FPCs), corporations, and other aggregators involved in organized value chains. Post Covid-19 the situation will also demand a collective action.
Collective action by promoting farmers to form self help groups, farmer and commodity interest groups and Farmer Producer Organizations (FPOs). In the state of Haryana, the State’s horticulture department brought together nearly 81 farmer Producer Organizations (FPOs) to aggregate member farmers’ vegetables and fruits and sell them to end consumers. Such farm-to-market linkages have to be encouraged even after this crisis ends. Supportive actions for e-commerce and delivery companies could help ensure the continuity of agricultural supply chains. Key steps going forward include encouraging farmers to join FPCs and farmer producer organizations (FPOs) and building their capacity and providing guidance on digital and direct marketing solutions. Easy access to credit for FPCs and FPOs is a critical requirement. Agri tech start ups will also be another thing to watch post Covid-19 scenario. The government is also having a major focus on them by incentivizing them so that the youth can take up different enterprises. Government wants to turn job seekers into job providers. Encouraging agri-tech start-ups to work with FPCs, FPOs, and smallholders and ensuring transparent rules of the game could help to improve both input and output supply chains. During the COVID-19 crisis, small dairy farmers, especially those linked to vendor-driven milk markets, have experienced significant losses.
Dairy is a key source of nutrition, cash, and stability for rural people. It is therefore critical to create a local milk grid in each region or sub-region that connects vendors to organized dairies, processors, and input suppliers through a digital platform.
This would help prevent such losses while improving access to technology, inputs, and market information. With already so much of reverse migration taking place, post Covid-19 situation will emerge where there will a labour scarcity. Scarcity of farm labor is also an immediate concern. Policies must incentivize and facilitate availability of machinery through state entities, FPCs, or custom hiring canters (CHCs). Mechanization of small farms would enhance smallholders’ resilience. R&D specific to small farms and innovative business models are also needed. Immediate access to farm machinery can be facilitated by making digital inventory of farm machines available at the block or sub-district and village Panchayat levels. Smart phones and digital tools would be the best way to communicate with all stakeholders. The Government of India’s launch of the Kisan Rath mobile app, which connects farmers and traders across the country with the transporters, is proving very useful; about 200,000 farmers and traders have already registered to use the app. Many rural migrants work in industry or service sectors. A major share of smallholders’ household income also comes from nonfarm and off-farm wages. The COVID-19 crisis has
exposed the fragility of rural and migrant workers’ livelihoods, threatening their food security and wellbeing. Upheavals in industrial or service sectors affect rural wages and livelihoods, causing damage to the rural economy and dampening overall demand. Government will also have to go for comprehensive and all inclusive safety net programmes for semi-skilled and skilled migrant workers. A national-level database linked to Aadhar (a unique digital identity for each individual) will improve the targeting of support agricultural and migrant labourers during crisis besides allowing them free travel across states.
The new One Nation One Ration Card (ONORC) scheme entitles beneficiaries to claim subsidized food anywhere in the country, irrespective of their place of residence, which should help soften hardships in future. Beneficiaries’ food subsidy entitlements can be accessed via the ONORC digital platform. Until the crisis ends, funds from the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) could be used to provide immediate work to the migrants who return home. |
|
|
|
|
|
|
|
|
|
|
|
|
| |
| |
|
|
|
|
 |
|
|
|
|
STOCK UPDATE |
|
|
 |
| BSE
Sensex |
 |
| NSE
Nifty |
|
|
| |
CRICKET UPDATE |
|
|
|
|
| |
| |
|
|
| |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
