Asian Agriculture Essay Example | Topics and Well Written Essays - 3000 words

Asian Agriculture - Essay Example In India, the agriculture sector is not protected when compared to the industrial sector; this may be one of the reasons for it failure in trade. Food grains are in abundance in India, especially Rice. This should not be used as an export, because you never know when the situation might change for the demand. Food crops should be used in other industries, such as animal feed. One another major point is that liberalization has enabled diversity in the food supplies and it is not easy for the government to subsidize all these supplies so that the poor can eat them, thus it is better to people to get jobs and earn money so that they can eat what they want and to ensure a continuous supply of food in their house. In the early 1990’s the subsidies being received by the agricultural sector were above their requirement and can be called full investment in this sector. The use of new technology was adopted by the farmers quickly because of the subsidies, but the sector has deteriorated in terms of fiscal deficits, productivity of inputs, employment elasticity and environmental degradation. Economies of scale cannot be experienced by the farmers in India. Currently there is a ceiling in the industry; the best thing for the industry is to continue with the ceiling so that in the future the sector can develop itself as a safety net for the industry as a whole. The policies and restrictions should not be relaxed, and loans should be provided to farmers who want to buy land for cultivation. This will help all people involved, as the farmers would work hard to pay for the land and the land owners can benefit from the produce of the land. The economic viability of the country is very low, the market rates and the concessional rates have a huge difference because of the middle-men involved. This leads to the poor families getting higher interest rates. These farmers should be