Ridding India of Food Insecurity
- India may be the fastest growing large economy of the world, but it is also facing accelerating food-price inflation.
- The rise in the price of food first accelerated sharply in 2019, and has climbed in most years thereafter.
- In July this year, annual inflation exceeded 11%, the highest in a decade.
Data about the Affordability of a Healthy Diet
International Agencies | |
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State of Food Security and Nutrition in the World
Indian Agencies
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Impediments in containing Rising Food Prices
- Macroeconomic policy relied upon to control inflation has proved to be useless in the context.
- The Reserve Bank of India has failed in this task, with the inflation rate mostly higher than the target for four years by now.
- Its approach of contracting output when the inflation rate rises does nothing to manage food inflation stemming from the supply side.
- Central banks are incapable of solving this problem and it must be said within any time frame.
Green Revolution
- The Green Revolution aided India’s quest to be self-reliant in the highly polarised climate of the Cold War.
- Western economists have pointed to the success of the United States’ mission to land a human on the moon as an example of an entrepreneurial state.
- However, the Green Revolution in India, at a time when it was a miserably poor country tasked with ensuring food security for a staggeringly enormous number of people, is possibly more significant.
Green Revolution in India
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Lessons From the Green Revolution
Focus on the Supply Side
- It can ensure that food is produced at a steady price by raising the yield on land.
- During the Green Revolution, under extreme food shortage following two successive droughts, the government worked on a supply-side response.
- The government provided farmers with high-yielding seeds, cheap credit, and assured prices through procurement.
- This succeeded spectacularly and within a few years India was no longer dependent on food imports.
Not repeating mistakes made by the Government
- During the Green Revolution some mistakes were made such as rampant use of chemical fertilisers, fuelled by subsidy, which degraded the soil.
- There was also the reliance on procurement prices rather than productivity increase to ensure farm incomes, which fuelled inflation.
- The policy was almost exclusively focused on cereals rather than pulses, the main source of protein for most Indians.
- However, rather than being critical about the errors made during a successful economic policy intervention, the government should be correcting them now.
A way forward to Eliminate Food Insecurity from India
A Specific Goal of Lowering the Production Cost
- The Green Revolution had a target of making India self-sufficient in food.
- But it did not pay any attention to the cost of producing food.
- For this, a second agricultural revolution is needed now.
- To contain the rising price of food would require action on many fronts; a mission mode is necessary.
- As for policy, procurement prices, cash transfers, the Public Distribution System (PDS), and priority lending requirements of public sector banks are not sufficient.
Focus on Yield Increasing Interventions
- Yield increasing interventions are needed to at least contain the cost of production, if not to lower it.
- Agricultural yield is lower in India than in East Asia.
- There is a serious need to extend irrigation to 100% of the net sown area, an end to restrictions on leasing of land, a quickening of agricultural research and the re-institution of extension.
Increasing the role of public Agricultural Research Institutes
- India’s network of public agricultural research institutes needs to be energised to resume the sterling role they had played in the 1960s.
Reviving the Role of Gram Sevak
- Gram sevak used to play a crucial role in the spreading of best practices and the need of the hour is that it must be revived.
- These initiatives should be fit together into a programme for the manifold increase of protein production, which India is severely deficient in.
Co-operative Federalism
- In the 1960s, the States that were chosen for the spread of the new technology worked closely with the central government.
- This would have to be replicated in order to make a difference to the country, with the central government taking the States along in a spirit of co-operative federalism.
- At the same time, states must be held accountable.
- States should play their part to enhance agricultural productivity rather than relying on food allocations to their PDS from the central pool.
A Non-Ideological Approach
- To make a difference on the ground, a non-ideological approach would be needed, whether at the Centre or in the States.
- For instance, during the first Green Revolution by relying on private enterprise the then PM chose a capitalist approach (to make India self-sufficient in food), unmindful of any damage that would be caused to her socialist image.
Conclusion
- It was the Green Revolution that made the first dent on poverty in India. So, the poor did benefit from this strategy.
- Similarly, in order to ensure that all Indians have permanent access to a healthy diet and to contain food inflation, a new approach is needed now.