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Little to cheer about

Soaring prices of onions bring no hope to farmers whose crops have been damaged or hit by imports

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Sreelatha Menon
For farmers in Vidarbha or other regions ravaged by rains, it matters little whether they sowed onions or black gram or soya bean - almost all their crop has been destroyed. And, the political drama that plays out around agricultural produces and their prices, but rarely around farmers' problems, doesn't help either.

Now, amid much talk on onion prices by ruling and opposition parties and demands to stop export of the commodity, farmers are surprised no demands have been raised for export subsidy. This, when farmers are usually forced to sell onions at prices as low as Rs 2 a kg.
 

This time, thanks to the shortage, farmers in Vidarbha have been selling the commodity at Rs 35-40 a kg to wholesalers. But that is little reason to cheer. The black gram or chana dal they had sowed in November, after buying the seeds at Rs 50 a kg, is fetching them a mere Rs 27 a kg. Prices of other pulses also have nosedived. Tur dal, which was sold at Rs 50 a kg last year, is now fetching Rs 40 a kg. Imports from Canada, Australia, Myanmar and Tanzania have flooded the market. Farmers say political parties that are leading the charge on the onion front are silent on the need to charge duty on the import of pulses.

And, if the government decides to help farmers, the way the Maharashtra government recently did, the manner in which it is done defeats the purpose. For instance, to be eligible for relief, a farmer has to prove half his crop has been destroyed. Vijay Jawandhia, a Shetkari Sanghatana leader from Vidarbha, wonders how this is possible.

Political parties aren't considering long-term solutions, including crop insurance. The only existing crop insurance scheme estimates losses at the block level. So, if a given number of villages, say 100, aren't affected, none are, according to the scheme. Though a pilot scheme has been launched in Maharashtra and Tamil Nadu to provide insurance against rains, there is fear this, too, may take a block-level approach. Farmer activists say the scheme could lead to discussions on crop insurance. At the national level, however, there is no sign of such discussions.

All the Centre can think of is providing five kg of rice to the impoverished at Rs 2/kg. The idea, says Jawandhia, is to ensure this lot remains poor. He suggests the government withdraw the Pay Commission and, instead, provide five kg of rice to every citizen. "Would they dare to do that?" he asks.

Jawandhia feels at the least, the wages given to farm labourers should be on a par with the lowest paid category of government servants. The government's strategy of keeping farm labourers poor ensures agriculture remains deprived of funds, he adds.

It has been demanded farmers be given a guaranteed income, something the Karnataka government has accepted.

Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of www.business-standard.com or the Business Standard newspaper

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First Published: Aug 17 2013 | 9:48 PM IST

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