The Hindu Business Line : Globalisation has left farm sector in the lurch: Experts

Dr Prabhu L. Pingali, President, International Association of Agricultural Economists, and Director, FAO, Rome, in a conversation with Dr David Colman, Professor, School of Economic Studies, University of Manchester, UK, at the inaugural session of the three-day South Asia Regional Conference of International Association of Agricultural Economists in Hyderabad on Wednesday. Dr Colman is set to take over as the next President of IAAE. - A. Roy Chowdhury

Hyderabad , March 23

NOTED agricultural economists here on Wednesday have expressed the view that the agricultural sector in South Asia, particularly in India, has been neglected during the process of globalisation in the past decade.

The Chairman of the Hyderabad-based Centre for Economic Social Studies (CESS), Prof C. H. Hanumantha Rao, felt that investment in agriculture had declined in the post-reform era.

The President of the International Association of Agricultural Economists (IAAE), Dr Prabhu L Pingali, said globalisation had lead to modernisation of food supply chains in the South Asian countries with the exclusion of small farmers.

Stating that the growth induced by globalisation had resulted in widening the gap between the rich and the poor, Dr Pingali said that "there are great advances as well as great set backs" in this regard.

Concurring with the economists, the Chief Minister of Andhra Pradesh, Dr Y.S. Rajasekhara Reddy, stated that the globalisation process had done disservice to agriculture and the "rural economy has taken a beating."

Speaking at the inaugural session of the South Asia Regional Conference of IAAE on "Globalisation and South Asian Agriculture" they, however, said that there were opportunities as well as challenges under globalisation. They emphasised the need for adopting suitable policies to avail the opportunities and reduce poverty.

The CESS Director, Prof S. Mahendra Dev, said that to avail the opportunities under globalisation there was a need to increase public investment on agricultural infrastructure, encourage diversification of agricultural production, exert pressure on developed countries to reduce their subsidies and ensure effective implementation of public distribution system.

Similarly, Dr Pingali felt that efforts must be made for the inclusion of small farmers in the modern food supply chains that cater to the growing urban demand for diversified diet.

This would lead to improvements in the incomes of poor farmers.

Stating that the overall economy of the country would not grow if agriculture was neglected, the Chief Minister said that it was necessary on the part of the Government to make irrigation, credit and insurance facilities available to the farmers. "Providing alternate source of employment for the landless poor in the rural areas is a must," he added.

The State Minister for Agriculture, Mr N. Raghuveera Reddy, wanted strengthening of the "lab-to-land" linkage as only 30 per cent of the entire research done on agriculture was reaching the farmers.

The three-day seminar was being organised by the CESS in association with the International Food Policy Research Institute, Acharya N.G. Ranga Agriculture University, Indian Society of Agricultural Economics and the India Society of Agricultural Marketing.

About 120 delegates, including agriculture ministers from India, Bangladesh, Bhutan and Sri Lanka, and senior policy makers, are taking part in the conference.

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