Day 22 Mains Questions – Ace Answer Writing Program

Question 1: Critically examine the role of Minimum Support Prices (MSP) in ensuring food security and farmer welfare in India. Suggest reforms to make the MSP system more effective and sustainable. (10 Marks, 150 words)

Introduction

Minimum Support Prices (MSP) are government-fixed prices for certain crops to ensure farmers a minimum profit. Established under the Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Act, 2020, MSP aims to ensure food security and farmer welfare.

Body

Role of MSP in Ensuring Food Security and Farmer Welfare –

1. Income Stability: MSP provides a safety net for farmers, preventing distress sales. Eg: Wheat, rice procurement.
2. Price Assurance: It guarantees a minimum price, encouraging crop production. Eg: Sugarcane pricing.
3. Market Intervention: MSP stabilizes market prices during low demand. Eg: Cotton MSP during price crash.
4. Rural Economy Boost: MSP inflow enhances rural purchasing power. Eg: Paddy MSP in Punjab.
5. Risk Mitigation: Reduces risk from price volatility. Eg: Coarse grains during drought.

Challenges in the Current MSP System –

1. Limited Reach: MSP benefits mainly large farmers. Eg: Marginal farmers excluded.
2. Procurement Issues: Inefficient procurement in non-major states. Eg: Lack in Eastern India.
3. Storage Constraints: Inadequate storage leads to wastage. Eg: Grain rotting in FCI warehouses.
4. Market Distortions: Overemphasis on certain crops. Eg: Rice-wheat dominance.
5. Fiscal Burden: High MSP leads to budgetary strain. Eg: Rising food subsidy bill.

Suggested Reforms for Effective and Sustainable MSP –

1. Widen Crop Coverage: Include diverse crops for balanced agriculture. Eg: Millets, pulses.
2. Strengthen Procurement: Improve infrastructure in underserved regions. Eg: Bihar, Odisha.
3. Enhance Storage Facilities: Upgrade storage to prevent post-harvest losses. Eg: Modern silos.
4. Incorporate Technology: Use digital platforms for transparency. Eg: eNAM integration.
5. Fiscal Prudence: Align MSP with market trends to reduce fiscal load. Eg: Rationalized MSP hikes.

Conclusion

The MSP system plays a critical role in ensuring food security and farmer welfare, but it requires reforms to address its limitations. By widening crop coverage, improving procurement and storage, incorporating technology, and ensuring fiscal prudence, MSP can be more effective and sustainable. A holistic approach aligning MSP with broader agricultural policies will foster inclusive growth and stability.

Additional Data, Committees, Examples for Value Addition –

1. Shanta Kumar Committee: Suggested reforms in FCI and MSP rationalization. Example: Targeted procurement.
2. NITI Aayog Recommendations: Emphasized diversification and MSP alignment with market. Example: Crop diversification.
3. Doubling Farmers’ Income Committee: Advocated improved MSP mechanism. Example: Income support models.
4. Global Examples: Learnings from MSP models in countries like China and Brazil. Example: Effective procurement systems.

Question 2: Evaluate the performance of the Public Distribution System (PDS) in India. How can technology be leveraged to address its limitations and enhance its efficiency? (10 Marks, 150 words)

Introduction

The Public Distribution System (PDS) in India, governed by the National Food Security Act, 2013, ensures subsidized food distribution to approximately 800 million beneficiaries, enhancing food security and alleviating poverty.

Body

Performance Evaluation of PDS –

1. Wide Coverage: PDS reaches 800 million people, providing crucial support to a vulnerable population. Eg: NFSA beneficiaries in rural and urban areas.
2. Nutritional Support: It supplies essential food grains like rice and wheat, ensuring basic nutritional needs are met. Eg: 5 kg per person per month.
3. Economic Relief: PDS reduces the financial burden on the poor by offering food at subsidized rates. Eg: Rice at Rs. 3/kg and wheat at Rs. 2/kg.
4. Rural Access: It ensures food availability in remote areas, supporting vulnerable populations. Eg: Distribution centers in tribal regions.
5. Food Security: PDS plays a vital role during crises, ensuring continuous food supply. Eg: Distribution during the COVID-19 pandemic.

Limitations of PDS –

1. Leakages: Significant diversion of food grains due to corruption leads to inefficiency. Eg: Black marketing of PDS grains.
2. Inclusion Errors: Non-poor individuals often benefit from the system, reducing its effectiveness. Eg: Presence of ghost beneficiaries.
3. Exclusion Errors: Many deserving poor are excluded due to outdated data and inefficiencies. Eg: Migrant workers missing from the list.
4. Quality Issues: Distributed grains often suffer from poor quality, affecting consumption. Eg: Spoiled rice and wheat complaints.
5. Corruption: Various levels of corruption undermine the system’s integrity. Eg: Fake ration cards and collusion with middlemen.

Leveraging Technology to Enhance PDS Efficiency –

1. Aadhaar Integration: Linking Aadhaar with PDS helps in accurate beneficiary identification & reduces fraud. Eg: Biometric authentication at fair price shops.
2. Digital Ration Cards: Implementing digital ration cards can curb ghost beneficiaries and streamline distribution. Eg: e-PDS systems in states like Andhra Pradesh.
3. Supply Chain Management: Real-time tracking of food grain movement through GPS-enabled trucks minimizes leakages. Eg: GPS tracking in Chhattisgarh’s PDS.
4. Mobile Apps: Mobile applications facilitate beneficiary feedback and grievance redressal, improving transparency. Eg: PDS grievances apps in Tamil Nadu.
5. Data Analytics: Utilizing data analytics helps in identifying patterns and discrepancies, ensuring better monitoring and control. Eg: Anomaly detection in distribution patterns.

Conclusion

The PDS has significantly contributed to food security in India but faces notable challenges. Leveraging technology can address these limitations, enhancing efficiency and transparency, and ensuring that the system better serves the needy. Strengthening PDS through technology is crucial for achieving broader food security and poverty alleviation goals.

Additional Data, Committees, Examples for Value Addition –

1. Shanta Kumar Committee: Suggested reducing PDS leakages through Direct Benefit Transfers (DBT). Example: Cash transfers replacing grain distribution.
2. NITI Aayog: Advocated for comprehensive technological integration in PDS. Example: Digital ration cards implementation.
3. Food Corporation of India (FCI): Proposed reforms to improve storage and distribution efficiency. Example: Construction of modern storage facilities.

Question 3: Discuss the potential of animal husbandry in doubling farmers’ income. What policy measures can be taken to promote sustainable and economically viable animal-rearing practices in India? (15 Marks, 250 words)

Introduction

Animal husbandry, a critical component of agriculture, significantly contributes to farmers’ income by providing livestock products. It is a key focus area in the government’s goal to double farmers’ income as outlined in the National Livestock Policy.

Body

Potential of Animal Husbandry in Doubling Farmers’ Income –

1. Diversification: Diversifying into animal husbandry reduces reliance on crop income. Eg: Dairy farming in Gujarat.
2. Value Addition: Processing livestock products adds value and income. Eg: Cheese and yogurt production.
3. Employment Generation: Provides employment opportunities, enhancing rural incomes. Eg: Poultry farming employment in Andhra Pradesh.
4. Market Demand: High demand for livestock products ensures steady income. Eg: Meat and egg demand in urban areas.
5. Risk Mitigation: Livestock acts as a buffer against crop failures. Eg: Goats and sheep rearing in drought-prone areas.
6. Manure Production: Livestock provides manure for crops, reducing fertilizer costs. Eg: Organic farming in Punjab.
7. By-products Utilization: Utilization of by-products like hides and wool increases income. Eg: Leather and wool industries in Rajasthan.
8. Integrated Farming Systems: Combining crop and livestock farming maximizes resource use and income. Eg: Rice-fish farming in West Bengal.
9. Export Potential: Expanding livestock exports can significantly boost farmers’ income. Eg: Buffalo meat exports to Middle East.
10. Enhanced Productivity: Improving livestock productivity through better breeds increases income. Eg: High-yielding cattle in Haryana.

Policy Measures to Promote Sustainable and Economically Viable Animal-Rearing Practices –

1. Financial Support: Subsidies and low-interest loans for setting up animal husbandry units. Eg: National Livestock Mission loans.
2. Infrastructure Development: Improve infrastructure for storage, transport, and processing. Eg: Cold storage facilities for dairy products.
3. Research and Development: Invest in R&D for disease control and improved breeds. Eg: Indigenous breed improvement programs.
4. Training and Education: Provide training to farmers on best practices and modern techniques. Eg: Krishi Vigyan Kendras (KVKs) training programs.
5. Market Access: Facilitate better market access through cooperatives and digital platforms. Eg: Online livestock trading platforms.
6. Veterinary Services: Strengthen veterinary services for better animal health and productivity. Eg: Mobile veterinary clinics in rural areas.
7. Insurance Schemes: Implement livestock insurance to protect against losses. Eg: Pradhan Mantri Fasal Bima Yojana (PMFBY) extension.
8. Sustainable Practices: Promote sustainable and eco-friendly animal-rearing practices. Eg: Organic livestock farming initiatives.
9. Feed and Fodder Availability: Ensure availability of quality feed and fodder to enhance productivity. Eg: Fodder banks in drought-prone regions.
10. Public-Private Partnerships: Encourage PPPs for developing livestock infrastructure and services. Eg: Dairy cooperatives like Amul.

Conclusion

Animal husbandry holds immense potential in doubling farmers’ income through diversification, value addition, and risk mitigation. Sustainable and economically viable practices can be promoted through targeted policy measures. Integrating animal husbandry with agriculture will strengthen the overall rural economy and improve farmers’ livelihoods.

Additional Data, Committees, Examples for Value Addition –

1. National Livestock Mission: Focuses on sustainable livestock development. Example: Support for small ruminants.
2. Rashtriya Gokul Mission: Aims at conserving and developing indigenous cattle breeds. Example: Promotion of native breeds like Gir and Sahiwal.
3. Dairy Entrepreneurship Development Scheme (DEDS): Encourages dairy farming and allied activities. Example: Assistance for dairy processing units.