Subsidies in Agriculture-:

Subsidies in Agriculture -:
Subsidies can be defined as financial assistance provided by the government in order to ensure
availability of essential goods and services at a price below the market price to the consumers.


Subsidies have always been used as an important tool in order to reduce the impact of poverty over the general consumers. They can be classified into two important types:-
1. Indirect subsidies
2. Direct subsidies



In case of indirect subsidies the benefit is provided by the government to the consumers or the beneficiaries but the payment is done by the government to someone else. For Example prior to the scheme of Direct Benefit Transfer- DBT, even in case of LPG cylinders indirect subsidies were given. The consumer was provided cylinder at a subsidized price but the payment was done by the government to the oil marketing companies. Indirect subsidies may lead to misuse of resources. It is mainly because all the beneficiaries may not be real.



On the other hand in case of direct subsidies the benefit of the subsidy reaches the consumer. At
the same time even the payment is made by the government to be beneficiary directly. For Example -in case of Direct Benefit Transfer (DBT). Direct subsidies prevent misuse of resources, which helps the government to reduce financial burden.
Even in agricultural sector subsidies have always been used by the government as a tool to support the farmers. The centre and the states, both provide subsidies in agricultural sector.



However most of the subsidies are indirect subsidies. Because of this diversion of resources is still a common problem in this sector. The centre and states provide subsidy to the farmers, with respect to payment of a premium over crop insurance through scheme such as, Pradhanmantri Fasal Bima Yojana. In case of loan through Kisan credit card and interest subvention is provided as subsidy by the centre. Even on urea which is a nitrogenous fertilizer, subsidy is provided by the central government. On the other hand the states provide subsidy on seeds, electricity etc.
PDS and Food Security Act can also be seen as subsidies related to agriculture but they are not
for the farmers but for the consumers.



Although subsidies are used as an instrument to support the farmers and to keep the cost of
agricultural down but they are meant for consumption eventually. Such subsidies are consumed every year and the farmer will require them again and again. The subsidies have made the farmers in India dependent rather than independent. These subsidies have continuously resulted in increase in financial burden over the government. Because of which the government has failed in the process of capital formation in agricultural sector.



In the interim budget 2019-20 this interest subvention on the use of Kisan Credit Card has been extended even to animal husbandry and pisciculture. This interest subvention is of 2% and if the repayment is done on time and additional interest subvention of 3% will be given. about MSP



Comments

Post a Comment

Popular posts from this blog

Uniform Civil Code (UCC) -

Image
The Law Commission of India has asked for views and proposals from the public regarding the UCC. The  UCC  has been a highly debated and politically charged issue  in India. The  Law Commission's  previous stance on the UCC was that  it was neither necessary nor desirable . UCC is a  proposal to replace the personal laws  of various religious communities with a common set of laws for all citizens. What is Uniform Civil Code? About: The Uniform Civil Code is  mentioned in Article 44 of the Indian Constitution,  which is part of the  Directive Principles of State Policy. These principles are  not legally enforceable but are meant to guide the state  in making policies. It has been supported by some as a way  to promote national integration and  gender justice , but opposed by others as a threat to religious freedom and diversity. The  only state in India that has a UCC is Goa,  which retained ...
Read more

Age of marriage men -women & Prohibition of child marriage act, 2006

Image
Recently, the Union Cabinet cleared a proposal to bring uniformity in the marriageable age of men and women. By amending the Prohibition of Child Marriage Act (PCMA), 2006 and other personal law, the legal age of marriage of women will be raised rom 18 to 21 years.The decision is based on the recommendation of a four-member task force led by former Samata Party chief Jaya Jaitly. Note: The task force was set up to re-examine the age of marriage and its correlation to health and social indices such as infant mortality, maternal mortality, and nutrition levels among mothers and children. Key Points About Legal Framework of Minimum Age for Marriage: In India, the minimum age of marriage was prescribed for the first time by the law known as the Sarda Act, 1929.  It was later renamed as the Child Marriage Restraint Act (CMRA), 1929.In 1978, the law was amended to raise the minimum age of marriage to 18 years for girls and 21 years for boys....
Read more

Sexual harassment of women

Image
. SEXUAL HARASSMENT Why in news? Recently, the Supreme Court took the cognizance of “serious lapses” and “uncertainty” in the implementation of the Protection of Women from Sexual Harassment (PoSH) Act, 2013. More on the news • The cognizance came in the backdrop of a newspaper survey revealing only 16 out of 30 national sports federations in the country had constituted Internal Complaints Committees (ICC) mandated under the 2013 Act. About Sexual harassment at workplace • Cost of Sexual harassment at workplace  Individuals: Psychological suffering; behavioral change like isolation; Stress-related physical and mental illness; and Professional losses like foregoing career opportunities.  Employers/Enterprises: Low productivity, Hindered progress and innovation, Poor image of company, etc.  Society: Women’s undermined access to high-status; Legal and criminal justice expenses; Long term rehabilitation costs; etc. • Sexual Harassment of Women at Workplace (...
Read more

MANIPUR ISSUE

Image
Why in news? A horrifying video has gone viral on social media in which two women from the kuki-zomi community being paraded naked and sexualy assaulted by a mob in manipur.who this incident is a shameful act for any civilised society. The fire in manipur was lit in early May, when violence between miteis and kukis flared. Since then, over a hundred people have died and property, including a large number of churches, destroyed.  Thousands have had to flee their homes and many continue to live in releaf camps.        The main issue In manipur: The issue in manipur pertains to the long-standing demand for greater autonomy and protection of the right of several ethnic communities in the state. Manipur has a complex socio-political landscape with various ethnic groups, including the meiteis, Nagas, kukis and others, each with their own aspirations and demands.  Some of the major issues in manipur include:  1.Inner line permit (ILP):...
Read more

TOP 7 TEMPLES IN UNESCO IN INDIA:-

Image
Top 7 temple in UNESCO in india :-     Here are the top 7 UNESCO World Heritage sites in india that are temples, along with their image: 1. Brihadeeswarar Temple, Tamil Nadu: -Built in the 11th century, it is the world's first      complete granite temple. It represents the chola Dynasty's architecture brilliance. 2. Khajuraho group of Monuments madhya pradesh:    Known for its exquisite sculpture and intricate artwork depicting various aspects of human life, love,and spirituality. It showcases the architectural brilliance of the chandela dynasty.  3. Konark sun Temple, odisa:     Dedicated to the sun God, Surya, it is designed in shape of a colossal chariot carrying the sun God. In intricate stone carvings and architectural grandeur make it a prominent UNESCO site. 4: Group of Monuments at Hampi, Karnataka:    Hampi was the capital of Vijaynagara empire,and the a...
Read more

Mission chandrayaan 3 / mission moon

Image
What is Chandrayaan 3? Chandrayaan 3  spacecraft is the 3 rd  lunar exploration expedition, outlined by the  Indian Space Research Organisation (ISRO) . ISRO planned this spacecraft to exhibit India’s soft landing proficiency on a stellar body. It will only consist of a rover and lander and will communicate to the earth via an orbiter from Chandrayaan 2. This ambitious mission encompasses several configurations, integration and cognisance. Additionally, there are several other detailed testing remaining to evaluate the spacecraft. Background of Chandrayaan 3 Mission ISRO designed the Chandrayaan 2 mission to send the Chandrayaan 2 spacecraft with an orbiter, rover and lander. They launched this spacecraft on-board the  GSLV-Mk 3 , one of the mightiest geosynchronous vehicles. The lander Vikram’s failure on a soft landing resulted in hindering the attempt of rover Pragyaan to travel on the Moon. This led to endeavouring another mission to showcase India’s ...
Read more

NATO ( North Atlantic Treaty Organization)

Image
What is NATO ? NATO, or the North Atlantic Treaty Organization, is an intergovernment military alliance formed in 1949. Its primary purpose is promot collective defense, security,and cooperation among Its member countries.  NATO's purpose -: The main objectives of NATO are:- 1. Collective Defense:-   member countries one committed to the principle of collective defense meaning that an attack on one member is considered an attack on all.this serves as a deterrent and promotes stability in the alliance region.  2. Crisis Management:-  NATO plays a role in Crisis management and conflict resolution by providing political support, cooperation and military capabilities when necessary.  3. Cooperative security:- NATO aims to faster dialogue, cooperation and partnerships with other countries and international organizations to address common challenges such as terrorism, proliferation of weapons of mass destruction, and cyber threats. How many country in NATO...
Read more