Protests by farmers in India, now in the their third month, are showing no sign of abating after demonstrators on Saturday staged a nationwide road blockade.
The demonstrators joined tens of thousands of farmers who have been protesting on the outskirts of the capital New Delhi since November.
The farmers want three new agriculture laws to be scrapped.
They argue the reforms will benefit corporates and spell the end of the government-backed agricultural model on which they depend. However, the government refuses to repeal the laws, insisting they will bring in much needed investment and help to modernise the sector.
Analysts and industry insiders agree that reforms are required as India's agriculture industry is deeply rooted in a decades-old system and has failed to keep up with the pace of development. The farm laws have the potential to improve efficiency and profitability, they say.
But some experts argue that is critical for the government to support the farm sector to establish a level playing field as it continues to liberalise agricultural markets.
“The farmer and big business are part of the same value chain and their interests need not be at loggerheads,” says Om Routray, vice president of marketing at SourceTrace, a company that provides digital services to agriculture businesses.
“For the laws to benefit all farmers, the government needs to remain invested in the sector – but the nature of that support needs to evolve.”
At stake is an industry that supports the livelihoods of about half the population. The protests are seen as the biggest challenge Prime Minister Narendra Modi has faced since he first came to power in 2014 and won re-election in 2019, helped by farmers' votes as he pledged to double their incomes.
Although agriculture is the country's biggest generator of jobs, its contribution to GDP has declined to about 15 per cent compared with more than 40 per cent in 1960, according to World Bank data. The rise of the non-farm economy and declining profitability in the sector have caused the drop, experts say.
This is linked to structural issues that have been plaguing the sector for years. At the core is the fact that the majority of the country's farmers have tiny, uneconomic land holdings following land reforms that took place decades ago, V Padmanand, a partner at Grant Thornton Bharat, says.
“The land distribution policy allocated land to tenant farmers, which got further fragmented and subdivided as the population increased,” Mr Padmanand says. “This further fragmentation led to a size where investment in farm level mechanisation and inputs became not very [economically] feasible or affordable.”
India has a large population and a significant portion of them are below the poverty line who need to be provided basic food as per the Indian laws
India's most recent agriculture census, published in 2018, reveals that 86.2 per cent of the country's farmers are small and marginal growers who own less than one hectare of land.
These "economically weak" small farmers have little capacity to invest, leaving them at the mercy of middlemen both for sourcing farming products and selling their produce, Mr Padmanand says. This eats into their profits, while wastage is rife because of inefficiencies.
At the same time, given the importance of agriculture in the country to feed the nation and the fact that it is a risk-prone industry – subject to unpredictable factors such as rain, drought and pests – it is dependent on some protectionist measures.
“India has a large population and a significant portion of them are below the poverty line who need to be provided basic food as per the Indian laws,” says Amit Sinha, co-founder of Unnati Agritech, an Indian platform that offers technology services to farmers. “This means that food grains have to be produced at certain volumes.”
Globally, agriculture is a sector that often relies on government support and India's subsidies are, in fact, lower than many other countries, experts say.
The liberalisation of the farm industry would boost private sector investment and help farmers get access to technology and better agricultural practices, which would create a more efficient supply chain and lift farmers' profitability, experts say.
“With the smallholder farming, the ecosystem is important to support them in evolving their farming activities and managing the risks,” Mr Sinha says. “With the evolution of technology and the wider adoption, the various interventions are becoming more targeted to the exact needs of the farmer.
“Traditionally, scientific farming was lacking in India” and the country needs to encourage farmers to adopt technology and proper use of fertilisers to improve cost management and output, he adds.
However, farmers are concerned the reforms will lead to a phasing out of state-run wholesale markets where they sell their produce and where certain crops are guaranteed with a minimum support price.
The reforms permit private trade outside of government-controlled markets. However, by opening up the sector to more buyers, corporates will pressure farmers to bring down their rates, opponents to the new laws say.
Most of the protesting farmers are from the northern states of Punjab and Haryana, which are major growers of staples including wheat and rice, and they rely on the state-backed system.
But the majority of the country's growers are not part of the minimum support price system. Many small farmers have ended up heavily in debt as they struggle to secure good prices for their produce, often because of inefficiencies in the supply chain or because of crop failure.
Many borrow money to invest in seeds, fertilisers and pesticides, and these economic challenges have resulted in a high rate of farmer suicides in India.
“The key aspect of the new farm laws is to provide options to the farmers for where he wants to sell the produce,” Mr Sinha says. “This would only help improve the avenues of earning. The farm laws would definitely benefit the sector. It will help bring farming in India more in synch with the market realities.”
Trilochan Sastry, a professor at IIM Bangalore and the founder of Farmveda and the Centre for Collective Development, says “in India, the situation is unique compared to the rest of the free market economies”, given that hundreds of millions of citizens depend on agriculture for their incomes.
Regardless of the debate about the pros and cons of the farm laws, Mr Sastry says “we need to find solutions for the never ending farm crises”.
Farmers with small holdings of land also need to set up large scale businesses such as cooperatives, known as farmer producer organisations, Mr Sastry says.
However, the new policies already have a dedicated scheme for the formation and promotion of farmer producer organisations and address key problems by encouraging aggregation and consolidation of farm activity, Mr Padmanand says.
“Today, the concern is not of shortage of agri produce as the Green Revolution [of the 1960s] had successfully converted India into a agriculture surplus economy,” he says.
“The concern and challenge is of management of surpluses. The agri ecosystem needs more efficient management in terms of planned production, as well as well marketed produce, so that farmers economically gain from the same and don't resort to distress sales nor perforce dump their produce.”
But as the farmers' protests continue, the demonstrations are a hindrance to addressing the critical challenges that would be tackled by the farm laws and are vital to the sector's future, experts say.
MOUNTAINHEAD REVIEW
Starring: Ramy Youssef, Steve Carell, Jason Schwartzman
Director: Jesse Armstrong
Rating: 3.5/5
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
MATCH INFO
Uefa Champions League semi-final, first leg
Bayern Munich v Real Madrid
When: April 25, 10.45pm kick-off (UAE)
Where: Allianz Arena, Munich
Live: BeIN Sports HD
Second leg: May 1, Santiago Bernabeu, Madrid
MATCH INFO
Austria 2
Hinteregger (53'), Schopf (69')
Germany 1
Ozil (11')
Tearful appearance
Chancellor Rachel Reeves set markets on edge as she appeared visibly distraught in parliament on Wednesday.
Legislative setbacks for the government have blown a new hole in the budgetary calculations at a time when the deficit is stubbornly large and the economy is struggling to grow.
She appeared with Keir Starmer on Wednesday and the pair embraced but he failed to give her his backing as she cried a day earlier.
A spokesman said her upset demeanour was due to a personal matter.
POSSIBLE ENGLAND EURO 2020 SQUAD
Goalkeepers: Jordan Pickford, Nick Pope, Dean Henderson.
Defenders: Trent Alexander-Arnold, Kieran Trippier, Joe Gomez, John Stones, Harry Maguire, Tyrone Mings, Ben Chilwell, Fabian Delph.
Midfielders: Declan Rice, Harry Winks, Jordan Henderson, Ross Barkley, Mason Mount, Alex Oxlade-Chamberlain.
Forwards: Harry Kane, Raheem Sterling, Marcus Rashford, Jadon Sancho, Tammy Abraham, Callum Hudson-Odoi.
'Panga'
Directed by Ashwiny Iyer Tiwari
Starring Kangana Ranaut, Richa Chadha, Jassie Gill, Yagya Bhasin, Neena Gupta
Rating: 3.5/5
Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
The specs
Engine: 3.0-litre six-cylinder turbo
Power: 398hp from 5,250rpm
Torque: 580Nm at 1,900-4,800rpm
Transmission: Eight-speed auto
Fuel economy, combined: 6.5L/100km
On sale: December
Price: From Dh330,000 (estimate)
LIVING IN...
This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
The specs
Engine: four-litre V6 and 3.5-litre V6 twin-turbo
Transmission: six-speed and 10-speed
Power: 271 and 409 horsepower
Torque: 385 and 650Nm
Price: from Dh229,900 to Dh355,000
Living in...
This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
The alternatives
• Founded in 2014, Telr is a payment aggregator and gateway with an office in Silicon Oasis. It’s e-commerce entry plan costs Dh349 monthly (plus VAT). QR codes direct customers to an online payment page and merchants can generate payments through messaging apps.
• Business Bay’s Pallapay claims 40,000-plus active merchants who can invoice customers and receive payment by card. Fees range from 1.99 per cent plus Dh1 per transaction depending on payment method and location, such as online or via UAE mobile.
• Tap started in May 2013 in Kuwait, allowing Middle East businesses to bill, accept, receive and make payments online “easier, faster and smoother” via goSell and goCollect. It supports more than 10,000 merchants. Monthly fees range from US$65-100, plus card charges of 2.75-3.75 per cent and Dh1.2 per sale.
• 2checkout’s “all-in-one payment gateway and merchant account” accepts payments in 200-plus markets for 2.4-3.9 per cent, plus a Dh1.2-Dh1.8 currency conversion charge. The US provider processes online shop and mobile transactions and has 17,000-plus active digital commerce users.
• PayPal is probably the best-known online goods payment method - usually used for eBay purchases - but can be used to receive funds, providing everyone’s signed up. Costs from 2.9 per cent plus Dh1.2 per transaction.
UAE currency: the story behind the money in your pockets
At a glance
Global events: Much of the UK’s economic woes were blamed on “increased global uncertainty”, which can be interpreted as the economic impact of the Ukraine war and the uncertainty over Donald Trump’s tariffs.
Growth forecasts: Cut for 2025 from 2 per cent to 1 per cent. The OBR watchdog also estimated inflation will average 3.2 per cent this year
Welfare: Universal credit health element cut by 50 per cent and frozen for new claimants, building on cuts to the disability and incapacity bill set out earlier this month
Spending cuts: Overall day-to day-spending across government cut by £6.1bn in 2029-30
Tax evasion: Steps to crack down on tax evasion to raise “£6.5bn per year” for the public purse
Defence: New high-tech weaponry, upgrading HM Naval Base in Portsmouth
Housing: Housebuilding to reach its highest in 40 years, with planning reforms helping generate an extra £3.4bn for public finances
Real estate tokenisation project
Dubai launched the pilot phase of its real estate tokenisation project last month.
The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.
Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.
Kandahar%20
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The schedule
December 5 - 23: Shooting competition, Al Dhafra Shooting Club
December 9 - 24: Handicrafts competition, from 4pm until 10pm, Heritage Souq
December 11 - 20: Dates competition, from 4pm
December 12 - 20: Sour milk competition
December 13: Falcon beauty competition
December 14 and 20: Saluki races
December 15: Arabian horse races, from 4pm
December 16 - 19: Falconry competition
December 18: Camel milk competition, from 7.30 - 9.30 am
December 20 and 21: Sheep beauty competition, from 10am
December 22: The best herd of 30 camels
Full list of Emmy 2020 nominations
LEAD ACTOR IN A COMEDY SERIES
Anthony Anderson, Black-ish
Don Cheadle, Black Monday
Ted Danson, The Good Place
Michael Douglas, The Kominsky Method
Eugene Levy, Schitt’s Creek
Ramy Youssef, Ramy
LEAD ACTRESS IN A COMEDY SERIES
Christina Applegate, Dead to Me
Rachel Brosnahan, The Marvelous Mrs. Maisel
Linda Cardellini, Dead to Me
Catherine O’Hara, Schitt’s Creek
Issa Rae, Insecure
Tracee Ellis Ross, Black-ish
OUTSTANDING VARIETY/TALK SERIES
The Daily Show with Trevor Noah
Full Frontal with Samantha Bee
Jimmy Kimmel Live
Last Week Tonight with John Oliver
The Late Show with Stephen Colbert
LEAD ACTOR IN A DRAMA SERIES
Jason Bateman, Ozark
Sterling K. Brown, This Is Us
Steve Carell, The Morning Show
Brian Cox, Succession
Billy Porter, Pose
Jeremy Strong, Succession
LEAD ACTRESS IN A DRAMA SERIES
Jennifer Aniston, The Morning Show
Olivia Colman, The Crown
Jodie Comer, Killing Eve
Laura Linney, Ozark
Sandra Oh, Killing Eve
Zendaya, Euphoria
OUTSTANDING REALITY/COMPETITION PROGRAM
The Masked Singer
Nailed It!
RuPaul’s Drag Race
Top Chef
The Voice
LEAD ACTOR IN A LIMITED SERIES/TV MOVIE
Jeremy Irons, Watchmen
Hugh Jackman, Bad Education
Paul Mescal, Normal People
Jeremy Pope, Hollywood
Mark Ruffalo, I Know This Much Is True
LEAD ACTRESS IN A LIMITED SERIES/TV MOVIE
Cate Blanchett, Mrs. America
Shira Haas, Unorthodox
Regina King, Watchmen
Octavia Spencer, Self Made
Kerry Washington, Little Fires Everywhere
OUTSTANDING LIMITED SERIES
Little Fires Everywhere
Mrs. America
Unbelievable
Unorthodox
Watchmen
OUTSTANDING COMEDY SERIES
Curb Your Enthusiasm
Dead to Me
The Good Place
Insecure
The Kominsky Method
The Marvelous Mrs. Maisel
Schitt’s Creek
What We Do In The Shadows
OUTSTANDING DRAMA SERIES
Better Call Saul
The Crown
The Handmaid’s Tale
Killing Eve
The Mandalorian
Ozark
Stranger Things
Succession
Killing of Qassem Suleimani
Killing of Qassem Suleimani
Mohammed bin Zayed Majlis
