By: Priyanka Saurabh
India’s agricultural reforms have changed dramatically, from the MSP system of 1965, which guaranteed price stability, to today’s tackling of the complex problems of market integration, sustainability, and welfare. Recent discussions about changes in the MSP and programs such as PM-KISAN reflect efforts to strike a balance between welfare and economics. Still, pursuing sustainable agriculture is essential to achieving a developed India in 2047.
The MSP system was introduced to reduce food shortages by providing incentives for the production of rice and wheat. For example, by importing Mexican wheat varieties in 1966, India launched the Green Revolution, which relied on guaranteed MSPs for rice and wheat. Political pressures eventually led to the MSP being expanded to cover more crops, resulting in regional imbalances.
MSP and free electricity have forced Punjab and Haryana to focus heavily on rice, harming the environment and depleting groundwater. For rice and wheat in particular, the system shifted to open procurement, leading to inefficiencies and surplus inventory. The Food Corporation of India has rice stocks almost three times higher than buffer requirements, leading to wastage and storage problems.
The introduction of power, fertilizer, and irrigation subsidies reduced farmers’ costs but harmed the environment and degraded soils. Free electricity for tubewells in Punjab has led to an alarming decline in groundwater levels. Direct cash transfers and digital beneficiary records are two examples of recent reforms that emphasize digitization to increase efficiency. The PM Kisan Samman Nidhi eliminates middlemen and ensures targeted benefit delivery by providing direct income support to farmers.
To improve soil health and reduce groundwater depletion, encourage farmers to grow pulses, oilseeds, and millets from water-intensive crops like wheat and rice. The Odisha Millet Mission encourages the production of millets, which improve soil quality and incomes while reducing the use of water-intensive paddy cultivation. Price deficiency payment schemes should be used in place of MSP to ensure farmers get fair prices and discourage overproduction of particular crops.
In Madhya Pradesh, farmers get compensation for market price losses through the Bhavantar Bhugtan Yojana, which maintains income stability without changing market dynamics. Rationalize fertilizer and electricity subsidies to promote the use of eco-friendly technologies like drip irrigation and organic farming. The PM-KUSUM program encourages solar-powered irrigation pumps, which reduce dependence on government-subsidized electricity and groundwater extraction.
Provide farmers with the latest information on crop selection, soil health, and water use to maximize resources in a sustainable way. Using drones to spray pesticides in Tamil Nadu reduces wastage while guaranteeing effectiveness and environmental safety. Build effective cold storage facilities and value chains to reduce post-harvest losses and guarantee equitable pricing for perishables.
By establishing robust supply and storage networks, Operation Greens seeks to stabilize the prices of potatoes, tomatoes, and onions. Direct benefit transfers to farmers should replace input subsidies to ensure equitable distribution and reduce wastage of resources. Preventing DBT diversion in fertilizer distribution guarantees that subsidies are effectively distributed to deserving farmers. Allow open, regulated land leasing to small farmers and sharecroppers to promote investment in productivity-enhancing practices.
Andhra Pradesh’s land leasing policy provides security to tenant farmers, making it easier for them to access benefits and institutional credit.
Boost public spending on storage facilities, irrigation systems, and rural roads to increase market access and reduce wastage. In dry areas, the Pradhan Mantri Krishi Sinchai Yojana has improved irrigation coverage and water use efficiency. Support agroforestry and the development of drought-resistant varieties to tackle climate change and increase productivity.
By encouraging farmers to plant trees, Punjab’s agroforestry policy enhances biodiversity and reduces carbon footprint. Boost agricultural R&D spending to create sustainable farming practices and guarantee information sharing through extension services. Zero-tillage farming is promoted by the Indian Council of Agricultural Research because it reduces costs and improves soil health.
To achieve Developed India 2047, a comprehensive approach to agricultural reforms is necessary that combines welfare measures with market-driven mechanisms. India can guarantee an agricultural sector that is inclusive, resilient, and environmentally sustainable; empower farmers; and safeguard the country’s future by adopting technology-driven solutions, encouraging sustainable practices, and promoting public-private partnerships.
The writer is a Research Scholar in Political Science, Poet, freelance journalist, and columnist.
