AGRARIAN PROBLEM

A farmer with 15 acres of land would earn a net income of Rs. 32500. A class IV employee of the government the lowest ranking civil servant is better off since he earns double.

AGRARIAN CRISIS

In India more than 75% of the population is in the rural areas. Indian agriculture accounts for almost 25% of the total GDP and about 65% of the GDP is from agriculture. Indian agriculture only occupies 0.6% in the export of India.

Indian agriculture is on the decline and one of the reasons is because of the decline of the investment in agriculture. The Indian government slashed its support to rural areas from 14.5% (1985) to 5.9% in 2001. The public investment declined. This is lead to loss of financial support toward the peasants

Most of the agricultural labourers they themselves do not own any land and work as tenants on others. Also original settlers are removed from their land by the Government and there settlers are latter termed as encroachers. The agrarian markets are flooded with instability because of the lowering of tariff barriers.

HYV seeds are also a causes of concern. These seed have only caused confusion with many of the poor farmers, who want high yield and wonder if it is worth the risk.

PROBLEM OF FARMERS

n Heavy Indebtedness: This indebtedness is not acquired overnight but is a result of spoil messed up credit system. Also Banks mostly give loans to rich farmers (because they have the assists to afford it) while the rest of the them must depend on moneylenders. Heavy indebtness is the number one reason of farmer sucides

n The indebtedness itself results from a mismatch in the cost of production and the support price and the market price that the cultivators are receiving at the end of every cropping cycle. In other words the cost of farming (buying seeds, fertilizers) are not even equal to the money from the harvest.

n This is because of crop failure. The land productivity is low. This could be co of fertilizers, pesticides, or HYB seeds.

Talking about the credit system, money lenders are still the top source of credit providers to farmers. the banking sector is fast moving out of the credit delivery mechanism.

n Lack of rains and proper irrigation systems.

n The access of knowledge to farmer is poor and so they are not able to properly improve their method of farming.

n Government failure to create a safety net for farmers who have a failed crop.

All this contributes to plight of the farmers.

Every day five to seven farmers committee suicide in the country. All these problem and more attribute to the farmer suicide. He is so much indebtness that he does not know what to do. He has a family which he cannot support anymore, which he cannot feed anymore. Hence to escape his problems he suicides.