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Workshop on Farmers Rights to Livelihood CUTS International Kolkata Sanjeev Chopra Secretary, Agriculture West Bengal
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National Foreign Trade Policy 2004-08 and Farmers Rights in the context of agribusiness and commercialization Explanation of Key Terms What is Trade Policy ? Fiscal, monetary and Institutional support to certain sectors Maximizing the competitive advantages of a nation National Foreign Trade Policy 2004-09 : Implications for agriculture
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Foreign Trade Policy for Agriculture India and the WTO India’s options at AoA Negotiating Strategy was to prevent imports India never sought to develop and establish a market for its agri exports
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APEDA Ministry of Commerce realized the potential of agri exports Sixty AEZs established - process gained momentum from 2001-02 Over sixty export zones in the country Competitive advantage of a particular crop/commodity
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Foreign trade Policy 04-09 New sectoral initiatives Agriculture and Village Industries Vishesh Krishi and Gram Udyog Yojana earmarking of funds under ASIDE for AEZ
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Vishesh Krishi &Gram Udyog Yojana Objective : agri/minor forest/forest/gram Udyog products along with their value added variants To ease high transport costs and infra bottlenecks,5% of the FOB value of exports (in forex) will be granted to the exporters
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Farmers’ Rights Peasants and Farmers Farmers Rights vs. Rights of the State Right to collect revenue Right to determine ‘what to grow’ Right to trade? Right to propagate seeds?
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Agribusiness Agriculture and Agribusiness Value Addition Capital and Skill intensive Market orientation
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Commercialization Food security at household, community and village levels Food security at regional and national levels Shift from consumption crops to commercially profitable species Differential impact on different income brackets
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Impact of AoA On the middle class consumers On producers On resource poor consumers Per capita availability of food grains is actually declining
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Who is responsible? Have farmers ever driven government policy? Have farmers fought for their own rights or the rights of society and community Can the entire rural population be classified under the broad head of farmers?
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Contract farming ??? Contracts – presuppose equality and options Negotiating Power Negotiation Skills Farmers Organizations : Co-operatives Is a symbiotic relationship possible
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Prior Informed Consent Information about the present Information about the future Discussion about implications Policy Formulation : Stakeholders involvement GM crops – introduction regarding The matrix of risks and profits
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In conclusion Internal consultations were inadequate before the accession to WTO Foreign Trade policies are NOT determined by farmers, but by Economic Ministries Individual Farmers would find it extremely difficult to gain any foothold in the negotiations Strengthening Farmers co-operatives or interest groups is perhaps the only way to get the farmers a better deal, both from corporates and policy makers The current initiative is a welcome first step!
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