Farmers’ groups still in the dark

Members of farmers’ organisations are unsure of how the India-US agreement on farm subsidy at the WTO would affect them given the paucity of information released.

“I am unable to comment at this juncture as there is no clarity on the matter. We will be meeting with the Agriculture Minister to learn more about this development,” said Naresh Sirohi, General Secretary, Kisan Morcha, the BJP’s farmers’ wing.

While Yudhveer Singh, the General Secretary of the Bharatiya Kisan Union (BKU), was unsure of the details, he was sceptical about the Government’s desire to help small farmers.

“Negotiations shouldn’t be carried on in the name of food security but in terms of agricultural subsidies which create a level playing field. Farming in the US and Europe is largely run by companies, almost 80 per cent, which are heavily subsidised by their governments,” he told

BusinessLine . “The subsidies in this case were related to consumers and not farmers per se. In Bali, the tone changed from one of getting developed countries to cut subsidies to food security which is a different matter altogether. For instance, they count the subsidies going to the PDS. What does the farmer get from such subsidies? The whole issue has become consumer-centric and the present Government has continued towing the same line,” added Singh.

India had not backed the Trade Facilitation Agreement, fearing that approval would affect its $12-billion food security programme which procures foodgrains at the minimum support price, which is then sold to poor households and the rest is stockpiled.

WTO norms cap the value of food subsidies at 10 per cent of the total value of production but which calculates subsidies on the basis of prices that prevailed in 1986.