scholarly journals FOREIGN DIRECT INVESTMENT AND INDIAN AGRICULTURE: ITS PROS AND CONS

Author(s):  
Dr.Gaonkar Gopalakrishna M

FDI has become one of the important boosts to promote the progress of developing countries. In reality FDI helps to bring technology, create employment opportunities, increases productivity and integrating developing countries into the global market place. In that process raising stranded of living and poverty reduction is possible in the country concerned. Thus, FDI is inevitable inclination in every field of the country in recent years. Agriculture is one of the prominent sector in Indian economy which contributes more than 19% of GDP and 65% employment in India. Performance of Indian economy depending upon the improvement in the agriculture sector. Thus, boosting the agriculture is the need of the hour.This paper tries to analysis merits and demerits of FDI for agriculture in Indian context. In the midst of globalization, positive changes in any sector of the economy is the welcoming move. Indian agriculture and the population depending on it, are always important to India. Thus FDI to promote agriculture is certainly a significant step. However, after the reformation in1991, agriculture sector opened for foreign investment and was also followed by better technology, better seeds and thus rapid growth. KEW WORDS: Foreign Direct Investment,Agriculture, capital, inflow, globalization

2005 ◽  
Vol 8 (4) ◽  
pp. 357-365 ◽  
Author(s):  
Corinna Hawkes

AbstractObjectiveTo examine the role of foreign direct investment (FDI) in the nutrition transition, focusing on highly processed foods.DesignData on FDI were identified from reports/databases and then compiled and analysed. A review of published literature on FDI into the food sector was conducted.SettingThe nutrition transition is a public health concern owing to its connection with the rising burden of obesity and diet-related chronic diseases in developing countries. Global health leaders are calling for action to address the threat. Highly processed foods often have considerable fat, sugar and salt content, and warrant closer examination.ResultsFDI into food processing, service and retail has risen rapidly since the 1980s, mainly from transnational food companies (TFCs) in developed countries. As FDI has risen, so has the proportion invested in highly processed foods for sale in the host market. FDI has proved more effective than trade in generating sales of highly processed foods, and enables TFCs to cut costs, gain market power and obtain efficiencies in distribution and marketing. The amount of FDI targeted at developing countries is increasing; while a disproportionate share enters the larger developing economies, foreign affiliates of TFCs are among the largest companies in low- and low- to middle-income countries. The effect of FDI is to make more highly processed foods available to more people. FDI has made it possible to lower prices, open up new purchasing channels, optimise the effectiveness of marketing and advertising, and increase sales.ConclusionFDI has been a key mechanism in shaping the global market for highly processed foods. Notwithstanding the role of demand-side factors, it has played a role in the nutrition transition by enabling and promoting the consumption of these foods in developing countries. Empirical data on consumption patterns of highly processed foods in developing countries are critically needed, but since FDI is a long-term investment vehicle, it is reasonable to assume that availability and consumption of highly processed foods will continue to increase. FDI can, however, bring considerable benefits as well as risks. Through its position ‘upstream’, FDI would therefore be an appropriate entry-point to implement a range of public health policies to ‘redirect’ the nutrition transition.


Agriculture is the primary source of livelihood for about 58 per cent of India’s population. Gross Value Added by agriculture, forestry and fishing is estimated at Rs 18.53 trillion (US$ 271.00 billion) in FY18. According to the Department for Promotion of Industry and Internal Trade (DPIIT), the Indian food processing industry has cumulatively attracted Foreign Direct Investment (FDI) equity inflow of about USD 9.08 billion between April 2000 and March 2019. The agriculture sector in Asian country is anticipated to come up with higher momentum within the next few years thanks to accrued investments in agricultural infrastructure like irrigation facilities, deposit and cold storage. What is more, the growing use of genetically changed crops can probably improve the yield for Indian farmers. India is anticipated to be self-sustaining in pulses within the returning few years because of conjunctive efforts of scientists to urge early-maturing types of pulses and therefore the increase in minimum support value. FDI works as a way of integration developing countries into the world market place and increasing the capital accessible for investment, so resulting in inflated economic process required to cut back financial condition and lift living standards. India is expected to achieve the ambitious goal of doubling farm income by 2022. This study main objective is analyzing Indian agricultural manufacturing and allied industries are qualified for the future expansion of agriculture sector through its modernization of agro based machineries industries. This study centered solely the chances of the allied industries (R& D, equipments, and machineries up gradation.


2001 ◽  
Vol 33 (4) ◽  
pp. 663-665 ◽  
Author(s):  
Asim Erdilek

The surge in foreign direct investment (FDI)—investment with managerial control by the foreign investor, usually a multinational corporation—has been the major driver of globalization in the past two decades and the accelerator of economic development in many developing countries. It has, however, bypassed Turkey. By all relevant relative measures found in the United Nations' annual World Investment Report, Turkey has failed to attract much FDI.


2021 ◽  
pp. 253-265
Author(s):  
MILOŠ PJANIĆ ◽  
MIRELA MITRAŠEVIĆ

In the process of globalization, the importance of foreign direct investment has changed significantly, because today they represent one of the most important factors of competitiveness, development and application of new technology, education, innovation and economic development. As a significant form of financing national economies, foreign direct investment is a form of investment that is realized outside the home country, where one of the most important goals of both developed and especially developing countries is to attract as much foreign direct investment. A large number of developing countries, including Serbia, have liberalized restrictions on foreign investment and free trade in the last two decades, liberalized national financial markets and begun privatization processes. Due to numerous problems and consequences of economic crises they have faced, many developing countries, as well as Serbia, view foreign direct investment as one of the most important factors for stimulating trade, employment growth, openness of national economies, and establishing overall macroeconomic stability. The aim of this paper is to point out the importance and dynamics of foreign direct investments in Serbia, as well as the key incentives for their attraction. Also, in addition to the theoretical review of foreign direct investments, the effects of foreign direct investments are presented in the paper.


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