scholarly journals An Analytical Study of Relationship between Socio-Economic Profile and Impact of Minimum Support Price Scheme on Small Farmers of Begusarai District of Bihar

Author(s):  
Krishna Kumar ◽  
Syed H. Mazhar

Minimum Support Price fixed by the government to protect the farmers against excessive fall in price during bumper production years. Questions, are being raised about the efficacy and effectiveness of the instruments of price policy specifically the Minimum Support Prices. Under these circumstances it assumes greater significance to understand the impact caused by the minimum support prices on small farmers with socio-economic scale. Total of 60 beneficiaries and 60 non-beneficiaries was selected in Teghara block of Bihar district by purposive sampling method. The primary data were collected with the help of interview schedule and the responses were recorded, classified and tabulated and appropriate statistical tools were employed. The results showed that higher percentage of small farmers were middle aged, attained middle school level education and had low income, the beneficiaries who had primary school level education with high farm experience, present near to the market and contacted extension agents had been sought to have more impacted.

Author(s):  
Neha Gupta

Abstract This paper reviews rice procurement operations of Government of India from the standpoints of cost of procurement as well as effectiveness in supporting farmers’ incomes. The two channels in use for procuring rice till 2015, were custom milling of rice and levy. In the first, the government bought paddy directly from farmers at the minimum support price (MSP) and got it milled from private millers; while in the second, it purchased rice from private millers at a pre-announced levy price thus providing indirect price support to farmers. Secondary data reveal that levy, despite implying lower cost of procurement was discriminated against till about a decade back and eventually abolished in 2015 in favor of custom milling, better trusted to provide minimum price support. We analyze data from auctions of paddy from a year when levy was still important to investigate its impact on farmers’ revenues. We use semi-nonparametric estimates of millers’ values to simulate farmers’ expected revenues and find these to be rather close to the MSP; a closer analysis shows that bidder competition is critical to this result. Finally, we use our estimates to quantify the impact of change in levy price on farmers’ revenues and use this to discuss ways to revive the levy channel.


Author(s):  
Masood Ahmed

The rural population percentage decreased from 82.7% to 68.9% in 2011, even though there is an increase in the total rural population, which stands at 833.7 million, and the rural population were now more than three times compared to the population seven decades ago. Another observation is the decrease in cultivators percentage from 71.9% to 45.1 %, while agriculture labour increase from 28.1% to 54.9% during the same period. Despite the increase in irrigated land and net area sown, the average holdings' size under the farmers is continuously decreasing, and it requires a study to look into the reasons. The research probes the role of Minimum Support Price (MSP) in supporting farmers and measuring market price above MSP needed to help marginal and small farmers remain above the poverty level. It explains how different market rates above MSP have a different impact on different categories of agriculture landholding. The study works on developing a common model that relates the impact of MSP on different farmers categories. The model can be generalized to all crops and regions and useful in designing policies that focus on uplifting the income of agricultural farmers.


Author(s):  
Luis Emilio Morales ◽  
Jean Balié ◽  
Emiliano Magrini

For several decades, the government of India has implemented a minimum support price (MSP) policy for agricultural commodities to reduce price risk levels for farmers. Concerns have been raised about whether this policy could affect market integration of related agricultural products, modify price incentives, and ultimately alter resource allocation and production between commodities. This study uses a panel vector auto-regression model across six states for the period 2002-2017 to analyse the effects of the MSP on the transmission of price shocks between cereals and oilseeds. The results demonstrate that the MSP partially and completely offsets price linkages between agricultural commodities, potentially introducing distortions in price incentives that affect land allocation and production between commodities. Beyond the effects of the MSP across commodities, Indian authorities can expect that price shocks on maize be transmitted to soybean over the next production period. Finally, this study demonstrates that the use of alternative data frequencies can identify differences in market reactions over time that can be related to production cycles and delays in price transmission.


2019 ◽  
Vol 1 (3) ◽  
pp. 80-86
Author(s):  
Muhammad Aamir Shahzad ◽  
Amar Razzaq ◽  
Ping Qing

Wheat is Pakistan's main food and strategic crop. Currently, the government controls wheat prices through a minimum support price (MSP) policy to encourage production. However, despite the increase in wheat production, input costs and output prices have been increasing over the years. This paper aims to analyse the impact of wheat support price policies. We use data from different government sources to estimate the financial implications of MSP and compare the support price policies of India and Pakistan. We find that Pakistan’s current minimum support price policy encourages farmers to produce larger quantities of wheat, but this places a heavy financial burden on the country's finances. Our results indicate that the higher MSP of wheat has made the country lose its competitiveness in the international market. Besides, we found that the cost of wheat production in Pakistan is much higher than in India. These higher production costs force the government to raise the MSP to maintain farmers' profitability. The high MSP is guaranteed by subsidizing the procurement and release of wheat, which imposes a heavy financial burden on government finances. In addition, the rise in wheat prices in recent years has also hurt consumers. Policymakers can redistribute subsidies by subsidizing wheat inputs, especially fertilizers and seeds, to reduce production costs. To this end, the best policy intervention may be to provide input subsidies rather than subsidies on purchase prices. A reduction in input costs will correspondingly reduce output prices, which will increase farmers' profitability, consumer surplus and the international competitiveness of Pakistani wheat.


2011 ◽  
Vol 1 (1) ◽  
pp. 16
Author(s):  
Kausar Yasmeen ◽  
Tanveer Hussain ◽  
Shakeel Sarwar

Orientation-This empirical research explores the impact of agricultural loans provided by the Government on the standard of living of the small farmers in developing countries where the Pakistan is taken as a case.Purpose – The aim of the researchers in this endeavor is to identify the role of agricultural loans provided to the small farmers in the developing countries and the outcomes of these loans with respect to the standard of livings of the farmers. Design/ Methodology- Researchers have interviewed the 300 small farmers who are all the clients of an agricultural bank (ADBP) and collect the primary data. Data was analyzed in terms of percentages and researchers investigate the impact of credit facility on the purchasing patterns of these small farmers.Findings- Researchers analyzed the consumption patterns of the farmers in 4 sectors i.e. Structure of households before and after availing the credit facility,Change in consumption of electricity and electronic appliances, Change in education of farmer’s child, Transportation and assets and change in food and health. Research results indicate that there is increased trend in all of these 4 sectors after availing the credit facility by the small farmers.Practical implications- Current research may be use by the other developing countries to investigate the role of agricultural loans on the well being of their farmers. It also elaborates the role of agricultural banks in enhancing the standard of living of the farmers.Keywords: Agricultural loans, economic well being, farmers, developing countries


2016 ◽  
Vol 1 (1) ◽  
pp. 13-22
Author(s):  
Towaf Totok Irawan

Until now the government and private sector have not been able to address the backlog of 13.5 million housing units for ownership status and 7.6 million units for residential status. The high price of land has led to the high price of the house so that low-income communities (MBR) is not able to reach out to make a home purchase. In addition to the high price of land, tax factors also contribute to the high price of the house. The government plans to issue a policy for the provision of tax incentives, ie abolish VAT on home-forming material transaction. This policy is expected to house prices become cheaper, so the demand for housing increases, and encourage the relevant sectors to intensify its role in the construction of houses. It is expected to replace the lost tax potential and increase incomes. Analysis of the impact of tax incentives housing to potential state revenue and an increase in people's income, especially in Papua province is using the table IO because in addition to looking at the role each sector can also see the impact on taxes (income tax 21 Pph 25 Pph, VAT), and incomes (wage). Although in the short-term impact is still small, but very rewarding in the long run. Keywords: Backlog, Gross Input, Primary Input, Intermediate Input


2021 ◽  
pp. 097639962097420
Author(s):  
Gaurav Bhattarai ◽  
Binita Subedi

The global economy has been severely paralysed, owing to the unprecedented crisis triggered by the COVID-19 pandemic, and different studies have indicated that the crisis is relatively more maleficent to the lower-income and middle-income economies. Methodologically, this study relied on the review and analysis of the grey literature, media reporting and data published by the Asian Development Bank, United Nations Conference on Trade and Development (UNCTAD), United Nations (UN), World Bank, International Monetary Fund (IMF) among others. The article begins by describing the impact of the pandemic on low-income and middle-income countries, and it discusses how they have responded to the crisis. While discussions have surfaced regarding whether COVID-19 will reverse the process of globalization, what will be its impact on the low-income country like Nepal? The study also highlights that with foreign direct investments speculated to shrink and foreign assistance and remittance taking a hit, how is Nepal struggling to keep its economy afloat? Analysing the new budget that the government unveiled in 2020, this study concludes with a note that instead of effectively implementing the plans and policies directed by the budget, Nepal is unnecessarily engaged in political mess and is needlessly being dragged into the geopolitical complications.


2014 ◽  
Vol 2014 ◽  
pp. 1-52
Author(s):  
Bin Mushambanyi Théodore Munyuli

A study was conducted from 2010 to 2012 around the flower growing areas in central Uganda to generate baseline information on the status of pollinators. Primary data were gathered using a questionnaire that aimed at determining farmers and flower farm officials’ perceptions on the impact of activities carried out inside greenhouses on pollinators, human health, and on crop production in the surroundings. Results indicated that the quantity of pesticides and fertilizers applied daily varied among the different flower farms visited. Bee species richness and abundance varied significantly (P<0.01) according to flower farm location, to the landscape vegetation type, and to field types found in the surrounding of flower farms. Bee richness found around flower farms varied in number from 20 to 40 species in total across seasons and years. Bee density increased significantly with the increase in flower density. Small-scale farmers were aware of the value and importance of pollination services in their farming business. There was no clear evidence of a direct effect of agrochemicals application on bee communities living in the surrounding habitats. There is a need for further research to be conducted on human health risks and for toxicological studies on soils, plants, flowers, and bees in the farm landscape.


2021 ◽  
Vol 7 (2) ◽  
pp. 92
Author(s):  
Lia Muliana ◽  
Mursyidin Mursyidin ◽  
Muharriyanti Siregar

The Family Hope Program (PKH) is a conditional cash transfer program for low-income families. The requirement is to be actively involved in education and health. The Family Hope Program in Indonesia was implemented in 2007 to alleviate poverty and prosper low-income families. The research and writing of this journal aim to determine the impact of PKH on family welfare and see if there is a reduction in poverty after the government realizes the Family Hope Program. This study uses a qualitative method with a descriptive approach. The study results indicate that the impact of PKH on beneficiary families, including the cash provided, can meet consumption or family needs and help the economy of PKH recipient families. The implementation of the program can reduce poverty in Aceh. The percentage of the poverty rate fell to 0.02%. The limitation of the research is the impact of PKH on family welfare and wants to examine whether there is a decrease in the percentage of poverty in Aceh or Aceh Barat. The practical implication of this research is to provide information to the government that PKH can improve the welfare of low-income families. The social significance is to give the government and the general public that the implementation of social assistance programs, one of which is the Family Hope Program, can reduce poverty rates in Aceh or West Aceh. The originality of the research is supported by previous research related to the author’s research study.


Spatium ◽  
2007 ◽  
pp. 28-36 ◽  
Author(s):  
Horatio Ikgopoleng ◽  
Branko Cavric

Botswana like other developing countries faces a problem of acute shortage of housing, particularly for low-income urban families. The current housing problems are the outcomes of the economic, demographic and social changes which the country has experienced since independence in 1966. In particular the urbanization process which surfaced in the early 1980?s. The government has sought to cope with the problem of low-income urban housing by establishing a Self-Help Housing (SHHA) program in the main urban centers. The evaluation findings reveal that, on the whole, the impact of the SHHA approach on the improvement of low-income urban housing has been unsuccessful. The major problems of the scheme are lack of serviced land and inadequate finances for plot development. This has been exacerbated by the high urban development standards which are out of the reach of low-income urban families. The evaluation study also reveals that, there are some indications of non low-income urban households living in SHHA areas. The available evidence reveals that the number of those people in SHHA areas is not as big as has been speculated by most people in the country. However this paper calls for more investigation in this issue and a need for more tight measures to control this illicit practice. The major conclusions are that housing policies in Botswana are not supportive of the general housing conditions in low-income urban areas. Therefore there is a need for urban planners and policy makers of Botswana to take more positive action towards the improvement of low-income urban areas. This would require pragmatic policies geared towards the improvement of those areas. .


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