30.1 C
New Delhi

Farmers Protest 2.0 : An unending Saga of IMPRACTICAL Demands which will prove DISASTROUS to the Indian Economy


Share post:

Farmers Protest 2.0 is in motion. Nearly two years after farmers, mainly from Punjab, Haryana and Western Uttar Pradesh laid siege to Delhi to protest against three farm laws, farmers are again marching to Delhi on February 13. Expecting another siege of Delhi, the police in Haryana as well as Delhi have put in place massive security arrangements and sealed borders between Punjab and Haryana and Haryana and Delhi to deter farmers from entering the national capital.

It is said that almost 200 farmer associations, mostly from Punjab and Haryana, are marching to Delhi, seeking a law to guarantee the minimum support price (MSP) for their produce. Some farmer groups are even demanding legislation for universal MSP, that is, every crop cultivated by the farmer should be open to procurement at the minimum support price by the government in the Centre.

What are states bordering Delhi doing?
Haryana sealed its borders with Punjab on February 8. A massive 12-layer barricade has been erected at the Shambhu Barrier on national highway 1 leading to Delhi, and multiple barricades had been set up at Fatehabad, Khanauri, Dabwali, etc. The Internet has been shut down in several districts.

Rajasthan sealed its borders with Punjab and Haryana on February 11, and imposed prohibitory orders under Section 144 CrPC in Sri Ganganagar and Hanumangarh districts.

The 2024 protest is being led by 250 farmers’ unions under the banner of the Kisan Mazdoor Morcha and the Samyukta Kisan Morcha (non-political), a platform of 150 unions.

Unlike the last time when the main demand was to repeal the farm laws which the government had accepted after nearly two years of protests, this time the farmers are demanding a host of measures from the Central government which they say are required for the financial viability of farming.

Here is what these so called Farmers are demanding this time.

However, by analyzing the demands and capital expenditure they may attract, we can say that demands are not feasible as it will cost the Centre a whopping Rs 10 lakh crore. Here it is important to note that the total value of agricultural produce in FY 20 was Rs 40 lakh crore. This included produce from dairy, farming, horticulture, livestock, and MSP crops.

Here it is important to know that Modi Govt has already included 24 Crops under MSP. For FY20 itself, total MSP procurement by Modi Sarkar was ₹2.5 Lakh Crore, that’s 6.25% of total Agricultural Produce & 25% of 24 Produces under MSP.

This is 1st part to debunk hypocrisy of Fake Farmers.

Now let’s come to next part.

Why is MSP for all Agriculture Produce is impossible. If an MSP Guarantee Law is introduced for all produce. Modi Govt will have to incur additional expenditure of at least ₹10 Lakh Crore annually every year.

This is almost Equivalent to Expenditure of ₹11.11 Lakh Crore which Modi Sarkar has set aside for infrastructure in recent interim budget. Modi Sarkar has spent ₹67 Lakh Crore on Infrastructure in last 7 Fiscal Yrs 2016-2023).

That infrastructure which builds assets for the Nation, Creates Employment & Galvanizes Economy. Now, imagine, with the MSP Guarantee demanded by these Fake Farmers, Bharat Sarkar will be forced to waste ₹70 Lakh Crore in same 7 yrs for substandard Produce, which no-one in Open Market wants to purchase. In short, ₹70 Lakh Crore Taxpayers Money going down Gutter.

Spending ₹10 Lakh Crore, annually, from budget expenditure of ₹45 Lakh Crore (FY25), is FISCAL DISASTER & will derail our fastest growing economy.

Now, tell me, where will this ₹10 Lakh Crore come from? Either funds will have to be Diverted from Infrastructure or Defence.

Is it advisable?

Other option is, Govt will have to increase revenue.

How can Govt do that?

It happens only by raising Direct & Indirect Taxes as Revenue Expenditures can’t be managed by Raising Debts. Increase in Taxes means depletion of Savings which means Less investment in Industry. So it kills Economic Development again.

And therefore understand that, MSP Guarantee Law for All Produce is only a politically motivated argument against that Modi Govt which has had an Extensive Welfare Record with Fiscal Discipline in last ten years.

Clearly, the problem is not Agricultural of Economic.

It’s purely political, attempted before the Lok Sabha elections of 2024, and backed by political parties like Congress & AAP under radar for extensive corruption.


Let this sink in!


Please enter your comment!
Please enter your name here

Related articles

Trump Assassination Attempt – US Presidential Elections will change dramatically

Donald Trump survived a weekend assassination attempt days before he is due to accept the formal Republican presidential...

PM Modi’s visit to Russia – Why West is so Worried and Disappointed?

The event of Russian President Vladimir Putin giving royal treatment to Prime Minister Narendra Modi during his two...

An open letter to Rahul Gandhi from an Armed Forces veteran

Mr Rahul Gandhi ji, Heartiest Congratulations on assuming the post of Leader of the Opposition in Parliament (LOP). This...

Shocking Win for Left Wing – What Lies ahead for France?

France's far-right National Rally was widely expected to win this snap election, but instead they were beaten into...