what are the impacts of globalisation on Indian agriculture
Answers
Indian agricultural has suffered adverse from impact of globalization the impacts are: Agricultural land has been taken or encroached for development of industries because of globalization the competition in agriculture sector has increase.
Answer:
India entered in the process of globalization by 1991, when there was a severe economic crisis in the country. To overcome the economic crises, India approached the International Monetary Fund for financial assistance. IMF granted such assistance on the condition to make some structural changes and reforms in Indian Economy. In 1994, 124 countries along with India were signed Dankel Proposal, giving the final pass to proposal World Trade Organization was established in January 1995. The member countries involved themselves in globalization through WTO. These reforms and changes can be broadly classified into three areas: Liberalization, privatization and globalization (LPG). It includes withdrawal of government control of the market, privatize public sector organizations and reduce export subsidies and import barriers to enable free trade. India signed GATT too and opens up its economy to the world market. Initially this process was restrained by the barriers to trade and investment but after liberalizing it, the pace of globalization has speeded up. As India is the country which is known as agrarian economy, it is essential to know that how agricultural sector in the country is connected to this process. Initially the World Trade Agreement of 1994 brought agriculture within its policy framework. The obligations and disciplines incorporated in the agreement which seek to reform trade in agriculture and provide the basis for market-oriented policies on agriculture, relate to the aspects of market access, domestic support, export competition/subsidies, and Trade Related Intellectual Property Rights (TRIPS). Some agreements are made for the simplicity in international dealings. Liberalization created an unprecedented demand in all sectors of trade including agriculture. This demanded pragmatism on the part of Indian Government. With globalization making headway everywhere, Government had to introduce reforms in agricultural sector too. Reforms in agricultural policies were felt necessary for achieving trade liberalization in the agricultural sector
General consequences of globalization on Indian agriculture-
With the operationalisation of the provisions of the World Trade Organisation, the process of globalization commenced in the major parts of the world. There has always been an air of confusion among the members and non-members of the WTO in assessing the pros and cons of globalization on the health of their economy. The sector which has created the highest number of deliberations in the WTO as well as views and counterviews has been the agriculture, an area of utmost concern for the developed and the developing world alike. India is no exception to it. Better say it has been among few countries in the world spear-heading the campaign against the biased provisions of the WTO concerning agriculture.