What is the impact of globalization on agricultural sector in India?
Answers
Answer:
Globalization aims at integrating national economy with that of the world. Increased free and open international trade, foreign investment, technology exchange etc. are all integral to the globalised world. Globalisation had a significant impact on Indian agriculture – in many good and some bad ways.
Positive Impact of globalisation:
Economic impact: Globalisation enabled greater access to technological advancements in
agriculture, including high yield varieties, genetically modified crops (GM crops) and micro-irrigation techniques. Foreign investment in agriculture in contract farming, cold storage and food processing have helped farmers. Access to foreign markets has greatly boosted Indian agricultural exports.
Negatively Impact of globalisation:
Economic impact: Multi National Companies (MNCs) captured the Indian markets making farmers dependent on the expensive high yield seeds and fertilizers. Attraction of global market resulted in farmers shifting from traditional or mixed cropping to unsustainable cropping practices. The competition from cheaper imports pushed down the prices of crops like cotton, wheat etc making agriculture unsustainable for many farmers.