Inclusive
and Sustainable Growth of Rural Economy
Augmenting
farm income through innovative agricultural practices is the key to inclusive
development in rural sector. The concept of inclusive growth came into being
with the launch of the eleventh five year plan. It is a critical aspect
determining the sustainability of future agricultural growth in India.
Some
of the researchers who link advancements in agriculture to an inclusive and
sustainable growth opine as follows:
According
to Richard (2004) , agriculture growth and
rural development had a
significant potential to achieve
inclusive growth among the Asian countries.
Hasan and Quibria
(2004) believed that
rural poverty was a common
phenomena countries where agriculture was
the main source of
livelihood. Hence the growth of the
agrarian sector was the
key to poverty reduction
and inclusive growth. This would reduce rural
poverty by increasing productivity
and incomes. According to OECD (2006), agriculture
connects economic growth and the rural poor.
Sharma et al., (2010) believed that an inclusive
growth was essential to develop agriculture on sustainable manner by reducing
disguised unemployment in
the farm sector
in the way
of shifting labor to the non-farm
sector and increasing
average size of
land holding. This would result in an increase in marginal
productivity of labour.
Hence,
the focus of concern was to engage the farmers in allied areas of agriculture.
Now-a- days, farmers are engaged in floriculture, honeybee breeding etc.
Birthal et
al., (2012) supported the above
view when they proposed that diversification of agriculture
through livestock production would
accelerate the agriculture
growth and it
provide livelihood support
to the small
and marginal land holders.
Agriculture growth and
rising farmers income
was an important aspect
for inclusive growth in
agriculture sector.
However,
economic growth scenarios
of India as
well as the
major growing states
have not been successful in
combining growth with
equity and making
growth inclusive. The
trickle-down process of growth
has eluded sectors such as
agriculture where labour
is concentrated (Bhalla, 2008). Rao
(2009) observed that regional
disparity, rising income
inequality, inequality of
land holdings and
high dependency of workforce
were important obstacle
for inclusive growth
in agriculture or
equitable development in the all sectors of the economy.
Perhaps
the first step in this direction would be to educate the farmers towards
adoption of latest techniques and good agricultural practices.
Initiatives
by the Central and State governments in this regard must adopt a multipronged approach.
Water, roads and cold storage facilities are essential prerequisites for a good
crop. Thereafter its distribution through a proper channel would ensure a good
return to the farmers. These facilities would empower the farmers.
The
third is the presence of an enforcement mechanism to oversee the smooth
functioning of the entire production and distribution system. This may include
a technical support system in the form of extension facilities from the
Agricultural Universities. The gram panchayats
would resolve the legal issues and conflicts of interest at the grass root
level. These two bodies are already in place and functioning effectively.
However a monitoring body from the state government could carry out random
checks to ensure that there is no mismanagement of funds at this level and that
the timelines are being adhered to. This
mechanism should also include a grievance redressal and counseling centre for
the farmers.
Hence
this cycle comprising of three Es, namely, educate, empower and enforce would certainly
lead to an inclusive and sustainable growth of the rural economy and the aim of
doubling farmers income as envisioned by honorable PM Narendra Modi would soon be realized.
Ms Suchitra Srivastava
Associate Professor
Department of Management Studies
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