From the breadbasket of India, Punjab has become a basket-case economy.
- Endowed with ample water and good soil, Punjab’s happy, progressive people had a dream that is now a distant memory.
- The Centre’s policies aimed at increasing food production to ensure an adequate supply of grain, coupled with export restrictions, have taken a toll.
In the early years of development government focussed on trickled
down theory based on experiences of USA and other western countries.
- However, the expected progression of Punjab from agricultural economy to industrial powerhouse to service-sector leader never took place.
- Food processing, essential for agricultural prosperity, never bloomed — for instance, Punjab exports wheat but imports wheat flour.
- Till such time as off-farm jobs aren’t created, discontent is going to rise.
Reasons
It’s not right to blame GR for the whole mess — there’s more to it than that.
Research:- Starved of state government funds, PAU has witnessed decreasing faculty strength and new research has completely ceased in the last decade.
- The state government imposes high taxes on the purchase of foodgrain by FCI. If just 5 per cent of this were provided to the PAU, it would help its revival.
- But political expediency takes precedence over vision and foresight to dis-incentivise the monoculture of wheat and rice
- Punjab is suffocating from its estimated 6,00,000-plus tractors.
- Tractor-ownership is viable only if they are operated for over 900 hours per year. In contrast, average farm-use in Punjab is possibly half this figure.
- As a result, once a farmer buys a tractor, he works for the bank for life to repay the loan and interest.
- Over exploitation of groundwater because of the free power provided to farmers has resulted in the water table falling to dangerously low levels.
- The cost of drawing water from greater depths is causing more indebtedness among farmers.
- Urea is sold at one-fourth the price of table salt today.
- But the excessive use of cheap urea destroys the soil and leads to more plant vegetative growth.
- An explosion of insect and pest populations is then inevitable.
- Indiscriminate, unregulated sale of pesticides and spurious products is leading to an ecological disaster.
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