31 Dec

India Food Price Rise: Revisiting on New Year eve 2010

The Year that I am writing in is just on the corner to end and the new year is ready to gear-in. There are numerous lessons learnt and lot of thoughts on how to make the coming years better.

Just a few days back I was back to my home country “India” and I was very much disturbed by the rising prices of the food items hence making the life of not even poor but even the middle class a real challenge. Since the advent of this Globalization the prices have really sky-rocketed. India surely has benefited from this globalization but the benefit has only gone to the minority and that too at a cost of sky-high prices of all food items.

During the same time I got a lot of chances to go and live in the country side and have interaction with the farmers. The farmers complained low income potential in agriculture which was a shock to me. I was expecting that they must be the most privileged after looking at the prices in the market. The existence of the age-old mal-practice that the farmer still gets the same old prices for his crop and all the money is made by the traders  came into limelight in all such discussions. For a cabbage that the farmer still sells for 1.5-2 Rs/Kg is sold at more than 10 Rs/Kg in the markets etc.

The worst part to the whole problem is that the Government is still not doing enough to control this. The biggest challenge for the Indian Government should be to control the inflation and bring it down. The cabinet needs to understand that the masses in India don’t need cheap automobiles but food items at cheap prices. Hope someone is listening………

I would recommend a very nice article by Arindam Chaudhuri.