The Hindu Business Line : Farm incomes

In the article,`Does higher output mean better farm incomes?' (Business Line, January 12), the authors point out that higher production levels do not necessarily imply higher income for growers because the output growth may be offset by price declines.

Conversely, could lower output and higher prices bring better income for farmers? International demand, prices and production are important factors that influence prices. In several commodities, unless we increase productivity, quality, cut cost of production and reduce prices, we may not be able to compete or withstand competition from outside.

Also, if we are not able to market the excess produce, by export or otherwise, prices may decline, affecting income. Again, storage and making value-added products is another factor that affects income in the case of some farm products. These need proper infrastructure facilities and technological and marketing support. All these require investment, planning and micro-level implementation. Why not the Industry and the Government work towards this cause, without affecting the interests of the farmers?

A. Jacob Sahayam

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