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Unrestricted import of agri products: Farmer leaders raise questions over India-US trade deal, threaten mass protests

“If taken forward, the deal will be a betrayal of Indian farmers,” Swabhimani Shetkari Sanghatana president Raju Shetti wrote in a letter to the Prime Minister’s Office.

farmers"The one-time financial package is not the solution," said farmer activist Kishore Tiwari. (File photo)

Farmer organisations in Maharashtra have raised an alarm and threatened mass protests if the Central government allows unrestricted import of agriculture products under the Indo-US trade deal. Amid the ongoing debate, they also invoked M S Swaminathan’s recommendation for a livelihood box in the international trade agreements to safeguard the interests of small and marginal farmers with India taking the lead in development nations.

In a letter to the Prime Minister’s Office (PMO), Swabhimani Shetkari Sanghatana president Raju Shetti wrote, “We have been informed that India and US have signed a 500-billon dollar trade deal which allows import of agricultural products at zero interest. If taken forward, the deal will be a betrayal of Indian farmers as the country will be flooded with imports such as soybean, corn, milk products and others from the US.”

Explaining the objective of opposing the deal, Shetti told Indian Express, “If you open the doors for agriculture products, it will be detrimental for the farmers as they will not be able to withstand the competition from the advanced agriculture sector in the US.” Apart from genetically modified seeds which they use, the mass scale production of crops and regulatory mechanism to stabilise their agriculture markets along with cost effectiveness give them an extra edge.

Citing an example to show the disparity, he said, “A soybean farmer in the US produces 35 to 40 quintal per hectare as compared to ten to 15 quintal per hectare in our country. Similarly, in cotton, a US farmer’s yield is 40 to 49 quintal per hectare compared to our 8 to 15 quintal/hectare. In maize, they produce 110 to 120 quintai/hectare vis-a-vis our farmer at 35 to 40 quintal/hectare.

Apart from that, the import from the US will be interest-free and export at 18 per cent. Where is the level playing field? How will farmers withstand the competition financially? he asked.

“If the government fails to protect the agriculture sector, we will take to streets across Maharashtra and the country. The farmers groups will have to unite and take up the cause of the farmers,” he said.

With small and marginal farmers accounting for 78 per cent of the total population of 1.5 crore farmers in Maharashtra, a Vidarbha-based farmer leader Vijay Jawandhia said, “The agriculture sector will be completely devastated if trade deals are enforced. Unlike the developed countries which have green and blue boxes to protect their farmers, developing nations including India have failed to push for a similar mechanism through the livelihood box. The noted agriculture scientist in his report two decades ago had recommended India should represent the developing nations and propose a livelihood box at the WTO to protect the interests of small and marginal farmers.

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Unfortunately, our government has not pursued it. Had there been such provision we would have had a regulatory method to tackle uncontrolled imports that threaten the farmers livelihood.”

He pointed out, “Even now, the basic minimum support price (MSP) which was recommended by M S Swaminathan as mandatory to ensure farmers recover their investment expenditure has remained on paper.”

Despite satisfying yield, farmers had to sell their soyabean crop at Rs 1,000 per quintal below the MSP Rs 5,328 /quintal and cotton also at Rs 6,000/quintal against MSP at Rs 7,710/quintal, he added.

Farmer activist Kishore Tiwari warns of serious implications of Indo-US trade deal especially in Vidarbha and Marathwada where cases of farm suicides are higher compared to rest of Maharashtra. Tiwari said, “Soyabean and Cotton are the main cash crops in Vidarbha and Marathwada region for the majority small and marginal farmers. If you allow unrestricted import of these two crops, farmers will be further pushed into financial debt and distress.” Every year, on an average, 4,000 to 4,500 farmers die in Maharashtra because of the agriculture crisis. Majority of these cases are from Vidarbha, Marathwada region which is still reeling under regional imbalance and lacks necessary infrastructure and financial support to farmers.

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While acknowledging successive governments (2014 to 2026) have given farm loan waivers, Tiwari pointed out, “The one-time financial package is not the solution. It will require sustained support both in terms of logistics and finances.”

Echoing similar sentiments, Jawandhia argued, “In the most developed country like the US, farmers get massive subsidies on agriculture. With advanced technology, higher crop yield and large land parcels, US farmers still depend on government subsidies for farming.”

“Whereas our government approach is to curtail subsidies as done in the fertilizer sector. Under PMKSY, farmers have been receiving Rs 6,000 annually. Now, this scheme was implemented in 2019. Why have they not increased the allowances,” he asked.

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