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[Dec 2007, Volume 4 Quarterly Issue] Pdf File size - The IIPM Think ...

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D.M.Diwakar,<br />

Professor of Economics<br />

Giri Institute of Development Studies<br />

(GIDS), Lucknow<br />

Inclusive Growth In India: A Case Of<br />

Structural And Agrarian Challenges<br />

"To forget how to dig the<br />

earth and tend the soil is to<br />

forget ourselves."<br />

-Mahatma Gandhi<br />

Measures of economic reforms<br />

in India were expected to<br />

deliver goods and services to<br />

attain higher growth rate of the economy<br />

and provide better employability to accommodate<br />

underemployed, unemployed<br />

and marginalized sections of the<br />

society into mainstream of development.<br />

But realisations over the years have not<br />

been in conformity with the expectations.<br />

<strong>The</strong>re is common agreement<br />

among the experts across the board that<br />

economy has attained higher growth<br />

rates but reforms measures are yet to<br />

prove effective towards distributive justice<br />

with higher growth. Latest Human<br />

Development Report indicates further<br />

sliding down to the rank of 128. Indian<br />

agriculture irrespective of the <strong>size</strong> of<br />

holdings, which is mainstay for majority<br />

of the masses, has been experiencing<br />

worst forms of crises culminated and<br />

manifested in starvation and tragic suicides<br />

of its producers, who have been<br />

feeding the nation. Besides unregistered<br />

starvation in backward regions in absence<br />

of employment at least at subsistence<br />

level, even diversified and prosperous<br />

agriculture of Punjab, petty cotton<br />

growers of Maharashtra, Andhra and<br />

Karnataka are also not spared from this<br />

trap. Expert Group on agrarian crisis<br />

underlines suicides as a disturbing symptom<br />

of deep-rooted crises that Indian<br />

agriculture has been confronting. Broadly<br />

two dimensions of agrarian crises –<br />

low growth with declining productivity<br />

and high dependence of population on<br />

lower farm income have been the root<br />

causes. Reflecting a little further stagnation,<br />

increasing risk in production and<br />

marketing, collapse of the extension<br />

system, growing institutional vacuum,<br />

and the lack of alternative livelihood<br />

opportunities, etc., are inter alia main<br />

factors behind agrarian crisis (Radhakrishna,<br />

<strong>2007</strong>).<br />

Challenges of the syndrome of fatigue<br />

at the front of technology, institution,<br />

policy and governance (Narayanamoorthy,<br />

<strong>2007</strong>; Behera and Mishra, <strong>2007</strong>)<br />

have been debated at length. Mounting<br />

52 THE <strong>IIPM</strong> THINK TANK

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