04.
10.18
09:51

Anger and Rust among Indian farmers

The financial situation of Indian farmers is worsening in the face of rising production costs. Record high fuel prices and higher fertilizer costs could influence the outcome of the presidential election in May 2019.
For the farmers it could not have been worse: The prices for their products are falling because the crops are large and the equipment prices are rising.
The government of Prime Minister Narendra Modi, however, has limited opportunities to take action against this predicament. 6% higher national minimum prices prevent exports and separate India from the world market.
In 2014, Modi was elected prime minister with a large majority of the rural population. Since then, the income of the village population has fallen and support is dwindling. Modi had promised better prices to the farmers, they were missing and there are currently protests that are answered by the police with tear gas. Half of the 1.3 billion people work in agriculture. Meanwhile, many believe that the government is not aware of the problems of the rural population.
Diesel prices have already increased by 26% this year. 263 millionFarmers have a tractor that needs to be refueled with diesel. Sowing, harvesting and transporting costs ....
In addition, prices for potash and phosphate fertilizers have risen by 15% and 17% respectively since last year. A weak rupee exchange rate boosts inflation.
India is the world's second largest producer of staple foods such as rice and wheat. 90% of the required phosphorus fertilizer must be imported. Low grain prices and rising equipment costs are a double blow to Indian farmers and that is the cause of anger and frustration.

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