India's agriculture export-import policies are tilted more towards the consumers rather than the farmers. In light of the given statement, critically analyze the impact of import and export policies on farmers. What measures can be undertaken to shield farmers from import-export price shocks?

biased Policies

• MEP imposition (Minimum Export Price)
• Export Bans on onion, Rice, etc. to improve domestic availability
• Intense norms under Essential commodities Act, 1955
• Use of trade policies to curtail domestic food inflation (Poor choice of instrument)

Impact of Such Policies:

→ Farmers

1. Poor price realization
2. Debt trap (as high input cost)
3. Poor incentive to grow HVCs (High value crops)
4. Poor Agri Diversification.

→ India as a Exporter

1. -vely hurts our image as a reliable partner.
2. may poorly impact our trade ties with UAE, etc. (middle East is a major farm Importer)
3. Long Run : Failure of Agri-Export Policy, 2018

→ Miscellaneous

1. curtailing free markets
2. wrong choice of instruments

measures Required :

1. Creating suitable storage capabilities domestically.

2. This would allow us to release shortage fooditems & curb farm inflation.

3. Public Private P'ship → Cold storage devt → R&D grants to improve capacity of godowns.

4. AI : to predict shortage, global & local price movements etc

Agri. Export Policy, 2018 stresses greatly upon providing stability & credibility to Agri Exports of India.