Skip to main content

Blast from past: How BJP followed Congress to corporatise, destroy rural economy

By Bhabani Shankar Nayak*
 In 1991, when I was 12 years old and in 8th class in my village high school, the Government of India led by the Congress Party launched new economic reform programmes. I vividly remember reading local newspapers, which carried news on the reduction of agricultural subsidies on seeds, fertilisers, electricity and irrigation. It also started dismantling the universal approach to food security and public distribution system in India.
My father who was an active farmer then and used to be the district leader of BJP (secretary of Kishan Morcha) but supported liberalisation, privatisation and globalisation policies of the Congress government in New Delhi. He argued that these policies will bring economic boom and there will be trickle-down effect on all sectors of Indian economy. The agriculture sector and farmers will benefit from such policies.
This was also the silent understanding of BJP and RSS but made piecemeal opposition to the reforms led by the Congress Party. The national and mainstream media heralded the new economic reforms as the best policy option for a powerful and developed India. The theological promise of neoliberalism is like deceptive salvation in Hindu religion.
After three decades, my village is witnessing the declining of agriculture. The new economic reforms were slow poison for the agrarian economy. The new economic policies ruined agriculture in my village. The fertiliser corporations get subsidies. The industries get water and electricity subsidies but the farmers in my village nearly abandoned agriculture as a source of their livelihood.
There are a very few farmers left in my village due to lack of availability of alternative livelihoods for them. As Modi government follows the footprints of the Congress Party in implementing more ruthless agricultural policy reforms, my father (my best friend) opposes these polices and he argues that corporatisation of agriculture will destroy agricultural economy and take away farmer’s livelihood in short run and farmer’s land in long run.
Such a transformation of my father gives me hope and shows greater transformation waiting for India in political and economic terms. The democratic debate between the father and son continues as farmers protest against an authoritarian regime led by Narendra Modi.
The Narendra Modi-led BJP government and his Hindutva henchmen are claiming that agricultural reforms are necessary to expand trade and investment in agriculture. The goal of the reform is to increase wholesale agricultural market for the growth of agricultural exports. The Modi government claims that farmers will get greater freedom within liberalised agricultural market and maximise their profit.
It would result in higher standard of living and higher quality of life for Indian farmers. It is important to burst these myths propagated by Modi and his ignorant Hindutva capitalist cronies. These claims are blatant lies and agricultural reform policies are unsustainable. The Modi led agricultural reform policies would make farmers vulnerable to market forces.
The deepening of capitalist market forces have ruined agriculture, agricultural communities, farmer’s lives and livelihoods. The market led industrial approach to agriculture drives farmers out of business and reinforces agrarian crisis which forces farmers to commit suicide.
The American farmers have become vulnerable to corporate exploitation and abuse because of similar reform policies. The liberalised agricultural policies have helped in the growth of very few corporations that controls American agriculture today. The deepening of market forces and growth of industrial agriculture led to the growth of four corporations that controls forty percent of agricultural market in USA.
It destroyed the livelihood of small and medium farmers, rural communities and swallowed family farms in America. The corporations suppressed the price of the farm produce and increased its selling price. Both American producers and consumers suffer heavily due to such agricultural transitions. It also destroyed small businesses affiliated with agriculture in US. The American farmers are fighting back and defeat corporate control over American agriculture.
The European Union (EU)’s Common Agricultural Policy (CAP) has created a system in which the large farmers and landowners in UK, France and Germany are the beneficiaries of its subsidies whereas the small farmers are marginalised. It has created a wholesale agricultural market where prices of agricultural products are different in different parts of EU member countries.
The price fluctuation within agricultural market is created by the market forces within EU and the small farmers face the crisis. The EU-led CAP has huge negative impacts of developing countries in Africa. The subsidise overproduction of food, milk and poultry is destroying local production and local markets in Africa.
The big farmers and agricultural corporations in Europe are the net beneficiaries of such agricultural policies driven by market forces. These policies ruined the rural communities and destroyed the livelihoods of small and medium farmers in Europe. Therefore, Land Workers’ Alliance is not only opposing the CAP but also demanding subsidies to small farmers and family farms in UK.
It is also strongly demanding the British government to exempt agriculture from all free trade agreements. Many European countries have also realised that industrial agriculture led by corporations destroy the environment. So, there are many social and political movements against corporate takeover of agriculture in Europe today.
Many developed countries have witnessed to the landgrab by the big corporations and big farmers with the growth of corporatisation of agriculture. The Congress Party governments have started the policies of corporate land grab in the name of Special Economic Zones (SEZs). After agricultural policy reforms, the Modi-led BJP government is planning to liberalise land laws further by which the corporates can take over land ownership from the small and medium farmers in India.
The BJP government is preparing itself to provide vast stretches of land to the capitalist cronies and friends of Narendra Modi. The corporate led industrial agriculture in India will create conditions of industrial feudalism and corporate landlordism in one hand and consumerist individualism on the other.
The corporatisation of agriculture destroys social fabric in agricultural and rural communities. The cooperative culture is converted into competitive culture that ruins rural communities with the growth of individualist consumerism. The market forces do not believe in diversification.
The market forces promote economies of standardisation which is dangerous for the diversity within Indian agriculture. Therefore, the market led industrial agriculture dominated by corporations can never be an alternative for India and Indian farmers. The Government of India need to find ways to invest in agricultural cooperatives to empower farmers and generate employment in agriculture by diversifying it.
India and Indian farmers need socially responsible, environmentally sustainable and economically rewarding agricultural policies and egalitarian land reforms to increase farmer’s income and expand market led agricultural economy, where agricultural producers can directly interact with their consumers. Such an agricultural market economy would be really open, free and fair. 
---
*University of Glasgow, UK

Comments

TRENDING

US-China truce temporary, larger trade war between two economies to continue

By Prabir Purkayastha   The Trump-Xi meeting in Busan, South Korea on 30 October 2025 may have brought about a temporary relief in the US-China trade war. But unless we see the fine print of the agreement, it is difficult to assess whether this is a temporary truce or the beginning of a real rapprochement between the two nations. The jury is still out on that one and we will wait for a better understanding of what has really been achieved in Busan.

Mergers and privatisation: The Finance Minister’s misguided banking agenda

By Thomas Franco   The Finance Minister has once again revived talk of merging two or three large public sector banks to make them globally competitive. Reports also suggest that the government is considering appointing Managing Directors in public sector banks from the private sector. Both moves would strike at the heart of India’s public banking system . Privatisation undermines the constitutional vision of social and economic justice, and such steps could lead to irreversible damage.

Buddhist shrines were 'massively destroyed' by Brahmanical rulers: Historian DN Jha

Nalanda mahavihara By Rajiv Shah  Prominent historian DN Jha, an expert in India's ancient and medieval past, in his new book , "Against the Grain: Notes on Identity, Intolerance and History", in a sharp critique of "Hindutva ideologues", who look at the ancient period of Indian history as "a golden age marked by social harmony, devoid of any religious violence", has said, "Demolition and desecration of rival religious establishments, and the appropriation of their idols, was not uncommon in India before the advent of Islam".

New RTI draft rules inspired by citizen-unfriendly, overtly bureaucratic approach

By Venkatesh Nayak* The Department of Personnel and Training , Government of India has invited comments on a new set of Draft Rules (available in English only) to implement The Right to Information Act, 2005 . The RTI Rules were last amended in 2012 after a long period of consultation with various stakeholders. The Government’s move to put the draft RTI Rules out for people’s comments and suggestions for change is a welcome continuation of the tradition of public consultation. Positive aspects of the Draft RTI Rules While 60-65% of the Draft RTI Rules repeat the content of the 2012 RTI Rules, some new aspects deserve appreciation as they clarify the manner of implementation of key provisions of the RTI Act. These are: Provisions for dealing with non-compliance of the orders and directives of the Central Information Commission (CIC) by public authorities- this was missing in the 2012 RTI Rules. Non-compliance is increasingly becoming a major problem- two of my non-compliance cases are...

Political misfires in Bihar: Reasons behind the Opposition's self-inflicted defeat

By Vidya Bhushan Rawat*  The Bihar Vidhansabha Election 2025 verdict is out. I maintained deliberate silence about the growing tribe of “social media” experts and their opinions. Lately, these do not fascinate me. Anyone forming an opinion solely on the basis of these “experts” lives in a fool’s paradise. I do not watch them, nor do I follow them on Twitter. I stayed away partly because I was not certain of a MahaGathbandhan victory, even though I wanted it. But my personal preference is not the issue here. The parties disappointed.

Shrinking settlements, fading schools: The Tibetan exile crisis in India

By Tseten Lhundup*  Since the 14th Dalai Lama fled to India in 1959, the Tibetan exile community in Dharamsala has established the Central Tibetan Administration (CTA) as the guardian of Tibetan culture and identity. Once admired for its democratic governance , educational system , and religious vitality , the exile community now faces an alarming demographic and institutional decline. 

N-power plant at Mithi Virdi: CRZ nod is arbitrary, without jurisdiction

By Krishnakant* A case-appeal has been filed against the order of the Ministry of Environment, Forest and Climate Change (MoEF&CC) and others granting CRZ clearance for establishment of intake and outfall facility for proposed 6000 MWe Nuclear Power Plant at Mithi Virdi, District Bhavnagar, Gujarat by Nuclear Power Corporation of India Limited (NPCIL) vide order in F 11-23 /2014-IA- III dated March 3, 2015. The case-appeal in the National Green Tribunal at Western Bench at Pune is filed by Shaktisinh Gohil, Sarpanch of Jasapara; Hajabhai Dihora of Mithi Virdi; Jagrutiben Gohil of Jasapara; Krishnakant and Rohit Prajapati activist of the Paryavaran Suraksha Samiti. The National Green Tribunal (NGT) has issued a notice to the MoEF&CC, Gujarat Pollution Control Board, Gujarat Coastal Zone Management Authority, Atomic Energy Regulatory Board and Nuclear Power Corporation of India Limited (NPCIL) and case is kept for hearing on August 20, 2015. Appeal No. 23 of 2015 (WZ) is filed, a...

Celebrating 125 yr old legacy of healthcare work of missionaries

Vilas Shende, director, Mure Memorial Hospital By Moin Qazi* Central India has been one of the most fertile belts for several unique experiments undertaken by missionaries in the field of education and healthcare. The result is a network of several well-known schools, colleges and hospitals that have woven themselves into the social landscape of the region. They have also become a byword for quality and affordable services delivered to all sections of the society. These institutions are characterised by committed and compassionate staff driven by the selfless pursuit of improving the well-being of society. This is the reason why the region has nursed and nurtured so many eminent people who occupy high positions in varied fields across the country as well as beyond. One of the fruits of this legacy is a more than century old iconic hospital that nestles in the heart of Nagpur city. Named as Mure Memorial Hospital after a British warrior who lost his life in a war while defending his cou...

Sardar Patel was on Nathuram Godse's hit list: Noted Marathi writer Sadanand More

Sadanand More (right) By  A  Representative In a surprise revelation, well-known Gujarati journalist Hari Desai has claimed that Nathuram Godse did not just kill Mahatma Gandhi, but also intended to kill Sardar Vallabhbhai Patel. Citing a voluminous book authored by Sadanand More, “Lokmanya to Mahatma”, Volume II, translated from Marathi into English last year, Desai says, nowadays, there is a lot of talk about conspiracy to kill Gandhi, Netaji Subhas Chandra Bose, and Shyama Prasad Mukherjee, but little is known about how the Sardar was also targeted.