Research paper

Abstract

This paper provides a critical insight into the different factors responsible for indebtedness and feelings of distress among farmers in India. Natural factors (drought, cyclones and floods), along with institutional factors (inputs, credit, markets, etc), contribute to the capital dependence of farmers. The situation of small, marginal and large-scale farmers is discussed. After elaborating on the existing conditions, the authors suggest measures that could be taken by government and offer recommendations for overcoming the crisis, such as forming farmers’ groups, reducing input costs by adopting non-pesticidal management, rectifying market anomalies and providing counselling and confidence-building measures in distress ‘hot spots’.