In the September of 2020, amidst the height of the COVID-19 pandemic and unemployment crisis, the government of India passed three labor reforms through the parliament without consultation. These reforms most notably deregulated the agricultural markets that more than half of India’s 1.3 billion people depend on. Despite the nation leading the number of coronavirus cases outside of the U.S, a quarter of a million workers have converged on the capital Delhi to protest the new laws, making history as the largest strike organized. While Narendra Modi’s government has defended the laws citing autonomy, it will allow farmers to set prices for their crops and sell directly to private businesses. The reforms implicate a much darker fate for the farmers impacted.
Since the 1960s, the Indian government has arranged a guaranteed set price of certain crops for farmers, allowing them to make investments for the next crop cycle. Additionally, there were restrictions on who could make purchases at auctions and prices were capped for essential commodities. In the last few decades, India has transformed into a major food supplier. Nowadays, India produces 68% of the world’s spices and is the leading exporter of Basmati rice. Moreover, the country has surpassed China in production of cotton and is second in fruit and vegetable production. Despite their great efforts, as many as 80% of the farmers do not receive the minimum promised support from the government.
With the new reforms, Modi aims to increase market competition by allowing farmers to sell to anyone at any price to increase the efficiency of the farming sector, that contributes 16% to the GDP despite making up 60% of the nation’s workforce. However, the laws no longer restrict corporations from buying land and hoarding commodities above a certain amount. This proposal creates opportunities for private corporations to exploit the agricultural sector by driving down prices, putting small farmers out of work, having them lose their livelihoods. The reforms have arguably reversed progress for worker protection and rights.
According to a Hindustan Times analysis report, from 2018-19, the average Indian farmer earned 10,329 Rupees per month. At the same time, over 20,000 farmers committed suicide. In the midst of the pandemic, unemployment has risen to 27% in addition to studies showing that three fourths of the rural population cannot afford nutritious meals with their wage. Meanwhile, since the lockdown commenced in March, Indian billionaires have accumulated 35% more of their substantial wealth. The wealth disparity has sparked controversy about the gap that separates the workforce from the elite few.
Demonstrators at the Ghazipur border have set up a ‘Neki ki deewar’ [wall of goodness] where the protestors can write their needs on a wall of brick and mortar to provide the opportunity for people to donate what is needed. The farmers have shown strong solidarity and unanimously rejected the government’s proposal to amend the laws. Since the protests have begun, their demand has been complete revocation of the three laws instead of amendments. While one could argue that the intent behind the reforms were not malicious, it remains that they were passed without any consultation with the farmers and leaves them fighting a battle they cannot win.
MLA citations:
• Dispatch, Peoples. “250 Million Indian Workers and Farmers Strike, Breaking
World Record.” People’s World, 3 Dec. 2020, www.peoplesworld.org/article/250-
million-indian-workers-and-farmers-strike-breaking-world-record/.
• Ebrahimji, Alisha. “Thousands of People Are Protesting with Farmers in India.
This Is Why You Should Care.” CNN, Cable News Network, 12 Dec. 2020,
www.cnn.com/2020/12/11/world/farmer-protests-india-protests-hnk-
trnd/index.html.
• Kuchay, Bilal. “Indian Farmers Reject New Proposals, Threaten to Step up
Protests.” Agriculture News | Al Jazeera, Al Jazeera, 9 Dec. 2020,
www.aljazeera.com/news/2020/12/9/indian-farmers-reject-new-proposals-
threaten-to-step-up-protests.
• Perrigo, Billy. “India Farmer Protests: What to Know.” Time, Time, 8 Dec. 2020,
time.com/5918967/india-farmer-protests/.
• “Indian Farmers Lead Historic Strike & Protests Against Narendra Modi,
Neoliberalism & Inequality.” Democracy Now!, 3 Dec. 2020,
www.democracynow.org/2020/12/3/india_protests_modi_neoliberal_reforms.
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