5) Discuss the significance of NABARD’S All India Rural financial inclusion survey and examine what it tells us about the dream of doubling farmer’s income by 2022?(250 words)

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Topic– Indian Agriculture – Issues

5) Discuss the significance of NABARD’S All India Rural financial inclusion survey and examine what it tells us about the dream of doubling farmer’s income by 2022?(250 words)

Indian express

Why this question

NAFIS survey provides very important insights into farmers income levels and considering the importance accorded to doubling farmers income, is quite important for mains.

Key demand of the question

The question expects us to discuss why NAFIS survey is significant, the insights it offers us into the levels of farmers income in the country. In the second part of the question, we need to analyze the findings and discuss whether achieving the dream of doubling farmer’s income by 2022 is possible, and ways to achieve it.

Directive word

Discuss – here the significance of the survey and the key findings of the survey are to be mentioned.

Examine – When you are asked to examine, you have to probe deeper into the topic,  get into details, and find out the causes or implications if any .

Structure of the answer

Introduction – Explain what the survey is and what it does. Mention that it combines the strengths of the NSSO’s Situation Assessment Survey (SAS) and RBI’s All India Debt and Investment Survey.

Body

  • Explain the significance of the survey in terms of what it is trying to achieve and the gap it fills. Also mention why a survey on farmer’s income is critical
  • Discuss the methodology and key findings of the survey –
    • NAFIS estimates that an average Indian farming household earned Rs 8,931/month (Rs 1,07,172/year) in agriculture year 2015-16. This is up from Rs 2,115 earned in 2002-03 as per the NSSO’s SAS, implying a compounded annual growth rate (CAGR) of about 12 per cent in nominal terms and 3.7 per cent in real terms (2015-16 base) in 13 years. Mention the caveats
    • The survey also estimates income of non-agri rural HH at Rs 7,269/month, more than half of which comes from working as wage labourers.
    • The pie of where the income is coming from
  • Examine in light of Dalwai committee recommendations, what the survey tells us about our dream of doubling farmer’s income. Discuss the recommendations of Dalwai Committee in light of data got from the survey, how the dream can be achieved

Conclusion – Give your view on what can be drawn from the survey and the way forward for doubling farmer’s income by 2022.