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Abstract
The paper seeks to address the issue of subsidisation of Indian farmers. It is found that input subsidies
as percentage of the value of agricultural output have declined in the recent years. In terms of product
specific support, Indian agriculture has been heavily net taxed. The product-specific support has in way of
nullifying the inputs subsidies. As a result, the aggregate measurement of support for Indian agriculture
has been negative since 2007-2009. It indicates that benefits of input subsidies have totally passed either
on to the consumers or on to input supplying agencies. To reduce the burden of input subsidies in the
government budget, India needs to enhance the efficiency of input supplying agencies.