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Switching over to Organic Cultivation and Its Impact on Living Wage and Employment in the Agricultural Labour Market

Listed author(s):
  • Amit, Kundu

The export performance of Indian agricultural commodities in the post WTO agreement on agriculture is not encouraging. Substantial increase of cost of farming due to steep increase of prices of chemical fertilizers, pesticides and seeds gradually make farming as non-profitable. This also reduces employment generation in agricultural sector. High improper use of chemical fertilizers and pesticides during the time of cultivation also creates different health hazards among the agricultural labourers. In this situation, this paper suggests that switching over to organic cultivation will be beneficial for both the farmer and agricultural labourers. As India is now enjoying few comparative advantages in exporting organic agricultural commodities, cultivation through organic method with bio-pesticides can help the Indian farmers to penetrate in vast global market mainly in developed countries and can sell the product at premium price. The organic cultivation will also give sufficient health security to the employed agricultural labourers, which is an important part of social security of these unorganized workers. Switching over to organic cultivation, will help the farmers cum employers to offer lower living wage to each employed labourers without violating social security norm of these unorganized workers and can generate sufficient employment in the agricultural labour market which ultimately will increase further if the developed countries following WTO agreement reduces tariff rates at the time of importing organic food products

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 25557.

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Date of creation: 20 Apr 2009
Publication status: Published in Modern Indian Economy: Essays in Honour of A .Ghosh; Deep and Deep Publication, New Delhi, India Modern Indian Economy: Essays in Honour of A .Ghosh; Deep and Deep Publication, New Delhi, India.Modern(2010): pp. 398-413
Handle: RePEc:pra:mprapa:25557
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  1. Bliss, Christopher & Stern, Nicholas, 1978. "Productivity, wages and nutrition : Part I: the theory," Journal of Development Economics, Elsevier, vol. 5(4), pages 331-362, December.
  2. Pitt, Mark M & Rosenzweig, Mark R & Hassan, Md Nazmul, 1990. "Productivity, Health, and Inequality in the Intrahousehold Distribution of Food in Low-Income Countries," American Economic Review, American Economic Association, vol. 80(5), pages 1139-1156, December.
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