While price of vegetables and food grains go hike up, middle class & lower get very tight corner. Reversely price of those go slash down cultivators and farmers commit suicide.What is this economics ?
Even when the price go up, most of the times, it is not the farmer who gets better price for his produce. The middlemen - starting from the procurer from the farmers to the ultimate street vendor load their own margins at each leg and the final price we pay for the vegetable has no relevance to the farmer's earning.
Similarly when there is a glut in production, so much of produce is available to procurers, that they dictate the price to farmers, who are hapless in this situation too. When the price of vegetables is so low, you can reduce the margins which the intermediaries would have loaded on the ultimate price and just see how much the farmer would have received for his toil
No doubt that customers procure their products at 200 % hike of the cost price.
Whereas, Farmers / Agriculturists sell their products at less than 50% of their original price.
Now it is in the hand of the Government to see that the price is maintained uniformly so as to make the country's economy as well as common man's daily bread along with agriculturists earnings are maintained in one and same level.
But the present Italian Government wherein Terrorist Chidambram, Prnab were ruling they after getting their pocket full, yields to the pressure of Ambanis, Tatas, Marans and Karunainidhis, as well as with Yadavs.
So this instability is the real problem (Core Problem) which the intellectual people will never allow to grow.
So we have to get a good government..
Pl do elect good government atleast in the next election.