What is Commercialization of Agriculture?
Commercialisation of agriculture is a phenomenon where agriculture is
governed by commercial consideration i.e. certain specialised crops began to
be grown not for consumption in village but for sale in national and even in
international market.
Commercialization of agriculture in India began during the British rule.
Revolutionary changes had occurred in the agrarian property relations towards
the end of the 18th century. The commercialization of Indian agriculture
started post 1813 when the industrial revolution in England gained pace.
Commercialization of agriculture became prominent around 1860 A.D (during
American Civil War which boosted demand of Cotton from India to Britain as
Aerica was not able to export Cotton).
The commercialization of Indian Agriculture took place not to feed the
industries of India because India was far behind in industrial development as
compared to Britain, France, Belgium and many other European countries of
eighteenth century.
The commercialization of Indian Agriculture was done primarily to feed the
British industries that it was taken up and achieved only in cases-of those
agricultural products which were either needed by the British industries or
could fetch cash commercial gain to the British in the European or American
market.
For example, several efforts were made to increase the production of cotton
in India to provide raw and good quality cotton to the cotton-textile
industries of Britain which were growing fast after the Industrial Revolution
in Britain. Therefore, cotton growing area increase in India and its production
increased manifold with gradual lapse of time. Indigo and more than that, tea
and coffee plantation were encouraged in India because these could get
commercial market abroad.
Most of the plantations for commercial crops were controlled by the English.
Jute was another product that received attention of the English company because
the jute made products got a ready market in America and Europe.
Cash transactions become the basis of exchange and largely replaced the
barter system.
How Commercialization of Agriculture Happened?
The commercialization of India agriculture was initiated in India by the
British through their direct and indirect policies and activities.
The new land tenure system introduced in form of permanent settlement and
Ryotwari Settlement had made agricultural land a freely exchangeable commodity.
The Permanent settlement by giving ownership right to the zamindars created
a class of wealthy landlords; they could make use of this ownership right by
sale or purchase of land. Further, the agriculture which had been way of life
rather than a business enterprise now began to be practiced for sale in
national and international market.
Moreover, crops like cotton, jute, sugarcane, ground nuts, tobacco etc.
which had a high demand in the market were increasingly cultivated. The
beginning of the plantation crops like Tea, coffee, rubber, indigo etc heralded
a new era in agricultural practices in India. These were essentially meant for
markets and thus commercialization of agriculture took to new heights with the
expansion of the British rule.
The commercialization of agriculture was a forced and artificial process
for the majority of Indian peasants. It was introduced under coercion of the
British and not out of the incentive of peasantry at large. The peasantry went
for cultivation of commercial crops under duress. He had to pay the land
revenue due to the British government in time. Moreover, he had to grow
commercial crop on a specified tract of his land under the oppression of
planters.
What Caused Commercialization of Agriculture in India during British?
A large number of factors encouraged and facilitated commercialization of
Indian agriculture. The political unity established by the British and the
resultant rise of the unified national market was an important factor. Further,
the spread of money economy replaced the barter and agricultural goods became
market items.
The chief factor was the colonial subjugation of India under the British
rule. India was reduced to the supplier of raw materials and food grains to
Britain and importer of British manufactured goods. Many commercial crops like,
cotton, jute, tea, tobacco were introduced to meet the demand in Britain.
The replacement of custom and tradition by competition and contract also
led to the commercialization of Indian agriculture
Better means of communication (equipped with rapid development of railways
and shipping) made trade in agricultural products feasible, especially over
long distances. The emergence of grain merchants was a natural adjunct to this
and greatly facilitated agricultural trade.
Monetization of land revenue payments was another important casual factor
for agricultural commercialization.
Another boosting factor for commercialization of agriculture in India was
the gaining of speed of Industrial Revolution in England. This led to factor in
commercialization as more and more agricultural goods were produced to satisfy
the demand for raw materials by the British industries.
The enlargement and expansion of international trade and the entry of
British finance capital also belted commercialization of agriculture.
Increasing demand for some of the commercial crops in other foreign
countries gave impetus to commercialization of agriculture.
The American Civil War also indirectly encouraged commercialization of
agriculture in India: the British cotton demand was diverted to India. The
demand of cotton was maintained even after the civil war ceased because of the
rise of cotton textile industries in India.
British policy of one way free trade also acted as sufficient encouraging
factor for commercialization as the manufactured items in textile, jute etc
could find free entry in Indian markets, where as the manufactured goods did
not have similar free access to European markets.
The peasants went in for growing commercial crops to pay back the interests
due to money lenders in time.
What was Impact of Commercialization of Agriculture?
Normally speaking, it should have acted as a catalyst in increasing
agricultural productivity. But, in reality this did not happen due to poor
agricultural organization, obsolete technology, and lack of resources among
most peasants. It was only the rich farmers; who benefited and this in turn,
accentuated inequalities of income in the rural society.
The commercialization of agriculture beneficial to the British planters,
traders and manufacturers, who were provided with opportunity to make huge
profits by getting the commercialized agricultural products at, throw away
prices. The commercialization of Indian agriculture also partly benefited
Indian traders and money lenders who made huge fortunes by working as middlemen
for the British.
The poor peasant was forced to sell his produce just after harvest at
whatever prices he could get as he had to meet in time the demands of the
government, the landlord, the money lender and his family members’
requirements. This placed him at the money of the grain merchant, who was in a
position to dictate terms and who purchased his produced at much less than the
market price. Thus, a large share of the benefit of the growing trade in
agricultural products was reaped by the merchant, who was very often also the
village money lender.
Indian money lenders advanced Cash advances to the farmers to cultivate the
commercial crops and if the peasants failed to pay him back in time, the land
of peasants came under ownership of moneylenders.
Most of the Indian people suffered miserably due to the British policy of
commercialization of Indian agriculture. It resulted in reduced area under
cultivation of food crops due to the substitution of commercial non-food grains
in place of food grains. Between 1893-94 to 1945-46, the production of
commercial crops increased by 85 percent and that of food crops fell by 7
percent. This had a devastating effect on the rural economy and often took the
shape of famines. The misery was further enhanced became the population of
India was increasing every year, fragmentation of land was taking place because
of the increasing pressure on land and modern techniques of agricultural
production were not introduced in India. Thus, the commercialization of
agriculture in India by the British was also one of the important causes of the
impoverishment of the Indian people.
Commercialization of agriculture did not encouraged growth of land market
because major profit of commercialisation went to company traders and
mediators.
Regional specialization of crop production based on climatic conditions,
soil etc., was an outcome of the commercial revolution in agriculture. Deccan
districts of Bombay presidency grew cotton, Bengal grew jute and Indigo, Bihar
grew opium, Assam grew tea, Punjab grew wheat, etc.
Another important consequence of the commercial revolution in agriculture
was linking of the agricultural sector to the world market. Price movements and
business fluctuations in the world markets began to affect the fortunes of the
Indian farmer to a degree that it had never done before. The farmer in his
choice of crops attached greater importance to market demand and price than his
home needs. The peasant class got adversely affected owing to imbalances in
market condition.
Commercialization of agriculture adversely affected self sufficiency of village
economy and acted as major factor in bringing the declining state in rural
economy.
Commercialisation effected traditional relations between agriculture and
industry. In India, traditional relations acted as factors for each other’s
development which were hampered.
Commercialization of agriculture indicated a commercial revolution. But
this was devoid of any support from any technological revolution. Owing to
true the healthy benefits which agriculture and associated fields would have
enjoyed were lacking.
The commercialization of agriculture had mixed effects. While it assisted
the industrial revolution in Britain, it broke the economic self-sufficiency of
villages in India. The commercialization of agriculture was a new phenomenon in
Indian agriculture scene introduced by the British. While the upper class and British
industries benefited-from it, the Indian peasants’ life was tied to remote
international market. The worst effect of commercialization was the oppression
of Indian peasants at hands of European. This found expression in the famous
Indigo revolt in 1859. Moreover, commercialization of Indian agriculture got
manifested in series of famines which took a heavy toll of life.
Positive Impacts of Commercialization of Agriculture:
In spite of having many negative effect commercializations in one sense was
progressive event. Commercialisation encouraged social exchange and it made
possible the transformation of Indian economy into capitalistic form.
Commercialisation linked India with world economy. It led to the growth of
high level social and economic system. The important contribution of
commercialisation reflected in integration of economy. It also created a base
for growth of national economy commercialisation of agriculture led to growth
of national agriculture and agricultural problem acquired national form.
It also brought about regional specialization of crops on an efficient
basis.
No comments:
Post a Comment