Farm reform reversal deterrent to investment

Fierce protest: A farmer fertilises crops on a farm in Madhya Pradesh. India, giving in to its powerful farm lobby, has shelved its most ambitious agriculture overhaul in decades. ― Bloomberg

NEW DELHI: India’s repeal of agriculture laws aimed at deregulating produce markets will starve its vast farm sector of much-needed private investment and saddle the government with budget-sapping subsidies for years, economists say.

Late last year, prime minister Narendra Modi’s government introduced three laws meant to open up agriculture markets to companies and attract private investment, triggering India’s longest-running protest by farmers who said the reforms would allow corporations to exploit them.