Implementation and Impact of MGNREGA on Agriculture Produces Cost - A Case Study of Sagar District

Abstract

Any thing to be written about Indian economy starts with a cliche statement of India being agriculture based economy with majority the people living on this sector. These remains to true in spite the increasing industrial sector. Agriculture sector has a paramount importance in our economy an their for almost all the plans and scheme are central states governments are devoted towards the agriculture sector after the independence, the government of India adopted planned, process of economic development in which all aviation of poverty and establishing equality having being the guiding principle. In the last year several schemes and programmed have been introduced and implemented in rural areas of the country. MNREGA is the one of the major programme since independence, designed and implemented in a special manner. The process of MNREGA distinguish wishes from other wages employment programmed and also constitutes its biggest challenge, special in if wage sequencers are not littering are not organize. The programme initiated in the year 2006-07 with a budget provision of 11300.00 crore and this spending is increase up to 37548.78 crore up to 2011-12 1227.50 lakh households issue job card in the year 2011-12 under MGNREGA and the average fund utilization in the scheme is 90%.The special provisions of this programme is undoubtedly helping the rural poor specially the women to provide 100% guaranteed employment but this major social sector programme is affecting adversely to the agriculture sector specially to the ability of the labour and increasing the labour cost of production. The proposed study is planning to analyze the issue of increasing labour cost due to the MGNREGA effect. The area selected for the study is Sagar district of Madhya Pradesh, Saga district is a district of Bundelkhand, which is an industrial backward area up to the last few years and therefore, agriculture is a main occupation is the district. MGNREGA implicated in the district from 2007 programme in Sagar district 363756 total job cards issued in the district 2013. It ravens that this programmed is implementing in the district is influencing the agriculture sector too. Agriculture is a special occupation in which the sealing price of agriculture produce is not decided by the normal method that is i.e. cost profit method. Farmers sale there produce at a market price on the one day when he reach the Mandy for sale of his produce. The price realize is not related with his production cost in this condition if the cost of production is increasing cost of inputs but also by the schemes like MGNREGA then this problems multiply. The proposed study is a plan to understand and analysis this issue and suggests the corrective majors to protect the agriculture sectors form the adverse effect from such MGNREGA programme.