Agri startups
Friday, June 6th, 2008http://www.scholarshipsinindia.com/agriculture.html
The above URL gives the supposedly complete list of Agricultural colleges/universities in India. It’s less than hundred as one can see.
This is the maximum possible educated manpower that is provided to a sector that feeds approximately 50% of this country’s population. I say maximum possible because, of these, a substantial number of these students might probably end up doing Phd, some would enter the civil services, some might take up jobs with titles like Agri-marketing where slowly the Agri- part would vanish and the guy will be selling soaps by Hindustan Unilever in rural areas. And i am not even talking about sectors like software. I know at least one Agri graduate who is into software.
In contrast, Tamil Nadu alone has above two hundred engineering colleges.
I get the point that there are so many engineering colleges because of the demand from the Industry. But what have we done to stoke productivity in Agriculture? Loan waivers are actually detrimental to the development of the sector in the long run. I think the government should build an ecosystem where know how, access to capital and entrepreneurship can flourish. We need someone with an eye on economics rather than elections.
I am just thinking out loud here,
What if the govt announced tax holidays for special purpose vehicles instituted for people willing to enter farming with a corporate setup, and they can join hands with some sort of a VC willing to invest capital. The farmers can give the land on lease (not outright sell) to the SPV for compensation which includes a fixed as well as variable component (share on profits). Schemes such as these obviates the need for loan dispensing and then waiving it off. The farmer does not lose his shirt even if the venture fails. He is basically entering into a lease deal with some experts.
If there can be so many players in sectors as chronically bleak as civil aviation, I don’t see why this can’t work out.