Sustainability transition for Indian agriculture.

Farming in India faces a sustainability challenge due to its overreliance on chemical inputs. For every US$ 1,000 investment in sustainable farming, a US$ 100,000 subsidy is allocated for chemical fertilizers. Indian farming system is far off the optimal nitrogen efficiency, calling for substantial reforms in policy towards the transition to sustainable inputs. We examine the propensity of Indian farmers to adopt biofertilizers and other sustainable inputs. While small farmers are inclined towards chemical inputs, sustainable inputs are costly. Here we show that less than 5 per cent of the farming population contributes to the 95 per cent usage of the bio-fertilizer in India. However, small and marginal farmers contribute substantially to food security. Shifting from chemical to sustainable inputs calls for autonomous investment by the state to augment the capacity and improve affordability. We illustrate the transition to sustainability through a framework that includes scale, affordability, and sustainable inputs.

The Impact of COVID-19 on the Household Economy of India.

COVID-19 has disrupted the Indian economy. Government-enforced lockdown to restrict the spread of infection has impacted the household economy in particular. We combine aggregates from national income accounts and estimates from the microdata of a labour force survey covering more than 0.1 million households and 0.4 million individuals. The aggregate daily loss to households is USD 2.42 billion. While loss to earnings accounts for 72% of the total, the rest 28% is wage loss. Service-based activities account for two thirds of wage loss, and natural resource-based activities are responsible for most of the earning loss. The dominance of informal job contracts and job switching in labour markets intensifies this, with the most vulnerable group consisting of 57.8 million in casual engagement, who have a high degree of transition from one stream of employment to another on a daily basis. SUPPLEMENTARY INFORMATION: The online version contains supplementary material available at 10.1007/s41027-021-00352-8.