Imperial intent

To appreciate what is happening to agriculture and farmers in India, we must first understand how the development paradigm has been subverted. Development used to be about breaking with colonial exploitation and radically redefining power structures. Today, neoliberal dogma masquerades as economic theory and the subsequent deregulation of international capital ensures giant transnational conglomerates are able to ride roughshod over national sovereignty.

The deregulation of international capital flows has turned the planet into a free-for-all bonanza for the world’s richest capitalists. Under the post-World-War Two Bretton Woods monetary regime, governments could to a large extent run their own macroeconomic policy without having to constantly seek market confidence or worry about capital flight. However, the deregulation of global capital movement has increased levels of dependency of nation states on capital markets and the elite interests who control them.

The dominant narrative calls this ‘globalisation’, a euphemism for a predatory neoliberal capitalism based on endless profit growth, crises of overproduction, over accumulation and market saturation and a need to constantly seek out and exploit new, untapped (foreign) markets to maintain profitability.

In India, we can see the implications very clearly. Instead of pursuing a path of democratic development, India has chosen (or has been coerced) to submit to the regime of foreign finance, awaiting signals on how much it can spend, giving up any pretence of economic sovereignty and leaving the space open for private capital to move in on and capture markets.

India’s agri-food sector has indeed been flung open, making it ripe for takeover. The country has borrowed more money from the World Bank than any other country in that institution’s history. Back in the 1990s, the World Bank directed India to implement market reforms that would result in the displacement of 400 million people from the countryside. Moreover, the World Bank’s ‘Enabling the Business of Agriculture’ directives entail opening up markets to Western agribusiness and their fertilisers, pesticides, weedicides and patented seeds and compel farmers to work to supply transnational corporate global supply chains.

The aim is to let powerful corporations take control under the guise of ‘market reforms’. The very transnational corporations that receive massive taxpayer subsidies, manipulate markets, write trade agreements and institute a regime of intellectual property rights, thereby indicating that the ‘free’ market only exists in the warped delusions of those who churn out clichés about ‘price discovery’ and the sanctity of ‘the market’.

What could this mean for India? We only have to look at the business model that keeps these companies in profit in the US: an industrialised system that relies on massive taxpayer subsidies and has destroyed many small-scale farmers’ livelihoods.

Excerpted: ‘Imperial Intent: Destroying India’s Farm Sector’

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