CBSE Class 11-commerce Answered

During the reform period, the public investment in agricultural sector was reduced. Hence, irrigation, roads, power, market linkages and agricultural research were suffered. The small and medium farmer’s were badly affected by the removal of fertiliser subsidy.

Because of the policy changes such as the removal of minimum support price, decrease in import duties and lifting of quantitative restrictions on agricultural products have increased the international competition. Hence, the farmers have faced problem to compete with them.