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In our country, majority of agricultural workers (who may include farmersworking within a cooperative framework, or those who work individually eitheras owners or tenants) are shown to be reaping the least amount of profits inthe agriculture value chain when compared to the effort they put in. There is agood amount of literature which broadly substantiates this situation in ourcountry. Main objective of this study is to have a broad understanding of therole played by public systems in this value chain, particularly in the segmentthat interacts with farmers. As a starting point, we first try to get a betterunderstanding of how farmers are placed in a typical agriculture value chain.For this we take the help of recent seminal works on this topic that capturedthe situation of farmers' within certain types of value chains. Then, weisolate the segment which interacts with farmers and deep-dive into data tounderstand the role played by public interventions in determining farmers'income from agriculture. NSSO 70th round on Situation Assessment Survey offarmers has data pertaining to the choices of farmers and the type of theirinteraction with different players in the value chain. Using this data we triedto get a econometric picture of the role played by government interventions andthe extent to which they determine the incomes that a typical farming householdderives out of agriculture.

Farmers' situation in agriculture markets and role of public interventions in India