On December 2024, the farmers of Indian Punjab called for a bandh (strike), in protest against the policies of Prime Minister Narendra Modi’s government. This protest is the latest in a series of farmer-led movements that have captured the attention of the nation. It brings to light a crucial question: Are the policies of the Modi government exploitative? What do these protests signify for the future of India’s social and political fabric? And most importantly, how are these protests affecting the Indian economy?
The Punjab Bandh lies at the heart of a long-standing opposition to the agricultural laws passed in 2020. The Modi government’s thrust toward “market-oriented” reforms, especially in agriculture, has been seen as a mechanism for corporate interests to exploit vulnerable farmers. For instance, the laws allow for contract farming, which critics argue could lead to farmers being forced into unfair agreements with large corporations. With the weakening of the Minimum Support Price system and a push for deregulation, farmers fear that they will be at the mercy of market forces beyond their control.
The Punjab Bandh is a manifestation of this deep-seated frustration. Farmers in Punjab, who have long relied on MSP and state procurement systems, view these reforms as an attempt to dismantle the safety nets that have supported their livelihoods. The state’s large agricultural sector, which has contributed significantly to India’s food security, now faces an uncertain future under these policies. The Modi government’s insistence on pushing forward with these reforms, despite widespread protests, highlights the government’s inclination toward benefiting large agribusinesses at the expense of smallholder farmers.
This approach can be seen as part of a larger pattern of the government’s pro-corporate, neoliberal policies, which tend to favour the interests of large conglomerates rather than the common people. The fundamental issue here is not just the farm laws, but the entire economic direction the Modi government has taken. The agricultural sector in India is a vital lifeline for the majority of the population, and policies that threaten its survival will have long-term ramifications for the country’s rural economy.
Beyond the economic implications, the Punjab Bandh also points to a much deeper political and social polarization in India. Modi’s government has increasingly been seen as one that caters to the needs of a select elite while marginalizing large sections of society. This is evident in the way it has handled the farm protests. Instead of engaging in meaningful dialogue with the farmers, the government adopted an authoritarian approach, using force and intimidation to silence dissent. The farmers were labelled as “anti-nationals,” and their protests were met with heavy police action.
The Punjab Bandh and the larger farmer protests are not isolated incidents; they are part of a broader pattern of dissatisfaction with the Modi government’s policies. The political polarization in India today is not just limited to the farmer’s protests. The country is witnessing increasing social unrest, fuelled by the Modi government’s divisive rhetoric and its policies that promote religious nationalism.
This confrontational stance has only deepened divisions between different sections of Indian society. The handling of the protests has played into the narrative of Hindu nationalism, with many seeing the government’s indifference to the sufferings of farmers as a reflection of its broader political agenda. While Punjab, with its Sikh majority, has been at the forefront of these protests, the government’s approach has been interpreted by many as one that exacerbates regional, religious, and caste-based divisions in the country.
The economic consequences of these protests cannot be ignored. The agricultural sector, which contributes a substantial portion to India’s GDP, has been hit hard. The uncertainty surrounding the future of agriculture, combined with the ongoing protests, is discouraging investment and crippling productivity. Punjab is one of India’s top agricultural producers, and its farmers play a critical role in ensuring the country’s food security. Yet, the state’s agriculture is in peril due to the government’s policy decisions. In an economy that is already reeling from the impact of the COVID-19 pandemic and global economic challenges, these disruptions make it harder to recover.
The Punjab Bandh and the larger farmer protests are not isolated incidents; they are part of a broader pattern of dissatisfaction with the Modi government’s policies. The political polarization in India today is not just limited to the farmer’s protests. The country is witnessing increasing social unrest, fuelled by the Modi government’s divisive rhetoric and its policies that promote religious nationalism. The government’s exploitative agricultural policies, its emphasis on political and social polarization, and the long-term economic ramifications of its actions are creating a volatile situation. The Punjab Bandh and the ongoing farmer protests serve as a reminder of the growing fracture within Indian society. The protests represent the struggles of a marginalized section of the population that feels increasingly alienated from the state.