Peasant Production in India: How the ‘Need Economy’ Facilitates Accumulation

This article analyses the role of peasant production within the larger process of capitalist accumulation in India. It engages with two distinct theoretical positions — Kalyan Sanyal's formulation of the ‘need economy’ which is driven by an objective of need fulfilment outside the domain of capitalist production, and Henry Bernstein's thesis on the irrelevance of the agrarian question of capital as discussed by Jens Lerche in the particular context of India. The article extends the category of the ‘need economy’ from the present focus on the non‐agricultural informal sector to include smallholder or peasant agriculture. In doing so, the analysis demonstrates that the position of Bernstein and Lerche on the irrelevance of the agrarian question of capital and its replacement with a new agrarian question of labour is consistent with Sanyal's conceptualization of the ‘need economy’. Further, by providing evidence in support of the key function of food provisioning undertaken by small and marginal farmers in India, the article highlights how both the positions above fail to incorporate the food linkage of agriculture that is vital for the continuation of capitalist accumulation.