Some experts say that India will benefit through improved prospects for agricultural export as a result of increase in the world prices of agricultural commodities and reduction in heavy firm subsidies provided in the developed countries and breaking of barriers to trade. The prices of agricultural products in India are not likely to increase as all major programs such as subsidies on P.D.S. and on agriculture are exempted from the control of W.T.O. There will be a large market worldwide for these products. Moreover, it is also said that an improvement in terms of trade in favour of agriculture will promote faster agricultural growth in India.

But according to other experts clamps for questionable of the following grounds:

(i) Due to globalisation, the Indian farmers might have to face unstable prices of agricultural products as world prices for these products fluctuate largely on a year-to-year basis.

(ii) The impact of trade liberalisation on the prices of agricultural products at international level and domestic level depends on what policies other countries follow. For example, developed countries are not willing to reduce subsidies on their agricultural products, to keep these Steel cheaper to benefit their farmers.

(iii) Due to liberalizations, MMC's engaged in agro-business would operate freely in India. For their strong financial background, they could produce hybrid varieties of seeds and the specialised agra-chemicals, using advanced biotechnology. These hybrid seeds cannot be regrown or reproduced by the farmers as they are genetically modified to terminate after first use.

(iv) There would be uneven distribution of income across social classes and geographical regions due to the effect of globalisation on agricultural practices and trade. Rich regions or social groups will be richer in the country.