Indian business houses began to diversify into agri-business in the mid-sixties, often in collaboration with multinationals. However, as the purchasing power of the Indian farmer is limited, except for a small section in the green revolution areas, the major buyer the business houses have sought is the government which has tried to modernise agriculture by providing a variety of subsidies. These subsidies have progressively increased and are heaviest in areas designated as 'tribal', 'backward