The Union Budget 2024 has brought a fresh impetus to agriculture and allied sectors, underscoring their significance in driving economic growth, ensuring food security, and generating employment. With a significant allocation of resources and innovative policies, this year’s budget aims to enhance productivity, promote sustainability, and boost exports.
Enhanced Allocation for Agriculture and Allied Sectors
The Ministry of Agriculture and Farmers’ Welfare has received an allocation of ₹1.52 lakh crore, marking a noteworthy increase from previous years. This allocation highlights the government’s focus on revitalizing agriculture while supporting allied activities such as horticulture, fisheries, and animal husbandry.
Agri-Tech Advancement Scheme
One of the key highlights is the introduction of the Agri-Tech Advancement Scheme, which promotes the integration of technology into agriculture. This includes the use of AI for soil analysis, drones for precision farming, and IoT-enabled irrigation systems. Additionally, a national portal for real-time crop and weather monitoring has been proposed, empowering farmers with data-driven decision-making tools. Such initiatives are expected to revolutionize farming practices, ensuring higher efficiency and productivity.
Increased Agricultural Credit Target
To further strengthen the financial backbone of the agricultural sector, the government has set an ambitious agricultural credit target of ₹25 lakh crore. Special provisions have been made for horticulture, floriculture, animal husbandry, and fisheries. These measures aim to ensure farmers have access to affordable credit for adopting modern techniques and improving productivity. Additionally, initiatives like interest subvention schemes and insurance premium subsidies provide a safety net for farmers, encouraging investments in innovative agricultural practices.
Sustainability
Sustainability Initiatives remains a core theme, with initiatives like the Green Farming Initiative encouraging organic and natural farming practices. The government has also introduced a carbon credit scheme, incentivizing eco-friendly practices such as agroforestry and no-till farming. Farmers adopting these practices will benefit from additional income through tradable carbon credits. Solar energy promotion, another significant step, includes subsidies for installing solar panels to enhance cost-effective irrigation and energy self-reliance. These efforts align with global goals of reducing carbon footprints and fostering environmentally conscious agriculture.
Boosting Agricultural Exports
In the realm of exports, the budget allocates ₹12,000 crore for infrastructure development to strengthen supply chains. The establishment of 20 integrated agri-export hubs equipped with cold storage, processing units, and quality certification facilities will play a pivotal role. Efforts to negotiate trade agreements aim to reduce barriers, particularly for high-value crops like spices, tea, coffee, and organic produce. By enabling smoother logistics and quality assurance, these measures are expected to boost India’s standing as a reliable exporter of agricultural products.
Food Processing Sector Development
The food processing sector received an allocation of ₹5,000 crore to boost agro-industrialization. Initiatives include the establishment of five mega food parks, skill development programs for youth in food processing technologies, and financial incentives for companies investing in this domain. These measures are expected to generate employment and increase value addition across the sector. Enhanced processing capabilities will help reduce post-harvest losses, ensuring better returns for farmers and improved food security.
Record Agricultural Production and Exports
India’s agricultural production achieved record levels in 2023-24, with food grain output reaching 330 million Tonnes and horticulture production at 345 million Tonnes. Exports also witnessed remarkable growth, hitting an all-time high of $60 billion. Key contributors included rice, spices, and marine products. Such achievements underscore the resilience and potential of Indian agriculture in catering to both domestic and international markets. This success reflects the combined impact of favorable policies, technological advancements, and enhanced infrastructure.
Risk Mitigation Measures for Farmers
The budget addresses key challenges faced by farmers by expanding crop insurance coverage under the Pradhan Mantri Fasal Bima Yojana and allocating ₹10,000 crore for irrigation projects under the Pradhan Mantri Krishi Sinchayee Yojana. Efforts to ensure remunerative prices for farmers continue through an enhanced Minimum Support Price (MSP) mechanism. These steps provide critical support, helping farmers navigate risks associated with climate variability and market fluctuations.
Focus on Allied Sectors
Allied sectors such as livestock, fisheries, and forestry received substantial attention. Initiatives under the National Livestock Mission, investments in sustainable aquaculture practices, and incentives for integrating tree farming with traditional agriculture aim to improve income and biodiversity. The fisheries sector, for example, saw targeted investments to develop modern fish landing centers and promote inland fisheries. Similarly, forestry initiatives emphasize agroforestry models that combine ecological benefits with economic viability for farmers.
Research and Innovation
Research and innovation have also been prioritized, with funding allocated for Krishi Vigyan Kendras, AI applications in agriculture, and the development of climate-resilient crop varieties. Collaborative efforts between research institutions and farmers are being encouraged to accelerate the adoption of innovative practices. These initiatives aim to address long-term challenges such as pest outbreaks, declining soil fertility, and water scarcity.
Welfare of Farmers and Empowering farm women
The welfare of farmers remains central to the government’s agenda. The PM-Kisan scheme has been enhanced to provide an annual installment of ₹6000 per farmer. Additionally, rural connectivity initiatives and mobile health units aim to improve farmers’ access to markets and healthcare services. Digital literacy programs are also being introduced to equip farmers with the skills needed to leverage e-market platforms and government services effectively. The government’s focus on women farmers is evident in the allocation of dedicated funds for capacity-building programs, self-help groups, and access to credit. Recognizing their role in agriculture, these measures aim to empower women, ensuring inclusive growth within the sector.
Overall, the Union Budget 2024 reflects a transformative vision for agriculture and allied sectors. By integrating technology, promoting sustainability, enhancing market access, and boosting exports, the government is poised to make India’s agricultural sector globally competitive and resilient. Effective implementation of these measures will pave the way for inclusive growth and sustainable development, ensuring prosperity for farmers and a robust contribution to the national economy. This comprehensive approach is set to not only enhance agricultural productivity but also improve the quality of life for millions of farmers across the country.
