Finance Minister will have to take bold decisions for agriculture and rural development
23-Jan-2025 06:31 PM
The article highlights a critical issue that the Union Finance Minister will need to address in the upcoming 2025-26 budget, focusing on agriculture and rural development. Despite the government's efforts to boost agricultural production through measures like increased Minimum Support Price (MSP), the underlying challenge remains the low productivity in key sectors, such as pulses and oilseeds.
India, with its vast agricultural landscape, faces the dual challenge of low yield rates and a growing dependency on imports for essential crops like pulses and edible oils. This not only strains foreign exchange reserves but also limits the country's agricultural self-sufficiency. The goal of becoming self-sufficient in pulses by 2027, as mentioned by the Union Minister of Cooperation, is ambitious, but it highlights the urgency of policy reforms and infrastructure improvements in the agricultural sector.
To achieve these goals, the Finance Minister’s budget must introduce bold decisions, such as:
Increased investment in agricultural technology: This could include modern irrigation methods, precision farming tools, and high-yielding crop varieties, which would help raise productivity.
Subsidies and support for pulse-oilseed cultivation: These sectors, in particular, require targeted policy interventions to reduce dependency on imports, which could involve direct support to farmers, new research initiatives, and better procurement systems.
Focus on rural infrastructure: Improving rural roads, storage facilities, and market access would help farmers get better prices for their produce and reduce wastage.
Extension of credit facilities: Easier access to finance, especially for small-scale farmers, would allow them to invest in better equipment, seeds, and inputs, directly contributing to higher yields.
Ultimately, it seems that while the government has already taken steps to aid the agricultural sector, this budget needs to take a more strategic, long-term view with a clear focus on boosting productivity, reducing dependency on imports, and modernizing farming practices. The scope of these decisions can help transform agriculture from a subsistence industry to a modern, high-productivity sector that can support India's economic growth ambitions.