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Budget 2024-25 Agriculture: Sowing research, reaping discontent

Budget focuses on developing climate-resilient seeds; farmers say it’s silent on MSP, debt waiver
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Neeraj Mohan

New Delhi, July 23

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Even though the Union Budget has allocated Rs 1.52 lakh crore for agriculture and allied sectors, it has overlooked the key demands of farmers, including a guaranteed minimum support price (MSP) and loan waivers. The farmers have, seeking redress of their issues, already announced the resumption of nationwide protests.

In the 2023-24 Budget, the Ministry of Agriculture and Farmers Welfare was allotted Rs 1.25 lakh crore, but there was a separate head for allied sectors.

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Presenting the Budget, Finance Minister Nirmala Sitharaman said over the next two years, 1 crore farmers would be introduced into natural farming. She said the government planned to release 109 new high-yielding and climate-resilient seeds for 32 field and horticulture crops. “The government will undertake a comprehensive review of agricultural research and focus on developing climate-resilient varieties,” she said. Additionally, 10,000 need-based bio-input centres would be established to strengthen the production, storage and marketing of oilseeds, she said.

Emphasising the government’s commitment to achieving self-reliance in oilseed and pulses cultivation, the minister unveiled a slew of initiatives to enhance productivity, support farmers and boost the rural economy. “To cut down imports and strengthen self-reliance, domain experts from both government and private sectors will oversee the conduct of such research,” she said.

The minister said digital public infrastructure (DPI) method would be used for the survey of kharif crops in 400 districts. “The details of 6 crore farmers and their land will be digitised. The issuance of Jan Samarth-based Kisan Credit Cards will be enabled in five states. Financing for shrimp farming, processing and export will be facilitated through the National Bank for Agriculture and Rural Development (NABARD),” she announced.

The minister said the farm schemes would be implemented through scientific institutions and willing gram panchayats. “The government will promote farmer-producer organisations, cooperatives and start-ups for vegetable supply chains, including for collection, storage and marketing. Financial support for setting up a network of nucleus breeding centres for shrimp broodstock will be provided. Financing for shrimp farming, processing and export will be through NABARD,” she said.

Sitharaman, however, faced criticism from farmer leaders and the Opposition for allegedly ignoring the key issues of farmers. “The Modi 3.0 government, which came to power with the promise of a revolution in the agriculture sector, has again deceived the farmers in the Budget. Rural employment, advanced farming, doubling income and subsidies on agricultural equipment have all turned out to be false promises. The BKU will continue to struggle on these issues,” said farmer leader Rakesh Tikait.

Congress leader Jairam Ramesh said farmers had allegedly received a raw deal in the Union Budget. “The agriculture and allied budget, which affects a majority of the country’s population, is only 3.15 per cent of the total Budget, down from a 5.44 per cent in 2019-2020. The Finance Minister boasted of an increase in MSP for crops earlier this year, but the prices are still significantly below what the Swaminathan Commission Formula recommended. The demand for legal status for MSP has been met with stony silence, as is for a farm loan waiver,” said Ramesh.

Having his roots in agriculture-dominant Haryana, Congress leader Randeep Surjewala too expressed disappointment. “Disappointment and despair in Modi 3.0’s Budget! Zero + zero = zero! Nothing for farmers–No guarantee on MSP, no relief from debt, no reduction in prices of diesel, pesticides or fertilisers, only empty promises,” he wrote in a post on X.

Allocation

2024-25
Rs 1.52 lakh cr (with allied sectors)

2023-24
Rs 1.25 lakh cr (minus allied sectors)

Thrust on natural farming

  • 109 new high-yielding and climate-resilient seeds to be released for 32 field and horticulture crops
  • 10,000 need-based bio-input centres to be established to strengthen production, storage and marketing of oilseeds
  • 1 crore farmers to be introduced in natural farming
  • 400 districts to be covered under digital survey of kharif crops
  • 6 crore farmers to see their land records being digitised
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