Budget 2024: Major Highlights for India's Agriculture Sector

On July 23, 2024, Finance Minister Nirmala Sitharaman delivered her seventh consecutive Budget speech for the Union Budget 2024, setting the stage for significant economic reforms and development. As one of the most anticipated moments of the year, this budget holds particular importance for the agricultural sector, which plays a crucial role in India's economy and the livelihoods of millions. In this budget, the government has outlined several key initiatives and reforms designed to boost productivity, enhance technological adoption, and improve market access for farmers, promising transformative changes for India's agricultural landscape. Here are the latest updates and insights:

Budget 2024 Highlights for Agricultural Sector: 

• "The people of India have reposed their faith in the govt led by PM Modi and re-elected it for the historic third term," Finance Minister said.

• PMGKAY extended for five years benefitting more than 80 crore people. "As mentioned in interim budget, we need to focus on poor, women, youth and farmers. For Annadata, we announced higher Minimum Support Prices (MSPs), a month ago, for all major crops delivering on the promise of at least a 50 percent margin over cost. PM Garib Kalyan Anna Yojana was extended for 5 years benefitting more than 80 crore people."

• Nirmala Sitharaman says, "I am happy to announce the Prime Minister's package of 5 schemes and initiatives to facilitate employment, skilling and other opportunities for 4.1 crore youth over 5 years with a central outlay of Rs 2 lakh crores. This year we have made a provision of Rs 1.48 lakh crores for education, employment and skilling."

• Finance Minister lists out a detailed roadmap to pursue nine priorities for generating opportunities for India. These are Agri, Employment, Inclusive Development, Manufacturing and Services, Urban Development, Energy, Infra, Innovation, R&D, and NexGen reforms.

• Nirmala Sitharaman says, "New 109 high-yielding and climate resilient varieties of 32 field and horticulture crops will be released for cultivation by farmers. In the next 2 years, 1 crore farmers will be initiated into natural farming supported by certification and branding.”

• Sitharaman said that in the next two years, one crore farmers across the country will be initiated into natural farming supported by certification and branding. Implementation will be through scientific institutions and willing Gram Panchayats. 10,000 need-based bio-input resource centres will be established.

• For achieving self-sufficiency in pulses and oil seeds, we will strengthen their production, storage and marketing. A strategy is being put in place to achieve Aatmnirbharta for oil seeds such as mustard, groundnut, sesame, soybean and sunflower. Large-scale clusters for vegetable production will be developed closer to major consumption centres. “We will promote farmer producer organisations, coops and startups for vegetable supply chains,” the Finance Minister said.

• The government will promote Digital Public Infrastructure (DPI) for agriculture in partnership with states. It is for the coverage of farmers and their lands for three years. During this year, digital crop survey for Kharif using DPI will be taken up in the 400 districts. The details of six crores farmers and their lands will be brought into the farmer and land registry. Furthermore, Jan Samarth-based Kisan Credit Card will be enabled in five states.

• For shrimp production and export, financial support for setting up a network of Nucleus Breeding Centres for shrimps broodstocks will be provided. Financing for shrimp farming, processing and export will be facilitated through NABARD.

• Building on the success of the PM Swanidhi scheme for street vendors, the Finance Minister announced a new plan to promote 100 weekly haats in select cities over the next five years.

• "National Cooperation Policy for systematic, orderly, and all-round development of the cooperative sector. Fast-tracking growth of rural economy and generation of employment opportunities on a large scale will be the policy goal. This year, I’ve made a provision of Rs 1.52 lakh crore for agriculture and allied sectors," Nirmala Sitharaman said. Productivity and resilience in agriculture is first among the nine priority areas announced in the Union Budget. 

• The government made a provision of Rs 2.66 lakh crore for the rural development including rural infrastructure. Rural land-related actions will include assignment of a unique Aadhaar for all lands, digitisation of terrestrial maps, survey of lands, and establishment of land registry. On labour-related reforms, our govt. will facilitate a range of services for labour, including employment and skilling.