Budget Expectation 2024-25: Ram Kaundinya

"Increasing the budget threefold for drip irrigation, sprinklers, and hose reel systems is crucial. Programs like free power and water that harm the environment should be phased out. Farmers who adopt water-conserving practices, such as Direct Seeded Rice and growing less water-intensive crops, need incentivization for sustainable water use through direct benefit transfers.

A Bhavantar program for selected priority crops will encourage farmers to go for them without anxiety about low prices. Implementing these points with a fresh, mission-driven approach can significantly enhance the competitiveness and profitability of Indian agriculture. The new government must embrace creativity and urgency to address these pressing needs, laying the foundation for a prosperous and sustainable future for agriculture.

Agricultural Subsidies

Agricultural subsidies should be redirected to promote sustainable practices including crop diversification based on agro-ecological zones, water and soil conservation programs and the cultivation of climate-resilient crop varieties. Introducing Carbon Credits and Green Credits systems through digital platforms for easy access can incentivize farmers to adopt sustainable practices profitably.

Building capacity of governance, compliance, commercial market dealing skills and primary processing facilities among Farmer Producer Organizations (FPOs) through a national program will strengthen their role in agricultural development and farmers prosperity.  Special lending guidelines by RBI for FPOs is essential. Encouraging market-aligned crop production requires multi-stakeholder dialogue with end-user industries, private sector, farmers and policy guidance from an inter-ministerial committee. Providing end-to-end solutions for key crops will boost farmers’ profitability.

Enhancing Digital Infrastructure

Enhancing digital infrastructure is crucial for operational efficiency, reducing drudgery, and enabling digital business operations in agriculture. Standardizing parameters of crop lots and processes is the key. Financial services like credit and insurance, delivered digitally, benefit farmers. Digital management of agricultural output is vital for profitability, inflation control, and minimizing post-harvest losses. Establishing digitally enabled micro-warehouses and supporting public-private partnerships for digital products and services will be beneficial.

A special team may engage with all stakeholders and develop a mutually acceptable model for farm market liberalization. This team addresses crop production planning, price guidance, and market oversight. Establishing a regulator to monitor market functionality, data privacy, interoperability and quality will ensure fair and efficient market operations and their digitization."