The Finance Minister of India delivered the Union Budget of India, 2023, which included estimates of government revenue and spending for the forthcoming fiscal year. It details the government’s strategies for allocating funds, prioritizing expenditures, and taking actions to encourage economic growth and development. This budget is a crucial document that provides the groundwork for future economic planning and directs the nation’s economic policy.
This year too, the Union Budget includes significant initiatives aimed at amplifying agriculture from digitization, funding, and many other new initiatives.
A few of the major highlights which could create a significant impact on the agriculture sector are:
- Targeted Funding-The expansion of the animal husbandry, dairy, and fisheries industries will be a priority as the government announces intentions to increase the farm credit target to 20 lakh crore rupees. These industries will receive more financial assistance because of the rise in credit, which will assist them to develop and remain viable because the government wants to diversify the agricultural industry and provide new possibilities for farmers and rural communities by concentrating on the growth of these industries. The higher credit goal will be crucial in promoting the expansion and growth of these businesses by helping to overcome some of the problems they now face, including a shortage of capital and insufficient investment.
- Digital Public Infrastructure- Building a Digital Public Infrastructure for the agriculture sector would function as an open-source digital public good that will assist the expansion of the agritech sector and new businesses. As stated by the finance minister “This will enable inclusive farmer-centric solutions through relevant information services for crop planning and help improve access to farm input, credit, and insurance, help for crop estimation, market intelligence and support for the growth of agritech industry and startups,”
- Setting up Agriculture Accelerator Fund- The government will establish an agriculture accelerator fund for young entrepreneurs to support the firms growing out of rural regions. This fund intends to deliver creative and reasonably priced solutions to problems encountered by farmers.
- Launching Atmanirbhar Clean Plant Programme- This program is an important step towards building a self-reliant horticulture industry in the country by producing disease-free and high-quality materials for them which will create an impact on the export potential of the fruits despite being one of the largest producers of major horticulture crops.
- Implementing Cluster-based Approach- To streamline input supply, offer extension services, and create market links, the government plans to develop a cluster-based approach and promote collaboration between farmers, the state, and industry. This cooperative strategy is seen to be a way to encourage agriculture’s sustainable growth and development. Farmers, the government, and the industry can all solve problems and open up possibilities for sector progress by cooperating.
- Subsidiary initiatives- With a stipulated investment of 6,000 crore rupees, a subsidiary project of the Pradhan Mantri Matsya Sampada Yojana will be launched to support fishermen, fish sellers, and micro and small businesses, improving the efficacy of the value chain, and expanding market outreach.
Targeting natural farming, implementing MISHTI Scheme, increasing fertility. The subsidy makes India the hub of Millet not just at a domestic level but at a global as well.
There have been many golden aspects covered in the budget but only time will tell how effective it will turn for the agriculture sector in the long run and how it will impact the economy as well.
