It was heartening to hear Finance Minister Arun Jaitley announce an increase of 24% in rural agriculture and allied sectors to Rs 1, 87, 223 crore.
The highlights that caught my attention, especially in the agriculture Budget, were income security for farmers and push to increase production.
Commitment of the government to double farmers’ income in the next five years is a huge positive. We are an agriculture economy, eventually. The target for agricultural credit for 2017-18 has been pegged at Rs 10 lakh per farmer. If this can be addressed in Jammu and Kashmir, it might help alleviate employment challenges too. Interest waiver on cooperative credits for sixty days is a blessing for the farmers.
Fasal Bima Yojana, increased from 30% of cropped area in 2016-17 to 40% in 2017-18 and projected to 50% in the subsequent year, serves as the single driver to reduce farmer suicides.
Given the climate change and changing landscapes, Soil Health Cards have gathered momentum. The government plans to set up mini labs in Krishi Vigyan Kendras.
Plan to establish 100 mini labs by qualified local entrepreneurs, who would be provided credit-linked subsidies, is certainly a step in the right direction.
With a dedicated micro-irrigation fund to be set up by NABARD to achieve the ‘Per Drop More Crop’ goal, intent to double the farmers’ income in the next five years doesn’t seem hollow.
Decision to increase the national agricultural markets from 250 to 585 and assistance of up to Rs 75 lakh for marketing facilities is probably the single biggest step to ensure better market linkages for farmers.
Geotagging all MGNREGA assets and putting them in public domain will facilitate greater transparency. The Budget increase in housing and electrification schemes will be the drivers of growth in agriculture over the next couple of years. Nothing works better for people than a consumer market turning into a producer’s economy. Implementation remains the key.
Ajay Chathurvedi
Social Economist