What #Budget 2019 has in Store for the Agriculture Sector? Here's Govt's Big Announcement for Farmers
India's most troubled sector doesn't need quick fixes anymore, will #Budget 2019 take the sector towards the resolution it has been yearning for
Agricultural Sector is the most important sector of the Indian economy. Even in the pre-independence era, India was largely an agrarian economy. The population was largely dependent on agriculture for its survival. Today more than seven decades down the lane, agriculture is still struggling. The issues of the system largely remain largely unresolved. Every year when news of crop failures, farmers committing suicides hit the headlines, one either looks down at the ground in disappointment or looks up at the skies, the question "Why?" written all over him.
Budget 2019 provides some resolution to the farming and agriculture sector. However, one needs to understand that the depth of troubles in this zone doesn't need quick fixes but a permanent resolution to eradicate the problem from the roots.
From the Last Year's Verdict
More than 50 per cent of the population is dependent on agriculture in India. Reforms in this sector are required from the quality of seeds, mechanization, transportation, irrigation, storage etc. Over the years the government has presented some solutions for farmers. For example, introduction of HYV seeds helped to enhance productivity, crop insurance has to some extent helped in stabilizing income of farmers but the sector remains largely unstable till today. Today's annnouncement
In 2018, Finance Minister Arun Jaitley had announced "doubling farm income." The budget for 2018-19 was also increased from INR 58,080 to INR 51,576 in 2017-18, however, in matters of the agricultural sector, one or two years are too less to judge and analyze growth.
Big Announcements this Year
This year saw some big announcements being made in the agricultural sector. Goyal in the budget announcement shared how the focus is on the need for providing structured income support, procuring inputs such as seeds, fertilizers and avoid indebtedness have been the focus of the government and will the focus for times to come.
Interim Finance Minister announced the approval of the PM Kisan Yojana that is going to provide direct income support of INR 6000 per year to farmers owning up to 6 hectares of land. This income support will be transferred directly to the accounts of the farmers. The assured income will be transferred in 3 installments of INR 2000 and it will be funded 100 per cent by government of India. The PM Kisan Yojana assures supplement income, meet emergency before harvest season and respectable living of farmers. A total of INR 75,000 crore has been allotted for this campaign
Rashtriya Kamdenu Aayog has also been formed to upscale activities related to cow resources and taking care of the animal that has widespread importance in the Indian context. Since is the second largest fish producing country, 2 per cent interest subvention will be given to those who handle this sector.
Goyal also announced 5 per cent interest subvention for farmers who are affected by natural calamities. This sector has definitely raised the bar and hope for agricultural sector. 1200 crore farmer families will benefit from this campaign. The government has given a balanced allocation for this sector and credit which is the biggest worry in this sector has got fair space in #Budget 2019.