Navigating the Future of Agriculture in Union Budget 2024

Union Budget 2024: A New Era for Agriculture

The Union Budget 2024 has made a notable allocation of ₹1.52 lakh crore to the agriculture and allied sectors, aiming to enhance productivity and resilience. However, the budget has faced backlash due to significant cuts in fertilizer and food subsidies, which has drawn criticism from farmer organizations.

Key Announcements

• Digital Public Infrastructure for Agriculture: Implementation and digital crop survey of kharif crops across 400 districts.
• Climate-Resilient Crops: Release of 109 high-yielding varieties of 32 field and horticulture crops.
• Natural Farming: Initiation of one crore farmers into natural farming, with support for certification and branding.
• Farmer-Producer Organizations (FPOs): Promotion of FPOs, cooperatives, and start-ups to enhance vegetable supply chains.
• Shrimp Broodstocks: Financial backing for establishing Nucleus Breeding Centres for shrimp broodstocks through NABARD.
• Price Stabilisation Fund: An allocation of ₹10,000 crore to manage the rising prices of essential commodities.

Why These Measures Matter

• Enhancing Productivity and Resilience: The focus on high-yielding and climate-resilient crops is essential for increasing agricultural productivity and adapting to climate change.
• Promoting Digital and Technological Integration: Implementing digital infrastructure and conducting crop surveys will foster better data accuracy, transparency, and informed decision-making within the agriculture sector.
• Supporting Sustainable Farming Practices: Encouraging natural farming and providing assistance for certification and branding promotes environmentally sustainable agriculture.
• Improving Supply Chains and Market Access: The push for FPOs and cooperatives aims to fortify supply chains and enhance market access for small and marginal farmers.
• Ensuring Price Stability: The Price Stabilisation Fund is designed to manage essential commodity prices, ensuring consumer affordability.

Significance of the Budget Provisions

• Boost to Agricultural Productivity: Emphasis on innovative crop varieties and digital integration is projected to substantially increase agricultural efficiency.
• Support for Sustainable Agriculture: Initiatives towards natural farming and climate-resilient crops align with sustainable practices, ensuring long-term environmental advantages.
• Economic Impact on Farmers: Although the increased budget allocation aims to benefit farmers, concerns arise over the adverse effects of reduced fertilizer and food subsidies on agricultural productivity and farmers' earnings.
• Strengthening Agricultural Research: Enhanced funding for agricultural research and education will facilitate the development of innovative farming techniques and technologies.
• Market and Supply Chain Improvements: Increased support for FPOs and cooperatives is expected to bolster supply chains, improve market access, and enhance economic stability for farmers.

Conclusion

The Union Budget 2024's emphasis on agriculture seeks to bolster productivity, resilience, and sustainability within the sector. While the increased financial allocation is a positive development, the cuts in subsidies have raised concerns among farmer organizations. The initiatives aimed at fostering digital integration, sustainable farming, and improved supply chains are anticipated to yield long-term benefits for the agricultural landscape.