India, its agriculture lending a helping hand during the pandemic!

India's agriculture has hit a new high when the entire country is under lockdown and the industry has hit the rock bottom.Kharif sowing as on 5th Sep20 has reached 1095 lakh hectares which is 6% more than what was the sown area in kharif season 19-20.The acreage of paddy has grown by 8% to 396 lac hec.over previous year.The acreage under Oilseeds has grown by 12% to 195 LH; Pulses by 5% to 137 LH; Cotton by 3% to 129 LH and Coarse cereals by 2% to 179 LH.This has been facilitated by 9% increase in rainfall during June-Sep 20 to 795mm.

All five summer grown Oilseeds has seen higher than anticipated increase in their respective MSPs and better procurement during the initial months of Covid pandemic phase.The increase in Minimum Support Prices including that of Paddy announced at the beginning of Kharif season in june 20 has really helped in increasing the sowing area and in augmenting the revenue of the farmer.

That apart, India has witnessed a 23% increase in farm exports dominated by Rice and Sugar, in the Q1 of Fy 20-21. These are all heartening news from the agri sector.

However the worrying patches, in the otherwise bright outlook,are the outstanding dues of over Rs.14.2K Cr. of Sugar Mills in UP to the cane growers. The State Govt has raised the FRP(Fair & Remunerative Price) by Rs.10 on an average as a policy measure during this cane crushing season, starting Oct 1.Sugar Mills have approached the Govt for a subsidy to pay the farmers in order to tide over the Covid induced difficulties.

Modi Govt has also constituted a Agri Infra Fund of Rs.1 lac cr. The Infra Fund is for catalysing the Agri-infra development and help build pivotal infrastructures like warehouses, cold storage, and nurture farm assets. This will bring about a increase in Agri share of GDP in the economy from 15% approx and thus improve the livelihood of those dependant on agriculture.(link GDP).

Modi Govt has promised doubling of farmers' income by 2022 which is a daunting task ahead and Govt. is well focussed on this with far reaching structural changes made in the last few months by amending Essential Commodities Act and by liberalising farm trade , land leasing for agriculture across the country.

Now the country is looking forward to the Rabi season.

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