Today, Union Finance Minister Nirmala Sitharaman rolled out the third instalment of the ₹20 lakh crore economic stimulus aimed at primary agricultural cooperative societies, farmers producers organisations, agriculture entrepreneurs and startups by offering funds to improve farm infrastructure and logistics in the agriculture sector.
The Centre made minimum support price (MSP) purchases of ₹73,300 crores during the two months of lockdown. ₹18,700 crores were given under PM Kisan Fund transfers and around ₹6,400 crores of payment under the PM Fasal Bima Yojana were made.
There will be ₹1 lakh crore for development for farm-gate or making aggregation point affordable and financially viable post-harvest management infrastructure as its lack causes gaps in value chains
Rs 4,000 crore will be for the promotion of herbal cultivation to cover 10 lakh hectares under herbal cultivation by 2022 and seeks to build a corridor of medicinal plants along the Ganga River.
Under Operation Green, 50% subsidy on transportation from surplus to deficient markets, and a similar subsidy on storage for six months on a pilot basis, following which it might be extended and expanded. It will cover the sale of all fruits and vegetables to ensure better price realisation to farmers, reduced wastage and affordability of products to the end consumer.
“A central law will be formulated to provide adequate choice to farmers to sell produce at an attractive price. A facilitative legal framework will be created to enable farmers for engaging with processors, aggregators, large retailers, exporters in a fair and transparent manner,” she said.
The Essential Commodities Act will be amended to enable better price realisation for farmers to deregulate the prices of cereals, edible oils, oilseeds, pulses, onions and potato and to do away with imposing stock limits, except during natural calamities or famine.
There shall be the launch of two lakh Micro Food Enterprises to support existing Micro Food Enterprises, farmer producer organisations, self-help groups and cooperatives to realise Modi’s “vocal for local with global outreach” vision.
National Animal Disease Control Programme has been launched with an outlay of Rs 13,343 crore, to ensure 100% vaccination of cattle, buffalo, sheep, goat and pig population in India.
An Animal Husbandry Infrastructure Development Fund worth Rs. 15,000 crore will support private sector investment in dairy processing and incentives will be provided for establishing plants for the export of niche products.
Reforms in the agricultural marketing sector will be brought to provide marketing choices to farmers as presently, farmers are bound to sell their produce only to licensees in Agricultural Produce Market Committees, which results in lower prices for farmers and hindrances in the free flow of products and fragments markets and the supply chain.
A scheme worth Rs 500 crore for infrastructural development for integrated beekeeping development centres, collection, marketing and storage centres and post-harvest and value addition facilities was also launched which will help improve the livelihoods of two lakh beekeepers.
Under the Pradhan Mantri Matsya Sampada Yojana, over Rs, 20,000 crores will be allocated to help provide employment to over 55 lakh persons and double exports of these products to Rs 1 lakh crore.
