The Narendra Modi Government at the Centre will build a digital public infrastructure for the agriculture sector which will work as an open-source digital public good that will support growth for agritech industry and startups.
The Government has also announced an 11 per cent hike in agriculture credit target to Rs 20 lakh crore for the next fiscal with focus on animal husbandry, dairy and fisheries.
Presenting the Union Budget 2023 in Parliament, the Finance Minister Nirmala Sitharaman said that a digital public infrastructure for the agriculture sector will enable inclusive farmer-centric solutions through relevant information services for crop planning and help improve access to farm input, credit, and insurance, help for crop estimation, market intelligence and support for the growth of agritech industry and startups.
Sitharaman said, “An agriculture accelerator fund will be set up to encourage agri-startups by young entrepreneurs in rural areas.
The fund will aim at bringing innovative and affordable solutions for challenges faced by farmers. It will also bring in modern technologies to transform agricultural practices and increase productivity and profitability.” This comes after the government highlighted that agritech startups in India assist farmers in improving farming techniques in the Economic Survey on January 31.
To further boost startups sprouting out of rural areas, Sitharaman also said the government will launch an agriculture accelerator fund for young entrepreneurs.
The Modi government further announced an 11 per cent hike in agriculture credit target to Rs 20 lakh crore for the next fiscal with focus on animal husbandry, dairy and fisheries, a moved aimed at providing higher farm loans at a subsidised rates to the farming community.
Among other big ticket announcements for agriculture and allied sector, Sitharaman said the government will launch a new sub-scheme of Pradhan Mantri Matsya Sampada Yojana with an investment of Rs 6,000 crore to improve value chain efficiencies and expand the fishery market.
Customs duty on key inputs for domestic manufacturing of shrimp feed will also be reduced to promote export of marine products, she said.
For adoption of natural farming, the FM said the government will facilitate 1 crore farmers for this purpose and will also set up 10,000 Bio-Input Resource Centres for creating a national-level distributed micro-fertilizer and pesticide manufacturing network.
Further, the government will incentivise state governments and Union Territories under the Pradhan Mantri Programme for Restoration, Awareness, Nourishment and Amelioration of Mother Earth (PM-PRANAM) to promote alternative fertilizers and balanced use of chemical fertilizers.
That apart, the government will launch an Atmanirbhar Clean Plant Program to boost availability of disease-free, quality planting material for high value horticultural crops with an outlay of Rs 2,200 crore, she said.
To encourage agri-startups by young entrepreneurs in rural areas, the FM said the government will set up an Agriculture Accelerator Fund (AAF).
A digital public infrastructure for agriculture will also be built to enable inclusive, farmer-centric solutions.
To make India a global hub for millets, also called "Shree Anna", the FM said, Hyderabad-based Indian Institute of Millet Research will be supported as the Centre of Excellence for sharing best practices, research and technologies at the international level.
India is the largest producer and second largest exporter of millets in the world. The country grows several types of millets such as jowar, ragi, bajra, kuttu, ramdana, kangni, kutki, kodo, cheena, and sama.
These have a number of health benefits, and have been an integral part of our food for centuries. I acknowledge with pride the huge service done by small farmers in contributing to the health of fellow citizens by growing these 'Shree Anna', she added.
Sitharaman said, "The agriculture credit target will be increased to Rs 20 lakh crore with focus on animal husbandry, dairy and fisheries."