Union Budget 2023: The Expectations for Agriculture Industry

Union Budget 2023: The farming community as well as the rural population of the country is looking forward to the budget allocations for the Ministry of Agriculture and Farmers Welfare. Being an agrarian economy, improvements and advancements in this sector are crucial for a country like India. The fiscal year 2022 has almost 46% of the population employed in this sector and contributing a significant amount of 15-16% of the total economy. So it is expected that the upcoming Union Budget 2023 will give ample allotments to the agriculture industry and related sectors.

Date of Budget Announcement

The Union Budget 2023 will be presented by the Finance Minister, on 1st February 2023, at 11 am. As time gets close, the expectations and excitement of the farmer community are high. Let us see what are the major expectations from this budget session.

The Expectations of Union Budget 2023 for the Agriculture Industry

The major expectations are focused on five categories that will help improve this industry and bring better yield and income for the farmers.

● Sustainable solutions: The changing weather and increasing pollution is affecting crops in recent times. Farmers are expecting to find sustainable solutions to these problems and improve smart crop development.

● Digitalisation: Even though much of the agri-sector is now accessible digitally, digitalization of all its areas, including the land records, and incentives based on it could be the next step. The addition of tenant farmers under the various beneficial schemes must also be considered. Betterment of the e-commerce platforms is another demand.

● Agriculture technologies: An improved and wider use of technologies in agriculture such as the use of drones, farm mechanization, more hi-tech hubs, and custom hiring centers are expected. These improvements could benefit the farmers on the low levels who concentrate on marginal and small-scale crops. Technology may be used to integrate the working of these machineries and centers for better reach for the farmers.

● Price support schemes: Even now a major share of the rice and wheat crops are procured at a lower rate. Expectations are on to set a minimum support price for these crops.

● Research and Development: Investments in this field are expected for innovative products such as improved seeds that have better yield and lower maintenance and fertilizers at lower rates with subsidies, etc.

● GST in Agriculture Input: Farmers will be provided relief in GST. According to the reports, it is believed that in the year 2023, the government will provide relief to the farmers by exempting GST on agricultural products. This will make it easier for the farmers to buy agricultural products.

According to SACHIN NANDWANA, Co-Founder & Director, BigHaat, The upcoming 2023 Union Budget needs to focus on startups that are primarily focused to support Agri-tech providing affordable solutions and innovative ideas to farmers to help them address challenges across the agricultural value chain. Startups have the potential to change the face of the agriculture sector and this will ultimately increase farmers’ income.

We need to work on reforms that include the goal of “One India, One Nation, One License” to help farmers get the best price for their products. The concept of a single window system essentially needs to work in research with farmers, which helps in decision-making and problem-solving for farmers, which ultimately leads to the improvement of startup companies.

I personally believe that global engagement in the agriculture sector has a practical role to play as it helps in developing a support system for startups that directly helps in tapping global markets, leading to India’s growth.

Conclusion

It should be noted that the right mix of allotments and schemes will help the agriculture industry thrive better and contribute more to the national economy.

Note: The information contained herein is for informational purposes only. Nothing herein shall be construed to be financial or legal advice. Pesticides are a considerable risk of loss in crops and viewers are advised to do their own research before making any decisions.