Union Budget 2025 | Powering a growth engine

Agriculture has received much attention in the Union Budget presented by Finance Minister Nirmala Sitharaman who described it as one of the four engines driving India’s development journey. The sector has suffered in the recent past for multiple reasons including the failure of the monsoon, though there are signs that it may be looking up. The overall budgetary allocation to the Ministry of Agriculture and farmers’ welfare saw only an increase of 4%, from Rs 1.32 lakh crore in the last budget to Rs 1.37 lakh crore now. But if all allied sectors are taken into consideration, there is a good increase of about 22 per cent in the allocation. Several new initiatives were announced, the scope of which will go beyond the current budgetary year. Some of them will build on existing schemes and others are new schemes intended to benefit the entire sector or specific segments.

One key initiative is the Prime Minister Dhan-Dhaanya Krishi Yojana, a programme to be undertaken in partnership with the states. The Finance Minister said it was inspired by the success of the Aspirational Districts Programme, and would aim to increase productivity, adopt crop diversification and sustainable practices, improve post-harvest storage and irrigation facilities, and provide short-term and long-term credit to farmers. It will cover 100 districts and about 17 million farmers who will need special support. Another initiative is the setting up of a six-year mission for pulses to ensure self-sufficiency of tur (arhar), urad, and masoor. Production of these pulses will be incentivised with central agencies undertaking to buy them from the farmers as part of an agreement. A national mission on high-yielding seeds and a mission to improve cotton productivity will also be launched. The minister announced a programme for fruits and vegetables too. A scheme to address underemployment in agriculture through skilling, investment, technology, and invigorating the rural economy has also been planned. The plan to set up a makhana (fox nuts) board for Bihar has significance ahead of an Assembly election, and beyond, considering that the state produces 90% of makhana in the country.

Projects and initiatives in agriculture are not easy to execute because of the nature of the sector and factors such as the inadequacy of tools and methods of implementation. But the health of the sector is key to the overall development of the country because of the large number of people who depend on it. This makes efforts to implement initiatives announced in the budget in a time-bound manner all the more critical.

Track Budget reactions LIVE

Union Budget 2025 | Nirmala Sitharaman, as Finance Minister, presented her record 8th Union Budget this time. While inflation has burnt a hole in the pockets of 'aam janata', the Modi govt gave income tax relief for those making up to Rs 12 lakh per year in salaried income. Track the latest coverage, live news, in-depth opinions, and analysis only on Deccan Herald. Also follow us on WhatsApp, LinkedIn, X, Facebook, YouTube, and Instagram.