Explained : A focus on transformation of Indian agriculture for farmers’ prosperity – Part – II and Its Impact

Continuing……

Building Agricultural Infrastructure and Market Power

Post-harvest losses and weak market linkages have long constrained farm incomes. To this effect:

The government has launched the Rs.1 lakh crore Agriculture Infrastructure Fund (AIF) which seeks to address medium- and long-term debt financing for warehouses, cold storage, grading units, and community farming assets.

The Scheme offers:

1. Interest Subvention of 3 % on loans up to Rs.2 crore for a period of 7 years;
2. Has Promoted the formation of 10,000 Farmer Producer Organisations (FPOs) to:
3. Enhance farmers’ bargaining power;
4. Enable aggregation, and;
5. Reduce input costs and improve access to:

• Markets;
• Credit, and;
• Technology.

Notably, FPOs are being increasingly viewed as key institutions for making smallholder farming economically viable.

Sustainability, Natural Farming and Climate Resilience

Climate variability poses a growing risk for agriculture. The government therefore is giving prominence to Sustainability-focussed programmes. To this effect:

• The National Mission on Natural Farming aims to develop 15,000 clusters covering 7.5 lakh hectares, supported by Bio-Input Resource Centres to promote low-cost, chemical-free farming, BRCs have been providing farmers with locally prepared natural farming inputs like:

1. Bio-fertilizers;
2. Bio-pesticides, and;
3. Organic formulations.

Government has been Supporting Organic farming through the Paramparagat Krishi Vikas Yojana (PKVY) with:

1. The Rainfed Area Development under the National Mission for Sustainable Agriculture (NMSA) focussing on Integrated Farming Systems (IFS), to reduce the risk in rain-dependent regions.
2. Agroforestry initiatives under the Sub-Mission on Agroforestry (SMAF) have been encouraging tree plantation alongside crops, offering additional income and ecological benefits.

Mechanisation and technology adoption

These are central to improving productivity and reducing drudgery. To this effect:

• The Sub-Mission on Agricultural Mechanisation (SMAM) has been supporting access to modern farm machinery, particularly for small and marginal farmers.
• Water-use efficiency is being improved through the Per Drop More Crop programme (PDMCP), which promotes drip and sprinkler irrigation systems across water-stressed regions.

The Digital Agriculture Mission (DAM)

DAM represents a major shift toward building a National Digital Public Infrastructure (DPI) for agriculture. Designed as an open, interoperable platform, it aims to integrate:

• Crop advisories;
• Input access;
• Credit;
• Insurance;
• Crop estimation,
• Market intelligence, and;
• Support for agri-tech startups.

Namo Drone Didi Programme (Lakhpati Didi)

Namo Drone Didi Programme has enabled women self-help groups to provide drone-based services for Fertiliser and Pesticide application.

Crop Diversification, Nutrition and Food Security

1. To address sustainability and nutritional challenges, the Crop Diversification Programme (CDP) encourages farmers to move away from water-intensive crops like paddy towards pulses, oilseeds, and coarse cereals.
2. The National Food Security and Nutrition Mission (NFSNM) focusses on sustainably, increasing production of rice, wheat, pulses, and nutri-cereals across selected districts.
3. Horticulture development is supported through the Mission for Integrated Development of Horticulture (MIDH), covering:

• Fruits;
• Vegetables;
• Spices;
• Flowers;
• Plantation crops, and;
• Bamboo, thereby expanding income opportunities beyond cereals.

Initiatives to Reduce Import Dependence and Promoting Atmanirbhar Agriculture

India’s dependence on edible oil imports is addressed through the National Mission on Edible Oils—Oil Palm (NMEO-OP) and the National Mission on Edible Oils—Oilseeds (NMEO-Oilseeds).

These missions aim to expand:

• Cultivation;
• Improve productivity;
• Strengthen processing infrastructure, and;
• Enhance farmer incomes, with special focus on the North-Eastern States and island regions.

For this, Organic value chains in the North East are being strengthened through the Mission Organic Value Chain Development for North Eastern Region ((MOVCDNER), linking certified organic producers with domestic and export markets.

PM Kisan Samriddhi Kendras

Pradhan Mantri Kisan Samriddhi Kendras serve as one-stop centres, providing seeds, fertilizers, tools, and timely information on farming and government schemes, making agriculture more convenient and informed for farmers.

Under this scheme:

1.8 lakh Kendras have been established as one-stop shops offering inputs and information to farmers.

e-NAM & Market Reforms

Under this:

1,473 mandis have been integrated with e-NAM across 23 States and 4 Union Territories.

As of December, 2024 under the scheme:

1.79 crore farmers & 2.59 lakh traders have been registered.

Total trade recorded under the scheme included:

11.02 crore metric tonnes of commodities with 36.39 crore units of bamboo, betel leaves, coconut, lemon & sweet corn, with the total trade value being rs. 4.01 lakh crore.

Mega Food Parks

The Mega Food Park Scheme links agricultural production to markets by connecting:

• Farmers;
• Processors, and;
• Retailers; aiming to:
• Increase value addition;
• Reduce wastage, and;
• Boost farmers’ income.

Based on a cluster approach, it provides modern infrastructure like:

• Collection centers;
• Processing units;
• Cold chains, and;
• Industrial plots, to promote food processing and rural employment.

Mega Food Parks have increased from 2 in 2014 to 41 in 2025 under the Mega Food Park Scheme; 24 of which are operational and 17 are under implementation, strengthening farm-to-market infrastructure.

Diversifying Farmer Incomes

In addition to agriculture, the government has been promoting diversification helping farmers to:

• Manage risks;
• Reduce dependence on unpredictable factors, and;
• Improve their standard of living.

To this effect, the government is promoting allied activities like livestock, dairy, fisheries, and food processing, along with non-farm employment, to create multiple income sources.

These efforts not only enhance rural livelihoods, but also contribute to the broader goal of structural transformation and economic development of rural India.

Epilogue

Taken together, various government initiatives represent a multi-layered strategy, that combines:

1. Income support;
2. Risk mitigation;
3. Infrastructure creation;
4. Institutional strengthening;
5. Sustainability, and;
6. Digital innovation.

The government’s approach thus puts increased emphasis on convergence, ensuring that farmers benefit from the multiple schemes working together, rather than in isolation.

By providing them with the tools, resources, and support they need to thrive, the government is not only securing the future of Indian agriculture but also ensuring that the nation reaps the benefits of a strong, resilient, and prosperous rural economy. The seeds of change sown over the past 11 years are now bearing the fruit, fulfilling the promise of a truly New India progressing toward the Viksit Bharat as envisioned by PM Narendra Modi.

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