Raw deal for agri sector: Stakeholders - Hindustan Times
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Raw deal for agri sector: Stakeholders

By, Chandigarh
Jul 23, 2024 10:57 PM IST

According to stakeholders, outlay for agriculture is too meagre and there is no mention of legal guarantee for MSP.

The Union Budget presented by finance minister Nirmala Sitharaman on Tuesday “ignored” the farming sector and also remained silent on giving legal guarantee for the minimum support price (MSP), according to experts.

Balbir Singh Rajewal, president of the Bharatiya Kisan Union (Rajewal), has termed it a “weak budget by a weak government”.
Balbir Singh Rajewal, president of the Bharatiya Kisan Union (Rajewal), has termed it a “weak budget by a weak government”.

Sitharaman on Tuesday announced a 1.52 lakh crore allocation for the agriculture and allied sectors in 2024-25, outlining a comprehensive plan to boost research, promote sustainable farming, enhance oilseed and pulse production and integrate technology in the agricultural landscape.

“The FM has given a raw deal to the agriculture sector in the Union budget. The allocations for the upcoming financial year as compared to that of the current fiscal have witnessed negative growth,” said former head of economics department, Punjabi University Lakhwinder Singh Gill.

The outlay for agriculture sector for financial year 2024-25 is 3,68,855.25 crore, showing an increase of 14675.27 crore (4.14%) from last year’s budget estimates, he said, adding that the overall rate of inflation is more than 3% and for agriculture sector the rate is 6-7%. If we see in real terms, the growth in agriculture sector is negative.

Similarly, the outlay for rural development sector is 89,795.90 crore which is 3.9% more than the last year’s budget and allocation for irrigation sector is 100,64.05 crore, a rise of 6.4% in comparison to last year’s outlay.

Bharatiya Kisan Union (Rajewal) president Balbir Singh Rajewal termed it a “weak budget by a weak government” as there is nothing for farmers and common man. Rajewal said: “A majority of budget outlays are directed towards Bihar and Andhra Pradesh as the parties of these two states are supporting the NDA government and there is no mention of Punjab except for general reference to “annadatta”.

“There is no mention of debt waiver or special fiscal package to the farmers,” he added. The production of pulses and oilseeds has been stressed but there is no mechanism for assured purchase,” said Rajewal.

“Farmers had high hopes from the Union budget, but it is disappointing,” said Randeep Singh, a young farmer from Sangatpura village in Sangrur. The government is promising to promote natural farming, but there is no mention of assured purchase of crops and minimum support price of alternative crops other than wheat and paddy, he added.

“The previous year was marked as the international millet year. I cultivated pearl millet on some land, but it resulted in losses. Farmers are concerned about conserving groundwater but the budget has not addressed the issue,” he said.

Jagtar Singh, a progressive farmer form Mehmasurja village in Bathinda termed the budget lopsided. “There is no word on legal guarantee on minimum support price. Besides, the outlay for agriculture sector is too meagre,” he said, adding “There is no announcement on waiver of GST on farm implements and rationalising subsidies.

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