The Union Budget 2025 presents yet another pivotal opportunity to revitalise agriculture and rural India, addressing the longstanding challenges faced by farmers while setting the foundation for sustainable growth. As the backbone of the Indian economy, agriculture warrants targeted interventions to enhance productivity, build resilience, and create alternative income sources for small and marginal farmers.
A key priority for Budget 2025 should be the promotion of hybrid seeds to boost crop productivity and production. Targeted investments in research to improve yield, stress resistance, and shortening crop duration for pulses, oilseeds, and coarse cereals are crucial. This effort must be complemented by developing climate-resilient agricultural practices that address the growing threats posed by climate change. Establishing localised seed production units and maintaining robust seed and gene banks for improved crop varieties will ensure that farmers have timely access to high-quality seeds, strengthening the foundation of agricultural productivity.
Small and marginal farmers, who constitute over 82 per cent[1] of the farming population, rely heavily on agriculture for their livelihoods. Expanding funding for allied activities such as agroforestry, animal husbandry, and fisheries can provide much-needed additional income streams. Investments in cattle farming, poultry, sheep rearing, and small-scale fisheries, including shrimp farming, can contribute significantly to rural incomes. Encouraging natural and organic farming through certification, branding, and the provision of bio-inputs via dedicated resource centers can further align agricultural practices with sustainability goals. Increased budgetary support for organic fertilizer production, utilising resources like cow dung, will promote self-reliance in farming inputs while reducing dependency on chemical fertilizers. Diversifying the fertilizer subsidy framework is equally critical. By reducing reliance on urea and allocating more funds toward multi-nutrient fertilizers like Nitrogen (N), Phosphate (P), Potash (K), Sulphur (S), and Di-Ammonium Phosphate (DAP), lower production costs can be facilitated while ensuring balanced soil nutrition.
In parallel, further push to enhancing farmers’ education and digital literacy will empower them with tools for precision farming and sustainable practices. Leveraging the Agri Stack digital public infrastructure, the budget can focus on improving access to e-marketplaces like e-NAM, crop insurance, and weather forecasts. Establishing digital kiosks at the village level can serve as one-stop hubs for farmers, providing critical information, inputs, and marketing support.
Unifying existing and new agricultural infrastructure schemes under a comprehensive infrastructure development program can improve efficiency and maximise impact. In other words, a consolidated approach would ensure better resource allocation and project execution, addressing the infrastructure bottlenecks plaguing rural India.
Moreover, collectivising farmers by extending support for Farmer Producer Organizations (FPOs), Self-Help Groups (SHGs), and cooperative societies should be a priority. Providing training in governance, strategic planning, and financial management can strengthen these groups. Digital platforms like National Agriculture Market (e-NAM) and Open Network for Digital Commerce (ONDC) should be integrated into these organisations’ operations, enabling them to access better markets, conduct seamless transactions, and disseminate information efficiently.
The promotion of agritech startups and financial assistance for precision farming tools can further optimise resource use and drive technology penetration. This focus on innovation can help Indian agriculture become more competitive globally, ensuring long-term sustainability and resilience.
Budget 2025 has the potential to redefine India’s agricultural landscape by empowering farmers, modernising infrastructure, and fostering sustainable practices. With the right priorities, it can set rural India on a path to prosperity and resilience, fulfilling the government’s vision for inclusive growth.
A version of this article was published by Firstpost.com. The same can be read here
