Nirmala Sitharaman, Union Finance Minister presented interim budget 2024 which brought forth a slew of transformative initiatives aimed at bolstering various sectors of the economy. From innovative schemes fostering renewable energy adoption to strategic investments in healthcare and agriculture, this budget outlines a vision for inclusive growth and sustainable development. The agri -input industry has commended that the schemes and initiatives announced in the budget 2024.
Dr K C Ravi, Chief Sustainability Officer, Syngenta India Pvt Ltd & Chairman, CropLife India opined “The robust physical-digital-social infrastructure developed in the last decade has given the economy a good foundation for a Viksit Bharat by 2047. Digital infrastructure and infusion of technology is imperative to not only sustain the momentum but also to take the agriculture growth story to its logical conclusion. The focus on self-reliance in edible oils and investment in post-harvest activities are some of the measures that can make this happen.
The full Budget has to address some pending reforms needed to further boost the impressive growth of India’s agrochemical sector. An enabling predictable science-based policy environment is absolutely essential to provide farmers cutting edge technologies to fight against climate threats besides the ever-increasing complex pests and diseases threatening crop yields. It is important that the industry is encouraged to invest in R&D for bringing newer molecules and technologies complemented by AI and digital technologies. Rationalising GST on agrochemicals to 12 per cent (from current 16 per cent) and allocating sufficient budgetary resources to introduce performance-linked incentives (PLI) will go a long way in consolidating and strengthening the agrochemical sector. Strategic policy decisions will propel India towards this growth, ultimately leading to a significant positive impact on further enhancing farmers’ income. These would give a decisive push for making Atmanirbhar Bharat.
Simon Wiebusch, President of Bayer South Asia and Vice Chairman, MD & CEO of Bayer CropScience Ltd (BCSL) said, “The Finance Minister’s announcement, identifying women and farmers as key focus groups for powering India’s growth, has set the stage for policies that can substantially boost development in rural areas. I am also happy to see the government’s continued push to improve farmer incomes. Policies like the PM Kisan Sampada Yojana and the PM Fasal Bima Yojana, along with measures to promote private and public investment in post-harvest activities including modern storage, efficient supply chains, and marketing and branding will herald a transformative era in Agriculture.
While the budget’s focus on advancing sustainability initiatives across sectors, improving farmer incomes, and women empowerment will help fulfil the Prime Minister’s vision of a ‘Viksit Bharat’, its proactive approach on women’s health is a crucial step towards ensuring preventive healthcare for a large section of the population.”
Rajesh Aggarwal, Managing Director, Insecticides India Ltd, said, “In response to the budget announcement for the fiscal year 2024-25, we, at IIL, welcome the government’s staunch commitment to the welfare and empowerment of our farmers, the providers of sustenance for the nation. The initiatives outlined in the budget, particularly those targeting the agricultural community, resonate strongly with our vision for a resilient and prosperous farming sector. The continuation of flagship schemes such as the PM Kisan Samman Yojana and PM Fasal Bima Yojana, providing direct financial assistance and crop insurance respectively, exemplifies the government’s dedication to safeguarding the livelihoods of our farmers. Moreover, the integration of mandis and the significant trading volume achieved therein highlight the government’s efforts towards modernising agricultural markets and enhancing the efficiency of agricultural trade. This move not only benefits the farmers by providing them with wider market access but also contributes to the overall growth of the agricultural sector. The focus on empowering the youth, particularly in agriculture, is commendable as it ensures the continuity of our farming traditions while infusing new energy and innovation into the sector. We are particularly encouraged by the emphasis on technology adoption and innovation in agriculture.
The integration of 1361 mandis into the Electronic National Agricultural Market, serving 1.8 crore farmers, is commendable. Furthermore, the budget’s focus on modern storage, supply chains, and branding, encouraging private and public investment in post-harvest activities, and the widespread adoption of market linkage techniques are steps in the right direction towards building a robust agricultural ecosystem. The budget definitely reflects a positive trajectory for the agricultural sector, emphasising inclusivity, innovation, and sustainability. We look forward to working together with the government and other stakeholders to leverage these opportunities for the benefit of our farmers and the nation as a whole”.
Raju Kapoor, Director, Industry & Public Affairs, FMC India opined, “The interim budget balances the fiscal prudence with growth. It has outlined various proactive measures for the agri industry at large. The allocation of a Rupees 1 lakh crore corpus for a 50-year interest-free loan to private sector is poised to fuel R&D and innovation in India fostering a conducive environment for advancements. The continuity of the ‘PM Kisan Sampada Yojana’ will make available requisite investment at the hands of farmers to promote use of newer technologies in the form of advanced agri-inputs. The emphasis on empowering women self-help groups with significant credit linkages will benefit in rural development and we resonate very well with it. The focus on minimizing post-harvest losses is crucial, and similarly we appreciate the decision to expand nano DAP usage across all agro-climatic conditions, which will undoubtedly catalyse the growth of drone applications in agriculture and improve fertilizer use efficiency. Investments to minimize the post-harvest infrastructure is a welcome step.
The industry was also hoping for the introduction of a Production Linked Incentive (PLI) for ‘new-age’ agro chemicals, positioning India as a global exporter and addressing domestic opportunity. The government could have also rationalized GST on agro chemicals to 12 percent. Additionally, we anticipated tax incentives on R&D investments and extension activities by the industry would further encourage innovation in the sector. We remain optimistic about the positive impacts of the interim budget and look forward to collaborative efforts to addressing more concerns in the future.”
Sanjiv Kanwar, Managing Director, Yara South Asia mentioned, “We welcome and commend the government’s focus on empowering poor, youth, women, and farmers through the interim budget announcement today. The increase in MSP for producers whenever required and the provision of basic goods has raised rural real income, which is a positive step towards ensuring the well-being of our farmers. We are also pleased to see the government’s commitment to modernizing storage, supply chains, and branding in the farm sector, which will benefit both farmers and consumers. Overall, we believe that this budget will provide a much-needed boost to the agriculture sector and encourage private and public investment in post-harvest activities. As a company committed to sustainable agriculture practices, we believe that continued investment in this sector is crucial for the long-term growth and prosperity of our country.”
