Synopsis
India's economic growth aims for significant agriculture sector reforms focusing on productivity, technology adoption, and infrastructure. Priorities include agri-allied sectors, export enhancement, land consolidation, irrigation expansion, and rural workforce skill development to boost rural income and support overall economic growth
A large part of India’s population is dependent on the agriculture sector. As the Government looks at moving towards its aspirations of a Viksit Bharat by 2047, one of the critical steps would be reforms in the agriculture sector. The upcoming Union Budget should continue the focus on increasing productivity and creating apt infrastructure for ensuring steady growth in the agriculture sector and increasing rural income.
Budget 2025: Paving the way for agri reforms and rural growth
As per the latest HCE (Household Consumption Expenditure) survey by NSSO, average rural MPCE (Monthly per capita consumption expenditure) is 58% of urban MPCE, highlighting the need for narrowing the gap in rural-urban income. In the last few years, there have been reforms aimed at increasing rural income, but the progress has been gradual. In the last five years, on average the government has allocated 3% of total budgeted expenditure to the Ministry of Agriculture and Ministry of fisheries, animal husbandry and dairying.
