GS3 – Agriculture
Context
The DFI Mission, launched in Union Budget 2016–17, aims to double real farm income by FY 2024–25, coinciding with India’s 75th year of independence.
Guided by: The Ashok Dalwai Committee (2018)
Target: 10.4% CAGR via a multi-ministerial Jan-Andolan approach
Seven Pillars for Doubling Income
Pillar | Strategy |
1. Crop Productivity | Enhance yields by 1.3× via precision farming and high-quality seeds. |
2. Livestock Productivity | Increase livestock’s GVA share from 30% to 40%. |
3. Resource Efficiency | Cut input costs by 20–30% using ICT and micro-irrigation. |
4. Remunerative Prices | Maintain MSP margins of 50–85% using A2+FL cost formula. |
5. Cropping Intensity | Raise cropping index from 1.42 to 1.50 by FY25. |
6. Diversification | Shift 20% farm area to oilseeds, pulses, and horticulture. |
7. Non-Farm Shift | Move 8–10% surplus labour to agro-processing and allied sectors. |
Steps Taken Towards Goals
- Crop Productivity
- MIDH supports horticulture development.
- Soil Health Cards: 254 million+ issued.
- Seed Hubs: 158 centres for climate-resilient varieties.
- Livestock Productivity
- Rashtriya Gokul Mission: IVF, semen sorting, genetic improvement.
- NADCP: ₹13,343 crore allocated to eradicate FMD.
- Dairy Infrastructure: Loans for cold chains and processing.
- Resource Efficiency
- Micro-Irrigation: 55% subsidy under PMKSY–PDMC.
- PM–KUSUM: 5.16 lakh solar pumps installed.
- Atal Bhujal Yojana: Groundwater management in 81 blocks.
- Remunerative Prices
- MSP Reform: Implemented A2+FL formula for major crops.
- PM–AASHA: Price support for pulses and oilseeds.
- e-NAM 2.0: Integrated logistics and payment in 1,473 mandis.
- Cropping Intensity
- Irrigation Projects: AIBP revived 99 projects.
- Sahi Fasal: Promotes water-efficient crops.
- Farm Ponds: 4.84 lakh built under PDMC.
- Diversification
- CDP: 7.2 lakh ha shifted from paddy to alternative crops.
- Millet Mission: Focus on exports and MSP expansion.
- Oilseed Push: Goal of 69.7 MT production by FY31.
- Non-Farm Shift
- Agri Infra Fund: ₹2 crore loans with 3% interest subvention.
- Start-up Incubation: ₹728 crore to 621 startups.
- Rural Skilling: 7.16 lakh youth trained in allied sectors.
Achievements
- Global Dairy Leader: India produces 24.76% of world’s milk.
- Horticulture Dominance: Exceeded foodgrain production (352.2 MT).
- Income Rise: NSO reports 59% nominal rise in farm incomes (FY13–FY19).
- Efficiency Gains: Drip irrigation saved 40–50% water, reduced fertiliser use by 25–28%.
- Digital Trade: ₹80,262 crore via e-NAM.
- Infrastructure: ₹91,856 crore mobilised for 92,393 projects.
- Millet Exports: ₹6,700 crore in FY24.
- FPO Expansion: 10,000 FPOs formed by April 2025.
Bottlenecks
Issue | Description |
Land Fragmentation | Average holding is 1.08 ha; hampers mechanisation. |
Irrigation Gap | Only 18% of potential area under micro-irrigation. |
MSP Shortfall | Prices often fall 10–33% below MSP. |
Digital Divide | Only 18% rural households use smartphones for farming. |
Veterinary Gaps | 11 states have <70% FMD vaccination coverage. |
Credit Exclusion | 41% rural households lack formal credit access. |
Climate Risk | 2023 drought cut rainfed crop yields by 18%. |
Low e-NAM Share | Inter-state e-NAM trade <1% of total volume. |
Monoculture | Punjab and Haryana still dominated by rice–wheat cycles. |
Way Forward
Strategy | Description |
FPO Scaling | Expand to 30,000 FPOs by 2030 with blended finance. |
AI-Based Advisory | 100 ICAR Centres to map crops via drones. |
PM-FBY Reform | Use NDVI-based triggers for faster payouts. |
Legal MSP Pilot | Try price-deficiency payment schemes in 10 states. |
Blue Economy | Develop seaweed parks and aquaculture for ₹1 lakh crore GVA. |
Nutrient Reform | Scale nano-urea, introduce DBT by FY27. |
Green Credit Market | Launch Green Credit Programme by FY26 for eco-friendly farming. |