In this blog we are going to see some of the best Modi Government achievements in the Agriculture sector during 2014-24. Plus possible UPSC questions. So give it a glance which can be useful for you in UPSC also and for GK also.
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Agriculture Sector Progress in India Under Modi Government (2014-2024)
The agriculture sector in India has undergone significant changes over the past decade under the Modi government. Various reforms, schemes, and investments have been made to improve productivity, infrastructure, and farmers’ income. However, the sector also witnessed challenges, including farmer protests over certain policies. Below is an overview of the progress, reforms, and ongoing issues.
1. Growth & Performance of the Agriculture Sector
- India remains one of the largest agricultural producers globally, with record-high food grain production in recent years.
- The agriculture sector’s contribution to GDP has remained stable, with improved mechanization and digital integration.
- Increased exports of agri-products like rice, wheat, and sugar, making India a major global supplier.
- Expansion of crop insurance and credit availability to farmers.
2. Key Achievements of Modi Government in Agriculture
The government introduced several initiatives aimed at improving farmers’ income, productivity, and rural infrastructure:
✅ PM-KISAN (2019)
- Direct cash transfer of ₹6,000 annually to small and marginal farmers.
✅ PM Fasal Bima Yojana (2016)
- A restructured crop insurance scheme to protect farmers from crop losses.
✅ Soil Health Card (2015)
- To improve soil quality and optimize fertilizer use.
✅ E-NAM (2016)
- A national digital platform connecting farmers to markets for better price realization.
✅ Increase in MSP (Minimum Support Price)
- The government has continuously increased MSPs for key crops, ensuring better returns for farmers.
✅ Rural Infrastructure Development
- Investment in irrigation (PM Krishi Sinchayee Yojana), warehousing, and cold storage facilities.
- Massive road connectivity through PM Gram Sadak Yojana.
✅ Promotion of Natural & Organic Farming
- Zero Budget Natural Farming (ZBNF) and Organic Farming schemes introduced.
3. Major Agriculture Policy Reforms & Changes in 10 Years
- Farm Laws (2020, Later Repealed in 2021)
- The government passed three farm laws to deregulate the agriculture sector and allow private sector participation, but they faced strong protests and were eventually withdrawn.
- Agri Infrastructure Fund (AIF, 2020)
- A ₹1 lakh crore fund to develop post-harvest infrastructure and farmer-centric projects.
- Expansion of Agri-Export Policy (2018)
- Target to double agri-exports by improving logistics, reducing trade barriers, and encouraging value addition.
- Digital Agriculture Mission (2021-2025)
- Use of AI, blockchain, drones, and remote sensing for smart farming.
- Formation of 10,000 FPOs (Farmer Producer Organizations)
- To promote collective farming and direct market access for farmers.
4. Why Are Farmers Protesting Again?
Despite several reforms and policy changes, farmers have taken to the streets multiple times:
- Demand for Guaranteed MSP Law
- Farmers are demanding a legal guarantee for MSP for all crops, fearing exploitation by private players.
- Loan Waivers & Debt Issues
- High input costs and unprofitable farming have led to rising farmer debts, with many demanding loan waivers.
- Implementation Issues of Government Schemes
- Delays in MSP procurement, insurance claim settlements, and fertilizer subsidies have caused discontent.
- Protests Against Corporate Control
- Farmers fear that large agribusinesses will dominate the sector, reducing their bargaining power.
- Land Acquisition & Water Issues
- Protests over land acquisition for infrastructure projects and declining groundwater levels in some states.
Conclusion
The Modi government has taken bold steps to modernize Indian agriculture, enhance productivity, and improve farmer incomes. However, implementation gaps and trust issues remain. While some policies have benefited farmers, protests indicate that concerns over MSP security, market reforms, and debt relief need to be addressed more effectively.
In Depth Reasons for Farmer Protests :
the Modi government has consistently increased the Minimum Support Price (MSP) over the years. However, despite these hikes, farmers are protesting due to the following key reasons:
1. Demand for a Legal Guarantee on MSP
- Farmers want MSP to be legally binding for all buyers, not just government procurement.
- Currently, MSP is a policy decision, not a law, meaning private buyers are not required to purchase crops at MSP rates.
- Farmers fear that without a legal framework, private players could buy at lower rates, reducing their earnings.
2. Government Procurement Issues
- While MSP has increased, government procurement remains limited.
- Only wheat and rice are heavily procured, while many other crops do not get sufficient MSP-based purchases.
- In states like Bihar, UP, and Maharashtra, procurement infrastructure is weak, forcing farmers to sell at lower prices to private traders.
3. Rising Input Costs & Inflation
- Fertilizers, diesel, and electricity costs have increased, reducing profits despite higher MSP.
- Labour wages and transportation costs have also surged.
- Farmers argue that MSP hikes have not kept pace with rising expenses.
4. Debt & Financial Crisis
- Many farmers are still in debt due to crop failures, climate issues, and expensive loans.
- Loan waivers have not been provided in many cases, leading to distress sales of land and assets.
5. Fear of Corporate Monopoly
- Farmers believe that corporate giants may dominate agriculture if MSP is not enforced legally.
- They fear that large companies will eventually dictate prices, pushing small farmers into losses.
6. Pending Promises from the 2021 Protests
- When the government repealed the 2020 Farm Laws, it promised to form a committee on MSP reforms, but no major action has been taken yet.
- Farmers feel the government has delayed discussions on MSP guarantees and procurement expansion.
Conclusion
While MSP has increased, the core issue is guaranteed procurement at MSP rates for all crops and buyers. Farmers fear that without legal backing, private buyers will continue to exploit them. Rising input costs, debts, and unfulfilled promises have fueled fresh protests.
Procurement Issues in MSP & Farmers’ Protests:
| Issue | Explanation | Example |
|---|---|---|
| 1. MSP Covers Many Crops, But Procurement is Limited | – MSP is announced for 23 crops, but mainly wheat and rice are procured due to the Public Distribution System (PDS). – Other crops like maize, pulses, and oilseeds get little or no MSP-based procurement. | – In Punjab & Haryana, 80-90% of wheat and rice are procured at MSP. – In Bihar, UP, and Maharashtra, farmers sell below MSP due to weak procurement. |
| 2. Lack of Procurement Centers & Storage Issues | – Farmers travel long distances to MSP centers. – Delayed procurement forces farmers to sell to private traders. – Limited cold storage & warehouses push farmers to sell quickly at lower prices. | – In Madhya Pradesh & Rajasthan, procurement centers open after peak harvest, forcing farmers to sell at lower rates. |
| 3. Private Traders Buy Below MSP | – MSP is not legally mandatory, so private buyers purchase at lower prices. – Farmers want a law mandating MSP purchases to stop exploitation. | – Maize MSP is ₹2,090 per quintal, but in Bihar, private buyers offer only ₹1,500-1,700. – Soybean MSP is ₹4,600, but in Maharashtra, farmers get only ₹3,800-4,000. |
| 4. Delayed Payments & Corruption | – Farmers face weeks or months of delay in MSP payments. – Middlemen charge extra fees, reducing farmers’ profits. | – Farmers in UP & Rajasthan have waited months for MSP payments for wheat and pulses. |
| 5. Government’s Procurement Budget is Limited | – The government cannot buy unlimited crops due to financial & storage constraints. – If all crops were procured at MSP, it would need a huge budget. | – In 2022-23, wheat and rice procurement cost ₹3 lakh crore. – Expanding MSP procurement for all cropswould require significantly higher spending. |
| Farmers’ Demand | – Legal guarantee for MSP procurement on all crops. – More procurement centers, especially in states with weak MSP implementation. – Timely payments and reduction of middlemen influence. | – Farmers demand a law ensuring all crops are purchased at MSP and not just wheat & rice. |
Possible UPSC Questions regarding Agriculture Sector :
Mains (Descriptive) Questions
✍ Q1: Discuss the significance of the Minimum Support Price (MSP) system in ensuring farmer welfare in India. How effective has MSP procurement been in different states?
✍ Q2: “The issue is not just MSP hikes but the limited procurement infrastructure.” Analyze this statement in the context of ongoing farmers’ protests in India.
✍ Q3: Critically examine the challenges in the procurement process under MSP in India. Suggest policy measures to make MSP more effective and inclusive.
✍ Q4: Explain the role of MSP, procurement, and the Public Distribution System (PDS) in ensuring food security in India. How can the system be reformed for better efficiency?
✍ Q5: The government’s financial constraints limit its ability to procure all crops at MSP. In this context, evaluate the feasibility of making MSP a legally guaranteed right for farmers.
✍ Q6: Discuss the impact of middlemen and delays in payments on the MSP procurement process. How can digital reforms like e-NAM and direct bank transfers improve the system?
✍ Q7: “The demand for a legal MSP guarantee reflects farmers’ concerns about market exploitation and corporate control.” Discuss with relevant examples.
Answers to these questions you will find here in this blog.
I hope you like this news & views and analysis of what Modi Government has achieved in Agriculture sector.
Best of Luck
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