Agriculture and allied sector is one of the largest contributors towards country’s GDP.As per CSO data agriculture and allied sector contributed 15.35 percent to the growth during 2015-16 at 2011-12 prices. More than 60% of the population for their livelihood depend upon farming and allied sectors.
The key concern area for the sector is the post harvest infrastructure, crop failure due to adverse climate condition and limited infrastructure. Pradhan Mantri Fasal Bima Yojna (PMFBY) which minimizes the loss by providing some shield is a good effort by the government to mitigate the crop failure risk however more such schemes are expected. Expenditure on Research and Development (R&D) is a much required aspect and farmers should have direct benefit from the end buyers , they have traders and middle men in between thus creating gap in the input cost and the final benefit . Financial support is required in terms of better credit facility, Seeds purchasing power , fertilizers and farm equipments. Farmers mostly depend on cash for buying the seeds, paying wages to worker , The focus should be more on digitization and resources availability to the far-flanged village as the sector too was hit by the demonetization process.
The budget might witness greater allocation in the area of organic farming thus expected the increased number of clusters from current 10,000 .Enhanced public investment for creating infrastructure , innovation for the storage , upgraded technology and equipment of global standard. Farmers expecting value added and profit linked incentives from the government.