Lok Sabha Question No. 5517 (UNSTARRED), answered on 2022-04-05
Subject: Result of Doubling of Farmers’ Income
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Kinjarapu Ram Mohan Naidu, Maneka Sanjay Gandhi, Pradyut Bordoloi, Nama Nageswara Rao

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE AND FARMERS WELFARE

## LOK SABHA UNSTARRED QUESTION NO.  5517

TO BE ANSWERED ON THE 5 th  APRIL, 2022

## RESULT OF DOUBLING OF FARMERS' INCOME

5517.  SHRI RAM MOHAN NAIDU KINJARAPU: SHRIMATI MANEKA SANJAY GANDHI: SHRI PRADYUT BORDOLOI: SHRI NAMA NAGESWARA RAO:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ षएवंकसानकयाणमंी be pleased to state:

Will the Minister of AGRICULTURE AND FARMERS WELFARE be pleased to state:

- (a) whether the Government's efforts to double  the income of  farmers  by  2022 have not yielded the desired results and if so, the reasons therefor;
- (b) if not, the details of farmers' income in the country in real terms during the last three years including the current year;
- (c) the  estimated  monthly  income  of  farm  households  for  2021-22,  State-wise including for the North-East Region;
- (d) the targeted average monthly income set by the Ministry to achieve the target of Doubling Farmers' Income by 2022;
- (e) whether  the  Government  proposes  to  change  its  strategy  and  undertake corrective steps to accomplish the desired result of doubling farmers' income; and
- (f) if so, the details thereof including the revised timeline fixed by the Government  for  doubling  farmers'  income  in  the  country  and  if  not,  the reasons therefor?

## ANSWER

MINISTER OF AGRICULTURE AND FARMERS WELFARE कृ षएवंकसानकयाणमंी (SHRI NARENDRA SINGH TOMAR)

(a to f) : Agriculture being a State Subject, the State  Governments  take appropriate  measures  for development  of  agriculture in the State.  However, Government  of  India  supplements  the  efforts  of  States  through  appropriate  policy measures and budgetary support and various schemes/ programmes. The various schemes/  programmes  of  the  Government  of  India  are  meant  for  the  welfare  of farmers  by  increasing  production,  remunerative  returns  and  income  support  to farmers.  A list of achievements is at Annexure I

The  Situation  Assessment  Survey  (SAS)  is  carried  out  by  the  National  Statistical Organization (NSO) at certain intervals only. The last available estimates on income of agricultural  household  are  based  on  the  Situation  Assessment  Survey  of Agricultural Households conducted by National Sample Survey Office (NSSO) during 77 th round  (January  -  December  2019).    As  per  the  survey  results,  the  average monthly income per agricultural household from all sources was estimated to be. Rs. 10218/-.  State-wise  details  of  the  monthly  Agriculture  Household  Income  including the North East is at Annexure-II.

The  Government  has  adopted  several  developmental  programmes,  schemes, reforms and policies that focus on higher incomes for the farmers. All these policies & programmes are being supported by higher budgetary allocations, non-budgetary financial  resources  such  as  creating  Corpus  Funds  like Micro  Irrigation  Fund  etc. There  have  been  several  reforms  to  unleash  the  potential,  e.g.  Formation  and Promotion of 10,000 FPOs along with necessary financial support under AtmaNirbhar Package (Agriculture). Under  AtmaNirbhar Bharat  special attention  is being paid for creation of infrastructure for which ' Agri Infrastructure Fund (AIF) has been  created    with  a  size  of  Rs.  100,000  crore.  Other  special  initiatives  include Supplementary Income transfers under PM-KISAN; Pradhan MantriFasalBimaYojna (PMFBY);    Pradhan  Mantri  Krishi  SinchaiYojana  (PMKSY);  Increase  in  Minimum Support Price (MSPs) for all Kharif & Rabi Crops ensuring a minimum of 50 percent of  profit  margin  on  the  cost  of  production,  Bee-Keeping;  RashtriyaGokul  Mission; Blue  Revolution;  Interest  Subvention  Scheme;  Kisan  Credit  Card  (KCC)  that  now offers production loan to even dairy & fishery farmers besides agricultural crops etc. The adoption of Drone technologies in agriculture has a potential to revolutionize the Indian agriculture.  In order to make Drone technology affordable to the farmers and other  stakeholders  of  this  sector,  financial  assistance  @  100  %  cost  of  drone together with the contingent expenditure is extended to ICAR/SAU/ State governments/  State  government  Institutions  under  Sub-Mission  on  Agricultural Mechanization (SMAM) for its demonstration on the farmer's fields.

The progress made so far indicate that we are on the right track.

## Achievements:

## (i) Unprecedented enhancement in budget allocation

In the year 2013-14, the Budget allocation for Department of Agriculture was only Rs. 21933.50 crore. This has been increased by more than 5.5 times to Rs. 1,23017.57 crore in 2021-22.

## (ii) Record food grains and horticulture production

Food grain production has increased from 265.05 million tonnes in 2013-14 to record 305.43 million tonnes in 2020-21 (Third advance estimate) which is the highest ever food grain production. Horticulture production has increased from 280.99 million  tonnes in 2014-15 to  320.48  million  tonnes  in  2020-21 (2nd advance Estimate) which is the highest ever for Indian horticulture.

## (iii) Fixing of MSP at one-and-a half times the cost of production -

- Government has increased the MSP for all mandated Kharif, Rabi and other commercial crops with a return of at least 50 per cent over all India weighted average cost of production from 2018-19.
- MSP for Paddy has increased to Rs. 1940 per quintal in 2021-22 from Rs. 1310 per quintal in 2013-14 marking an increase of 48%.
- MSP for Wheat increased from Rs. 1400 per quintal in 2013-14 to Rs. 2015 per quintal in 2021-22.

## (iv) Income support to farmers through PM KISAN

Launch of PM-KISAN in 2019 -an income support scheme providing Rs. 6000 per year in 3 equal installments. A total of Rs. 1.8 lakh crores have been released so far to more than 11.7 crore farmer families.

## (v) Pradhan MantriFasalBimaYojana (PMFBY)

PMFBY  was  launched  in  2016  addressing  problems  of  high  premium rates for farmers and reduction in sum insured due to capping. In past 5 Years of implementation  -  29.29  crore  farmer  applicants  enrolled  and  over  8.99  crore (Provisional) farmer applicants have received claims of over Rs. 103903 crore. During this period nearly Rs. 21448 crore were paid by farmers as their share of premium against which claims of over Rs.103903 crore (Provisional) have paid to  them.  Thus  for  every  100  rupees  of  premium  paid  by  farmers,  they  have received Rs. 484 as claims.

## (vi) Institutional credit for agriculture sector

-  Increased from Rs.7.3 lakh crore in 2013-14 with a target to reach Rs. 16.5 lakh crore in 2021-22.
-  Benefit  of  concessional  institutional  credit  through  KCC  at  4%  interest  per annum  has  also  now  been  extended  to  Animal  Husbandry  and  Fisheries farmers for meeting their short-term working capital needs.
-  A  special  drive  has  been  undertaken  since  February  2020  to  provide concessional institutional credit with focus on covering all  PM-KISAN beneficiaries  through  Kisan  Credit  Cards  (KCC).  Till  date,  270.29  lakh  new KCC have been issued with sanctioned amount of Rs.2,88,832 crore.'

## (vii) Providing Soil Health Cards to farmers

Soil  Health  Card  Scheme  was  introduced  in  the  year  2014-15  to  optimize usage of nutrients. Soil health cards have been issued free of cost to nearly 11 crore farmers under a nationwide program.

## (viii) Promotion of organic farming in the country

- Paramparagat  Krishi  VikasYojana  (PKVY)  was  initiated  in  2015-16  to promote organic farming in the country. Two-year achievement under PKVY scheme-19043 clusters have been formed and an area of 3.81 lakh ha has been covered benefitting 9.52 lakh farmers. In addition, under NamamiGange  Programme  123620  ha  area  covered  and  under  natural farming 4.09 lakh ha area covered.
- Mission Organic Value Chain Development in North East Region (MOVCDNER) has been launched. 170 Farmer Producer Companies have been formed comprising of 1.55 lakh farmers and covering 1,55,495 ha area.

In addition, to facilitate organic certification at affordable cost and easy to adopt approaches,  a  New  Participatory  Guarantee  System  (PGS)  certification  was launched during 2015. This PGS system is unique in the world and is the largest participatory organic certification programme in the world. Around 11 lakh small and marginal  farmers  are  certified  under  PGS  certification.  A  Jaivikkheti  portal has been initiated to assist the small and marginal famers in selling their organic products  directly  to  consumers.  As  of  now,  around  5.56  lakh  farmers  are registered  on  the  portal.  In  addition,  quick  certification  of  default  organic  areas such  as  islands,  remote,  hilly  areas  have  been  initiated  under  the  Large  Area Certification  programme.  This  will  enable  small  farmers  to  market  certified products  immediately  without  waiting  for  the  normal  certification  period  of  3 years. Around 14445 ha in Car Nicobar Islands of the Andamans is now certified under the programme helping marginal farmers in the area for marketing certified products. Proposal of 5000 ha area has been received from Ladakh under LAC

and fund Rs 11.475 lakh has been released. The entire cultivable land of 2700 ha area of Lakshadweep  have  been  certified  organic under Large area certification. Support  for individual farmers  for certification  has  also  been introduced to encourage farmers to take up organic farming.

## (ix) Neem Coating of Urea

Neem  Coated  Urea  has  been  introduced  since  2015-16  to  ensure  long availability  of  nutrients  in  the  soil  by  slow  release  of  nitrogen.  It  has  also helped in curtailing diversion of urea for non- agricultural activities.

## (x) Agri Infrastructure Fund (AIF)

Within  a  year  of  the  launch  of  AIF,  the  scheme  mobilized  Rs.7700  Crore worth  agriculture  infrastructure  in  the  country  for  more  than  7300  projects. With  the  support  of  the  scheme,  various  agriculture  infrastructure  was created  and  some  of  the  infrastructure  is  at  the  final  stage  of  completion. This  infrastructure  includes  3898  warehouses,  155  assaying  units,  136 primary processing units, 135 sorting & grading units, 20 smart & precision agriculture projects and around 3000 other kind of post-harvest management projects and community farming assets.

## (xi) Promotion of FPOs

-  Scheme for Formation and Promotion of 10,000 FPOs launched with a total budgetary provision of Rs. 6865 Crore in February 2020.
-  So  far,  more  than  4965  FPO  produce  clusters  have  been  allocated  to respective Implementing Agencies (IAs).
-  Cluster Based Business Organizations (CBBOs) have been empanelled by different IAs and already allocated blocks to them.
-  At  national  level,  a  National  Project  Management  Agency  (NPMA)  is engaged  for providing overall project guidance,  data  maintenance through integrated portal and information management and monitoring.
- (xii) A National Bee and Honey Mission (NBHM) has been launched in 2020 as  part  of  the  AtmaNirbhar  Bharat  Abhiyan.  Rs.500  crore  for  the  period 2020-2021 to 2022-2023 has been allocated for the sector.
- (xiii) Per Drop More Crop component of Pradhan Mantri Krishi SinchaiYojana (PMKSY-PDMC)

Per  Drop  More  Crop  component  of  Pradhanmantri  Krishi  SinchaiYojana (PMKSY\_PDMC)  aims  to  increase  water  use  efficiency  at  the  farm  level through Micro Irrigation technologies, i.e., drip and sprinkler irrigation systems.   Under  the  scheme  an area  of  20.39  lakh  hectare  has  been covered  and  about  16  lakh  farmers  were  benefited  under  micro-irrigation during  2019-20  &  2020  -  21.  An  amount  of  Rs.  5262.20  crore  has  been provided to states as central assistance under PMKSY-PDMC during 201920  and  2020-21.    For  the  year  2021-22,  an  amount  of  Rs.  4000.00  crore

(B.E.) has been allocated for implementation of the scheme and an amount of Rs. 779.18 crore released to States so far.

## (xiv) Micro Irrigation Fund

A Micro Irrigation Fund of Rs 5000 crore has been placed with NABARD.  In the  Budget  for  2021-22  the  corpus  of  the  fund  has  been  increased  to Rs.1000 crores. Projects worth Rs 3970.17 crore covering 12.83 lakh hectares have been approved.

## (xv) Agricultural Mechanization

Agricultural  mechanization  is  extremely  vital  to  modernize  agriculture and reduce drudgery of farming operations.  During the period from 2014-15 to  2021-22  (as  on  31.12.2021)  an  amount  of  Rs. 5130.61 crore  have  been allocated for agricultural mechanization. 13,78,755 numbers of machines and equipments have been provided to farmers on subsidy.   16,007 custom hiring centers,  378  high-tech  hubs  and  16,064  farm  machinery  banks  have  been established.

During  the  period  from  2018-19  to 2021-22  (as  on  31.12.2021),  an amount  of  Rs.  2440.07  crore  have  been  released  to  the  States  of  Punjab, Haryana, Uttar Pradesh, NCT of Delhi and ICAR for crop residue management. 39,398  Custom Hiring Centers (CHCs) of crop residue management machines have been established in these States and a total of more than 2.00 lakh machines have been supplied to these established CHCs and individual farmers of these four States.

## (xvi) National Agriculture Market (e-NAM) scheme

-  In 18 states and 03 UTs, 1000 markets have already been integrated with the e-NAM Platform.
-  As on 05.01.2022, total volume of 5.27 crore MT & 11.68 crore numbers (Bamboo,  Betel  Leaves,  Coconut,  Lemon  &  Sweet  corn)  with  collective worth of approximately Rs. 1.68 lakh crore of trade has been recorded on e-NAM  platform.  Till  date,  more  than  1.72  crore  farmers  have  been registered on e-NAM platform

## (xvii) Promotion of Agri Start up

799  start-ups  in  the  agriculture  and  allied  sectors  have  been  selected  for funding of a sum of Rs. 86.64 crore in instalments and Rs. 37.90 crore have been  released  to  respective  KPs  and  RABIs  for  funding  these  start-ups. These  start-ups were  trained for two  months  at  various  agribusiness incubation centres  i.e.  Knowledge  Partners  (KPs)  &  RKVY-RAFTAAR Agribusiness Incubators (RABIs).

## (xviii) Procurement

The details of procurement made forPaddy, Wheat, Oilseed and Pulses for the years 2009-2014 and 2014-2021 in quantitative terms (in LMT) and in value terms (in Rs. crore) is as under

|                   | 2009-2014                  | 2009-2014                | 2014-2022                  | 2014-2022                |
|-------------------|----------------------------|--------------------------|----------------------------|--------------------------|
| Commodity         | Quantity Procured (inLMTs) | MSP Value (Rs. in crore) | Quantity Procured (inLMTs) | MSP Value (Rs. in crore) |
| Paddy             | 1673.56                    | 289140.19                | 3492.79                    | 891557.04                |
| Wheat             | 1395.18                    | 168283.34                | 2622.69                    | 450789.82                |
| Oilseed and Copra | 5.72                       | 2459.98                  | 61.06                      | 27499.54                 |
| Pulse             | 1.52                       | 644.83                   | 109.64                     | 54959.92                 |

## (xix) Promoting Use of Drones in Agriculture

-  The adoption of Drone technologies in agriculture have a potential to revolutionize the Indian agriculture and ensure country's food security. Accordingly, looking into the unique advantages of Drone technologies in  agriculture,  the  Department  of  Agriculture  &  Farmers  Welfare  has released the Standard Operating Procedures (SOPs) for use of drones in pesticide and nutrient application in public domain 21.12.2021, which provide concise instructions for effective and safe operations of drones.
-  In  order  to  make  this  technology  affordable  to  the  farmers  and  other stakeholders of this sector, financial assistance @ 100 % cost of drone together  with  the  contingent  expenditure  is  extended  to  ICAR/SAU/ State  governments/  State  government  Institutions  under  Sub-Mission on  Agricultural  Mechanization  (SMAM)  for  its  demonstration  on  the farmer's fields. In order to provide agricultural services through drone application, financial assistance @ 40% of the basic cost of drone and its attachments or Rs.4 lakhs, whichever less is also provided for drone purchase  by  existing  and  new  Custom  Hiring  Centers  (CHCs)  under Cooperative  Society  of  Farmers,  FPOs and  Rural  entrepreneurs.  The agriculture graduates establishing CHCs are eligible to receive financial assistance @ 50% or up to Rs.5 lakhs.

Annexure-II State/UT-wise Monthly Agricultural Household Income

|                     | Monthly agriculture households' income (Rs.)   |
|---------------------|------------------------------------------------|
| States/Group of UTs | 2018-19*                                       |
| Andhra Pradesh      | 10480                                          |
| Arunachal Pradesh   | 19225                                          |
| Assam               | 10675                                          |
| Bihar               | 7542                                           |
| Chhattisgarh        | 9677                                           |
| Gujarat             | 12631                                          |
| Haryana             | 22841                                          |
| Himachal Pradesh    | 12153                                          |
| Jammu & Kashmir     | 18918                                          |
| Jharkhand           | 4895                                           |
| Karnataka           | 13441                                          |
| Kerala              | 17915                                          |
| Madhya Pradesh      | 8339                                           |
| Maharashtra         | 11492                                          |
| Manipur             | 11227                                          |
| Meghalaya           | 29348                                          |
| Mizoram             | 17964                                          |
| Nagaland            | 9877                                           |
| Odisha              | 5112                                           |
| Punjab              | 26701                                          |
| Rajasthan           | 12520                                          |
| Sikkim              | 12447                                          |
| Tamil Nadu          | 11924                                          |
| Telangana           | 9403                                           |
| Tripura             | 9918                                           |
| Uttarakhand         | 13552                                          |
| Uttar Pradesh       | 8061                                           |
| West Bengal         | 6762                                           |
| Group of UTs        | 18511                                          |
| All India           | 10218                                          |

December 2019)

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