As the Modi government prepares for a potential third term, the agricultural community in Maharashtra, a crucial voting bloc, eagerly awaits the upcoming interim budget on February 1, anticipating measures to address their pressing concerns.
Farmers in Maharashtra, particularly hit by unseasonal rains, are hopeful for proposals in the budget aimed at reducing production costs, ensuring better crop prices, and expediting the disbursement of relief funds.
Krishna Jadhav, a 33-year-old farmer from Sarole Khurd village in Nashik district, invested Rs 8 lakh in cultivating grapes on his 4-acre land. However, unseasonal rains severely damaged half of his crop. Jadhav and fellow farmers are advocating for a reduction in production costs, timely compensation for crop damage, and the establishment of processing units to add value to their produce.
Swift compensation for crop damage is a critical demand, with many farmers awaiting overdue payments for more than a year. Additionally, farmers are calling for a reassessment of government policies, including export bans on wheat, non-basmati rice, and onions, which have adversely affected their income.
Farmers emphasize the need for the government to avoid multiple export restrictions, grant GST concessions on agricultural products, and ensure fair prices for their produce.
In 2015, the allocation for the Ministry of Agriculture and Farmer Welfare in the Modi government’s first full budget was Rs 25,460 crore. While this figure increased to just over Rs 1,38,000 crore in 2022, it saw a slight reduction to Rs 1,25,000 crore in the 2023 budget, despite the government’s commitment to doubling farmer incomes by 2022.
With the next general elections on the horizon, farmers are hopeful for government support. However, experts caution that an interim budget may prioritize short-term measures over long-term structural changes.
Pushan Sharma, Director of Research at CRISIL, expressed, “Ten years ago, short-term measures accounted for only 10% of the budget. Last year, it constituted 90%. More emphasis is being placed on short-term measures, providing immediate results and cash in hand for farmers.”
While farmers appreciate short-term measures to address immediate financial concerns, they stress the significance of tackling longstanding issues, including the rollback of export bans and securing better prices for their produce. A key demand is the swift and efficient implementation of promises outlined in the budget.