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DOUBLING FARMERS INCOME-NEED OF THE HOUR

BANKING FINANCE

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March 2022

Agriculture and allied sector provides livelihood to 54.6% of the population of India (census 2011) and it contributes 17.80 % to the country's Gross Value Added (2019-20) as per Economic Survey 2020.

- Pravindra Kumar

DOUBLING FARMERS INCOME-NEED OF THE HOUR

India ranks among the top countries in the world in production of a number of crops including rice, wheat, sugarcane, fruits and vegetables. Farmers are, and will remain the drivers of Agricultural sector.

Since the development of Farm mechanisation in India is still below the mark due to several factors like small land holdings, equipment cost and poor credit availability, the role of farmer in agriculture holds crucial importance and it is our imperative to ensure that farmers find Agriculture as a profitable economic activity. In this backdrop, National Commission for Farmers was constituted in 2004, chaired by Prof. M. S. Swaminathan, to suggest methods for faster and more inclusive growth for farmers. Then, the Government of India in 2016 constituted an expert committee headed by Ashok Dalwai to look into the entire agriculture ecosystem in the country to suggest ways and means to reform it so that farmers' income can be doubled by 2022.

Current Status of Farmers' Income

According to NSSO survey, for the year 2012-13, the average annual income for a farm household from farm as well as non-farm source was Rs.77, 112.

A study by Chand et al in 2015 reveals that it took 22 years (1993-94 and 2015-16) to double the farmers' real income.

More than 20% of the farmers in India are Below Poverty Line.

Major Reasons behind farmer Distress in India

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