Indian stock market gives thumbs up to Sitharaman's bonanza for agriculture sector

Indian Finance Minister Nirmala Sitharaman's Budget for the financialyear 2024-25directed the wave of reforms in the agriculture sector.

Among the major announcements was the release of 109 new high-yielding and climate-resilient varieties of 32 field and cultivation crops for farmers within this financial year.

A substantial allocation of ₹1.52 lakh crore has been earmarked for agriculture and allied sectors with a stated goal to boost productivity in agriculture;one of the nine priorities set for the coming year.

Sitharaman also announced a comprehensive review of agricultural research aimed at developing climate-resilient seeds. This initiative will be overseen by domain experts to ensure its effectiveness and relevance.

Prime Minister Narendra Modi's government has also announced the promotion of digital public infrastructure for agriculture. Over the next two years, ten million farmers will be introduced to natural farming methods, the Indian finance ministerannounced.

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A total of ₹2.66 lakh crore has been allocated for rural development.

To enhance the supply chain for vegetables, the budget proposes the development of large-scale clusters near major consumption centres.

Additionally, a three-year plan will be implemented to establish comprehensive digital public infrastructure for agriculture, including a digital crop survey for Kharif crops in 400 districts this year. This survey will integrate details of 60 million farmers and their lands into registries.

The Budget 2024 also attempted to recognise the potential of aquaculture.Sitharaman also allocated financial support for establishing a network of nucleus breeding centres for shrimp broodstocks.

A new national cooperation policy will also be introduced to ensure the systematic and all-round development of the cooperative sector, the Indian finance minister saidin the Union Budget.

Meanwhile, the shares of agriculture-related companies hogged the limelight in Mumbai's Dalal Street on July 23 after Sitharaman approved ₹1.52 lakh crore for agri and allied sectors.