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Business News/ Industry / Agriculture/  More funds required for agriculture mechanization, says standing committee
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More funds required for agriculture mechanization, says standing committee

Currently, the overall agriculture mechanization level of the country is 47%, which is lower than that of other developing countries such as China (59.5%) and Brazil (75%)

There has been a continuous reduction in funds allocated for farm mechanization scheme. The allocated budget in FY23 was  ₹158.6 million (BE) against  ₹ 217.7 million in 2019-20. (Photo: Mint)Premium
There has been a continuous reduction in funds allocated for farm mechanization scheme. The allocated budget in FY23 was ₹158.6 million (BE) against ₹ 217.7 million in 2019-20. (Photo: Mint)

New Delhi: The Centre must increase investment in research and development for farm mechanization, especially for small and marginal farmers, as it plays a critical role in boosting agriculture production and productivity, a parliamentary panel has said in a report.

There has been a continuous reduction in funds allocated for farm mechanization scheme. The allocated budget in FY23 was ₹158.6 million (BE) against ₹ 217.7 million in 2019-20.

 â€œTherefore, the agriculture department should impress upon the finance ministry about the need of the hour for investing money in R&D for farm mechanization particularly for small and marginal Farmers, as mechanization plays a key role in improving agricultural production and productivity," the parliamentary standing committee on agriculture, animal husbandry and food processing said.

Currently, the overall agriculture mechanization level of the country is 47%, which is lower than that of other developing countries such as China (59.5%) and Brazil (75%). The panel has urged the agriculture ministry to strive to achieve 75% in farm mechanization from the present 47% in a much shorter period than 25 years earlier.

The committee noted that contribution of agricultural mechanization in India leads to savings in seed 15- 20%, in fertilizer 15-20%, improvement in germination rate 7-25%, saving in time 20-30%, in weed 20-40% in labour 20-30%, increase in cropping intensity 5-20% and increase in crop yield 13-23%.

Small and marginal agricultural land holdings--of less than 2 hectare--account for 86% of the total operational holdings that require special efforts for mechanization.

The agriculture ministry is providing a subsidy of about 40-50% of the cost of the equipment to small and marginal farmers for their purchase of tractors, power tillers, combine harvesters, rotavators and rice transplanter under sub-mission on agricultural mechanization (SMAM). Since the implementation of SMAM in 2014-15, total ₹5,377.7 crore has been released under SMAM against which 14,24,179 machines were distributed.

To increase the level of farm mechanization for small and marginal farmers, and to offset the adverse economies of scale, arising due to small land holdings and high cost of individual ownership, the agriculture ministry must promote low-cost farm equipment, the panel suggested.

The committee feels that available equipment and technology to 200,000 farmers per year is negligible, keeping into account the huge size of Indian peasantry. It, therefore, desires that the agriculture department should involve other agencies at the district, block and village level to give technological demonstrations to all farmers at grass root level.

ABOUT THE AUTHOR
Puja Das
Puja Das is a New Delhi based policy reporter covering food, farm, fertiliser, water, and climate policies for Mint. Puja reports on farmers' distress and how the agriculture sector is impacting India's rural economy and policy initiatives to help meet the pledges made at COP27. Puja holds a post-graduation degree in Broadcast Journalism from the Indian Institute of Journalism & New Media, Bangalore.
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Updated: 24 Jul 2023, 03:03 PM IST
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