In a move to boost innovation in agritech startups, investments worth USD 248 million has been received in H1 2019.
As Prime Minister Narendra Modi strived to double farmers’ income, a Nasscom report titled “Agritech in India – Emerging Trends in 2019” has revealed that the average farmers’ income in the last ten years has increased by 1.7 times. This is in-line with the government’s aim to substantially increase the farmers’ income. Due to the efforts made as part of schemes and programmes of the Department of Agriculture and Farmers’ Welfare which also aligns with the strategy of doubling farmers’ income, there has been an appreciable improvement in efficiency bringing about a positive impact in the agriculture sector, Narendra Singh Tomar, Minister of Agriculture and Farmers’ Welfare had said in a reply to a question in Lok Sabha in December 2019.
The increased income of the farmers has also enabled them to try advanced solutions and drive innovation in the agritech startup space. In a move to boost innovation in agritech startups, investments worth USD 248 million has been received in this area in only the first six months of the previous calendar year.
Government’s initiatives to boost farmers’ income in recent years:
- Reduced interest rate
To ensure availability of agriculture credit at a reduced interest rate of 7 per cent p.a. to the farmers, an interest subvention scheme for short-term crop loans up to Rs 3 lakh has been implemented.
- Kisan Credit Card (KCC) Scheme
The government has also introduced the Kisan Credit Card (KCC) Scheme that enables farmers to purchase agricultural inputs and draw cash to fulfil their agricultural and consumption needs.
- Mobile App “CHCFarm Machinery”
To help the farmers in getting farm machinery, the government has developed and launched the Multilingual Mobile App ‘CHCFarm Machinery’.
- Machinery at concessional rates Some of the state governments like Kerala, Tamil Nadu and Madhya Pradesh are providing farm machinery to the farmers at a concessional rate through their agricultural departments.