Farmer representatives and agricultural stakeholders came together on Saturday for a crucial pre-budget meeting with Finance Minister Nirmala Sitharaman.
During the two-hour discussion, they presented a range of proposals to address the ongoing challenges in the agricultural sector. Their key focus was on financial relief, market reforms, and investments to boost agricultural growth.
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Key demands included reducing interest rates on agricultural loans to as low as 1 percent, doubling the PM-KISAN income support from Rs 6,000 to Rs 12,000, and offering zero-premium crop insurance for small farmers under the Pradhan Mantri Fasal Bima Yojana. Tax reforms were also a priority, with calls for GST exemptions on agricultural machinery, fertilisers, seeds, and medicines, along with a reduction in pesticide GST from 18 percent to 5 percent.
Ajay Vir Jakhar, Chairman of Bharat Krishak Samaj, proposed a dedicated annual investment of Rs 1,000 crore for eight years to improve productivity in key crops like chickpeas, soybean, and mustard. The goal is to increase yields, reduce import dependence, and enhance nutritional security for the nation.
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Bhartiya Kisan Union (BKU) Speaker Dharmendra Malik emphasised the need for a complete review of the Minimum Support Price (MSP) system. He suggested factoring in land rent, farm wages, and post-harvest expenses in MSP calculations and called for a wider MSP coverage. Malik also advocated for improvements in mandi infrastructure and stricter regulations on imports and exports.
RG Agarwal from PHD Chambers of Commerce and Industry highlighted the importance of reducing GST on pesticides and tackling the smuggling and sale of fake products. The meeting also saw discussions on more long-term reforms, including adding agriculture to the Concurrent List of the Constitution and creating a central Indian Agricultural Service.
The meeting was attended by Minister of State for Finance Pankaj Chaudhary, along with senior officials from the finance and agriculture ministries, as well as representatives from farmer producer companies, agricultural associations, and the corporate sector.