Executive Summary:
This document addresses Lok Sabha Unstarred Question No. 420 concerning the goal of doubling farmers' income. It details reforms undertaken by the Government of India in the last five years, comparing Indian agricultural support mechanisms with those of the European Union. It also outlines steps taken to promote precision farming, improve cold storage infrastructure, and future plans related to agricultural models.
Key Points / Main Content:
Doubling Farmers' Income (DFI) Initiatives:
* The government constituted an inter-ministerial committee on April 13, 2016, to recommend strategies for doubling farmers' income.
* Seven sources for enhancing farmers' income growth have been identified, including increased productivity, resource use efficiency, diversification, and remunerative prices.
* Budget allocation for the Department of Agriculture & Farmers Welfare increased from Rs. 21,933.50 crore in 2013-14 to Rs. 1,27,290.16 crore in 2025-26.
Minimum Support Price (MSP) and Market Price Stabilization:
* The Indian system for farmer welfare and food self-sufficiency is broad and inclusive, unlike the EU's Common Agricultural Policy (CAP), which is linked to farmed area and compliance with EU rules.
* Minimum Support Prices (MSPs) are fixed based on the recommendations of the Commission for Agricultural Costs & Prices (CACP), ensuring MSPs are at least 1.5 times the cost of production.
* Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PMAASHA) strengthens MSP implementation with Price Support Scheme (PSS), Price Deficiency Payment Scheme (PDPS), and Market Intervention Scheme (MIS).
* Procurement of Tur, Urad, and Masur under PSS is allowed up to 100% of the estimated production of the State until 2028-29.
* PDPS facilitates direct payment of the price difference between MSP and selling price to registered farmers, while MIS supports perishable and horticulture crops.
Precision Farming and Smart Agriculture:
* The Mission for Integrated Development of Horticulture (MIDH) supports Centres of Excellence (CoEs) for demonstrating precision farming technologies.
* The Digital Agriculture Mission aims to create a digital agriculture ecosystem with initiatives like Agristack and Krishi Decision Support System.
* Funding is provided to State Governments for Digital Agriculture Projects using technologies like AI, ML, and IoT under the National eGovernance Plan in Agriculture (NeGPA).
Cold Storage Infrastructure:
* The Agriculture Infrastructure Fund (AIF) supports cold storages in agri-export clusters to reduce post-harvest losses.
* 2454 cold storage projects have been sanctioned under AIF with a sanctioned amount of Rs. 8258 crore until 30.06.2025.
* MIDH provides financial assistance for pack houses, integrated pack houses, cold storages, reefer transport, and ripening chambers, with subsidies available through State Horticulture Missions (SHMs).
Future Plans:
* There is no current proposal to develop agricultural models in metropolitan areas.
Impact Analysis:
Farmers:
* Impact: Increased income through enhanced productivity, remunerative prices, reduced input costs, and improved market access and infrastructure. Assurance of price support and reduced distress sales.
* Action Required: Register for schemes like PM-KISAN and PMAASHA, adopt precision farming techniques, and utilize cold storage facilities.
State Governments:
* Impact: Responsible for implementing central schemes, creating and maintaining foundational registries for agriculture, and promoting digital agriculture projects.
* Action Required: Implement schemes effectively, leverage digital technologies, and facilitate procurement processes.
Entrepreneurs, Cooperatives, PACS, SHGs:
* Impact: Opportunity to establish cold chain logistics and integrated units through AIF support.
* Action Required: Avail AIF support for establishing cold chain infrastructure, grading, sorting, and packaging units.
Key Entities Referenced
Doubling Farmers Income DFI Committee: Committee established to provide recommendations for doubling farmers' income.
Minimum Support Price MSP: A form of market intervention by the Government of India to insure agricultural producers against any sharp fall in farm prices.
European Union: A political and economic union of member states located primarily in Europe.
Commission for Agricultural Costs Prices CACP: An advisory body that recommends minimum support prices (MSPs) for agricultural commodities in India.
Integrated Scheme of Pradhan Mantri Annadata Aay Sanrakshan Abhiyan PMAASHA: A scheme to strengthen implementation of MSP and act as a tool for market price stabilisation.
Agriculture Infrastructure Fund AIF: A fund to support cold storages and other agriculture infrastructure projects.
Digital Agriculture Mission: A mission to enable a digital agriculture ecosystem and promote farmer-centric digital solutions.
Mission for Integrated Development of Horticulture MIDH: A mission for holistic development of the horticulture sector.
GOVERNMENT OF INDIA
MINISTRY OF AGRICULTURE AND FARMERS WELFARE
DEPARTMENT OF AGRICULTURE AND FARMERS WELFARE
LOK SABHA
UNSTARRED QUESTION NO. 420
TO BE ANSWERED ON THE 22ND July 2025
GOAL OF DOUBLING FARMERS’ INCOME
420. DR. SHRIKANT EKNATH SHINDE:
SHRI RAVINDRA DATTARAM WAIKAR:
SHRI VISHALDADA PRAKASHBAPU PATIL:
SHRI NARESH GANPAT MHASKE:
SMT. SHAMBHAVI:
Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ(cid:874)ष और (cid:873)कसान
क(cid:227)याण मं(cid:287)ी be pleased to state:
(a) the details of the major reforms undertaken by the Government during the last Five
years to achieve the goal of doubling farmers' income and the steps taken to ensure
the compliance with the recommendations of the Doubling Farmers’ Income (DFI)
Committee;
(b) the manner in which the Minimum Support Price (MSP) and market price
stabilization mechanism in the country compare with European Union agricultural
subsidies and the details of the measures which are being taken to further protect
farmers' earnings;
(c) the details of the steps taken by the Government to promote precision farming and
smart agriculture techniques, thereby increasing farmers' profitability by reducing input
costs;
(d) the details of the measures which have been taken to improve cold storage
infrastructure for perishable agricultural commodities to increase farmers income; and
(e) whether the Government has any future plans to develop such agricultural models
in metropolitan areas, given that countries like the Netherlands and Israel are pioneers
in urban and vertical farming?
ANSWER
THE MINISTER OF STATE FOR AGRICULTURE AND FARMERS WELFARE
कृ(cid:874)ष और (cid:873)कसान क(cid:227)याण रा(cid:207)य म(cid:287)ं ी (SHRI RAMNATH THAKUR)(a) : The Government has adopted the vision of Doubling Farmers lncome. An inter-
ministerial committee was constituted on 13th April, 2016 to recommend
comprehensive strategies for achieving the goal.
The Government of lndia has identified the following seven sources for
enhancing growth of farmers: -
i. lncrease in crop productivity
ii. lncrease in livestock productivity
iii. Resource use efficiency - reduction in cost of production
iv. lncrease in cropping intensity
v. Diversification to high value agriculture
vi. Remunerative prices on farmers' produce
vii. Shift of surplus manpower from farm to non-farm occupations
To achieve the above seven objectives, Government of lndia supplements the
efforts of States through appropriate policy measures and budgetary support and
various schemes/ programmes. The Government has substantially enhanced the
budget allocation of Department of Agriculture & Farmers Welfare (DA&FW) from Rs.
21,933.50 crore during 2013-14 to Rs. 1,27,290.16 crore in 2025-26.
The various schemes/programmes of the Government of India are meant for
the Welfare of farmers by increasing production, remunerative returns and income
support to farmers is at Annexure.
(b): As per EU website (agriculture.ec.europa.eu), Common Agricultural Policy (CAP)
of European Union is linked to farmed area and conditionality for compliance with EU
rules. Indian system is broad and inclusive, as per national priorities of farmers welfare
and self sufficiency in food grains. Besides PM Kisan Samman Nidhi, Government
fixes Minimum Support Prices (MSPs) for mandated crops based on the
recommendations of the Commission for Agricultural Costs & Prices (CACP) after
considering the views of concerned State Governments and Central Ministries/
Departments. The Union Budget for 2018-19 had announced the pre-determined
principle to keep MSPs at levels of one and half times of the cost of production.
Accordingly, Government had consistently increased MSPs for all mandated Kharif,
Rabi and other Commercial crops with a minimum margin of 50 percent over all India
weighted average cost of production from the year 2018-19 onwards.
Integrated Scheme of Pradhan Mantri Annadata Aay Sanrakshan Abhiyan
(PM-AASHA) strengthens implementation of MSP and acts as a tool for market price
stabilisation. PM-AASHA has components of Price Support Scheme (PSS), Price
Deficit Payment Scheme (PDPS) and Market Intervention Scheme (MIS).PSS is implemented on the request of the State Govt./ UT that agrees to
exempt from levy of Mandi tax on the procurement of notified pulses, oilseeds and
copra and make arrangements like booking of scientific storage facility, identification
of procurement centres, arrangement of gunny bags etc.. It is implemented within the
stipulated period as and when the market prices of agricultural commodities fall below
the notified MSP during peak harvesting period to provide the remunerative price to
the farmers. From the procurement year 2024-25, the sanction for the procurement of
notified Pulses, Oilseeds and Copra under PSS is given to the States/UTs initially upto
a maximum of 25% of the production of the State for that particular season.
Subsequently, if the State/UT achieves the overall procurement against sanctioned
quantity and further intends to procure more beyond the sanctioned quantity, the
proposal for the procurement under the PSS is considered upto a maximum of 25%
of the national production. In order to incentivize the farmers contributing in
enhancement of domestic production of pulses and to reduce the dependence on
imports, the Government has allowed the procurement of Tur, Urad and Masur under
PSS equivalent to 100% of the estimated production of the State till 2028-29.
PDPS envisages the direct payment of the price difference between the MSP
and the selling / modal price in notified market upto 15% of MSP value (including 2%
administrative cost) by the Central Government to the pre-registered farmers selling
the oilseeds upto 40% of its production with prescribed Fair Average Quality (FAQ) in
the notified market yard through a transparent auction process within the stipulated
period. However, the States/UTs have the option to implement either PSS or PDPS
for the notified oilseeds for the particular year/season. If any State is willing to cover
quantities beyond 40%, it can do so from its resources.
MIS further enhances the diversity by supporting the perishable and
horticulture crops that are not covered under above price stabilisation measures. MIS
offers both physical as well as price difference payment along with a provision for
storage and transportation of TOP (Tomato, Onion and Potato) crops.
This integrated approach leads to the prevention of distress sale by farmers,
ensuring remunerative prices for their produce. It also facilitates the creation of buffer
stock to address market volatility. Overall, these measures strengthen farmer
confidence in market operations due to the assurance of price support.( c) : Precision farming enhances the productivity of agriculture, efficiency of water
use and farmers income on sustainable basis without any adverse impact on
environment. The crop yields are reported to increase substantially. Mission for
Integrated Development of Horticulture (MIDH) has provision for establishment of
Centres of Excellence (CoEs) in public sector for demonstration of latest technologies
,including precision farming. The technical support for these CoEs, for specific crops
and technology is provided by research institutes and through bilateral cooperation
with other countries.
Digital Agriculture Mission which enables a robust digital agriculture ecosystem in
the country for driving innovative farmer-centric digital solutions and making available
timely and reliable crop-related information to farmers. The Mission envisages the
creation of Digital Public Infrastructure for Agriculture such as Agristack, Krishi
Decision Support System, Comprehensive Soil Fertility & Profile Map, and other IT
initiatives undertaken by Central Government/State Governments. Agristack project is
one of the major components of this Mission, which consists of three foundational
registries or databases in the agriculture sector, i.e., the Farmers' Registry, Geo-
referenced village maps, and the Crop Sown Registry, all created and maintained by
the State Governments/Union Territories. This system aims to enhance
interoperability and convergence of efforts, fostering the development of applications
in the agricultural sector using emerging digital technologies.
Under National e-Governance Plan in Agriculture (NeGPA) program, which is
a component under Digital Agriculture Mission, funding is given to State Governments
for Digital Agriculture Projects using emerging technologies like Artificial Intelligence,
and Machine Learning (AI/ML), Internet of Things (IOT), Blockchain etc.
(d) : Under the Agriculture Infrastructure Fund (AIF), support is extended to cold
storages in agri-export clusters, at farm gate level, for small and marginal farmers as
well as big businesses, APMCs/mandis to reduce post-harvest losses and increase
farmers' returns. Entrepreneurs, cooperatives, PACS, and SHGs are actively availing
AIF support for establishing cold chain logistics, often integrated with grading, sorting,
and packaging units. Till 30.06.2025, 2454 cold storage projects have been sanctioned
under AIF with sanctioned amount of ₹8258 crore.
Besides, under the MIDH, for holistic development of horticulture sector,
including reducing of harvest and post-harvest losses, financial assistance is provided
for various horticulture activities . These include setting up of Pack Houses, Integrated
Pack House, cold storages, Reefer Transport, Ripening Chamber etc. The component
is demand/entrepreneur driven for which Government assistance in the form of credit
linked back ended subsidy is available at the rate of 35% of the project cost in general
areas and at the rate of 50% of the project cost in hilly and scheduled areas through
respective State Horticulture Mission(s) (SHMs).
(e ) : There is no such proposal as on date.Annexure
Various Schemes/Programmes of Department of Agriculture & Farmers Welfare
1. Pradhan Mantri Kisan Samman Nidhi (PM-KISAN)
2. Pradhan Mantri Kisan Maan Dhan Yojana (PM-KMY)
3. Pradhan Mantri Fasal Bima Yojana (PMFBY)/ Restructured Weather Based
Crop Insurance Scheme (RWBCIS)
4. Modified Interest Subvention Scheme (MISS)
5. Agriculture Infrastructure Fund (AIF)
6. Formation and Promotion of 10,000 new Farmer Producers Organizations
(FPOs)
7. National Bee Keeping and Honey Mission (NBHM)
8. Namo Drone Didi
9. National Mission on Natural Farming (NMNF)
10. Pradhan Mantri Annadata Aay SanraksHan Abhiyan (PM-AASHA)
11. Agri Fund for Start-Ups & Rural Enterprises’ (AgriSURE)
12. Per Drop More Crop (PDMC)
13. Sub-Mission on Agriculture Mechanization (SMAM)
14. Paramparagat Krishi Vikas Yojana (PKVY)
15. Soil Health & Fertility (SH&F)
16. Rainfed Area Development (RAD)
17. Agroforestry
18. Crop Diversification Programme (CDP)
19. Sub-Mission on Agriculture Extension (SMAE)
20. Sub-Mission on Seed and Planting Material (SMSP)
21. National Food Security and Nutrition Mission (NFSNM)
22. Integrated Scheme for Agriculture Marketing (ISAM)
23. Mission for Integrated Development of Horticulture (MIDH)
24. National Mission on Edible Oils (NMEO)-Oil Palm
25. National Mission on Edible Oils (NMEO)-Oilseeds
26. Mission Organic Value Chain Development for North Eastern Region
27. Digital Agriculture Mission
28. National Bamboo Mission
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