Economic report 2024: Farmers should switch to high-value agriculture to increase their income

NEW DELHI:Monday’s Economic Survey 2024 said small farmers cannot increase their income by growing rice, wheat, millet, pulses or oilseeds. They should shift to high-value agriculture such as fruits and vegetables, fisheries, poultry and dairy, it said.

It said the growing importance of related sectors such as livestock, dairy and fisheries in improving farmers’ incomes suggests that greater attention needs to be paid to exploiting the potential of these activities to increase farmers’ incomes.

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The agricultural sector, which has grown by an average of 4.18 percent over the last five years, remains crucial for economic growth.

The 2024 study, presented by Indian Finance Minister Nirmala Sitharaman, highlighted the need to increase investment in technology, improve production methods, expand marketing infrastructure and reduce post-harvest losses to promote growth in this important sector.

In 2022-23, India’s foodgrains production reached an all-time high of 329.7 million tonnes and oilseeds production reached 41.4 million tonnes.

In 2023-24, foodgrains production was slightly lower at 328.8 million tonnes, mainly due to weak and delayed monsoon. Production of other crops such as Shree Anna or nutritional grains and oilseeds increased marginally.

The economic survey suggested that promoting agricultural producer organisations, the electronic National Agricultural Market (e-NAM) and allowing cooperatives to participate in the marketing of agricultural products could lead to better price discovery.

e-NAM is an all-India electronic trade portal that links the existing Agricultural Produce and Livestock Market Committees (APMCs) to create a unified national market for agricultural produce.

The Economic Survey is an annual report or a comprehensive review of the Indian economy during the previous financial year. It is prepared by the Economic Department of the Ministry of Finance under the direction of the Chief Economic Adviser of India (CEA).