Budget 2016 : Key highlights for Agriculture Sector

For the agricultural sector, the budget of 2016 brings hope and cheer for all the farmers across the country. For the first time, a record allocation has been made – 9.0 lakh crore! It has quadrupled since 2013. Here are some of the other key highlights of the same:

-The budget aims to double the farmer’s income by 2022.

-A dedicated Irrigation fund worth Rs.20000 crores to be set up under NABARD.

-5 lakh acres to be brought under organic farming over three year period.
-Implementation of 89 irrigation projects will be fast-tracked.

-Rs.35984 crores is the total allocation for farmer’s welfare.

-The priority of the government is to provide additional resource to the rural areas.

-A very marginal segment of farmers with Kisan Credit Cards (KCCs) has the benefit of interest subvention scheme prolonged for further period of up to six months (post-harvest) against Negotiable Warehouse Receipts (NWRs), at the same rate as available to crop loan. This is done to dampen the agonizing sale of crops by small farmers.

-A provision of Rs.15000 crores towards interest subvention to reduce burden of loan repayment has been made.

Featured Image Credit: Sustainability.monsanto.com