New National Agricultural Policy

The government of India announced a National Agriculture. Policy on July 28, 2000. This policy seeks to actualise vast untapped growth potential of Indian agriculture, strengthen rural infrastructure to support faster agricultural development, promote value addition, accelerate the growth of the agro-business, create employment in rural areas, secure a fair standard of living for the farmers and agricultural workers and their families, discourage migration to urban areas and face the challenges arising out of economic liberalization and globalization. Over the next two decades, National Agriculture Policy aims to attain: (i) a growth rate above 4 per cent per annum in the agriculture sector; (ii) growth that is based on efficient use of resources and conserves our soil, water and biodiversity; (iii) growth with equity, i.e., growth which is widespread across regions and farmers; (iv) growth that is demand-driven and caters to domestic markets and maximises benefits from exports of agricultural products in the face of the challenges arising from economic liberalization and globalization; and (v) growth that is sustainable technologically, environmentally and economically,

The main features of the National Agriculture Policy are as under:

Privatisation of agriculture and price protection of farmers in the post-QR (quantitative restrictions) regime would be part of the government’s strategy to synergise agricultural growth.
The focus of the new policy is on efficient use of resources and technology, adequate availability of credit to farmers and protecting them from seasonal and price fluctuations.
Private sector participation would be promoted through contract farming and land leasing, arrangements to allow accelerated technology transfer, capital inflow, assured markets for crop bine production, especially of oilseeds, cotton and horticultural crops.
Private sector investment in agriculture would be encouraged, particularly in areas like gd agricultural research, human resource development, post-harvest management and marketing.
Because of dismantling of QRs (quantitative restrictions) on imports as per WTO agreement on agriculture, the policy has recommended formulation of commodity wise strategies and e arrangements to protect farmers from the adverse impact of undue price fluctuations in the world s market and promote exports.
The government would enlarge the coverage of future markets to minimise the wide fluctuations in 31 commodity prices as also for hedging their risks. The Policy hopes to achieve sustainable Ster development of agriculture, create gainful employment and raise standards of living.
The Policy envisages evolving a “National Livestock Breeding Strategy” to meet the requirement of milk, meat, egg and livestock products and to enhance the role of draught animals as a source of energy for farming operations.
It is Plant varieties would be protected through legislation to encourage research and breeding of new varieties.
Development of animal husbandry, poultry, dairy and aquaculture would receive e top priority. A high priority would be accorded to evolve new location- specific and economically viable improved varieties of farm and horticulture crops, livestock species and aquaculture. Domestic – agriculture market would be liberalised.
The restrictions on the movement of agricultural commodities throughout the country would be progressively dismantled.
The structure of taxes on foodgrains and other commercial crops would be reviewed. The excise duty on materials such as farm machinery and implements and fertilisers used as inputs in agricultural production, post-harvest storage and processing would be reviewed.
Appropriate measures would be adopted to ensure that agriculturists, by and large, remained outside the regulatory and tax collection system. Rural electrification would be given high priority as a prime mover for agricultural development. This use of new and renewable sources of energy for irrigation and other agricultural purposes would be encouraged.
Progressive institutionalization of rural and farm credit would be continued for providing timely and adequate credit to farmers. O Endeavour would be made to provide a package insurance policy, for the farmers, right from the sowing of crops to post-harvest operations, including market fluctuations in the prices of agricultural produce.

Here are some notes for India’s Agricultural Policy Growth.