The Union Budget 2025 may prioritise agriculture, with the government increasing its spending on the sector by 15% to about $20.2 billion. According to the report, the extra funding, compared to the ₹1.52 lakh crore this year, would be used to develop high-yielding variety (HYV) seeds and increase storage and supply infrastructure, as well as boost the production of pulse crops, oilseeds, vegetables, and dairy products.
All of this comes at a time when India, the world’s second-largest producer of rice, wheat, and sugar, is grappling with high food prices, which surged past 10% year-on-year in October 2024. The government had also imposed export restrictions on some agricultural products including wheat, along with extending the duty free import policy for some pulse varieties to try curbing the rising prices. Agriculture also employs nearly 45% of India’s workforce and contributes nearly 15% to its $3.5 trillion economy.
Presentation -Dibyabharati Nayak