How the changing dynamics of agriculture in India is paving the way for a new futuristic model – Times of India

The dichotomy of Indian agriculture is unique. India ranks second in terms of global food production and, at the same time, is home to the worlds largest undernourished population. Agriculture provides livelihood to more than 50% of the population, yet contributes less than 20% to Gross Domestic Product (GDP). Even after seven decades since independence, Indian farmers continue to battle low productivity and profitability. Considering the complexity of Indian agriculture, a single policy or technology cannot reform the agricultural sector.

However, consistent digital transformation efforts along with government incentives and intervention can strengthen the agricultural model in India. In the past few years, the agriculture landscape in India has witnessed a spike in innovative inventions, use of technology and improved farming models. An influx of investments, AgriTech startups and innovation are bent on changing the dynamics of Indian agriculture and paving the way for a futuristic model.

Farm diversification for supplementing income

The state of small and marginal farmers in India has been dismal, struggling with inadequate farmlands, low incomes and mounting debts. As per the stats 100 million farmers out of 140 million own less than an acre of land, while many others own less than 2 acres. These farmers depend on mono-crop culture, wavering weather, informal lenders and fluctuating output prices. And farmers who seek to venture into aquaculture or animal husbandry dont have appropriate investments, marketing channels and knowledge.

But with the advent of AgriTech startups and digital tools, many Indian farmers are supplementing their income with farm diversification. These startups are empowering farmers to integrate livestock rearing and aquaculture into their existing operations with micro-farm installation requiring minimum space and labour. Non-crop diversification is helping farmers increase and earn round-the-year income, improve productivity and profitability and adopt sustainable farming systems.

Improving digital & market connectivity

Before the internet and smartphones, farmers could only access their local or closest markets, often suffering low returns for their produce. Moreover, due to a lack of storage infrastructure, farmers were forced to sell their produce at the first price offered. However, with ever-increasing internet and smartphone penetration, digital connectivity is reaching Indian villages. As a result, farmers can access a slew of information about farming inputs, climate conditions and market prices. It has further improved the market linkage of farmers, who can now sell their produce at higher prices. Many AgriTech startups are increasing awareness among the farming communities and connecting them to a network of traders, retailers and exporters willing to buy their produce at higher prices.

Availability of affordable & innovative farming inputs

Currently, the market for farming inputs in India is highly unorganized and a majority of farmers have to deal with middlemen to procure materials. Thus, they end up paying premium prices or borrowing money for farming inputs. However, technological improvements and competition among private companies have led to a surge in the supply of quality and affordable farming inputs. Consequently, farmers can order innovative inputs, better seeds and fertilizers, customized farm machinery and feed for animals online at cost-effective prices. Technological advances in supply chain platforms have also resulted in the supply of high-quality live input materials to farmers engaged in livestock rearing and aquaculture.

Formal Credit Inclusion

For ages, Indian farmers have been stuck in a vicious loop of low income, piling debts and lack of formal credit, thereby resorting to high-interest rate charging moneylenders. But with the emergence of Fintech and AgriTech startups, the lending landscape of the country is changing. Previously underserved small and marginal farmers can now secure loans from formal institutions at low-interest rates. A plethora of easy financing options and government initiatives have alleviated the burden of interest on farmers. With accessible and affordable credit, farmers can adopt entrepreneurial strategies.

The road to digital agriculture

The initiation of the Digital Agriculture Mission by the government is set to pave the way for a new and futuristic farming model in India. The use of technologies like blockchain, artificial intelligence (AI), remote sensing, drones and robots can improve agriculture production, profitability and sustainability. A unified AgriStack platform will provide farmers with end-to-end services and timely technological and data interventions. A robust digital infrastructure can help revolutionize Indias agricultural landscape. By arming farmers with information and technology, India can achieve twin benefits of profitability and sustainability.

Wrapping Up

With a burgeoning population, climate change and a looming food security crisis, the need for Indian agriculture to transition from the traditional industrial model into a new futuristic and sustainable model has never been more pressing. Small but consistent changes in the agricultural sector can propel Indias farming community to the next level. Greater support for AgriTech firms, digital infrastructure and innovative technologies can usher in a digital and green agricultural model.

Views expressed above are the author's own.

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How the changing dynamics of agriculture in India is paving the way for a new futuristic model - Times of India