In 2016, the Prime Minister presented an ambitious vision to double farmers’ income by the end of 2022-23, a goal that held immense significance given the central role agriculture plays in India’s economy and the livelihoods of millions. Despite sincere efforts and the launch of various initiatives, the target remained elusive. The sector’s complexities, coupled with systemic inefficiencies, contributed to this shortfall.

As the country recalibrates to achieve this vision by 2026-27, it is crucial to dissect the reasons behind the missed target and develop a robust, future-proof strategy to overcome the challenges. This article will not only explore the core bottlenecks but also provide expert insights and additional suggestions to steer India toward achieving this essential goal. Agriculture contributes around 18 per cent to India’s GDP but employs nearly 60 per cent of the population. Despite this, the income disparity between farmers and other sectors has widened, making agricultural reforms critical for rural development, poverty alleviation, and overall economic growth.

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Increasing farmers’ income would have a multiplier effect across various sectors, boost rural purchasing power, and foster a more stable socio-economic environment in India. Therefore, this vision is not just about agriculture ~ it’s about national progress. The key bottlenecks hindering the achievement of this vision are: * Limited Access to Agricultural Technology: The rapid advancements in agricultural technology ~ ranging from Artificial Intelligence (AI) and the Internet of Things (IoT) to drone-based precision farming – are game changers.

However, their adoption remains sluggish. Many farmers, especially smallholders, have limited awareness and access to these technologies due to inefficiencies in the agricultural extension system. Despite government schemes like the Digital Agriculture Mission aimed at bridging this gap, on-the-ground implementation remains weak. The collapse of the agricultural extension system, as noted by former Finance Minister P. Chidambaram in 2008, persists today. While government agencies strive to revitalize this system, a large portion of the farming population remains unreached, relying on outdated methods and practices that are neither efficient nor profitable. To modernize agriculture, the extension system requires a complete overhaul.

A potential solution lies in embracing digital platforms more robustly, using smartphones for real-time information dissemination and training. Collaborating with agri-tech startups that develop farmer-centric mobile apps could significantly transform farmers’ decision-making processes. Strengthening platforms like Kisan Call Centres or eNAM with realtime, AI-driven data inputs would also be instrumental.

* Absence of Competitive Markets for Farmers: Another critical hurdle is the lack of open and competitive markets. Farmers have been restricted to selling their produce within the confines of Agricultural Produce Market Committees (APMCs), where cartels often determine prices, preventing farmers from realizing the true market value of their crops. Unlike other sectors, where producers can sell freely, Indian farmers have historically been tied to a system that limits their options. In 2020, the government introduced three agricultural laws aimed at liberalizing the sector. These laws promised farmers the freedom to sell their produce anywhere in India, fostering competition and improving price realization.

However, widespread protests led to the repeal of these laws. The Prime Minister has reiterated that certain forces are obstructing the nations progress, and many be – lieve the rollback was influenced by external pressures not aligned with India’s development goals. To move forward, reforms that grant farmers greater market access must be reintroduced. One way to do this without triggering widespread protests could be to make the APMC system more competitive, allowing private players to coexist within these regulated markets. Additionally, policies should ensure a stronger mechanism for providing a safety net for farmers while promoting market freedom, so farmers can secure remunerative prices.

* Substandard and Counterfeit Agricultural Inputs: One of the least discussed but most damaging bottlenecks is the widespread availability of poorquality agricultural inputs. Fake seeds, fertilizers, and pesticides have flooded the market, causing crop failures and economic distress for farmers. For example, a 2020 analysis in Karnataka revealed that 250 so-called bio-products contained illegal chemical pesticides, some of which were unregistered in India. These substandard products not only destroy crops but also contribute to long-term issues like pest resistance. In 2021, counterfeit biopesticides led to the destruction of 9 lakh acres of chilli crops in South India, with some cases resulting in farmers taking their own lives due to the economic fallout.

A more rigorous certification system for agro-inputs is needed. Blockchain technology could be employed to track each product’s journey from production to retail. QR codes on packaging could allow farmers to verify product authenticity through mobile scans. Additionally, stricter and more frequent punitive measures should be implemented against those involved in the production and sale of counterfeit inputs.

* Lack of Infrastructure and R&D for Crop Protection: India’s crop protection sector remains underdeveloped, with most innovations coming from foreign companies. The absence of a robust domestic research and development (R&D) ecosystem limits the availability of advanced pesticides and biopesticides, which are crucial in combating evolving pest resistance. Without modern crop protection solutions, farmers are left using outdated or ineffective products, reducing productivity and increasing input costs. The government should incentivize private sector investment in agricultural R&D through tax credits and subsidies, particularly for companies establishing manufacturing plants and research centres in India.

Additionally, modernizing India’s regulatory framework for agrochemicals under the Jan Vishwas Bill would attract foreign direct investment and introduce cuttingedge technologies into the domestic market. To truly achieve the goal of doubling farmers’ income by 2026- 27, an integrated approach combining policy reforms, technological advancements, and capacity building measures is necessary. Below are expert recommendations to create a roadmap for the future:

* Strengthen Public-Private Partnerships (PPP): Public-private partnerships can bring much-needed investment, technology, and expertise to the agriculture sector. One successful example is Dhanuka Agritech’s collaboration with the Government of Madhya Pradesh in 2001, which led to a 40 per cent increase in crop yield over three years. Replicating such models across India, particularly in regions with high agricultural potential, can accelerate income growth for farmers.

* Reform the GST Structure for Agri-Inputs: Currently, pesticides and agrochemicals attract an 18 per cent GST rate, which significantly adds to farmers’ costs. Reducing this rate to 5 per cent or even exempting essential inputs like crop protection chemicals and fertilizers would lower input costs, making quality products more accessible to farmers. Additionally, a more streamlined subsidy system, particularly for fertilizers, could improve efficiency and reduce waste.

* Promote Farmer Awareness and Training Programmes: No solution can succeed without farmer education and training. Farmers should be made aware of the risks associated with counterfeit inputs, and regular workshops and campaigns on soil health, crop rotation, and efficient resource use should be organized. Digital platforms like Farmer Producer Organizations (FPOs) should be leveraged to disseminate information on modern farming practices, soil testing, and seed treatment. The private sector can also play a key role in guiding and training FPOs and their members on new technologies for various crops, enabling farmers to increase their incomes.

* Leverage Technology for RealTime Solutions: The use of drones, AI, IoT, and other technologies has the potential to revolutionize Indian agriculture, but these innovations are often perceived as expensive or inaccessible. The government can play a crucial role in subsidizing these technologies, making them affordable for small and marginal farmers. Additionally, AI-based platforms for real-time market price discovery can help farmers make more informed decisions about when and where to sell their crops.

Doubling farmers’ income is not just a goal; it is a necessity for India’s socio-economic fabric. The failure to meet this target by 2022- 23 presents an opportunity to rethink the strategy, addressing the gaps and ensuring that the next attempt, set for 2026-27, is successful. By focusing on policy reforms, technology dissemination, infrastructure development, and strengthening market access, India can realize the dream of a prosperous, self-sufficient agricultural sector.

Through the collective efforts of all stakeholders ~ government, private sector, and farmers ~ India can transform this ambitious vision into reality, empowering millions of farmers and securing the nation’s goal of becoming the third-largest economy by 2027 with a GDP of USD 5 trillion. Looking ahead, India can aspire to become the world’s largest economy by achieving USD 30 trillion, while advancing the ideals of Atmanirbhar Bharat and becoming a Vishwa Guru (global leader). With the youngest and most educated population, India is well-positioned to drive doubledigit GDP growth and lead global progress

(The writer is Chairman Emeritus, Dhanuka Agritech Ltd.)