FY25 Budget: Agriculture Ministry Allocated Rs 1.27 Lakh Cr

The Union Budget 2024-25 has allocated Rs 1.27 lakh crore for the Ministry of Agriculture, a slight increase from the current fiscal year. The allocation includes Rs 60,000 crore for the flagship PM-KISAN scheme, which provides income support to farmers. The budget also focuses on boosting the sectors of fisheries, animal husbandry and dairying, as well as cooperation and food processing.

Department-wise allocation

According to the budget document, the agriculture ministry has been allocated Rs 1,27,469.88 crore for 2024-25 financial year, of which the Department of Agriculture will get Rs 1,17,528.79 crore while the Department of Agricultural Research and Education (DARE) Rs 9,941.09 crore .

As per the revised estimates of the current fiscal, the department of agriculture has been allocated Rs 1,16,788.96 crore while the DARE Rs 9,876.60 crore.

The allocation for flagship PM-KISAN scheme under the department of agriculture remains unchanged for next fiscal at Rs 60,000 crore. Under this scheme, the government provides Rs 6,000 per year to farmers in three equal instalments.

Finance Minister Nirmala Sitharaman said as many as 11.8 crore farmers were provided financial assistance under the PM KISAN Yojana.

Other ministries related to agriculture

The budget also allocated funds for other ministries related to agriculture, such as consumer affairs, food and public distribution, chemicals and fertilizers, cooperation, fisheries, animal husbandry and dairying, and food processing industries.

According to the budget papers, the Ministry of Consumer Affairs, Food & Public Distribution has been allocated Rs 2.13 lakh crore for the next fiscal year, lower than the 2023-24 allocation.

Under this ministry, the allocation for the department of consumer affairs has been earmarked at Rs 303.62 crore for 2024-25 from Rs 309.26 crore in the current year.

The Department of Food and Public Distribution has been earmarked Rs 2,13,019.75 crore as against Rs 2,21,924.64 crore in the current 2023-24 fiscal. This department has been tasked to provide free foodgrains to over 80 crore people through ration shops.

Government subsidies on food and fertilisers have been pegged at Rs 3.69 lakh crore for 2024-25, about 8 per cent lower than the estimated outgo in the current fiscal.

The Ministry of Chemicals and Fertilizers has been allocated Rs 1.68 lakh crore for 2024-25 fiscal.

Under this ministry, the allocation for the department of fertilisers has been reduced to Rs 1,64,150.81 crore for the upcoming financial year from Rs 1,88,947.29 crore in the current fiscal.

The department of chemicals and petrochemicals has been earmarked Rs 139.05 crore next fiscal as against Rs 572.63 crore in the current financial year.

However, the allocation for the department of pharmaceuticals has been enhanced to Rs 4,089.95 crore from Rs 2,697.95 crore in the current fiscal.

The Ministry of Cooperation, headed by Home Minister Amit Shah, has been allocated Rs 1,183.39 crore for 2024-25 from Rs 747.84 crore in FY24.

As per the document, the Ministry of Fisheries, Animal Husbandry and Dairying has been earmarked Rs 7,105.74 crore for the next fiscal.

Out of this, the department of fisheries’ allocation has been increased to Rs 2,584.50 crore in the next fiscal from Rs 1,701 crore in the current 2023-24 fiscal.

The department of animal husbandry and dairying has been allocated Rs 4,521.24 crore in 2024-25 from Rs 3,913.93 crore in the current fiscal.

The Ministry of Food Processing Industries has been slightly raised to Rs 3,290 crore next fiscal from Rs 2,911.95 crore in the current fiscal.

Conclusion

The budget allocation for agriculture reflects the government’s commitment to boost rural income and ensure food security amid the challenges posed by the COVID-19 pandemic. The budget also aims to promote the allied sectors of agriculture, such as fisheries, animal husbandry and dairying, which have a significant potential to generate employment and income for the rural population.