Thaindian News

New Delhi, June 12 (IANS) Considering the limited availability of land, industry lobby Confederation of Indian Industry (CII) has recommended intensification of agriculture through increased farm mechanisation.

“Identification of farm mechanisation needs and development of need-based farm implements are of prime importance,” CII National Council on Agriculture chairman Rakesh Bharti Mittal said in a statement.

CII stresses that the policy framework should encourage farmers to move towards greater use of farm equipment, which will lead to higher agricultural productivity and thus higher farm income and crop yield.

It also proposes an action agenda covering policy framework, availability of farming machinery and equipment, and financial measures for promoting farm mechanisation.

It recommends establishment of a joint government and private sector working group to suggest a roadmap. A national mission on farm mechanisation should undertake activities in an intensive manner, the industry lobby says.

According to CII, availability of farm implements and machinery would hinge on maintaining a stock of such equipment at state agro corporations or agri universities for deployment on farms when needed.

This could either be done on a hire purchase or a lease basis so that farmers across all the verticals can access them according to their requirement. It also suggests measures like tax exemptions and zero duties to incentivise purchase of machinery.

The industry body points towards promotion of technology transfer from foreign firms through joint ventures.

Also on the suggestion list is a complete finance mechanism for facilitating leasing of farm machinery by small, medium and large farmers.

Loans should be offered on agricultural interest rates and lending norms should be liberal, flexible and transparent.

“While selective mechanisation has improved agricultural conditions in certain parts of the country, it is still a bottom of the pyramid story and it will remain so unless concrete measures are taken to propel farmers towards adoption of efficient farm mechanisation practices,” says CII director general Chandrajit Banerjee.

“Setting up of a farm mechanisation mission is thus the need of the hour,” he adds.

The yield in India, despite significant crop productivity during the green revolution, has nearly stagnated for two decades and is around 30 to 50 percent below international averages.

Experts estimate that by 2025, agriculture productivity should increase by 100 percent to sustain the projected population of 1.363 billion. According to CII, this can only be achieved through intensifying agriculture which is aided by mechanisation inputs.