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Source-This post on Agricultural Research and Development in India’s 2024 Union Budget has been created based on the article “Climate adaptation” published in “Business Standard” on 31 July 2024.
UPSC Syllabus–GS Paper-3- Indian Agriculture
Context- The Union Budget emphasized transforming agriculture research to boost productivity and develop climate-resilient crops. Funding for agriculture and allied activities increased by 8 percent to about ₹1.52 trillion, with the Ministry of Agriculture and Farmer Welfare getting a 4.5 percent boost from last year’s estimates.
What are the challenges plaguing the Indian Agriculture?
1) Under-investment in R & D-
A) The budget for autonomous research bodies under the Ministry was cut by 2 percent.This highlights a mismatch between the focus on improving agricultural research and the actual funding decisions.
B) Research from ICRIER (Indian Council for Research on International Economic Relations) shows that India’s agricultural research intensity (ARI), which measures R&D spending relative to agricultural GDP, has dropped from 0.75% in 2008-09 to 0.4%. This is significantly lower than Brazil’s 1.8% and China’s 0.6%.
2) Impact of Climate Change-
A) The agriculture sector is highly affected by climate change, which can impact food security. For ex-in 2023-24, while overall GDP grew by 8.2%, agricultural GDP only grew by 1.4%, down from 4.7% the previous year. This decline is partly due to poor monsoon conditions from El Niño.
B) Climate change is expected to cause more extreme weather, like uneven monsoons, floods, and droughts. The Economic Survey forecasts that wheat yields could drop by 19.3% by 2050 and 40% by 2080, worsening food insecurity and inflation as the population grows.
C) Extreme weather, including irregular monsoons and supply-chain disruptions, were key factors driving food inflation last year.
Read More- Research and Development in Agriculture
What is the significance of investment in agricultural R&D?
The research shows that each rupee invested in agricultural R&D returns 11.2 times, far more than the returns from fertilizer (0.88) and power subsidies (0.79). This indicates that shifting funds from these subsidies to agricultural R&D could be highly beneficial.
Way forward- Investing in agricultural research will help India’s agriculture adapt to climate change, creating a more resilient and sustainable food supply over time.
Question for practice
What challenges are affecting Indian agriculture? Why is investing in agricultural R&D important?
