New Delhi, Jan 31 (Reporter) Supported by a range of government initiatives India's agricultural sector, despite encountering various challenges, continues to be a crucial pillar for economic growth and ensuring food security for the nation. According to Economic Survey 2024-25, the agriculture sector has consistently demonstrated remarkable resilience, evidenced by stable growth rates supported by a range of government initiatives to enhance productivity, diversify crop portfolios, and provide essential social security support for farmers. The increasing significance of allied sectors, such as animal husbandry, dairying, and fisheries, underscores the importance of diversification in activities and sources of income for boosting their income levels and building resilience. By tapping into these complementary sectors, farmers can create additional streams of revenue that can buffer them against the inherent volatility of traditional crop production, it said. However, the sector is not without its challenges. Issues like climate change and water scarcity present significant obstacles that require focused and targeted interventions. Promoting agricultural production patterns and practices that align with the specific agro-climatic conditions and natural resource availabilities of different regions across the country is vital. “Investment in research and development, especially on climate-resistant varieties, improved agriculture practices, diversification to high-yield and climate-resilient crops, and micro-irrigation, can yield sustainable long-term benefits. The widespread adoption of digital technologies in agriculture will unlock further possibilities for enhancing productivity,” the Economic Survey, tables in Parliament by Union Finance Minister Ms Nirmala Sitharaman said. Improving price discovery and market efficiency is another critical aspect that necessitates attention. Strengthening market infrastructure is essential to facilitate this improvement. Government initiatives like PM-KISAN, which provides direct income support to farmers, and Pradhan Mantri Kisan Maandhan Yojna (PMKMY), which offers pension schemes for farmers, have successfully contributed to bolstering farmers' incomes and enhancing their social security safety nets. More than 11 crore farmers have been benefitted under PM-KISAN and 23.61 lakh farmers had enrolled under PMKMY as of 31st October 2024. In addition to these efforts, reforms such as e-KYC compliance under the ONORC initiative and credit guarantee schemes for e-NWR financing address systemic inefficiencies that have historically plagued the agricultural sector. Moreover, there is a concerted focus on modernising food grain storage systems, particularly in remote and hilly areas, which reflects a strong commitment to improving the overall supply chain infrastructure. While various initiatives have helped India’s agriculture and allied services to grow under challenging circumstances, the good news is that there is still significant untapped growth potential. The right set of policies across all levels of government can reduce the overproduction of cereals and address the underproduction of pulses and edible oil, the Survey said. For instance, India’s farmers must be allowed to receive price signals from the market unimpeded, with separate mechanisms designed to take care of the cost-of[1]living impact on deserving households for specified durations. Two, they need to have market mechanisms to hedge their price risks. Three, they need the right policies that nudge them away from impairing their soil fertility with an unbalanced application of fertilisers and from producing already overproduced crops, which deplete India’s water resources and use up electricity excessively. These policy shifts will help lift agricultural productivity in the economy by boosting land and labour productivity in the sector. Consistent and stable growth of agriculture at around 5 per cent, with a 20 per cent share of overall GVA in the economy, will contribute 1 per cent growth to GVA. Agriculture will then absorb surplus labour even as output per worker and output per hectare rise. Agro-based entrepreneurship will flourish even more than it already does. In the process, India will not only achieve food security for itself but will also enable it for other nations too. The possibilities are both exciting and limitless, the Survey observed...////...