Latest recorded data shows the country’s farming sector has coped very well with the COVID-19 crisis. The sector employs more than half of India’s population and is showing positive signs of growth of at least 3% in 2020-21. It boasts of a larger summer crop area than 2019; higher sales of seeds and fertilizers and better prices. Therefore, the Governor of the Reserve Bank of India, Shaktikanta Das has termed it a “beacon of hope”.
Despite the damage to the economy due to the COVID-19 pandemic, the farm sector shows minimal signs of negative impacts. The 3% growth will aid in overall growth of the economy, says the Niti Aayog think-tank assessment of April 2020.
Other positive indicators range from sowing to input sales. Further showcasing the agriculture economy heading to kharif operations in good shape.
Rice plantations now span 3.48 million hectares, as opposed to 2.52 million hectares, during the corresponding periods of 2019. This marks an increase of almost 37%, official data as of May 21 report.
One of the key reasons for such robust sowing is decent rainfall activity, which further points to good monsoons.
Das, reduced lending policy rate by 0.4% points to fuel growth. The farming sector, Das believes wil have a “salutary effect” on the rural economy.
Agriculture and allied activities have provided a much-needed beacon of hope with an increase of 3.7% in food-grain production. In the midst of gloom, the rays of hope are yet again the nation’s kisan.