The agricultural industry has garnered quite a lot of attention in our country owing to the technological advancements towards promoting the sector during the Covid pandemic. Moving along with the changing times, this sector has also adapted to digitisation, meeting with the demands of the time.
Due to these changes, the agricultural market is expected to have a growth of $30-$35 billion by 2025. According to a report by Bain & Company titled, ‘Indian Agriculture: Ripe for disruption’, e-sales of produce, digitally powered logistics as well as use of advanced technology in farming are some of the factors that are going to fuel this growth logistics.
India’s official farmer population, in other words, is anywhere between 100 million and 150 million which is close to 55% of our total population and digitally engaging with the online market and looking for opportunities in e-commerce will surely help the farming community in the long run. The report speaks of ‘Digital Disruptions’ using the above-mentioned technologies, which are going to play a part in creating a robust industry out of the agricultural sector. The internet has turned into a platform which has increased the visibility of these farmers and their produces.
The report authored by Parijat Jain, Prashant Sarin and Shalabh Singawne speaks about new business opportunities for the farmers with respect to the three new farm laws. It specifies that these laws which were introduced by the government in 2020 will be an encouragement for the farming community to sell their products directly to corporates without any APMC tax which will allow movement of food items from production to consumption centres freely and allow private investment in storage, which will surely bring a notable change in the sector. These government reforms are expected to create efficient supply chains citing the Essential Commodities Act (ECA) law brought by the government.
“There is no turning back from the road ahead. Indian agriculture is ripe for disruption. We see the sector benefitting from a ‘today forward, future back’ approach, where organisations can maximise the potential of the current business by becoming cheaper, better, faster, broader, and greener while taking the first steps towards a future vision. These technological changes, capabilities, and investment on the anvil will fundamentally change the productivity and landscape of Indian agriculture,” the report said.
The report explains the role that is played by the agricultural industry in the overall growth of the country. It stated that agriculture remains intrinsic to India’s growth and said that Indian agriculture needs to go through from an environment, sustainability and climate change point of view.
Apart from the online communities and the digitalisation, there are very many factors which are highlighted in the report which has resulted in the inflation. Increased funding which are contributed by insurance, credit rating, and loans are one among the major reasons followed by changes in farming activities, weather predictions and smart crop managements which is leading to a far greater output than before. All these changes are ultimately going to benefit the farmers and help them to come out of their poverty and reap the benefits of their hardwork.