New Delhi: The Government’s continued focus and commitment on doubling farmers’ income by 2022 is very evident in the 2021 Union Budget. The increase in the Agricultural Credit Target to Rs 16.5 lakh crore and the changes in the MSP (Minimum Support Price) regime to assure prices that are at least 1.5 times the cost of production across all commodities; will continue to boost the contribution of agriculture to the Indian economy,” Asitava Sen, Chief Executive Officer, CropLife India said while commenting on the Union Budget 2021-22, tabled by the Finance Minister Nirmala Sitharaman in the Lok Sabha today.
With a view to reduce overall cost of production for farmers, the GST on agrochemicals could have been reduced from the current 18 percent to 12 percent. Further, the government should provide 200 percent weighted deduction on R&D expenses by agrochemical companies to encourage innovation and introduction of new technologies, Sen further said.
“Agrochemicals are an integral part of the green revolution and play a crucial role in increasing agricultural productivity. Over the years, the Indian crop protection industry has made significant progress in terms of enhanced crop yields and crop quality, as well as integration of global and local technologies to meet the overall requirement of Indian agriculture,” he added.
“Keeping in mind its potential, the Government has recently recognised agrochemicals as a champion sector, where India can become a major global manufacturing hub. However, for India to become a global hub for agri-inputs, Indian regulatory processes must match pace with the global regulatory eco-system. We would continue to urge the Indian government to implement a science-based, progressive and predictive regulatory regime, for the sector to achieve its true potential.”
CropLife India is an association of 15 R&D driven member companies in crop protection. The member companies of the association jointly represents 70 percent of the agrochemicals market and are responsible for 95 percent of the molecules introduced in the country.
Agriculture Post is now on Telegram. Click here to join our channel and stay updated with the latest news and updates on agriculture.