The document discusses proposals to stabilize Indian farmers' incomes through policy and institutional reforms. It notes that the average monthly income for Indian farmers is Rs. 6,426, which needs to double to Rs. 12,852 for stability. The document proposes: 1. Registering all farmers and developing a digital database with their details. 2. Establishing village, block, and district bodies to plan agriculture and provide single-window services like inputs and procurement. 3. "Salarizing" farmers by paying them a minimum monthly salary based on their land size, crops grown, and yields. 4. Providing farmers with identity cards to access benefits and establishing procurement systems to reduce middlemen and increase

1. NAME: AMIT
KUMAR
ID: 14013
BSc. (Ag.) Part 4
EXT.(411)
Submitted to:
Prof. O P Mishra
Dr. B P Jirli

2. What is the average income of an
Indian farmer ?

3. The average monthly income of the Indian farm household
₹6,426 (by the situation assessment survey of agricultural
households in its NSS 70th round.)
1.Net receipts from cultivation (47%)
2.Farming of animals (13%)
3.Non-farm business (8%)
4.Income from wages. (32%)
During the same period, the average monthly
consumption expenditure per agricultural household was
₹6223.
cultivati
on
47%
livestoc
k
13%
Non-
farm
32%
wages
8%

4. • In order to increase their monthly income by two fold i.e
from ₹ 6,426 to ₹ 12,852 their has to be a net annual
growth rate (AGR) of 12% to 14% in agriculture sector
But the present growth rate is just one third of the desired
i.e 4.1%

6. Double income
Stabilised
income

14. 1.Development of infrastructure
2.Technology intervention
3.Policy
4.Institutional mechanism

16. want to organise the agriculture services sector by
bringing out some of the path breaking policy and
institutional amendment's in Indian agriculture
scenario and try to make its working smooth and
swift like any other organised government firms
such as military, railways, health care etc. in such
a way that it brings a sense a stability in the
farming community.
1. Stabilise the farmer income
2. If achieved , then work on its multiplication

17. IS IT POSSIBLE ?

18. • Agriculture census: Registration of the entire farming
community
• Farmer centric policy- not farm centric
• Buying the cultivation rights of the farmers ( it is not
similar to contract farming)
• Special agriculture zones(SAZ)
• Conversion of the farmers status to sarkari kissan
• Salarising the farmers
• Independent id cards (kisan praman patr)
• Setting up of village, block and district institutional bodies
for agricultural planning (VAPU, BAPU, DAPU)
• Single window clearance and procurement system
established at taluka level/block level.
• Farm price forecasting model

19. • Generally done after every 5 years: (last in 2016)
• 80% of the farmers belong to small, marginal and middle
class farmers
• A fully technology driven census to build a rich cyber
database of the rural farming community having all the
information.
What all will be computed ?
Each and everything present in the current census ranging
from the no. of members in the family, their educational and
employment status, no of kids their health
status……………….. to their land holding, cropping
intensity, crop rotation , livestock's, debts and various other
sources of income etc.

21. • Indian Agriculture is a state matter
• There are countries where agriculture is not the
state matter and government have full ownership
of the farmers field and its produce
• The ownership right of the land will rest in
farmers hand….but……if he opts for this
policy…..which is voluntary…..then the
cultivation rights will be bought from him as per
the economics of his asset.

22. Unlike any other government employ we will salarise the
farmers
How it will be done ?
The salary of the farmer will be based on various factors:
1. The amount of land size holding
2. The crop taken
3. The quantity and quality of yield obtained
4. Duration of the crop
under this policy the farmers will not have a fixed salary but
they will definitely have a minimum stabilised salary .

23. • This national identity card will entitle the farmer for all the
benefits which are given by various government & NGO’s
such as:
• Crop insurance
• Health cover
• Food security
• Income security
• Educational security
• Institutional security

24. • What are the bodies governing agriculture and allied sectors in
districts.
District agri.
Planning
unit
Social
scientist
economist
Agriculture expert
scientist
Allied
departments
Krishi pandits
Progressive
farmers
BAPU/TAP
U
VAPU(consultin
g gram
panchayats)

25. Block agriculture planning unit (BAPU)
Its liabilities:
• It will do the census and registration of the agriculture
household coming inside its territory .
• Maintaining their own cyber agriculture database.
• Surveying of the entire block
• Soil testing of the entire SAZ
• Irrigation facility to entire area
• Dedicated radio channel of the district.

26. • Before harvesting of the standing crop farmer will be
informed to take up their appointments with the concerned
departments at the VAPU/BAPU
• They have to carry their id cards
• Counsellors will feed their credentials in the systems and will
come to know about the status of the farmer and his farm
• All vital inputs related to soil, weather and crop will be their
with the counsellors in their database(
IMD,NCDEX,SATELITE IMAGING)
• They will suggest the crop/crops/rotation and their variety to
be taken in the coming season on the base the results
obtained after computing.

27. • They will also prescribe the amount of fertiliser to be
applied in the farmers field at various interval.
• The farmers choice will also be asked at that time and a
full system analysis will be run ….if the results come out
to be very promising then the counsellors will approve the
crop selection….otherwise farmer will have to grow the
prescribed crop.
• They will be provided with the required quantity and
desired variety of the seed at the BAPU itself at
subsidised rate
• They will be further provide with the recommended dose
of fertilisers at subsidised rates .
• The farmers crop will be insured at that time only
• All those farmers requiring the credits for the cultivation
will be provide with the credits at BAPU by various
Gov./NGO bodies.
• All institutional benefits will be linked to the farmers
profile and any crop related subsidies if present will be

28. • Farmers will have to abide by the agreements of the policy
and if violated then will loose its entire benefits.
• BAPU will conduct various aerial and land surveys to
ensure that the farmers are doing the operations properly
or not .
• Farmers will bring their harvests to BAPU and entire
harvest will be procured by the BAPU
• After procurement , the salary of the farmer will be revised
again on the basis of the quality of the produce
• The data of the produce will be uploaded on the e-NAM
portal and its price will be fixed by the Gov. and it will be
disposed off as soon as possible

29. • The major basis will be its MSP which will be well
predicted in advance on the basis of various decisive
factors such as the rain, expected production , expected
demand, i.e. remunerative pricing of the crop will be done
well in advance.
• The expected cost of cultivation Incurred while the
cultivation of that crop
• Deducting the cost of fertiliser , insecticides and irrigation
• The farmers entire income will be divided by the crop
duration
• Compounded Interest will be paid on the credit present
with the government
• Accordingly salary will be paid

30. 1. Union agriculture budget- ₹ 10 lakh
2. NABARD- ₹ 40,000
1. Micro irrigation fund – 5,000
2. Dairy Development fund- 8,000
3. Co-operative banking institution- 19,000
1. National horticulture mission-2,320
2. PMFBY- 9,000
3. MNREGA-48,000

31. • Agriculture dedicated fund (ADF)- Agri fund+ NABARD
₹ 10400000000000 = ₹10,40000 CRORE
Cumulative rural development fund = ADF + MNREGA
(CRDF ) = 10,88,000
CRORE
Agriculture’s contribution to the GDP= 16,87,064 CRORE
(15.1%)
THE RAY OF HOPE= GDP- CRDF
= 5,99,064 CRORE
The cost benefit ratio comes out to 1.81, which is very
low…….

32. Total costs = Operational costs + Material cost + Fixed costs
= ₹ 28,252 + 6,760 + 10,671
= ₹ 45,683
Total Expected Return = Main product + Byproduct
= ₹ 95,550 + 6000
= ₹ 1,01,550
Net Expected Return = Total Return – Total costs
= ₹ 1.01,550 – 45,683
= ₹ 55,866 (25-30%)
cost of rice in the market=₹3000/Q
Total amount received by = ₹ 1,95,000
middleman
Middle man share = ₹ 1,95,000 – 1,01,550
=₹93,450 (45-55%)
The average monthly
income of the
discussed farmer is
around ₹ 8405 (if he
take another crop
which fetch him around
45,000-50,000)

33. • Established at BAPU
• Produce will be procured by the BAPU
• Its quality analysis will be done and accordingly the
salary of the farmer will be adjusted .
• The produce details will be uploaded on the portal of e-
NAM and competitive biding will be done with the base
value of 125% of MSP + processing charge of the total
produce.
• All private players, whole-sellers and retailers have to
procure the produce from the BAPU itself through online
portal.
• Thus, the role of middleman will be played by the BAPU

34. • Therefore the share of the BAPU will account to 45-55% of
the total
• Among this the BAPU will maintain the following exchequer:
1. cost of the agriculture inputs granted to the farmer.
2. cost of the processing and value addition
3. management cost.
• The remaining profit i.e ( 15-20%) will be disbursed to the
farmer.
• This comes out to be approx. ₹ 21,325 ( for a single crop)
i.e ₹ 42,650( if two crops in a year)
• Therefore , the revised income of the farmer can be
approximately raised upto 12,000 – 14,000/mth.

36. • During such times of adverse/untoward condition the
BAPU will pay the farmers a minimum sum of 3,000-
4,500 depending upon their credentials.
Where will we get this money from
?
• PMFBY (covers only 30%......target to reach 60% by
2020)
• KKC (0.5%, on every good and service) (10,680crore)
• DAC & FW (raising fund for the rural welfare)

37. • Rashtriya krishi vikas yojna(RKVY)
• National commission on farmers report- 2008 (M.S
Swaminathan)
• National council of applied economic research-2017
(NCAER)
• Doubling farmer’s income report (Vol 1,2)
• Department of agriculture cooperation & farmer welfare
(DACFW)
• Indian council of food & agriculture research report (ICFAR)
• NITI Aayog report
• National policy for farmers 2007 (NPFF)
• Agriculture census 2015-16
• Blogs

38. THANK YOU