Jaitley Budget 2018: This is how agricultural companies and farming sector will be benefited

Last Updated: Thu, Feb 01, 2018 19:12 hrs

After budget 2018, it seems that every one has got something to cheer for, except for salaried individuals who are miffed at not getting a tax slab revision.

The farm and rural sector, especially farmers will have lots to cheer about from the budget, considering Jaitley's budget has been designed to help distressed farmers and rural areas and to boost growth, jobs and private investment. Here is a complete list of updates on the farming sector.

  • An allocation of Rs 14.34 lakh crore for creating livelihood in rural sector.
  • The government also allocated Rs 500 crore towards 'Operation Green'.
  • The Minimum Support Price of all crops to be increased to at least 1.5 times that of the production cost, announces the Finance Minister
  • 470 APMCs (Agricultural produce market committee) have been connected to #eNAM (National Agriculture Market portal) network, the rest to be connected by March 2018
  • Agri-Market Development Fund with a corpus of Rs 2000 crore to be set up for developing agricultural markets
  • Cluster-model approach to be adopted for agricultural production. How the budget will help in that, the Finance Minister hasn't fully spelt out.
  • Allocation in Food Processing Ministry is being doubled to boost Food Processing. Specialised agro-processing and financial institutions to be promoted by Government
  • The agri policy for decades was production centric. We sought to change this. Our emphasis is on generating higher revenue for farmers. We want farmers to produce more from the same farm. Emphasis also on gains on landless families and allied sectors. Food production is at a record stage. 275 million foodgrains was produced in the previous year, Jaitley says.
  • 85% of farmers are small and nominal. They are unable to transact directly to wholesale markets. We will upgrade 22000 gramin markets. A Rs 2000 crore corpus setup for 22000 Gramin agricultural markets, and 585 APMCs.
  • Food processing is growing at 8% per annum. Krishi Sampada Yojana, the government's flagship programme, will have allocation almost doubled from Rs 750 crore to Rs 1400 crore in 2018-19
  • Fishery and Aquaculture Infrastructure Development Fund and Animal Husbandry Infrastructure Fund to be set up - total corpus Rs 10000 crore
  • Kisan credit card will now to be be extended to farmers in the fisheries and animal husbandry sector too
  • Fishery and Aquaculture Infrastructure Development Fund and Animal Husbandry Infrastructure Fund to be set up - total corpus Rs 10000 crore
  • Proposes to raise institutional credit for agriculture to Rs 11 Lakh Crore for 2018-19 from Rs 10 lakh crore earlier
  • Rs 1290 crore for the bamboo sector

Spending in rural markets, especially on agricultural and farming, would be leveraged by agricultural and allied companies such as Kirloskar Brothers, Jain Irrigation Systems, Shakti Pumps India, KSB Pumps, PI Industries, Avanti Feeds, Waterbase, JK Agri Genetics.

Pi Industries was up by 3.27% on the BSE. Other raging stocks were Paushak Industries, up by 3.72%. NACL Industries was up by 4.47%.

The Full story of Budget and how it will affect you

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