A digital push for agri but with less funds

Overall, the budget for the department of agriculture and farmer’s welfare was cut from 21.24 tn in 2022-23 to 41.15 tn in 2023-24

A new digital infrastructure for farmers and an accelerator fund to encourage startups were among the major announcements in the budget.

The digital public infrastructure for agriculture will be built as an open-source public good which will enable farmer-centric solutions. The proposed digital agri-stack will aid farmers with better crop planning and help them access credit and insurance services.

The digital infrastructure will also support the growth of agri-tech startups.

The budget also announced an accelerator fund for young entrepreneurs from rural areas to help them set up agriculture startups. "The fund will aim at bringing innovative and affordable solutions for challenges faced by farmers. It will also bring in modern technologies to transform agricultural practices, increase productivity and profitability," the finance minister said in her speech.

In 2021, the agriculture ministry had initiated an agri-stack pilot project aiming to collect granular farm level data to provide growers with a range of customized services-on what to plant, where to sell, plus information on market prices and credit linkages.

The digital initiatives will improve access to farm inputs and boost market intelligence, prompting growth of agri startups, said Karthik Jayaraman, co-founder and managing director of WayCool, a leading food and agritech platform. "The accelerator fund will encourage young entrepreneurs while bringing innovative and affordable solutions to address challenges faced by the farmers, especially in terms of enhancing profitability and access to modern technology," he said.