The Union Agriculture Ministry has sought an extension of the Special Central Assistance (SCA) from the Union Finance Ministry to continue its efforts to create comprehensive results for the digital Farmers’ Registry. The initiative, which aims to assign digital identities to 11 crore farmers by 2027, requires additional financial support to meet its ambitious targets. The ministry is pushing for a substantial increase in the allocation for the Farmers’ Registry, requesting a doubling of funds to INR 10,000 crore for the fiscal year 2025-26. Additionally, a budget of ₹2,000 crore has been proposed to support the Digital Crop Survey (DCS) for both Kharif and Rabi seasons in the upcoming financial year.
The Need for Continued Funding Support for Digital Farmers’ Registry
The Agriculture Ministry’s request for an extension of SCA support is driven by the phased approach adopted for the creation of digital farmer identities. The government has set clear targets: six crore farmers are to be included in the digital registry by the end of the current financial year (March 2025), followed by three crore in 2025-26 and the remaining two crore in 2026-27. With this structured timeline, securing continuous financial backing is crucial to ensuring the initiative remains on track.
Beyond the digital farmer identity initiative, the Ministry of Rural Development has also reached out to the Finance Ministry, advocating for continued support under the SCA framework. This ministry has been focusing on land-related reforms in urban areas and the modernization and digitization of rural land records. In the previous financial year, the Finance Ministry allocated ₹5,000 crore each for these two initiatives. The Department of Land Resources, which oversees their implementation, has now requested an extension of this financial backing for the fiscal year 2025-26.
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Government’s Commitment to Digital Public Infrastructure in Agriculture
During the 2024 Budget presentation, Union Finance Minister Nirmala Sitharaman underscored the government’s commitment to modernizing agriculture through Digital Public Infrastructure (DPI). She highlighted that the government, in collaboration with state administrations, would roll out DPI to map farmers and their agricultural land over the next three years. As part of this initiative, a digital crop survey for the Kharif season was launched across 400 districts in 2024. The data collected would contribute to building robust farmer and land registries, helping streamline government services and improve access to agricultural benefits.
Following this announcement, the Finance Ministry, on August 9, 2024, issued guidelines under the ‘Scheme for Special Assistance to States for Capital Investment 2024-25.’ The scheme allocated ₹5,000 crore as incentives for states creating a Farmers’ Registry, ₹5,000 crore for urban land-related reforms, and another ₹5,000 crore for the modernization and digitization of rural land records. The guidelines also specified that funds would be distributed on a ‘first-come, first-served’ basis, depending on each state’s progress in establishing its Farmers’ Registry.
Digital Crop Survey: Strengthening Agricultural Data Collection
The proposed allocation of ₹2,000 crore for the Digital Crop Survey (DCS) signals the government’s intent to enhance the accuracy and reliability of agricultural data. The survey, conducted for both Kharif and Rabi seasons, plays a crucial role in shaping agricultural policies, ensuring timely support for farmers, and optimizing resource allocation. By integrating technology into data collection, the government aims to create a centralized and dynamic system that will improve decision-making in the agricultural sector.
The use of digital surveys also minimizes discrepancies in crop estimation, reducing reliance on outdated or manual methods. A well-structured digital database enables better forecasting of food grain production, enhances procurement planning, and helps in designing effective support mechanisms for farmers. With the additional funding, the scope of the Digital Crop Survey could expand, covering more districts and incorporating advanced tools for data analysis.
State-Level Implementation and Challenges
While the central government is spearheading these initiatives, their success largely depends on active participation from state governments. The financial incentives offered under the SCA scheme encourage states to accelerate the development of Farmers’ Registries and land record modernization. However, challenges for Digital Farmers’ Registry remain in terms of digital infrastructure, training personnel, and addressing data privacy concerns.
Some states have already made significant progress, while others are still in the early stages of implementation. The availability of funds on a first-come, first-served basis adds an element of urgency, pushing states to expedite their efforts. However, disparities in digital readiness among states may lead to uneven progress, necessitating tailored support mechanisms to ensure balanced development across regions.
Broader Implications of a Digital Farmers’ Registry
The creation of a comprehensive digital Farmers’ Registry has far-reaching implications beyond just record-keeping. A well-maintained database can streamline the distribution of subsidies, facilitate credit access, and improve the implementation of welfare schemes. It can also contribute to better targeting of beneficiaries, ensuring that government assistance reaches those who need it the most.
Moreover, a robust digital infrastructure can strengthen linkages between farmers and markets, enabling better price discovery and reducing exploitation by intermediaries. The integration of land records with farmer databases can also aid in resolving disputes related to land ownership, enhancing transparency in land transactions.
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As the government moves forward with its ambitious plan to digitize agricultural data, sustained financial support will be key to overcoming hurdles and achieving long-term success. The extension of SCA funding and the proposed increase in allocations underscore the government’s recognition of the importance of these initiatives. However, effective implementation will require coordinated efforts between central and state authorities, investment in digital infrastructure, and continuous engagement with stakeholders, including farmers and agricultural experts.
The upcoming fiscal year will be crucial in determining the pace and effectiveness of these initiatives. With proper funding and strategic execution, India’s agricultural sector could witness improved efficiency, better farmer support mechanisms, and enhanced data-driven policymaking. As projects such as Digital Farmers’ Registry unfold, their impact on farmers, agricultural sustainability, and rural economies will be closely watched.
