Digital Agriculture: Why we need to digitally enable farm policies

 Agriculture continues to show resilience in the face of one of the most disturbing crises the world has ever seen. In the first quarter of the financial year ended June 2020, the Covid-19 pandemia contracted the Indian economy by 23.9%, with a 40% decline in manufacturing and muted activity in the service sector.

Agriculture was the only bright spot and grew by 3.4%. Agriculture not only grew and established an economy that had been hit by the pandemic but also created jobs. This suggests that to make our world more sustainable and inclusive, all of us - citizens, businesses, and governments - must redouble our efforts to stimulate rural growth

The emergence of agritech startups

Agriculture in India continues to face the challenge of low farmer income and reduced productivity. Technology can be a gamechanger and it is entertaining to see agritech startups taking the lead in bringing smart, workable solutions to farmers in India. According to Nasscom, India has more than 450 startups in this space. Funding is 300% higher than last year. The focus is on digital innovation for creating new value chains that are innovative and disruptive. More than 50% of these agritech startups offer supply chain solutions, including market interactions and better access to farm inputs.

How we farm and use our land is responsible for nearly a quarter of global greenhouse gas emissions. If we include emissions from processing, transport, storage, cooling, and disposal, that number rises to more than 40%. Agritech, specifically digital solutions, will certainly help alleviate this.

all interventions take time

The Indian government announced three new policies recently. The bill on agricultural markets called the ‘Farmer’s Product Trade & Commerce Bill, 2020’, aims to promote an ecosystem where farmers can choose who to sell for realizing the best prices. A digital portal can increase pricing transparency and enable more profitable goods. The use of robust digital payment systems will ensure fast financial execution. The stated purpose of the government regulating electronic commerce can be accomplished.

The bill on contract farming, ‘The Farmer Agreement of Price Assurance and Farm Services, 2020’ aims to offset large-scale issues and enable aggregation benefits to accumulate in the farming community. The belief is that Farmer Producer Organizations (FPOs) will jointly undertake more negotiations to achieve a larger share of what the consumer pays. to translate and translate the conversations as needed. FPOs will also be able to make other technologies and tools widely available and affordable by sharing costs.

The Essential Commodities Amendment Bill, 2020, while reducing the number of essential commodities, also aims to invest in food supply chain infrastructure and modernization. Digital cold storage and warehouse interventions to optimize people and property productivity, robotic innovation, and online monitoring will change the landscape of agriculture.

The new policies enabled digitally, can deliver intended benefits more effectively to the farming community and help sustain and grow the rural economy.