financetom
Economy
financetom
/
Economy
/
Budget 2020: 41% jump in micro-irrigation allocation. Is it sufficient to meet agriculture water shortage?
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Budget 2020: 41% jump in micro-irrigation allocation. Is it sufficient to meet agriculture water shortage?
Feb 3, 2020 6:03 AM

The Budget allocation for the micro irrigation scheme of the government has seen a 41 percent increase compared to the revised estimates for the current financial year. Finance Minister Nirmala Sitharaman has allocated Rs 11,127 crore under this scheme for FY21.

However, experts point out to the lower expenditure in the scheme in FY20. There was 18 percent unutilised fund of the allocated sum in the current financial year for the scheme that promotes ‘Per Drop More Crop’ by focusing on micro-irrigation systems (sprinkler, drip, pivots, rain-guns etc).

At Rs 7,896 crore in revised estimates for FY20, it is in fact marginally lower than the actual expenditure in FY18-19, which was at Rs 8143 crore.

Some say that certain states submit their data and reports later and so the expenditure might go up when the actual spend is announced.

Rajasthan, Maharashtra, Andhra Pradesh, Karnataka, Gujarat and Haryana are the six states that cover over 81 percent of the total area under micro irrigation. Considering large arid pockets in these regions and the states supporting micro-irrigation through subsidies, the central budgeted fund utilisation has seen more progress in these states.

However, other states such as Punjab, where an over dependence on ground water has created many blocks as dark zones are also looking at promoting micro irrigation as a tool to conserve water.

Ashok Dalwai, CEO of the Doubling Farmers' Income Committee, formed by the government, said, “There has been growing awareness in states like UP and Punjab that we need to use water efficiently to reduce cost of cultivation and improve soil health. We need to create more awareness and then PMKSY scheme can focus in these states as well.”

Water is becoming a focus with the finance minister emphasising on comprehensive measures for 100 water-stressed districts to overcome the shortage. Jal Shakti Ministry’s measures for water management is also expected to drive water management programs, he said.

Talking on the increased allocation, Dalwai said: “The government needs to ensure that we have budgetary and non-budgetary support and we have to emphasise on utilisation. Both have to run parallel.”

“Implementation needs to be more efficient. The central and state governments have to work together. Centre needs to educate states, ask them to submit proposals, start releasing money in time, push works.”

Apart from the budgetary support, last year the government had also approved an initial corpus of Rs 5000 crore for setting up a dedicated “Micro Irrigation Fund” with National Bank of Agricultural and Rural Development (NABARD). NABARD will extend loans to state governments to undertake special micro irrigation projects.

First Published:Feb 3, 2020 3:03 PM IST

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Conservative leader Merz set to become Germany's chancellor
Conservative leader Merz set to become Germany's chancellor
May 26, 2025
BERLIN (Reuters) - Conservative Friedrich Merz is set to be sworn in on Tuesday as Germany's new chancellor at a critical juncture as the economy battles its longest post-war downturn, relations with top security ally the United States fray and the far-right surges. Lawmakers are widely expected to back Merz as chancellor in a vote in the lower house of...
Bill Ackman Says Inflation Has 'Largely Been Wrung Out,' Pushes For Temporary Pause On China Tariffs To Shield US Businesses
Bill Ackman Says Inflation Has 'Largely Been Wrung Out,' Pushes For Temporary Pause On China Tariffs To Shield US Businesses
May 26, 2025
Billionaire investor Bill Ackman believes inflation has largely been “wrung out of the economy” and predicts global economic conflicts could resolve within six to nine months, while advocating for a temporary pause on China tariffs to protect U.S. businesses. What Happened: The Pershing Square Capital Management CEO told CNBC that declining energy and food prices signal positive economic trends. “The...
6 key ways the Federal Reserve impacts your money
6 key ways the Federal Reserve impacts your money
May 26, 2025
Key takeaways The Federal Reserve's interest-rate decisions have a wide-ranging influence on your personal finances, affecting more than just your financing costs but also your job security and purchasing power. When the Fed's key interest rate falls (or rises), the borrowing costs you pay also follow suit, influencing the cost of financing purchases with credit cards, car loans, personal loans...
House committee proposes changes to boost US oil, coal on federal lands
House committee proposes changes to boost US oil, coal on federal lands
May 26, 2025
(Reuters) -A House of Representatives panel this week will consider sweeping changes to the nation's oil and gas drilling programs, including requiring dozens of lease sales in the Gulf of Mexico and Alaska, that could be passed in an impending budget bill. WHY IT MATTERS The proposal is designed to bolster President Donald Trump's goal to increase U.S. fossil fuel...
Copyright 2023-2026 - www.financetom.com All Rights Reserved