Agriculture

India - Agriculture overview

Country profile

• According to the World Bank National Accounts Data, in 2019, agriculture and associated activities (Forestry and Fishing) contributed 15.9% to the GDP of India. 
• According to Human Development Reports 2019,  43.9%  of the total employment in India is in agricultural and associated sector activities. 
• Gross Value Added (GVA) by agriculture and associated activities to the Indian economy was estimated at Rs 19.48 lakh crore (372.33 billion AUD) in 2019-2020.

Policies and initiatives

• The Government of India passed three major Farm laws in 2020, two of which were the Farmers' Produce Trade and Commerce (Promotion and Facilitation) Act, 2020   and the Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020 aiming to create an ecosystem where the farmers and traders can enjoy the freedom of choice and provide the platforms to do so. The third Essential Commodities (Amendment) Act, 2020 aims to ensure the ongoing delivery of essential commodities and products.
• E-Nam provides an e-marketing platform at the national level. Other initiatives like E-Sagu, Community Radio and Kisan Call centres provide agricultural information and data digitally.
• To promote sustainable agriculture and water conservation, the Government of India has launched schemes which include Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan (PM KUSUM) (Solarisation of Grid-Connected Agricultural Pumps), National Action Plan on Climate Change (NAPCC), National Mission for Sustainable Agriculture (NMSA) and Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) (Water Conservation and Management).
• In order to support small and marginal farmers the government launched the Pradhan Mantri Kisan Maan-Dhan Yojana (PMKMY) in 2019 which provides pensions post retirement, and the Pradhan Mantri Kisan Samman Nidhi Yojana (PMKisan) which provides income support.
• Pradhan Mantri Fasal Bima Yojana (PMFBY) (Farmers’ Welfare) accompanied by other agricultural insurance schemes have been introduced to support farmers and associated workers in agriculture. 
• The Government of India has recently set an ambitious target to double the income of farmers by 2022-23, which corresponds to targeted annual agricultural growth of more than 14% a year.
• The Government of India announced Minimum Support Prices (MSP), under the Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA), aiming to enhance agricultural productivity, reduce cost of cultivation and secure farmers’ income in the long term, for 25 major agricultural commodities each year. MSP was first introduced in 1966-67.

Governance structure

In India while agriculture and associated sectors come under the purview of states, the central government has been instrumental in framing overarching policies through special provisions. The Ministry of Agriculture Cooperation, and Farmers’ Welfare, is the apex body for formulation and administration of the rules, regulations and laws related to agriculture in India. The Indian Council of Agricultural Research (ICAR) is an autonomous body responsible for coordinating agricultural education and research in India. 

Australia - Agriculture overview

Country profile

• According to the World Bank National Accounts Data, in 2019, agriculture and associated activities (Forestry and Fishing) contributed 2.09% to the GDP of Australia.
• According to Human Development Reports 2019, 2.6%  of the total employment in Australia is in agricultural and associated sector activities. 
• In 2019, the Gross Value Added (GVA) by the agriculture sector to Australia’s economy amounted to over AUD 60 billion.

Policies and initiatives

• The Australian Government is supporting stability and economic recovery by investing in agriculture and food security through a mix of global, regional and bilateral initiatives.
• The Australian Government released a drought response, resilience and preparedness plan which is focussed on 3 themes: Immediate action for those in drought, Support for the wider communities affected by drought and Long-term resilience and preparedness.
• The Natural Resource Management (NRM) Drought Resilience Program is designed to support organisations, farmer groups and individuals to build drought resilience on agricultural landscapes. The Drought Communities Programme (DCP) supports communities in the most drought-affected regions of Australia.
• In order to support farmers that are facing financial hardships, various loans, counselling and support systems and  schemes have been launched including those of the Regional Investment Corporation, and the Department of Agriculture, Water and the Environment’s Rural Financial Counselling Service (RFCS) and the Farm Management Deposits Scheme (FMDS).
• The Agricultural Trade and Market Access Cooperation (ATMAC) program grants support projects or initiatives that contribute to Australia’s agricultural trade with overseas markets.
• The Science and Innovation Awards for Young People in Agriculture, Fisheries and Forestry sectors provide funding for innovative research projects that will benefit Australia’s agricultural industries.
• Under the Carbon Farming Futures Program (CFF), the Australian Government invested more than AUD 139 million in 200 projects, involving 350 organisations with more than 530 farm trial sites. 

Governance structure

The federal, state and territory and local governments all impose regulations and policies on the agriculture, fisheries and forestry sectors. They are responsible for different aspects of agricultural and food law and at times have overlapping regulations addressing areas such as, for example, environmental protection. The Department of Agriculture, Water and the Environment (AWE) represents Australia’s national interests across agriculture, water and the environment. The Australian Bureau of Agricultural Resource Economics and Sciences (ABARES) is the research arm of the Department of Agriculture, Water and the Environment. The Australian Centre for International Agricultural Research (ACIAR) supports research projects with partner countries outside Australia. 

Bilateral frameworks for cooperation between India and Australia

• A Joint statement on a comprehensive strategic partnership between the Government of India and the Government of Australia was released during the India-Australia Leader’s Virtual Summit on 04 June 2020 recognising agriculture as an important pillar of the Australian and Indian economies. 
• The Australia-India Comprehensive Economic Cooperation Agreement (CECA) gives opportunity to both countries to invest in the agriculture and associated activities sector.  The Sixth Round of the CECA negotiations took place in New Delhi on 18-19 December 2014. The Eighth Round of CECA negotiations took place in New Delhi on 1-3 July 2015. The Ninth Round of CECA negotiations took place in New Delhi, 21-23 September 2015. 

Trade and investment opportunity

• Australia’s India Economic Strategy to 2035 (Agribusiness Sector) aims to seek and expand the growth potential of agribusiness of India and Australia and has listed agriculture as one of the priority sectors.
• India’s Micro Irrigation Fund created by National Bank for Agriculture and Rural Development (NABARD) aims to attract public and private investments in Micro Irrigation with the objective to facilitate the states in mobilising resources for expanding coverage of micro irrigation.
• The Agriculture desk at Federation of Indian Chambers of Commerce and Industry (FICCI) has been strenuously working on agriculture policies and initiatives that will increase farm income, productivity and global competitiveness of Indian Agriculture.
• The Confederation of Indian Industry (CII) has been actively working on policy recommendations related to agriculture and associated activities. 
• The Australia India Business Exchange (AIB-X) was launched to deepen Australia’s trade, investment, education and tourism relations with India. 
• StartUp India includes 97 incubators dedicated to the agricultural sector in India’s startup ecosystem. Similarly, INVEST INDIA has launched an agriculture grand challenge to increase agritech startups in India. 
• The Agriculture Skill Council of India (ASCI) offers vocational training and modular skill development programs in agriculture and is seeking international collaborations.
   

Cooperation and collaborations

• Western Sydney University will be investing AUD 5 million to leverage new research and development in agriculture and farmers’ incomes through a recently forged partnership with the Indian Council of Agricultural Research (ICAR) and thirteen state agricultural universities. 
• Indian Institute of Pulses Research partnered with Australian Centre for International Agricultural Research to establish the International Mungbean Improvement Network. The project was re-launched as  International Mungbean Improvement Network 2. 
• ACIAR  partnered with Uttar Banga Krishi Vishwavidyalaya, India to launch the project Identifying Eastern Gangetic Plains Soil Constraints. 
• Uttar Banga Krishi Vishwavidyalaya, India and Bihar Agricultural University partnered with ACIAR to enhance farm-household management decision-making for increased productivity in the Eastern Gangetic Plains. 
• ACIAR partnered Indian Institute of Wheat And Barley Research, Karnal  to launch the project on Mitigating the effects of stripe rust on wheat production in South Asia and eastern Africa. 
• Bihar Agricultural University, India Council of Agricultural Research and Uttar Banga Krishi Vishwavidyalaya, India partnered with ACIAR to launch the project Sustainable and resilient farming systems intensification in the Eastern Gangetic Plains (SRFSI). 
• ACIAR partnered with Western Sydney University to launch MyWell smartphone App which enables Indian Farmers to monitor and manage scarce groundwater. 
• ACIAR, Punjab Agriculture University and University of Adelaide’s “happy seeder” project had an impact on reducing paddy straw burning in Punjab and led to more in-situ mulching. 
• Under SPARC, the following Institutes have undertaken collaborative projects in the domain of agricultural and food sustainability:
  • IIT Kharagpur and the University of Melbourne.
  • IIM Udaipur and the Australian National University.  
  • Chaudhary Charan Singh Haryana Agricultural University and the University of Sydney. 
  • IIT Kanpur and Deakin University. 
  • IIT Kharagpur and the Western Sydney University.
• The Australia India Strategic Research Fund (AISRF) established in 2006, supports scientists in India and Australia to collaborate in leading-edge research. The following projects have received funding under AISRF in agriculture:
  • In 2016, Sugar Research Australia undertook a research project themed Genetic control and genomic selection for important traits in sugarcane, and comparison of elite Indian and Australian germplasm. 
  • In 2016, the University of Tasmania and M. S. Swaminathan Research Foundation collaborated on a research project themed Developing salt tolerant rice for food security in India and Australia. 
  • In 2016, the Department of Agriculture and Fisheries, Queensland Government and Tamil Nadu Agricultural University collaborated on a research project themed Deploying biotechnology-based decision-making tools in post-harvest grain pest management to enhance food security and market access. 
  • In 2016, the South Australian Research and Development Institute and International Crops Research Institute for the Semi-Arid Tropics, India collaborated on a research project themed Improving Chickpea Adaptation to Environmental Challenges in Australia and India. 
• The Australian Research Council plays an important role in the provision of Government support for research in Australia. The following projects on India have received ARC grants in Agriculture:
  • In 2020, The University of Western Australia undertook a research project themed Tightening the phosphorus cycle for grain legumes which included India as an international collaborator. 
  • Australian National University and Gujarat Institute of Development Research jointly undertook the research project concerning the Challenges of Feminised Agriculture in India.
  • The University of Newcastle has undertaken a research project regarding food security and the governance of local knowledge in India and Indonesia.
  • The University of Melbourne undertook a research project themed Agricultural skill development in India: Assessing acquisition and impact.