Why smart agriculture is the future of Indian farmer?

India has made significant strides in the last two decades in the manufacturing and services sector. But for the country to clock that elusive 10 per cent GDP growth, the agriculture sector has to also come out of the stagnant rate of 2-3 per cent range. The challenge is compounded by the finite acreage of arable land which is also needed for commercial and other purposes. With every passing generation, the land is getting further fragmented and divided within families due to family succession while farming itself is no longer considered a respectable occupation.

But thanks to the multiple climatic zones and year-round arable conditions, India has managed to become a predominant producer of cereals, pulses, sugarcane, oil seeds, fruits and vegetables. Despite this, the country still produces just enough to support its large population, leaving very little for exports on a consistent basis barring items like Tea, Basmati rice and a few spices.

Crop diversification opportunities: Now, with the climate change wreaking havoc, challenges are rising for farmers. Yet, there are many opportunities for them to innovate and improvise by coming out of age-old practices to make the farming viable and highly rewarding. Indian farmer can model their farm practices on the lines of smaller countries such as Israel and the Netherlands. In line with the growing prosperity of the Indian population – that has diversified today’s dining choices – there is a demand for exotic fruits like Kiwi, Dragon fruit, Bell peppers, Broccoli and Zucchini or for rare flowers during the marriages and celebrations. A focus on meeting these niche demands may help improve the cashflows and viability of farmers.

Acknowledging transformational improvements

Dual usage of agriculture produce: The emerging uses for key agriculture products – like sugarcane, maize or even coarse grain for producing ethanol for blending as bio-fuel to substitute for crude imports; the growing demand for Guar for crude oil extraction; the new found uses for edible oil residue for extraction of Lecithin or Stearic acids that are more valuable for cosmetics and related uses as hydrogenated fats and the large export potential for the residual oil cake as a cattle feed – have all improved the income earning potential. In fact, the Union Budget has acknowledged these needs, seeking transformational improvements in agri research, new genetic varieties, a value chain and infrastructure and the creation of a legal quasi corporate framework through FPOs to focus on marketing and self-sufficiency.

Multiplying income streams: The key here is to maximise the cultivation intensity and diversification within a 4–5-acres land to optimise the income yields. Gujarat farmers have succeeded in cultivating pulses along with fruit trees along alternate rows, irrigated by drip irrigation, leading to higher output per acre. Allocating land for greenhouses to grow valuable vegetables or flowers, as seen around Pune and Talegaon, helps generate income across seasons as well as balance the short and long duration crops besides retaining the soil fertility.

Aquaculture, breeding edible fish like Tilapia and Catla in tanks and then recycling the wastewater to plant beds of tomatoes or Ginger has helped increase both yields and the incremental revenue. Most of these activities require manual labour that generates employment and income for the family or locals. Such activities are entitled for grants and subsidies from State and Central governments, narrowing the break-even period, significantly.

Intensive farming model

Milking the land with a dairy unit, fruit cultivation: Another well-established combination is developing a dairy unit with 20-30 cattle which, apart from producing milk, also generates bio-waste for biogas generation and bio fertilizers for fruit cultivation. Planting legumes like Groundnut and Pulses actually also help fix soil nitrogen, reducing the need for chemical fertilizers.

Learning from the Israel experience: Indian farmers can learn from smaller countries such Netherlands and Israel who are leading agri exporters and high yield producers. Diversified and intensive cropping with animal allied activities holds the key to higher yields. The model of intensive farming on 3-5 acres also ensures an output that has definite marketability. Farmers can negotiate minimum output purchase with nearby retail markets at prefixed prices and choose apt activities in line with ground water availability. Using solar power for irrigation thereby avoiding the use of diesel and drones for farm assessment, crop health and spraying of pesticides are both efficient and environmentally viable.

A smart and sustained improvement in both farming methods and productivity is a generational need, especially amid drastic climate changes. That’s why the wisdom of the American statesman, Daniel Webster – “When tillage begins, other arts follow. The farmers, therefore, are the founders of human civilization” – is a perpetual truth. Our challenge is to carefully and profitably integrate the landowner with a smart-agri entrepreneur who can put the land to more efficient usage.

The author is the business head – Agri Business Group, Kotak Mahindra Bank