PM launched a ₹1 trillion fund to boost agricultural infrastructure. Specifically, Modi announced this agricultural plan Sunday August 9, 2020. The fund is intended to assist farmers with the storage of their produce after harvest. It will also help with the marketing of their products. In other words, it is intended to assist the farmers in preserving their crops until they sell them. The necessity for this fund comes from the fallout of the coronavirus pandemic. Specifically, when wholesale prices of perishable goods in India plummeted during the April to June quarantine. While necessary to control the spread of the coronavirus it had a negative impact on certain segments of the country’s economy.
The PM launched ₹1 trillion agricultural infrastructure fund is small-scale farms that produce fruit, vegetable, and dairy products. Indeed, these are the three farming groups most heavily hit economically by the coronavirus pandemic quarantines. The closures of restaurants and hotels negatively impacted dairy producers. Additionally, all three farm products were unable to be swiftly transport to other markets. Due to the fact that most small-scale farmers usually sell to local markets. The agricultural infrastructure fund will address these issues by providing finance to the small farmers to invest in better storage.
Specifically, it will allow the farmers/cooperative societies to construct freezers or similar long-term storage facilities. Additionally, it will allow for the construction of better infrastructure transportation which will allow the protists to reach markets. An example would be adding additions to existing rail line. This would allow products from farm in one county or state to transfer the produce to an adjacent one. In other words, the food products will reach a market before they begin to rot. The agricultural infrastructure funds will also not just provide relief farmers but also additional jobs in creating the infrastructure. If PM Modi ₹1 trillion works as he hopes then the next decade the agricultural of India will surge.