ACFI terms Budget 2025-26 as ‘boosting India’s structural growth’
Policy

ACFI terms Budget 2025-26 as ‘boosting India’s structural growth’

Appreciates Budget’s focus on productivity, self-sufficiency, and rural job creation

  • By ICN Bureau | February 03, 2025

Agro Chem Federation of India (ACFI), an apex Agrochemical Federation, welcomed the union budget of 2025-26 and its favorable policies for Boosting India's structural growth. The budget announced significant income tax cuts for the middle class and for the next generation is a thrust towards growth which should be applauded along with the spurring agricultural growth achieved by the Government of India while building rural prosperity.

ACFI welcomed the steps taken by the government to improve productivity, promote sustainable agricultural practices and facilitate farmers with policies like Prime Minister Dhan-Dhaanya Krishi Yojana, which will help in developing the Agri Districts Programme to cover 100 districts and likely to help 1.7 crore farmers.

Parikshit Mundhra, Chairman, ACFI and Managing Director, Willowood Chemicals Ltd. said: “The five-year mission to eradicate the underemployment in agriculture through skilling, investment, technology and integrating the rural economy to generate ample opportunities in rural areas whilst supporting NCDC (National Cooperative Development Corporation) for lending to the cooperative sector is a welcome move.

“The total budget allocation for agriculture has increased from Rs 1.52 lakh crore last year to Rs 1.71 lakh crore this year, however, this amount is still only 3.38% of the total budget which is alarmingly low for a country where approximately 58% of the population depends on agriculture. The government is trying to bridge the yield gaps but it would be very hard to achieve without improving the state of public agricultural extension services.

“If the goal of the government is self-sufficiency and increased productivity the government also needs to focus on a few other points such as: Tax holiday in Agricultural Research and Development, PLI scheme, GST reduction from 18% to 5% to benefit the farmers.”

Mundhra further added: “Seeing as Indian Agriculture contributes to the 17% of our GDP with 58% of the workforce being directly or indirectly related, so it is much appreciated to see the focus of the Government on productivity, self-sufficiency, and rural job creation with special focus on women, small farmers, and landless agricultural workers.” 

Adding Further to this the General Secretary of ACFI, Abhijit Bose said: “We believe that the increased financial & institutional support for farmers along with Integration of technology, innovation, and credit expansion will take us a step further towards making India the Agricultural Hub for the world.”

Upcoming E-conferences

Other Related stories

Startups

Chemical

Petrochemical

Energy

Digitization