This content relates to : EMERGING ECONOMY – INDIA
HIGHLIGHTS
Agriculture was the only sector to fare well during the economic slowdown resulting from the COVID lockdown.
This was possible due to the increased adoption of digital innovations and technology by farmers.
The Agritech industry is utilizing technology to provide solutions for farmers and to improve their lives.
Rajiv Sharma, Founder-CEO, Building Agritech Startup and Sustainability Eco System
Sanskrithi Thakur, MBA Student, Nalanda University
The nationwide lockdown in 2020 came at an unfortunate time for farmers and imposed challenges like shortages of farm labour, farming equipment, and Agri inputs such as seeds and crop protection products. But while the Indian economy witnessed a huge hit because of coronavirus associated lockdowns, agriculture emerged as the silver lining of the pandemic. According to data released by India’s Agriculture Ministry, nearly 10% more area was sown in 2020 compared to the previous year. This shows that agriculture as a whole managed to cope with the pandemic better than other sectors. The shortage of labour and Agri inputs coupled with increased acreage spurred Agritech companies to respond and to advance their penetration with thoughtful interventions; this was accelerated by farmers’ acceptance of digital platforms.
During COVID-19, there was an increasing trend toward leveraging various e-commerce platforms for last-mile delivery of essential Agri-inputs to farmers. On the retail side, many Farm-to-Consumer brands also cropped up to provide services to suppliers and consumers. Increasingly, smartphone friendly farmers received crop-specific advisories, funding, and market linkages to sell their produce. Such crucial support in a crisis was instrumental in winning the farmers’ trust. It also helped build their reliance on these Agritech platforms for their farming related services and products.
The Indian Agritech eco-system has been growing rapidly in recent years due to increasing penetration of smart phones and the internet in rural India. This eco-system is further fuelled by new start-ups with a good influx of investment and evolving hyperlocal logistics players. The growing scope for digitalization can be seen in the way crop insurance schemes like the Prime Minister’s Crop Insurance Program are being implemented, as the government holds the stance that the future is digital. As part of the program, the insurance portal can be accessed by an app and money is transferred directly to the farmer’s bank account. Digital interventions like these are motivating more farmers to use technology. Other digital innovations like geotagging, satellite mapping, geo imaging, and drone technology are being implemented to settle land disputes, survey lands and crops for insurance coverage, etc.
AI also has the potential to help the farmers with soil testing (using proximity sensing and remote sensing) and to provide them with information in the local language. As India is a land of many languages and diverse climatic conditions, digital technologies can help in the effective dissemination of knowledge and deeper understanding of a farm’s micro-climate for efficient cultivation. This can help in understanding suitable seed variety, early identification and solutions for diseases/pests, and crop yield estimations and predictions. Precision farming is another area where there is scope for innovation. Some startups are leveraging IOT and AI to help small land holders with better resource management that can be a game changer in maximizing farmer benefits and environmental sustainability.
For the first time in a generation, digital technologies are enabling farmers to achieve a quantum leap in farm productivity, market linkages, and access to credit and other farm critical services, thereby radically improving their livelihoods. While improving yield is good for a farm’s profitability, it is also critical to address the growing demand for food while minimizing environmental impact. Global agricultural supply chains are also seeing demand shifts and greater integration. India with its large landmass and diverse Agro-climatic zones is a key player in the burgeoning global food market. However, there is significant headroom for improvement in India’s Agri-export performance.
Going forward, technological innovation in Agritech driven services is key for improving farmers’ overall productivity and income. These services also facilitate safe and sustainable food production for domestic and international markets. The marketplace model driven by Agritech startups is another initiative which has witnessed significant growth in India. These young companies are actively connecting buyers and sellers and providing farmers with more choices. They not only provide better digital infrastructure to onboard the existing community of traders/farmers but also help connect them to consumers.
Authors:
Rajiv Sharma
Founder CEO- Building Agritech Startup and Sustainability Eco System
Former Head- Bayer Crop Science South Asia ( Commercial Key Accounts, E-commerce and Food Chain Partnerships)
https://www.linkedin.com/in/indianrajiv/
Sanskrithi Thakur
Nalanda University, MBA Student
https://www.linkedin.com/in/sanskrithithakur/
To learn more, read:
https://www.ciiblog.in/technology/digital-agriculture-the-future-of-indian-agriculture/
https://thecsrjournal.in/artificial-intelligence-in-agriculture-in-india/