New Delhi [India], September 20 (ANI): Assam Finance Minister Jayanta Mallabaruah has called for a region-specific approach to agricultural financing, stronger institutional credit and end-to-end value chains to raise farm incomes and accelerate agricultural transformation.
Addressing the Day 2 session on “Financing Agriculture Sector Transformation” at the two-day conference on “Financing India’s Journey towards Viksit Bharat”, in the presence of Union Finance Minister Nirmala Sitharaman, Chief Ministers and Finance Ministers from several States and Union Territories, Finance Minister Baruah on Saturday highlighted Assam’s distinct agricultural potential and the need for financing frameworks that reflect regional realities.
According to a press release issued by the Minister’s office, the Minister noted that around 40–46 per cent of India’s workforce is engaged in agriculture and allied activities, while the sector contributes around 18 per cent to GDP, underscoring the need to strengthen productivity, value addition, market access and farm incomes.
Mallabaruah raised concern that a uniform financing framework may not adequately address the diverse production patterns, geography and financing needs of different States.
“Uniform financial and agricultural frameworks may not always address the specific requirements of every State. Regional production patterns and local realities must be considered while designing support mechanisms,” he said.
The Minister called for greater emphasis on the complete agricultural value chain from production and primary processing to storage, marketing and exports, so that farmers can secure better and more predictable returns.
Mallabaruah also highlighted regional disparities in institutional agricultural credit and called for a more inclusive financing approach for the North East.
The Finance Minister drew attention to the difficulties faced by tenant and leasehold farmers, cultivators of government land, Forest Rights Act beneficiaries and small tea growers in accessing institutional credit because of land-title-related constraints.
He said the distribution of Farmer IDs has commenced in Assam under the leadership of Chief Minister Dr. Himanta Biswa Sarma, which can facilitate more targeted institutional support for tenant farmers, lease farmers, forest dwellers and other cultivators
The Assam Finance Minister stressed the need for decentralised processing and value addition infrastructure close to production centres.
While cold storage, warehousing, transport and marketing infrastructure remain important, he said local processing facilities are particularly critical for perishable commodities that may deteriorate within two to five days of harvest.
Such infrastructure, he said, can reduce post-harvest losses and enable farmers and rural communities to retain a greater share of the value generated from their produce.
A key focus of the Minister’s intervention was Assam’s agarwood sector, which he identified as having significant potential for farmers and rural communities.
He called for streamlined regulatory clearances, quality testing facilities, local processing infrastructure and stronger export channels to develop a robust agarwood value chain.
“Assam’s agarwood sector has immense economic potential. Smooth export channels, streamlined regulatory clearances, quality testing facilities and local processing infrastructure can help our farmers realise greater value from this high-value crop,” Minister Mallabaruah stated.
He stressed that greater value addition within Assam would help ensure that a larger share of the economic benefits reaches farmers and other stakeholders.
The Minister also highlighted the export potential of premium grade ginger and turmeric from Assam’s hill regions, calling for dedicated export linkages and infrastructure.
He emphasised the need for direct international air cargo export facilities to support high-value agricultural exports from the State.
Baruah also called for stronger market support for indigenous products including Kaji Nemu, Bhoot Jolokia and speciality indigenous rice varieties, which can help farmers secure better returns and expand market opportunities.
Drawing attention to Assam and the North-East’s vulnerability to floods, localised droughts and pest outbreaks, the Minister called for robust mechanisms for rapid response and real-time intervention to provide timely assistance to farmers during agricultural distress.
He said Assam has already initiated measures including the rollout of Farmer IDs and targeted initiatives relating to agarwood and indigenous chillies, while continued Centre-State cooperation will be important to strengthen agricultural financing and value chains.
Minister Mallabaruah emphasised that agricultural transformation must move beyond production towards value creation, processing, market access and exports, enabling farmers to participate more effectively in the growing rural economy and contributing to the broader vision of Viksit Bharat 2047. (ANI)
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