BJP's road ahead to fulfill agri promises in 2024 election manifesto

Significant progress has been made in the production, yields and the cultivation area of pulse and oilseed between FY19 and FY23

The BJP manifesto for 2024 general elections outlines a commitment to support the farmers and enhance India’s self-reliance in the production of key pulses, including tur, urad, masoor, moong and chana and four oilseeds namely mustard, soybean, sesame seeds and groundnut.

In its 2019 manifesto, the party had promised to launch a new mission to achieve self-sufficiency in oilseeds and other agriculture products.

As the party sets out on its campaign trail once again, it would be interesting to analyse the changes in the Indian pulses and oilseeds sector since the last manifesto and how farmers have been impacted by these policies.

Data shows that when it comes to improving area, production and yields, there has been significant progress between 2018-19 and 2022-23 for pulses and oilseeds. But, it has not exactly come at the expense of cereals which too have shown good growth during this five-year period.

Also, when it came to imports, while that imports of edible oils have climbed during the same period but that of pulses has slumped. However, the good times are poised for a change.

As per trade estimates, in 2023-24, India is projected to import almost three million tonnes of pulses which will be the highest in six years.

In the case of edible oils in the 2022-23 marketing year (November to October), the country had imported a record 16.44 million tonnes of edible oils valued at Rs 138,424 crore. A year before that, India had imported 14.03 million tonnes of edible oils valued at a mind-boggling Rs 156,800 crore.

Hits and misses

In a nutshell it can be said that between the promises made in the two manifestos released by the BJP in 2019 and 2024 general elections, the country has made significant progress in boosting the production and yield of pulses and oilseeds, but it is far from gaining self-sufficiency in both.

So, what has kept the cherished goal of self-sufficiency in pulses and oilseeds aloof for Indian consumers and markets?

The reasons are many: Low yields, absence of regular irrigation, and fluctuating prices.

Most importantly, for an average Indian farmer, the returns on many of the oilseeds and pulses are just not commensurate enough when compared to cereals.

Data from the Commission for Agriculture Costs and Prices (CACP) shows that in the triennium ending 2021-22 Gross Return over A2+FL cost of production for paddy and wheat is significantly higher than most of the competing pulses and oilseeds in the kharif and rabi seasons.

A triennium is a specified period of three years (2019-20 to 2021-22 in this case). A2+FL are broadly all input costs plus own and family labour. A2+FL is also the benchmark costing which is used by the government to determine the minimum support price.

For example, in case of paddy, which is the main cereal crop grown in the kharif season, the average gross return over the cost of cultivation in triennium ending (TE) 2021-22 was 42.1 per cent while the same for moong was 25.3 per cent, urad was 27.1 per cent.

Return from cultivation

In oilseeds, the gross returns over cultivation cost for groundnut in TE 2021-22 was 34.8 per cent, soybean 28.9 per cent and sunflower was 39.9 per cent.

Only, arhar gave a return which was better than paddy during this period at 56.7 per cent.

In the rabi season, average gross return over the A2+FL cost of cultivation in the TE ending 2021-22 for wheat was 107 per cent, while in the same season the return for gram was 70.5 per cent, lentil was at 105.6 per cent and safflower was at -11.7 per cent.

Only, mustard gave a return which was better than wheat in TE ending 2021-22 during the rabi season at 125.6 per cent.

Unless farmers are encouraged and ensured that whatever pulses and oilseeds that they grow will fetch them a return which is higher than the returns over the cultivation cost that they fetch for cereals, making them shift and move towards self-sufficiency will remain a tall order.

It is here perhaps where the government needs to focus to materialise the promise made in the 2024 BJP manifesto.