Finance Minister Nirmala Sitharaman tabled the Economic Survey 2020-21 in the Parliament on January 29, 2020 - the first day of the Budget session. The survey has analysed various topics from economic growth, fiscal stance, state of banking and more.
Here are the top highlights related to some sectors.
Agriculture and food management
<p style="margin-left:8px">The resilience of India’s agriculture sector can be seen from the fact that despite the COVID-19 pandemic, its performance in output was strong. The sector came up with a robust growth rate of 3.4% at constant prices during 2020-21 (first advance estimates).</p>
<p style="margin-left:8px">Under the government’s food management programme under the Pradhan Mantri Garib Kalyan Anna Yojana, 80.96 crores beneficiaries were provided additional foodgrains, i.e. above the NFSA mandated requirements, of 5 kg per person per month free of cost till November, 2020. Over 200 LMT of foodgrains were provided amounting to a fiscal outgo of over 75000 Crores. Also, under Atma Nirbhar Bharat Package, 5 kg per person per month was distributed for four months (May to August) to benefit approximately 8 crores migrants who are not covered under NFSA or state ration card entailing subsidy of 3109 crores approximately.</p>
<p style="margin-left:8px">On the post-production front, measures like village level procurement centres, linkages between production and processing, development of rural markets, option of selling outside the APMC markets – warehouse upgradations and strengthening of railways freight operations, dedicated freight corridors among others are needed and are being taken up. These measures will not only reduce post-harvest losses but will also help realize the objective of doubling farmers’ income. </p>
Sustainable development and climate change
<p style="margin-left:8px">Several initiatives have been taken at both the national and the sub national level to mainstream the SDGs into the policies, schemes and programmes of the Government. India has been taking several proactive climate actions to fulfill its obligations as per the principles of common but differentiated responsibilities and respective capabilities and equity. </p>
<p style="margin-left:8px">In its NDC, India has sought to reduce the emissions intensity of its GDP by 33 to 35 per cent below 2005 levels by the year 2030; achieve 40 per cent of cumulative electric power installed capacity from non-fossil fuel sources by 2030; and enhance forest and tree cover to create additional carbon sink equivalent to 2.5 to 3 billion tons of carbon dioxide by 2030. </p>
<p style="margin-left:8px">The implementation of NDC has started from 1st January 2021. There is a huge gap between resource availability and the requirements, implementation of wide-ranging NDC goals presents a major challenge COP 26 now scheduled in 2021 is expected to discuss and arrive at a consensus on transparency mechanism; Article 6 (market and non-market mechanisms); common time frames for nationally determined contributions; long-term climate finance etc.</p>
<p style="margin-left:8px">Climate risk insurance is an important tool for providing security against loss of livelihoods and of assets as a consequence of disasters. Thus, given the significant contribution of the agricultural sector in the Indian economy, coupled with looming “climatic aberrations,” crop insurance becomes a necessity to mitigate the risks associated with a majority of the country’s farmers.</p>
The economic survey can be accessed here