New Delhi: The Indian agriculture sector is closing out 2025 on an incredibly positive note, marked by record-breaking production and significant financial relief for the farming community. Despite facing a complicated global environment and new trade taxes from countries like the US, India is set to surpass its previous foodgrain production record of 357.73 million tonnes.
This achievement is largely credited to a very successful monsoon season, which allowed the Kharif crop to reach a historic 173.33 million tonnes. With crops like rice and maize leading the way, and winter sowing for wheat and pulses looking stronger than last year, India has solidified its position as a food-secure nation even during times of global uncertainty.
One of the biggest wins for farmers this year has been the government’s decision to slash the Goods and Services Tax (GST) on essential farming equipment. In September, the tax rate was reduced from 18% to 5% on various agricultural tools and machinery. This move has made modernising a farm much more affordable; for example, a farmer looking to buy a new tractor can now save anywhere between ₹50,000 and ₹1 lakh.
Beyond machinery, the government also provided relief to the dairy and livestock sector by making essential items like paneer, chhena, and UHT milk tax-free. These changes have directly reduced the daily cost of living and working for millions of rural households across the country.
While the domestic front looks bright, the export market required careful navigation this year due to new tariffs introduced by the United States. These taxes made it more expensive to sell Indian produce in American markets, but Indian exporters showed great resilience by quickly finding new buyers in other parts of the world.
As a result, agricultural exports for items like tea, coffee, and spices actually grew by 9% in the first half of the fiscal year. This ability to adapt has ensured that Indian farmers continue to have access to global customers despite shifting international trade policies.
Looking ahead to 2026, the government is preparing to introduce new laws specifically designed to protect farmers from the risks of low-quality or “fake” agricultural products. New bills concerning seeds and pesticides are expected to be passed to ensure that every input a farmer buys meets strict quality standards, preventing crop failure and financial loss.
Furthermore, with a massive budget of ₹1.37 lakh crore allocated for the coming year, there will be a stronger focus on crop insurance, fertiliser subsidies, and helping farmers switch to high-value crops. By combining record production with these protective new reforms, 2025 has set a strong foundation for a more profitable and secure future for Indian agriculture.
According to the latest data released by the National Crime Records Bureau (NCRB), a total of 10,786 farmers and agricultural workers ended their lives in 2023. Maharashtra accounted for the highest proportion with 38.5% of suicides, followed by Karnataka at 22.5%. Together, these two states contributed more than 60% of the tragic incidents.
The report classifies the victims as 4,690 farmers or cultivators and 6,096 agricultural laborers. Among the farmers who died by suicide, 4,553 were male and 137 female. Among the farm workers, 5,433 were male and 663 female. Farm suicides represented 6.3% of the total suicides in the country, which reached 1,71,418 in 2023.
Following Maharashtra and Karnataka, Andhra Pradesh (8.6%), Madhya Pradesh (7.2%), and Tamil Nadu (5.9%) also reported significant numbers of farmer suicides. Meanwhile, states and territories including West Bengal, Bihar, Odisha, Jharkhand, Himachal Pradesh, and a few others reported no suicides linked to farming, though some experts question the accuracy of these figures.
The All India Kisan Sabha President, Ashok Dhawale, criticized the central government’s policies, blaming them for the ongoing crisis. He expressed concerns that waiving import duties on cotton, a key crop in many affected regions, could worsen the situation. Dr. Dhawale urged the government to acknowledge the systemic nature of the problem and take robust action, noting that despite over 10,000 suicides annually in the farm sector over the past three years, the response has been inadequate.
He also pointed out discrepancies in the data from various states, suggesting that reported numbers might underrepresent the true extent of the crisis, particularly in states like West Bengal. The activist accused the government of prioritizing corporate interests over the welfare of farmers, highlighting the urgent need for policy changes to address mental health and economic pressures in rural India.
India’s agriculture sector is getting a big boost as both Central and State governments have slashed GST rates on key agricultural equipment and related goods. The new GST rates, effective from September 22, mean that many tools and machines—such as tractors, soil preparation implements, harvesters, sprayers, and even essential spare parts—now attract just 5% tax, down from the previous 12% or 18%.
At a recent awareness rally in Bhimavaram, attended by Union Minister Bhupathi Raju Srinivasa Varma and other leaders, farmers were encouraged to take full advantage of these reforms. Notably, the event included a tractor rally, with the local District Collector and Deputy Speaker joining in to demonstrate support for the farming community.
These GST reductions are expected to ease the financial burden on farmers by significantly lowering the cost of new equipment, spare parts, and maintenance. For example, the price of popular machines like paddy transplanters, power tillers, and small tractors could drop by thousands of rupees. Lower equipment costs enable more farmers to upgrade to modern technology, resulting in improved productivity and profitability.
Leaders at the event stressed that these new rates also apply to a range of other daily essentials and sectors like healthcare, education materials, and insurance, helping Indian households save an estimated ₹3,000–₹5,000 per month.
Officials are urging custom hiring centres and farm machinery sellers to pass these benefits on directly to farmers. Alongside reduced taxes, the move is seen as a major step toward lowering agricultural production costs, raising farm incomes, and securing a brighter future for rural India.
India has unveiled a major initiative to make the country self-reliant in pulse production by 2031, approving a six-year mission with an investment of ₹11,440 crore. This landmark programme aims to boost India’s ability to meet growing domestic demand for pulses and reduce dependence on imports, directly supporting millions of farmers and strengthening national food security.
Key Features of the Pulses Mission
Enhanced Production Targets: The mission intends to raise annual pulse output to 350 lakh tonnes by 2030-31, with productivity goals set at 1,130 kg per hectare and expanded cultivation on 310 lakh hectares.
Seed Development & Access: Emphasis will be placed on new, high-yield and climate-resilient varieties of pulses. ICAR will oversee the development of breeder seed, while government agencies will manage the provision and certification of seeds to farmers. Around 126 lakh quintals of quality seeds will be distributed and tracked via a digital platform to ensure transparency.
Expansion of Cultivation: The scheme targets the expansion of pulse cultivation by 35 lakh hectares, focusing especially on rice fallow and under-utilised areas. To encourage diversification, 88 lakh free seed kits will be shared with farmers across the nation.
Support for Modern Farming: Farmers will receive support and training in sustainable and modern agricultural techniques, such as soil health management, balanced fertilizer use, mechanization, and environmentally friendly practices.
Infrastructure and Market Support: Plans are in place to set up 1,000 new processing and packaging units for pulses, each eligible for up to ₹25 lakh in subsidies. This post-harvest support will help reduce crop loss, add value, and boost farmer incomes.
Assured Procurement & Price Protection: For the next four years, the government will guarantee the procurement of Tur, Urad, and Masoor dal under the Price Support Scheme (PM-AASHA), ensuring stable returns for farmers. National agencies will carry out direct procurement at assured prices.
Monitoring & Farmer Safeguards: A monitoring system will be established to track international pulse prices and protect Indian farmers from price fluctuations.
Projected Impact
The mission is expected to transform India’s pulse sector by:
Reducing dependency on imports and saving valuable foreign exchange
Increasing farmer incomes and generating more rural jobs
Strengthening food security and promoting climate-resilient agriculture
With rolling implementation starting in 2025-26, the pulses mission represents a significant push toward Aatmanirbharta (self-reliance) in agriculture and marks a new chapter for the country’s pulse growers and agri-economy.
US, India Rush to Finalize Tariff-Reducing Trade Deal as Disputes Over Dairy and Agriculture Persist
With just days left before a major tariff deadline, the United States and India are working around the clock to finalize an interim
trade deal that could lower tariffs and boost economic ties. However, talks remain stuck on sensitive issues—especially agriculture and dairy—where both sides are refusing to back down.
What’s at Stake?
The US has threatened to raise tariffs on Indian goods to 26% if a deal is not reached by July 9. Currently, a temporary 10% tariff is in place to allow time for negotiations.
Both countries want to avoid these higher tariffs, which would hurt exporters and consumers on both sides.
Key Disagreements
The US is pushing India to open its markets for American farm products, including genetically modified crops and dairy. These are politically sensitive in India, where the dairy sector supports over 80 million people, many of them small farmers.
India has firmly refused to allow more US dairy imports or genetically modified crops, citing risks to food safety and the livelihoods of rural families. “There is no question of conceding on dairy. That’s a red line,” said a senior Indian official.
India also wants the US to lower tariffs on its labor-intensive exports like garments, footwear, and leather, which are important for jobs in India.
Progress and Hopes
Despite the deadlock on agriculture, negotiators have made progress in other areas, such as reducing tariffs on walnuts, cranberries, medical devices, automobiles, and energy products from the US.
Both sides see this interim deal as a first step towards a broader agreement that could double trade to $500 billion by 2030.
Why Is This Important?
The deal is not just about economics. Both countries see it as a way to strengthen their partnership at a time of global uncertainty and competition.
US President Donald Trump has said he is optimistic about reaching a deal that will help American companies compete in India’s vast market of 1.4 billion people.
What Happens Next?
Indian negotiators have extended their stay in Washington, hoping to bridge the gap before the July 9 deadline.
If no deal is reached, tariffs will rise, making many products more expensive and possibly straining relations between the two countries.
As the clock ticks down, both Washington and New Delhi are under pressure to find common ground, without compromising on their core interests. The outcome will affect not just trade, but the broader relationship between two of the world’s largest democracies.
Maharashtra Becomes First State in India to Approve AI Policy for Agriculture
₹500 Crore Plan to Use AI, Drones & Digital Tools to Help Farmers
In a major step to modernise farming, the Maharashtra Cabinet has approved India’s first Artificial Intelligence (AI) Policy for Agriculture—called the MahaAgri-AI Policy 2025–2029. The state has set aside ₹500 crore to use AI, drones, robotics, and data tools to help solve big problems like climate change, water shortage, low productivity, and poor market access.
This new policy aims to build a tech-enabled and farmer-first agriculture system. Some of the key things included in this plan are:
Real-time help for farmers using AI: Advisory platforms will guide farmers on when to sow, irrigate, or harvest.
Precision farming tools: Using data to apply just the right amount of water, seeds, or fertilizer.
Blockchain tracking: So that fruits like grapes, bananas, and pomegranates can be traced from farms to international markets.
A special platform called VISTAAR will give advice in multiple languages using AI. It will also connect with national platforms like Agristack and Bhashini.
To make this possible, the state will create digital public infrastructure like:
ADeX (Agricultural Data Exchange) – a secure place to share farm data.
AI Sandbox – a space where startups can test new tools.
Geospatial Engine – to track crop health, waterbodies, and weather patterns.
The policy will be managed by a State-Level Steering Committee (SLSC) and a Technical Committee (SLTC). It will also set up:
An AI & Agritech Innovation Centre
Four research hubs at agriculture universities
Special focus will be on helping startups and building public-private partnerships. Innovators can get grants, run pilot projects, and access the AI sandbox to solve problems specific to each region.
A Digital Literacy Programme will train farmers and extension workers on how to use AI tools effectively through modules, fellowships, and live demos.
To attract more investment and international collaboration, Maharashtra will host an Annual Global AI in Agriculture Conference and Investor Summit.
With this move, Maharashtra has taken the lead in showing how technology and farming can go hand in hand for a better future.
