The Indian Prime Minister has recently initiated the 100th “Kisan Rail” service. This new service commenced from Sangola in Solapur district of Maharashtra to Shalimar in West Bengal, marking a significant move in modernising the country’s agricultural supply chain and connecting farmers with markets across the nation.
Launch of the First Kisan Rail
In August 2020, the first ‘Kisan Rail’ was launched as an exclusive service for agriculture and farmers. This initiative aimed at bridging the gap between farmers and markets nationwide. The inception of the Kisan Rail was part of the government’s extensive investment into modernising India’s supply chain. The government spent crores of rupees on this innovative experiment.
Announcements in Budget 2020-21
The 2020-21 budget included plans for the development of the country’s agricultural sector. The budget envisioned initiatives such as the Kisan Rail service and the Krishi Udaan scheme. The latter is a program aimed at aiding farmers in transporting their agricultural products through an international and national flight network.
Krishi Udaan Scheme
Launched by the Ministry of Civil Aviation, the Krishi Udaan scheme aims to ameliorate the value farmers obtain from their produce by facilitating their transportation of goods. The scheme provides financial incentives, including concessions from the Centre, state governments, and airport operators, to selected airlines. This encourages operations from unserved and underserved airports, thereby keeping airfares affordable.
Expansion of Kisan Rail Network amid Covid-19 Pandemic
Despite the challenges posed by the Covid-19 pandemic, the Kisan Rail network has grown rapidly in the last four months. Initially, the Kisan Rail operated only once a week. However, due to increasing demand, it now runs three times a week.
Significance of Kisan Rail for Small and Marginal Farmers
The new service is expected to be highly beneficial specifically for the country’s 80% small and marginal farmers. This initiative will revolutionize the economics of Indian agriculture while bolstering the country’s cold supply chain, an area which has often led to losses for farmers due to a lack of cold storage facilities.
Increased Access to Local and International Markets
With this service, Indian farmers can transport their produce to distant locations within the country and also tap into the global markets. The government asserts that the Kisan Rail service, in conjunction with the amended farm laws, will safeguard farmers against the volatility in demand and supply.