Budget 2025 Live Updates: Govt’s Big Announcements for Farmers & Agriculture

01 Feb, 2025

Finance Minister Nirmala Sitharaman presented the most-awaited Indian Budget 2025 on February 1, 2025. The session started in Parliament at 11 AM. It was Mrs Sitharaman's record 8th budget presentation. This budget shows plans for creating more employment and improving agriculture and infrastructure.

The Indian Budget 2025 prioritizes rural and agricultural development and all types of tax considerations. The budget aims to promote agriculture, investment, MSME, and export policies. Poor people, rural youth, small farmers and women have been highly focused in this budget. It strikes a balance between long-term improvements and economic stability. Examine the Indian Budget 2025's highlights, sector evaluations, and benefits for Indians.

Strengthening Agriculture: the Backbone of the Indian Economy

• PM Dhan Dhanya Krishi Yojana will be inaugurated in 100 districts. The new plan led to the growth of less effective farming areas because of weak crop growth and easy loan terms. Generally, it helps 1.7 crore farmers.

• The focus will be given to crop diversification. Support will be provided for the production of pulses, oilseeds, and other high-value crops.

• Also, emphasis will be laid on self-reliance on pulse crops. For this purpose, a special 6-year ‘Mission for Atma Nirbharta in Pulses’ with a focus on Tur, Urad, and Masoor is going to start soon.

• A comprehensive program will be started to improve the production of fruits and vegetables.

• The Makhana Board will be established to contextualize the production of makhana (foxnut) in Bihar. Makhana growing farmers of Bihar will be organized into Farmer Producer Organizations (FPOs) for support and training.

• The National Seed Mission will be started soon to produce a high-yielding variety of seeds, with a focus on improving the research ecosystem and targeted development and propagation of seeds.

• The limit of the Kisan Credit Card has been increased from 3 lakh to 5 lakh under the Modified Interest Subvention Scheme (MISS). It has been said that the benefits will also be provided to landless farmers.

• Five Year Cotton Productivity Mission will promote long-fiber cotton varieties, which can lead to an increase in the export of cotton.

• The government will open a Urea Production Center with 12.7 lakh metric tonne annual capacity to be set up at Namrup, Assam, to produce good fertilizers suitable for Indian soil.  

Tax Reforms: Simplification and Relief

• The good news for Indians is that the income tax exemption limit has increased to Rs 12 lakh (Rs. 12.75 lakh for salaried taxpayers) due to a standard deduction of Rs 75,000. The tax slabs above 12 lakh of income are:

1. No tax on income below 4 lakh 

2. 5% tax on income between 4 to 8 lakh

3. 10% tax on income between 8 to 12 lakh

4. 15% tax on income between 12 to 16 lakh

5. 25% tax on income between 16 to 20 lakh

6. 30% tax above 24 lakh

• The tax deduction for senior citizens increased from Rs 50,000 to 1 lakh. 

• Reduction in TDS and TCS will provide relief from inflation. The limit of TDS on rent increased from 2.4 lakh to 6 lakh benefiting small taxpayers. 

• There will be no tax on withdrawals made from the National Savings Scheme after August 2024. 

• The income tax filing limit has also been increased from 2 years to 4 years.

• New Income Tax Bills will be released in Parliament by next week to take forward the “trust first, scrutinize later” concept.

Infrastructure Development: Building the Foundation

• The National Action Plan for Toys will be implemented to make India a Global Hub of Toys. It includes the development of clusters and manufacturing facilities that will create high-quality, innovative, sustainable toys representing the Made in India brand. 

• The government will develop 50 tourist spots. Spots related to Lord Buddha will also be developed.

• 120 new airports will be constructed in the next 10 years, and visa rules will be simplified. The government will facilitate the construction of a greenfield airport in Bihar to meet future aviation needs.

• Efforts to provide housing to all through SWAMIH Fund 2 with Rs 15,000 crore from the government, banks, and private investors to quickly build 1 lakh homes. 

• Financial support for the Western Koshi Canal ERM Project will benefit Mithilanchal farmers, producing approximately 50,000 hectares.

• Jal Jeevan Mission is extended till 2028, and potable water is planned to reach every Indian household.

Education and Skill Development: Preparing for the Future

• 10,000 fellowships will be offered for tech research to help students advance in their careers. 

• Centre for Excellence in AI for education to be set up with an outlay of Rs 500 crore.

• Additional infrastructure will be built in the 5 IITs, which were started after 2014, facilitating education for 6,500 more students.

• National Institute of Food Technology, Entrepreneurship and Management to be set up in Bihar.

• 50,000 Atal Tinkering Labs to be established in government schools over the next 5 years.

• Bharatnet project to provide broadband connectivity to all government secondary schools and primary health centres in rural areas.

• 75,000 medical seats will be increased in the top medical colleges in the next 5 years. 

Employment & Business Opportunities

• Emphasis will be given to increasing the income of 68 lakh street vendors.

• Special Credit Cards will be made for small-scale industries under the Udyam Portal; 10 lakh such cards will be released.

• Loans for startups will increase from 10 crore to 20 crore, empowering Indian youth to think and make things happen.

• PM SVANidhi scheme will be revised with capacity-building support, UPI-linked credit cards with a Rs 30,000 limit, and increased loans from banks.

• E-Shram Portal will be constituted for the upliftment of unemployed people. 

• The government is going to start a Fund of Funds with a Rs. 10,000 crore contribution.

Towards a Healthier Nation

• Custom duty was waived off on 36 life-saving medicines.

• Cancer Hospitals will be established in each state. 

• Identity cards, e-Shram portal registration, and healthcare facilities under PM Jan Arogya Yojana will be provided to gig workers. 

Initiatives for Women: Empowerment through Inclusion

• New schemes will be launched for 5 lakh women to improve their lifestyle and status.

• Saksham Anganwadi and Poshan 2.0 Yojana.

• New schemes will be launched for 5 lakh women, SC, and ST first-time entrepreneurs, offering term loans up to Rs 2 crore over the next 5 years.

What More was there is the Union Budget 2025

• India Post will be converted into a big Public Logistics Organization.

• Bihar will get new opportunities from the Wet Blue Leather Scheme.

• Nuclear Energy Mission with an investment of 20,000 crore for research and development of Small Modular Reactors (SMR). Five SMRs to be operational by 2033. It aims to develop 100 GW of nuclear energy by 2047.

• Emphasis will be laid on making EV batteries, and Mobile phones and electric vehicles will be cheaper.

• A Maritime Development Fund of Rs 25,000 crores has been sanctioned for the development of marine life and infrastructure.

• The government will focus on making more and more solar products.

• BharatTradeNet for international trade documentation and financing solutions.

• Increase in foreign direct investment limit in the insurance sector from 74% to 100%. 

• The decision has been taken to remove 7 tariff rates.

• The Export Support Mission will make export credit, cross-border factoring, and MSMEs' non-tariff compliance in foreign markets easier.

Conclusion: Paving the Way for a Resilient Tomorrow

The Union Budget 2025 focuses on fostering long-term growth and facilitating economic recovery. This budget demonstrates India's determination and achievements in a changing environment. We hope the government will fulfil the promises of making India a Better and More Developed Nation. 

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