Digital Technology in Agribusiness of North East India

Abstract

The Indian economy relies significantly on agriculture, employing around 42.3% of the workforce and contributing 18.2 % to the GDP in the financial year 2023-24. However, the sector faces challenges due to the fragmentation of farmlands, with 89.4% cultivated by small and marginal farmers who own less than 2 hectares of land. To address these issues for improving farmers' livelihoods, forming Farmer Producer Organizations (FPOs) has emerged as a promising solution. These organizations bring together individual farmers, enabling economies of scale and enhancing their income prospects. In recent years, the integration of digital technology has played a crucial role in strengthening FPOs and addressing various challenges. Moreover, digital services have facilitated capacity building among farmers but progress in digitization in the North East Region (NER) of India has been slow compared to other parts of the country. To gain insight into the usage of digital technology by FPOs and agripreneurs in the NER, a study was conducted during the 1stNorth East Conclave held at CPGS-AS, CAU (I), Umiam, Meghalaya. A sample of 22 respondents was selected based on convenience sampling. Primary data was collected through a semi-structured interview schedule and descriptive statistics was used to analyse the obtained data. To gain a better understanding of the prevailing scenario, various data from secondary sources were also studied. The study found that mobile phones were the participants most widely used digital tools. The SWOT analysis of digital technology highlighted strengths such as high mobile phone penetration. On the other hand, weaknesses included low e-literacy levels and limited internet connectivity. Opportunities identified were related to digital marketing, remote monitoring, and advisory services, while threats included rapid technological changes, duplication, and contradictory information flow. Based on the study's findings, the way forward involves investing in improving digital infrastructure, particularly internet connectivity, to ensure seamless access to digital solutions for farmers. Establishing regional e-commerce platforms can directly connect farmers with buyers, eliminating intermediaries and empowering farmers with better market access. These steps can contribute to the modernization and digitization of agricultural practices in rural India, ultimately leading to improved livelihoods and income augmentations for farmers in the NER.