Market Trends of India Micro Irrigation Systems Industry
The Field Crops Segment Holds a Significant Share in the Market
Wheat and maize account for the prominent cereal crops cultivated in the country. Though these crops were grown as rainfed traditionally, results of various field trials and studies conducted to evaluate the positive impacts of irrigating these crops have strengthened the demand for micro irrigation systems.
Technological advances in precision irrigation practices and equipment have profoundly changed micro-irrigation in agriculture. According to the FAO, the total area harvested in maize accounted for 10.0 million hectares in 2022, higher than 9.9 million hectares in 2021, as most cereals are water-intensive crops, such as rice and maize. The rising population demands higher cereal production, prompting farmers to adopt micro-irrigation systems.
Furthermore, the country's initiatives are expected to bolster the segment's growth within the market under study. For instance, in 2022-23, the Centrally Sponsored Scheme (CSS) of Per Drop More Crop (PDMC) is being implemented under the Rashtriya Krishi Vikas Yojana (RKVY). PDMC scheme focuses on enhancing water use efficiency at the farm level through micro-irrigation, namely, drip and sprinkler irrigation systems.
Rajasthan is One of the Growing Markets
The state’s per capita availability of water is lower than the national average, and water resources in the state are getting exhausted. There is increasing competition for water for agriculture and other domestic purposes. Therefore, to overcome the water scarcity issues in the agriculture sector, micro irrigation is considered an effective irrigation method in the state.
Irrigation technology in the state is changing fast from conventional ways to adopting modern methods, like micro irrigation systems. For instance, land covered under drip irrigation systems through On Farm Water Management (OFWM) and Per Drop More Crop (PDMC) Schemes was 31,123 hectares in 2021-2022, and in 2022-2023, it was 69,616 hectares as per the Ministry of Agriculture and Farmers Welfare Department, India.
Furthermore, initiatives are being implemented to bolster the growth of the state market, consequently benefiting the market under study. For instance, in December 2022, 14 projects were sanctioned to 8 States, including Rajasthan, under the Micro Irrigation Fund (MIF). Similarly, in 2023, the Rajasthan government approved INR 463 crore (USD 58.9 million) to strengthen the micro-irrigation system in the state. The revised Rajasthan Micro Irrigation Scheme aims to help 50,000 farmers construct farm ponds in the next two years.
