Aggregation in agriculture is still a challenge

Context

• In recent times, there has been a spurt in the number of entrepreneurs venturing into agri-startups that are connecting farmers.

What the editorial is about?

• The need for private players to enter into agriculture.

What makes attempts at aggregation a complex challenge?

• The average landholding size in India is shrinking with the increase of rural population and fragmentation of families.
• Around 88% of households have landholding below two hectares with 0.5 hectares as the median size (Situation Assessment of Agricultural Households and Land and Livestock Holdings of Households in Rural, 2019).
• This is a structural problem the nation has to contend with.
• Clearly, this militates against scale and makes attempts at aggregation a complex challenge.