Manufacturing (Small Machines)

Agriculture is the mainstay of the economy of Bihar. However, high cost of agricultural practices and low productivity of crops has been an issue. The relationship between agricultural output and input, as compared to many other states of the country/ world and their averages, has been problematic. Among others, provision of irrigation facilities, use of high yielding variety of seeds, use of pesticides and insecticides, use of fertilizers and better techniques of farming, use of modern agricultural machinery and implements, etc. play a vital role in increasing the productivity of agriculture. Thus optimal level of mechanization is an imperative for ushering in the regime of low-cost agriculture in Bihar.

In the recent past, the modern agriculture implements have registered a sharp increase in their presence in the fields of Bihar. The State Government has been providing incentives — over and above the incentive provided under the centrally sponsored schemes — for power tillers, tractors, sprayers, winnowing machines, power weeders and power threshers. The focus is on zero tillage machines which are more suitable for farmers with small and marginal land holdings. Because of easy availability of incentive and progressive outlook of the farmers, use of latest equipment is now becoming common in the state. The increase in electrification has led to increase in usage of electrical pumps and electricity based farm equipment. The agricultural implements market in the state is now witnessing a high growth which is poised to further growth in the time to come. Looking at this growing domestic consumption market and the lack of investment in this sector in the state till date, Government of Bihar has categorized the small machine manufacturing sector related to agriculture as one of the priority sectors in the industrial investment promotion policy.