Average MGNREGA wage rate for workers increased by 10% as of 2020 Govt. The plans cost Rs. 70,000 crore for MGNREGS in the budget 2020-21, the plan will be combined with the updated inflation index, revised consumer price index – agricultural labor (CPI-AL) to increase the MGNREGA wages.
The central government may announce 8% to 10% increase in average wages under the Mahatma Gandhi National Rural Employment Generation Act (MGNREGA). This increase in MGNREGS average wage rates will be linked to an updated inflation index, the revised Consumer Price Index – Agricultural Labor (CPI-AL). Now people can check the MGNREGA wage rate 2020-21 as the scheme was launched at Rs. 10,000 crore push.
To boost rural income, the central government raised the total MNREGA budget for 2020-21 to Rs. 70,000 crores Rs. Earlier in 2019-20 (FY20), the budget allocation for MGNREGA scheme was Rs. 60,000 crores Rs. The MGNREGA wage rate increase in 2020 is a part of the government. Scheme to strengthen the existing welfare schemes for farmers like PM-Kisan and MNREGA. Central government. It has decided to go for consolidation as it is reversed by dwindling resources.
MGNREGA wage rate to be increased to 10% by 2020 in next budget
For agricultural activities, Central Govt. There is a plan to lay emphasis on cold storage and expansion of warehouse network. This will be done by providing them some tax incentives or easy credit facilities. Farmers may also have an incentive to diversify from rice and wheat to more profitable crops. According to official reports, the central government will now pay Rs. More money of Rs 10,000 crore for MNREGA (Rs 70,000 crore in Union Budget 2020-21 as compared to Rs 60,000 in previous budget). This increased allocation will increase the MGNREGA wage rate from 8 to 10% per month.
Ministry of Rural Development has given additional Rs. 20,000 crores for MNREGA scheme. Currently, the national average salary of a MGNREGA worker is Rs. 178.44 per day which is lower than the minimum agricultural wage rate in many states. After several rounds of discussions with industry experts, farmers and economists, consensus is building on increasing allocation. This has been done to accelerate the establishment of 22,000 rural markets under the Rural Agriculture Program (Gram) launched in FY 2018.
The program is financed through one rupee. 2,000 crore dedicated agricultural infrastructure fund created in NABARD. However, the allocated funds have been found insufficient to finance such a large program. A separate budgetary allocation is required to kickstart the plan. This is because the current model of a dedicated fund has not yielded the desired results. Apart from the village scheme, some fund allocation is also required for the Electronic National Agricultural Market (eNAM) scheme.
Under the e-NAM initiative, the central government. There are plans to connect 1,000 markets through a common pan-India electronic trading portal. So far, more than 500 mandis or APMC markets are trading online under ENAM. It was also proposed to create a dedicated fund for agricultural start-ups to ensure proper ecosystem for growth and development. In addition, there is a need to attract more private funds to the agricultural sector, for which specific steps should be taken.
Officials said that there was also a proposal to create a dedicated fund for agricultural start-ups, so that they could get the proper ecosystem to grow and develop.
“There is a need to attract more private funds to the agriculture sector, for which specific steps should be taken,” the official said.