Rising Rural Demand

Consumption in rural India is growing at 1.5 times the rate in urban India.

• Budget 2020-21 saw an increased outlay of ₹2.25 lakh crore towards rural development schemes, the highest ever
• The volume of institutional credit for the agriculture sector is raised to ₹15 lakh crore from ₹11 lakh crore last year, with an aim to double farmers income by 2022
• This Budget also set aside ₹6,000 crore for digitisation of 1,00,000 gram panchayats through Fibre to the Home (FTTH) connections
• 35 lakh farmers stands to benefit from PM KUSUM 700 crore Budget outlay for solar pumps installation
• Higher rural consumption can also be attributed to increased purchasing power, stable inflation, augmented government spending towards rural infrastructure development and poverty elimination programs

This smallcase has companies that either derive a significant amount of their revenue from rural India or are striving to enhance their foothold across rural markets to benefit from increasing rural demand.