Rising Rural Demand

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

• As part of Budget 2021-22, the total outlay towards major agriculture and rural development projects stands at ₹2.30 lakh crore
• The volume of institutional credit for the agriculture sector is raised to ₹16.5 lakh crore from ₹15 lakh crore last year, with a focus on ensuring increased credit flows to animal husbandry, dairy, and fisheries
• The budget also increased allocation to the Rural Infrastructure Development Fund from ₹30,000 crores to ₹40,000 crores
• 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.