What is the importance of Agriculture to

Indian Economy?
60.00
% Share of Agriculture in GDP
56.50

50.00
45.90

40.00
34.00

30.00
24.70

19.55 18.51
20.00 17.80
15.70 14.70 14.50 13.90 13.6

10.00

0.00
1950-51 1970-71 1990-91 2000-01 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13
 Importance of Agriculture to Indian Economy

Economic Growth Food for domestic Export Occupation Green Revolution

consumption
Agriculture is the Need to feed our Largest producer Over 58 per cent of Began in 1960
backbone of Indian population that and exporter of the rural households Focus on improved
economy. counts over 1.21 spices. depend on methods of
billion. Second largest fruits agriculture as their agriculture and High
High Multiplier producer in the principal means of Yielding Varieties of
Effect world livelihood. seeds.
Causal relationship The National Food Third in farm and Proportionate Share of India switched from
Sectors in Employment (in
between agricultural Securities Act 2013 agriculture output. percentage)
importing its grains
growth and domestic aims to provide Agricultural export in the early 1960s to
consumption subsidized food constitutes 10 per being a net exporter
grains to 2/3 of 1.21 cent of the country’s of food.
billion population exports
Cost (Rs 1.4 trillion) Fourth-largest
or $ 21 billion) exporter of principal
Source :Praduman Kumar et al (2016). Demand Vs Supply of Food in India – Futuristic Projection.
Source: World Development Indicators. World Bank Data
Source: World Development Indicators. World Bank Data
 Agriculture Value Added per worker
(Constant 2010 US$)
12500.00
$10,041
10500.00 $9589
$8634
8500.00

6500.00

4500.00

2500.00 $1307
$1133

500.00
Brazil China India South Africa Russian Federation

2010 2011 2012 2013 2014 2015

 % of Population depends on
Agriculture
45.00
40.00
35.00
30.00
25.00
20.00
15.00
10.00
5.00
0.00
2007 2008 2009 2010 2011 2012 2013 2014 2015

Brazil China Russian Federation South Africa

 Pattern of Government outlay on Agriculture and Allied Sectors
Agriculture and
Total % to total
Allied Sectors
Plans Periods Expenditure outlay
(Rs in crores)
(Rs in crores)

I 1951-56 1,960 600 31

II 1956-61 4,670 950 20
III 1961-66 8,580 1,750 21
IV 1969-74 15,800 3,670 24
V 1974-79 39,430 8,740 22
VI 1980-85 1,09,300 26,100 24
VII 1985-90 2,18,730 47,100 23
VIII 1992-97 4,75,480 1,01,590 21
IX 1997-02 8,59,200 1,76,217 20.5
X 2002-07 15,25,639 3,05,055 20
XI 2007-12 36,76,936 7,23,465 19.7
XII 2012-17 76,69,807 13,23,119 17.3
 Achievements in the Agricultural Sector
Food Grains Sugarcane
Plans Periods Target Actual Target Actual
Million tonnes Million tonnes Million tonnes Million tonnes
I 1951-56 62 67 63 60
II 1956-61 81 80 78 104
III 1961-66 100 72 100 127
IV 1969-74 129 104 150 140
V 1974-79 125 132 165 165
VI 1980-85 154 146 215 170
VII 1985-90 180 171 217 210
VIII 1992-97 210 199 275 277
IX 1997-02 234 211 336 300
X 2002-07 234 216 336 345
XI 2007-12 - 257 - 357
 Per Hectare Yield of Principal Crops since 1950-51

Per Hectare Yield of Principlal Crops 1950-51 Per Hectare Yield of Food Grains
35
1950-51 1964-65 201-13
1. Food Grains 30

Rice (Qunitals) 7.1 10.8 24.15 25

Wheat (Qunitals) 6.6 9.1 31.4

20
Coarse cereals(Qunitals) 4.3 5.1 15.7
15
Pulses (Qunitals) 4 5.2 7.4
2.Non food grains 10

Oil Seads (Qunitals) 5.2 5.6 11.2 5

Sugarcane (Tonnes) 34 47 67
0
Cotton (Kgs) 95 122 488 Rice (Qunitals) Wheat (Qunitals) Coarse cereals(Qunitals) Pulses (Qunitals)

Potato (Qunitals) 66 84 220 1950-51 1964-65 201-13

 Actual Yield per hectare in quintals during 2010 in comparision with world's highest yield and yields of largest
producer
Actual yield
of the
world's
Potential of high Actual largest World's
yielding Indian yield producer highest
varieties in India Country yield Country
Food Crops
Rice(Paddy) 40 to 58 32.6 65.5 China 94.2 Egypt
Wheat 60 to 68 28.4 47.5 China 76.7 UK
Maize 60 to 80 19.6 95.9 USA 97.4 Canada
Non Food crops
Sugarcane 70.1 790 Brazil 125.4 Peru
Groundnut 20 to 30 14.9 41.4 China 37.1 USA
Norman Borlaug
Dr M S Swaminathan