The Agricultural sector has a great contribution to India’s gross domestic product (GDP) which is almost 17.59% & considered an important sector of the Indian economy that employs half of the country’s workforce. For Developing countries, it is the main source of national income. In the 21st century, agriculture is not only restricted to farming it is above and beyond that which includes –
- forestry,
- Fruit cultivation,
- Dairy,
- Poultry,
- Mushroom,
- Beekeeping,
- Arbitrary, etc.
The agriculture sector is the backbone of the economy and the main source of livelihood of many people in the village area where the larger population stays.
Agricultural Exports and Employment Generation
Major items of the country’s exports include sugar, rice, tea, spices, coffee, and tobacco, which rely on agricultural export. The government has launched various schemes to increase the exports of agricultural goods and make them competitive in the global market. Employment generation is achieved through agricultural sales, making it the main source of employment in India. Additionally, agriculture supplies raw materials to industries, contributing to the overall economy. The government provides export benefits under the MEIS Scheme to support agricultural exports.
Food Provision and Population Growth
Agriculture plays a crucial role in providing food for the increasing population. Due to the rapid increase in population, India has significantly increased the rate of food production. Furthermore, agricultural products serve as a source of food in developed countries, highlighting the global significance of India’s agricultural output.
Government Schemes :
Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY)
The Government of India has launched the Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY) to provide continuous power supply to rural areas. The government plans to invest Rs 756 billion for electrification in rural areas.
Digital Empowerment of Farmers
Under the Digital India Schemes, the government empowers farmers and provides vocational education through seminars organized under the Skill India initiative.
Crop Insurance and Soil Health
Insurance on crops is provided under the Pradhan Mantri Fasal Bima Yojana (PMFBY). Additionally, soil is checked and modified as per the crop production under the Soil Health Card scheme.
Support for Farmers
The Rashtriya Krishi Vikas Yojana offers various schemes for storage, loans, and credit to farmers at low rates. Government incentive schemes such as Transport and Marketing Assistance (TMA) provide export benefits and make agricultural goods competitive in the global market.
Infrastructure Development
Infrastructure development plays a crucial role in boosting agricultural productivity. Initiatives like the Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) for irrigation, rural electrification schemes, and improvement of transportation and market infrastructure are essential for the sector.
Technology Adoption and Climate Resilience
Leveraging technology in agriculture is crucial for enhancing productivity and efficiency. Government schemes like the National Mission on Sustainable Agriculture (NMSA) and the Rashtriya Krishi Vikas Yojana (RKVY) promote technology adoption, including precision farming, use of drones, and digital platforms for market access. Furthermore, initiatives like the Pradhan Mantri Fasal Bima Yojana (PMFBY) and schemes for promoting climate-smart agriculture practices address the challenges posed by climate change.
Research and Extension Services
Agricultural research and extension services play a vital role in disseminating new technologies and best practices to farmers. Institutions like the Indian Council of Agricultural Research (ICAR) and its network of research centers and Krishi Vigyan Kendras (KVKs) contribute to the sector’s development.
Financial Support Mechanisms and Market Reforms
Various financial support mechanisms for farmers, such as interest subvention schemes, credit availability through institutions like NABARD and cooperative banks, and subsidies for inputs like seeds, fertilizers, and machinery, are in place. Additionally, recent market reforms aimed at liberalizing agricultural trade and improving farmers’ access to markets, such as the Agricultural Produce Market Committee (APMC) reforms and the e-NAM (National Agricultural Market) platform, have been implemented.
The government launched the RoDTEP Scheme for the exporters to reimburse all the duties and taxes on export products which came into effect on the 1st of April 2021, Under the Advance Authorisation Scheme raw materials can be imported at zero customs duty.
Conclusion
The agricultural sector in India is a significant contributor to the country’s economy, constituting approximately 17.59% of the gross domestic product (GDP) and employing half of the nation’s workforce. Beyond traditional farming, the sector encompasses diverse activities such as forestry, fruit cultivation, dairy, poultry, mushroom cultivation, and beekeeping, serving as the primary source of livelihood for rural communities. The government has implemented various schemes and initiatives to support agricultural development, including power supply, digital empowerment of farmers, crop insurance, infrastructure development, technology adoption, financial support mechanisms, market reforms, and export promotion, aiming to enhance productivity and resilience.
Additionally, the introduction of schemes like the RoDTEP Scheme and the Advance Authorisation Scheme underscores the government’s commitment to bolstering agricultural exports and facilitating import processes for raw materials, thereby enhancing the global competitiveness of Indian agricultural products.
