Role of Agriculture in the Indian Economy
The role of Agriculture in the Indian Economy is as follows
Share in national income: Because of the development of the primary and secondary sectors, the share of agriculture in the national income has decreased from 61% in 1950–51 to 14.6% in 2009–10. However, agriculture still continues to play a significant role in the growth of the socio-economic sector in India.
Largest employment-producing sector: Agriculture is the only means of living for two-thirds of the employed people in India. In 1950–51, 69.5% of the total working population was engaged in agriculture. It has been reduced to 56.7% in 2001. Because of a rapid increase in the population, the absolute number of people involved in agriculture has grown enormously.
Providing raw material for industrial development: Many industries such as the cotton and jute industries, the sugar industry, and the vanaspati industry depend on the agricultural sector for raw material and for their development.
The market for industrial products: Agriculture also provides a market for industrial goods. The purchasing power of the rural people is a valuable motivation to industrial development.
Importance in international trade: Agriculture plays a significant role in international trading activities. Total exports have been increased from 6.9% in 2010–11 to 9.08% in 2011–12.
Main Sectors of Indian Economy: Agriculture
Trends in Agricultural Production and Productivity
Human capital formation in India
Role of Human Capital in Economic Development
Can a growing population lead to economic Development?