Importance of Agriculture in the Indian Economy
- Economic Contribution:
- Agriculture is a major contributor to India’s GDP, though its share has decreased over the years with the rise of the industrial and service sectors. As of recent estimates, agriculture still contributes around 18-20% of India’s GDP.
- Employment Generation:
- Agriculture provides employment to around 50-60% of India’s workforce, especially in rural areas, where the majority of the population is engaged in farming.
- Rural Development:
- Agriculture is integral to rural development. The improvement of agricultural productivity often leads to enhanced income levels, poverty reduction, and better living standards in rural regions.
- Source of Raw Materials:
- Agriculture provides raw materials to various industries, including cotton for textiles, jute for packaging, sugarcane for sugar production, and spices for food processing, making it vital to the industrial economy.
- Food Security:
- Agriculture is essential for ensuring national food security, as it is the primary source of food grains like rice, wheat, pulses, and vegetables. A strong agricultural sector ensures that food prices remain stable and affordable.