Farming depends mainly upon monsoon rain. Agriculture sector provides more employment opportunities to the labor force that reduce the high rate of unemployment in developing countries caused by the fast growing population. . Some reports claim smallholder farming may not be cause of poor productivity, since the productivity is higher in China and many developing economies even though China smallholder farmers constitute over 97% of its farming population. In spite of the fact that large areas in India, after independence, have been brought under irrigation, only one-third of the cropped area is actually irrigated.
Agricultural equipments such as— tractors, pump harvesters, fertilizers, pesticides were made available to farmers. Agriculture contributes in foreign exchange of our country. The Indian farmer receives just 10% to 23% of the price the Indian consumer pays for exactly the same produce, the difference going to losses, inefficiencies and middlemen. However, since irrigation infrastructure was very poor, Indian farmers innovated with tube-wells, to harvest. Central Institute of Fisheries Technology, India. In India, there is vast potentiality for the expansion of the small sector. Capital Formation and Investment The major part of production assets of the country is in the form of agricultural assets like land, irrigation facilities, tractors, agriculture implements, ploughs, pump sets and storages.
Besides manufactured jute, cotton textiles and sugar also contribute another 20 per cent of the total exports of the country. In fiscal year ending June 2011, with a normal monsoon season, Indian agriculture accomplished an all-time record production of 85. Encouraging policies that promote competition in agricultural marketing will ensure that farmers receive better prices. Indian farmers, thus produced about 71 kilograms of wheat and 80 kilograms of rice for every member of Indian population in 2011. Nearly two-thirds of its population depends directly on agriculture for its livelihood.
Services Sector: The services sector of the country is almost totally under the control of the private sector. We all are closely attached to farming. National Seed Association of India. Moreover our government can raise substantial revenue by imposing agricultural income tax. This isn't because of reduced importance of agriculture or a consequence of agricultural policy. Farmer suicides account for 11.
It produces several materials for industries. About one-third of land holdings are very small less than one hectare in size. Besides manufactured jute, cotton textiles and sugar also contribute another 20 per cent of the total exports of the country. Food and Fodder In India, agriculture meets almost the entire food requirements of the people. Moreover, many other industries such as processing of fruits as well as vegetables and rice husking get their raw material mainly from agriculture. Such rapid growth in farm productivity enabled India to become self-sufficient by the 1970s.
The government has encouraged consolidation of land holdings to promote use of modern farm machines. Farmers in developed economies of Europe and the United States receive 64% to 81%. However, most people in developed countries do not engage in agriculture. Encouraging policies that promote competition in agricultural marketing will ensure that farmers receive better prices. The government provided better infrastructure facilities such as— irrigation, electricity and transportation. No single state of India is best in every crop.
Modern methods of cultivation were introduced in the country. The main exported agricultural commodities are tea, oil cakes, fruits and vegetables, spices, tobacco, cotton, coffee, sugar, raw wool and vegetable oils. In a big country like India, having a huge size of population, the entire trading activities are managed by the private sector in a best possible manner. However,free electricity and attractive minimum support price for water intensive crops such as sugarcane and rice have encouraged ground leading to and poor water quality. The announcement led to major political controversy. Sugarcane plantations, just like farms, became a major driver of large and forced human migrations in 19th century and early 20th century — of people from Africa and from India, both in millions — influencing the ethnic mix, political conflicts and cultural evolution of Caribbean, South American, Indian Ocean and Pacific Island nations.
Importance of Agriculture in Indian Economy In the Indian economy, the importance of agriculture meet developed countries. Commercial Importance: Indian Agriculture is playing a very important role both in the internal and external trade of the country. The private sector also made a serious attempt to invest on industries producing wide range of intermediate products which include machine tools, chemicals, paints, plastic, ferrous and non-ferrous metals, automobiles, electronics and electrical goods etc. Agriculture is the most important sector ofIndian Economy. The most important peculiarity of this sector is that the small scale and cottage units of the country, producing variety of products would continue to remain within the control and management of the private sector.
The policy suggested that, as far as possible, land with low farming yields or that was not farmable should be earmarked for non-agricultural purposes such as construction, industrial parks and other commercial development. It ensures food security for the country. Moreover, workers engaged in various industries depend on agriculture for their food requirement. Despite some stagnation during the later modern era the independent was able to develop a comprehensive agricultural programme. Due to small size of land holdings we cannot use modern way of cultivation. The required level of investment for the development of marketing, storage and cold storage infrastructure is estimated to be huge.