Agriculture is the Backbone of the Indian Economy

Agriculture is considered the backbone of Indian economy. Despite the fact that in the last 6 decades of planned development era since India became a Republic, a tremendous success India has achieved in the field of industries, agriculture and allied activities of agriculture still continues to provide employment to around 65 per cent of the total workforce.

Agriculture and allied activities make the single largest contribution to GDP (Gross Domestic Product), accounting for almost 27 per cent of the total.

Agriculture supplies bulk of wage goods required by the non-agricultural sector. It provides raw materials for a large section of industries. Sugar, tea, cotton textiles, jute goods, vegetable oil, etc. industries are regularly fed by agricultural produces. Many cottage industries depend on agricultural operations. The contribution of agriculture to the nation’s Forex (foreign exchange reserve) is also quite significant. Agriculture accounts for about 18 percent share of the total value of India’s export. Agricultural growth has direct impact on poverty eradication.

With an objective of achieving self-sufficiency in the field of agriculture, the initiative of Green revolution were introduced during 1960s. The introduction of HYV seeds for the agriculture of wheat and other grains has given very satisfactory results. Other factors such as agricultural finance, famines, and irrigation methods were also considered. These efforts boosted the Indian economy in a great way.

Thus, the importance of Agriculture in Indian economy and society can never be denied.