Agriculture & Food Management UPSC Notes | EduRev

Economic Survey 2021

UPSC : Agriculture & Food Management UPSC Notes | EduRev

 Page 1


CHAPTER
07
(Who have the shade of cornful crest 
Under their umbra umbrella rest.)
  —Thiruvalluvar
The resilience of India’s agriculture sector can be seen from the fact that despite the 
COVID-19 pandemic, its performance in output was strong. About 54.6 per cent of the 
total workforce in the country is still engaged in agricultural and allied sector activities 
(Census 2011) which accounts for approximately 17.8 per cent of the country’s Gross 
Value Added (GVA) for the year 2019-20 (at current prices). While the difficulties created 
by COVID induced lockdowns adversely affected the performance of the non-agricultural 
sectors, the agriculture sector came up with a robust growth rate of 3.4 per cent at 
constant prices during 2020-21 (first advance estimates). The sector has got renewed 
thrust due to various measures on credit, market reforms and food processing under the 
Atma Nirbhar Bharat announcements. Various interventions of the Government for the 
development of allied sectors including animal husbandry, dairying and fisheries exhibit 
its resolve towards tapping the potential of allied sectors to further enhance farm welfare. 
In addition to various measures aimed at increasing productivity and improving marketing 
of agricultural produce, the Government also carries out a large food management 
programme with a significant financial implication in terms of food subsidy. Under the 
Pradhan Mantri Garib Kalyan Anna Yojana, 80.96 crores beneficiaries were provided 
additional foodgrains, i.e. above the NFSA mandated requirements, of 5 kg per person 
per month free of cost till November, 2020. Over 200 LMT of foodgrains were provided 
amounting to a fiscal outgo of over ` 75000 Crores. Also, under Atma Nirbhar Bharat 
Package, 5 kg per person per month was distributed for four months (May to August) to 
benefit approximately 8 crores migrants who are not covered under NFSA or state ration 
card entailing subsidy of ` 3109 crores approximately.
Agriculture & Food Management
INTRODUCTION
7.1	 COVID-19 	 pandemic 	 has 	 influenced 	 the 	 lives 	 of 	 people 	 across 	 the 	 globe 	 and 	 India	 is 	 no	
exception 	 to 	 that. 	 The	 farming 	 activities 	 also 	 experie nced 	 the 	 impact 	 of 	 this	 pandemic 	 as 	 the 	
COVID	 induced 	 lockdowns 	 influenced 	 the 	 movement 	 of 	 farm 	 inputs	 including 	 farm 	 machinery 	
from	 one 	 location 	 to 	 other . 	 The	 national 	 lockdown 	 coincided 	 with 	 the 	 commencement 	 of 	 the 	
harvesting 	 season 	 for 	 the 	 Rabi 	 crops 	 creating 	 further 	 adversity 	 for 	 the 	 sector . 	Migration	 of 	
agricultural 	 labourers 	 to 	 their 	 native 	 places 	 during 	 the 	 lockdown 	 created 	 a 	 shortage 	 of 	 farm 	
Page 2


CHAPTER
07
(Who have the shade of cornful crest 
Under their umbra umbrella rest.)
  —Thiruvalluvar
The resilience of India’s agriculture sector can be seen from the fact that despite the 
COVID-19 pandemic, its performance in output was strong. About 54.6 per cent of the 
total workforce in the country is still engaged in agricultural and allied sector activities 
(Census 2011) which accounts for approximately 17.8 per cent of the country’s Gross 
Value Added (GVA) for the year 2019-20 (at current prices). While the difficulties created 
by COVID induced lockdowns adversely affected the performance of the non-agricultural 
sectors, the agriculture sector came up with a robust growth rate of 3.4 per cent at 
constant prices during 2020-21 (first advance estimates). The sector has got renewed 
thrust due to various measures on credit, market reforms and food processing under the 
Atma Nirbhar Bharat announcements. Various interventions of the Government for the 
development of allied sectors including animal husbandry, dairying and fisheries exhibit 
its resolve towards tapping the potential of allied sectors to further enhance farm welfare. 
In addition to various measures aimed at increasing productivity and improving marketing 
of agricultural produce, the Government also carries out a large food management 
programme with a significant financial implication in terms of food subsidy. Under the 
Pradhan Mantri Garib Kalyan Anna Yojana, 80.96 crores beneficiaries were provided 
additional foodgrains, i.e. above the NFSA mandated requirements, of 5 kg per person 
per month free of cost till November, 2020. Over 200 LMT of foodgrains were provided 
amounting to a fiscal outgo of over ` 75000 Crores. Also, under Atma Nirbhar Bharat 
Package, 5 kg per person per month was distributed for four months (May to August) to 
benefit approximately 8 crores migrants who are not covered under NFSA or state ration 
card entailing subsidy of ` 3109 crores approximately.
Agriculture & Food Management
INTRODUCTION
7.1	 COVID-19 	 pandemic 	 has 	 influenced 	 the 	 lives 	 of 	 people 	 across 	 the 	 globe 	 and 	 India	 is 	 no	
exception 	 to 	 that. 	 The	 farming 	 activities 	 also 	 experie nced 	 the 	 impact 	 of 	 this	 pandemic 	 as 	 the 	
COVID	 induced 	 lockdowns 	 influenced 	 the 	 movement 	 of 	 farm 	 inputs	 including 	 farm 	 machinery 	
from	 one 	 location 	 to 	 other . 	 The	 national 	 lockdown 	 coincided 	 with 	 the 	 commencement 	 of 	 the 	
harvesting 	 season 	 for 	 the 	 Rabi 	 crops 	 creating 	 further 	 adversity 	 for 	 the 	 sector . 	Migration	 of 	
agricultural 	 labourers 	 to 	 their 	 native 	 places 	 during 	 the 	 lockdown 	 created 	 a 	 shortage 	 of 	 farm 	
231 Agriculture & Food Management
labourers. 	 India’ s 	 agricultural	 system 	 demonstrated 	 its	 resilience 	 amid	 such 	 adversities. 	 The	
agriculture 	 and 	 allied 	 sectors 	 were 	 the 	 sole 	 bright 	 spot 	 amid	 the 	 slide 	 in 	 performance 	 of 	 other	
sectors, 	 clock ing 	 a 	 growth 	 rate 	 of 	 3.4	 per 	 cent 	 at 	 constant 	 prices 	 during 	 2020-21. 	 Against 	 all	
adversities 	 due 	 to 	 COVID-19, 	 continuous 	 supply 	 of 	 agriculture 	 commodities, 	 especially 	 staples 	
like	 rice, 	 wheat, 	 pulses	 and 	 vegetables, 	 has 	 been 	 maintained 	 thereby 	 enabling 	 food 	 security . 	 In 	
order	 to 	 further 	 strengthen 	 and 	 support	 the 	 agricultural	 sector , 	 several 	 initiatives 	 have 	 been 	 taken 	
by	the 	Government 	of 	India	under 	the 	 Atma 	Nirbhar	Bharat 	 Abhiyan 	(Box	1).
Box 1: Major Announcements for Agriculture and Food Management 
under the Atma Nirbhar Bharat Abhiyan
Announcement Objectives
` 	 1	 lakh 	 crores 	 Agri 	 Infrastructure 	
Fund
Financing 	 will 	 be 	 provided 	 for 	 funding 	 agriculture 	
infrastructure 	 projects 	 at 	 farm-gate 	 & 	 at 	 aggregation 	
points 	 and 	 for 	 financially 	 viable 	 post-harvest 	 management	
infrastructure. 	
`	 10,000 	 crores 	 scheme 	 for 	
Formalisation 	 of 	 Micro 	 Food 	
Enterprises 	(MFE)
Aiding 	 2	 lakh 	 MFEs 	 who 	 need 	 technical	 upgradation 	 to 	
attain 	 FSSAI 	 food 	 standards, 	 build 	 brands 	 and 	 support	
marketing.
` 	 20,000 	 crores 	 for 	 fisherman 	
through 	 Pradhan 	 Mantri 	 Matsya 	
Sampada 	 Y ojana 	(PMMSY)
It 	 aims 	 at 	 integrated, 	 sustainable 	 and 	 inclusive 	 development 	
of 	 marine 	 and 	 inland	 fisheries 	 by	 developing 	 infrastructure 	
such 	as 	fishing 	harbours, 	cold 	chain, 	markets, 	etc.
National 	 Animal	 Disease 	 Control 	
Programme
It 	 tar gets 	 Foot 	 and 	 Mouth 	 Disease	 (FMD) 	 and 	 Brucellosis	
by	 ensuring 	 100	 per 	 cent 	 vaccination	 of 	 cattle, 	 buf falo,	
sheep, 	goat 	and 	pig 	population.
Animal 	 Husbandry 	 Infrastructure 	
Development 	 Fund 	 - 	 	 ` 15,000 	
crores
It 	 is 	 to 	 support	 private 	 investment 	 in 	 dairy 	 processing, 	
enable	 value 	 addition 	 and 	 improved 	 cattle 	 feed 	
infrastructure. 	
From	 ‘T OP’ 	to 	 T OT AL 	 “Operation 	 Greens” 	 run 	 by	 Ministry 	 of 	 Food 	 Processing 	
Industries 	 (MOFPI) 	 to 	 be 	 extended	 from 	 tomatoes, 	 onion 	
and 	potatoes 	to 	 ALL 	fruit 	and 	vegetables.
Reforms 	 in 	 Essential 	 Commodities	
Act, 	 Agriculture	 Marketing 	 and 	
Agriculture 	 Produce 	 Pricing 	 and 	
Quality 	 Assurance
These 	 legislat ive	 reforms 	 seek 	 to 	 remove 	 agricultural	
commodities 	 such 	 as 	 cereals, 	 pulses,	 oilseeds 	 etc. 	 from 	
the 	 list 	 of 	 essential 	 commodities 	 and 	 aim	 to 	 reform 	
agricultural	marketing.
PM 	Garib 	Kalyan 	 Ann 	 Y ojana The 	 scheme 	 aimed 	 at 	 ensuring 	 food 	 and 	 nutritional 	 security 	
to 	 around 	 80	 crores 	 ration 	 card 	 holders 	 who 	 were 	 af fected 	
due 	to 	the 	COVID-19 	induced 	national 	lockdown.
One 	 Nation 	 One 	 Ration 	 Card 	
Scheme
This 	 scheme 	 will 	 enable 	 migrant 	 workers 	 and 	 their 	 family 	
members 	 to 	 access 	 PDS 	 benefits 	 from 	 any 	 fair 	 price 	 shop 	
in 	 the 	country .
Page 3


CHAPTER
07
(Who have the shade of cornful crest 
Under their umbra umbrella rest.)
  —Thiruvalluvar
The resilience of India’s agriculture sector can be seen from the fact that despite the 
COVID-19 pandemic, its performance in output was strong. About 54.6 per cent of the 
total workforce in the country is still engaged in agricultural and allied sector activities 
(Census 2011) which accounts for approximately 17.8 per cent of the country’s Gross 
Value Added (GVA) for the year 2019-20 (at current prices). While the difficulties created 
by COVID induced lockdowns adversely affected the performance of the non-agricultural 
sectors, the agriculture sector came up with a robust growth rate of 3.4 per cent at 
constant prices during 2020-21 (first advance estimates). The sector has got renewed 
thrust due to various measures on credit, market reforms and food processing under the 
Atma Nirbhar Bharat announcements. Various interventions of the Government for the 
development of allied sectors including animal husbandry, dairying and fisheries exhibit 
its resolve towards tapping the potential of allied sectors to further enhance farm welfare. 
In addition to various measures aimed at increasing productivity and improving marketing 
of agricultural produce, the Government also carries out a large food management 
programme with a significant financial implication in terms of food subsidy. Under the 
Pradhan Mantri Garib Kalyan Anna Yojana, 80.96 crores beneficiaries were provided 
additional foodgrains, i.e. above the NFSA mandated requirements, of 5 kg per person 
per month free of cost till November, 2020. Over 200 LMT of foodgrains were provided 
amounting to a fiscal outgo of over ` 75000 Crores. Also, under Atma Nirbhar Bharat 
Package, 5 kg per person per month was distributed for four months (May to August) to 
benefit approximately 8 crores migrants who are not covered under NFSA or state ration 
card entailing subsidy of ` 3109 crores approximately.
Agriculture & Food Management
INTRODUCTION
7.1	 COVID-19 	 pandemic 	 has 	 influenced 	 the 	 lives 	 of 	 people 	 across 	 the 	 globe 	 and 	 India	 is 	 no	
exception 	 to 	 that. 	 The	 farming 	 activities 	 also 	 experie nced 	 the 	 impact 	 of 	 this	 pandemic 	 as 	 the 	
COVID	 induced 	 lockdowns 	 influenced 	 the 	 movement 	 of 	 farm 	 inputs	 including 	 farm 	 machinery 	
from	 one 	 location 	 to 	 other . 	 The	 national 	 lockdown 	 coincided 	 with 	 the 	 commencement 	 of 	 the 	
harvesting 	 season 	 for 	 the 	 Rabi 	 crops 	 creating 	 further 	 adversity 	 for 	 the 	 sector . 	Migration	 of 	
agricultural 	 labourers 	 to 	 their 	 native 	 places 	 during 	 the 	 lockdown 	 created 	 a 	 shortage 	 of 	 farm 	
231 Agriculture & Food Management
labourers. 	 India’ s 	 agricultural	 system 	 demonstrated 	 its	 resilience 	 amid	 such 	 adversities. 	 The	
agriculture 	 and 	 allied 	 sectors 	 were 	 the 	 sole 	 bright 	 spot 	 amid	 the 	 slide 	 in 	 performance 	 of 	 other	
sectors, 	 clock ing 	 a 	 growth 	 rate 	 of 	 3.4	 per 	 cent 	 at 	 constant 	 prices 	 during 	 2020-21. 	 Against 	 all	
adversities 	 due 	 to 	 COVID-19, 	 continuous 	 supply 	 of 	 agriculture 	 commodities, 	 especially 	 staples 	
like	 rice, 	 wheat, 	 pulses	 and 	 vegetables, 	 has 	 been 	 maintained 	 thereby 	 enabling 	 food 	 security . 	 In 	
order	 to 	 further 	 strengthen 	 and 	 support	 the 	 agricultural	 sector , 	 several 	 initiatives 	 have 	 been 	 taken 	
by	the 	Government 	of 	India	under 	the 	 Atma 	Nirbhar	Bharat 	 Abhiyan 	(Box	1).
Box 1: Major Announcements for Agriculture and Food Management 
under the Atma Nirbhar Bharat Abhiyan
Announcement Objectives
` 	 1	 lakh 	 crores 	 Agri 	 Infrastructure 	
Fund
Financing 	 will 	 be 	 provided 	 for 	 funding 	 agriculture 	
infrastructure 	 projects 	 at 	 farm-gate 	 & 	 at 	 aggregation 	
points 	 and 	 for 	 financially 	 viable 	 post-harvest 	 management	
infrastructure. 	
`	 10,000 	 crores 	 scheme 	 for 	
Formalisation 	 of 	 Micro 	 Food 	
Enterprises 	(MFE)
Aiding 	 2	 lakh 	 MFEs 	 who 	 need 	 technical	 upgradation 	 to 	
attain 	 FSSAI 	 food 	 standards, 	 build 	 brands 	 and 	 support	
marketing.
` 	 20,000 	 crores 	 for 	 fisherman 	
through 	 Pradhan 	 Mantri 	 Matsya 	
Sampada 	 Y ojana 	(PMMSY)
It 	 aims 	 at 	 integrated, 	 sustainable 	 and 	 inclusive 	 development 	
of 	 marine 	 and 	 inland	 fisheries 	 by	 developing 	 infrastructure 	
such 	as 	fishing 	harbours, 	cold 	chain, 	markets, 	etc.
National 	 Animal	 Disease 	 Control 	
Programme
It 	 tar gets 	 Foot 	 and 	 Mouth 	 Disease	 (FMD) 	 and 	 Brucellosis	
by	 ensuring 	 100	 per 	 cent 	 vaccination	 of 	 cattle, 	 buf falo,	
sheep, 	goat 	and 	pig 	population.
Animal 	 Husbandry 	 Infrastructure 	
Development 	 Fund 	 - 	 	 ` 15,000 	
crores
It 	 is 	 to 	 support	 private 	 investment 	 in 	 dairy 	 processing, 	
enable	 value 	 addition 	 and 	 improved 	 cattle 	 feed 	
infrastructure. 	
From	 ‘T OP’ 	to 	 T OT AL 	 “Operation 	 Greens” 	 run 	 by	 Ministry 	 of 	 Food 	 Processing 	
Industries 	 (MOFPI) 	 to 	 be 	 extended	 from 	 tomatoes, 	 onion 	
and 	potatoes 	to 	 ALL 	fruit 	and 	vegetables.
Reforms 	 in 	 Essential 	 Commodities	
Act, 	 Agriculture	 Marketing 	 and 	
Agriculture 	 Produce 	 Pricing 	 and 	
Quality 	 Assurance
These 	 legislat ive	 reforms 	 seek 	 to 	 remove 	 agricultural	
commodities 	 such 	 as 	 cereals, 	 pulses,	 oilseeds 	 etc. 	 from 	
the 	 list 	 of 	 essential 	 commodities 	 and 	 aim	 to 	 reform 	
agricultural	marketing.
PM 	Garib 	Kalyan 	 Ann 	 Y ojana The 	 scheme 	 aimed 	 at 	 ensuring 	 food 	 and 	 nutritional 	 security 	
to 	 around 	 80	 crores 	 ration 	 card 	 holders 	 who 	 were 	 af fected 	
due 	to 	the 	COVID-19 	induced 	national 	lockdown.
One 	 Nation 	 One 	 Ration 	 Card 	
Scheme
This 	 scheme 	 will 	 enable 	 migrant 	 workers 	 and 	 their 	 family 	
members 	 to 	 access 	 PDS 	 benefits 	 from 	 any 	 fair 	 price 	 shop 	
in 	 the 	country .
232 Economic Survey 2020-21   V olume 2
OVERVIEW OF AGRICULTURE
Gross Value Added in Agriculture
7.2	 As 	 per 	 the 	 provisional	 estimates 	 of 	 national 	 income 	 released 	 by	 CSO	 on	 29
th
	 May , 	 2020,	
the	 share 	 of 	 agriculture 	 and 	 allied 	 sectors 	 in 	 Gross 	 V alue 	 Added 	 (GV A) 	 of 	 the 	 country	 at 	 current 	
prices	 is	 17.8	 per 	 cent 	 for 	 the 	 year 	 2019-20. 	 GV A 	 of 	 agriculture 	 and 	 allied 	 sectors 	 and 	 its	 share	
in	total	GV A 	of 	the 	country	during 	the 	last 	six 	years 	at 	current 	prices 	is 	as 	given 	in 	 T able 	1.		
Table 1: Share of Agriculture and Allied Sectors in Total GV A at current prices
Items
Year
2014-15 2015-16 2016-17* 2017-18# 2018-19@ 2019-20**
Share 	 of 	 GV A 	 of 	 Agriculture	 & 	
Allied	 Sector 	 in 	 GV A 	 of 	 T otal 	
Economy 	(per	cent)
18.2 17.7 18.0 18.0 17.1 17.8
Share 	of 	Crops 1 1.2 10.6 10.6 10.4 9.4 NA
Share 	of 	Livestock 4.4 4.6 4.8 5.1 5.1 NA
Share 	of 	Forestry 	& 	logging 	 1.5 1.5 1.5 1.4 1.3 NA
Share 	 of 	 Fishing 	 & 	 aquaculture 1.0 1.1 1.1 1.2 1.2 NA
Source:	Department 	of	 Agriculture,	Cooperation	&	Farmers	 W elfare 	(DAC&FW).
Note:**As 	 per	 the 	 Provisional	 Estimates	 of	 Annual	 National	 Income	 2019-20 	 released	 by	 CSO 	 on	 29th	 May	 2020.	
@As	 per 	 the 	 First	 Revised	 Estimates	 of	 National	 Income,	 Consumption	 Expenditure, 	 Saving	 and 	 capital	 Formation	
for	2018-19 	released	on	31st	January , 	2020.	#	Second	Revised	Estimate.	*	 Third	Revised	Estimate.
NA- 	Data	 not	available.
7.3	 The 	 share	 of 	 agriculture 	 and 	 allied 	 sectors 	 in 	 GV A 	 of 	 the 	 country	 has 	 declined 	 from 	 18.2	 per 	
cent	 in	 2014-15 	 to 	 17.8	 per 	 cent 	 in 	 2019-20 	 (T able	 1), 	 an 	 inevitable 	 outcome 	 of 	 a 	 development 	
process	 in 	 which 	 the 	 relative 	 performance 	 of 	 non-agricultural 	 sectors 	 becomes 	 more	 dominant. 	
W ithin 	 the 	 agriculture 	 sector , 	 the 	 share	 of 	 crops 	 has 	 fallen 	 from 	 1 1.2 	 per 	 cent 	 in 	 2014-15 	 to 	 9.4 	
per 	 cent 	 in 	 2018-19. 	 The	 decline 	 in 	 the 	 share	 of 	 crops 	 has 	 been 	 made 	 up	 by	 an 	 increase 	 in 	 the 	
share	of	 livestock 	and 	fisheries 	sectors.
Figure 1: Share of Agriculture and Allied Sectors in Total GV A 
of the Country at Current Prices (in per cent)*
 
11.2
4.4
1.5
1
10.6
4.6
1.5
1.1
10.6
4.8
1.5
1.1
10.4
5.1
1.4
1.2
9.4
5.1
1.3 1.2
0
2
4
6
8
10
12
Share of Crops Share of Livestock Share of Forestry & logging Share of Fishing &
aquaculture
2014-15 2015-16 2016-17* 2017-18# 2018-19@ 2019-20 **
Source:	Created 	from	the	data	in	 T able	1.
*All 	 the	symbols	attached	with	the	years	in	the	graph	denote	the	same 	as	indicated	in	 T able 	1.
Page 4


CHAPTER
07
(Who have the shade of cornful crest 
Under their umbra umbrella rest.)
  —Thiruvalluvar
The resilience of India’s agriculture sector can be seen from the fact that despite the 
COVID-19 pandemic, its performance in output was strong. About 54.6 per cent of the 
total workforce in the country is still engaged in agricultural and allied sector activities 
(Census 2011) which accounts for approximately 17.8 per cent of the country’s Gross 
Value Added (GVA) for the year 2019-20 (at current prices). While the difficulties created 
by COVID induced lockdowns adversely affected the performance of the non-agricultural 
sectors, the agriculture sector came up with a robust growth rate of 3.4 per cent at 
constant prices during 2020-21 (first advance estimates). The sector has got renewed 
thrust due to various measures on credit, market reforms and food processing under the 
Atma Nirbhar Bharat announcements. Various interventions of the Government for the 
development of allied sectors including animal husbandry, dairying and fisheries exhibit 
its resolve towards tapping the potential of allied sectors to further enhance farm welfare. 
In addition to various measures aimed at increasing productivity and improving marketing 
of agricultural produce, the Government also carries out a large food management 
programme with a significant financial implication in terms of food subsidy. Under the 
Pradhan Mantri Garib Kalyan Anna Yojana, 80.96 crores beneficiaries were provided 
additional foodgrains, i.e. above the NFSA mandated requirements, of 5 kg per person 
per month free of cost till November, 2020. Over 200 LMT of foodgrains were provided 
amounting to a fiscal outgo of over ` 75000 Crores. Also, under Atma Nirbhar Bharat 
Package, 5 kg per person per month was distributed for four months (May to August) to 
benefit approximately 8 crores migrants who are not covered under NFSA or state ration 
card entailing subsidy of ` 3109 crores approximately.
Agriculture & Food Management
INTRODUCTION
7.1	 COVID-19 	 pandemic 	 has 	 influenced 	 the 	 lives 	 of 	 people 	 across 	 the 	 globe 	 and 	 India	 is 	 no	
exception 	 to 	 that. 	 The	 farming 	 activities 	 also 	 experie nced 	 the 	 impact 	 of 	 this	 pandemic 	 as 	 the 	
COVID	 induced 	 lockdowns 	 influenced 	 the 	 movement 	 of 	 farm 	 inputs	 including 	 farm 	 machinery 	
from	 one 	 location 	 to 	 other . 	 The	 national 	 lockdown 	 coincided 	 with 	 the 	 commencement 	 of 	 the 	
harvesting 	 season 	 for 	 the 	 Rabi 	 crops 	 creating 	 further 	 adversity 	 for 	 the 	 sector . 	Migration	 of 	
agricultural 	 labourers 	 to 	 their 	 native 	 places 	 during 	 the 	 lockdown 	 created 	 a 	 shortage 	 of 	 farm 	
231 Agriculture & Food Management
labourers. 	 India’ s 	 agricultural	 system 	 demonstrated 	 its	 resilience 	 amid	 such 	 adversities. 	 The	
agriculture 	 and 	 allied 	 sectors 	 were 	 the 	 sole 	 bright 	 spot 	 amid	 the 	 slide 	 in 	 performance 	 of 	 other	
sectors, 	 clock ing 	 a 	 growth 	 rate 	 of 	 3.4	 per 	 cent 	 at 	 constant 	 prices 	 during 	 2020-21. 	 Against 	 all	
adversities 	 due 	 to 	 COVID-19, 	 continuous 	 supply 	 of 	 agriculture 	 commodities, 	 especially 	 staples 	
like	 rice, 	 wheat, 	 pulses	 and 	 vegetables, 	 has 	 been 	 maintained 	 thereby 	 enabling 	 food 	 security . 	 In 	
order	 to 	 further 	 strengthen 	 and 	 support	 the 	 agricultural	 sector , 	 several 	 initiatives 	 have 	 been 	 taken 	
by	the 	Government 	of 	India	under 	the 	 Atma 	Nirbhar	Bharat 	 Abhiyan 	(Box	1).
Box 1: Major Announcements for Agriculture and Food Management 
under the Atma Nirbhar Bharat Abhiyan
Announcement Objectives
` 	 1	 lakh 	 crores 	 Agri 	 Infrastructure 	
Fund
Financing 	 will 	 be 	 provided 	 for 	 funding 	 agriculture 	
infrastructure 	 projects 	 at 	 farm-gate 	 & 	 at 	 aggregation 	
points 	 and 	 for 	 financially 	 viable 	 post-harvest 	 management	
infrastructure. 	
`	 10,000 	 crores 	 scheme 	 for 	
Formalisation 	 of 	 Micro 	 Food 	
Enterprises 	(MFE)
Aiding 	 2	 lakh 	 MFEs 	 who 	 need 	 technical	 upgradation 	 to 	
attain 	 FSSAI 	 food 	 standards, 	 build 	 brands 	 and 	 support	
marketing.
` 	 20,000 	 crores 	 for 	 fisherman 	
through 	 Pradhan 	 Mantri 	 Matsya 	
Sampada 	 Y ojana 	(PMMSY)
It 	 aims 	 at 	 integrated, 	 sustainable 	 and 	 inclusive 	 development 	
of 	 marine 	 and 	 inland	 fisheries 	 by	 developing 	 infrastructure 	
such 	as 	fishing 	harbours, 	cold 	chain, 	markets, 	etc.
National 	 Animal	 Disease 	 Control 	
Programme
It 	 tar gets 	 Foot 	 and 	 Mouth 	 Disease	 (FMD) 	 and 	 Brucellosis	
by	 ensuring 	 100	 per 	 cent 	 vaccination	 of 	 cattle, 	 buf falo,	
sheep, 	goat 	and 	pig 	population.
Animal 	 Husbandry 	 Infrastructure 	
Development 	 Fund 	 - 	 	 ` 15,000 	
crores
It 	 is 	 to 	 support	 private 	 investment 	 in 	 dairy 	 processing, 	
enable	 value 	 addition 	 and 	 improved 	 cattle 	 feed 	
infrastructure. 	
From	 ‘T OP’ 	to 	 T OT AL 	 “Operation 	 Greens” 	 run 	 by	 Ministry 	 of 	 Food 	 Processing 	
Industries 	 (MOFPI) 	 to 	 be 	 extended	 from 	 tomatoes, 	 onion 	
and 	potatoes 	to 	 ALL 	fruit 	and 	vegetables.
Reforms 	 in 	 Essential 	 Commodities	
Act, 	 Agriculture	 Marketing 	 and 	
Agriculture 	 Produce 	 Pricing 	 and 	
Quality 	 Assurance
These 	 legislat ive	 reforms 	 seek 	 to 	 remove 	 agricultural	
commodities 	 such 	 as 	 cereals, 	 pulses,	 oilseeds 	 etc. 	 from 	
the 	 list 	 of 	 essential 	 commodities 	 and 	 aim	 to 	 reform 	
agricultural	marketing.
PM 	Garib 	Kalyan 	 Ann 	 Y ojana The 	 scheme 	 aimed 	 at 	 ensuring 	 food 	 and 	 nutritional 	 security 	
to 	 around 	 80	 crores 	 ration 	 card 	 holders 	 who 	 were 	 af fected 	
due 	to 	the 	COVID-19 	induced 	national 	lockdown.
One 	 Nation 	 One 	 Ration 	 Card 	
Scheme
This 	 scheme 	 will 	 enable 	 migrant 	 workers 	 and 	 their 	 family 	
members 	 to 	 access 	 PDS 	 benefits 	 from 	 any 	 fair 	 price 	 shop 	
in 	 the 	country .
232 Economic Survey 2020-21   V olume 2
OVERVIEW OF AGRICULTURE
Gross Value Added in Agriculture
7.2	 As 	 per 	 the 	 provisional	 estimates 	 of 	 national 	 income 	 released 	 by	 CSO	 on	 29
th
	 May , 	 2020,	
the	 share 	 of 	 agriculture 	 and 	 allied 	 sectors 	 in 	 Gross 	 V alue 	 Added 	 (GV A) 	 of 	 the 	 country	 at 	 current 	
prices	 is	 17.8	 per 	 cent 	 for 	 the 	 year 	 2019-20. 	 GV A 	 of 	 agriculture 	 and 	 allied 	 sectors 	 and 	 its	 share	
in	total	GV A 	of 	the 	country	during 	the 	last 	six 	years 	at 	current 	prices 	is 	as 	given 	in 	 T able 	1.		
Table 1: Share of Agriculture and Allied Sectors in Total GV A at current prices
Items
Year
2014-15 2015-16 2016-17* 2017-18# 2018-19@ 2019-20**
Share 	 of 	 GV A 	 of 	 Agriculture	 & 	
Allied	 Sector 	 in 	 GV A 	 of 	 T otal 	
Economy 	(per	cent)
18.2 17.7 18.0 18.0 17.1 17.8
Share 	of 	Crops 1 1.2 10.6 10.6 10.4 9.4 NA
Share 	of 	Livestock 4.4 4.6 4.8 5.1 5.1 NA
Share 	of 	Forestry 	& 	logging 	 1.5 1.5 1.5 1.4 1.3 NA
Share 	 of 	 Fishing 	 & 	 aquaculture 1.0 1.1 1.1 1.2 1.2 NA
Source:	Department 	of	 Agriculture,	Cooperation	&	Farmers	 W elfare 	(DAC&FW).
Note:**As 	 per	 the 	 Provisional	 Estimates	 of	 Annual	 National	 Income	 2019-20 	 released	 by	 CSO 	 on	 29th	 May	 2020.	
@As	 per 	 the 	 First	 Revised	 Estimates	 of	 National	 Income,	 Consumption	 Expenditure, 	 Saving	 and 	 capital	 Formation	
for	2018-19 	released	on	31st	January , 	2020.	#	Second	Revised	Estimate.	*	 Third	Revised	Estimate.
NA- 	Data	 not	available.
7.3	 The 	 share	 of 	 agriculture 	 and 	 allied 	 sectors 	 in 	 GV A 	 of 	 the 	 country	 has 	 declined 	 from 	 18.2	 per 	
cent	 in	 2014-15 	 to 	 17.8	 per 	 cent 	 in 	 2019-20 	 (T able	 1), 	 an 	 inevitable 	 outcome 	 of 	 a 	 development 	
process	 in 	 which 	 the 	 relative 	 performance 	 of 	 non-agricultural 	 sectors 	 becomes 	 more	 dominant. 	
W ithin 	 the 	 agriculture 	 sector , 	 the 	 share	 of 	 crops 	 has 	 fallen 	 from 	 1 1.2 	 per 	 cent 	 in 	 2014-15 	 to 	 9.4 	
per 	 cent 	 in 	 2018-19. 	 The	 decline 	 in 	 the 	 share	 of 	 crops 	 has 	 been 	 made 	 up	 by	 an 	 increase 	 in 	 the 	
share	of	 livestock 	and 	fisheries 	sectors.
Figure 1: Share of Agriculture and Allied Sectors in Total GV A 
of the Country at Current Prices (in per cent)*
 
11.2
4.4
1.5
1
10.6
4.6
1.5
1.1
10.6
4.8
1.5
1.1
10.4
5.1
1.4
1.2
9.4
5.1
1.3 1.2
0
2
4
6
8
10
12
Share of Crops Share of Livestock Share of Forestry & logging Share of Fishing &
aquaculture
2014-15 2015-16 2016-17* 2017-18# 2018-19@ 2019-20 **
Source:	Created 	from	the	data	in	 T able	1.
*All 	 the	symbols	attached	with	the	years	in	the	graph	denote	the	same 	as	indicated	in	 T able 	1.
233 Agriculture & Food Management
Growth in Agriculture & Allied Sectors
7.4	 The 	 growth 	 in 	 GV A 	 of 	 agriculture 	 and 	 allied 	 sectors 	 has 	 been 	 fluctuating 	 over 	 time 	 (Figure 	
2).	 However , 	 during 	 2020-21, 	 while 	 the 	 GV A 	 for 	 the 	 entire 	 economy 	 contracted	 by	 7.2	 per 	 cent, 	
growth 	in 	GV A 	for 	agriculture 	maintained 	a 	positive 	growth 	of 	3.4	per 	cent. 	
Figure 2: Growth of GV A of Economy and Agriculture & Allied 
Sectors at Constant (2011-12) Prices (In per cent)
 
6.1
7.2
8 8
6.6
6
3.9
-7.2
5.6
-0.2
0.6
6.8
5.9
2.4
4
3.4
-8
-6
-4
-2
0
2
4
6
8
10
2013-14 2014-15 2015-16 2016-17* 2017-18# 2018-19@ 2019-20** 2020-21***
Growth of GVA of Total Economy Growth of GVA of Agriculture & Allied Sector (per cent)
Source:	Based	on	data	received	from 	DAC&FW .
Note: 	 **As	 per	 the	 Provisional	 Estimates 	 of 	 Annual	 National	 Income 	 2019-20	 released 	 by	 CSO	
on 	 29th	 May	 2020.	 @As 	 per	 the 	 First	 Revised	 Estimates 	 of 	 National	 Income,	 Consumption	
Expenditure, 	 Saving	 and	 capital	 Formation 	 for	 2018-19 	 released	 on	 31st	 January ,	 2020.	 #	 Second	
Revised	 Estimat e.	 *	 Third	 Revised	 Estimate.	 ***	 First	 Advance	 Estimates 	 of	 National	 Income	
released 	on	7th	January , 	2021.
Gross Capital Formation
7.5	 Gross 	 Capital 	 Formation 	 (GCF) 	 in 	 the 	 agriculture 	 and 	 allied 	 sector 	 as 	 a 	 proportion 	 to 	 GV A 	
has 	 been 	 showing 	 a 	 fluctuating 	 trend 	 from 	 17.7	 per 	 cent 	 in 	 2013-14 	 to 	 16.4	 per 	 cent 	 in 	 2018-19, 	
with	 a 	 dip 	 to 	 14.7	 per 	 cent 	 in 	 2015-16. 	 The	 share	 of 	 GCF	 of 	 the 	 agriculture 	 & 	 allied 	 sector 	 to 	
GV A 	 of	 agric ulture 	 & 	 allie d 	 sector 	 for 	 the 	 years	 2013-14 	 to 	 2018-19 	 at 	 201 1-12 	 basic	 prices 	 is 	
shown 	in 	Figure 	3.
Figure 3: GCF of Agriculture & Allied Sector as percentage of 
GV A of Agriculture & Allied Sector (at 2011-12 basic prices)
 
17.7
17
14.7
15.5 15.5
16.4
10
11
12
13
14
15
16
17
18
19
2013-14 2014-15 2015-16 2016-17* 2017-18# 2018-19@
Source:	Based	on	data	received	from 	DAC&FW .
@As per the First Revised Estimates of National Income, Consumption Expenditure, Saving and 
capital Formation for 2018-19 released on 31st January, 2020.  # Second Revised Estimate. * Third 
Revised Estimate.
Page 5


CHAPTER
07
(Who have the shade of cornful crest 
Under their umbra umbrella rest.)
  —Thiruvalluvar
The resilience of India’s agriculture sector can be seen from the fact that despite the 
COVID-19 pandemic, its performance in output was strong. About 54.6 per cent of the 
total workforce in the country is still engaged in agricultural and allied sector activities 
(Census 2011) which accounts for approximately 17.8 per cent of the country’s Gross 
Value Added (GVA) for the year 2019-20 (at current prices). While the difficulties created 
by COVID induced lockdowns adversely affected the performance of the non-agricultural 
sectors, the agriculture sector came up with a robust growth rate of 3.4 per cent at 
constant prices during 2020-21 (first advance estimates). The sector has got renewed 
thrust due to various measures on credit, market reforms and food processing under the 
Atma Nirbhar Bharat announcements. Various interventions of the Government for the 
development of allied sectors including animal husbandry, dairying and fisheries exhibit 
its resolve towards tapping the potential of allied sectors to further enhance farm welfare. 
In addition to various measures aimed at increasing productivity and improving marketing 
of agricultural produce, the Government also carries out a large food management 
programme with a significant financial implication in terms of food subsidy. Under the 
Pradhan Mantri Garib Kalyan Anna Yojana, 80.96 crores beneficiaries were provided 
additional foodgrains, i.e. above the NFSA mandated requirements, of 5 kg per person 
per month free of cost till November, 2020. Over 200 LMT of foodgrains were provided 
amounting to a fiscal outgo of over ` 75000 Crores. Also, under Atma Nirbhar Bharat 
Package, 5 kg per person per month was distributed for four months (May to August) to 
benefit approximately 8 crores migrants who are not covered under NFSA or state ration 
card entailing subsidy of ` 3109 crores approximately.
Agriculture & Food Management
INTRODUCTION
7.1	 COVID-19 	 pandemic 	 has 	 influenced 	 the 	 lives 	 of 	 people 	 across 	 the 	 globe 	 and 	 India	 is 	 no	
exception 	 to 	 that. 	 The	 farming 	 activities 	 also 	 experie nced 	 the 	 impact 	 of 	 this	 pandemic 	 as 	 the 	
COVID	 induced 	 lockdowns 	 influenced 	 the 	 movement 	 of 	 farm 	 inputs	 including 	 farm 	 machinery 	
from	 one 	 location 	 to 	 other . 	 The	 national 	 lockdown 	 coincided 	 with 	 the 	 commencement 	 of 	 the 	
harvesting 	 season 	 for 	 the 	 Rabi 	 crops 	 creating 	 further 	 adversity 	 for 	 the 	 sector . 	Migration	 of 	
agricultural 	 labourers 	 to 	 their 	 native 	 places 	 during 	 the 	 lockdown 	 created 	 a 	 shortage 	 of 	 farm 	
231 Agriculture & Food Management
labourers. 	 India’ s 	 agricultural	 system 	 demonstrated 	 its	 resilience 	 amid	 such 	 adversities. 	 The	
agriculture 	 and 	 allied 	 sectors 	 were 	 the 	 sole 	 bright 	 spot 	 amid	 the 	 slide 	 in 	 performance 	 of 	 other	
sectors, 	 clock ing 	 a 	 growth 	 rate 	 of 	 3.4	 per 	 cent 	 at 	 constant 	 prices 	 during 	 2020-21. 	 Against 	 all	
adversities 	 due 	 to 	 COVID-19, 	 continuous 	 supply 	 of 	 agriculture 	 commodities, 	 especially 	 staples 	
like	 rice, 	 wheat, 	 pulses	 and 	 vegetables, 	 has 	 been 	 maintained 	 thereby 	 enabling 	 food 	 security . 	 In 	
order	 to 	 further 	 strengthen 	 and 	 support	 the 	 agricultural	 sector , 	 several 	 initiatives 	 have 	 been 	 taken 	
by	the 	Government 	of 	India	under 	the 	 Atma 	Nirbhar	Bharat 	 Abhiyan 	(Box	1).
Box 1: Major Announcements for Agriculture and Food Management 
under the Atma Nirbhar Bharat Abhiyan
Announcement Objectives
` 	 1	 lakh 	 crores 	 Agri 	 Infrastructure 	
Fund
Financing 	 will 	 be 	 provided 	 for 	 funding 	 agriculture 	
infrastructure 	 projects 	 at 	 farm-gate 	 & 	 at 	 aggregation 	
points 	 and 	 for 	 financially 	 viable 	 post-harvest 	 management	
infrastructure. 	
`	 10,000 	 crores 	 scheme 	 for 	
Formalisation 	 of 	 Micro 	 Food 	
Enterprises 	(MFE)
Aiding 	 2	 lakh 	 MFEs 	 who 	 need 	 technical	 upgradation 	 to 	
attain 	 FSSAI 	 food 	 standards, 	 build 	 brands 	 and 	 support	
marketing.
` 	 20,000 	 crores 	 for 	 fisherman 	
through 	 Pradhan 	 Mantri 	 Matsya 	
Sampada 	 Y ojana 	(PMMSY)
It 	 aims 	 at 	 integrated, 	 sustainable 	 and 	 inclusive 	 development 	
of 	 marine 	 and 	 inland	 fisheries 	 by	 developing 	 infrastructure 	
such 	as 	fishing 	harbours, 	cold 	chain, 	markets, 	etc.
National 	 Animal	 Disease 	 Control 	
Programme
It 	 tar gets 	 Foot 	 and 	 Mouth 	 Disease	 (FMD) 	 and 	 Brucellosis	
by	 ensuring 	 100	 per 	 cent 	 vaccination	 of 	 cattle, 	 buf falo,	
sheep, 	goat 	and 	pig 	population.
Animal 	 Husbandry 	 Infrastructure 	
Development 	 Fund 	 - 	 	 ` 15,000 	
crores
It 	 is 	 to 	 support	 private 	 investment 	 in 	 dairy 	 processing, 	
enable	 value 	 addition 	 and 	 improved 	 cattle 	 feed 	
infrastructure. 	
From	 ‘T OP’ 	to 	 T OT AL 	 “Operation 	 Greens” 	 run 	 by	 Ministry 	 of 	 Food 	 Processing 	
Industries 	 (MOFPI) 	 to 	 be 	 extended	 from 	 tomatoes, 	 onion 	
and 	potatoes 	to 	 ALL 	fruit 	and 	vegetables.
Reforms 	 in 	 Essential 	 Commodities	
Act, 	 Agriculture	 Marketing 	 and 	
Agriculture 	 Produce 	 Pricing 	 and 	
Quality 	 Assurance
These 	 legislat ive	 reforms 	 seek 	 to 	 remove 	 agricultural	
commodities 	 such 	 as 	 cereals, 	 pulses,	 oilseeds 	 etc. 	 from 	
the 	 list 	 of 	 essential 	 commodities 	 and 	 aim	 to 	 reform 	
agricultural	marketing.
PM 	Garib 	Kalyan 	 Ann 	 Y ojana The 	 scheme 	 aimed 	 at 	 ensuring 	 food 	 and 	 nutritional 	 security 	
to 	 around 	 80	 crores 	 ration 	 card 	 holders 	 who 	 were 	 af fected 	
due 	to 	the 	COVID-19 	induced 	national 	lockdown.
One 	 Nation 	 One 	 Ration 	 Card 	
Scheme
This 	 scheme 	 will 	 enable 	 migrant 	 workers 	 and 	 their 	 family 	
members 	 to 	 access 	 PDS 	 benefits 	 from 	 any 	 fair 	 price 	 shop 	
in 	 the 	country .
232 Economic Survey 2020-21   V olume 2
OVERVIEW OF AGRICULTURE
Gross Value Added in Agriculture
7.2	 As 	 per 	 the 	 provisional	 estimates 	 of 	 national 	 income 	 released 	 by	 CSO	 on	 29
th
	 May , 	 2020,	
the	 share 	 of 	 agriculture 	 and 	 allied 	 sectors 	 in 	 Gross 	 V alue 	 Added 	 (GV A) 	 of 	 the 	 country	 at 	 current 	
prices	 is	 17.8	 per 	 cent 	 for 	 the 	 year 	 2019-20. 	 GV A 	 of 	 agriculture 	 and 	 allied 	 sectors 	 and 	 its	 share	
in	total	GV A 	of 	the 	country	during 	the 	last 	six 	years 	at 	current 	prices 	is 	as 	given 	in 	 T able 	1.		
Table 1: Share of Agriculture and Allied Sectors in Total GV A at current prices
Items
Year
2014-15 2015-16 2016-17* 2017-18# 2018-19@ 2019-20**
Share 	 of 	 GV A 	 of 	 Agriculture	 & 	
Allied	 Sector 	 in 	 GV A 	 of 	 T otal 	
Economy 	(per	cent)
18.2 17.7 18.0 18.0 17.1 17.8
Share 	of 	Crops 1 1.2 10.6 10.6 10.4 9.4 NA
Share 	of 	Livestock 4.4 4.6 4.8 5.1 5.1 NA
Share 	of 	Forestry 	& 	logging 	 1.5 1.5 1.5 1.4 1.3 NA
Share 	 of 	 Fishing 	 & 	 aquaculture 1.0 1.1 1.1 1.2 1.2 NA
Source:	Department 	of	 Agriculture,	Cooperation	&	Farmers	 W elfare 	(DAC&FW).
Note:**As 	 per	 the 	 Provisional	 Estimates	 of	 Annual	 National	 Income	 2019-20 	 released	 by	 CSO 	 on	 29th	 May	 2020.	
@As	 per 	 the 	 First	 Revised	 Estimates	 of	 National	 Income,	 Consumption	 Expenditure, 	 Saving	 and 	 capital	 Formation	
for	2018-19 	released	on	31st	January , 	2020.	#	Second	Revised	Estimate.	*	 Third	Revised	Estimate.
NA- 	Data	 not	available.
7.3	 The 	 share	 of 	 agriculture 	 and 	 allied 	 sectors 	 in 	 GV A 	 of 	 the 	 country	 has 	 declined 	 from 	 18.2	 per 	
cent	 in	 2014-15 	 to 	 17.8	 per 	 cent 	 in 	 2019-20 	 (T able	 1), 	 an 	 inevitable 	 outcome 	 of 	 a 	 development 	
process	 in 	 which 	 the 	 relative 	 performance 	 of 	 non-agricultural 	 sectors 	 becomes 	 more	 dominant. 	
W ithin 	 the 	 agriculture 	 sector , 	 the 	 share	 of 	 crops 	 has 	 fallen 	 from 	 1 1.2 	 per 	 cent 	 in 	 2014-15 	 to 	 9.4 	
per 	 cent 	 in 	 2018-19. 	 The	 decline 	 in 	 the 	 share	 of 	 crops 	 has 	 been 	 made 	 up	 by	 an 	 increase 	 in 	 the 	
share	of	 livestock 	and 	fisheries 	sectors.
Figure 1: Share of Agriculture and Allied Sectors in Total GV A 
of the Country at Current Prices (in per cent)*
 
11.2
4.4
1.5
1
10.6
4.6
1.5
1.1
10.6
4.8
1.5
1.1
10.4
5.1
1.4
1.2
9.4
5.1
1.3 1.2
0
2
4
6
8
10
12
Share of Crops Share of Livestock Share of Forestry & logging Share of Fishing &
aquaculture
2014-15 2015-16 2016-17* 2017-18# 2018-19@ 2019-20 **
Source:	Created 	from	the	data	in	 T able	1.
*All 	 the	symbols	attached	with	the	years	in	the	graph	denote	the	same 	as	indicated	in	 T able 	1.
233 Agriculture & Food Management
Growth in Agriculture & Allied Sectors
7.4	 The 	 growth 	 in 	 GV A 	 of 	 agriculture 	 and 	 allied 	 sectors 	 has 	 been 	 fluctuating 	 over 	 time 	 (Figure 	
2).	 However , 	 during 	 2020-21, 	 while 	 the 	 GV A 	 for 	 the 	 entire 	 economy 	 contracted	 by	 7.2	 per 	 cent, 	
growth 	in 	GV A 	for 	agriculture 	maintained 	a 	positive 	growth 	of 	3.4	per 	cent. 	
Figure 2: Growth of GV A of Economy and Agriculture & Allied 
Sectors at Constant (2011-12) Prices (In per cent)
 
6.1
7.2
8 8
6.6
6
3.9
-7.2
5.6
-0.2
0.6
6.8
5.9
2.4
4
3.4
-8
-6
-4
-2
0
2
4
6
8
10
2013-14 2014-15 2015-16 2016-17* 2017-18# 2018-19@ 2019-20** 2020-21***
Growth of GVA of Total Economy Growth of GVA of Agriculture & Allied Sector (per cent)
Source:	Based	on	data	received	from 	DAC&FW .
Note: 	 **As	 per	 the	 Provisional	 Estimates 	 of 	 Annual	 National	 Income 	 2019-20	 released 	 by	 CSO	
on 	 29th	 May	 2020.	 @As 	 per	 the 	 First	 Revised	 Estimates 	 of 	 National	 Income,	 Consumption	
Expenditure, 	 Saving	 and	 capital	 Formation 	 for	 2018-19 	 released	 on	 31st	 January ,	 2020.	 #	 Second	
Revised	 Estimat e.	 *	 Third	 Revised	 Estimate.	 ***	 First	 Advance	 Estimates 	 of	 National	 Income	
released 	on	7th	January , 	2021.
Gross Capital Formation
7.5	 Gross 	 Capital 	 Formation 	 (GCF) 	 in 	 the 	 agriculture 	 and 	 allied 	 sector 	 as 	 a 	 proportion 	 to 	 GV A 	
has 	 been 	 showing 	 a 	 fluctuating 	 trend 	 from 	 17.7	 per 	 cent 	 in 	 2013-14 	 to 	 16.4	 per 	 cent 	 in 	 2018-19, 	
with	 a 	 dip 	 to 	 14.7	 per 	 cent 	 in 	 2015-16. 	 The	 share	 of 	 GCF	 of 	 the 	 agriculture 	 & 	 allied 	 sector 	 to 	
GV A 	 of	 agric ulture 	 & 	 allie d 	 sector 	 for 	 the 	 years	 2013-14 	 to 	 2018-19 	 at 	 201 1-12 	 basic	 prices 	 is 	
shown 	in 	Figure 	3.
Figure 3: GCF of Agriculture & Allied Sector as percentage of 
GV A of Agriculture & Allied Sector (at 2011-12 basic prices)
 
17.7
17
14.7
15.5 15.5
16.4
10
11
12
13
14
15
16
17
18
19
2013-14 2014-15 2015-16 2016-17* 2017-18# 2018-19@
Source:	Based	on	data	received	from 	DAC&FW .
@As per the First Revised Estimates of National Income, Consumption Expenditure, Saving and 
capital Formation for 2018-19 released on 31st January, 2020.  # Second Revised Estimate. * Third 
Revised Estimate.
234 Economic Survey 2020-21   V olume 2
Production of Crops
7.6	 In 	 the 	 year 	 2019-20 	 (as 	 per 	 fourth 	 advance 	 estimates), 	 total 	 food 	 grain 	 production 	 in	
the 	 country 	 is 	 estimated 	 at 	 record 	 296.65 	 million 	 tonnes 	 which 	 is 	 higher 	 by 	 1 1.44 	 million	
tonnes 	 than 	 the 	 production 	 of 	 food 	 grain 	 of 	 285.21 	 million 	 tonnes 	 achieved 	 during 	 2018-
19. 	 Further , 	 the 	 production 	 during 	 2019-20 	 is 	 higher 	 by 	 26.87 	 million 	 tonnes 	 than 	 the	
previous 	 five 	 years’ 	 (2014-15 	 to 	 2018-19) 	 average 	 production 	 of 	 269.78 	 million 	 tonnes. 	 A	
diagrammatic 	 trend 	 in 	 output 	 of 	 major 	 crops 	 for 	 the 	 last 	 five 	 years 	 are 	 shown 	 in 	 Figure 	 4	
and 	 Figure 	 5.
Figure 4: Trend in Production of Rice and Wheat Crops (Quantity in Million Tonnes)
 
0
20
40
60
80
100
120
2015-16 2016-17 2017-18 2018-19 2019-20*
Rice Wheat
Source: 	Created	from	the	data	of 	the	1st	 Adv .	Estimate	released	dated	22.09.2020
*4th 	 Advanced 	Estimates.
Figure 5: Trend in Production of Other Major Crops (Quantity in Million Tonnes)
 
0
5
10
15
20
25
30
35
40
45
50
2015-16 2016-17 2017-18 2018-19 2019-20*
Nu tr i/ Co a rse 	 Ce re a ls Pulses Oilseeds Cotton@
Source: 	Created	from	the	data	of 	the	1st	 Adv .	Estimate	released	dated	22.09.2020
*4th 	 Advanced 	Estimates.	@	Production	of	cotton 	is	in	million	bales.
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