Agriculture and Food Management: The Sector of the Future (2024-25) | Indian Economy for UPSC CSE PDF Download

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09
CHAPTER
245
AGRICULTURE AND 
FOOD MANAGEMENT: 
SECTOR OF THE FUTURE
India’s agricultural sector has demonstrated remarkable resilience in recent 
years, marked by consistent growth rates. This stability can be largely 
attributed to various government initiatives to enhance productivity, promote 
crop diversification, and increase farmers' income. A crucial factor influencing 
agricultural performance is the impact of weather conditions. Climate variability 
can present significant challenges; however, farmers with diverse income 
streams are better positioned to navigate these uncertainties. Allied activities 
such as animal husbandry, fisheries or agroforestry, can enable the farmers 
to mitigate the risks effectively. Various government initiatives are specifically 
designed to address these challenges.
INTRODUCTION
9.1 The ‘Agriculture and Allied Activities’ sector has long been the backbone of the 
Indian economy, playing a vital role in national income and employment. This sector 
contributes approximately 16 per cent of the country’s GDP for FY24
1
 (PE) at current 
prices and supports about 46.1 per cent of the population. Not only does its performance 
directly impact food security, but it also influences other sectors, sustaining livelihoods 
and supporting economic growth.
9.2 In recent years, the agriculture sector in India has shown robust growth, averaging 
5 per cent
2
 annually from FY17 to FY23, demonstrating resilience despite challenges.
9.3 In the second quarter of the FY25 year, the agriculture sector recorded a growth 
rate of 3.5 per cent
3
. This performance represents a recovery compared to the previous 
four quarters, during which growth rates varied from a modest 0.4 per cent to 2.0 per 
cent. The recent rise in growth rate can be attributed to improved conditions, potentially 
driven by favourable weather patterns, advancements in agricultural practices, and 
government initiatives to enhance productivity and sustainability within the sector.
1   Ministry of Statistics and Program Implementation (MOSPI). https://pib.gov.in/PressReleaseIframePage.
aspx?PRID=2079024
2   Ramesh Chand and Jaspal Rana, “Performance of Agriculture Sector 2014-24: Implications for Short-and 
Medium-term Strategy”, Economic and Political Weekly, September 2024, 59(39):70-73
3 https://pib.gov.in/PressReleaseIframePage.aspx?PRID=2079024.