PR No – 460
22nd September, 2023
Consistent growth in agriculture boosts economic resilience: PHD Chamber
The agriculture sector has emerged as one of the most supportive sectors to the growth of India’s economy and is boosting economic resilience. In recent years the agriculture sector has shown a consistent growth rate of more than 3% from 2019-20 to 2022-23. The decadal growth rates of the agriculture sector revealed that the recent decade from 2011 to 2021 was the most fruitful decade for the agriculture sector as the sector grew at 3.8% (average). The sector grew repeatedly at new highs during the last 4 years, found the report by the PHD Chamber.
India’s growth trajectory has undergone fundamental alterations marked by the Grow More Food Campaign of the 1950s to the Green Revolution of the mid-1960s, to the current advancements in biotechnology, said Mr. Saket Dalmia, President, PHD Chamber of Commerce and Industry.
The Green Revolution, 1967 -1978, added significantly to the growth of India’s agriculture sector despite being marked by fluctuations. The notable development is that the growth rate from 2011 to 2021 is even higher than the rate during the Green Revolution, as mentioned by the report.
This progress was attributed to the successful implementation of various government policies, like Pradhan Mantri Fasal Bima Yojana (PMFBY) , E-NAM, Micro Irrigation Fund (MIF), technological advancements, infrastructure development, knowledge sharing, policy support, and climate resilience strategies, said Mr. Dalmia.
Since the introduction of Agri Export Policy (AEP) in 2018 by the Government, India’s agriculture export has performed well, even throughout the pandemic, given the farmer-centric approach and the promotion of export-oriented production through the encouragement of infrastructure and logistics, said the industry body PHDCCI.
During the fiscal year 2022-23, India’s agricultural exports surpassed US $50 billion. The export values increased significantly from 5.27 billion USD in 2000-01 to an astonishing 50.36 billion USD by the end of the FY 2022–23, amply demonstrating the economic trajectory of this sector. Over the past ten years, exports as a share of the agricultural GDP were around 8% (average), elaborated the Report. Thus, India has demonstrated an amazing growth trajectory from a food-scarce to a food-sufficient, to a food-surplus country, mentioned the report.
For the past three consecutive years, India’s share in world’s agriculture exports has consistently exceeded the 1% threshold. India’s contribution to agricultural exports has exhibited remarkable stability over the course of the past decade.
The report recommended investing in research and development; precision agriculture techniques and digital farming solutions to significantly enhance productivity; active participation of the private sector across both pre-and post-harvest phases; private sector involvement for improved supply chains; enhanced access to credit to empower the Sector. By implementing these recommendations, India can position its agriculture sector for sustainable growth, resilience, and inclusive development, remarked the report.
PHD Chamber of Commerce and Industry