Indian Agriculture: Dynamic and Diverse Components
Indian agriculture showcases varying growth dynamics, with different subsectors contributing unequally to the overall progress. The sector experienced an average annual growth rate of 4.4% from 2014-15 to 2023-24.
Growth in Sub-Sectors
- Livestock and Fisheries: These have been dynamic components, witnessing significant growth with:
- Livestock: 7.2% increase in gross value added.
- Fisheries: 8.9% increase in gross value added.
- Crops: This subsector has observed a modest annual growth of only 2.8%.
- Horticulture: Includes faster-growing fruits, vegetables, condiments, and spices.
- Field Crops: Display relatively sluggish growth.
Impact of India-US Bilateral Trade Agreement
The nearly-sealed trade agreement has received mixed responses from different agricultural sectors.
- Poultry, Dairy, and Aqua Industries: Generally welcoming of the agreement.
- Soyabean, Maize, and Sugarcane Growers: Less favorable reception due to potential challenges.
Advantages for animal farmers include access to potentially cheaper and better-quality feed ingredients by importing red sorghum and distiller’s dried grains with solubles from the US. The absence of concessions for US dairy or poultry product imports benefits India's animal husbandry sector.
Equity and Labor Intensity in Livestock Farming
Livestock farming is highlighted as a more labor-intensive economic activity, contributing significantly to the income of marginal agricultural households.
Policy Analysis and Subsector Disparities
Policy impacts on agriculture should be assessed considering the differences across subsectors and the types of farmers involved. The crops subsector faces challenges due to both agricultural practices and domestic policy shortcomings.
- Average yields of corn and soyabean in India are significantly lower compared to the US.
- Comparison of Washington apple yields with those in Jammu & Kashmir and Himachal Pradesh shows substantial disparities.
- Indian farmers lack access to genetically modified seeds and advanced agricultural techniques, affecting competitiveness.
Policy Recommendations
To enhance competitiveness and market orientation, Indian agriculture must adopt practices like high-density planting, renewal pruning, drip irrigation, and precision nutrient management.
