ESCALATING INCLUSIVE GROWTH THROUGH PRIMARY SECTOR

Economics

Agriculture sector has been the mainstay of the Indian economy since independence in terms of its contribution to the GDP, exports, and employment. Agriculture is the primary source of livelihood for about 58 per cent of India’s population. Gross Value Added by agriculture, forestry and fishing is estimated at Rs 17.67 trillion in 2018. The Indian food industry is poised for huge growth, increasing its contribution to world food trade every year due to its immense potential for value addition, particularly within the food processing industry. The Indian food and grocery market is the world’s sixth largest, with retail contributing 70 per cent of the sales. The Indian food processing industry accounts for 32 per cent of the country’s total food market, one of the largest industries in India and is ranked fifth in terms of production, consumption, export and expected growth. It contributes around 8.80 and 8.39 per cent of Gross Value Added (GVA) in Manufacturing and Agriculture respectively, 13 per cent of India’s exports and six per cent of total industrial investment. Moreover, this sector is a supplier of food, fodder, and raw materials for a vast segment of the industry. Hence the growth of Indian agriculture can be considered a necessary condition for “inclusive growth”.

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