IGNOU MNR 2 2018 - Discuss the current policies of agricultural investment in India.

Question

Discuss the current policies of agricultural investment in India.

16 Feb 2018

Answer :

Word Count : 882

The agriculture sector contributed 51.9 percent to India’s GDP in 1950. Since then it has been on a downside and it currently stands at 13.9 percent. However, a change from an agrarian-centric economy to an industry-centric economy is inevitable with the advent of industries. With industries growing at a faster pace than the rate at which trees are being planted, will there be a time when agriculture’s productivity dwindles to a null? If yes, is it already here

Living in a country where the cattle is worshipped as a goddess, about 60 percent of the population was banking on agriculture for their main source of income during the 1950s. Despite half of the population still continuing with the profession, the returns are low. While urbanisation might be cited as a reason, it is hard not to neglect the fact that agriculture is no more a profitable sector. Infrastructure costs have started running high, with its maintenance cost and capital investment only adding on to the farmers’ misery. According to an article by The Hindu, the average recovery rate of the investments made by Indian farmer

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