Indian Economy
General Knowledge

Agricultural Production



Agricultural Production

» Indian agriculture still depends upon monsoon.
» Agricultural production can be divided into two parts - Foodgrains and Non-foodgrains, in which the share of foodgrains is two-third and non-foodgrains is one-third.

Pattern of Government Outlay on Agriculture in the Plans

Five Year Plans Total Plan Outlay Outlay on Agriculture and Irrigation Per cent of total outlay
First Plan (1951-56) 1,960 600 31
Second Plan (1956-61) 4,600 950 20
Third Plan (1961-66) 8,600 1,750 21
Fourth Plan (1969-74) 15,780 3,670 23
Fifth Plan (1974-79) 39,430 8,740 22
Sixth Plan (1980-85) 1,09,290 26,130 24
Seventh Plan (1985-90) 2,18,730 48,100 22
Eighth Plan (1992-97) 4,85,460 1,02,730 21
Ninth Plan (1997-2002) 8,59,200 1,76,217 20.5
Tenth Plan (2002-07) 15,25,639 3,05,055 20
Eleventh Plan (2007-12) 36,44,718 6,74,105 18.5

» The percentage of plan outlay on agriculture and allied sectors to total plan outlay varied between 31% and 14.9% from the First Plan to Tenth Plan.
» Actual outlay on the agricultural sector ranged between 18 and 24% of the total Plan outlay (except during the First Plan, it was as high is 31%).
» During Eleventh Plan (2007-12) the plan Outlay on agriculture has declined to only 18.5%.
» During the first decade of planning (1951-61) when the First and Second Five Year Plans were implemented, the annual rate of growth in agriculture was 3.3%.
» During the next two decades of planning in 1961-81, despite spectacular progress achieved under the new agricultural strategy and IADP and HYVP, the overall progress in agriculture was dismal; the annual average rate of growth declined to 2.2% and 1.7% respectively, mainly because of bad weather and poor monsoon conditions.
» The growth rate in the 1980's was highly respectable (3.9%).

» The Tenth Plan had fixed a target rate of growth of 4% in agriculture to achieve 8% rate of growth in GDP.
» During the Eleventh Plan also, the Planning Commission has fixed the target of 4% rate of growth in agriculture.
» The Tenth Plan was the first plan which did not fix targets of crop production.
» Actual production of rice ranged between 82 and 93 million tonnes in between 1997 and 2007.
» The production of wheat which stood at 11 million tonnes in 1960-61 rose to 76 million tonnes in 1999-2000, but declined to 72 million tonnes in 2003-04.
» Actual production of wheat ranged between 69 and 75 million tonnes in between 1997-2007.
» Even now the production of pulses fluctuates between 13 and 15 million tonnes per year.
» Green revolution did not cover barley, ragi and minor-millets.
» The Green revolution was confined only to High Yielding Varieties (HYV) mainly rice, wheat, maize and jowar.
» National Agriculture Insurance Scheme was implemented in Oct. 1999.
» On 28th July 2000, the Central government fixed target for rate of growth in agriculture sector at more than 4% by 2005 under the National Agriculture Policy.