How India’s farm sector has evolved over the past decade

Source: The post “How India’s farm sector has evolved over the past decade” has been created based on “How India’s farm sector has evolved over the past decade”, published in “The Hindu” on 05th June 2026.

UPSC Syllabus: GS-3 -Indian Economy

Context: Agriculture and allied sectors remain vital to the Indian economy, contributing nearly 18% of Gross Value Added (GVA). Over the past decade, the sector has witnessed significant growth through increased public investment, higher production, expanded farmer welfare programmes, improved credit access, technological integration, and the growth of allied activities.

Major Developments in India’s Farm Sector

1. Increased Contribution and Public Investment

1. Agricultural GVA increased from ₹20.9 lakh crore (2014-15) to ₹48.7 lakh crore (2023-24).
2. Budget allocation for the Department of Agriculture and Farmers Welfare increased from ₹27,663 crore (2013-14) to ₹1.40 lakh crore (2026-27).
3. Higher public investment has strengthened agricultural infrastructure and support systems.

2. Record Growth in Agricultural Production

1. Foodgrain production increased from 265.05 million tonnes (2013-14) to 357.73 million tonnes (2024-25).
2. Production growth has been witnessed in rice, wheat, maize, and oilseeds.
3. Improved irrigation, better inputs, and policy support contributed to higher productivity.

3. Expansion of Farmer Welfare Schemes

1. PM-KISAN has provided income support to over 9.44 crore farmer families.
2. PMFBY has strengthened crop risk management through insurance coverage.
3. PMKSY has expanded irrigation coverage and water-use efficiency.
4. Schemes such as Soil Health Card, Agriculture Infrastructure Fund, e-NAM, KCC, and National Mission on Edible Oils have enhanced farm support.

4. Increased Institutional Credit

1. Agricultural credit increased from ₹7.3 lakh crore (2013-14) to ₹28.67 lakh crore (2024-25).
2. Improved access to institutional finance has reduced dependence on informal sources.

5. Strengthening MSP Procurement

1. Procurement of wheat, paddy, pulses, oilseeds, and cotton increased substantially.
2. MSP procurement ensured price support and income stability for farmers.

6. Technological Transformation

1. Over 7.63 crore Farmer IDs and 23.5 crore digitised crop plots have been created under the Digital Agriculture Mission.
2. Initiatives such as Namo Drone Didi, Kisan e-Mitra, and the National Pest Surveillance System have promoted precision farming and efficient service delivery.

7. Growth of Allied Sectors

1. India remains the world’s largest milk producer.
2. Dairy, fisheries, poultry, honey production, and ethanol manufacturing have expanded significantly.
3. Allied sectors have diversified rural incomes and reduced dependence on crop cultivation alone.

Challenges

1. Climate Change: Increasing frequency of droughts, floods, heatwaves, and erratic rainfall affects agricultural productivity.
2. Fragmented Landholdings: Small and marginal holdings limit mechanisation and economies of scale.
3. Water Stress: Overexploitation of groundwater and inefficient irrigation practices threaten sustainability.
4. Market Volatility: Farmers remain vulnerable to price fluctuations and demand uncertainties.
5. Regional Imbalances: Benefits of technology, irrigation, and procurement are unevenly distributed across states.

Way Forward

1. Promote Climate-Resilient Agriculture: Encourage drought-resistant crops, climate-smart farming, and weather-based advisory services.
2. Strengthen Water Management: Expand micro-irrigation and improve water-use efficiency.
3. Accelerate Digital Agriculture: Integrate AI, drones, remote sensing, and digital marketplaces for better decision-making.
4. Encourage Farmer Producer Organisations (FPOs): Improve aggregation, bargaining power, and market access for small farmers.
5. Promote Allied Sectors and Value Addition: Expand dairy, fisheries, food processing, and agri-exports to enhance rural incomes.

Conclusion: Indian agriculture has evolved from a crop-centric sector to a diversified ecosystem driven by investment, technology, infrastructure, and allied activities. Sustained reforms focusing on climate resilience, resource efficiency, market integration, and farmer welfare are essential to ensure sustainable and inclusive agricultural growth.

Question: Indian agriculture has undergone a significant transformation over the past decade through increased public investment, technological adoption, and diversification into allied sectors.” Examine the major developments in the agricultural sector and discuss the challenges that continue to impede its sustainable growth.

Source: DD News