New Delhi: Agriculture has seen steady growth in the Indian economy over the past few years. Agriculture gross value added (GVA) grew 4.5% in its second quarter of fiscal year 2021-2022, continuing its uptrend and making India the top growth contributor. A report from the Ministry of Agriculture said there was a 6.1% increase in rabi seedlings compared to last year.
Professor Shailendra Kumar Yadav, director of the Indira Gandhi National Open University School of Agriculture (IGNOU), told the Sunday Guardian: âThe main cause of the boom in the agricultural sector is the surge in scientific efforts and the transformation carried out by different interventions. . “
He said: “There are some annoying factors such as global warming and recession in varietal productivity, but despite all these probabilities, innovations have led to this kind of growth, and secondly, government programs and support have. also helped stimulate the sector. “
According to the 2011 census, 54.6% of the total workforce is engaged in activities of the agricultural sector and related sectors. Some surveys have suggested that pandemic closures have led the working class to retreat to their ancestral lands, thus agricultural activity has gained more human capital, helping the sector to develop. However, Yadav attributed the success of the agricultural sector to innovation. Last year, the economy fell sharply by 7.5% in the second quarter, due to severe lockdowns imposed by the Center to prevent the spread of the pandemic; yet agriculture remained in the lead with 3.0% growth, while most other sectors moved south.
According to estimates by the National Statistics Office (NSO), India’s gross domestic product (GDP) grew 8.4% in the second quarter of this year (2021-2022) compared to the same period of last year (2020-2021). The strong sign of recovery in the Indian market has created momentum for investors. Private investment increased by 11% in the second quarter of this fiscal year (2021-2022).
In addition to agriculture, industry, public administration, defense and other services increased, but the commerce, hospitality, transport and communications sectors declined. According to a survey, consumer confidence has fallen by more than 30%, which implies a decrease in the tendency to buy products, but at the same time, private investment has increased. The recent Reserve Bank of India (RBI) report on the Consumer Confidence Survey (CCS) – November 2021, released on December 8, 2021, showed an improvement in public opinion.
âConsumer confidence has continued to improve from the historic low recorded in July 2021, although the assessment for the current period has remained on pessimistic ground; the current situation index (ICS) rose to 62.3 in November 2021, against 57.7 in the previous survey, âthe report said.
Sunil Kumar, assistant professor in the Department of Business Economics, University of Delhi, said that after facing two waves of Covid, India’s economy is in recovery mode. “The Indian economy is recovering, although the pace of the recovery may be slow.” Kumar said: âInclusive growth can only be achieved when everyone has the same opportunities to participate in the development of an economy; however, this is lacking in the conventional style of GDP calculations. In addition, inclusive growth follows the principle of sustainable development, while GDP does not integrate environmental sustainability.
âInclusive growth emphasizes human development and narrows the gap between different layers of the population. GDP indicates the quantity of growth, while inclusive growth seeks quality of life, âhe said.