Revitalizing Indian agriculture for resilience and growth

Revitalizing Indian agriculture

Abstract

India’s agriculture and allied sectors have demonstrated sustained resilience and steady growth, emerging as a central pillar of rural livelihoods and inclusive economic expansion, according to the Economic Survey 2025–26. Agriculture and allied activities contribute nearly one-fifth of national income at current prices and remain critical given their large share in employment. Over the past five years, the sector recorded an average annual growth rate of 4.4% at constant prices, while decadal growth between 2016 and 2025 stood at 4.45%, the highest compared with previous decades. Growth has increasingly been driven by allied sectors. Livestock recorded a compound annual growth rate of 12.77% at current prices between 2015 and 2024, with gross value added (GVA) rising by nearly 195%. Fisheries and aquaculture also expanded strongly, with fish production increasing by over 140% between 2014 and 2025. These segments have emerged as key contributors to farm incomes and rural employment diversification. Food grain production reached a record 362.96 metric tonnes (mt) in 2024–25, an increase of 25.43 mt over the previous year, led by higher output of rice, wheat, maize and coarse cereals. At the same time, the survey highlights the growing importance of horticulture, which now accounts for around 33% of agricultural GVA. Horticulture production rose from 280.70 mt in 2013–14 to 370.85 mt in 2024–25, with fruits, vegetables and other horticultural crops showing broad-based expansion. The government’s objective of doubling farmers’ incomes has been through productivity enhancement and policy and institutional interventions. Key initiatives include expanded irrigation coverage, improved seed quality, soil health management, farm mechanisation, crop insurance and market access reforms. Gross irrigated area as a share of gross cropped area increased from 41.7% in 2001–02 to 55.8% in 2022–23, while over 25.55 crores Soil Health Cards (SHC) have been issued to promote balanced nutrient use. Efforts to reduce import dependence have also gathered momentum. Domestic edible oil availability increased to 121.75 lakh tonnes in 2023–24, reducing reliance on imported edible oil. A mission-mode push for self-sufficiency in pulses was approved in October 2025 to raise productivity and stabilise supplies. Crop insurance coverage expanded sharply, with 4.19 crore farmers insured in 2024–25, a 32% increase over 2023. Income support through direct transfers and higher minimum support prices continued to provide stability amid weather and market risks.