1991 REFORMS IN AGRICULTURAL SECTOR

Reforms in Agriculture Sector

A common criticism of India’s
economic reforms is that they have
been excessively focused on
industrial and trade policy,
neglecting agriculture which
provides the livelihood of 60 percent
of the population
The share of India’s agricultural
exports in world exports of the
same commodities increased from
1.1 percent in 1990 to 1.9 percent in
1999, whereas it had declined in the
ten years before the reforms.
Land Holding – the avg. size of holding in India is
continuously decreasing due to rapid and high
population growth.
Acc. to the result of agriculture census 1991 the total no.
of operational holding increased from 972 million in
1985-86 to 1066 million in 1990-1991. whereas average
size of land holding decrease from 1.69 hectare in 1985
-86 to 1.55 hectare in 1990-91.
 Agricultural Movements
Green Revolution

 After independence, govt. took

steps to increase the food
production.
 Yields per unit area of all crops
grew since 1950.
 In 1970s saw a huge increase in
India’s wheat production..
 M.S. Swami Nathan is considered
as the architect of the Green
Revolution.
 Agricultural Movements (contd.)
Operation Flood

Started by National Dairy Development Board (NDDB)

in 1970.
Objective was creating a nation wide milk grid.
Movement followed the Green Revolution and
alleviating poverty and famine levels.
India became the largest producer of milk and milk
products.
Hence, also known as White Revolution of India.
The next step in the series of agriculture research and
development came in operation with the name “Yellow
Revolution”.

Yellow revolution in India ensured remarkable achievements

in production of oil seeds and edible oils.

At present 337 districts of 23 states are associated with oilseeds

production program.
 Factors for low productivity
Illiteracy, reforms and inadequate or
inefficient finance and marketing
services for farm products.
Average size of land holdings is very
small.
Adoption of modern agricultural
practices and use of technology is
inadequate.
Irrigation facilities are inadequate.
Loan facilities are not penetrated in
all rural areas.
Share of Agriculture in India’s GDP

3500000
3000000
2500000
2000000
1500000 Share of Agri sector in
GDP(crores)
1000000
Series 3
500000
0
0 0 01 02 03 04 05 06 07 08
- 2 0 -2 0 1 -2 0 - 2 0 - 20 -2 0 - 20 - 2 0 - 2 0
99 00 0 02 003 004 005 006 007
1 9 2 0 2 0 2 0 2 2 2 2 2