11th Lec

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Industry is not the substitute of agriculture; similarly agriculture is also not the substitute of

industry. They are complementary to one another. Both these sectors are so attached with each
other that it is not possible to increase the growth of one sector without the improvement of the
other sector. If agriculture is considered as the ‘heart’ of the country, then obviously industry
must be consider as the ‘brain’.

A. Impact of Agriculture on Industry.


Agriculture has huge positive impacts on the industrial development, such as:
i. It regularly supplies raw materials like sugarcane, jute, tobacco, cotton, oilseeds, tea, spices,
wheat, paddy etc. to the consumer goods industries.
ii. It supplies fruits, vegetables and other food items to the industrial labourer and fodders for the
domestic animals in the dairy industries on a regular basis. Agriculture is very important to grow
the livestock industry.
iii. Farmer-households used to save their money in the bank and other financial institutions
which ultimately is used by the industry owners in the form of investment.
iv. Both for consumer and capital goods Industries agriculture sector gives a ready market for the
finished products.
v. It regularly supplies manpower to the seasonal industries like, ice factories, rice factories and
sugar mills etc.
vi. The most of the agricultural income is used to purchase industrial goods like mobiles, lap
tops, bikes, cars and other home appliances.
vii. Agriculture sector increases the demand for fertilizer, pesticides, tractors, harvesters and tube
well. So, it helps to develop the chemical, mechanical and hydro-logical industries.
B. Impact of Industry on Agriculture.
The impact of industry on agriculture is as follows:
i. It regularly supplies scientific tools and equipment’s like tractors, harvesters, pump-sets
chemical fertilizers etc. to agriculture increase the per hectare production.
ii. To increase the market for finished agricultural goods some infrastructural development like
roads, railway, storage, communication etc. are very essential. In this, connection industry plays
a vital role.
iii. Industries provide huge employment opportunities and therefore help to absorb all the surplus
labour in our agriculture. This leads to more industrial development.
iv. Industrial sector demands raw material from agriculture sector. Industrial sector increase the
value of agricultural raw material.
v. Industrial sector is providing modern facilities to agriculture sector and converting the
agriculture into agri-industry.

Thus in nutshell, we can say that both agricultural and industry are complementary to
each other. Both operate hand to hand. The development of one sector depends on the growth
and performance of the other sector. Both are important for the development of each other and
economy.

WHICH IS MORE IMPORTANT?

The main point of dissimilarity between agriculture and manufacturing industries is that
though both are cooperative to large-scale production, the scope of such operations is very much
smaller in agriculture than in manufacture. Further can be discussed in following points:

1. The Law of Diminishing Returns operates much earlier in the case of agriculture. However, in
the case of manufacturing industries application of successive doses of labor and capital, with
increasing returns, may be pushed to and far greater extent.

2. As agricultural activities cannot be easily subjected to a fixed routine, supervision is very
complex. Hence, large-scale production cannot be carried to the same extent in agriculture as in
industries. In agriculture, so much of the task depends on individual skill and efficiency.

3. In comparison to industries, the scope of using machineries is also much smaller in
agriculture.

4. There is an element of uncertainty in agriculture, as agricultural production depends so much


on timely and adequate rainfall and other climatic factors over which man has no control.

5. Agriculturists are as a rule conservative, and hence the standard of intelligence and education
among them is low.
6. Because industrial operations can be concentrated in a small place, supervision is easier and
there is much scope for managerial skill and industrial leadership.

7. Industrial operations are dynamic in character. The industrial programs are also more
energetic.

8. Development of industries within a country provides a more balanced national economy by


absorbing the surplus population when it is not required for agricultural operations.

Which is more important?

Agriculture is the backbone of the economy of Pakistan. Agriculture, no doubt, has always been
the most important factor for the economy of Pakistan. However, at the same time, the
importance of industries and manufacturing units in shaping the future economy of Pakistan
cannot be denied. Agriculture is a crucial part of country’s economy. More than that, it feeds the
population of the country. So, there is nothing to exaggerate that country cannot survive without
agriculture. But, neglecting the industrial sector is not a solution for country’s development. For
an all-round development, agriculture and industries both should flourish. 

There is no doubt that without agriculture, country cannot exist and without industry, country
cannot develop. Agriculture and industry are like two wheels of a bicycle; one cannot survive
without other. So it's necessary for a country to have both- agriculture as well as industry. Like
two faces of a coin, agriculture and industries, both are very much important.

What is the difference between our ancestors and us? Our ancestors were fully dependent on
agriculture and met their needs from it. Those days, they had very less scope of comfort. This
was because of lack of industries. Although there were few small cottage industries, but however
they cannot be classified as industries. This is the main difference between our ancestors and us.
Today we can communicate with anybody, wherever he may be by a push of a little button.
Every type of comfort is present before us. This is all because of industries. But, one can also not
deny the fact that agriculture is equally important.
After many ups and downs and clashes in Singur, still, they are in the doubt that which is more
important. Tata motors' interest in constructing small car factory on agricultural land angered its
opposition and debate continued for months. Industries should be promoted but not by
compromising with agriculture. Policies should be made in order to promote both, industries as
well as agriculture.

In India, 46 percent land is under cultivation, whereas less than 17 percent is industrial land. This
gap between agriculture and industries may seem very high, but more than 70 percent Indian
earn their livelihood on agriculture. To feed population of a billion, this percentage may even
seem less. So what should be done in order to promote both?

An industry without compromising agriculture and vice-versa is the main policy to maintain
balance between them. There are several thousands of acres of barren land present in India.
These land are either not suitable for agriculture or due to lack of resources, agriculture is not
possible. Such areas can be found in western region of the country, which includes states like
Gujarat and Rajasthan. Regions of black soil such as Deccan pleatue and central India are less
fertile than river plains and can be used for industries. Areas, which have very less food
production, can also be utilized for industries.
To meet the ever-growing need of the people of the country, production must be increased. To
increase the production, modern technologies should be used, which can produce good quality
goods and at faster rate. During industrial revolution in 17th century, production of goods
increased due to use of modern and scientific technologies. Industrial revolution although started
in European countries, but its effect was felt all over the world, especially on the economy.

While, food production must also be increased by using scientific method of agriculture.
Genetically modified seeds, which are resistant to pest and can have high productivity, can
increase food production. Modern methods of irrigation can also benefit farmers.
Another policy to the maintain balance between agriculture and industry is removal of politics.
There is a very common proverb,
“Where there is life, there is politics, and
Where there is politics, there is corruption.
Political groups try to pull the trigger, which commonly lead to conflict between agriculture and
industries. They commonly bring such issues into political criteria and use such issues to win
support of the people.
Agriculture is the backbone of industry. But without industry means tea without milk. For a
complete comfort, industry as well as agriculture should develop simultaneously. It is not the
issue of Industry vs. Agriculture; it is the issue of Industry and Agriculture.

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