Question : CONTRIBUTION OF AGRICULTURE SECTOR

(a) the contribution of agriculture and allied sectors towards the Gross Domestic Product (GDP) projected and achieved during each of the last three years and the current year;

(b) whether the contribution of agriculture sector to the Indian economy has witnessed a declining trend over the years and if so, the details thereof and the reasons therefor;

(c) whether the present level of investment in agriculture and allied sectors under various schemes to make revolutionary improvement in the sector is inadequate;

(d) if so, the details thereof and the reasons therefor; and

(e) the steps taken/proposed to be taken by the Government to increase the capital investment in agriculture sector to bring the agricultural growth and production rate at par with the international level and to enhance the contribution of the sector to the GDP?

MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE AND FOOD PROCESSING INDUSTRIES (SHRI TARIQ ANWAR)

(a) & (b): Central Statistics Organisation (CSO) does not prepare projections of contribution of agriculture and allied sectors towards the Gross Domestic Product (GDP). As per the First Revised Estimates released by CSO on 31st January, 2013, the contribution of agriculture and allied sectors towards DGP of the country at 2004-05 prices declined from 14.6% in 2009-10 to 14.5% in 2010-11 and further to 14.1% in 2011-12. Further, as per the provisional Estimates released by CSO on 31st May 2013, contribution of agriculture and allied sectors to GDP has declined to 13.7% in 2012-13.

The decline in the contribution of agriculture and allied sectors in GDP of the country is on account of the structural shift from a traditional agrarian economy to industry and service sectors which is generally expected in the normal development process of an economy.

(c) & (d): Investment proposals for agriculture and allied sectors are made by the Government after detailed discussions with key stakeholders and experts considering the national priorities and potential for achieving balanced and inclusive growth. Twelfth Five Year Plan (2012-17) aims to realise public investment in agriculture at 4% of agricultural GDP.

(e): Government has launched several schemes to increase the capital investment, contribution of agriculture sector to GDP and growth rate in the agriculture sector such as Rashtriya Krishi Vikas Yojana (RKVY), National Food Security Mission (NFSM), Development and Strengthening of Infrastructure facilities for Production and Distribution of Quality Seed, National Horticulture Mission (NHM), Integrated Scheme of Oilseeds, Pulses, Oil Palm and maize (ISOPOM), Gramin Bhandaran Yojana etc. In addition, Government has substantially improved the availability of farm credit; implemented a massive programme of debt waiver; introduced better crop insurance schemes; increased Minimum Support Price (MSP), improved marketing infrastructure etc.