Agriculture has long been the cornerstone of India's rural economy, providing livelihoods for a significant portion of the population. Despite the ongoing urbanization and the shift toward industrialization, agriculture and its allied sectors remain central to the economic stability of rural India. A large share of the workforce continues to depend on this sector for employment, income, and sustenance.
The dynamics of the rural agricultural workforce, along with the opportunities and challenges they face, are closely monitored through various surveys such as the Periodic Labour Force Survey (PLFS) and the NABARD All India Rural Financial Inclusion Survey (NAFIS). These surveys provide valuable insights into the evolving trends in rural agriculture and its impact on the broader economy.
According to the PLFS, the percentage of workers engaged in agriculture in India has shown minor fluctuations in recent years. In the 2020-21 survey, 46.5% of the workers were engaged in the agricultural sector. This figure slightly decreased to 45.5% in 2021-22, only to slightly rebound to 45.8% in 2022-23. These trends underscore the persistence of agriculture as a dominant sector in rural India, even as the country undergoes rapid economic changes.
Similarly, the NABARD’s NAFIS survey reveals an increase in the proportion of agricultural households over the past few years. In the agriculture year 2016-17, 48% of rural households were engaged in agriculture, and by 2021-22, this number had risen to 56.7%. This growing share of agricultural households indicates a sustained reliance on farming for rural livelihoods, highlighting the need for targeted policies and programs to support this critical sector.
Recognizing the importance of agriculture in the rural economy, the Government of India has initiated several schemes to support farmers and enhance their livelihoods. These programs aim to increase agricultural production, ensure remunerative returns, and provide income support to farmers. Some of the major schemes include:
Additionally, the Government is actively working to enhance the skills of rural youth through the Skill Training of Rural Youth (STRY) program, which aims to impart short-term training in agriculture and allied sectors. This program helps in upgrading the knowledge and skills of rural youth, thus promoting self-employment and wage employment in rural areas.
One of the most impactful initiatives to support the agriculture sector is the Agriculture Infrastructure Fund (Agri Infra Fund). This fund provides financial assistance to rural entrepreneurs and Farmer Producer Organizations (FPOs) for the development of essential infrastructure like cold storage, processing units, and warehouses. By enhancing infrastructure, this initiative aims to improve market access, reduce post-harvest losses, and boost farmers' income.
The Agri Infra Fund not only supports existing agricultural practices but also encourages modern farming techniques and technological adoption. It plays a crucial role in promoting agricultural diversification, improving rural livelihoods, and creating new job opportunities in agro-based industries.
Agriculture continues to be the backbone of India’s rural economy, providing employment and sustenance for a large proportion of the population. Despite challenges, the government’s efforts to boost agricultural income through various schemes and programs have made a significant impact. By addressing issues like financial accessibility, infrastructure development, crop insurance, and skill enhancement, these initiatives work towards ensuring a brighter future for farmers and their families. As India moves forward, fostering a more sustainable, efficient, and profitable agricultural sector will remain key to the prosperity of its rural areas.