What are the important of agriculture?
- 9 years agoFavorite Answer
Importance of Agriculture
Agriculture plays a crucial role in the life of an economy. It is the backbone of our economic system. Agriculture not only provides food and raw material but also employment opportunities to a very large proportion of population. The following facts clearly highlight the importance of agriculture in this country.
1. Source of Livelihood:
In India the main occupation of our working population is agriculture. About 70 per cent of our population is directly engaged in agriculture. In advanced countries, this ratio is very small being 5 per cent in U.K., 4 per cent in USA., 16 per cent in Australia, 14 per cent in France, 21 per cent in Japan and 32 per cent in USSR.
This high proportion in agriculture is due to the fact that the non-agricultural activities have not been developed to absorb the rapidly growing population.
2. Contribution to National Income:
Agriculture is the premier source of our national income. According to National Income Committee and C.S.O., in 1960-61, 52 per cent of national income was contributed by agriculture and allied occupations. In 1976-77, this sector alone contributed 42.2 per cent while in 1981-82, its contribution was to the tune of 41.8 per cent.
In 2001-02, it contributed around 32.4 per cent of national income. This was further reduced to 28 per cent in 1999-2000. Contrary to this, the proportion of agriculture in U.K. is only 3.1, in USA it is 3 percent, 2.5 per cent in Canada, 6 per cent in Japan, 7.6 per cent in Australia.
The mere conclusion of all this is that more developed a country the smaller is the contribution of agriculture in national output.
3. Supply of Food and Fodder:
Agriculture sector also provides fodder for livestock (35.33 crores). Cow and buffalo provide protective food in the form of milk and they also provide draught power for farm operations. Moreover, it also meets the food requirements of the people. Import of food grains has been very small in recent years, rather export avenues are being looked for.
4. Importance in International Trade:
It is the agricultural sector that feeds country's trade. Agricultural products like tea, sugar, rice, tobacco, spices etc. constitute the main items of exports of India. If the development process of agriculture is smooth, export increases and imports are reduced considerably.
Thus, it helps to reduce the adverse balance of payments and save our foreign exchange. This amount can be well utilized to import other necessary inputs, raw-material, machinery and other infra-structure which is otherwise useful for the promotion of economic development of the country.
5. Marketable Surplus:
The development of agricultural sector leads to marketable surplus. As country develops more and more people are to be engaged in mining, manufacturing and other non- agricultural sector. All these people depend upon the food production which they can meet from the marketable surplus.
As agricultural development takes place, output increases and marketable surplus expands. This can be sold to other countries. Here, it is worth mentioning that the development of Japan and other countries were made possible by the surplus of agriculture. There is no reason why this could not be done in our own case.
6. Source of Raw Material:
Agriculture has been the source of raw materials to the leading industries like cotton and jute textiles, sugar, tobacco, edible and non-edible oils etc. All these depend directly on agriculture.
Apart from this, many others like processing of fruits and vegetables, dal milling, rice husking, gur making also depend on agriculture for their raw material. According to United Nations Survey, the industries with raw material of agricultural origin accounted for 50 per cent of the value added and 64 per cent of all jobs in the industrial sector.
- 6 years ago
or decades, agriculture has been associated with production of essential food crops. At present, agriculture above and beyond farming includes forestry, dairy, fruit cultivation, poultry, bee keeping, mushroom, arbitrary, etc. Today, processing, marketing and distribution of crops and livestock products etc. are all acknowledged as part of current agriculture.Thus, agriculture could be referred to as the production, processing, promotion and distribution agricultural products.
- Anonymous9 years ago