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Plant Science Today (PST)

Research Articles

Vol. 13 No. sp5 (2026): Recent Advances in Agriculture

Structural shifts in Indian agriculture: Analysing productivity, gross domestic product contribution and sectorial dynamics

DOI
https://doi.org/10.14719/pst.13206
Submitted
15 December 2025
Published
24-09-2026

Abstract

India’s economy majorly depends on the agricultural sector, which also contributes to food security and employs a sizable percentage of the labour force. Despite improvements in agricultural production and crop productivity over the years, the sector’s share in gross domestic product (GDP) has been declining. This study examines trends in agricultural growth, the factors affecting its contribution to GDP and the challenges hindering the sector's progress. The analysis reveals that the rise in per capita income to Rs. 19696.00 per month, differences in rates of technical change between sectors, low labour productivity and the prevalence of traditional farming practices have contributed to the declining share of agriculture in GDP. Additionally, India faces a significant food spoilage crisis, with roughly 68 million tonnes of food lost annually, causing an estimated about Rs. 90000 crore to Rs. 1 lakh crore annual economic loss owing to inadequate cold storage and transportation facilities, leading to substantial economic losses. Poor irrigation systems and limited investment in the sector further exacerbate these challenges. To increase agriculture's contribution to GDP, this study suggests several measures, including the provision of storage facilities, efficient agricultural marketing, ensuring minimum support prices, promoting local consumption and strengthening agricultural research and extension systems. Furthermore, the effective implementation of government policies and a long-term strategic approach are crucial for maximising agricultural benefits and fostering economic growth. By addressing the identified challenges and leveraging opportunities, India can enhance the economic contribution of its agricultural sector and improve the livelihoods of its rural population.

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