AGRICULTURE SECTOR OVERVIEW-2020
Statistics, news & updates: everything you need to know about the Agriculture Industry in India
- COVID-19 Impact
- Industry Clusters
- Growth Drivers
- Key Players
- Market Stats
- Agricultural & Farm Machinery
- Pesticide, Fertiliser & agrochemicals
India has the 10th-largest arable land resources in the world and accounts for 7.39% of the global agricultural output. The agriculture sector is one of the biggest sectors in India. In fact, it is a key contributor accounting for about 18% of the GDP. The Gross Value Added (GVA) for the agriculture sector was USD 274 billion in 2018, with the food grain production estimated at 284.83 million tonnes. India lies within several agro-climatic zones. Due to this, it enjoys a favorable position for the cultivation of a wide range of fruits, vegetables, and spices. And the whole industry is set for further growth as household incomes, food processing, and agricultural exports increase.
India is among the fastest-growing markets for agricultural equipment. This is because the farmers are adopting modern agricultural technologies to increase their yield. They aim to cater to the increased demand for food supply. Further, the Government has proposed a number of incentives in this sector. These include creating hubs for hi-tech farm equipment and financial assistance for farmers to buy machinery and support industry growth. Besides, the Government also wants to make India self-sufficient in food grain production and increase farm income. With the current farm mechanization of only 40%, there is a huge scope for foreign companies to expand in India. They can enter in every segment of the Agriculture industry, farm machinery, equipment, and allied sectors to expand in India.
Agriculture being the backbone of the country, the government has classified it as an essential category. Therefore, the agriculture industry in India is less likely to see a major impact of COVID-19. Besides, the government is taking active measures to minimize its effect on the country’s agriculture sector. They have announced various exemptions in the agriculture sector for laborers, seeds and farm-related activities. Moreover, The Indian Council of Agricultural Research (ICAR) has also issued crop-related advisories to the farmers. They are asked to exercise basic precautions and safety measures during different crop stages such as harvesting, post-harvest operations, storage, and marketing.
- Agriculture is one of the largest industries in India. In fact, it is ranked fifth in terms of production, consumption, export and expected growth.
- India is the second largest fruit producer in the world.
- Agriculture remains a primary means of livelihood for more than 50% to 60% of India’s total population.
- In FY 2019, agriculture exports were US$ 38.54 billion.
- As per the Economic Survey, India’s gross domestic product (GDP) growth is expected to strongly rebound to 6-6.5 per cent in 2020-21.
Key Players in India
- Rallis India limited
- Nuziveedu seeds limited
- Advanta Limited
- Poabs organic Estates
- National Agro Industries
- Godrej Agrovet limited
- Rasi Seeds
- Jain Irrigation Systems
- CNH Industrial
- Bayer AG
- Syngenta AG
- Deere & Company
- Archer Daniels Midland Company
- Lemken India Agro Equipment Pvt. Ltd.
- The agriculture industry in India accounts for 15.87% of India’s GDP.
- As per the Indiaeconomic survey 2018, the production of agriculture activity in India stands at $375.61 billion. Moreover, India is 2nd larger producer of agriculture products. It accounts for 7.39% of the total global agricultural
- Gross Value Added by agriculture, forestry and fishing was approximately 2.7% in the fiscal year 2019.
- In 2018-19, India registered a record food grain production of 285.17 million tonnes.
- Total agricultural exports from India grew at a CAGR of 16.45 per cent over FY10-18. The agricultural exports from India were US$ 38.54 billion in FY19.
- India is the largest producer, consumer and exporter of spices and spice products.
- The Agriculture Industry in India was valued at USD 32.2 billion in 2018 and is expected to register a CAGR of 4.1% during the forecast period (2019-2024).