11. Agriculture
Free Economy rapid revision notes for UPSC, APPSC and TGPSC. Original notes are presented below with their tables, images and visual aids preserved.
11. Agriculture
11.1 Role of Agriculture
Agriculture and allied activities employ the largest share of India's workforce, but contribute a much smaller share of the economy's output. This gap points to low productivity and disguised unemployment in farming.
The agricultural year runs from July to June.
Agriculture supplies food, raw materials for industry (cotton, jute, sugar) and a large share of rural income.
Gross Cropped Area counts every crop sown, including repeats on the same land. Net Sown Area counts each piece of land once. Cropping intensity = Gross cropped area ÷ Net sown area × 100.
11.2 Cropping Seasons
Season |
Sowing and harvest |
Crops |
Need |
Kharif |
Sown with the onset of the south-west monsoon (June to July); harvested September to October |
Rice, maize, jowar, bajra, ragi, cotton, groundnut, soybean, tur, moong, urad |
Warm weather and heavy rain |
Rabi |
Sown October to December; harvested March to April |
Wheat, barley, gram, masur, mustard, peas, linseed |
Cool weather for growth and warm, dry weather for ripening |
Zaid |
Between rabi and kharif, March to June |
Watermelon, muskmelon, cucumber, vegetables, fodder |
Irrigation and warm weather |
Major crops
Crop |
Key Points |
Rice |
Kharif staple; needs high temperature and heavy rainfall (above about 100 cm) or irrigation; grown on alluvial and clayey soils |
Wheat |
Rabi staple; needs a cool growing season and a warm, dry harvest; major in the Indo-Gangetic plain |
Millets (Shree Anna) |
Jowar, bajra and ragi; hardy, rain-fed, nutritious. 2023 was the International Year of Millets |
Pulses |
Fix nitrogen in soil; main crops are gram, tur (arhar), moong, urad and masur. India is the largest producer and consumer but still imports |
Oilseeds |
Groundnut, mustard, soybean, sunflower, sesamum; India imports a large share of its edible oil |
Cotton |
Kharif cash crop; grows best in black (regur) soil; needs warm weather and many frost-free days |
Sugarcane |
Tropical crop; needs heavy water and warm weather; price set as the Fair and Remunerative Price (FRP) |
Jute |
Called the golden fibre; needs alluvial soil, warmth and high humidity |
11.3 Farm Structure
India has a very large number of small and marginal farmers. In the 10th Agriculture Census (2015-16), small and marginal holdings (below 2 hectares) formed over 85% of all holdings, and the average holding was about 1.08 hectares.
Small holdings limit mechanisation and investment, which keeps productivity low.
The Agriculture Census is conducted every five years.
Land reforms are a State subject (Entry 18 of the State List).
Land reforms
Measure |
Key Point |
Abolition of intermediaries |
Ended zamindari and similar systems so that farmers hold land directly from the State |
Tenancy reforms |
Regulate rent, give security of tenure and confer ownership rights on tenants |
Land ceiling |
Limit on the area one family can own; surplus land is given to the landless |
Consolidation of holdings |
Joins scattered small plots into one block to ease farming |
Bhoodan and Gramdan |
Movement led by Vinoba Bhave, begun in 1951, asking landowners to donate land voluntarily |
Ninth Schedule |
Added by the First Amendment (1951) to protect land reform laws from court challenge |
11.4 Agricultural Revolutions
Revolution |
Key Point |
Green Revolution |
Began in 1966-67 with high-yielding seeds, fertilisers and irrigation, first for wheat and rice in Punjab, Haryana and western Uttar Pradesh. Linked to Norman Borlaug (world) and M. S. Swaminathan (India) |
White Revolution |
Operation Flood (1970), led by Verghese Kurien with the National Dairy Development Board (NDDB, 1965); made India the world's largest milk producer |
Blue Revolution |
Growth of fisheries and aquaculture |
Yellow Revolution |
Oilseed production, through the Technology Mission on Oilseeds (1986) |
Golden Revolution |
Horticulture and honey |
Silver Revolution |
Poultry and eggs |
Evergreen Revolution |
Sustainable, environment-friendly increase in productivity; an idea of M. S. Swaminathan |
11.5 Agricultural Pricing and MSP
The Commission for Agricultural Costs and Prices (CACP) was set up in January 1965 as the Agricultural Prices Commission and renamed in 1985. It recommends Minimum Support Prices (MSP); the Cabinet Committee on Economic Affairs (CCEA) approves them.
MSP is announced for 22 mandated crops: 14 kharif crops, 6 rabi crops, and 2 others (raw jute and copra). Sugarcane has a separate FRP.
The MSP purpose is to give farmers a floor price, to encourage production and to support food stocks.
Cost concept |
Meaning |
A2 |
Actual paid-out costs of seeds, fertiliser, hired labour, fuel and similar items |
A2 + FL |
A2 plus the imputed value of unpaid family labour |
C2 |
A2 + FL plus the rental value of owned land and interest on owned capital; the comprehensive cost |
Remember
|
11.6 Agricultural Marketing
Farm produce was traditionally sold in APMC mandis regulated by State Agricultural Produce Marketing Committee Acts.
e-NAM (National Agriculture Market), launched on 14 April 2016, is an online trading portal that links mandis across the country; SFAC is the nodal agency.
The three farm laws of 2020 were repealed in 2021 after protests.
Farmer Producer Organisations (FPOs): the scheme to form 10,000 FPOs was launched in 2020 to give small farmers collective bargaining power.
The Agriculture Infrastructure Fund (2020) gives loans for post-harvest infrastructure such as cold storage and warehouses.
The Essential Commodities Act, 1955 lets the Government limit stocks and control prices of essential goods.
11.7 Credit, Insurance and Income Support
Scheme |
Key Point |
Kisan Credit Card (KCC), 1998 |
Short-term crop loans at subsidised interest through banks and cooperatives; the collateral-free loan limit was raised to Rs 5 lakh in Budget 2025-26 |
NABARD (1982) |
Apex body for agricultural and rural credit; refinances banks and cooperatives |
PM Fasal Bima Yojana (2016) |
Crop insurance; farmers pay a low premium: 2% for kharif, 1.5% for rabi and 5% for commercial and horticultural crops |
PM-KISAN (2019) |
Rs 6,000 a year in three instalments of Rs 2,000 to farmer families; fully funded by the Centre |
Soil Health Card (2015) |
Gives farmers the nutrient status of their soil and advice on fertiliser use |
PM Krishi Sinchayee Yojana (2015) |
"Har Khet Ko Pani" and "Per Drop More Crop" to improve irrigation and micro-irrigation |
Paramparagat Krishi Vikas Yojana (2015) |
Promotes organic farming in clusters |
National Mission on Natural Farming |
Promotes chemical-free natural farming and certifies farmers |
Fertiliser subsidy
Urea is sold at a controlled maximum retail price; the Government pays the difference between cost and the farmer's price.
Nutrient Based Subsidy (NBS) since 2010 applies to phosphatic and potassic fertilisers, fixed per nutrient.
Neem-coated urea became compulsory in 2015 to reduce diversion to industry and improve nitrogen use.
11.8 Recent Initiatives
Initiative |
Key Point |
PM Dhan-Dhaanya Krishi Yojana |
Launched on 11 October 2025; aims to lift 100 low-productivity districts on yield, irrigation, storage and credit. Modelled on the Aspirational Districts Programme and brings together 36 existing schemes |
Mission for Aatmanirbharta in Pulses |
Six-year mission with an outlay of Rs 11,440 crore to reach self-reliance in pulses; target of 350 lakh tonnes by 2030-31 |
National Mission on High Yielding Seeds |
Announced in Budget 2025-26 to develop and spread high-yield, pest-resistant and climate-resilient seeds |
Mission for Cotton Productivity |
Five-year mission to raise cotton yield and sustainability, announced in Budget 2025-26 |
Digital Agriculture Mission and AgriStack |
Digital farmer registry and data systems for services and crop surveys |
11.9 Allied Sectors and Food Security
Sector |
Key Point |
Dairy |
India is the largest milk producer in the world; cooperatives such as Amul follow the Anand model |
Fisheries |
PM Matsya Sampada Yojana (2020) supports fish production, cold chains and fishers' welfare |
Horticulture |
Fruits, vegetables and spices; India is among the top producers; the National Horticulture Board promotes post-harvest handling |
Food processing |
PM Kisan SAMPADA Yojana builds cold chains and processing units to cut post-harvest losses |
Warehousing |
Warehousing Development and Regulatory Authority (WDRA, 2007) regulates negotiable warehouse receipts |
Food security |
The FCI buys grain at MSP, stores buffer stocks and supplies the Public Distribution System under the National Food Security Act, 2013 |
Quick Recall
|
Explore structured courses and guidance for your target examination.