Why 46% of India’s Population Working in the Agriculture Sector Contributes to Only 20% of the Country’s GDP

Author(s)	Mr. Shaayan Narang
Country	India
Abstract	India, known as the "Land of Villages," harbors a paradox where nearly 46% of its population is employed in agriculture, yet the sector contributes only about 20% to the nation's GDP. This disparity underscores a structural imbalance within the Indian economy, rooted in historical, socio-economic, and environmental challenges. While agriculture remains central to rural livelihoods and national food security, its growth and productivity have lagged behind those of the industrial and service sectors. Factors such as small and fragmented landholdings, outdated farming practices, poor infrastructure, limited market access, climate vulnerability, and underinvestment in research and development contribute to this disconnect. This study analyzes these multifaceted issues, supported by empirical data and scholarly literature, and proposes a path forward through technological integration, better policy implementation, and investment in sustainable practices.
Keywords	India's population, Agricultural, Indian Economy, GDP, Economic development
Field	Business Administration
Published In	Volume 7, Issue 3, May-June 2025
Published On	2025-05-20
DOI	https://doi.org/10.36948/ijfmr.2025.v07i03.45589
Short DOI	https://doi.org/g9kvch

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