NEW DELHI—India’s agriculture sector remains crucial for economic growth and employment, underscoring the need for sustained investment in infrastructure, according to an analysis by the PHD Research Bureau, PHD Chamber of Commerce and Industry (PHDCCI).
From 2013-14 to 2023-24, the sector maintained an average growth rate of 3.9%, even reaching 4% during the pandemic, said PHDCCI President Hemant Jain. For 2024-25, agriculture growth is projected at 3.8%, with foodgrain production expected to rise 2% to 3,357 lakh tonnes, added Ranjeet Mehta, CEO and secretary general of PHDCCI.
India’s agricultural and food processing exports have grown significantly, from over $39 billion in 2013-14 to more than $52 billion in 2022-23. Projections indicate exports could reach $125 billion by FY2030 and $700 billion by FY2047, Mehta said.
The food processing sector is also set to expand, with estimates placing its value at $700 billion by FY2030 and $2.15 trillion by 2047.
Jain emphasized the need for stronger linkages between agriculture and other sectors to drive broader economic development. Meanwhile, Dr. S.P. Sharma, chief economist at PHDCCI, noted that factors like electricity, warehousing, and irrigation have a greater influence on food grain production than rainfall, challenging traditional views on monsoon dependency.
PHDCCI recommends continued policy support, investment in science-led technology, infrastructure development, crop diversification, and expanding the range of agricultural exports to sustain long-term growth.
