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Unit 11: Sectoral Performance I: Agriculture: Growth Productivity Trends and Crop Patterns

To reduce the pressure of population on land, the strategy used by the Planning Commission was Notes
rural development i.e., set up agro-based industries and handicrafts in rural areas, to promote rural
transport and communications and to encourage the movement of people from agriculture to industries
and service sectors.
Finally, to bring about equality and justice in rural India, the strategy used by the Planning Commission
was land reforms which included the removal of intermediaries, like the Zamindars, the protection
of tenants through tenancy legislation, ceiling of land holdings and distribution of surplus land among
landless labourers and small and marginal farmers.
Pattern of Investment in the Agricultural Sector
At the outset, a word of explanation is necessary about the meaning and content of “agricultural
sector”. In the first three Plans, “agricultural sector” was composed of agriculture and allied sectors
(horticulture, animal husbandry and fisheries) and irrigation and flood control. In the succesive Plans,
“rural development” and “special area programmes, were added and “irrigation and flood control”
was omitted. In Table 4, outlay on agriculture is composed of agriculture and allied sectors, special
area programmes and rural development, irrigation and flood control.
It would be clear that the total outlay in each Plan had increased and, correspondingly, the outlay on
agriculture allied sectors had also increased. However, the percentage of plan outlay on 31 per cent
and 14.9 per cent from the First Plan to the Tenth Plan.
Table 4 : Pattern of Government Outlay on Agriculture and Allied Sectors
(`` `` ` crore)
Total Plan Agriculture % age of
Plans Periods Expenditure and agriculture and
(Actual) allied sectors allied sectors to
total outlay
I Plan (Actual) 1951-56 1,960 600 31
II Plan “ 1956-61 4,670 950 20
III Plan “ 1961-66 8,580 1,750 21
IV Plan “ 1969-74 15,800 3,670 24
V Plan “ 1974-79 39,430 8,740 22
VI Plan “ 1980-85 1,09,300 26,100 24
VII Plan “ 1985-90 2,18,730 47,100 23
VIII Plan “ 1992-97 4,75,480 1,01,590 21
IX Plan “ 1997-02 8,59,200 1,76,217 20.5
X Plan “ 2002-07 15,25,639 3,05,055 20.0
XI Plan (Plan) 2007-12 36,44,718 6,74,105 18.5

Source : Planning Commission, Various Five-Year Plan Documents.
Economic Survey, 2006-07 (Tables) and Eleventh Five Year Plan (2007-12)
The Indian Planning Commission specified various programmes for increasing agricultural production
such as irrigation, soil conservation, dry farming and land reclamation, supply of fertilisers and
manures, improved agricultural implements, adoption of scientific practices, etc. The Government
gave considerable attention to institutional changes such as the setting up of community development
programme and agricultural extension services throughout the country, the use of land reforms,
expansion of rural transportation, power, marketing and other basic facilities, improvement of the
system of co-operative credit, etc. From the Third Plan onwards, the greatest emphasis was laid on
irrigation- fertilizer-seed technology which led to the green revolution.

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