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UPSC MainsGeneral Studies Paper IIIAgriculturePractice question

Making Indian Agriculture Resilient and Remunerative

Indian agriculture is caught between the challenges of low farm incomes, climate change and fragmented landholdings. Discuss the measures required to make Indian agriculture more resilient and remunerative.

Discuss~250 words2 min readmedium
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How to approach

Begin by outlining the structural challenges confronting Indian agriculture using relevant baseline statistics. Detail the triple crisis of land fragmentation, low farm income, and climate vulnerability. Then, present multi-dimensional measures spanning market reform, income diversification, and climate-smart technologies before concluding with a forward-looking roadmap.

Model answer

311 words

Introduction

Indian agriculture, employing approximately 42% of the workforce, faces a severe 'triple challenge' that decelerated sectoral growth to 1.4% in 2023-24 according to the Economic Survey. To secure food security and economic stability, a decisive paradigm shift from pure production-centric targets to income- and resilience-centric farming is imperative.

The Triple Challenge in Indian Agriculture

  • Fragmented Landholdings: The average operational holding has shrunk to 1.08 hectares according to the 10th Agriculture Census. With small and marginal farmers comprising 86% of all operational holdings, farm mechanisation and economies of scale are severely constrained.
  • Low and Volatile Farm Incomes: According to the NSO 77th Round, the average monthly income of an agricultural household is only ₹10,218. Squeezed profit margins stem from rising input costs, high intermediation, and lack of marketable surplus.
  • Climate Vulnerability: Erratic monsoon patterns, El Niño events, and recurring heat stress directly disrupt crop yields—notably threatening northern wheat belts and causing acute fluctuations in farm output.

Measures to Make Agriculture Resilient and Remunerative

  • Aggregation and Market Integration: Aggregating smallholders via the 10,000 Farmer Producer Organisations (FPO) scheme facilitates collective bargaining and lower input costs. Upgrading physical and digital supply chains through the Agriculture Infrastructure Fund (AIF) and expanding e-NAM provides direct, transparent market access.
  • Income Diversification: Shifting towards high-value horticulture and allied sectors enhances risk hedging, as livestock and dairy already contribute over 30% of agricultural Gross Value Added (GVA). Promoting climate-resilient millets (Shree Anna) delivers drought tolerance alongside premium price realizations.
  • Climate-Smart Practices and Inputs: Incentivising balanced fertilizer use through PM-PRANAM and scaling decentralized solar irrigation via PM-KUSUM cuts input expenditures. Expanding micro-irrigation under 'Per Drop More Crop' and deploying heat-tolerant seed varieties, such as ICAR's HD-3385 wheat, builds climate resilience.

Conclusion

Integrating Digital Public Infrastructure like AgriStack with precision farming and cooperative community action can fundamentally transform Indian agriculture from subsistence-level vulnerability into a climate-proof, commercially remunerative, and dignified livelihood system.

Key facts to remember

statistic

The average operational holding size in India has declined to 1.08 hectares, with small and marginal farmers accounting for 86% of total holdings.

— 10th Agriculture Census
statistic

The average monthly income for an agricultural household stands at ₹10,218, reflecting acute income vulnerability in rural areas.

— NSO 77th Round Situation Assessment Survey
scheme
PM-PRANAM

PM Programme for Restoration, Awareness, Nourishment and Amelioration of Mother Earth incentivises states to promote balanced fertilizer use and alternative nutrient management.

example
ICAR HD-3385 Wheat Variety

A heat-tolerant wheat cultivar bred by ICAR to escape terminal heat stress caused by early onset of warm weather in northern India.

Frequently asked questions

How do Farmer Producer Organisations address the challenge of fragmented landholdings?

FPOs aggregate small and marginal farmers, enabling joint procurement of inputs at wholesale prices, collective investment in farm machinery, and direct negotiation with institutional buyers for better price realisation.

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