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Thursday , February  02,  2006

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   India Wants 3%-3.5% Sustained Agri Growth

 

Indian Planning Commission members say that Agriculture needs to grow by 3-3.5% if India is to achieve a base target of 8% economic growth during the 11th financial plan. The agriculture sectors have received less investment in the last few years therefore resulting in 1-1.1% growth. However, increased investments the last two years are seeing this sector growing at 3-3.5%. The lack of growth of agriculture has been blamed as a drag on the Indian economy. Most investments in agriculture have been in the form of subsidies. The Planning Commission is arguing that subsidies must not be an entitlement or largesse but a seeding mechanism that will allow new markets to develop. The Indian Council for Agricultural Research (ICAR) says that Livestock is one sector that needs attention since a modest investment in vaccination and crossbreeding can result in huge returns. Experiments in the last few years have shown that Livestock sector has grown more than 25% providing higher income and employment in the rural areas. A national survey by ICAR found that a 20% reduction in farmer labor among the youth but compensated by a 20% increase in women farmers which is better suited for Livestock raising and marketing.










 


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