India’s Farm Sector Output Rises to Rs 29.49 Lakh Crore

India’s agricultural sector output reached Rs 29.49 lakh crore ($354 billion) in FY24, up 5% from FY23, per government data released on June 25, 2025. The growth, driven by higher crop yields and exports, supports India’s $5 trillion economy goal by 2027.

The farm sector, contributing 15% to India’s GDP, grew to Rs 29.49 lakh crore in FY24, with crops at 60%, livestock at 25%, and fisheries at 10%. Rice and wheat production hit 280 million tonnes, up 5%, driven by 90% irrigation coverage in Punjab and Haryana. Exports, at $50 billion, include 10% from basmati rice, per APEDA data.

The 2025 Budget’s $1 billion for agricultural infrastructure boosted yields by 10%, but 30% of funds face delays. Precision farming, used in 5% of farms, increased productivity by 15% in Gujarat, saving $100 million in inputs. The Green India Mission, enhancing soil health, supports 20% higher yields, but only 10% of farmers adopt sustainable practices due to low awareness.

Challenges include 20% water scarcity risks, reducing yields by 10%, and 15% post-harvest losses, costing $10 billion. Tamil Nadu’s 1 million-tonne cold storage facilities cut losses by 5%, offering a model. The sector employs 50% of India’s workforce, but 70% lack mechanization access, requiring $200 million in investments. Posts on X highlight export growth, though some note farmer income stagnation.

Global benchmarks, like the U.S.’s $400 billion farm output, show 80% mechanization. Scaling requires 100,000 skilled workers and $50 million in training by 2030. Environmental concerns, like 10% methane emissions, need $100 million in mitigation.

Conclusion

India’s farm sector growth to Rs 29.49 lakh crore in FY24 drives economic progress. Addressing water, mechanization, and sustainability challenges is critical for sustained growth.

Source: Outlook Business