India GDP – Once again farmers will bear the burden of GDP in 2025, know which sectors are in bad shape – Agriculture Sector holds out amid headwinds will support Indian Economy know how tutc
According to advance estimates of GDP released by the government on Tuesday, India’s gross domestic product (GDP) is expected to grow at the rate of 6.4% in the financial year 2024-25, which is a four-year low. The special thing is that this estimate is less than the recent estimate of 6.6 percent by the Reserve Bank of India (RBI) for the current financial year ending March 2025. But in the meantime, like the Corona Pandemic Period, once again the agriculture sector will be seen supporting the GDP and a strong increase in the growth rate of the agricultural sector is expected.
Tremendous growth expected in agriculture sector
Along with sharing the advance estimate of India’s GDP Growth by the National Statistical Office (NSO), it was also said that while on one hand there may be a slowdown in many sectors, on the other hand the agriculture sector and other activities related to it will once again see a slowdown. Then it will be seen playing an important role in GDP growth. The agriculture sector is surviving despite adverse conditions and is showing a ray of hope in FY2024-25. Strong growth has been predicted in this sector.
Growth rate may remain up to 3.8%
If we look at the government data, strong monsoon and production of strong Kharif crops will boost growth in this sector and there will be an increase in Agriculture Gross Value Added (GVA). Experts have claimed that the performance of the agriculture sector can be a relief for the Indian economy and the growth rate in this sector can increase to 3.8 percent in the current financial year, which will be 3.8 percent in the previous financial year 2023-24. It was 1.4 percent.
Effect of strong monsoon will be visible
According to the First Advance Estimates (FAI) of GDP for FY25, GVA growth at current prices is expected to be even better at 10% compared to 5.4% in FY2024. Actually, this growth has been estimated by the government due to good Kharif crop amid strong monsoon and promotion of Rabi sowing. Last financial year, due to weak monsoon, there was a decline in the growth rate of the agriculture sector.
Good growth expected due to these reasons
It is noteworthy that better monsoon and favorable prices of grains have also promoted Rabi sowing. In the month of September 2024, the monsoon had ended with about 8 percent more rainfall, which is the highest in the last 3 years. Due to good rains in the June-September quarter, Kharif rice production (July to June) was estimated at about 120 million tonnes, which was 5.9 percent more than the previous season.
Apart from this, production of other major Kharif crops including maize is also expected to increase. At the beginning of this year, till January 3, sowing of the main Rabi crop wheat has been completed in about 32 million hectares, which is 1.74 percent more than in 2024. Due to all these figures, the government has expressed hope of tremendous growth in the agriculture sector.
Had supported even during Corona period
These estimates expressed by the government appear to be exactly the same as during the Corona Pandemic. Let us tell you that despite all the challenges, when there was an outbreak of Covid-19 epidemic in the country, the agriculture sector supported the Indian economy with a growth rate of 3.4 percent. If we look at the government data of that time, the contribution of agriculture and related activities in the country’s Gross Value Added (GVA) in 2019-20 was 17.8 percent.
Estimate of decline in these areas also
The government estimates that the real GVA of agriculture as well as manufacturing and finance, real estate and service sectors will see a growth rate of 8.6% and 7.3% respectively during FY 25. On the other hand, the growth rate in service sector including hotel, transport and telecom is expected to be reduced to 5.8 percent as compared to 6.4 percent in FY2023-24.
