J. L. Nehru observed in 1963 that agriculture is more important than industry as industry depends on agriculture. Production linkages arise from the interdependence between agriculture and industry through the use of productive inputs.
Agriculture serves as a major source of raw materials to many industries. b. Industries obtain raw materials from agriculture and produce finished products. For example, Jute, sugar, cotton textiles etc.
This is because it forms the base for all other products that we subsequently make. Since most of the natural products are from agriculture, dairy, fishing, forestry, this sector is also called agriculture and related sector.
Agriculture includes cultivation and allied operations. Agriculture is the source of raw material to industry. Industry processes the raw material from agriculture into finished products.
Agriculture provides raw material to industry such as Jute, Cotton etc. 2. It also act as a source of capital formation which can be utilized in industry.
Meaning and Types of Agriculture
- Shifting Cultivation (rotating crops).
- Intensive Pastoral Farming (focused on grazing animals).
- Subsistence Cultivation (seeking out a living; often done for consumption by family).
- Commercial Cultivation (usually focused on cash crops such as cocoa, cotton, palm oil, etc.
The Industrial Revolution brought about a rapid and significant change in the economy due to the introduction of power-driven machinery and other energy sources. Societies developed from agricultural to industrial rapidly.
Today, most farmers use tractors and other motorized equipment to help with field work. Tractors, combines, plows, etc. are much larger and move much faster than horses, so farmers are able to produce more food in a shorter amount of time.
The agricultural industry, which includes enterprises engaged in growing crops, raising fish and animals, and logging wood, encompasses farms, dairies, hatcheries, and ranches. It is a major industry in the United States.
Climate, land relief, soil and vegetation are the main factors which influence agricultural activity. The growth of plants depends on the temperature and humidity of the land and the amount of light it receives. We also cant grow plants in areas of severe drought.
Agriculture provides most of the world's food and fabrics. Cotton, wool, and leather are all agricultural products. Agriculture also provides wood for construction and paper products. These products, as well as the agricultural methods used, may vary from one part of the world to another.
​​​​Productivity measures the quantity of output produced with a given quantity of inputs. Long term productivity growth reflects improvements in farmers' production efficiency and technological progress.
Contribution of Industry to National EconomyThe total contribution of industry to the GDP is 27% out of which 10% comes from mining, quarrying, electricity and gas. The growth of the manufacturing sector had been 7% in the last decade. Since 2003, the growth rate has been 9 to 10% per annum.
The industrial sector depends on the agricultural sector because agriculture sector provides food and other products for the consumption purposes of industrial sector as well as provides raw materials for the development of agro-based industries of the economy and provides market for industrial products.
(i) Agro industries in India have given a major boost to agriculture by raising its productivity. (ii) Industries depend on agriculture for their raw materials. (iii) Industries sell their products such as irrigation pumps, fertilisers, etc., to the farmers.
Nepal is called an agricultural country because: More than 70% of people are engaged in agriculture. 70% goods to export aboard comes from agriculture. More than 40% national revenue comes from agriculture.
The agriculture and the industrial sector deal with the economic activities related to natural resources and manufacturing of goods respectively. While the service sector includes activities that provide several services such as transport, banking, communication, education, etc.
INDUSTRIAL locations are complex in native. These are influenced by availability of raw material, labour,' capital, power and market. It is rarely possible to find all these factors available at one place.
Industries classified on the basis of raw material are as follows: (i) Agro-based industries: These industries utilise agricultural products as their raw material. (ii) Mineral-based industries: They obtain their raw materials from mines like coal, iron ore, bauxite etc.