The Orissa Economic Survey 2010 has expressed concern over low growth in the agriculture sector. Though the economy has grown at an annual average rate of 8.73% in the first three years of the 11th Plan despite challenges posed by the global economic slowdown, the growth in agriculture and allied sectors has been very low, pointed out the survey.
?The growth in agriculture and allied sectors has been very low, at an average annual rate of 1.33% during the first three years of the 11th Plan,” said the Economic Survey 2010, which was tabled in the Orissa Assembly on Wednesday.
?This is a matter of serious concern,? the survey noted and stated that there is an urgent need to take appropriate measures to raise productivity of agriculture.
The higher growth in the economy in recent years has been contributed largely by the industrial sector, followed by the services sector. The services sector has become more pronounced, its share being 55% in the state GSDP. The share of industrial sector has increased to about 25%. On the other hand, the share of agriculture and allied sector has come down to about 20% of GSDP in recent years. This pattern of diversification in the state economy is in line with changes at the national and international level, said the survey.
However, a major concern is that though the share of agriculture sector has been declining, the proportion of people dependent on agriculture has not been declining in the same proportion and rate, pointed out the survey.
?There is also a need to raise the skill levels of large sections of the population who are dependant on agriculture and allied sectors. The shifting of labour away from the agriculture sectors to non-agricultural sectors would help raise people?s income and thus reduce poverty,” the survey noted.