ABSTRACT
This chapter focuses on the agricultural sector, which is vital for India's overall economic growth. It also focuses on the impact of selected policy reform measures on agriculture. As there are significant variations in agricultural productivity performance across the states, the chapter examines the impact of policies on agriculture at the state level. The relatively slower growth of agriculture has also resulted in the transition of the economy from a primarily agrarian to the point where the non-agricultural sectors have begun to play a greater role. Economic policies of India changed dramatically in the 1990s providing a greater role for the markets and the private sector in economic activities. The economic reforms of the 1990s were in response to the developments that resulted from the unsustainable fiscal and balance of payments position of the economy. The regional dimension of economic performance is reflected in the variation across different states in India.
