ABSTRACT
This chapter examines how the changes in the nature and growth of the agricultural sector influence the pattern of growth of rural labour markets across Indian States. Agriculture and allied sectors employed approximately 42.0 per cent of India’s total workforce even in 2018. At the same time, the size and composition of the agricultural workforce varied considerably across the Indian States. We find that the differences in rural labour market outcomes are associated with variations in the cropping pattern and crop production across the Indian States. For example, the share of agricultural workers in the total rural workforce is high in a number of States, including Maharashtra, Gujarat, Andhra Pradesh, and Karnataka. The high reliance on agriculture for rural employment in these States is linked to their cropping pattern. The major crops grown in these States include rice, cotton, sugar cane, and maize, all of which require high labour inputs.
