ABSTRACT
Although still a mainstay of the economy, agriculture in India is of declining relative importance. Between 1965 and 1989 the share of GDP attributable to agriculture declined from 44 per cent to 32 per cent, with corresponding increases for industry (22 per cent to 30 per cent) and services (34 per cent to 38 per cent). Agriculture currently accounts for 39 per cent of exports, and provides livelihoods for over 70 per cent of the population. Population growth in India averaged 1.93 per cent per year in 1985–90, some reduction from the 2.3 per cent average in 1965–80. Total population is expected to exceed 1 billion by 2000. India is the ninth most industrialized country in the world, yet, with 322 million from a total of 816 million estimated to be living in poverty in 1988, it contains more poor people in absolute terms than any other country. Although the Government of India (GoI) predicted a trend decline in poverty incidence in the 1980s and early 1990s, the data suggest that there has been no significant trend away from 40 per cent since the 1960s. This is reflected in India’s poor performance in terms of social development. For example, the adult literacy rate in 1990 was 62 per cent for men and 34 per cent for women, and life expectancy at birth 59 years. Although the under-5 mortality rate has halved since 1960, it remains at 130 per 1,000 live births.
