eChapters

6.1 Introduction

The analysis of issues in agricultural credit in India reveals that the credit delivery to the agriculture sector continues to be inadequate. It appears that the banking system is still hesitant on various grounds to purvey credit to small and marginal farmers. The situation calls for concerted efforts to augment the flow of credit to agriculture, alongside exploring new innovations in product design and methods of delivery, through better use of technology and related processes. Facilitating credit through processors, input dealers, NGOs, etc., that are vertically integrated with the farmers, including through contract farming, for providing them critical inputs or processing their produce, could increase the credit flow to agriculture significantly.Agriculture plays a crucial role in the development of the Indian economy. It accounts for about 19 per cent of GDP and about two- thirds of the population is dependent on the sector. The importance of farm credit as a critical input to agriculture is reinforced by the unique role of Indian agriculture in the macroeconomic framework and its role in poverty alleviation. Recognising the importance of agriculture sector in India's development, the Government and the Reserve Bank of India (RBI) have played a vital role in creating a broad-based institutional framework for catering to the increasing credit requirements of the sector. Agricultural policies in India have been reviewed from time to time to maintain pace with the changing requirements of the agriculture sector, which forms an important segment of the priority sector lending of scheduled commercial banks (SCBs) and target of 18 per cent of net bank credit has been stipulated for the sector. The Approach Paper to the Eleventh Five Year Plan has set a target of 4 per cent for the agriculture sector within the overall GDP growth target of 9 per cent. In this context, the need for affordable, sufficient and timely supply of institutional credit to agriculture has assumed critical importance.

Precision agriculture depends on information collected through ground sensors, satellites, IoT systems and other connected devices. However, these data sources differ in spatial resolution, timing, quality and technical compatibility. This chapter introduces a computational framework for acquiring, harmonizing and analysing heterogeneous agricultural data. Preprocessing methods address noise, missing values and inconsistencies, while machine learning, deep learning and ensemble models identify useful environmental, spectral and temporal patterns. Applications include crop-health assessment, soil-moisture estimation, yield prediction and climate-resilience planning. Edge and cloud computing support scalability and real-time operation. Integrating multiple data sources can improve model accuracy, robustness and the practical usefulness of intelligent farming systems.

Abstract

This paper illustrates the summary of work by different groups on the potential for agribusiness and marketing research by agricultural economists over the past decade. Methodology to establish research priorities in agribusiness and marketing are reviewed. This review leads to a consideration of the agribusiness research issues including the funding sources, identifying users of agribusiness research, data needs, and limitations of agribusiness research programs. This paper also presents a potpourri of  suggested research initiatives in agribusiness research for agricultural economists. Research in these areas may be difficult for a number of reasons including, decreased reliance on economic theory as the soleparadigm, providing competitive advantage to a single agribusiness firm while balancing public and private needs, funding sources, and data confidentiality. Recommendations for outlets for academic research are presented.

Agriculture economics is the study of how resources are used, distributed, and utilised in order to create agricultural products. A consistent level of farm surplus is one of the sources of technological and commercial expansion, so agricultural economics has an impact on the economics of development.

In general, it may be said that average salaries are low when a sizable portion of a nation’s population depends on agriculture for a living. It is more accurate to argue that a country’s majority of people must rely on agriculture because it is impoverished rather than that a country is poor because the majority of its population works in agriculture.

Features of Agriculture

Agriculture is the principal industry of employment. Nearly 61 percent of the whole population is employed there. It makes up 25% of the country’s income.

Monsoon dependence: The monsoon is crucial to Indian agriculture. The production will increase if the monsoon is good, and the crops will fail if it is below normal. Floods can occasionally ruin our crops. Agriculture depends on the rainfall since irrigation systems are so poor.

Introduction
Agriculture is an age-old income generation activity in India. It plays a vital role in India’s economy. One in every two Indians relies on agriculture for livelihood. Over 58% of the rural households depend on agriculture as their principal means of livelihood. Over the period of time, the contribution of agriculture and allied sector in Gross Domestic Products (GDP) in India has declined to 14.4% in 2018- 19 from 51.8% in 1950-51. At current prices, the contributions of industry and services sector are 31.5%, and 54.1%, respectively as against the contributions of industry and services sector were 15.1% and 33.1%, respectively in 1950-51. This decline in share of agriculture and allied sector is result of the shift from traditional agricultural economy to industry and service sectors, this performance are very meagre if we consider the size of the employment in this sector. Presently, more than 50% of the total workforce of the country is employed in agricultural sector contributing to only 14.4% of GDP. With production of agriculture activity 26of $375.61 billion, India is 2nd larger producer of agriculture product in the world after China which has contribution of $991 billion in agriculture sector. GDP of industry sector is $560.97 billion and world rank is 6th. In services sector, India’s world rank is 8th and GDP is $1500 billion (FAENI, 2018- 19). Interestingly, contribution of agriculture sector in Indian economy is much higher (7.4%) than world’s average (6.4%), while contribution of industry and services sector is lower than world’s average (30% for industry sector and 63% for services sector).

1.    ___________means studying, examining and analyzing the financial aspects are pertaining to farm business.

(a) Agricultural finance

(b) Finance management

(c) Accounting management

(d) All of these

2.    Agricultural finance deals with the :–

(a) Acquisition of fund

(b) Use of fund

(c) Management of funds

(d) All of these

Introduction

Agriculture denotes as the key development in the rise of sedentary human civilization, where by farming of domesticated species creates food surpluses that enables people to survive and showing them the way of earning. Thus our country is enhancing agro-based industries. Industrial agriculture based on large scale monoculture, which is dominated by agricultural output. Hence it is the dynamically economic improvement of our country with the help of agriculture basing on modern information technology. Information technology means the latest version of information facilities like computer, mass media and Internet. Information technology (IT) or Information communication technology (ICT) is a broad subject concerned with technology and other aspects of managing and processing information.

Information technology contributes much to agriculture and rural development. It facilitates rural activities and provides more comfortable and also saves the rural life with equivalent services to those in urban areas such as provision of distance education, tele-medicine, remote public services, remote entertainment etc. IT initiates new agricultural and rural business such as e-commerce, real estate business for satellite offices, rural tourism, and virtual corporation of small-scale farms. It also supports policy-making and evaluation on optimal farm production, disaster management, agro-environmental resource management etc using tools such as geographic information systems (GIS). It also helps in improving farm management and farming technologies by efficient farm management, risk effective information or knowledge transfer etc realizing competitive and sustainable farming with safe products.

Abstract

Entrepreneurship essentially involves economic and dynamic activities, risk- assuming and idea generation that help in developing, organising and managing a business opportunity for profits. Entrepreneurship in agriculture is not merely confined to farm activities but also involves activities interlinked and interdependent with core and peripheral agricultural activities. Impediments in the pathway of agricultural entrepreneurship in West Bengal are characterised by fragmented landholding, low financial resources and thereby debt stickiness & dependence on short-term agricultural loan. Though disbursements of short-term credit have increased substantially, the rate of increase is low. For most farmers, insurance for financial or crop crisis is unheard or have hardly any implication. The paper tries to explain the performance of various agricultural insurance schemes in terms of coverage and the benefits being delivered in India and in West Bengal. The paper analyses whether the recipients consider the schemes as an effective risk mitigation tool or merely a habit of credit-dependence in West Bengal through a diffusion model. The paper concludes with the focus on possible entrepreneurial opportunities that may offer more customised agri-insurance policies, where regional disparities could be considered and individual interests be given little more importance.

Introduction

Agriculture, in most developing countries is the major industry. More than 50 percent of the labour is working in this sector and its industrial and commercial branches. In these countries, also more than 50 percent of the households‘ incomes are spent for low quality and value foods. Inefficiency of the agricultural products marketing system is the starting place of these problems.

1.    A series of activities involved in moving the agricultural goods and services from production point to ultimate consumers is known as–

(a) Agricultural marketing

(b) Agricultural selling

(c) Marketing

(d) Agricultural finance

2.    The study of all the activities, agencies and policies involved in the procurement of farm inputs by the farmers and the movement of agricultural products from the farm to consumers is known as :–

(a) Personal selling

(b) Agricultural marketing

(c) Rural marketing

(d) None of these

Agricultural sector need efficient functioning of its markets to stimulate economic growth and incomes of the large rural population dependent on agriculture. More than three-fifths of India’s population draws their livelihood from agriculture that adds just one-fifth to its GDP. There should be obvious serious concerns about efficient functioning of this sector both in terms of its output / productivity and its marketing. While output and productivity are supply side factors, markets provide an intermediate link between producers and final demand by consumers. An efficient marketing system is pertinent for optimization of the resource use, output management, improving farm incomes, growth of agro -based industry and enhancing value addition. The efficient markets are also important for the stable consumer prices, higher returns to the farmers and reducing post harvest losses. Efficiently functioning markets add to welfare of producers as well as consumers. For markets to work efficiently it is pertinent to link the farm gate with retail outlets so as to reduce losses and marketing costs. However, it requires an institutional framework and infrastructure to prepare the produce in the form demanded by the consumers.

Introduction

The term value chain was first used and popularized by Michael Porter in his book “Competitive Advantage: Creating and Sustaining Superior Performance” in 1985.

The value chain concept separates useful activities which allow the company as a whole to gain competitive advantage from the wasteful activities (which hinder the company from getting a lead in the market). Focusing on the value-creating activities could give the company many advantages. For example, the ability to charge higher prices; lower cost of manufacture; better brand image, faster response to threats or opportunities.

Introduction

Indian economy is basically an agrarian economy. In spite of all challenges and difficulties faced over the years, the sector still serves as the lifeblood of the nation, by standing as the major source of livelihood for over half of the population by guaranteeing food security for its teeming millions. A significant contribution to the GDP of the nation is still ensured by the agriculture sector. The development of a nation highly centres on its primary agriculture sector and Indian economy have a much diverse dependence on the agriculture sector in terms of its growth and development. The nation straightaway necessitates a tremendous shift entirely to sustainable agricultural practices in its development trajectory.

Despite its undeniable significance and praised role, Indian agriculture currently faces multifaceted challenges, which significantly restrict the production and productivity level of the sector as a whole and the farmers in particular. Its high time that the Indian agriculture sector, which stands as the backbone of the nation needs to go through a looming transformation. The industry 4.0 revolution is a vibrant platform for the sector to make a complete transformation. The traditional face of the sector will transform towards a modern makeover by taking up technological advancement and digitalisation. The wider transformative opportunities will ensure a return of the Indian agriculture sector to the forefront in the nations growth and development.

Introduction

Most of India's population, which lives in rural areas and is largely uneducated and unskilled, is unable to compete in the employment market generated by the expansion of the service industry. They are therefore reliant on the agricultural sector for their means of subsistence. Even in the modern era, the agriculture industry is still a significant source of employment, as it employs more than fifty percent of the labour force. The cyclical and seasonal character of unemployment is made worse by the fact that agriculture is inherently seasonal and that there are insufficient irrigation facilities.

A significant portion of the labour force used in agriculture is of a secretive character. Even though they provide the appearance of having a job, their marginal production is zero. Even if some of the younger people living in rural farm communities want to move away from primary agricultural production activities and towards secondary agricultural and agribusiness pursuits, it is possible that the current level of agricultural production will not be impacted in any way (Shivacharan et al., 2017). This led to a focus on seeing agriculture as a commercialization aspect for improving the economic aspects of the people who aspire to entrepreneurship in the agriculture sector.

“Global Forum for Rural Advisory Services” (GFRAS) defines “Agripreneur ship as an entrepreneurship activity practiced by individual who aims to cre ate wealth by applying innovative skills within the agriculture industries”. As mentioned, agribusiness entrepreneurship is a relevant solution that may be implemented throughout the agricultural value chain.

Abstract
India, with 70% of its population reliant on agriculture, faces a challenge in rural development due to a modest 3.64% agricultural growth rate against a target of 4%, lagging behind the 7-8% growth in manufacturing and services. This disparity leaves rural communities unable to fully benefit from national economic progress. Promoting agripreneurship is a vital strategy to harness rural resources, enhance livelihoods, and achieve balanced economic development. Opportunities abound in agricultural inputs, farming technologies, output processing, and allied sectors like dairy, poultry, horticulture, and sericulture. However, challenges such as limited awareness, weak entrepreneurial culture, poor infrastructure, and insufficient government focus hinder progress. Strategic interventions in these areas can unlock the potential for sustainable rural growth and economic inclusivity.
Keywords: Agripreneurship, Rural Development, Agriculture, Economic Growth, Farming Technologies, Agricultural Inputs, Dairy Development, Horticulture, Infrastructure Challenges, Sustainable Development
 

Abstract
With India’s population projected to reach 1.7 billion by 2050, increasing food grain production by 5.5 million tonnes annually is critical to meet food demands. Despite agriculture engaging over 60% of India’s workforce, it is often perceived as low-tech and unprofitable, dominated by small family farms. Recent economic liberalization, changing consumer preferences, and stringent regulations have spurred agripreneurship, fostering innovation and market-driven enterprises. Success stories from Maharashtra, such as Shri Arun Wandre’s bamboo cultivation venture, Ms. Kavita Bidwe’s agri-input supply center, Shri Prashant Madghe’s Krishi Doot extension services, AgroStar’s mobile-commerce platform, Dnyaneshwar Bodke’s floriculture group, and the organic farming venture of Satyajeet and Ajinkya, highlight how entrepreneurial approaches can transform agriculture into profitable, sustainable businesses. These cases underscore the potential of agripreneurship to enhance rural livelihoods, strengthen the economy, and address challenges like lack of awareness, poor infrastructure, and inadequate institutional support.
Keywords: Agripreneurship, Organic Farming, Rural Development, Food Security, Innovation, Maharashtra, Entrepreneurship, Sustainable Agriculture, Market Linkages, Demographic Dividend

Introduction

Our national food security depends on our ability to conserve all our biological wealth.

Dr. M.S. Swaminathan (Biodiversity, Principle and Conservation, 2002)

Variation is the law of the nature. It occurs everywhere and every moment. The variety and variability of organisms and ecosystem is referred to as biological diversity. Biodiversity is the most significant asset and constitutes enduring resources for supporting the continued existence of human societies. The agricultural biological diversity more commonly referred to as agro-biodiversity, has been fast emerging as a strong, evolutionary divergent line from the biodiversity, which deals with life form at large (Kumar and Asija , 2002). Agro-biodiversity is basic to the farming system.

Introduction

The finance sector is undergoing a profound transformation driven by technological advancements, with artificial intelligence (AI) and blockchain technology at the lead of innovation. AI, characterized by its capacity to analyze vast datasets, recognize patterns, and take data-driven decisions has revolutionized various industries, including finance. On the other hand blockchain technology, initially popularized by cryptocurrencies like Bitcoin has arose as a disruptive force in finance, offering decentralized, transparent and secure transactional systems.

The integration of AI and blockchain technology holds immense promise for the finance sector, offering new avenues for efficiency, transparency, and risk management. By combining the analytical power of AI with the security and transparency of blockchain, financial institutions can streamline operations improve customer experiences, and mitigate risks more effectively. However realizing the full potential of this integration requires a nuanced understanding of its complexities, challenges, and opportunities.

Introduction

AI plays a key role in management effectiveness and adaptation, especially in small and medium enterprises (SMEs) facing evolving markets (Lemos S. I. C., et al., 2022). Designing AI-based management frameworks enhances companies’ economic activities through data analysis and informed decision making (Emine, Kalender., 2023). Academic research shows a growing interest in AI in management, with a focus on effective adoption practices and potential areas for development (Jbid, Arsenyan., Anke, Piepenbrink. 2023). Artificial intelligence (AI) significantly influences decision-making processes in management by enhancing rationality, efficiency, and fairness. AI, through machine learning and big data analysis, reduces managerial bounded rationality, enabling a shift from satisficing to optimizing decision making modes (Shtepa, S., et. al., 2023). In human resource management AI-enabled interview analysis improves candidate selection by uncovering hidden patterns and mitigating biases, leading to more objective decisions (Rajneesh, Panwar. 2023). Additionally, by increasing productivity, efficacy and creativity, the incorporation of AI into business strategy transforms decision-making; nonetheless, ethical considerations and human oversight are essential for responsible implementation (Gonesh, C., et. al., 2023).