Foreign Direct Investment on Agricultural Industry in India

Agriculture is the primary source of livelihood for about 58 per cent of India’s population. Gross Value Added by agriculture, forestry and fishing is estimated at Rs 18.53 trillion (US$ 271.00 billion) in FY18. According to the Department for Promotion of Industry and Internal Trade (DPIIT), the Indian food processing industry has cumulatively attracted Foreign Direct Investment (FDI) equity inflow of about USD 9.08 billion between April 2000 and March 2019. The agriculture sector in Asian country is anticipated to come up with higher momentum within the next few years thanks to accrued investments in agricultural infrastructure like irrigation facilities, deposit and cold storage. What is more, the growing use of genetically changed crops can probably improve the yield for Indian farmers. India is anticipated to be self-sustaining in pulses within the returning few years because of conjunctive efforts of scientists to urge early-maturing types of pulses and therefore the increase in minimum support value. FDI works as a way of integration developing countries into the world market place and increasing the capital accessible for investment, so resulting in inflated economic process required to cut back financial condition and lift living standards. India is expected to achieve the ambitious goal of doubling farm income by 2022. This study main objective is analyzing Indian agricultural manufacturing and allied industries are qualified for the future expansion of agriculture sector through its modernization of agro based machineries industries. This study centered solely the chances of the allied industries (R& D, equipments, and machineries up gradation.