Vol. 11, Special Issue 8 (2022)

Author(s):
Mannepalli Bharath Kumar

Abstract:
This paper tries to analyse the decadal growth rates and trends of agricultural subsidies and capital formation in agriculture sector of India during the period between 1970-71 to 2019-20 and also analyses the impact of economic reforms of 1991 on farm subsidies and capital formation in agriculture sector. Problems or issues related farm subsidies and capital formation in the agriculture sector are also analysed and prioritized by using Garrett ranking technique. The major findings of this study include the growth rate of agricultural subsidies negatively impacted by the economic reforms of 1991 as the growth rates of subsidies are decreased more rapidly during post-reforms period as compared to pre-reforms period. But, these economic reforms helped the capital formation of agriculture sector to revive its growth rate that was showing decreasing trend in the pre-reforms period. This study also identified the declining trend of public investments.