2020 · Paper IV · 10 marksFrequently asked

How has the growth in Andhra Pradesh's agriculture and allied sectors impacted the income levels of the farmers?

In short

Growth in Andhra Pradesh's agriculture and allied sectors has raised farm incomes, but unevenly, with irrigated, diversified and aquaculture-linked households gaining most while small and marginal farmers struggle with input costs and market access. The sector's GVA reached ₹2.32 lakh crore in 2024-25, growing 10.70%.

Model answer

Ghissu Editorial · Verified 4 Oct 2026

Introduction
Andhra Pradesh21’s agriculture43 and allied sectors have shown robust growth, with a 10.70% GVA increase in 2024-25, outpacing the national average, influencing farmers’ income through diversification and policy support. The state’s focus on schemes like Annadatha Sukhibhava under Swarna Andhra Vision 2047 aims to enhance farmer welfare amid challenges such as climate variability and market fluctuations.
Growth Trends in Andhra Pradesh’s Agriculture Sector
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Robust Sectoral Growth

Agriculture and allied sector GVA stood at ₹2.32 lakh crore in 2024-25, driven by diversification into chillies, horticulture, and aquaculture under Swarna Andhra Vision 2047. This growth reflects increased production and crop diversification, boosting rural incomes.

Growth in Allied Sectors Related to Agriculture
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Policy and Investment Support

Rashtriya Krishi Vikas Yojana5 and Swarna Andhra Vision 2047 have boosted allied sector investments and value addition efforts, including food processing and cold-chain infrastructure, though scaling remains a challenge for small producers.

Impact on Farmers’ Income Levels
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Income Growth Above National Average

Per capita income estimated at ₹2,68,653 in 2024-25 reflects positive impacts of sectoral growth and allied activities, especially in irrigated and diversified regions.

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Persistent Disparities and Welfare Schemes

Despite growth, smallholders face challenges like limited credit and market access; Annadatha Sukhibhava provides direct income support and the Crop Cultivators Right Act extends credit and benefits to tenant farmers, helping reduce distress.

Conclusion
Andhra Pradesh’s agriculture and allied sector growth, supported by irrigation, diversification, technology adoption, and welfare schemes, has improved farmer incomes but demands enhanced market access, stronger extension services, and sustainable practices for inclusive and resilient rural development.

This model answer is indicative and the model can make mistakes; please verify key facts independently.

Hand-drawn diagram: Growth and farmers' income. Growth and farmers' income. Diagram (forcefield): Growth and farmers' income; Farmers' income gains; high-value crops; irrigation; allied sectors; Annadatha Sukhibhava; small holdings; poor formal credit; rising input costs
Diagram: Growth and farmers' income

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This chapter in the exam

Agriculture Development in Andhra Pradesh31 questions

Asked in 8 of 8 sittings since 2008

2008
4
2011
3
2012
7
2016
5
2017
6
2020
2
2023
2
2025
2

Most tested: Agriculture’s structure, performance, and state policy interventions in Andhra Pradesh.

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