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India’s growth spurt slows: Agriculture seen as drag

LIRNEasia has been working on making agriculture markets more efficient since 2007. Here, in a discussion of decelerating growth in India, is a justification for our focus and our intention to do more work in agriculture.

Agriculture employs about half of India’s work force, for example, yet the agricultural revolution that flourished in the 1970s has slowed. Crop yields remain stubbornly low, transport and water infrastructure is poor, and the legal system is hostile to foreign investment in basic agriculture and to modern agribusiness. Note that the earlier general growth bursts of Japan, South Korea and Taiwan were all preceded by significant gains in agricultural productivity.

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