PRIMARY SECTOR OF INDIAN ECONOMY.

Different persons around us are involved in different activities and professions some are working in the government sector, some are selling services and goods to people and others are employed in the private sector. So to develop a better understanding of these things, all economic activities are divided into different sectors. And here we are going to talk about the private sector of the Indian economy.

All the activities that are undertaken by directly using natural resources fall in the primary sector. The primary sector includes agriculture, fishing, dairy, forestry, mining(coal and iron), Oil extraction activities. This sector is also called agriculture and related sectors. Goods that are produced in the primary sector form the base of other products that we thereafter made. Hence all the farmers, fishermen, miners, agricultural laborers considered to be work in the primary sector.

Change in the primary sector over the years.

Everything around the world is changing so are the Indian economic sectors. The primary sector of the Indian economy has undergone a great change over a period of time. It has been observed from the past record of developed countries that during the early stages of their development primary sector was the most important sector of economic activity. Even in India during the year 1950-51, the contribution of the primary sector towards the country's gross domestic product (GDP) was nearly 55.9%. But as a modern farming method invented and the primary sector become prosper there had been a change in the importance of sectors and the secondary sector become more significant. And that's what the Indian data shows, in the year 1950-1951 the contribution of the secondary sector towards the (GDP) was just 14.9%, and in the year 2018-2019, its contribution increased to 29.6%.

The primary sector as the largest employer in the country.

The primary sector has changed vastly but one thing that has remained the same is that the highest number of people in India has been employed in the primary sector over the years. In the year 1972-73, the primary sector was the largest employer with nearly 74% share in total employment, and in 2019 it continues to be the largest employer with a 42.39% contribution in total employment.

Contribution of primary sector in GDP of the country

As the highest number of people are employed and working in the primary sector then this sector should have the maximum contribution to the country's GDP but it's not so. The GDP share of primary is declining continuously. In the year 1950-51, it's contribution was 55.9%, in the year 1990-91 it declined to 33.2%, and in the year 2018-19 contribution further fall to 17%.