Indian farming is no longer profitable as it should be, says Nitin Gadkari, Biofuel Can Boost Agriculture’s Role in the Economy
Union Road Transport and Highways Minister Nitin Gadkari said on Tuesday that agriculture’s share in India’s GDP has dropped to just 14%, mainly because farming is no longer profitable. He believes this can change if India replaces half of its ₹22 lakh crore annual fossil fuel imports with biofuel made from crops. This could push agriculture’s share in the economy up to 22%.
He was speaking at an Earth Day event organized by the Indian Chamber of Food and Agriculture (ICFA). Also Read | Let’s nourish the soil to revive and protect our planet
Why Are People Leaving Villages?
Gadkari said that after India gained independence, most people lived in villages. But over the years, many have moved to cities like Delhi, Mumbai, Kolkata, Chennai, and Bangalore, because farming doesn’t earn enough. Many of these people now live in slums with poor living conditions.
Today, agriculture contributes just 14% to India’s GDP, while manufacturing contributes 22% and services 52–54%. Gadkari said the shift away from farming happened because people couldn’t earn enough from it.
Biofuel Can Help Farmers and the Environment
He pointed out that biofuel production from crops like bamboo could help farmers earn more and reduce India’s dependency on imported crude oil. But for any solution to work, it must be:
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Affordable
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Based on reliable technology
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Use easily available raw materials
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Have a strong market demand
Gadkari said: “We can’t expect people to spend ₹15,000 on green fuel when petrol costs them ₹10,000. Solutions must be cost-effective, pollution-free, and made in India.” Also Read | Efforts to incorporate ethanol into construction, agricultural equipment: Gadkari
Making Rural India Economically Strong
He said more investment, trade, and business need to be brought into rural and underdeveloped areas. India has a lot of unused land that can grow crops for biofuel, not just the usual crops like wheat, rice, sugarcane, or corn.
Global prices for crops like corn and sugar are influenced by countries like the US, Brazil, and Argentina. So, India needs to focus on alternative crops and energy sources to boost rural income.
A Vision for the Future
Gadkari believes that if even ₹10 lakh crore from oil imports could be redirected to Indian farmers through biofuel, it would transform the rural economy. People would then have no need to migrate to cities for work.
He ended by saying: “Biofuel can change India’s economy. It can reduce poverty, create jobs, and give farmers a better life.”
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