The agriculture output was uniformly divided between the Global North and Global South. Since the 1980s, agriculture has shifted its skewness towards the Global South which has been stimulated by increasing world population, shifts in food demand, technological advancements, and policy changes (Jelliffe,2024). During 1961-2020, the World production of crop, livestock, and aquaculture commodities grew fourfold, from a gross value of US$1.1 trillion to US$ 4.3 trillion (at constant 2015 commodity prices) (Fuglie, 2024). By 2020, the Global South produced 73 per cent of the world's agricultural output, compared to 44 per cent in 1961. However, in the same period, agriculture output of the Global North decreased from 56 per cent to 27 per cent in 2020 (Fig 1). This transformation was fuelled by expanded agricultural land use in the Global South ((+) 597 million hectares) and a reduction in the Global North ((-) 260 million hectares), alongside significant increases in irrigation infrastructure (Jelliffe,2024). Globally, agricultural value has increased by 89 per cent in real terms over the past two decades, reaching US$3.8 trillion in 2022, major contributors being Africa and Asia (FAO,2024) (Fig. 2). In a global south, India holds the distinction of being the largest producer of milk, pulses, and jute, while also ranking as the second-largest producer of rice, wheat, cotton, fruits, and vegetables globally (DAKSHIN, RIS). In India, for more than decade, agriculture, forestry, and fishing have accounted for less than 20 percent of GDP, with crops consistently contributing more than half of the total share (Fig. 3). According to the Indian Economic Survey of 2024-25, the agriculture sector contributed nearly 16 per cent to GDP in FY24 at current prices and supported 46.1 per cent of the Indian population, which shows the high dependency of India’s population on agriculture sector. Despite its contribution declining over decades due to rapid economic growth in other sectors, agriculture remains critical for food security and rural livelihoods. Technological advancements and improved farming practices have driven the increase in agricultural productivity in India. India’s Green Revolution in the 1960s exemplifies this trend, where high-yielding crop varieties and better irrigation methods significantly boosted food grain production, helping India achieve self-sufficiency. Technology has improved agricultural productivity in India through digitalisation, AI, drones, and agri-tech start-ups. Government initiatives like the Digital Agriculture Mission, Agriculture Infrastructure Fund, and e-NAM have enhanced efficiency, market access, and post-harvest management. These advancements have led to a 4.6 per cent annual growth in the sector, increasing profitability and sustainability for farmers (Sirsikar, 2023).To further enhance productivity and increase efficiency, there is a need to expand the use of technologies in the agricultural sector

Fig 1. Value of World Agriculture Output Shifted from Global North to Global South, 1961-2020, (US $ Bn)

Note: Values are represented in purchasing power parity dollars.The Global South consists of Africa, Latin America and the Caribbean, and Asia except high-income countries of East Asia. The Global North consists of Canada, the United States, Europe, Australia and New Zealand (Oceania), and high-income countries of East Asia.

Source:USDA,Global Changes in Agricultural Production, Productivity, and Resource Use Over Six Decades,2024

Fig 3. India's Agriculture & Allied Sector Share % of GVA (at Constant Prices)

Source: National Accounts Statistics Data 2024, MOSPI

The Government of India has introduced several technological interventions that assist in boosting the productivity of the agricultural sector: -

1. Technologies such as YES-TECH, WINDS, and CROPIC.

From pre-sowing to post-harvest, PMFBY offers farmers complete risk coverage, guarding against crop losses. It increases productivity and food security by fostering the use of new technologies and ensuring financial stability. The scheme has recently launched several technologies such as the Yield Estimations system based on Technology (YES-Tech) (MNCFC, 2023), Weather Information and Network Data System (WINDS) (MAFW), and Collection of Real-Time observations and Photographs of Crops (CROPIC) (PIB, MAFW,2024). These advancements have increased the transparency within the scheme ecosystem by minimizing human intervention and strengthening the greater trust among stakeholders including States/UTs and insurance companies.

Table 1: Key Impacts of Technological Interventions on Agriculture.

Source: Compiled from Economic Survey 2024-25

Despite the positive impact of technology intervention in crop insurance schemes, the budget allocation for PMFBY has declined by 22.8 percent to ₹12242.24 crores in Budget 2025-26, from ₹15864 crores in Revised Estimates of 2024-25. In this regard, the government should revisit the budget allocated.

2. NAMO DRONE DIDI

The government is promoting a scheme to provide drones to Women Self-Help Groups (SHGs) for agricultural use. This initiative targets 15,000 selected SHGs, offering rental services to farmers for spraying fertilizers and pesticides, which boosts crop production. The government covers 80 per cent of the drone cost (up to INR 8 lakh). According to the Economic Survey 2024-25, the scheme contributes to financial inclusion (SDGs) by helping SHGs earn at least INR 1 lakh annually, creating a sustainable income source. The budget for NAMO DRONE DIDI has increased to ₹676.85 crore, which was ₹250 crore according to the revised budget for 2024-25.

3. The Sub-Mission on Agricultural Extension (SMAE)

The government is implementing SMAE to spread farming knowledge, boost productivity, and promote sustainable practices. Through the Agriculture Technology Management Agency (ATMA) which focuses on sharing the latest agricultural technologies to boost production, it trains farmers, conducts demos, organizes farm visits, and sets up farm schools. In FY24, over 3.66 million farmers benefited from these efforts. This was done under the National Institute of Agricultural Extension Management (MANAGE), which enhances managerial and technical skills for extension officers, managers, scientists, and administrators across the agricultural sector. It aims to support farmers and fishermen in adopting sustainable agriculture and fishing practices. The budget allocation for this institute remains the same at ₹7 crores in the last and current financial year.

4. Smart Climate Technologies

By increasing crop resilience and soil health, smart climate technologies are transforming Indian agriculture. With an emphasis on climate-resistant strains—2,777 of 2,593 new varieties published since 2014 address weather challenges—ICAR generated approximately 1.06 lakh quintals of breeder seeds encompassing 1,498 types in the 2023–24 season. To help with heat stress, heat-tolerant wheat has been extensively embraced in north-western India; seed banks guarantee these hardy seeds are accessible. The National Innovations in Climate Resilient Agriculture project also showcased climate-resilient technology sets in 121 vulnerable districts. Innovative solutions including drones, fertigation, urea Gold (a mix of urea and sulphur), and the PM-PRANAM project supporting nano urea and organic fertilizers are being used to address soil degradation and increase production sustainably. This was done under the National Mission on Natural Farming which is proposed as a shift to scientifically strengthen agricultural practices towards sustainability, climate resilience and safe food. The budget of National Mission on Natural Farming is increased by ₹516 crore in FY 2025-26.

5. e-National Agriculture Market (e-NAM)

To make agricultural selling easier and guarantee higher prices for farmers, the government introduced e-NAM. In addition to ₹75 lakh each APMC Mandi for infrastructure and quality testing, it offers free software. An initiative of ₹6,860 crore was unveiled in 2020 to assist FPOs. 9.204 FPOs, 2.62 lakh merchants, and 1.78 crore farmers were enrolled with e-NAM as of October 31, 2024; 4,490 of them received incentives totalling ₹237 crore. Ten more merchandise were added by the Agriculture Department to e-NAM, increasing its total to 231. Better pricing for farmers, fair trade, and quality control are therefore guaranteed. The DMI-created program assists FPOs by formalizing commerce, modernizing agriculture, and promoting value-added goods.

6. Promotes Custom Hiring Centres Services (CHCs)

The government encourages small farmers to hire equipment from CHCs to help them afford it. The Sub-Mission on Agricultural Mechanization (SMAM) assists states with agricultural machinery banks, CHCs creation, and training. 138 CHCs were added in FY25, bringing the total number of CHCs built to 26,662 as of December 2024 (Economic Survey 2024-25).

The budget allocation for the scheme blended capital support to finance startups for agriculture and rural enterprises relevant to the farm produce value chain, which includes activities like, inter alia, machinery for farmers on a rental basis at the farm level & technology including IT-based support for FPOs has increased by ₹9 crores in FY2025-26.

Way Forward

India's agricultural revolution is a success story of the Global South's increasing food production, driven by policy initiatives and technological advancement. Though its contribution to GDP is declining, agriculture remains at the centre of food security and rural livelihoods. Government initiatives like digitalization, precision agriculture, smart climate technology packages, and enhanced market access have lifted productivity levels to unprecedented heights. Decreased budgetary allocations to schemes like PMFBY, however, indicate the need for sustained investment. Enhanced budgetary support to Agri-tech and risk management schemes may ensure long-term sustainability and resilience. With sustained innovation and strategic policy intervention, India may reinforce its leadership in agricultural revolutions, influencing millions of farmers and the global food system.

*Avinash is Research Assistant at RIS. Views expressed are personal. Usual disclaimer applies.
Author can be reached out at avinash@ris.org.in

References: -

• Government of India, Ministry of Finance, Department of Economic Affairs. (2025). Economic Survey 2024-25. Economic Division
• Government of India, Ministry of Finance, Department of Economic Affairs. (2025). Union Budget 2025-26. Economic Division
• National Accounts Statistics Data 2024, MOSPI.
• Fuglie, K.O., Morgan, S., & Jelliffe, J. (2024). World agricultural production, resource use, and productivity, 1961–2020 (Report No. EIB-268). U.S. Department of Agriculture, Economic Research Service.
• Government of India, Ministry of Agriculture & Farmers Welfare, Department of Agriculture & Farmers Welfare. (2023). Invitation for Expression of Interest (EoI) for Empanelment of Agencies for Carrying Yield Estimation at Insurance Unit Level under “Yield Estimation System Based on Technology (YES-TECH)” of Pradhan Mantri Fasal Bima Yojana. Mahalanobis National Crop Forecast Centre.
• FAO. 2024. Statistical Yearbook 2024: World Food and Agriculture. ISSN 2225-7373. Food and Agriculture Organization of the United Nations.
• Strategic Investment Research Unit (SIRU). (2023, February 10). The Rise of Agri-tech in India.
• DAKSHIN, RIS. Advancing agricultural development in the Global South: A focus on India’s contribution through DAKSHIN.
• PIB, GOI. Ministry of Agriculture & Farmers (2024) Welfare Empowering Annadatas: Pradhan Mantri Fasal Bima Yojana.
• Weather Information and Network Data System (WINDS)