Agriculture sector appears to be adversely affected by the reform process. Why?


The Economic reforms of 1991 have not been able to benefit the agricultural sector very much, the reasons being -

1. The investment by government in the infrastructure development of Agricultural sector has been reduced in the Reform period.


2. Removal of subsidies has increased the cost of production and has made farming more expensive which has adversely affected the poor and marginal farmers.


3. The restrictions imposed by WTO have not been favourable for the agricultural sector.


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