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Low prices reason behind fall in agri GVA growth
January 09, 2026
|Financial Express Kolkata
e 2.7% growth in H2 indicated
THE EXPECTED FALL in the annual growth of gross value added (GVA) in “agriculture and allied activities” to 2.7% in the second half of the current fiscal year from 3.9% in the first half is being attributed to a host of factors including crop damage and the lower price realisation.
An unfavourable base has also played a part.
“Prolonged artificial suppression of farmgate prices is triggering an economic contagion, with decelerating GDP growth serving as an early indicator of things to come,’ Ajay Vir Jhakar, chairperson, Bharat Krishak Samaj, told FE. This could upset a fragile recovery in rural income and consumption.
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