"Economic Survey of India 2011-12"

                   The Economic survey of India 2011 tells that the Indian economy in the year 2010-11 has showed a healthy growth and a stable fiscal consolidation.

                   The global financial crisis of 2007-09 had initially caused a sluggish growth. But a remarkable emergence in the Indian Economy has been observed even after the slowdown, happened due to the crisis.

The estimated growth of 8.6% has been witnessed (as per CSO report, 7 February 2011). The growth has been strong in the agricultural sector and in the manufacturing sector. Inflation on the other hand seems to be high but it has come down distinctly from the initial position i.e. the start of the fiscal year.

There were a few challenges faced during the survey – economic governance, efficiency of subsidies and infrastructure. There are policies which are made in order to tackle such problems.

Highlights of the survey :-

                       There has been a growth of 9.7% of the GDP (at market price) in the investments and savings and the private consumption as witnessed by the survey. The rise in the savings rate and the rate of investment was up to 33.7% and 36.5% respectively in the year 2009-10.

According to the survey the growth in the agricultural sector in the initial 4 years of the 11th year plan (2007–12) was around 2.87%. In the year 2009-10 the production of the food grains hiked to 232.1 billion tons from 218.1 billion tons. This year i.e. 2010-11 the agricultural sector is expected to have a growth of 5.7% as the monsoon is expected to be comparatively good. The rise in food inflation and the growing need of agricultural product in the country has initiated to the need of a second green revolution.

The industrial growth rate is 8.6% of the GDP at market price where as the manufacturing sector has witnessed a growth of 9.1% in 2010-11. Certain sectors like the telecom, crude oil production, civil aviation have well achieved during the period of April–November where as there has been a low rate of growth in the cement and fertilizer production, power generation, railway and cargo sectors.

The economic survey 2010-11 has seen that with the rising investment the role of infrastructure has been escalating. There has been a huge growth in the tele density increasing from 20.74% in the year 2004 to 143.95% in the year 2010 in urban areas and 1.57% in the year 2004 to 30.18% in the year 2010 in rural areas. This shows that the telecommunication sector is performing extremely well.

As far as the service sector is concerned the survey have suggested for policies I order to promote certain services like tourism, accounting, education, financial, legal services.

The Forex  Reserves is predicted to be US $ 297.3 bn. The survey states that in April- December 2010 the exports would go up by 29.5% and the imports would rise up by 19%.

The survey also observed a rise in Net Banking which was estimated to be 59%. This shows that the Banking sector has been performing effectively. Social program me spending has been gone up by 5% of the GDP.

According to the survey the Gross Fiscal Deficit has gone down by 1.5%. That is 4.8% from 6.3%in the year before

Agriculture and Food Management :-

                            The growth of the agricultural sector plays an important part over the in performance of the Indian economy. After the quantum leap in agriculture due to 1960s Green Revolution, which also lead to achievement of food security to a great extent, no such findings have been witnessed in India since then.

The rapid increasing demand for food security has established the demand for a Second Green Revolution.

But it does not end here, further special attention to fruits, vegetables, pulses and oilseeds are a must to increase its production and productivity levels, for the reason that First Green Revolution did not pay any heed to the same.

There has been an increase in the entire cropping area by 2.33 lakh hectors in the year 2010 as compared with the year 2009 in food grains, oilseeds, sugarcane and cotton. Whereas there is a decrease in the cropping area by 5.3 lakh hectors of the rice growing areas of West Bengal, Bihar and Uttar Pradesh due to drought during 2010. Same has been the case with the cropping areas under coarse cereals which has decreased by 3.42 lakh hectors, but in the case of pulses the cropping area has gone up by 6.11 lakh hectors in 2010 which is seems to be quiet good. The total area under food grains has decreased by 2.71 lakh hectors. The cropping area for ground nuts has increased by 4 lakh hectors.[14] The overall area in oilseeds has decreased by 8.27 lakh in 2010.