Ernst and Young in its latest reports have claimed that the Indian agriculture sector could rise to about 24 billion within the next five years. The report says that as Indian agriculture moves towards digitalization, the agriculture sector will become more diverse and will attract private players who will increase the capacity of the supply chain.
The report said that the sector will also motivate several startups businesses who will become a key cog in the development of the industry. The report is just one of the many positive indicators that have been coming up for the sector at a time when the Indian economy is struggling amid the pandemic.
The ascendancy of the sector will also have an effect on several allied industries with the farm inputs business expected to be worth US $ 1.7 billion and farm management growing to around US $ 3.4 billion.
One of the causes of the increase in investment in the farm industry could be the superhuman performance of the sector as it managed a positive growth rate despite other key sectors like manufacturing, iron, and steel dipping down.
The report further says that e-commerce players will surely enter the market to reap profits which in turn will have a trickle-down effect with a strong supply chain being created which will include retailers, suppliers, wholesalers, and food processing companies.
