Question

How did the Green Revolution benefit the Indian economy as a whole?

Answer 1

1. Attainment of Self-Sufficiency: India effectively ended its humiliating dependence on foreign food aid (such as the US PL-480 program) and became completely self-sufficient in food grain production, transitioning from a food-deficit nation to a food-surplus exporter.
2. Creation of Robust Buffer Stocks: The massive food surplus allowed the government to build secure national grain reserves through the Food Corporation of India. This increased macroeconomic resilience to droughts, famines, and emergency food shortages.
3. Inter-Sectoral Economic Growth: The agricultural boom triggered an enormous demand for industrial goods. Heavy industries that produce tractors, diesel pumps, chemical fertilisers, and pesticides saw remarkable expansion and created widespread employment.
4. Rural Infrastructure and Market Development: To handle the massive amount of grains, the economy made significant structural investments in rural roads, warehousing facilities, and controlled wholesale grain markets.