Farm sector must grow at 4 percent, says Mukherjee

December 23rd, 2009 - 2:35 pm ICT by IANS  

Pranab Mukherjee New Delhi, Dec 23 (IANS) For India to achieve equitable growth, farm output will have to expand at 4 percent yearly, said Finance Minister Pranab Mukherjee here Wednesday.
“Our agricultural growth should be at 4 percent so that there is a balanced growth,” Mukherjee said at the 104th annual session of the PHD Chamber of Commerce and Industry.

The finance minister, however, said the agriculture sector would end up growing at a slower pace due to the adverse effect of inadequate monsoons and drought earlier in the year.

“There has been a downtrend in agriculture growth because of unexpected flood and drought. It was 2.5 percent in the first quarter of this fiscal and one1 percent in the second quarter. I do not know what it is for the third quarter.”

When asked when the government planned to withdraw the stimulus package extended to trade and industry, Mukherjee said: “You will have to wait till the budget.”

The finance minister was also cautious in his response to the signs of a turnaround in the export sector.

“Exports in November have been encouraging, but at the same time, we cannot expect a robust turnaround unless there is a robust growth in the US, Europe and Japan, which is 60 percent of our export markets.”

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