In: Economics
In what ways are the agricultural and industrial sectors of an economy complementary to one another
ndustrial sector provides the basic inputs to the agricultural
sector such as tractor, harvesting machines, fertilisers are a few
basic inputs that are used by the agricultural sector.
Wheras agriculture provides basic raw material to the industrial
sector, e.g., cotton,sugarcane.
The industrial sector provides employment to the excess labour
(disguised unemployees) in the agricultural sector.
Agricultural sector provides labour to the industrial sector.
Agricultural sector provides market to the industrial sector.
It means that the people engaged in agriculture consume the
products produced by the industries.
For example tooth paste, soap washing powder etc.
Agricultural sector feeds the industrial labourers, which keeps
them healthy, and thereby makes them more productive.
The agro-based industries have given a major boost to agriculture by raising its productivity.
The industrial sector provides employment to the excess labour (labours who are actually disguised unemployed) in the agriculture sector
The support that agriculture provides to the industries is the
wage goods (food grains).
Both the agricultural and industrial sector are mutually dependent
on each other.
In case of good harvest, the farmers have high incomes, which they
use to demand more industrial goods.
For example, during good harvests, many farmers buy new elctronic
goods, clothes, etc.
Similarly, when the people engaged in the industrial sector
experience good income, they demand higher quantities of food
grains.
Both for consumer and capital goods Industries agriculture sector gives a ready market for the finished products. Agricultural sector itself is a huge market for the different finished products of Industries. Farmers buy several industrial products like bi-cycle, torch, radio etc. All these flourishment of industries.
Thus in nutshell, we can say that bath agricultural and industry are complementary to each other. The operate hand to hand. The development of one sector depends on the growth and performance of the other sector.