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Role of the Non-farm Sector in Transforming Rural India: A Study with Special Reference to Uttar Pradesh


  • Nirankar Srivastav


This article evaluates the role of the non-farm sector in generating productive employment and reducing poverty in rural areas. An attempt has been made to analyze the recent growth of rural non-farm activities to explore the determinants and factors that might be responsible for growth. The sources of growth and nature of activities undertaken in the Rural Non-farm Sector (RNFS) are important considerations while analyzing the significance of the non-farming sector in transforming the economic life of rural households. In this regard, the inter-relationship of the RNFS employment and agricultural wages, and the degree of urbanization are highlighted in the article. The major changes in the occupational structure of RNFS, during the period 1983-84 to 1999-2000 are also examined. This article is based mainly on the unit record level data on employment and unemployment, collected by the National Sample Survey Organization (NSSO) in the 38th (1983) and 55th (1999-2000) rounds across 71 comparable rural NSS regions nationwide. The article sketches the growth of RNFS in Uttar Pradesh and examines the factors which could explain the growth, identifies the areas for further research and suggests some policy measures for improving the RNFS.

Suggested Citation

  • Nirankar Srivastav, 2006. "Role of the Non-farm Sector in Transforming Rural India: A Study with Special Reference to Uttar Pradesh," The IUP Journal of Agricultural Economics, IUP Publications, vol. 0(2), pages 41-51, April.
  • Handle: RePEc:icf:icfjag:v:03:y:2006:i:2:p:41-51

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