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Home / Business and Economy / Marginal Farmers: India's Vulnerable Backbone

Marginal Farmers: India's Vulnerable Backbone

24 Dec, 2025

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Summary

  • Marginal farmers, 60-70% of India's farm households, face vulnerability.
  • Cooperative membership improves income and crop yields for farmers.
  • Digital adoption is limited, especially in Bihar and Tripura.
Marginal Farmers: India's Vulnerable Backbone

Marginal farmers, representing a significant 60-70% of India's agricultural households, remain the most vulnerable sector within the nation's farm economy. A recent report underscores the need to modernize governance and integrate value chains to support these farmers, many of whom depend more on informal markets and experience slower income growth.

While less than 25% of marginal farmers are active cooperative members, those who are report positive outcomes. Around 45% of cooperative-linked farmers saw an increase in household income, and 42% experienced better crop yields. Primary agricultural credit societies (PACS) are also evolving into broader rural service hubs, offering support beyond just credit.

However, digital adoption presents a challenge, with limited uptake and impact in states like Bihar and Tripura. Furthermore, cooperatives remain male-dominated, with a significant gender gap in leadership roles. Addressing these issues is crucial for the equitable development of India's agricultural sector.

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Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.
Marginal farmers face vulnerability, slower income growth, and greater exposure to climate and market shocks due to limited cooperative engagement and digital adoption.
Active membership in cooperatives is linked to increased household income and improved crop yields for marginal farmers in India.
Digital adoption remains limited in states like Bihar and Tripura, with many cooperatives not using digital tools at all.

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