Agricultural Nation:
India is known as agricultural nation because of some important matters like agriculture production, employment, export, income, etc. of Indian economy are highly dependent on agriculture sector.

Backbone of the Economy: Indian economy is dependent on agriculture for various aspects. If Indian agriculture sector fails to produce enough quantity, then industries using agriculture products as raw material also fails to produce sufficient. Therefore goods become costlier and influence the life of people.

• As per 2011 Census, 68.8% of India’s population live in rural areas. If agricultural production fails then their income is negatively affected and they have to reduce demand of industrial products.
• Thus, on one side industries are not getting enough material and on the other side industrial products are not much demanded. Therefore, it can be said that agricultural failure provide failure to industrial sector and hence service sector also faces fall in its demand and income.
• That is why agriculture sector is known as the backbone of the economy of a nation.