65% of India’s population is dependent on agriculture. Importance of agriculture in Indian economy is as follows:

• Importance of Agriculture in National Income : The data for National income is provided by the Central Statistical Organization. According to the Central Statistical Organization, the contribution of agriculture in gross domestic product was 56.6 per cent in 1950-51, which decreased to 15.2 per cent during the eleventh five year plan. The contribution of agriculture in National Income is gradually decreasing. This is an indicator of a developing economy. 
• Contribution of Agriculture in Employment : Almost 65% of India’s working population is directly or indirectly dependent on agriculture. The major means of livelihood for most of the population is agriculture. As there are more employment opportunities in agriculture and its allied activities, such as- fish farming, poultry, animal husbandry, etc. most part of the population is dependent on it. 
• Importance of Agriculture in Industrial Development : Agriculture has been important in India also because of industrial development. Our major industries are supplied raw materials from agriculture, i.e. tea industry, cotton textile industry, jute industry, sugar industry, floriculture and horticulture industry are directly dependent on agriculture.
• Importance of Agriculture in Foreign trade : Agricultural products have been the major items of Indian exports, i.e., tea, tobacco, hot spices, dry fruits, oil seeds, etc. This earns us foreign currency and foreign exchange reserves increase.
• Importance of Agriculture in Economic Planning- Agriculture is the main basis of transportation system, since mostly, agricultural products are transported by rail and road transport. In addition to this, when agricultural yield is good, the purchasing power of farmers increases which make them demand for industrial products, and as a result, the progress of industries is encouraged.