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1. The income approach focuses on achieving high productivity, reduced cost of cultivation and remunerative price on the produce, with a view to earn higher profits from farming.
2. Ease of Doing Agri-Business, a concept note along with parameters for developing an Index has been circulated to all States/UTs inviting their views.
3. The concept is to consider farming not solely as a production-oriented activity carried out to achieve food security for the country, but as a business activity carried out by farmer as entrepreneur.

The proposed index has taken the aspects of

  1. increasing production/productivity,
  2. increasing price realization of agri produce and decreasing input costs of production,
  3. risk mitigation and investment related attributes.

4. Agriculture being a State subject, the State Governments undertakes the development of perspective plans and ensures effective implementation of the programmes/ schemes.
5. Also, Government of India supplements the efforts of the State Governments through various Schemes/ Programmes.
6. The index will obviously help in fostering agriculture among States by promoting a competitive spirit amongst the States.
7. 3 Lists under Article 246 and Schedule 7
a. Union list – 100 subjects
b. State list – 61 subjects
c. Concurrent List – 52 subjects