Overview
Agriculture is the mainstay of the Indian economy. Agriculture and allied sectors contribute nearly 22 per cent of Gross Domestic Product (GDP of India), while about 65-70 per cent of the population is dependent on agriculture for their livelihood. The agricultural output, however, depends on monsoon as nearly 60 per cent of area sown is dependent on rainfall. During 2005, Southwest monsoon was not well distributed in time. It was below normal in June, active in July, subdued in August and became active in September over the country. For the country as a whole, the seasonal rainfall from 1 June to 30September was 99 per cent of its long period average (LPA). According to the Third Advance Estimates on production of food grains and commercial crops released on 5 May 2006 the production of food grains during 2005-06 was estimated at 210.01 million tonnes, which is more than the food grains production of 2004-05 by 11.65 million tonnes or 5.9 per cent. The estimated production of rice at 89.88 million tonnes increased by 6.75 million tonnes or 8.1 per cent as compared to 2004-05. The production of wheat during 2005-06 estimated at71.54 million tonnes exceeds last year's production by 2.90 million tonnes or4.2 per cent. The production of coarse cereals estimated at 34.67 million tonnes is more than the last year's production by 1.21 million tonnes or by 3.6 per cent. The production of bajra was estimated at 8.31 million tonnes indicating a marginal increase of 4.8 per cent over the last year's production of 7.93 million tonnes. In case of maize the production was estimated at 14.89 million tones which is more than last year's production by 0.71 million tonnes or 5.0 per cent. The expected production of total pulses at 13.92 million tonnes shows a 6.0 percent increase over the last year's production of 13.13 million tonnes.

The estimated production of total oilseeds at 26.70 million tonnes in2005-06 is more than the last year's production by 2.34 million tonnes or by 9.6per cent. The production of cotton in 2005-06 was estimated at 18.93 million bales of 170 kg each which is more than the last year's production level by 2.50million bales indicating an increase of 15.2 per cent. Jute and Mesta production during 2005-06 was estimated at 10.83 million bales of 180 kg each which is more than last year's production of 10.27 million bales or by 5.5 per cent. Sugarcane production was estimated at 273.16 million tonnes, showing an increase of 36.07 million tonnes or 15.2 per cent over the preceding year's production of 237.09 million tonnes.

Rural Development
India is a country of villages and about 50% of the villages have very poor socio-economic conditions. Since the dawn of independence, concerted efforts have been made to ameliorate the living standard of rural masses. So, rural development as an integrated concept of growth and poverty elimination has been of paramount concern in all the consequent five year plans. Rural Development (RD) programmes comprise of following:
 Provision of basic infrastructure facilities in the rural areas e.g. schools, health facilities, roads, drinking water, electrification etc.
 Improving agricultural productivity in the rural areas.
 Provision of social services like health and education for socio-economic development.
 Implementing scheme for the promotion of rural industry increasing agriculture productivity, providing rural employment etc.
 Assistance to individual families and their Self Help Groups (SHG) living below poverty line by providing productive resources through credit and subsidy.

Education Sector
Before 1976, education was the exclusive responsibility of the States. The Constitutional Amendment of 1976, which included education in the Concurrent List, was a far-reaching step. The substantive, financial and administrative implication required a new sharing of responsibility between the Union Government and the States. While the role and responsibility of the States in education remained largely unchanged, the Union Government accepted a larger responsibility of reinforcing the national and integrated character of education, maintaining quality and standards including those of the teaching profession at all levels, and the study and monitoring of the educational requirements of the country.

The Central Government continues to play a leading role in the evolution and monitoring of educational policies and programmes, the most notable of which are the National Policy on Education (NPE), 1986 and the Programme of Action (POA), 1986 as updated in 1922. The modified policy envisages a National System of education to bring about uniformity in education, making adult education programmes a mass movement, providing universal access, retention and quality in elementary education, special emphasis on education of girls, establishment of pacesetting schools like Navodaya Vidyalayas in each district, vocationalisation of secondary education, synthesis of knowledge and inter-disciplinary research in higher education, starting more Open Universities in the States, strengthening of the All India Council of Technical Education, encouraging sports, physical education, Yoga and adoption of an effective evaluation method, etc. Besides, a decentralised management structure had also been suggested to ensure popular participation in education. The POA lays down a detailed strategy for the implementation of the various policy parameters by the implementing agencies.

The National System of Education as envisaged in the NPE is based on a national curricular framework, which envisages a common core along with other flexible and region-specific components. While the policy stresses widening of opportunities for the people, it calls for consolidation of the existing system of higher and technical education. It also emphasises the need for a much higher level of investment in education of at least six per cent of the national income.
The Central Advisory Board of Education (CABE), the highest advisory body to advise the Central and State Governments in the field of education, was first established in 1920 and dissolved in 1923 as a measure of economy. It was revived in 1935 and had continued to exist till 1994. Despite the fact that in the past, important decisions had been taken on the advice of CABE and it had provided a forum for widespread consultation and examination of issues relating to educational and cultural development, it was unfortunately not reconstituted after the expiry of its extended tenure in March 1994. CABE has a particularly important role to play at the present juncture in view of the significant socio-economic and socio-cultural developments taking place in the country and for the review of the National Policy on Education which is also due. It is a matter of importance therefore, that the Central and State Governments, and educationists and people representing all interests, should increase their interaction and evolve a participative process of decision making in education, which enhances the federal structure of our polity. The National Policy on Education, 1986 (as modified in 1992) also envisages that the CABE will play a pivotal role in reviewing educational development, determining the changes required to improve the system and monitoring implementation, and will function through appropriate mechanisms created to ensure contact with, and coordination among, the various areas of human resource development. Accordingly, the CABE has since been reconstituted by the Government in July 2004 and the first meeting of the reconstituted CABE was held on 10 and 11 August 2004. The Board consists of nominated members representing various interests in addition to elected members from the Lok Sabha and the Rajya Sabha, and the representatives of the Government of India, State Governments and UT Administrations.
In the meeting of the reconstituted CABE held on 10 - 11 August 2004 some critical issues had emerged needing detailed deliberations.
Accordingly, seven CABE Committees were set up to examine:
 Free and Compulsory education Bill and other issues related to Elementary Education
 Girls Education and the Common School System
 Universalisation of Secondary Education
 Autonomy of Higher Education Institutions
 Integration of Culture Education in the School Curriculum
 Regulatory Mechanism for the Text Books and parallel text books taught in schools outside the Government system, and
 Financing of Higher and Technical Education.
The above mentioned Committees were set up in September 2004. The reports of these Committees were discussed in the 53rd Meeting of the CABE held on 14-15 July 2005 at New Delhi. Necessary steps are being taken to identify the action points emerging from all these reports and to prepare a road map for action on them in a time bound manner.
In the meeting it has also been decided, inter alia, to constitute three Standing Committees of the CABE, viz.,
 A Standing Committee on Inclusive Education for Children and Youth with Special Needs to oversee the implementation of the new education policy on this subject.
 A Standing Committee on Literacy and Adult Education to guide the National Literacy Mission.
 A Standing Committee for looking at the integration and coordination of efforts for children's development, taking into account different schemes of education, child development, nutrition and health aspects.
On the recommendations made by the CABE, in its meeting held on 6-7 September 2005, a monitoring committee has been setup to oversee the preparation of syllabus for the textbooks by NCERT. Measures have been taken to reform the functioning of the accrediting and affiliating institutions by introduction of steps to receive and process the applications on-line and also bringing in the reforms in other processes by making things transparent.
Consultation process has been initiated to consider the setting up of a National Commission on Higher Education for overseeing generation of new ideas and monitoring the reforms in the higher education sector.
In order to facilitate donations including smaller amounts from India and abroad for implementing projects/programmes connected with the education sector, the Government has constituted ''Bharat Shiksha Kosh'' as a Society registered under the Societies Registration Act, 1860. It was launched officially on 9 January 2003 during the celebrations of Pravasi Bharatiya Diwas. The Kosh will receive donations/ contributions/endowments from individuals and corporate, Central and State Governments, Non-Resident Indians and People of Indian Origin for various activities across all sectors of education.

Health & Family Welfare
The Tenth Plan period witnessed a transition in health care policies and strategies with the effecting of an architectural correction in the healthcare delivery system at the primary and secondary level and the steps taken to set in motion regional balance in the availability of tertiary healthcare facilities. Wide ranging reforms and policy initiatives have been taken for improving health infrastructure and addressing the healthcare needs of the population. Several initiatives have also been undertaken on the disease front to contain morbidity and mortality.
Healthcare is one of the 7 thrust areas under the National Common Minimum Programme (NCMP) and improvement in health continues to be an important part in the overall strategy for socio-economic development over the planning period. The special focus given to Health Sector in the NCMP has formed the core of the programmes formulated under both Health and Family Welfare. The National Rural Health Mission (NRHM) is the key plank for giving effect to the mandate of the NCMP. The NRHM also provides an overarching umbrella to the existing programmes of Health & Family Welfare including RCH-II, Vector Borne Disease Control Programme, TB, Leprosy, NPCB and the Integrated Disease Surveillance Project. It also addresses the issue of health in the context of a sector wide approach encompassing sanitation and hygiene, nutrition and safe drinking water as basic determinants of good health and also advocates greater convergence with related social sector Departments. The core strategies of the Mission include identification and selection of the Accredited Social Health Activist (ASHA), decentralized planning, strengthening of existing infrastructure like sub-centres, PHCs and CHCs, adoption of a sector wide approach, flexible financing, community participation, manpower development and partnership with non-government stakeholders. Maternal and child health will be given a basic thrust on the programme front. Monitoring would be community based and through stringent internal reviews and external surveys.
The Pradhan Mantri Swasthya Suraksha Yojana is a major initiative for developing tertiary healthcare in the country, particularly to enable the availability of such facilities on a regional basis. It is also expected to reduce imbalance in human resources development by providing health care services through establishment of medical colleges and an improved delivery of services. Under PMSSY, 6 AIIMS like institutions are to be set up and 13 medical colleges upgraded.

To tackle the menace of other communicable and non-communicable diseases, the Ministry of Health and Family Welfare continues to implement National Health Programmes throughout the country for Blindness, AIDS, Cancer, Mental Disorders, etc. A Disease Surveillance mechanism is also being put in place for communicable and non-communicable diseases and their risk factors to facilitate quick response and evaluate control strategies. Central Institutions and organisation engaged in health care, medical education and research are continuously being strengthened to tackle the emerging diseases.
The general condition of India's population has improved significantly since the 1990s. The Average life expectancy at birth has increased from 59.7 years in 1991 to 63.7 years for males and 60.9 to 66.9 years during the same period for females.

Infant mortality, Crude birth rate and death rates have also registered a decline during the period. The strategies put in place in respect of the communicable diseases particularly leprosy and TB has met with sufficient success. In the case of Vector borne Diseases, concerted efforts are being made under the programme while under AIDS, the key strategy has been to build up infrastructure and go in for targeted interventions.
The major areas of current focus include continued high morbidity due to communicable diseases, rising disease burden due to non-communicable diseases and nutritional problems. The unmet need for contraception and high unwanted fertility are the other areas of major concern.

Industries & Commerce
Foreign trade has played a crucial role in India's economy growing at almost three times the growth of GDP during the last four years. India's exports cover a wide range of items including engineering goods, ores and minerals, chemicals and related products, gems and jewellery and of late, petroleum products. Imports have increased substantially, bulk of which comprise items like petroleum and crude products, fertilizers, precious and semi-precious stones for export production, and capital goods, raw materials, consumables and intermediates for industrial production and technological upgradation. Trade Scenario
India's total external trade (exports plus imports including re-exports) in the year 1950-51 stood at Rs. 1214 crores. Since then, this has witnessed continuous increase with occasional downturns. During 2006-07 the value of India's external trade reached Rs. 1384368 crore. A statement indicating India's total export, import, total value of foreign trade and balance of trade from the year 1990-91 to 2006-07(P), in rupee terms, is given in table 7.1 (see above).

India's exports of merchandise goods touched the target of US$125 billion in 2006-07 recording a growth of around 21% in dollar terms. In Rupee terms, the exports of merchandise goods during 2006-07 was valued at Rs. 563800 compared to Rs. 456483 crore in 2005-06 with a growth rate of 24%. India's growth of exports is much higher than that of the world economy as well as the many major economies of the world.

At the same time, imports increased from Rs. 635013 crore in 2005-2006 to Rs. 820568 crore during 2006-2007 thereby registering a growth of 29% in rupee terms. The trade deficit in 2006-07 was Rs. (-) 256768 crore as against Rs. (-) 178530 crores during 2005-06.

India has trading relations with all the major trading blocks and all the geographical regions of the world. Region-wise and sub region-wise spread of India's trade during 2005-06 and 2006-07 is given in table 7.2. In dollar terms, Asia & Asean accounted for 48.46 per cent of India's total exports, followed by West Europe (24.06%) and America (20.61%) during 2005-06. India's imports were highest from Asia & Asean (35.22%) followed by West Europe (21.17%) and America (7.78%), during the same period.

Finance
Finance Department largely performs the function of advising the Government on all financial matters. The formulation of the Budget is one of its most important functions. Finance department is also entrusted with the responsibility of framing rules regulating pay, emoluments and other service conditions of all Government employees. It has administrative control over the departments of Local Fund Audit, Directorates of National Savings, Lotteries, Insurance and Treasuries.

Regulatory Function of the department is the most important. It is the nodal center for monitoring all financial transactions of the Country. It performs all the important function of budget preparation as well as monitoring the receipts and expenditure incurred during the year. Another important task of the department is to monitor the reappropriation of funds. Preparation of Rules relating to financial matters and its interpretation sought by the departments is also an important function.

Science & Technology
India has a long and distinguished tradition in science and technology from the ancient times with great achievements during the twentieth century. At the time of independence, our scientific and technological infrastructure was neither strong nor organized as compared to the developed world. This had resulted in our being technologically dependent on the skills and expertise available in other countries. In the past four decades, an infrastructure and capability largely commensurate with meeting national needs has been created minimizing our dependence on other countries. A range of industries from small to the most sophisticated has been established covering a wide range of utilities, services and goods. There is now a reservoir of expertise well acquainted with the most modern advances in basic and applied areas that is equipped to make choices between available technologies, to absorb readily new technologies and provide a framework for future national development.

Transport
A well-knit and co-coordinated system of transport plays an important role in the sustained economic growth of a country. The present transport system of the country comprises several modes of transport including rail, road, coastal shipping, air transport, etc. Transport has recorded a substantial growth over the years both in spread of network and in output of the system. The Ministry of Shipping, Road Transport and Highways is responsible for the formation and implementation of policies and programmes for the development of various modes of transport save the railways and the civil aviation.

Environment & forest
The Ministry of Environment & Forests is the nodal agency in the administrative structure of the Central Government, for the planning, promotion, co-ordination and overseeing the implementation of environmental and forestry programmes. The Ministry is also the Nodal agency in the country for the United Nations Environment Programme (UNEP).

The principal activities undertaken by Ministry of Environment & Forests consist of conservation & survey of flora, fauna, forests and Wildlife, prevention & control of pollution, afforestation & regeneration of degraded areas and protection of environment, in the frame work of legislations.
The main tools utilized for this include surveys, impact assessment, control of pollution, regeneration programmes, support to organizations, research to solve solutions and training to augment the requisite manpower, collection and dissemination of environmental information and creation of environmental awareness among all sectors of the country's population.