Linkages between Agriculture and Agro based industries:-

Around two-third of the population depends on agriculture and agro-based industries.
The story of Indian agriculture is mixed in ‘green reaction’ (characterized by mediocre growth, the stagnation of yields and persistent instability of output) whereas agro-based industries can be looked upon to provide a mass of livelihoods.
Agro-forestry in Indian Farming system is practiced as complementary and supplementary enterprise to enhance well being of farmers, since it causes diversification and commercialization of agriculture, it not only enhances the incomes of farmers but also creates food surplus.
It should be emphasized that food is not just produce but also encompasses a wide variety of processed products. It is in this sense that agro-industry is an important and vital part of the manufacturing sector in developing countries and the means for building industrial capacities.