The correct option is 1 only
Explanation
The economic reforms initiated in 1991 primarily targeted the industrial and service sectors. The agriculture sector was impacted indirectly through changes in trade policies, public investment patterns, and the removal of protections, often leading to mixed or adverse outcomes compared to other sectors.
Statement 1 is Correct: During the post-1991 reform period, the growth rate of the agriculture sector decelerated compared to the growth rates observed in the 1980s. This decline is largely attributed to a reduction in public investment in agricultural infrastructure (such as irrigation, power, and roads) and the removal of fertilizer subsidies, which increased the cost of production.
Statement 2 is Incorrect: Export-oriented policy strategies encouraged the commercialization of agriculture. This led to a shift in cropping patterns from food grains to cash crops (such as cotton, oilseeds, fruits, and vegetables) intended for international markets. The statement incorrectly claims the shift was towards food grains.
Statement 3 is Incorrect: The lifting of quantitative restrictions (QRs) on imports exposed Indian farmers to stiff international competition. Indian agricultural products faced challenges from heavily subsidized goods from developed nations, which depressed domestic prices and increased distress among farmers rather than benefiting them.
Key Takeaway: The 1991 economic reforms led to a deceleration in agricultural growth due to falling public investment and created challenges for farmers through the removal of import restrictions and a shift towards export-oriented cash cropping.