| Abstract: | Agriculture continues to play a vital role in the socio-economic development of Maharashtra, supporting a large share of the population through farming, allied activities, and rural enterprises. However, the agricultural economy of the state is confronted with multiple challenges such as fragmented landholdings, climate variability, water scarcity, indebtedness, low productivity, and inadequate market linkages, which directly affect rural livelihoods and sustainability. In recent years, the need for integrating sustainable practices with rural development strategies has gained prominence to ensure long-term economic stability, environmental protection, and social equity. This paper reviews the current status of the agricultural economy in Maharashtra and examines the interrelationship between agricultural growth, sustainability, and rural development. It highlights key issues including resource degradation, limited adoption of modern technology, insufficient institutional support, and migration from rural areas. At the same time, the study identifies emerging prospects such as climate-smart agriculture, diversification into allied sectors, digital platforms, farmer producer organizations, improved credit facilities, and government initiatives aimed at strengthening rural infrastructure and income generation. By analysing secondary data, policy documents, and existing literature, the study provides insights into the opportunities for transforming Maharashtra’s agricultural sector into a resilient and sustainable system. The findings emphasize that coordinated efforts involving technology adoption, sustainable resource management, institutional reforms, and community participation are essential for achieving inclusive rural development. The paper concludes that a balanced approach combining economic efficiency with environmental sustainability can enhance farmers’ livelihoods and contribute to the long-term growth of the state’s rural economy. |
