Total Factor Productivity and Role of R&D in Growth of Indian Fertilizer and Agrochemical Industry- an Empirical Analysis

Total Factor Productivity (TPF) is the portion of output not explained by the amount of inputs used in production. The fertilizer industry has received impetus with the Green revolution making India the third largest fertilizer producer and the fourth largest pesticides producer. The objective of the study is estimate the TPF of fertilizer and pesticides industry and empirical study the role of innovation on output for a thirteen year time period. The study suggests that there has been a positive growth but there is need to gear up the research effort in order to accelerate the growth of the industry