Agricultural Intensification and Greenhouse Gas Emissions in India : Evidence From Credit, Fertiliser Intensity, and Productivity

Agricultural intensification has played an important role in improving productivity and ensuring food security in India, but at the same time it has raised concerns regarding environmental sustainability. This study examines how agricultural intensification has influenced greenhouse gas emissions in India during 1992–2023. The study is based on secondary data collected from the FAOSTAT database and the Reserve Bank of India database. Agricultural greenhouse gas emissions are taken as the dependent variable, while agricultural credit disbursement, total NPK fertiliser consumption, and agricultural yield are considered as explanatory variables. To analyse the relationship, the variables were converted into logarithmic and first-differenced forms, and the OLS method was applied. The empirical results show that fertiliser consumption and agricultural productivity have a positive and statistically significant impact on agricultural greenhouse gas emissions. On the other hand, agricultural credit does not show a statistically significant direct effect on emissions. This suggests that agricultural credit, by itself, is not environmentally harmful; the concern arises when it encourages excessive and imbalanced chemical input use. Based on the findings, the study suggests the need for promoting balanced fertiliser use, encouraging sustainable agricultural practices, and strengthening green agricultural credit mechanisms. Overall, the study highlights the importance of aligning agricultural growth with environmental sustainability for achieving climate-resilient agricultural development in India.