Economic liberalization, it was maintained, would provide a positive shift in the terms of trade for agriculture in India, allowing farmers to plow back excess from farming to undertake long-term improvements on the land and increase agricultural productivity and growth rate. Contrary to expectations, the terms of trade for agriculture did not significantly increase during the reform period. Additionally, a considerable number of individuals who depend on agriculture now face greater livelihood insecurity due to a slowdown in agricultural growth and inadequate investment in irrigation and extension services in rural regions, as well as a lack of affordable institutional financing. It was thought that the implementation of reforms, liberalization of international commerce, and corresponding pricing incentives would raise investment, make essential inputs more affordable, and increase agricultural output. A change in the terms of trade in favor of agriculture was also anticipated to boost agricultural exports and the growth rate (Ahluwalia 1994). Favorable terms of trade were anticipated to increase agricultural productivity and private investment in India (Misra 1998: 2105–09). Despite these hopes, policy changes made in the wake of economic reforms did not result in a faster pace of agricultural expansion. Economic liberalization involves several policies that are harmful to agriculture in particular as well as petty production in general. In that aspect, these laws discriminate against low-wage workers and the poor based on class. As a result of these policy initiatives, governmental funding for rural infrastructure, including irrigation systems and agricultural research and extension services, as well as the promotion of agricultural trade liberalization, has decreased. The impact of each of these measures on India's agriculture industry has been examined in this analysis.