Small farmers constitutes more than 80 percent of farming community in Orissa with a land holding size of less than 1.5 hectares. So, any investment in agriculture to improve its performance requires proper policy attention towards this farming class. An inclusive agricultural investment strategy with effective implementation approach has been outlined in this analysis. So, far investment made by State government in various agricultural infrastructure has not produced result as expected because lack of inclusiveness in its coverage, unplanned implementation and poor participation of farming community. Comparative advantage of different agricultural regions of the state has not taken into consideration in matching with farmers knowledge level while making investment in agriculture.