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This open access book provides an evidence-based roadmap for revitalising Indian agriculture while ensuring that the growth process is efficient, inclusive, and sustainable, and results in sustained growth of farmers’ incomes. The book, instead of looking for global best practices and evaluating them to assess the possibility of replicating these domestically, looks inward at the best practices and experiences within Indian states, to answer questions such as -- how the agricultural growth process can be speeded up and made more inclusive, and financially viable; are there any best practices that can be studied and replicated to bring about faster growth in agriculture; does the prior hypothesis that rapid agricultural growth can alleviate poverty faster, reduce malnutrition, and augment farmers’ incomes stand? To answer these questions, the book follows four broad threads -- i) Linkage between agricultural performance, poverty and malnutrition; ii) Analysing the historical growth performance of agricultural sector in selected Indian states; iii) Will higher agricultural GDP necessarily result in higher incomes for farmers; iv) Analysing the current agricultural policy environment to evaluate its efficiency and efficacy, and consolidate all analysis to create a roadmap. These are discussed in 12 chapters, which provide a building block for the concluding chapter that presents a roadmap for revitalising Indian agriculture while ensuring growth in farmers’ incomes.
The Green Revolution resulted in spectacular advancements in Indian agriculture. Having achieved food security for its citizens, the country has now become a net exporter of different agricultural commodities. But sadly, this does not reflect the real state of the Indian agricultural sector. In truth, our farmers are plagued by crop failures, poor income, and indebtedness. Such is their misery that they are of late driven to commit suicide. In this book, the author identifies poor returns from crop cultivation as the root cause of farmers' problems. Using vast temporal and spatial data, the author explores further and attempts to address some very pertinent questions facing Indian agriculture today: What is the current trend in farm income? Are the returns from irrigated crops better than un-irrigated crops? Does increased productivity guarantee increased income? Has the agricultural price policy benefitted farmers? To what extent does rural infrastructure development help in increasing farm income? Has the rural employment guarantee scheme affected farm profitability? The answers will help us determine if we can double farm income by 2022–3, a target set by the present union government.
This volume provides a comprehensive analysis of the macro- and micro-level issues associated with agrarian distress. It analyses structural, institutional, and policy changes, highlighting the failure of public support system in agriculture. The crisis manifests itself in the form of deceleration in growth and distress of farmers. The case studies from Maharashtra, Andhra Pradesh, Karnataka, Kerala, and Punjab bring out the diversity of conditions prevalent in the states.
Green Revolution strategy developed India s agriculture sector phenomenally from 1970 to 1990 and made India self sufficient in food grains and other agricultural commodities. The limitation of small size of the farms was made good by a package of inputs and small farmers of India competed well with developed countries. However, since 1990s and during the last five years farmers are facing the problem of decreasing income and many farmers have committed suicide during the last two years. The need has arisen for policy shift from farms ie production to farmers ie income. There is no concerted thinking on income policy for farmers unlike the developed countries. The book proposes to present design of income policy for farmers suiting India s over populated rural sector. The profile of the farms and the farmers is presented to understand the structure of the farm economy and type of farmers for whom the income policy is designed. It also looks into the present income level of the farmers and limitations of the data in this respect. Sheer number of farmers producing different commodities is so large that it is a complicated task to have a homogenous one track policy. The main limitation in India s agriculture to increase farmers income is small size of farm. The partnership farming through an incentive mechanism can bring small and large farmers together for commercial management of farms for increasing farmers income. An income policy for farmers is designed keeping in view the financial constraints. The policy is a mix of direct and indirect incentives in money terms for increasing income. Such a kit is designed based on the level of agricultural development in different States in India. Any policy to be effectively implemented requires financial resources for a fairly long period of time. India has huge foreign exchange reserves of about $154.1 billion (April, 2006) which have been sterilized for fear of inflation. A case has been made out for use of $10-15 billion to implement income policy without crossing safe limit of FE Reserves. The income generation capacity of the farmer commensurate with the efficiency in production is the key to integrate Indian agriculture in world trade in agricultural commodities. Financially weak farmers will hardly be able to face the competition from the developed countries. The strategy to face and welcome the WTO is spelt out in the light of Agreement on Agriculture discussed in Doha, Cancun and Hong Kong round of negotiations. The Government needs to change its policy gear from production economics to income economics. Contents Chapter 1: India: Rich Agriculture: Poor Farmers (From Farm to Farmers); Chapter 2: Geography of Farm Sector and Farmers; Chapter 3: Partnership Farming: Farm Gate Agro-Industry Collaboration; Chapter 4: Costing and Pricing in Agriculture: Market and Non-Market Pricing Arrangements; Chapter 5: Agriculture Marketing: Institutional and Community Reforms; Chapter 6: Farmers income Kit for Farmers; Chapter 7: Infrastructure Investment Fund for Farmers (IIFF) using Foreign Exchange Reserves for Kisans; Chapter 8: Welcome to WTO: Farmers Ready to Meet the Challenge.
The paper examines the impact of access to India’s farm science centers (Krishi Vigyan Kendras, or KVKs) on agricultural households’ welfare using household-level data from the nationally representative Situation Assessment Survey of Agricultural Households conducted by India’s National Sample Survey Office in 2013. Employing different matching techniques and endogenous switching regression models, we find that the KVKs have a positive and statistically significant impact on agricultural households’ economic welfare, although that impact is heterogeneous. Further, the investments made in expansion of India’s network of KVKs have been quite remunerative, as the benefit-to-cost ratio of expenditure on KVKs ranges from 8 to 12. Moreover, our findings suggest that expanding rural formal credit markets and promoting literacy can maximize the potential impact of KVKs on agricultural households’ economic welfare.
A unique examination of the development of the modern Indian economy over the past 150 years.
This open access book discusses the current role of smallholders in connection with food security and poverty reduction in developing countries. It addresses the opportunities they enjoy, and the constraints they face, by analysing the availability, access to and utilization of production factors. Due to the relevance of smallholder farms, enhancing their production capacities and economic and social resilience could produce positive impacts on food security and nutrition at a number of levels. In addition to the role of small farmers as food suppliers, the book considers their role as consumers and their level of nutrition security. It investigates the link between agriculture and nutrition in order to better understand how agriculture affects human health and dietary patterns. Given the importance of smallholdings, strategies to increase their productivity are essential to improving food and nutrition security, as well as food diversity.