agricultural-reform-in-india_- Zarapkar

8/7/2019 agricultural-reform-in-india_- Zarapkar

1/60

AGRICULTURAL

REFORMS IN INDIA


2/60

Presented ByPresented By

Mr. Devraj Satish ZarapkarMr. Devraj Satish Zarapkar

MMMMMMAllana Institute Of Management StudiesAllana Institute Of Management Studies


3/60

Agriculture in IndiaAgriculture in India Largest and one of the mostLargest and one of the most

Prominent sector in economy.Prominent sector in economy.

Agriculture and Forestry, Logging,Agriculture and Forestry, Logging,Fishing accounted for 16.6% of theFishing accounted for 16.6% of theGDP in 2007.GDP in 2007.

Employs 60% of Indias population.Employs 60% of Indias population.

Accounts for 8.56% of IndiasAccounts for 8.56% of Indiasexports.exports.

About 43% of India's geographicalAbout 43% of India's geographical

area is used for agricultural activityarea is used for agricultural activity Decline of its share in the GDP.Decline of its share in the GDP.

Monsoons play a critical role inMonsoons play a critical role inagriculture.agriculture.


4/60

History of Indian AgricultureHistory of Indian Agriculture

By 6th millennium BC, Wheat and some legumes wereBy 6th millennium BC, Wheat and some legumes werefound in Indus valley.found in Indus valley.

By 4000 BC, wheat, peas, dates and mangoes.By 4000 BC, wheat, peas, dates and mangoes.

By 3500 BC, cotton and cotton textiles were found inBy 3500 BC, cotton and cotton textiles were found in

the valley.the valley. By 3000 BC, rice and sugar cane had started.By 3000 BC, rice and sugar cane had started.

By 2500 BC, rice was an important component of theBy 2500 BC, rice was an important component of thestaple diet in Mohenjodaro.staple diet in Mohenjodaro.

By 2000 BC, tea, bananas and apples were beingBy 2000 BC, tea, bananas and apples were beingcultivated.cultivated.


5/60

Agricultural MovementsAgricultural Movements

Green Revolution:Green Revolution:

The green revolution is the significantThe green revolution is the significant

increase in agricultural productivityincrease in agricultural productivityresulting from the introduction ofresulting from the introduction of

highhigh -- yield varieties of grains , useyield varieties of grains , useof pesticides , and improvedof pesticides , and improved

management techniques.management techniques.


6/60

Green Revolution in IndiaGreen Revolution in India

In 1965 the present government ofIn 1965 the present government of

Mrs . Indira Gandhi decided to take a majorMrs . Indira Gandhi decided to take a majorstep on present Agriculture condition .step on present Agriculture condition .

Thus "Green Revolution" was applied to theThus "Green Revolution" was applied to theperiod from 1967 to 1978 basically inperiod from 1967 to 1978 basically in

parts of Punjab and Haryana .parts of Punjab and Haryana .

At this stage the Green Revolution wasAt this stage the Green Revolution wasconcern only with Wheat & Rice .concern only with Wheat & Rice .


7/60


8/60

Dr.MDr.M S SwaminathanS Swaminathanfrom India led thefrom India led theGreen Revolution asGreen Revolution as

the ProjectDirector.the ProjectDirector.&&

Dr. Norman BorlaugDr. Norman Borlaugfrom Mexico supportedfrom Mexico supportedthe Green Revolutionthe Green Revolution

through thethrough theintroduction of highintroduction of highyielding variety ofyielding variety ofwheat seeds.wheat seeds.


9/60

Green Revolution

Continued expansion of farmingareas

Double-cropping existingfarmland

Using seeds with improvedgenetics.


10/60

The introduction of highThe introduction of high--yielding varieties of seedsyielding varieties of seeds

after 1965 and the increased use of fertilizers andafter 1965 and the increased use of fertilizers andirrigation.irrigation.

Provided the increase in production needed to makeProvided the increase in production needed to makeIndia selfIndia self--sufficient in food grains, thus improving sufficient in food grains, thus improvingagriculture in India.agriculture in India.

It introduced the new techniques and machinery toIt introduced the new techniques and machinery tofarmersfarmers


11/60


12/60

Statistical ResultsStatistical Results

The Green Revolution resulted in a recordThe Green Revolution resulted in a recordgrain output of 131 million tons in 1978grain output of 131 million tons in 1978--79.79.

This established India as one of the world'sThis established India as one of the world'sbiggest agricultural producers.biggest agricultural producers.

No other country in the world, whichNo other country in the world, whichattempted the Green Revolution recordedattempted the Green Revolution recorded

such level of success.such level of success.


13/60


14/60

Economical ResultEconomical ResultThe increase in irrigation createdThe increase in irrigation created

need of new dams to harnessneed of new dams to harnessmonsoon water.monsoon water.

This in turn boosted industrialThis in turn boosted industrialgrowth, created jobs and improvedgrowth, created jobs and improvedthe quality of life of the peoplethe quality of life of the people

India paid back all loans taken fromIndia paid back all loans taken fromthe World Bank for the purpose ofthe World Bank for the purpose ofthe Green Revolution.the Green Revolution.


15/60

Sociological ResultSociological Result

The Green Revolution created plentyThe Green Revolution created plentyof jobs not only for agriculturalof jobs not only for agriculturalworkers but also industrial workersworkers but also industrial workers

By the creation of lateral facilitiesBy the creation of lateral facilitiessuch as factories and hydrosuch as factories and hydro--electricelectric

power stations help to uplift thepower stations help to uplift thesocial as well as the economicsocial as well as the economiccondition .condition .


16/60

Political ResultPolitical Result


17/60

Limitationsofthe GreenLimitationsofthe Green

RevolutionRevolution

The Green Revolution, howsoeverThe Green Revolution, howsoeverimpressive, but NOT succeeded in makingimpressive, but NOT succeeded in making

India totally and permanently selfIndia totally and permanently self--sufficientsufficientin food.in food.

In terms of crops, it remains largelyIn terms of crops, it remains largely

confined to food grains only.confined to food grains only.

Only Punjab and Haryana states showedOnly Punjab and Haryana states showedbest results of Green Revolution.best results of Green Revolution.


18/60

Green RevolutionGreen Revolution

The new organic farmers cite, fertilizer,The new organic farmers cite, fertilizer,and pesticides, and chemical used areand pesticides, and chemical used areruining the soil.ruining the soil.

The new farming techniques, has given birthThe new farming techniques, has given birth

to the serious pollution of drinking water causingto the serious pollution of drinking water causingcancer and other diseases.cancer and other diseases.

A recent Punjabi University study found aA recent Punjabi University study found ahigh rate of genetic damage among farmers,high rate of genetic damage among farmers,

which was attributed to pesticide use.which was attributed to pesticide use.


19/60

Reducedgenetic diversityReducedgenetic diversity IncreasedvulnerabilitytoIncreasedvulnerabilityto

pestspests Soil erosionSoil erosion WatershortagesWatershortages ReducedsoilfertilityReducedsoilfertility Micronutrient deficienciesMicronutrient deficiencies SoilcontaminationSoilcontamination ReducedavailabilityofReducedavailabilityof

nutritiousfoodcropsnutritiousfoodcrops The displacementofvastThe displacementofvast

numbersofsmallfarmersnumbersofsmallfarmers

RuralimpoverishmentandRuralimpoverishmentandincreasedtensionsandincreasedtensionsandconflictsconflicts..

Problems created by Green

revolution


20/60

PrecautionsPrecautionsProper planning and Implementation ofProper planning and Implementation ofAgricultural PlanAgricultural Plan

Avoiding access use of chemical fertilizers andAvoiding access use of chemical fertilizers andPesticidesPesticides

Proper irrigation systems so that water wastageProper irrigation systems so that water wastagecan be controlledcan be controlled

Frequent Pollution Control Check of the soilFrequent Pollution Control Check of the soilshould be doneshould be done


21/60

Organic FarmingOrganic Farming A multidimensionalA multidimensionalAnalysisAnalysis


22/60

History of organic farmingHistory of organic farming

Origin: Asian countriesOrigin: Asian countries

19051905--1924: AlbertHoward (British) worked as agrl. Advisor in Pusa1924: AlbertHoward (British) worked as agrl. Advisor in Pusadocumented traditional farming practices, Book: Agricultural Testamentdocumented traditional farming practices, Book: Agricultural Testament

1939: Eve Balfour (England) Haughley experiment compared organic and1939: Eve Balfour (England) Haughley experiment compared organic andconventional farming, Book: Living soilconventional farming, Book: Living soil

1940: Rudolf Steiner (Germany) Biodynamic agriculture1940: Rudolf Steiner (Germany) Biodynamic agriculture

1940: Masanobu Fukoka (Japan)1940: Masanobu Fukoka (Japan)

1950: J.I. Rodale(US) popularize through organic gardening1950: J.I. Rodale(US) popularize through organic gardening

1962: Rachel Carson: Silent Spring Effect of pesticides on environment1962: Rachel Carson: Silent Spring Effect of pesticides on environment\\

1970: Global movements1970: Global movements

1972: IFOAM1972: IFOAM

19801980-- till date:till date:


23/60

Need for Organic FarmingNeed for Organic Farming

World Food Summit, Rome, (1996) Food security is achieved when all people at allWorld Food Summit, Rome, (1996) Food security is achieved when all people at all

times have physical and economic access to sufficient safe and nutritious food totimes have physical and economic access to sufficient safe and nutritious food to

meet their direct needs and food preferences for an active and active healthy lifemeet their direct needs and food preferences for an active and active healthy life

Sabharwal, Secretary, APEDA (2002): Developed countries are dependent onSabharwal, Secretary, APEDA (2002): Developed countries are dependent on

developing countries like India to the extent of 30developing countries like India to the extent of 30--50% for their requirements of50% for their requirements oforganic food products and India should seize the opportunity to tap these marketsorganic food products and India should seize the opportunity to tap these markets

FAO (2002) Price premium of organic products about 20FAO (2002) Price premium of organic products about 20--30%30%

Organic farming is the only way farmers can escape from the vicious cycle of debtOrganic farming is the only way farmers can escape from the vicious cycle of debt

and a negative economy. It is growing everywhere, because consumers dont wantand a negative economy. It is growing everywhere, because consumers dont want

to be poisoned with toxic residues from agrochemicals. It is also necessary fromto be poisoned with toxic residues from agrochemicals. It is also necessary fromthe point of view of small producers (Vandana, 2003)the point of view of small producers (Vandana, 2003)

Between 1998 and 2002, the compound annual growth rate of the organic foodBetween 1998 and 2002, the compound annual growth rate of the organic food

market was 17.7 percent. In 2004, the market for organic products was valued atmarket was 17.7 percent. In 2004, the market for organic products was valued at

US$27.8 billion, the largest share of organic products being marketed in EuropeUS$27.8 billion, the largest share of organic products being marketed in Europe

and North America, followed by Brazil and Middle East (IFOAM, 2006).and North America, followed by Brazil and Middle East (IFOAM, 2006).


24/60

DefinitionDefinition

OrganicOrganic farmingfarming isis aa productionproduction systemsystem whichwhich avoidsavoids oror largelylargely

excludesexcludes thethe useuse ofof syntheticallysynthetically compoundedcompounded fertilizers,fertilizers, pesticidespesticides ,,growthgrowth regulatorsregulators andand livestocklivestock feedfeed additivesadditives .. ToTo thethe maximummaximumextentextent feasiblefeasible itit reliesrelies uponupon cropcrop rotations,rotations, cropcrop residues,residues, animalanimalwastes,wastes, mechanicalmechanical cultivation,cultivation, mineralmineral bearingbearing rocksrocks andand aspectsaspects ofof

biologicalbiological pestpest controlcontrol toto maintainmaintain soilsoil productivityproductivity andand tilthtilth toto supplysupplyplantplant nutrientsnutrients andand toto controlcontrol insects,insects, weedsweeds andand otherother pestspests(Lampkin,(Lampkin, 19901990))

OrganicOrganic agricultureagriculture isis aa uniqueunique productionproduction managementmanagement systemsystem whichwhich

promotespromotes andand enhancesenhances agroagro ecoeco--systemsystem health,health, includingincluding biobio--diversity,diversity, biologicalbiological cyclescycles andand soilsoil biologicalbiological activityactivity andand thisthis isisaccomplishedaccomplished byby usingusing onon--farmfarm agronomic,agronomic, biologicalbiological andand mechanicalmechanicalmethodsmethods inin exclusionexclusion ofof allall syntheticsynthetic offoff --farmfarm inputsinputs (FAO,(FAO, 19931993))..


25/60

Promotion for productionPromotion for production

and trade of organicand trade of organic

products in Indiaproducts in India Planning commission (2000): Steering group on agriculture and organicPlanning commission (2000): Steering group on agriculture and organic

farming as a national challengefarming as a national challenge

NAP(2000): promotion of traditional knowledgeNAP(2000): promotion of traditional knowledge

MOA(2000): Task force on organic farming,MOA(2000): Task force on organic farming, DAC has formulated a schemeDAC has formulated a schemefor giving a major importance to organic farming by setting up a NIOFfor giving a major importance to organic farming by setting up a NIOF

MOC(2000): NPOPMOC(2000): NPOP

National centre for organic farming, GhaziabadNational centre for organic farming, Ghaziabad

ICAR & SAUsICAR & SAUs

International Food and Vegetable MarketingA

ssociation in IndiaInternational Food and Vegetable MarketingA

ssociation in India Association for promotion of organic farming (APOF), BangaloreAssociation for promotion of organic farming (APOF), Bangalore

APEDA, Coffee Board, Spices Board, Tea Board, Coconut Development BoardAPEDA, Coffee Board, Spices Board, Tea Board, Coconut Development BoardCocoa and cashew nut boardCocoa and cashew nut board


26/60

AgricultureAgriculture ManMan EcologyEcology (AME),(AME), BangaloreBangalore

AgriculturalAgricultural RenewalRenewal inin IndiaIndia for for aa SustainableSustainableEnvironmentEnvironment (ARISE),(ARISE), PuducheryPuduchery

AllAll IndiaIndia FederationFederation ofof OrganicOrganic FarmersFarmers (AIFOF),(AIFOF),ThaneThane

30,000 organic farmers and 8,000 organic farms. In30,000 organic farmers and 8,000 organic farms. InTamil Nadu alone, about 500 organic farms andTamil Nadu alone, about 500 organic farms and3,000 organic farmers (Ranganathan, 2005)3,000 organic farmers (Ranganathan, 2005)

President of poison free food and VP of LEISAPresident of poison free food and VP of LEISA

43000 ha (0.03 %) is under organic farming43000 ha (0.03 %) is under organic farming

30 per cent of Indian farmers are organic.30 per cent of Indian farmers are organic.


27/60

Agricultural MovementsAgricultural Movements

It was the name of a rural developmentIt was the name of a rural developmentprogrammeprogramme

Started byNational Dairy DevelopmentBoardStarted byNational Dairy DevelopmentBoard(NDDB) in 1970.(NDDB) in 1970.

Objective was creating a nation wide milk grid.Objective was creating a nation wide milk grid.

Movementfollowedthe Green Revolution andMovementfollowedthe Green Revolution and

alleviating poverty and famine levels.alleviating poverty and famine levels. India becamethe largestproducer of milk andIndia becamethe largestproducer of milk and

milk products.milk products.

Hence, also known as White Revolution of India.Hence, also known as White Revolution of India.

Operation FloodOperation Flood


28/60

Agriculture in IndiaAgriculture in India

Current ScenarioCurrent Scenario

andand

Policy FrameworkPolicy Framework


29/60

Indian Agriculture has made rapid strides sinceIndian Agriculture has made rapid strides since

independenceindependence

From food shortages and importFrom food shortages and import

to selfto self--sufficiency and exports.sufficiency and exports.

From subsistence farmingFrom subsistence farming

to intensive and technology led cultivation.to intensive and technology led cultivation.

Today , India is the front rankingToday , India is the front ranking

producer of many crops in the world.producer of many crops in the world.

Ushered in through theUshered in through the

green, white, blue and yellow revolutionsgreen, white, blue and yellow revolutions


30/60

Indian AgricultureIndian Agriculture-- Some FactsSome Facts

Total GeographicalAreaTotal GeographicalArea -- 328 million hectares328 million hectares

Net Area sownNet Area sown -- 142 million hectares142 million hectares

Gross Cropped AreaGross Cropped Area 190.8 million hectares190.8 million hectares

MajorCrop Production (1999MajorCrop Production (1999--2000)2000)

RiceRice 89.5 million tonnes89.5 million tonnes

WheatWheat 75.6 million tonnes75.6 million tonnes

Coarse CerealsCoarse Cereals 30.5 million tonnes30.5 million tonnes

PulsesPulses 13.4 million tonnes13.4 million tonnes

OilseedsOilseeds 20.9 million tonnes20.9 million tonnes

SugarcaneSugarcane 29.9 million tonnes29.9 million tonnes


31/60

Indian AgricultureIndian Agriculture-- Some FactsSome Facts

Contributes toContributes to 24%24% of GDPof GDP

Provides food toProvides food to 1Billion1Billion peoplepeople

Sustains 65% of the population : helps alleviate povertySustains 65% of the population : helps alleviate poverty Produces 51 majorCropsProduces 51 majorCrops

Provides Raw Material to IndustriesProvides Raw Material to Industries

Contributes to 1/6Contributes to 1/6thth of the export earningsof the export earnings

One of the 12 BioOne of the 12 Bio--diversity centers in the world with over 46,000diversity centers in the world with over 46,000species of plants and 86,000 species of animals recordedspecies of plants and 86,000 species of animals recorded


32/60

MajorAchievementsMajorAchievements

India isIndia is

Largest producer in the world of pulses , tea , and milkLargest producer in the world of pulses , tea , and milk

Second Largest producer of fruits, vegetables, wheat ,Second Largest producer of fruits, vegetables, wheat ,

rice, groundnut and sugarcane.rice, groundnut and sugarcane.


33/60

IndianAgriculture ScenarioIndianAgriculture Scenario

STRENGTHSSTRENGTHS Rich BioRich Bio--diversitydiversity

Arable landArable land

ClimateClimate

Strong and well dispersedStrong and well dispersedresearch and extension systemresearch and extension system

OPPORTUNITIESOPPORTUNITIES Bridgeable yield cropsBridgeable yield crops

ExportsExports

AgroAgro--based Industrybased Industry

HorticultureHorticulture

Untapped potential in the N.E.Untapped potential in the N.E.

WEAKNESSWEAKNESS Fragmentation of landFragmentation of land

Low Technology InputsLow Technology Inputs

Unsustainable Water ManagementUnsustainable Water Management

Poor InfrastructurePoor Infrastructure

Low value additionLow value addition

THREATSTHREATS Unsustainable ResourceUseUnsustainable ResourceUse

U

nsustainable RegionalU

nsustainable RegionalDevelopmentDevelopment

ImportsImports


34/60

Current ConcernsCurrent Concerns

Pressure of the Population on LandPressure of the Population on Land

Skewed distribution of operational holdingsSkewed distribution of operational holdings

LandDegradationLandDegradation

Water BalanceWater Balance

Low level of mechanizationLow level of mechanization Low FertilizerConsumptionLow FertilizerConsumption


35/60

The First Ever National Agriculture Policy was announced in JulyThe First Ever National Agriculture Policy was announced in July

2000. The Policy seeks to overcome these constraints and achieve2000. The Policy seeks to overcome these constraints and achieve

A Growth rate in excess of 4 percent per annum in theA Growth rate in excess of 4 percent per annum in the

agriculture sector.agriculture sector.

Growth that is based on efficient use of resources, and conservesGrowth that is based on efficient use of resources, and conserves

our soil, water , and bio diversity.our soil, water , and bio diversity. Growth with equity, i.e. growth which is widespread acrossGrowth with equity, i.e. growth which is widespread across

regions, and different classes of farmers.regions, and different classes of farmers.

Growth that is demand driven and stabilizes domestic marketsGrowth that is demand driven and stabilizes domestic markets

and maximizes benefits from exports in the face of Globaland maximizes benefits from exports in the face of Global

Challenges.Challenges.

Growth that is sustainable ,technologically , environmentally,Growth that is sustainable ,technologically , environmentally,

and economically.and economically.


36/60

The Policy has indicated a nineThe Policy has indicated a nine--fold package of policyfold package of policy

initiatives to achieve the objectivesinitiatives to achieve the objectives

Development of Sustainable agricultureDevelopment of Sustainable agriculture

Food and Nutritional securityFood and Nutritional security

Generation and Transfer of TechnologyGeneration and Transfer of Technology

Improvement of input efficiencyImprovement of input efficiencyProvision of incentives for agricultureProvision of incentives for agriculture

Promotion of Investments in agriculturePromotion of Investments in agriculture

Strengthening of institutional infrastructureStrengthening of institutional infrastructure

Better risk managementBetter risk management

Introduction of Management ReformsIntroduction of Management Reforms


37/60

TARGETSTARGETS

Food Grain Production will be doubled in ten years, so as toFood Grain Production will be doubled in ten years, so as to

make India hunger free .make India hunger free . Special emphasis will be on horticulture production in order toSpecial emphasis will be on horticulture production in order to

achieve a quantum increase.achieve a quantum increase.

Allied sectors like live stock, dairy poultry, fisheries, will beAllied sectors like live stock, dairy poultry, fisheries, will be

promotedpromoted Production of oilseeds and pulses will be raised substantially.Production of oilseeds and pulses will be raised substantially.


38/60

Strategies & Initiatives : Enhancing Value AdditionStrategies & Initiatives : Enhancing Value Addition

-- 98% of fruits and vegetables are sold as fresh products.98% of fruits and vegetables are sold as fresh products.

-- processing accounts for only 7% of agricultural value.processing accounts for only 7% of agricultural value.

-- wastage levels are extremely high.wastage levels are extremely high.

Improved post harvest interventions: price supportImproved post harvest interventions: price support

mechanism, grading, handling, storage, packaging, marketing,mechanism, grading, handling, storage, packaging, marketing,processing.processing.


39/60

Strategies & Initiatives : Enhancing Value AdditionStrategies & Initiatives : Enhancing Value Addition

Draft National Policy on Food Processing prepared.Draft National Policy on Food Processing prepared.

Draft Processed Food Development Act formulated.Draft Processed Food Development Act formulated.

Package of promotional schemes available for infrastructurePackage of promotional schemes available for infrastructure

development and quality improvement.development and quality improvement.

To raise the processing level by 10% , an investment ofTo raise the processing level by 10% , an investment of

approximately Rs 1400 billion requiredapproximately Rs 1400 billion required..


40/60

Indias International TradeIndias International Trade -- 20012001--0202

500

0

1000

1500

2000

2500

Exports Imports

AgricultureNon-Agriculture

2 8 9

1 7 3 62 1 4 8

1 2 0

Rs Billions


41/60

Strategies & Initiatives : Promotion ofExportsStrategies & Initiatives : Promotion ofExports

Indias competitive advantageIndias competitive advantage-- Diverse agro climatic conditions.Diverse agro climatic conditions.

-- Sufficiency of Inputs.Sufficiency of Inputs.

-- Reasonable labour costs.Reasonable labour costs.

Agriculture exports from India account for less than 1% world tradeAgriculture exports from India account for less than 1% world tradein Agriculture commodities.in Agriculture commodities.

-- Target is to raise Indias share to 2% .Target is to raise Indias share to 2% .

Thrust AreasThrust Areas

Improvement and maintenance of quality.Improvement and maintenance of quality.

Consonance with International Standards.Consonance with International Standards.

Strengthening of Infrastructure.Strengthening of Infrastructure.

Identification of niche products and markets.Identification of niche products and markets.


42/60

IndiasAgricultural Export PotentialsIndiasAgricultural Export Potentials

Marine ProductsMarine Products

RiceRice

WheatWheat

C

ondiments andC

ondiments and SpucesSpuces CashewCashew

TeaTea

CoffeeCoffee

CastorCastor

JuteJute

Fruits and VegetablesFruits and Vegetables-- Onions, Mango, Grapes, Banana,Onions, Mango, Grapes, Banana,Tomato , Potato ,Tomato , Potato , LichchiLichchi ,etc.,etc.


43/60

Agriculture DevelopmentAgriculture Development

Strategy for eleventh planStrategy for eleventh plan

Newinitiativ

esin

th

econt

extof

Newinitiativ

esin

th

econt

extof


44/60

New InitiativesNew Initiatives

Strengthening PulsesProductionProgramsStrengthening PulsesProductionPrograms

Four prongedstrategy on Agriculture Growth inthe BudgetFour prongedstrategy on Agriculture Growth inthe Budget20092009--1010 AgricultureProductionAgricultureProduction

FoodPr

ocess

ingFoodPr

ocess

ing

CreditCredit

Reducing Wastage of produceReducing Wastage of produce

NutrientBased Subsidy effective from April 1, 2010 (FertilizersNutrientBased Subsidy effective from April 1, 2010 (Fertilizersand Chemicals)and Chemicals)

Rs. 100 crores for Mahila Kisan Sashaktikaran Yojana as a subRs. 100 crores for Mahila Kisan Sashaktikaran Yojana as a subcomponentofNational Rural Livelihood Mission (RuralcomponentofNational Rural Livelihood Mission (RuralDevelopment)Development)

Additional Central Assistance of Rs. 1200 crorestoAdditional Central Assistance of Rs. 1200 crorestoBundelkhand fordroughtmitigation (Rural Development)Bundelkhand fordroughtmitigation (Rural Development)


45/60

Tax ConcessionsTax Concessions Modernizing Mandis or warehousingModernizing Mandis or warehousing

Concessional importduty of 5 % andservicetax exemption forConcessional importduty of 5 % andservicetax exemption formechanisedmechanisedhandlinghandlingof food grains andsugar in Mandisof food grains andsugar in Mandis

Central excise andservicetax exemptionto specified equipment forCentral excise andservicetax exemptionto specified equipment forstorage andstorage andwarehousingwarehousingof agriculture productsof agriculture products

Promoting Cold chain infrastructurePromoting Cold chain infrastructure Concessional customsduty of 5 % with full exemption from servicetax to setting upConcessional customsduty of 5 % with full exemption from servicetax to setting up

ofofColdstorage facilitiesandProcessingunitsColdstorage facilitiesandProcessingunitsforsuch produce.forsuch produce.

Provide full exemption from customsdutytoProvide full exemption from customsdutyto refrigerationunitsrefrigerationunitsrequired fortherequired forthemanufacture ofmanufacture ofrefrigeratedvansortrucksrefrigeratedvansortrucks

Promoting Farm MechanizationPromoting Farm Mechanization Concessional customsduty of 5 per centto specifiedConcessional customsduty of 5 per centto specifiedagriculturalmachineryagriculturalmachinerynotnot

manufactured in India;manufactured in India;

Full exemption from excisedutytoFull exemption from excisedutyto trailersandsemitrailersandsemi--trailersusedintrailersusedinagricultureagriculture..

Transportation of produceTransportation of produce TheThetransportatiotransportation byroad of cereals, and pulsesto be exempted from servicen byroad of cereals, and pulsesto be exempted from service

tax. Transportation byrail to remain exempt.tax. Transportation byrail to remain exempt.


46/60

Agriculture DevelopmentStrategy inthe 11Agriculture DevelopmentStrategy inthe 11thth

fiveyear plan periodfiveyear plan period

Agriculture Growth at4 % plus

Increased publicinvestments

Development of

AgricultureInfrastructureSecondary and

alliedAgriculture

Food SecurityIncrease

production bybridging the

yield gaps andby good price

Horticulture,Dairy, Poultry,Fishery and

AH

SupportServicesWater,Energy

and Landresources

Creditandinsurance

Procure.operations

Fertilizersand

PesticidesR & D


47/60

RKVY and MMA

Main Objective

Agriculture growth

Salient Feature

Full freedom to States

NFSM Food production Strategically targeted

ISOPOM Oil seeds production Strategically targeted

NHM and TMNE Horticulture End to end program

Micro Irrigation Water use efficiency Sprinklers and Drips

NREGS Water HarvestingSmall Farm

Development

Schemes

Schemes


48/60

Key ChallengesKey Challenges

SustainedhigherproductionlevelsoffoodgrainsSustainedhigherproductionlevelsoffoodgrains More focused working especially for pulsesMore focused working especially for pulses

RegionaldisparityRegionaldisparity Widening the food basketWidening the food basket Broad basing therisks of crop failuredueto climatic variabilityBroad basing therisks of crop failuredueto climatic variability

RainfedareadevelopmentRainfedareadevelopment ConvergenceConvergence mechanism for horizontal working?mechanism for horizontal working? Watershed managementWatershed management Largescalereplication of good models?Largescalereplication of good models?

RiskmitigationforClimaticvariabilityRiskmitigationforClimaticvariability Integrated farming system fordiversifying farm portfolioIntegrated farming system fordiversifying farm portfolio horticulture, fisheries, dairyhorticulture, fisheries, dairy

etc. Wadi projectofNABARD, Livelihood projects of WorldBank?etc. Wadi projectofNABARD, Livelihood projects of WorldBank?

Seed Rolling ProductionPlans for quantity ofneeded varietiesSeed Rolling ProductionPlans for quantity ofneeded varieties Seeds Mission?Seeds Mission?

Conservation AgricultureConservation Agriculture National Mission on Sustainable Agriculture?National Mission on Sustainable Agriculture?

Effective innovative weather based Insurance productsEffective innovative weather based Insurance products savings linked cropsavings linked cropinsurance?insurance?

Increased bufferstocks for food grainsIncreased bufferstocks for food grains grainstorage grid?grainstorage grid?

EfficientmarketingsupplychainEfficientmarketingsupplychain Scientific storage and managementScientific storage and management fungible warehousing receipts?fungible warehousing receipts? ProcessingProcessing private investments, logistics management?private investments, logistics management? DirectmarketingDirectmarketing credible contractfarming mechanism?credible contractfarming mechanism?


49/60

44-- pronged Strategy on Agriculture Growthpronged Strategy on Agriculture Growth

AgricultureProduction

Rs. 400 Croresfor Green

Revolution inEasternIndian

Region

Rs. 300 croresfor 60,000

pulsesandoilseeds villagesinrainfed areas

Rs. 200 croresforconservation

agriculture indeveloped

regions

Reduction inWastage of

Produce

Opening up ofretail tradeto

reducethefarm gate,retail price gap

Increase grainstorage facilitiesthrough privatesector FCI to

hire for 7

guaranteedyears

CreditSupporttoFarmers

Rs. 375000 crorestargetassignedto

theBankers for

extending croploans

Period of loanrepayment

extended bysixmonthsto June

2010 fromDecember 2009

Incentive fortimely paymentof

shortterm loanincreased from1% to 2 % for

2010-11

Impetusto foodprocessing

Sector

Five additionalMega Foodparksto beestablished

External Commercialborrowings would beavailable forsetting

up cool chaininfrastructure

Union Budget 2010

Ministry of Agriculture

Ministry of Food

and Consumer

Affairs

Ministry of Finance

Ministry of FoodProcessing


50/60

Focus onPulses and oilseedsFocus onPulses and oilseeds Strengthening NFSM PulsesStrengthening NFSM Pulses

Merger of ISOPOM for pulses with NFSMMerger of ISOPOM for pulses with NFSMMore fundsMore funds about1000 crores innexttwo yearsabout1000 crores innexttwo years

Accelerated pulses production program (A3P)Accelerated pulses production program (A3P)

Block demonstrations ofsoil nutrientand plantprotection centricBlock demonstrations ofsoil nutrientand plantprotection centrictechnology in 1000 units of 1000 hectares compact block each fortechnology in 1000 units of 1000 hectares compact block each for

five major pulses with an outlay of 700 croresfive major pulses with an outlay of 700 crores Provision for extensionstaff at unit levelProvision for extensionstaff at unit level

Inclusion of Jharkhand and Assam StatesInclusion of Jharkhand and Assam States More funds available under ISOPOM for oilseedsdevelopmentMore funds available under ISOPOM for oilseedsdevelopment Integrateddevelopmentof 60,000 pulses and oilseeds villages inrainfedIntegrateddevelopmentof 60,000 pulses and oilseeds villages inrainfed

areas with an outlay of 300 crores under RKVYareas with an outlay of 300 crores under RKVY Watershed managementand water harvestingWatershed managementand water harvesting

CommunitytanksCommunitytanks Field channelsField channels

Dry land farmingDry land farmingWatershed plus activities for crop developmentWatershed plus activities for crop development

Convergence with NFSM, ISOPOM, NHM, NREGA andNWDPRAConvergence with NFSM, ISOPOM, NHM, NREGA andNWDPRA


51/60

NextSteps for A3PNextSteps for A3P Prepare an action plan as perthe guidelines forPrepare an action plan as perthe guidelines for

implementing A3P from April 2010implementing A3P from April 2010 Identification of beneficiaries and units among villagesIdentification of beneficiaries and units among villages

Preparing unitwisedistrict level plansPreparing unitwisedistrict level plans

Ensuresupply of gypsum and plantprotection chemicalstoEnsuresupply of gypsum and plantprotection chemicalsto

identified beneficiariesthrough thedesignated agenciesidentified beneficiariesthrough thedesignated agencies Engage extensionstaff for unit level positioning and impartEngage extensionstaff for unit level positioning and impart

an orientationtrainingan orientationtraining KVKs could be actively associatedKVKs could be actively associated

Capacity building for pestmonitoring and pestsurveillanceCapacity building for pestmonitoring and pestsurveillance

byNCIPMbyNCIPM Modalities for implementing integrateddevelopmentofModalities for implementing integrateddevelopmentof

60,000 pulses and oilseeds villages being worked out60,000 pulses and oilseeds villages being worked out


52/60

Inter StateProductivity GapsInter StateProductivity Gaps

StateState CAGRCAGR20032003--0404 20072007--0808 20082008--09*09*

20032003--04 to 200704 to 2007--

0808

ProductionProduction YieldYield ProductionProduction YieldYield ProductionProduction YieldYieldNormalNormal

YieldYield

MaxMax

YieldYield

West BengalWest Bengal 0.690.69 14662.314662.3 25042504 14719.514719.5 25732573 15554.015554.0 26462646 25502550 25932593Andhra PradeshAndhra Pradesh 2.672.67 8953.08953.0 30093009 13324.013324.0 33443344 14207.014207.0 32473247 30803080 33443344

Uttar PradeshUttar Pradesh --1.451.45 13018.813018.8 21872187 11780.011780.0 20632063 13074.013074.0 21712171 19861986 21872187

PunjabPunjab 2.132.13 9656.09656.0 36943694 10489.010489.0 40194019 11000.011000.0 40224022 38763876 40194019

OrissaOrissa 3.153.15 6733.76733.7 14961496 7540.77540.7 16941694 6762.06762.0 15201520 15401540 16941694

BiharBihar --5.075.07 5447.85447.8 15231523 4418.14418.1 12371237 5668.75668.7 16101610 12331233 15231523

Tamil NaduTamil Nadu 5.115.11 3222.83222.8 23082308 5040.25040.2 28172817 5201.05201.0 25102510 27832783 34233423

ChattisgarhChattisgarh --0.140.14 5567.65567.6 14541454 5426.65426.6 14461446 4391.84391.8 11761176 13531353 14541454

AssamAssam --1.771.77 3880.03880.0 15341534 3319.03319.0 14281428 3775.03775.0 17201720 14481448 15341534KarnatakaKarnataka 2.542.54 2550.32550.3 23752375 3717.03717.0 26252625 3690.03690.0 24342434 28462846 38683868

JharkhandJharkhand 4.454.45 2310.02310.0 16951695 3336.43336.4 20182018 3304.93304.9 19471947 16281628 20182018

HaryanaHaryana 5.165.16 2790.02790.0 27492749 3613.03613.0 33613361 3298.03298.0 27262726 30723072 33613361

MaharashtraMaharashtra 0.670.67 2835.02835.0 18531853 2996.02996.0 19031903 2311.02311.0 15061506 17291729 19031903

All IndiaAll India 1.451.45 88526.088526.0 20782078 96692.996692.9 22022202 99153.799153.7 21862186 21012101 22022202

CAGR**CAGR** 1.051.05

Rice Production in (000) tons Yield in kg/ha


53/60

Eastern Region DevelopmentEastern Region Development

Additional Rs. 400 crores provided forthe agricultureAdditional Rs. 400 crores provided forthe agriculturedevelopment in Eastern Region comprising of Eastern UP,development in Eastern Region comprising of Eastern UP,Chhattisgarh, Jharkhand, Bihar, Orissa, WestBengalChhattisgarh, Jharkhand, Bihar, Orissa, WestBengal

Funds would bereleased under RKVY. States are expectedtoFunds would bereleased under RKVY. States are expectedtoprepare an action plan containing the following pointsprepare an action plan containing the following points

IdentificationIdentification of keytechnologies,of keytechnologies, constraintsconstraints indevelopment and interindevelopment and interseseprioritypriority for implementation for visible impactfor implementation for visible impact

SituationreportSituationreporton current initiatives, preparation of multi yearstrategyon current initiatives, preparation of multi yearstrategyfor agriculturedevelopment insync with the DAPs by pooling theresourcesfor agriculturedevelopment insync with the DAPs by pooling theresourcesfrom State plan, and convergence with other ongoing schemesfrom State plan, and convergence with other ongoing schemes

Preparation ofPreparation ofprojectsprojects to implementthestrategy in a budget proposalto implementthestrategy in a budget proposalworked out by each Stateworked out by each State

Allocation of budget for each State as perthe proposal and approval ofAllocation of budget for each State as perthe proposal and approval ofprojects within an overall budgetallocated for each Stateprojects within an overall budgetallocated for each State

Mechanism forregular monitoring ofthe progress of implementation oftheMechanism forregular monitoring ofthe progress of implementation oftheprojectsprojects

Detailedsetof instructions would be prepared in consultationDetailedsetof instructions would be prepared in consultationwith the States for implementation from the Rabi seasonwith the States for implementation from the Rabi season


54/60

Agri eco Zone wise Regional StrategyAgri eco Zone wise Regional Strategy

Lower GangeticPlainsRegionLower GangeticPlainsRegion(WB otherthanPuruliaandhilldistricts)(WB otherthanPuruliaandhilldistricts)

BasicallyBasically aa ricerice monomono croppedcropped areaarea

IncreasingIncreasing thethe croppingcropping intensityintensity byby

utilizingutilizing RabiRabi fallowsfallows afterafter harvestharvestofof KharifKharif ricerice byby promotingpromoting thethecultivationcultivation ofof pulsespulses andand oilseedsoilseeds

DiversificationDiversification ofofuplandupland ricerice areasareaswhichwhich areare lessless productiveproductivetoto suitablesuitablecropscrops likelike pulses,pulses, oilseedsoilseeds andandmilletsmillets..

DevelopmentDevelopment ofof onon--farmfarm irrigationirrigationresourcesresources throughthrough exploitationexploitation ofofgroundground waterwater potentialpotential whichwhich isisabundantabundant..

ImprovingImproving subsurfacesubsurfacesoilsoil drainagedrainage

Middle GangeticPlainsRegionMiddle GangeticPlainsRegion(Eastern U.P. and Bihar(Eastern U.P. and Bihar))

Rice,Rice, wheat,wheat, sugarcanesugarcane areare thethe majormajorcropscrops.. However,However, productivityproductivity isis lowlow..

PopularisationPopularisation ofof ShortShort durationduration highhighyieldingyielding varieties/hybridsvarieties/hybrids ofofricerice..

PromotionPromotion ofof maize maize cultivationcultivationespeciallyespecially inin RabiRabi asas itit hashas highhighpotentialpotential

PromotionPromotion ofof earlyearly maturingmaturing varietiesvarietiesofofsugarcanesugarcane forfor higherhigher sugarsugar recoveryrecovery

DevelopmentDevelopment ofof onon--farmfarm irrigationirrigationresourcesresources thoroughthorough exploitationexploitation ofofgroundground waterwater potentialpotential

CattleCattle rearing,rearing, poultry,poultry, goatgoat rearingrearingandand fishfish farmingfarming asas anan offoff farmfarm activityactivity..


55/60

Agri eco zone wise Regional StrategyAgri eco zone wise Regional Strategy

EasternPlateau & HillsRegion(PartsEasternPlateau & HillsRegion(Partsof Orissa, Jharkhand,Chhattisgarh)of Orissa, Jharkhand,Chhattisgarh)

ManagementManagement ofof rainwaterrainwaterharvestingharvesting andand st oragestorage forfor

increasingincreasing cropcrop productivityproductivity PromotionPromotion ofof HighHigh yieldingyielding

varieties/hybridsvarieties/hybrids especiallyespecially thatthat ofofricerice

ExpansionExpansion ofof areaarea underunder HighHighvaluevalue cashcash cropscrops andand vegetablesvegetables

ImprovementImprovement inin seedseed supplysupply soso asastoto increaseincreasethethe SRRSRR

ImprovementImprovement inin productivityproductivity ofofcropscrops inin acidicacidic soilssoils throughthrough limelimetreatmenttreatment

EastCoastPlains & Hills(PartEastCoastPlains & Hills(Partof Orissaof Orissa))

RiceRice isis thethe leadlead cropcrop inin thisthis zonezone..However,However, thethe productivityproductivity isis lowlow..

HighHigh yieldingyielding varietiesvarieties forfor waterwaterloggedlogged areasareas andand uplandupland areasareasneedsneeds toto bebe propagatedpropagated

DiscouragingDiscouraging thethe cultivationcultivation ofofricericeinin marginalmarginal landslands andand diversifyingdiversifyinginin favourfavour ofof oilseedsoilseeds andand pulsespulses

UtilizationUtilization ofof ricerice fallowsfallows forforincreasingincreasing thethe croppingcropping intensityintensity..

RiceRice--fishfish cultureculture

ImprovingImproving soilsoil drainagedrainage


56/60

Sum upSum up

Emphasis onPulsesthrough revampedEmphasis onPulsesthrough revampedprogrammatic interventions and prevailing goodprogrammatic interventions and prevailing goodmarketpriceshould help in achievementofmarketpriceshould help in achievementof

productiontargets of pulsesproductiontargets of pulses Focus on Eastern Regionthathas huge potentialFocus on Eastern Regionthathas huge potential

would help macro level stability of agriculturewould help macro level stability of agricultureproductionproduction

Enabling policies on marketdevelopmentwouldEnabling policies on marketdevelopmentwouldbring in private investments for value additiontobring in private investments for value additiontothe harvests and efficiency gains insupply chainthe harvests and efficiency gains insupply chain


57/60

PPRODUCTIONRODUCTION

Largestproducer inthe world ofLargestproducer inthe world ofmilk, cashew nuts, coconuts, tea,milk, cashew nuts, coconuts, tea,ginger, turmeric and black pepper.ginger, turmeric and black pepper.

Worlds largestcattle populationWorlds largestcattle population

(193 million).(193 million). Second in world in farm output.Second in world in farm output.

Second largestproducer of wheat,Second largestproducer of wheat,rice, sugar, groundnutand fish.rice, sugar, groundnutand fish.

It isthe 3It isthe 3rdrd

largestproducer oflargestproducer oftobacco.tobacco.

Accounts for 10% ofthe world fruitAccounts for 10% ofthe world fruitproduction.production.


58/60

PPRODUCTION (contd.)RODUCTION (contd.)

CommodityCommodity Output per acreOutput per acre

National averageNational average 0.290.29

SugarcaneSugarcane 26.1526.15

PotatoPotato 6.326.32

WheatWheat 0.840.84

RiceRice 0.700.70

CornCorn 0.640.64

GroundnutGroundnut 0.370.37

Soya beanSoya bean 0.320.32


59/60

Factors for low productivityFactors for low productivity

Illiteracy, reforms andIlliteracy, reforms andinadequate or inefficientinadequate or inefficientfinance and marketingfinance and marketing

services for farm products.services for farm products.Averagesize of land holdingsAveragesize of land holdings

is verysmall.is verysmall.

Adoption of modernAdoption of modernagricultural practices and useagricultural practices and useoftechnology is inadequate.oftechnology is inadequate.

Irrigation facilities areIrrigation facilities are

inadequate.inadequate.


60/60

agricultural-reform-in-india_- Zarapkar

Documents

Transcript of agricultural-reform-in-india_- Zarapkar