Agriculture in India

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Major crop areas in India: R Rice, WWheat, J Sorghum, B Millet
Agriculture in Pondicherry, India
Agriculture has a significant role in socio!economic fa"ric of India #ere Sikh farmers are deploying a tractor and cane
crusher to produce and distri"ute free cane juice on an Indian festi$al
Se$eral festi$als relate to Agriculture in India #oli ! the festi$al of colors ! is cele"rated across India as the coming of spring
It is cele"rated %ith "onfires, meeting friends and strangers, playful painting each other %ith colors
Farms in rural India Most farms in India are small plots such as in this image
Agriculture in India has a significant history &oday, India ranks second %orld%ide in farm
output Agriculture and allied sectors likeforestry and fisheries accounted for '(() of the *+P in ,--., a"out
/-) of the total %orkforce
0'1
&he economic contri"ution of agriculture to India2s *+P is steadily declining %ith
the country2s "road!"ased economic gro%th Still, agriculture is demographically the "roadest economic sector
and plays a significant role in the o$erall socio!economic fa"ric of India
Contents
[hide]
1 Overview
2 History
o 2.1 Agriculture and
colonialism
o 2.2 Indian agriculture
since 1947
Accom!lishments
4 "ro#lems
$ Initiatives
% &a!s
7 'ee also
( )e*erences
9 +,ternal lin-s
0edit13$er$ie%
Per ,-'- FA3 %orld agriculture statistics, India is the %orld2s largest producer of many fresh fruits and
$egeta"les, milk, major spices, select fresh meats, select fi"rous crops such as jute, se$eral staples such
as millets and castor oil seed India is the second largest producer of %heat and rice, the %orld2s major food
staples
0,1
India is also the %orld2s second or third largest producer of se$eral dry fruits, agriculture!
"ased te4tile ra% materials, roots and tu"er crops, pulses, farmed fish, eggs, coconut, sugarcane and
numerous $egeta"les India ranked %ithin the %orld2s fi$e largest producers of o$er 5-) of agricultural produce
items, including many cash crops such as coffeeand cotton, in ,-'-
0,1
India is also one of the %orld2s fi$e
largest producers of li$estock and poultry meat, %ith one of the fastest gro%th rates, as of ,-''
061
3ne report from ,--5 claimed India2s population is gro%ing faster than its a"ility to produce rice and %heat
071
3ther recent studies claim India can easily feed its gro%ing population, plus produce %heat and rice for
glo"al e4ports, if it can reduce food staple spoilage, impro$e its infrastructure and raise its farm producti$ity to
those achie$ed "y other de$eloping countries such as 8ra9il and :hina
0/10(1
In fiscal year ending ;une ,-'', %ith a normal monsoon season, Indian agriculture accomplished an all time
record production of 5/. million tons of %heat, a (6 percent increase from a year earlier Rice output in India
also hit a ne% record at ./6 million tons, a <) increase from the year earlier
0<1
=entils and many other food
staples production also increased year o$er year Indian farmers, thus produced a"out <' kilograms of %heat
and 5- kilograms of rice for e$ery mem"er of Indian population in ,-'' &he per capita supply of rice e$ery
year in India is no% higher than the per capita consumption of rice e$ery year in ;apan
051
India e4ported a"out , "illion kilograms each of %heat and rice in ,-'' to Africa, >epal, 8angladesh and other
regions of the %orld
0<1
A?uaculture and catch fishery is amongst the fastest gro%ing industries in India 8et%een '..- and ,-'-,
Indian fish capture har$est dou"led, %hile a?uaculture har$est tripled In ,--5, India %as the %orld2s si4th
largest producer of marine and fresh%ater capture fisheries, and the second largest a?uaculture farmed fish
producer India e4ported (--,--- metric tonnes of fish products to nearly half of all the %orld2s countries
0.10'-10''1
India has sho%n a steady a$erage nation%ide annual increase in the kilograms produced per hectare for
$arious agricultural items, o$er the last (- years &hese gains ha$e come mainly from India2s green re$olution,
impro$ing road and po%er generation infrastructure, kno%ledge of gains and reforms
0',1
+espite these recent
accomplishments, agriculture in India has the potential for major producti$ity and total output gains, "ecause
crop yields in India are still just 6-) to (-) of the "est sustaina"le crop yields achie$a"le in the farms of
de$eloped as %ell as other de$eloping countries
0'61
Additionally, losses after har$est due to poor infrastructure
and unorgani9ed retail cause India to e4perience some of the highest food losses in the %orld
0'710'/1
0edit1#istory
Main article: History of agriculture in India
@edic literature pro$ides some of the earliest %ritten record of agriculture in India Rig$eda hymns, for e4ample,
descri"es plo%ing, fallo%ing, irrigation, fruit and $egeta"le culti$ation 3ther historical e$idence suggests rice
and cotton %ere culti$ated in the Indus @alley, and plo%ing patterns from the 8ron9e Age ha$e "een e4ca$ated
at Aali"angan in Rajasthan
0'(1
8humi$argaha, another ancient Indian Sanskrit te4t, suggested to "e ,/-- years
old, classifies agricultural land into t%el$e categories: ur$ara BfertileC, ushara B"arrenC, maru BdesertC, aprahata
Bfallo%C, shad$ala BgrassyC, pankikala BmuddyC, jalaprayah B%ateryC, kachchaha Bland contiguous to %aterC,
sharkara Bfull of pe""les and pieces of limestoneC, sharkara$ati BsandyC, nadimatruka Bland %atered from a
ri$erC, and de$amatruka BrainfedC Some archaeologists "elie$e rice %as a domesticated crop along the "anks
of the Indian ri$er ganges in the si4th millennium 8: So %ere species of %inter cereals B"arley, oats, and
%heatC and legumes Blentil and chickpeaC gro%n in >orth%est India "efore the si4th millennium 8: 3ther crops
culti$ated in India 6--- to (--- years ago, include sesame, linseed, safflo%er, mustards, castor, mung "ean,
"lack gram, horse gram, pigeonpea, field pea, grass pea BkhesariC, fenugreek, cotton, juju"e, grapes, dates,
jackfruit, mango, mul"erry, and "lack plum Indian peasants had also domesticated cattle, "uffaloes, sheep,
goats, pigs and horses thousands of years ago Some scientists claim agriculture in India %as %idespread in
the Indian peninsula, some 6---D/--- years ago, %ell "eyond the fertile plains of the north For e4ample, one
study reports t%el$e sites in the southern Indian states of Aarnataka and Andhra Pradesh pro$iding clear
e$idence of agriculture of pulses B@igna radiata and Macrotyloma uniflorumC, millet!grasses B8rachiaria ramosa
and Setaria $erticillataC, %heats B&riticum diococcum, &riticum durumEaesti$umC, "arley B#ordeum $ulgareC,
hyacinth "ean B=a"la" purpureusC, pearl millet BPennisetum glaucumC, finger millet BFleusine coracanaC, cotton
B*ossypium spC, linseed B=inum spC, as %ell as gathered fruits of Gi9iphus and t%o :ucur"itaceae
0'<10'51
Some claim Indian agriculture "egan "y .--- 8: as a result of early culti$ation of plants, and domestication of
crops and animals
0'.1
Settled life soon follo%ed %ith implements and techni?ues "eing de$eloped for
agriculture
0,-10,'1
+ou"le monsoons led to t%o har$ests "eing reaped in one year
0,,1
Indian products soon
reached the %orld $ia e4isting trading net%orks and foreign crops %ere introduced to India
0,,10,61
Plants and
animalsHconsidered essential to their sur$i$al "y the IndiansHcame to "e %orshiped and $enerated
0,71
&he middle ages sa% irrigation channels reach a ne% le$el of sophistication in India and Indian crops affecting
the economies of other regions of the %orld under Islamicpatronage
0,/10,(1
=and and %ater management
systems %ere de$eloped %ith an aim of pro$iding uniform gro%th
0,<10,51
+espite some stagnation during the later
modern era the independent Repu"lic of India %as a"le to de$elop a comprehensi$e agricultural program
0,.106-1
0edit1Agriculture and colonialism
3$er ,/-- years ago, Indian farmers had disco$ered and "egun farming many spices and sugarcane It %as in
India, "et%een the si4th and fourth centuries 8:, that the Persians, follo%ed "y the *reeks, disco$ered the
famous Ireeds that produce honey %ithout "eesJ "eing gro%n &hese %ere locally called , pronounced as
saccharum BKLMNOPQC 3n their return journey, the Macedonian soldiers carried the Rhoney "earing reeds,R thus
spreading sugar and sugarcane agriculture
06'106,1
People in India had also in$ented, "y a"out /-- 8:, the
process to produce sugar crystals In the local language, these crystals %ere called khanda BC, %hich is the
source of the %ord candy
0661
Prior to '5th century, culti$ation of sugar cane %as largely confined to India A fe% merchants "egan to trade
in sugar ! a lu4ury and an e4pensi$e spice in Furope until the '5th century Sugar "ecame %idely popular in
'5th century Furope, then graduated to "ecoming a human necessity in the '.th century all o$er the %orld
&his e$olution of taste and demand for sugar as an essential food ingredient unleashed major economic and
social changes Sugarcane does not gro% in cold, frost!prone climateS therefore, tropical and semitropical
colonies %ere sought Sugarcane plantations, just like cotton farms, "ecame a major dri$er of large and forced
human migrations in '.th century and early ,-th century ! of people from Africa and from India, "oth in millions
! influencing the ethnic mi4, political conflicts and cultural e$olution of $arious :ari""ean, South American,
Indian 3cean and Pacific island nations
067106/1
&he history and past accomplishments of Indian agriculture thus
influenced, in part, colonialism, first sla$ery and then sla$ery!like indentured la"or practices in the ne%
%orld, :ari""ean %ars and the %orld history in '5th and '.th centuries
06(106<1065106.107-1
0edit1Indian agriculture since 1947
3$er /- years since its independence, India has made immense progress to%ards food security Indian
population has tripled, "ut food!grain production more than ?uadrupled: there has thus "een su"stantial
increase in a$aila"le food!grain per capita
Prior to the mid!'.(-s India relied on imports and food aid to meet domestic re?uirements #o%e$er, t%o years
of se$ere drought in '.(/ and '.(( con$inced India to reform its agricultural policy, and that India could not
rely on foreign aid and foreign imports for food security India adopted significant policy reforms focused on the
goal of foodgrain self!sufficiency &his ushered in India2s *reen Re$olution It "egan %ith the decision to adopt
superior yielding, disease resistant %heat $arieties in com"ination %ith "etter farming kno%ledge to impro$e
producti$ity &he Indian state of Punja" led India2s green re$olution and earned itself the distinction of "eing the
country2s "read "asket
07'1
&he initial increase in production %as centred on the irrigated areas of the Indian states
of Punja", #aryana and %estern Tttar Pradesh With "oth the farmers and the go$ernment officials focusing on
farm producti$ity and kno%ledge transfer, India2s total foodgrain production soared A hectare of Indian %heat
farms that produced an a$erage of -5 tons in '.75, produced 7< tons of %heat in '.</ from the same land
Such rapid gro%ths in farm producti$ity ena"led India to "ecome self!sufficient "y the '.<-s It also
empo%ered the smallholder farmers to seek further means to increase food staples produced per hectare 8y
,---, Indian farms %ere adopting %heat $arieties capa"le of yielding ( tons of %heat per hectare
0/107,1
Men and %omen at %ork in rice paddy fields in &amil >adu
With agricultural policy success in %heat, India2s *reen Re$olution technology spread to rice #o%e$er, since
irrigation infrastructure %as $ery poor, Indian farmer inno$ated %ith tu"e!%ells, to har$est ground %ater When
gains from the ne% technology reached their limits in the states of initial adoption, the technology spread in the
'.<-s and '.5-s to the states of eastern India H 8ihar,03rissa1 and West 8engal &he lasting "enefits of the
impro$ed seeds and ne% technology e4tended principally to the irrigated areas %hich account for a"out one!
third of the har$ested crop area In the '.5-s, Indian agriculture policy shifted to Re$olution of a production
pattern in line %ith the demand patternR leading to a shift in emphasis to other agricultural commodities like
oilseed, fruit and $egeta"les Farmers "egan adopting impro$ed methods and technologies in dairying,
fisheries and li$estock, and meeting the di$ersified food needs of India2s gro%ing population As %ith Rice, the
lasting "enefits of impro$ed seeds and impro$ed farming technologies no% largely depends on %hether India
de$elops infrastructure such as irrigation net%ork, flood control systems, relia"le electricity production capacity,
all season rural and ur"an high%ays, cold storage to pre$ent food spoilage, modern retail, and competiti$e
"uyers of produce from the Indian farmer &his is increasingly the focus of Indian agriculture policy
India2s agricultural economy is undergoing structural changes 8et%een '.<- and ,-'', the *+P share of
agriculture has fallen from 76 to '( percent &his isn2t "ecause of reduced importance of agriculture, or a
conse?uence of agricultural policy &his is largely "ecause of the rapid economic gro%th in ser$ices, industrial
output, and non!agricultural sectors in India "et%een ,--- to ,-'-
0edit1Accomplishments
Indian agriculture is di$erse, ranging from impo$erished farm $illages to de$eloped farms utili9ing modern agricultural
technologies &his image sho%s a farming community in a more prosperous part of India
A farm in #aryana, a northern state of India, prospering %ith India2s *reen Re$olution
&he changing face of Indian agriculture ! formation of larger farms and adoption of %ind po%er generation technologies
Rice farming in 8ihar, an eastern state of India
A panoramic $ie% of a rice, cassa$a and "anana farm in Aerala, a southern state of India
A mustard farm in Rajasthan, a %estern state of India
Amul ! an integrated dairy %ith milk processing plant in *ujarat, a %estern state of India
India has some of the %orld2s "est agricultural yields in its tea plantations An tea estate in Aerala, a southern state of India
As of ,-'', India had a large and di$erse agricultural sector, accounting, on a$erage, for a"out '( percent of
*+P and '- percent of e4port earnings India2s ara"le land area of '/.< million hectares B6.7( million acresC
is the second largest in the %orld, after the Tnited States Its gross irrigated crop area of 5,( million hectares
B,'/( million acresC is the largest in the %orld India has gro%n to "ecome among the top three glo"al
producers of a "road range of crops, including %heat, rice, pulses, cotton, peanuts, fruits, and $egeta"les
World%ide, as of ,-'', India had the largest herds of "uffalo and cattle, is the largest producer of milk, and has
one of the largest and fastest gro%ing poultry industries
0761
&he follo%ing ta"le presents the t%enty most important agricultural products in India, "y economic $alue, in
,--. Included in the ta"le is the a$erage producti$ity of India2s farms for each produce For conte4t and
comparison, included is the a$erage of the most producti$e farms in the %orld and name of country %here the
most producti$e farms e4isted in ,-'- &he ta"le suggests India has large potential for further
accomplishments from producti$ity increases, in increased agricultural output and agricultural incomes
077107/1
Agriculture in India, largest crops by economic value
[4%]
Economic value Unit price
Average yield, India
(2010)
Worlds most productive !arms
(2010)
[44]
)an- "roduce .2//9 !rices0 1'23 .1'2 4 -ilogram3 .tons !er hectare3
[47]
.tons !er hectare3
[4(]
5ountry
1 )ice 2(.42 #illion /.27 . 1/.( Australia
2 6u**alo mil- 224.(% #illion /.4 1.7
[49]
1.9
[49]
"a-istan
5ow mil- 217.1 #illion /.1 1.2
[49]
1/.
[49]
Israel
4 7heat 212.14 #illion /.1$ 2.( (.9 8etherlands
$ &angoes 29 #illion /.% %. 4/.% 5a!e 9erde
% 'ugar cane 2(.92 #illion /./ %% 12$ "eru
7 6ananas 2(.( #illion /.2( 7.( $9. Indonesia
( 5otton 2(.1 #illion 1.4 1.% 4.% Israel
9 :resh 9egeta#les 2$.97 #illion /.19 1.4 7%.( 1'A
1/ "otatoes 2$.%7 #illion /.1$ 19.9 44. 1'A
11 ;omatoes 24.$9 #illion /.7 19. $24.9 6elgium
12 6u**alo meat 24 #illion 2.%9 /.1(
[49]
/.424
[49]
;hailand
1 'oya#ean 2. #illion /.2% 1.1 .7 ;ur-ey
14 Onions 2.17 #illion /.21 1%.% %7. Ireland
1$ 5hic-en &eat 2.12 #illion /.%4 1/.% 2/.2 5y!rus
1% 5hic- !eas 2.11 #illion /.4 /.9 2.( 5hina
17 O-ra 2./7 #illion /.$ 7.% 2.9 Israel
1( 5attle &eat 22.9 #illion /.( 1.(
[$/]
24.7
[$/]
<ordan
19 +ggs 22.(/ #illion 2.7 /.1
[49]
/.42
[49]
<a!an
2/ 6eans 22.$7 #illion /.42 1.1 $.$ 8icaragua
&he Statistics 3ffice of the Food and Agriculture 3rgani9ation reported that, per final num"ers for ,--., India
had gro%n to "ecome the %orld2s largest producer of the follo%ing agricultural produce:
0/'10/,1
:resh :ruit
=emons and limes
6u**alo mil-0 whole0 *resh
"ulses
Indigenous 6u**alo &eat
:ruit0 tro!ical
5astor oil seeds
'un*lower seeds
'orghum
&illet
'!ices
O-ra
<ute
6eeswa,
6ananas
&angoes0 mangosteens0 guavas
>inger
5hic- !eas
Areca nuts
Other 6ast*i#res
"igeon !eas
"a!ayas
5hillies and !e!!ers0 dry
Anise0 #adian0 *ennel0 coriander
>oat mil-0 whole0 *resh
Per final num"ers for ,--., India is the %orld2s second largest producer of the follo%ing agricultural produce:
0/'1
7heat
)ice
9egeta#les0 *resh
'ugar cane
>roundnuts0 with shell
=entils
>arlic
5auli*lowers and #roccoli
"eas0 green
'esame seed
5ashew nuts0 with shell
'il-?worm cocoons0 reela#le
5ow mil-0 whole0 *resh
;ea
"otatoes
Onions
5otton lint
5ottonseed
+gg!lants .au#ergines3
8utmeg0 mace and cardamoms
Indigenous >oat &eat
5a##ages and other #rassicas
"um!-ins0 s@uash and gourds
In ,--., India %as the %orld2s third largest producer of eggs, oranges, coconuts, tomatoes, peas and "eans
0/'1
In addition to gro%th in total output, agriculture in India has sho%n an increase in a$erage agricultural output
per hectare in last (- years &he ta"le "elo% presents a$erage farm producti$ity in India o$er three farming
years for some crops Impro$ing road and po%er generation infrastructure, kno%ledge gains and reforms has
allo%ed India to increase farm producti$ity "et%een 7-) to /--) o$er 7- years
0',1
India2s recent
accomplishments in crop yields %hile "eing impressi$e, are still just 6-) to (-) of the "est crop yields
achie$a"le in the farms of de$eloped as %ell as other de$eloping countries Additionally, despite these gains in
farm producti$ity, losses after har$est due to poor infrastructure and unorgani9ed retail cause India to
e4perience some of the highest food losses in the %orld
Agriculture productivity in India, gro"t# in average yields !rom 1$%0 to 2010
Crop
[12]
Average &IE'(, 1$%0)1$%1 Average &IE'(, 1$$0)1$$1 Average &IE'(, 2010*2011
-ilogram !er hectare -ilogram !er hectare -ilogram !er hectare
[$]
)ice 112 174/ 224/
7heat 1/7 22(1 29(
"ulses $24 $7( %(9
Oilseeds $79 771 12$
'ugarcan
e
4(22 %$9$ %($9%
;ea 11(2 1%$2 1%%9
5otton 1/% 22$ $1/
India and :hina are competing to esta"lish the %orld record on rice yields Uuan =ongping of :hina >ational
#y"rid Rice Research and +e$elopment :enter, :hina, set a %orld record for rice yield in ,-'- at '. tonnes
per hectare in a demonstration plot In ,-'', this record %as surpassed "y an Indian farmer, Sumant Aumar,
%ith ,,7 tonnes per hectare in 8ihar, also in a demonstration plot 8oth these farmers claim to ha$e employed
ne%ly de$eloped rice "reeds and System of Rice Intensification BSRIC, a recent inno$ation in rice farming &he
claimed :hinese and Indian yields ha$e yet to "e demonstrated on < hectare farm lots and that these are
reproduci"le o$er t%o consecuti$e years on the same farm
0/710//10/(10/<1
0edit1Pro"lems
Farmers manually har$esting rice in southern India
A rural market in India ! farmers %ith limited marketing options sell their surplus produce
India lacks cold storage, food packaging as %ell as safe and efficient rural transport system &his causes one of the %orld2s
highest food spoilage rates, particularly during Indian monsoons and other ad$erse %eather conditions Food tra$els to the
Indian consumer through a slo% and inefficient chain of traders Indian consumers "uy agricultural produce in su"ur"an
markets kno%n as 2sa"9i mandi2 such as one sho%n or from roadside $endors
:otton flo%er in India &his is the main cash crop in @idar"ha region
3ne of the $arieties of chilliB%hich colour,d%arfC found in Aarnataka
Indian agriculture includes a mi4 of traditional to modern farming techni?ues In some parts of India, traditional use of cattle
to plough farms remains in use &raditional farms ha$e some of the lo%est per capita producti$ities and farmer incomes
RSlo% agricultural gro%th is a concern for policymakers as some t%o!thirds of IndiaVs people depend on rural
employment for a li$ing :urrent agricultural practices are neither economically nor en$ironmentally sustaina"le
and India2s yields for many agricultural commodities are lo% Poorly maintained irrigation systems and almost
uni$ersal lack of good e4tension ser$ices are among the factors responsi"le Farmers2 access to markets is
hampered "y poor roads, rudimentary market infrastructure, and e4cessi$e regulationR
HWorld 8ank: RIndia :ountry 3$er$ie% ,--5R
0/51
RWith a population of just o$er ', "illion, India is the %orldVs largest democracy In the past decade, the
country has %itnessed accelerated economic gro%th, emerged as a glo"al player %ith the %orldVs fourth largest
economy in purchasing po%er parity terms, and made progress to%ards achie$ing most of the Millennium
+e$elopment *oals IndiaVs integration into the glo"al economy has "een accompanied "y impressi$e
economic gro%th that has "rought significant economic and social "enefits to the country >e$ertheless,
disparities in income and human de$elopment are on the rise Preliminary estimates suggest that in ,--.!'-
the com"ined all India po$erty rate %as 6,) compared to 6<) in ,--7!-/ *oing for%ard, it %ill "e essential
for India to "uild a producti$e, competiti$e, and di$ersified agricultural sector and facilitate rural, non!farm
entrepreneurship and employment Fncouraging policies that promote competition in agricultural marketing %ill
ensure that farmers recei$e "etter pricesR
HWorld 8ank: RIndia :ountry 3$er$ie% ,-''R
0(1
A ,--6 analysis of IndiaVs agricultural gro%th from '.<- to ,--', "y Food and Agriculture 3rgani9ation of the
Tnited >ations, identified systemic pro"lems in Indian agriculture For food staples, the annual gro%th rate in
production during the si4!year segments '.<-!<(, '.<(D5,, '.5,D55, '.55D'..7, '..7!,--- %ere found to "e
respecti$ely ,/, ,/, 6-, ,(, and '5 percent per annum :orresponding analyses for the inde4 of total
agricultural production sho% a similar pattern, %ith the gro%th rate for '..7!,--- attaining only '/ percent per
annum &he lo% gro%th rates may constitute in part a response to inade?uate returns to Indian farmers
0/.1
India
has $ery poor rural roads affecting timely supply of inputs and timely transfer of outputs from Indian farms,
inade?uate irrigation systems, crop failures in some parts of the country "ecause of lack of %ater %hile in other
parts "ecause of regional floods, poor seed ?uality and inefficient farming practices in certain parts of India,
lack of cold storage and har$est spoilage causing o$er 6-) of farmer2s produce going to %aste, lack
of organi9ed retail and competing "uyers there"y limiting Indian farmer2s a"ility to sell the surplus and
commercial crops &he Indian farmer recei$es just '- to ,6 percent of the price the Indian consumer pays for
e4actly the same produce, the difference going to losses, inefficiencies and middlemen traders Farmers in
de$eloped economies of Furope and the Tnited States, in contrast, recei$e (7 to 5' percent of the price the
local consumer pays for e4actly the same produce in their supermarkets
F$en though, India has sho%n remarka"le progress in recent years and has attained self!sufficiency in food
staples, the producti$ity of Indian farms for the same crop is $ery lo% compared to farms in 8ra9il, the Tnited
States, France and other nations Indian %heat farms, for e4ample, produce a"out a third of %heat per hectare
per year in contrast %ith %heat farms in France Similarly, at 77 million hectares, India had the largest farm
area under rice production in ,--.S yet, the rice farm producti$ity in India %as less than half the rice farm
producti$ity in :hina 3ther food staples producti$ity in India is similarly lo%, suggesting a major opportunity for
gro%th and future agricultural prosperity potential in India Indian total factor producti$ity gro%th remains "elo%
, percent per annumS in contrast, :hina has sho%n total factor producti$ity gro%ths of a"out ( percent per
annum, e$en though :hina too has smallholding farmers If India could adopt technologies and impro$e its
infrastructure, se$eral studies suggest India could eradicate hunger and malnutrition %ithin India, and "e a
major source of food for the %orld
Indian farms are not poor performing for e$ery crop For some, Indian farms post the "est yields For e4ample,
some of India2s regions consistently posts some of the highest yields for sugarcane, cassa$a and tea crops
e$ery year
Within India, a$erage yields for $arious crops $ary significantly "et%een Indian states Some Indian states
produce t%o to three times more grains per acre of land than the grain produced in same acre of land in other
Indian states &he ta"le compares the state%ide a$erage yields for a fe% major agricultural crops %ithin India,
again for ,--'!,--, agricultural year
0(-1
Crop
[%/]
Average !arm yield in +i#ar Average !arm yield in ,arnata-a Average !arm yield in .un/ab
-ilogram !er hectare -ilogram !er hectare -ilogram !er hectare
7heat 2/2/ un-nown ((/
)ice 17/ 2(/ 1/
"ulses %1/ 47/ (2/
Oil seeds %2/ %(/ 12//
'ugarcan
e
4$$1/ 79$%/ %$//
:rop yields for some farms %ithin India are %ithin .-) of the "est achie$ed yields "y farms in de$eloped
countries such as the Tnited States and in Furopean Tnion >o single state of India is "est in e$ery crop
Indian states such as &amil >adu achie$e highest yields in rice and sugarcane, #aryana enjoys the highest
yields in %heat and coarse grains, Aarnataka does %ell in cotton, 8ihar does %ell in pulses, %hile other states
do %ell in horticulture, a?uaculture, flo%er and fruit plantations &hese differences in agricultural producti$ity
%ithin India is a function of local infrastructure, soil ?uality, micro!climates, local resources, farmer kno%ledge
and inno$ations #o%e$er, one of the serious pro"lems in India is the lack of rural road net%ork, storage,
logistics net%ork, and efficient retail to allo% free flo% of farm produce from most producti$e "ut distant Indian
farms to Indian consumers Indian retail system is highly inefficient Mo$ement of agricultural produce %ithin
India is hea$ily and o$erly regulated, %ith inter!state and e$en inter!district restrictions on marketing and
mo$ement of agricultural goods
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&he talented and efficient farms are currently una"le to focus on the crops
they can produce %ith high yields and at lo%est costs
3ne study suggests Indian agricultural policy should "est focus on impro$ing rural infrastructure primarily in
form of irrigation and flood control infrastructure, kno%ledge transfer in forms of "etter yielding and more
disease resistant seeds %ith the goal of sustaina"ly producing as many kilograms of food staples per hectare
as already produced sustaina"ly in other nations Additionally, cold storage, hygienic food packaging and
efficient modern retail to reduce %aste can also dramatically impro$e IndiaVs agricultural output a$aila"ility and
rural incomes
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&he lo% producti$ity in India is a result of the follo%ing factors:
&he a$erage si9e of land holdings is $ery small Bless than , hectaresC and is su"ject to fragmentation
due to land ceiling acts, and in some cases, family disputes Such small holdings are often o$er!manned,
resulting in disguised unemployment and lo% producti$ity of la"our Some reports claim smallholder
farming may not "e cause of poor producti$ity, since the producti$ity is higher in :hina and many
de$eloping economies e$en though :hina smallholder farmers constitute o$er .< percent of its farming
population
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:hinese smallholder farmer is a"le to rent his land to larger farmers, :hina2s organi9ed retail
and e4tensi$e :hinese high%ays are a"le to pro$ide the incenti$e and infrastructure necessary to its
farmers for sharp increases in farm producti$ity
Adoption of modern agricultural practices and use of technology is inade?uate, hampered "y
ignorance of such practices, high costs and impracticality in the case of small land holdings
According to the World 8ank, Indian 8ranch: Priorities for Agriculture and Rural +e$elopmentR, India2s
large agricultural su"sidies are hampering producti$ity!enhancing in$estment 3$erregulation of agriculture
has increased costs, price risks and uncertainty *o$ernment inter$enes in la"our, land, and credit
markets India has inade?uate infrastructure and ser$ices
0(,1
World 8ank also says that the allocation of
%ater is inefficient, unsustaina"le and ine?uita"le &he irrigation infrastructure is deteriorating
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&he
o$eruse of %ater is currently "eing co$ered "y o$er pumping a?uifers, "ut as these are falling "y foot of
ground%ater each year, this is a limited resource
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Illiteracy, general socio!economic "ack%ardness, slo% progress in implementing land reforms and
inade?uate or inefficient finance and marketing ser$ices for farm produce
Inconsistent go$ernment policy Agricultural su"sidies and ta4es often changed %ithout notice for short
term political ends
Irrigation facilities are inade?uate, as re$ealed "y the fact that only /,() of the land %as irrigated in
,--6D-7,
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%hich result in farmers still "eing dependent on rainfall, specifically the Monsoon season A
good monsoon results in a ro"ust gro%th for the economy as a %hole, %hile a poor monsoon leads to a
sluggish gro%th
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Farm credit is regulated "y >A8AR+, %hich is the statutory ape4 agent for rural
de$elopment in the su"continent At the same time o$erpumping made possi"le "y su"sidi9ed electric
po%er is leading to an alarming drop in a?uifer le$els
0((10(<10(51
A third of all food that is produced rots due to inefficient supply chains and the use of the RWalmart
modelR to impro$e efficiency is "locked "y la%s against foreign in$estment in the retail sector
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0edit1Initiati$es
@iticulture farms in Maharashtra, a %estern state in India
A tea plantation in Aerala
&he re?uired le$el of in$estment for the de$elopment of marketing, storage and cold storage infrastructure is
estimated to "e huge &he go$ernment has not "een a"le to implement $arious schemes to raise in$estment in
marketing infrastructure Among these schemes are Construction of Rural Godowns, Market Research and
Information Network, and Development !trengthening of "gricultural Marketing Infrastructure# Grading and
!tandardi$ation
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&he Indian Agricultural Research Institute BIARIC, esta"lished in '.-/, %as responsi"le for the search leading to
the RIndian *reen Re$olutionR of the '.<-s &he Indian :ouncil of Agricultural Research BI:ARC is the ape4
"ody in agriculture and related allied fields, including research and education
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&he Tnion Minister of
Agriculture is the President of the I:AR &he Indian Agricultural Statistics Research Institute de$elops ne%
techni?ues for the design of agricultural e4periments, analyses data in agriculture, and speciali9es in statistical
techni?ues for animal and plant "reeding
Recently *o$ernment of India has set up Farmers :ommission to completely e$aluate the agriculture program
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#o%e$er the recommendations ha$e had a mi4ed reception
In >o$em"er ,-'', India announced major reforms in organi9ed retail &hese reforms %ould include logistics
and retail of agricultural produce &he reform announcement led to major political contro$ersy &he reforms
%ere placed on hold "y the Indian go$ernment in +ecem"er ,-''
In the summer of ,-',, the su"sidi9ed electricity for pumping, %hich has caused an alarming drop in a?uifer
le$els, put additional strain on the country2s electrical grid due to a '. percent drop in monsoon rains, and may
ha$e helped contri"ute to a "lackout across much of the country In response the state of 8ihar offered farmers
o$er W'-- million in su"sidi9ed diesel to operate their pumps
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