economic & human geography - ias score · 2019. 8. 6. · economic & human geography 6...

ECONOMIC & HUMAN

GEOGRAPHYTO

PICS

MP1-G-EHG-19

Agriculture Role of Allied Sectors in Rural DevelopmentResources Industries Transportation Demography Urbanization

AGRICULTURE 01. 6-27Challenges of Agriculture Productivity & Production1. .................. 8Evergreen Green Revolution for Sustainable Livelihood2. ........... 10Organic Farming3. ............................................................................. 12Diversifi cation of Agriculture4. ........................................................ 13 Pulses5. ................................................................................................ 15 North East Angle in Agriculture6. .................................................... 16 Sugarcane Pricing7. ........................................................................... 17 Contract Farming: Benefi ts and Challenges8. ................................ 18Role of infrastructural and institutional factors in the recent 9. ....transformation of Indian agriculture ........................................... 20 National Agriculture Market (NAM)10. ............................................. 22 GM Crops11. .......................................................................................... 23 Food Security12. ................................................................................... 25

ROLE OF ALLIED SECTORS IN RURAL DEVELOPMENT2. 28-39 Horticulture1. ..................................................................................... 28 Urban Horticulture2. ......................................................................... 29 3. Floriculture ...................................................................................... 31 Beekeeping4. ...................................................................................... 32 Floods5. ................................................................................................ 33 6. Droughts........................................................................................... 36

RESOURCES 3. 40-61 Geopolitics of Natural resources: Spatial Analysis1. ..................... 40 2. Depletion of natural resources versus Economic Growth ................41 Energy Resources3. ............................................................................ 43 India: Coal Reserves4. ........................................................................ 44 India: Gas and Oil Field5. ................................................................... 45 Hydroelectric Power6. ....................................................................... 45

Contents

Nuclear Energy7. ................................................................................ 46 Non Conventional Sources of Energy8. ........................................... 46 Emerging sources of clean energy:9. ............................................... 47 India Waste to Energy Conversion10. ................................................ 48 Renewable energy and Women Empowerment11. .......................... 49 Energy Effi ciency and Energy Conservation: Initiatives by12. ........... Government ..................................................................................... 49 Does Access to Energy Cause Human Development13. ................... 52 World Energy Outlook, 201814. ........................................................... 53 Energy Security: Energy Policy and strategy in India15. ................. 55 Water Resources16. .............................................................................. 57 Agriculture and Water17. .................................................................... 58 Industries and Water.18. ..................................................................... 59 Water & Climate Change19. ................................................................ 60 Geopolitics of Natural Resources20. .................................................. 61

INDUSTRIES 4. 62-76 Food Processing Industry1. ............................................................... 62 Seed Industry in India2. .................................................................... 63 MSME Industries in India3. ............................................................... 64Role of Industrial development in minimizing regional 4. inequalities .....................................................................................67 Agro-based Industries: Problems and Prospects5. ........................ 68 Coir Industry6. .................................................................................... 70 Impact of 4th industrial revolution on global manufacturing 7. sector ...............................................................................................71 Rural Tourism8. .................................................................................. 73

TRANSPORTATION5. 77-85 Roadways1. ......................................................................................... 78 Railways2. ............................................................................................ 79 Water Transport3. .............................................................................. 79 Sagarmala Project4. ........................................................................... 82 Air Transport5. .................................................................................... 83 Oil & Gas Pipelines6. .......................................................................... 84 North East Angle7. ............................................................................. 84

DEMOGRAPHY6. 86-94 Global Population Ageing - Causes and Consequences1. .............. 86 Demographic Window of opportunities2. ....................................... 87 Son Meta Preference3. ....................................................................... 89 Astropolitics : Its growing signifi cance4. ........................................ 90 SDG index 2018: global regional analysis5. ..................................... 92

URBANIZATION 7. 95-104 1. Habitat III Conference .................................................................. 100 Burden on Resources due to Rural-Urban Migration2. ............... 101 Urban Heat Island effect on National Capital Region of India3. 103

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ECONOMIC & HUMAN GEOGRAPHY

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CHAPTER 1

Agriculture includes raising of crops from the land, animal husbandry, agroforestry, apiculture, pisciculture etc. India is pre-eminently an agricultural country. Till 1971, about 80% of India’s population lived in rural areas and depended directly or indirectly on agriculture. It contributed about 45% of the GDP at that time. The relative importance of the agriculture has reduced considerably since then due to rapid development of the other occupations such as mining, manufacturing, transport, trade and services. Today, agriculture and allied sectors contribute nearly 17.5% of GDP, while about 55% of the population is dependent on the agriculture for their livelihood, and it still forms the hub of the India’s economy.

Salient features of the Indian agriculture

Subsistence agriculture: The farmer owns a small piece of the land, grows crops with the help of his family members and consumes almost the entire farm produce with little surplus to sell in the market. Monsoon dependent agriculture: as most of the rainfall received in India is from Monsoon. Diversity in crops: Major topographic differences i.e. soil, slope, gradient relief, climate etc results in the variety of crops. Dominance of Food crops: Indian agriculture is dominated more with food crop than cash crop. Intensive farming. Labour intensive in nature. Dependence on conventional methods:Importance of animals for the operations such as ploughing, irrigation, threshing & transporting.

Problems in Indian agriculture:

Depletion of Ground water especially in areas of low rainfall caused by excessive use in past. Worsened quality of soil due to intense use of nitrogenous fertilizers. Stagnation in Production of Major Crops such as wheat, rice in belts of Punjab and Haryana. Overuse of subsidized inputs such as high use of chemical fertilizers & power is causing excessive depletion of soil nutrients and of groundwater. India has adopted Nutrient Based Subsidy(NBS) but it was fl awed as Urea was kept out of it. Lack of mechanization. Pressure of population on agriculture: Increased population coupled with fast urbanization is putting huge pressure on Indian agriculture.Fragmentation of agricultural lands.

AGRICULTURE


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Lack of MSP in other important food crops such as pulses and millets thus lack of crop diversifi cation. High cost of Farm Inputs: Over the years rates of farm inputs have increased manifold. Farm inputs include fertilizer, insecticide, pesticides, HYV seeds, farm labour cost etc. Such an increase puts low and medium land holding farmers at a disadvantage. Diffi culty for the farmers in claiming of insurance amounts due to lack of communication & requisite services. Inadequate storage facilities, transport, capital and advanced technologies. Faulty method of agriculture such as mono cropping and monoculture leading to loss of soil fertility. Impact of Globalization: The most evident impact is the squeeze on farmer’s income and the threat to the viability of cultivation in India. This is due to the rising input costs and falling output prices. This refl ects the combination of reduced subsidy and protection to farmers. Trade liberalization exposes these farmers to competition from highly subsidized production in the developed world. Farmers Suicide: The suicides appear concentrated in regions of high commercialization of agriculture and very high peasant debt. Cash crop farmers seemed far more vulnerable to suicide than those growing food crops.

Factors behind farmer’s suicide

Recent farmer’s agitation and suicide highlight the disparities in inclusive development. According to National Crime Record Bureau (NCRB) data farmer’s suicide saw a spike of 41.7% in 2015 from 2014 & more than 72% farmers who commit suicide have less than 2 ha of land. Some of the factors are:

Widespread drought, bad monsoon, and rising indebtedness. Bankruptcy, farming related issues, family problems, illness, drug abuse or alcoholism. Rather than moneylenders, the banks and microfi nance institutions are the main culprits as moneylenders were more fl exible than banks, while microfi nance institutions put pressure by telling others in SHGs that their share would be cut if one person does not pay loans in time. This creates social pressure. Problems in maintaining farm livestock owing to increasing costs, getting credit at good terms and conditions, lack of proper irrigation facilities and, absence of mechanization, ineffi cient transport facilities etc. Moreover farm population per hectare has increased resulting into the diversion of farm land increasing use for non-agricultural land.APMC and local traders exploiting farmers that leads to lower income of farmers. High input cost and worsened quality of soil due to excessive use of fertilizers, political incentives given to farmer’s family after suicide etc.

To address these issues Government has taken several steps:

Recently Centre has unveiled a draft model law, Agricultural Produce and Livestock Marketing (Promotion and Facilitating) Act (APLM), 2017 which will replace the Agriculture Produce Markets Committee Act, 2003. Its objectives are;

To create a single agri-market in a state where with single licence one can trade agricultural produce as well as livestock. Better price realization for farmers. Doubling farmer’s income by 2022.

Major initiatives such as Farmer First, Students READY, Attracting & Retaining Youth in Agriculture (ARYA) & Mera Gaon, Mera Gaurav for farm entrepreneurship, knowledge and empowerment of farmers. Knowledge based Resource Information System Hub for Innovation (KRISHI) which is countrywide digital agriculture research database.Pradhan Mantri Fasal Bima Yojana(PMFBY), a crop insurance scheme for farmers against any crop damage due to natural calamity,


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Pradhan Mantri Krishi Sinchai Yojana, Kisan Credit Card scheme. e-National Agriculture Market Scheme(e NAM) for unifying agriculture markets nationwide. Soil Health Cardsfor qualitative analysis of soils and nutrient requirements for variety of crops suitable for land. Increased MSP due to successive drought years has given respite. DBT(Direct Benefi t Transfer) scheme to remove fi nancial leakages.

Challenges of Agriculture Productivity & Production

Introduction:

Agricultural productivity is the term given to the output of agriculture in terms of the inputs such as the capital and labour. It is defi ned as the effi ciency of the farm. India primarily being an agricultural country gave a special attention to agriculture sector.Since the introduction of economic planning in India, agricultural development has been receiving a special emphasis. It was only after 1965, i.e., from the mid-period of the Third Plan, special emphasis was laid on the development of the agricultural sector. Since then, a huge amount of fund was allocated for the development and modernization of this agricultural sector every year. With the growth of Indian economy and emergence of newer technologies and ways of agriculture, India’s agricultural productivity has constantly increased over the years.

Agricultural Productivity in India

India’s agricultural productivity was 7.6 quintals per hectare in 1964-65 which has increased to 18.98 quintals per hectare in 2008-2009. This steep rise in agricultural productivity is due to development of science and technology over the years.As expected India’s agricultural productivity has not increased as compared to its global counterparts such as China, Brazil and the USA.

India’s Agricultural Productivity As Compared To Other Nations Of The World Although India is the second highest producer of paddy (rice) in the world (as of 2013), its yield is lower than China, Brazil and the USA. It is also the leading producer of pulses, but its yield is the lowest.India’s productivity has also grown at a slower rate as compared to others. For instance, while Brazil’s yield for rice increased from 1.3 tonne/ha in 1981 to 4.9 tonne/ha in 2011, India’s increased from 2.0 to 3.6. China’s productivity in rice also grew from 4.3 to 6.7 in this period.

Factor Affecting Agricultural Productivity: Increase in small land holdings

140 million hectare of land is used as agricultural area, as of 2012-13. Over the years, this area has been fragmented into smaller pieces of land. The number of marginal land holdings (less than one hectare) increased from 36 million in 1971 to 93 million in 2011. Marginal and small land holdings face a number of issues, such as problems with using mechanisation and irrigation techniques.Since smaller land holdings are either fragments of larger holdings which have been passed on within the family or have been informally leased by a large holder, farmers who cultivate these holdings often do not have a formal lease agreement.The absence of such land records does not allow these farmers to access formal credit or be eligible for government benefi ts such input subsidies or crop insurance schemes.

Land records and informal leasing Of the total agricultural area under operation, 10% of land has been given out on agricultural leases, with the percentage of leased out land varying across states. In the past, states such as Karnataka and West Bengal have attempted to provide legal rights to tenant farmers by forming electronic records of land holdings and giving tenant farmers the right to their produce.Currently, laws of tenancy of agricultural land vary across different states.States such as Kerala, Jammu and Kashmir and Manipur completely prohibit the leasing of agricultural land.


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Others such as Bihar, Karnataka, Uttar Pradesh, Telangana and Odisha allow land leasing only by certain categories of land owners. On the other hand, states such as Gujarat, Maharashtra, and Assam do not explicitly prohibit leasing, and allow the tenant to purchase the land from the owner after a specifi ed period of tenancy. In Andhra Pradesh, Tamil Nadu and West Bengal, there is no legal ban on leasing land. Different states also have different ceilings on the area of land which may be leased.The NITI Ayog has proposed a Model Land Leasing Law to provide for the legalization of land leasing.This would ensure that land owners have the security of ownership rights, and land tenants are secure in their tenancy. Legalization of land tenancy would also ensure that farmers get access to formal credit, insurance, and inputs such as fertilizers. Only Madhya Pradesh has adopted the Model land leasing law so far.

Access to agricultural credit and insurance Access to agricultural credit is linked to the holding of land titles. As a result, small and marginal farmers, who account for more than half of the total land holdings, and may not hold formal land titles, are unable to access institutionalized credit.Farmers may require credit for short term uses such as purchasing inputs, weeding, harvesting, sorting and transporting, or long term uses such as investing in agricultural machinery and equipment, or irrigation. Provisions of Direct Benefi t Transfers (DBT) in bank account under PM-KISAN scheme will help farmers to get credit at the beginning of the cropping season.There is a lack of insurance coverage in agriculture sector. If insurance is available to very limited section of farmers.However, Pradhan Mantri Fasal BimaYojana a central scheme for crop insurance has tried to help farmers in this regard.

Availability of water Around 60% of the total agriculture in India is rainfed. Although improved canal system has covered some rainfed areas but still a major portion of the rainfed areas are still dependent upon monsoon.There is a need to improve the effi ciency of water use, especially in agriculture. Irrigation currently consumes about 84% of the total available water in the country.

Quality of soil: Soil is one of the most important factors in the productivity of agriculture. Indian soil consists of primary nutrients such as nitrogen, phosphorous and potassium, secondary nutrients such as sulphur, calcium and magnesium, and micro-nutrients such as zinc, iron, and manganese.While the levels of food production have increased over the past few decades, it has also led to issues such as an imbalance of nutrients in the soil, decline in the water table as well as the quality of water, and overall depletion of soil health.About 5.3 billion tonnes of soil gets eroded annually, at a rate of about 16.4 tonne/hectare. Imbalance in the use of fertilizers in soil may also result in a loss of fertility.Schemes such as ‘Soil Health Card’ has tried to help farmers in mitigating this problem.

Access to quality seeds Quality seeds is another input necessary for agricultural productivity, and good quality seeds account for 20%-25% of increased crop productivity.While farmers can develop certain varieties of seeds from the crops harvested on their land, high- yielding varieties of seeds have to be purchased from the market. The cost of these varieties is too high for marginal and small farmers to afford, thus disincentivising them from purchasing these varieties.Hence, there is lack of availability of good quality seeds which needs to be regulated and monopoly of private companies on HYV seeds must be dealt.

Agricultural machinery Mechanization is another aspect with a signifi cant impact on agricultural productivity. The use of agricultural machinery in agriculture enables agricultural labour to be used in other activities. It makes activities such as tilling, spreading of seeds and fertilizers and harvesting more effi cient, so that the cost of inputs is offset. It can also make the use of labour in agriculture more cost-effective.


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The status of mechanisation in agriculture varies for different activities, although the overall level of mechanisation is still less than 50%, as compared to 90% in developed countries. The highest level of mechanisation (60%-70%) is observed in harvesting and threshing activities and irrigation (37%). The lowest level of mechanisation is found in seeding and planting. To increase productivity, farm equipment which is durable, light-weight and low cost, and also specifi c to different crops and regions should be made available for small and marginal farmers.Some challenges faced by farm mechanization include different soil and climatic zones which require customized farm machinery, and small land holdings with lack of access to resources. Mechanization should aim to increase agricultural effi ciency by reducing the time and labour requirement, minimizing wastage and reducing costs of labour.

Conclusion:

Agricultural productivity in India is still very less as compared to developed countries like United states and some of the developing countries like China and Brazil. Increasing population and infrastructure development in India coupled with growing industries and urbanization has put great pressure on land resources. Apart from it, the demand of agricultural products is increasing day by day due to increasing population. To achieve food security goals and sustainable development goals of Zero Hunger (Goal 2), India must increase its agricultural productivity in coming decades.

Evergreen Revolution for Sustainable Livelihood

Concept

“Evergreen Revolution” is a concept which aims to increase production and productivity in a manner such that short and long term goals of food production are not mutually antagonistic. It aims to produce more from less land, less pesticide, less water to ensure an evergreen revolution to get sustainable agriculture. India’s primitive agriculture which was indeed intensive in nature was based on the concept of evergreen revolution. Concept of evergreen revolution aims to introduce those practices in agriculture which can increase agricultural productivity without harming the ecosystem. The fi rst Green Revolution was to ensure food security as there was severe scarcity of food in the country. The Evergreen Revolution aims at creating sustainable agriculture by leveraging advancements in technology.

Need of Evergreen Revolution

With the growing population and over-exploitation of land resources, the pressure on food security will continue and rise. 68% of the population is still living in the villages and over 70% of the rural people are dependent on agriculture for their livelihood. Green Revolution, launched in mid-1960s, was mainly confi ned to certain areas. It was not successful in rain-fed areas, which contribute about 60% of the country’s total food-grain production. The Green Revolution has made us self-suffi cient in food grains but the environmental consequences and ecological costs are offsetting the progress made. The ground water is depleted and polluted. The lakes and ponds are becoming life less due to Eutrophication – a direct consequence of Green Revolution. Growth in the agricultural sector has been almost stagnant. GM Crops are marred in various controversies related to intellectual property, ecological consequences, health consequences etc. Global warming is said to engulf productive coastal lands due to rise in sea levels. This creates an urgent need to raise agricultural productivity.

Objectives of Evergreen Revolution:

Improving agricultural production while generating gainful self-employment for the small farmers and weaker sections of the society.


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Integrating ecology and technology for the sustainable development of the agriculture. Scaling up food production without disturbing the ecological balance. Boosting agricultural development, women empowerment and environmental protection. [Women are the major power in agriculture as about 65-70% of the labour in crop production is contributed by women].

Reclaiming degraded and low fertile lands and lands deprived of irrigation.

Strategies For Evergreen Revolution:

Micro Irrigation System for judicious use of water in agriculture. Organic farming for making agriculture environment friendly Precision farming refers to precise application of agricultural inputs based on soil, weather & crop requirement to maximize sustainable productivity, quality and profi tability. It includes use of latest technologies such as remote sensing, GPS etc. Eco Agriculturewhich brings together agriculture development and conservation of biodiversity as explicit objective on the same landscape.Bringing Green Revolution in Eastern India (BGREI):

BGREI is fl agship programme under Rashtriya Krishi Vikas Yojana (RKVY). It is intended to address the constraints limiting the productivity of ”rice based cropping systems”. BGREI focuses on bringing the Evergreen Revolution in eastern region, which has rich water resources. Assam, Bihar, Chhattisgarh, Jharkhand, Odisha, West Bengal and eastern Uttar Pradesh are the seven states included in BGREI.

Green Revolution versus Evergreen Revolution

Green revolution posed great threat to environment due to excessive use of chemical fertilizers, pesticides and herbicides which led to degradation of land and pollution of water body. It led to leaching and soil acidifi cation. While Evergreen revolution aims to use organic manure and natural techniques to help conserve environment and increase agriculture productivity together.The green revolution caused inter-regional and intra-regional disparity. In India it was successful in few sates only and benefi tted only those farmers who were capable of purchasing costly HYV seeds, fertilizers, pesticides and farm implements. While Evergreen revolution encourages use of bio-fertilizers and manures which are easily available and cheaper. They can be easily made by Indian farmers who most often practices agro-silvo-pastoral farming.Improved irrigation infrastructure in north-western part of India led to excessive use of water for agriculture which ultimately led to soil salinity in Punjab. Green revolution also encouraged farmers to grow unconventional crops which further degraded the quality of land in those areas. Evergreen revolution relies mainly on sustainable productions of crops which will lead to conservation of land and water bodies.

NITI Aayog’s 3-year road map for ‘Evergreen Revolution’

NITI Aayog unveiled a three-year roadmap (2017-20) intended to take farm growth to new heights. The roadmap for the next three years lists initiatives for the growth of farm sector and for ensuring that farmers’ income doubles by 2022.The new initiatives include use of cutting-edge technology to increase farm productivity, promotion of climate-resilient indigenous breeds of cows and buffaloes, launch of a nationwide programme to harvest the advantages of space technology in agriculture and allied sectors, promotion of deep sea fi shing, setting up of seed production and processing units at ‘panchayat’ level, increase of cropping intensity by 1 million hectares per year through the utilization of rice fallow areas for pulses and oil-seeds, and consolidation of online trading and inter-market transactions, among others.

Other initiatives of government in farming sector ‘Organic Farming’ under ‘Pramparagat Krishi Vikash Yojna’ is a good step towards realizing the concept of “Evergreen Revolution’.


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New farming techniques such as “Zero Budget Natural Farming” hasgiven Indian agriculture a new dimension. It is a collaboration of agricultural practices which were being practiced in primitive agricultural system.

Initiatives in Dairy Sector India has historically practiced mixed farming which provides ample amount of materials for organic manures and other essentials to practice organic farming. Initiatives such as Dairy Processing and Infrastructure Development Fund (DIDF) , RastriyaGokul Mission and RashtriyaKamdhenuAyog will help to increase productivity of bovine animals will help further to achieve sustainability in this sector.

Deep sea fi shing National Policy on Marine Fisheries intends to promote ‘Blue Growth Initiative’ which focus on ushering ‘Blue Revolution’ (Neel Kranti) by sustainable utilization of fi sheries wealth from the marine and other aquatic resources of the country.

Conclusion

India’s rapid population growth has urged policymakers to innovate new ways to secure sustainable growth in the fi eld of agriculture. Agriculture and allied activities still contribute for about 17.5 % in GDP and more than 55% of the total population of India is dependent upon agriculture and allied activities. India’s commitment towards doubling the farmers by 2022 makes it essential to take actions to increase agricultural productivity. Further, use of sustainable means will help farmers to reacquire degraded land areas which is more than 29% of the total land area of India. India’s leap towards attaining multiple sustainable development goals will be fulfi lled by ‘Evergreen revolution’ which includes attaining “Zero Hunger” (Goal 1), Reduced Inequalities (Goal 10) and Responsible consumption and Production (Goal 12).

Organic Farming Organic farming is an agricultural system that works in harmony with nature. It largely excludes the use of synthetic inputs (such as fertilizers, pesticides, hormones, feed additives etc.) and rely upon crop rotation, crop residues, animal manures, off-farm organic waste, mineral grade rock additives and biological system of nutrient mobilization and plant protection. Organic farming in India has been followed since ancient times. It primarily aims at cultivating the land and raising crops in such a way, as to keep the soil alive and in good health by use of organic wastes (crop, animal and farm wastes, aquatic wastes) and other biological materials along with benefi cial microbes to release nutrients to crops for increased sustainable production in an eco-friendly and pollution-free environment.

Need of Organic farming ?

The introduction of a reckless chemical based agricultural policy in the recent decades has had adverse impact such as groundwater contamination, infertility etc. on the Indian agricultural practices and serious environmental concerns have been raised. With increase in cases of adulteration in food and food products, people are more inclined towards more reliable sources of food security. With uncontrolled use of chemical fertilizers and water the agricultural productivity is declining thus more sustainable mode of production is required. Dependence on the external inputs like fertilizers, pesticides, machines etc. have increased rural indebtedness and created more dependencies.

Advantages

Farmers can reduce their production costs because they do not need to buy expensive chemicals and fertilizers. Organic farming improves plant growth, soil growth and physiological activities of plants.


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In the long term, organic farms save energy and protect the environment. More animals and plants can live in the same place in a natural way. Organic manures produce optimal condition in the soil for high yields and good quality crops. Also the duration for food quality also increases. Protecting the long term fertility of soils by maintaining organic matter levels. Providing crop nutrients indirectly using relatively insoluble nutrient sources. Nitrogen self-suffi ciency through the use of legumes and biological nitrogen fi xation. The extensive management of livestock, paying full regard to their evolutionary adaptations. Careful attention to the impact of the farming system on the wider environment and the conservation of wildlife and natural habitats.

Disadvantages

Organic food is more expensive because farmers do not get as much out of their land as conventional farmers do. Organic products may cost up to 40% more.Marketing and distribution is not effi cient because organic food is produced in smaller amounts. Food illnesses may happen more often. Organic farming cannot produce enough food that the world’s population needs to survive. This could lead to starvation in countries that produce enough food today.

Conclusion

There is a need to integrate past and present practices to fi nd new ways to meet increasing food demand. Through the introduction of technological and management improvements, organic farming could become an increasingly important part of the diversifi ed agricultural production system towards attaining improved productivity, farm income, and food safety.

Diversification of Agriculture Agriculture, the largest livelihood generating activity, is fast transforming itself from a supply-driven to a demand-demand scenario. The discerning consumer (urban, rural and global) is increasingly demanding better quality, multiple choices, food safety and convenience. Therefore diversifi cation is the key to convene these changing demand patterns with supply, and more importantly, to act as an overall risk mitigant for the producer himself.

Why Diversification?

The average land holding of Indian farmers has been consistently declining over the last two decades, down by 20 per cent to 1.15 ha. Nearly 2/3 rd of the total agriculture production today is of high value in nature.A defi nitive contrast from the state of affairs during the Green Revolution.

Hence diversifi cation is a key enabler for achieving sustainability, given the current state of affairs on usage of water, agri inputs and soil.

Results of Diversifi cation: In terms of horticulture production, India witnessed a signifi cant increase registering production growth of over 160 per cent and area growth of over 70 per cent. Similarly, milk production, which stood at around 53 million tonnes in 1990, has increased to 140 million tonnes today, witnessing a growth of more than 150 per cent.However, this diversifi cation has been largely driven by a few States like Andhra Pradesh, Uttar Pradesh, Madhya Pradesh, Rajasthan, Maharashtra and West Bengal, which have been the forerunners in diversifi cation and today produce more than 40 per cent of the high value commodities – milk, fruits, vegetables, sea food and spices.Others like Himachal Pradesh, as well as the north-eastern States, have diversifi ed to high-value produce, due to the inherent agro-climatic zone best suited to produce fruits and vegetables.


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Boosting Diversifi cation Some of the steps which can be taken for diversifi cation are:

Innovative Institutional Mechanisms & Structures: Diversifi cation should be augmented through institutional innovations like contract farming, producers’ companies, cooperatives and modern retail formats that engage a larger gamut of stakeholders. In India, farmer producer organizations (FPOs) are witnessing impressive success stories and many small holder farmers have benefi ted from the model. It is the FPO structure that has united small producers and given them the capacity to enhance their livelihoods through aggregation, development of market linkages and value-addition, thus helping them reap benefi ts of diversifi cation.

Policy Interventions: This is the core requirement for building upon the strengths of diversifi ed agriculture, which India has already attained to quite an extent. Government support in identifying commodity-specifi c clusters, developing basic infrastructure and processing infrastructure, and encouraging entrepreneurial skills, shall go a long way in providing sustainable livelihood. Goods and services tax (GST) application needs to be uniform, easy to administer and incentivise processing over fresh produce. Also, farmers may be nudged to shift to a less water-intensive crop so as to reduce dependence on rain.

Sustainable Risk Management: So far, ineffi cient subsidy structures on the input and output sides of the value chain have been curtailing growth, ineffectively reaching benefi ciaries and promoting unsustainable farm practices, thus dis-incentivizing diversifi cation and adding to the twin defi cits challenge. These challenges need to be overcome through a prudent policy intervention. Further, the entire paradigm of risk management for farmers through warehouse receipt fi nancing, crop and weather insurance as well as effi cient price discovery/marketing infrastructure, needs to be brought into the mainstream, and the entire policy of price support needs to be done away with.

Technology and Innovations: Thescope of diversifi cation should expand to the wider dimension of value addition – collaborative researches in technology are required to produce process-able grades of commodities. Specifi c clusters need to be identifi ed to produce such grades at a large scale. This shall not only have a far-reaching effect but also help the nation to curb imports of processed food. Localization is the key to achieving prolifi c results of diversifi cation. Product innovations that use local resources are best suited to adapt to any kind of agri practice and its value addition. Innovative use of ICT in the Indian context, to communicate weather-based information, new technologies available, extension services and market price alerts, is a key to determine risk mitigation.

Infrastructure Development: Inadequate and skewed distribution of infrastructure such as road, power, market, pre- & post-harvest handling, and irrigation, are all major impediments for diversifi cation. Access to basic infrastructure shall boost entrepreneurial capacities of farmers to take up non-conventional activities and enhance their income.

Skill Development: India has witnessed several initiatives in the past focusing on the agriculture domain. However, with nearly stagnant agriculture growth, there is a clear need for a shift in the perspective of skill development, with a focus on sustainable rural livelihoods. We need to look beyond the farm cycle and engage manpower in value-added activities like processing, trade dynamics and building effi cient marketing channels. This shall generate ‘on farm’ as well as ‘off farm’ livelihood options.


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The way forward:

To develop sustainable livelihood for the Indian farmer needs to be addressed through a collaborative approach between the Government and industry, for establishing a much larger and signifi cantly more effi cient supply chain for value-added produce, which in turn shall generate sustainable livelihood opportunities

Pulses

Production

India is the largest producer of pulses in the world with approximately 25% of the total 80 million tonnes of production. It also enjoys the distinction of being the largest consumer with nearly 28% of consumption in India. Recently, India was also entitled as number one importer due to frequent and large imports. The pulses are grown in area of about 24-25 million hectares of land with productivity of 780 kg a hectare. This is less than the global average. For a healthy India in 2050, 39 million tonnes of pulses will be required which means there should be annual growth rate of 2.14%. To meet this target, the productivity has to be enhanced to 1200 kg a hectare and about 3-5 million hectares additional area has to be brought under pulses across country. Main growing areas of pulses in India are Madhya Pradesh, Uttar Pradesh, Gujarat, Maharashtra, Karnataka and Rajasthan.

Factors responsible for low yield of pulses

Delayed sowings/plantings. Low seed rate resulting in poor crop stands. Poor weed management during growth of pulses. Ineffi cient irrigation and rainwater management Large scale monoculture and non-inclusion of pulses in cropping systems Non-availability of seeds of HYVs at affordable price and at the appropriate time

Poor management for secondary and micronutrient, mainly S, Zn, Mn, Fe and B .

Challenges to Pulse Production

Presently, more than 92% of area under pulses production is confi ned to unirrigated areas where farming chiefl y depends on monsoon rains. Drought or drought like conditions coupled with heat stress may reduce seed yield by 50%, especially in arid and semi-arid regions. Most of the pulses are grown in low fertility and problematic soils struggling with salinity and alkalinity. Poor drainage and water logging during rainy seasons may cause heavy losses to pulses. Generally, pulses are grown by resource poor farmers and treated as a secondary crop with fi nest productivity to staple cereals and other cash crops. As a consequence, pulses are generally deprived of essential inputs, due care and latest technologies. Availability of quality seed of improved varieties is one of the major constraints in increasing productivity of pulses. Besides, till recently, farmers were not getting attractive prices for pulses which was a major cause of discouragement for pulses farming. The accessibility of small holding farmers to quality speed of improved pulse varieties in constrained by both inadequate demand creation and limited supply.


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Strategies to increase Pulse Production

Bringing additional area : Ample scope exists for promotion of pulses in intercropping and sequential cropping . Increasing mechanization : Mechanization would play a key role in modernization of agriculture due to its benefi ts of improved labour effi ciency and productivity, effi cient use of expensive farm inputs, reduction of human drudgery and timeliness of operations.Promoting ridge and furrow system of sowing : Water logging causes severe damage to rainy season pulses, such as pigeonpea, mungbean and urdbean. In pigeonpea, ridge and furrow method of planting reduced the losses from water logging.Integrated nutrient management : Proper nutrient management based on soil analysis is important for maximizing productivity of pulses.Promotion of bio-fertilizers and bio-inoculants : Legume seed treatment of host specifi c Rhizobium along with recommended dose of phosphoric fertilizer can ensure 15-20% higher yield over un-inoculated seeds’ sowing.Creation of seed hubs : There is a need for enhancing seed availability of new varieties. Seed rolling plans should be developed for each state and followed. Up scaling of already developed models for production of quality seed at village level involving various stakeholders is needed.

North East Angle in Agriculture The North East Region [NER] constitutes eight states of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim and Tripura. Its population of 39 million constitutes 3.8% of country’s population. Rural Population of is 84.34% in NER as against 72.20% in India.

Challenges in Agriculture of North East

Agriculture provides livelihood support to 70 % of region’s population yet it produces only 1.5 % of country’s food grain production and continues to be a net importer of food grains even for its own consumption. Agricultural land including fallow is 22.20% as against 54.47% in India. Cultivators and agricultural labourers together constitute the majority of the workforce as against 31.65% and 26.55% respectively in India. Share of marginal and small farmers is 78.92%. Land distribution is mostly egalitarian rooted in the principle of community way of living and sharing. The productivity of land as compared to its potential is low sincein NER, according to the latest available statistics, has only 29 soil testing laboratories NPK consumption is low. Indigenous plough is the main farm implement (95.66%)

Irrigation covers only 11% of net sown area

Way forward

Improve post-harvest management through establishment of innovative primary processing units, treatment and seasoning plants, primary treatment and seasoning plants, preservation technologies and market infrastructure . Promotion of Bamboo industry as north east India accounts for 65% of total bamboo production in India. Promote skill development, capacity building, awareness generation for development of bamboo sector. Rainwater harvesting. Promoting plantation agriculture, horticulture (for e.g. Tripura can become rubber giant) etc. Provision of HYV seeds at subsidized rate to the farmers of north east.


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Sugarcane Pricing

Context

In July, 2018, the Cabinet Committee on Economic Affairs has approved the Fair and Remunerative Price (FRP) of sugarcane for sugar season 2018-19 at Rs. 275/- per quintal for a basic recovery rate of 10%; providing a premium of Rs. 2.75/qtl for each 0.1 % increase in recovery over and above 10%. The cost of production of sugarcane for the sugar season 2018-19 is Rs. 155 per quintal.In May, 2018, the Cabinet Committee on Economic Affairs has given its approval to provide fi nancial assistance of Rs. 5.50 per quintal of cane crushed in sugar season 2017-18 to sugar mills to offset the cost of cane, in order to help sugar mills to clear cane dues of farmers.

Details of FRP(Fair Remunerative Price):

The FRP has been determined on the basis of recommendations of Commission for Agricultural Costs and Prices (CACP) and after consultation with State Governments and other stake-holders. This FRP Rs. 275 per quintal at recovery rate of 10% is higher by 77.42% over production cost thereby ensuring the promise of giving the farmers a return of more than 50 % over their cost. Keeping the expected production of sugarcane in the sugar season 2018-19 the total remittance to the sugarcane farmers will be more than Rs. 83,000 crore. The Government through its pro-farmer measures will ensure that sugarcane farmers get their dues in time. The Government with a view to protect interest of farmers has also decided that there shall not be any deduction in case of mills where recovery is below 9.5%. Such farmers will get Rs. 261.25 per quintal for sugarcane in place of Rs. 255/qtl in the current season.The sugar sector is an important agro-based sector that impacts the livelihood of about 5 crore sugarcane farmers and their dependents and around 5 lakh workers directly employed in sugar mills, apart from those employed in various ancillary activities including farm labour and transportation.

Problems faced by Sugarcane Industries in India:

Low Yield of Sugarcane: India has the largest area under sugarcane cultivation in the world. The yield per hectare is extremely low (about 70 tons), when compared to Java, Hawaii, Peru, Rhodesia (more than 150 tons per hectare). Even within the country, the yield is higher in South India than in North India.The sugar industry has a seasonal character and the crushing season normally varies between 4 and 7 months in a year. Thus, the mill and the workers remain idle for almost half of the year. This creates fi nancial problem.High Cost of Production of Sugar: The cost of sugar production in India is one of the highest in the world. This is due to high sugar cane cost, uneconomic production process, ineffi cient technology and high taxes exercised by the state and the central governments.Disposition of By-products: The main by-products of the sugar industry are bagasse and molasses. The industry faces problems in disposing these by-products, especially under pollution control devices.Government restrictions: APMC’s which mandate that the growers can only sell the produce to the designated nearest Mandi.Sugarcane pricing issue: The government policy, based on dual price system, discourages the entrepreneurs to make investment for further growth and improvement. Centre announces FRP- fair and remunerative price, states can also intervene through state administered price.India is facing with the problem of overfl owing sugar stocks. The industry’s production estimate for 2018-19 is 35.5 MMT, up from 32.3 MMT in 2017-18, against an annual consumption of about 26 MMT.

Measures taken by Government to Stabilize the Sugarcane Prices

In order to stabilize sugar prices at reasonable level and to improve liquidity position of mills thereby enabling them to clear cane price dues of farmers, Government has taken following steps in past three months:

Increased customs duty on import of sugar from 50% to 100% in the interest of farmers. Imposed reverse stock holding limits on producers of sugar for the months of February and March, 2018.


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Government has also fully withdrawn the customs duty on export of sugar to encourage sugar industry to start exploring possibility of export of sugar.In view of the inventory levels with the sugar industry and to facilitate achievement of fi nancial liquidity, mill-wise Minimum Indicative Export Quotas (MIEQ) have been fi xed for sugar season 2017-18. Export Quotas of 20 Lakh tonnes of all grades of sugar; viz. raw, plantation white as well as refi ned, have been prorated amongst sugar factories by taking into account their average production of sugar achieved by the sugar mills during last two operational sugar seasons and the current season (up to February,2018).Further, to facilitate and incentivize export of surplus sugar by sugar mills, Government has allowed Duty Free Import Authorization (DFIA) Scheme in respect of sugar.

Recommendations of Rangarajan Committee:

Export and import policy should not be guided by domestic availability. The removal of the concept of a minimum distance of 15 km between any two sugar mills, obligating a mill to buy cane from growers within the reservation area. Instead, mills must enter into contracts with farmers. This would help to phase out the cane reservation area and bonding.State shall not declare their own SAP (State Advised Price), in favour of the Fair and Remunerative Price (FRP) set by the Centre as the minimum.Mills must share 70 per cent of the value of sugar and each by-product, including bagasse, molasses and press-mud (ex-mill), as cane dues payable to farmers for supplies.Levy on sugar should be abolished. Under it, the mills are required to sell 10 per cent of their production to the government at below market price for the poor under the TPDS. Instead, the panel said, the States that wanted to provide sugar under the TPDS might procure from the open market through competitive bidding, and also fi x the issue price.The prices of by-products should be market-determined with no earmarked end-use allocations.

Way Forward:

The government should implement the recommendation of Rangarajan committee at the earliest. The government should encourage ethanol blending program. It should put in place a long-term ethanol policy on pricing, and enable higher pricing of better quality ethanol.This sector needs not just an immediate infusion of capital, but also policy measures and structural changes.The government intervention is necessitated by the worsening state of the industry—as sugar prices have plummeted due to surplus production, mill owners have found it diffi cult to pay cane growers.

Contract Farming: Benefits and Challenges

Introduction:

Contract farming refers to an agreement between farmers and marketing fi rms for the production and supply of agricultural products under forward agreements, frequently at predetermined prices. It is being practiced in India for a long time.In the environment, liberalization and globalization policies, the role of the state in agricultural marketing and input supply is being reduced and an increasing space is being provided to the private sector to bring about better marketing effi ciency ininput and output markets. On the other hand, processor, and / or marketers face problems in obtaining timely, cost effective, and adequate supply of quality raw materials. Contract farming is a step towards achieving boththese objectives of cost reduction and value addition by providing thefarmers with better seeds and other inputs improved marketing channels and technical know-how. This has certainly increased the productivity of farmlands. But at the same time there are many challenges faced by farmers in this fi eld.

Contract Farming in India:

In India it was practiced in colonial period when commodities like Colin indigo were produced by Indian farmer for English factories. The colonial period saw the introduction of cash crops such as tea, coffee and rubber, poppy and indigo in various parts of the country.


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Imperial Tobacco Company (present-day ITC) introduced the cultivation of Virginia tobacco in coastal Andhra Pradesh through contract farming in the 1920s.After independence, it has come to limelight in the late 1980s with the entry of Pepsi in the processing of Tomato in Punjab.Currently there are nearly 50 processor / exporters practicing contract farming for different commodities.There are very successful cases like gherkin in Karnataka, paper mint and roses in Punjab, broilers and coleus in Tamil Nadu, organic cotton in Gujarat and some less satisfactory ones like saffl ower in Maharashtra, Basmati Paddy in Punjab and Wheat in Uttar Pradesh.

Benefits of Contract farming:

Raising agricultural productivity : Contract farmers get some amount of contract in pre-sowing season which enables them to invest more in agriculture. Apart from it better quality of seeds, farm implements etc. provided by companies help them to raise productivity of their farms. Skill development of farmers: Contract companies bring expertise with themselves which helps farmers to increase their knowledge about crop, techniques to raise them and other modern farming practice regarding that. For Example, ITC introduced tobacco farming in coastal Andhra Pradesh which led to widespread skill development of farmers about tobacco farming and thus made the area prosperous.Introduction of new crops: New crops which are not regional in nature are introduced by global companies on contract basis in different areas which help in crop diversifi cation.Gherkin was introduced in Karnataka by Global Greens as new crop forwhich there was no domestic market. Though mint was not new in Punjab. A.M. Todd introduced pepper mint on contract arrangements sole producer of pepper mint oil. Similarly, rose cultivation was introduced inPunjab by R.T. Aromatic oils for rose oil and other derivatives for niche market in Canada. Similarly Semi Labs was the sole commercial users of coleus roots for medicinal purpose.Economic Development of the region: Contract Farming provides an assured return to the farmers. Cultivation of cash crops with better seeds such as Coffee, Tea, Mint and Tobacco led to higher income of the farmers as most of these crops were export driven helped to raise forex reserve of the country. Introduction of Basmati Rice in Punjab which has higher price in the market than conventional crop is a fi ne example.

Challenges faced by Contract Farming in India:

Monopsony: Typically, contract fi rms enter into an agreement with farmers to grow differentiated crops. This turns the fi rm into a sole buyer and farmers into price-takers. Contracting fi rms can exploit this situation to their advantage by offering lower prices to farmers.Information asymmetry: Contracting fi rms do not have complete information on productivity and land quality. This can lead to a situation where farmers produce below-quality crops. On the other hand, farmers sometimes do not understand contract specifi cations like the quantity and quality to be produced, or the effect of price change.

Therefore with a view to integrate farmers with bulk purchasers including exporters, agro- industries etc. for better price realization through mitigation of market and price risks to the farmers and ensuring smooth agro raw material supply to the agro industries, Model contract farming act was introduced by government of India.

Model Contract Farming Act, 2018

The Act lays special emphasis on protecting the interests of the farmers, considering them as weaker of the two parties entering into a contract.In addition to contract farming, services contracts all along the value chain including pre-production, production and post-production have been included.“Registering and Agreement Recording Committee” or an “Offi cer” for the purpose at district/block/ taluka level for online registration of sponsor and recording of agreement provided.Contracted produce is to be covered under crop / livestock insurance in operation. Contract framing to be outside the ambit of APMC Act. No permanent structure can be developed on farmers’ land/premises


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No right, title of interest of the land shall vest in the sponsor. Promotion of Farmer Producer Organization (FPOs) / Farmer Producer Companies (FPCs) to mobilize small and marginal farmers has been provided.FPO/FPC can be a contracting party if so authorized by the farmers. No rights, title ownership or possession to be transferred or alienated or vested in the contract farming sponsor etc.Ensuring buying of entire pre-agreed quantity of one or more of agricultural produce, livestock or its product of contract farming producer as per contract.Contract Farming Facilitation Group (CFFG) for promoting contract farming and services at village / panchayat level provided.Accessible and simple dispute settlement mechanism at the lowest level possible provided for quick disposal of disputes.

Conclusion:

Contract farming has redefi ned the idea of agriculture in India. It has on the one hand ensured the supply of quality raw materials in the market on time and on the other hand introduced quality seeds, farm implements and technology in Indian farms which has led to increase in agricultural productivity coupled with farmer’s income. The drawbacks of contract farming in India has been corrected by new model contract farming act in India in a better way. It will help India primarily in its aim of doubling the farmer’s income by 2022 and increasing its agricultural productivity to fulfi l its commitment of attaining sustainable development goals by ensuring food security.

Role of Infrastructural and Institutional factors in the recent transformation of Indian agriculture

Introduction:

From being the net importer of grains, India has become one of the largest producer of food grains in the world. Apart from food grains India has risen as one of the largest producers of cash crops, horticulture crops, lentils, spices, fi shes and milk. India is currently largest producer of rice and third largest producer of wheat in the world. Apart from it, it is largest producer of millets and lentils in the world. India’s fi shing and dairy industry has also developed constantly making India second largest and largest producer in both sectors.

India’s surge in agriculture sector in recent years

Agriculture and allied activities has always been prime moving sector of Indian economy on which still more than 61% of the population depends and contributes more than 17.2% of the economy.Recent initiatives of the government which aims to double the farmer’s income by 2022 has signifi cantly helped India to surge in agriculture sector.Central government had constituted two commissions to assess the development prospects in agriculture sector namely Swaminathan committee (2006) and Ashok Dalwai committee (2015) and tried to implement their recommendations in a better way.Both committees provided a comprehensive policy reforms for enhancing productivity, profi tability and sustainability of major farming systems in India.

Infrastructure factors which aided Indian agriculture to develop rapidly

Irrigation Development of irrigation in past decade has chiefl y contributed in surge of Indian agriculture. India’s irrigation covered crop area was about 22.6 million hectares in 1951, and it increased to a potential of 90 mha at the end of 1995, inclusive of canals and groundwater wells. Currently, 51% of total area of India has been brought under irrigation.


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Due to development of large number of irrigation projects such as Kaleshwaram Lift Irrigation Project in Telangana, Mandal Dam irrigation project and Brahmani irrigation project in Jharkhand etc. will further add more area under irrigation.Introduction of schemes such as ‘Pradhan Mantri Krishi Sichayi Yojna’ and concept of micro irrigation through ‘per drop more crops’ has helped farmers.Provisions of subsidized solar pumps to farmers under KUSUM scheme has helped farmers to irrigate their land swiftly.Initiatives like ‘Atal Bhujal Yojna’ has provided for water recharge in semi-arid areas which will certainly benefi t dryland farming.

Power Although all major villages have been electrifi ed under Saubhagya Scheme, Deen Dayal Upadhyay Gram Jyoti Yojna separated farm feeders and Village feeders to ensure uninterrupted supply during working hour.

Insurance Schemes like Pradhan Mantri Fasal Bima Yojna which intends to provide crop insurance to Rabi, Kharif and horticulture crops has secured farmers against threat of natural calamities.

Credit Farm credit has increased tremendously over the past few years. Loan waivers by government has backed farmers to go for credit through banking system.Apart from credit, schemes like PM-KISAN has aimed to provide every farmer Rs. 6000 per year through DBT. Similar initiatives by states such as KALIA scheme of Odshia, Rythu Bandhu scheme of Telangana etc. has provided incentives to farmers.Kisan Credit Card and loans through NABARD still provides important credit to farmers.

Marketing APMC act and provisions of e-mandi has helped farmers to access market in a better way. Integration of all mandis across country into one National Agriculture Market has helped farmers to get best price of their produce.Connecting ‘Gramin Haats’ or GrAMs (Gramin Agricultural Markets) into single integrated market will add another dimension to agricultural marketing.

Transportation and Connectivity Villages have been connected through PradhanMantri Gram SadakYojana to major highways have given farmers access to markets.Development of dedicated freight corridor has helped them to transport grains to longer distance.

Storage Facility Large scale development of Mega Food Parks and cold chain network has helped farmers to preserve perishable horticulture produce. Operation Greens which is dedicated to preserve potatoes, onions and tomatoes to stabilize their supply throughout the country. It has provision of providing cold supply chain for these crops.

Food Processing India has taken a forward leap in food processing sector. A large number of Mega food parks have been opened and specifi c for different areas of production.Millets based mega Food Park has been opened in dryland areas while aqua Mega food parks have been opened in coastal areas.Apart from it, support of incentives under ‘Operation Greens’ which aims to process and provide chilling facilities to commodities such as Tomatoes, Onion, Potatoes (TOP) crops has added a dimension to food processing industries. Chilling and food processing for diary sector has further helped dairy farmers in getting best price of their produce.


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Institutional factors which assisted in surge of Indian agriculture:

Policy makers have constantly assisted Indian agriculture in booming its productivity. APMC act provided an easy market access to farmers with better price for their produce.Agriculture marketing has been given a dimension by introducing maximum agricultural products to international market by introducing Agriculture Export Policy which aims to diversify India’s export Basket.Further, Agricultural and Processed Food Products Export Development Authority (APEDA) has helped Indian agriculture commodities to match the international standards.Subsidy on Urea has provided cheap fertilizers to farmers. Credit through KCC has provided easy loans.Indian Council for scientifi c Research (ICAR) has developed varieties of technologies to improve agriculture in the country such as drought resistant crop varieties and GM-crops.India through Genetic Engineering Appraisal Committee (GEAC) has strictly regulated GM-crops in the country which could cause health hazards and environmental problems.Provisions of MSP (Minimum Support Price) for all Rabi and Kharif crops and FRP (Fair and remunerative Price) for sugarcane has secured farmers against market fl uctuations.Bringing all agro-based industries and schemes under a single roof with the name of Umbrella Scheme ‘Green Revolution — Krishonnati Yojana’ and marine based industries under “SAMPADA” has made easy for policy making and implementation.Different category specifi c missions such as ISPOM for oil seeds, National Horticulture Mission for horticulture crops, National Bamboo Mission for Bamboos and given boost to these sectors.Review in old laws related to Contract farming has brought India in a new era of legislation. Dairy Development and Infrastructure Development Fund, Rashtriya Gokul Mission and formation of Kamdhenu Ayog has given a new dimension to India’s diary sector.

Conclusion:

These developments in agriculture sector in India has helped it to expand and raise its productivity. It has certainly went in a right direction with aim of doubling the farmer’s income by 2022 and attaing goals of Zero Hunger (SDG 2) and food security. Apart from it increase in farmer’s income on modern line will help to reduce rural poverty and will signifi cantly contribute in country’s gross domestic product.

National Agriculture Market (NAM) Government has recently launched an online national agricultural products market platform that will integrate 585 wholesale markets across India. Launching of e-platform for marketing of agriculture products is being done with the aim to provide more options to farmers to sell their produce. The initiative is part of implementation of the roadmap for doubling income of the farmers by 2022.

What is National Agriculture Market (NAM)?

NAM is an online platform with a physical market or mandi at the backend. NAM is not a parallel marketing structure but rather an instrument to create a national network of physical mandis which can be accessed online. It seeks to leverage the physical infrastructure of mandis through an online trading portal, enabling buyers situated even outside the state to participate in trading at the local level.

Why is the need of NAM ?

Fragmentation of state into multiple market areas. Poor quality of infrastructure and low use of technology. In the traditional mandi system, farmers generally procured very less price for their crops as they had to pass through various intermediaries at the physical marketplace. This not only adds costs but also handling costs.


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In addition, the farmer has to face obstacles in form of multiple tax levies and licenses and weak logistics and infrastructure in India.

Advantages of NAM :

For the farmers, NAM promises more options for sale. It would increase his access to markets through warehouse based sales and thus obviate the need to transport his produce to the mandi. For the local trader in the mandi / market, NAM offers the opportunity to access a larger national market for secondary trading. Bulk buyers, processors, exporters etc. benefi t from being able to participate directly in trading at the local mandi / market level through the NAM platform, thereby reducing their intermediation costs. The gradual integration of all the major mandis in the States into NAM will ensure common procedures for issue of licences, levy of fee and movement of produce. In a period of 5-7 years union government expects signifi cant benefi ts through higher returns to farmers, lower transaction costs to buyers and stable prices and availability to consumers. The NAM will also facilitate the emergence of value chains in major agricultural commodities across the country and help to promote scientifi c storage and movement of agriculture goods.

Are existing APMCs or mandis capable of handling NAM ?

Experts say that infrastructure available for NAM at local markets varies from state to state. The NAM platform is being supported by agriculture ministry, which is bearing maintenance costs for each mandi.

The integration cost for local mandis and customization of software, training, etc, will also be paid for by the ministry as a one-time grant of around Rs 30 lakh at the time of accepting the mandi in the national network. However, the running costs of the software at the local level, staff costs for quality check, etc, will be met with the transaction fee to be generated through the sale of produce. The key reason behind this support is to avoid any upfront investment by the mandi when it integrates into NAM, and enable it to support the running cost through additional generation of revenue.

How will NAM operate in the current form?

The 21 mandis where NAM is being formally launched would offer trading in commodities such as chana, castor seed, paddy, wheat, maize, onion, mustard and tamarind. But fruits and vegetables are yet to be included in the NAM platform.

What needs to be done ?

Experts say that as long as fruits and vegetables are kept outside the purview of NAM, the volatility in prices would continue, thus depriving farmers from getting better prices. Barriers hampering interstate transfer of agricultural commodities also have to be removed. High taxes and levies imposed by states such as Punjab, Haryana and Andhra Pradesh on trade of agricultural commodities have to be brought down; this would boost interstate trade and farmers’ income. Care will have to be taken to ensure markets do not get cornered by speculators or cartels that drive prices up or down. Considerable effort will also be needed for the clearance mechanism to work.

Eventually, the success of NAM will depend upon whether farmers get a higher price for their produce or not and whether this reduces price volatility.

GM Crops With conventional breeding practices reached their saturation point, the “ gene revolution” seems to hold lot of potential. Agricultural biotechnology/gene technology/genetic engineering may act as the second “green revolution” that can be used to create high yielding crop varieties that are:

Herbicide tolerant.


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Insect resistant. Resistant to pathogens like virus, bacteria and fungi. Have better nutritional value and other commercial properties.

A GM or transgenic crop is a plant that has combination of genetic material obtained through the use of modern biotechnology. GM crop can contain a gene that has been artifi cially inserted instead of the plant acquiring it through pollination.

Benefits of GM crops

For Crops: Enhanced taste and quality. Reduced maturation time. Increased nutrients, yields, and stress tolerance. Improved resistance to disease, pests, and herbicides.

For Animals: Increased resistance, productivity, hardness, and feed effi ciency. Better yields of meat, eggs, and milk. Improved animal health and diagnostic methods.

For Environment: “Friendly” bio-herbicides and bio-insecticides. Conservation of soil, water and energy. Bioprocessing for forestry products. Better natural waste management. More effi cient processing.

For Society: Increased food security for growing population.

Controversies surrounding GM crops

Safety Potential human health impact: Allergens, transfer of antibiotic resistance markers, and some unknown effects. Potential environmental impact: Unintended transfer of transgenes through crosspollination, unknown effects on other organisms (e.g., soil microbes) and loss of fl ora and fauna.

Access and intellectual property Domination of world food production by a few companies. Increasing dependence on industrialized nations by developing countries.

Biopiracy—foreign exploitation of natural resources. Ethics

Violation of intrinsic values of natural organisms. Tampering with nature by mixing genes among species. Objections to transferring animal genes in plants and vice versa. Stress for animal.

Labeling Not mandatory in some countries (e.g. United States).

Mixing labelling of GM crops with non-GM crops. Society

New advances may be skewed to interests of rich countries.


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Effectiveness The ineffectiveness of genetically modifi ed (GM) cotton against the recent whitefl y attack in Punjab and Haryana raised more questions regarding the effectiveness of GMO. The whitefl y attack in Punjab damaged over 75 per cent crop across the cotton belt. This has raised concern among agricultural experts and farmers over the growing dependency on Bt cotton.

Bt cotton

Strains of the bacterium Bacillus thuringiensis produce over 200 different Bt toxins, each harmful to different insects. Most notably, Bt toxins are insecticidal to the larvae of moths and butterfl ies, beetles, cotton bollworms but are harmless to other forms of life. (this is why Bt cotton failed against whitefl y).

Food Security Food security is a situation when all people at all times have suffi cient food to meet their dietary and nutritional needs to lead a healthy and productive life. It also includes food affordability.Food security has evolved over time from ‘freedom from hunger’ in 1940s into broad concept encompassing three determinants: availability of food, access to food and absorption.

Food availability is affected by climatic condition, declining water resources and pests which decrease agricultural output. Economic access to food by persons living below poverty line remains problematic despite rapid economic growth in recent years. The level of food absorption is low- 44% children under 5 are underweight, 72% infants and 50% women are anaemic

Determinants of Food Security:

Availability of food Food availability is determined by domestic production, import capacity, food stock and food aid. Fluctuations in per capita net availability are mainly due to changes in production due to variations in weather, increasing population, change in stocks etc.

Accessibility In the post reform period, more than 300 million people continue to live in poverty. Food accounts for more than 50% of monthly per capita expenditure in India. NFSA 2013 provides nearly 800 million people with subsidized monthly households rations. PDS system, Antyodaya Anna Yojana, MSP, developing infrastructure through MGNREGA are some of the means through which food security is provided.

Absorption Nutrition security evolved from multi-sectoral nutrition planning approach in 1970s and UNICEF conceptual framework. The 10th FYP focused on comprehensive interventions aimed at improving nutrition security. Population needs adequate quantities of balanced diet to remain healthy. The 1996 World Food Summit provided a comprehensive defi nition of food security bringing into focus the linkage between food, nutrition and health. The two major determinants of human nutrient requirement are body size and physical activity. In policy formulation, distinction should be made between transient and chronic food security.

Transient food security is related to risks in either access or availability of food during the off-season, drought or infl ationary years. Chronic food security is associated with poverty and arises due to continuous inadequate diet.


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Recent trend in dietary pattern in India

As the country’s economy grows rapidly, the extended trend is for people to eat less cereals and switch to more costlier nutritious food such as milk, fruits, fi sh and meat. Even poor people are now consuming fewer cereals but they are not increasing their intake of calorie- rich food. Increase in access and availability of food through PDS, MDMS, ICDS and increase in purchasing power of people through MGNREGA has resulted in better calorie intake in rural areas. However, according to NSSO, despite rising wages, more and more Indians have not been meeting recommended calorie requirements of 2400 cal/person/day in rural areas and 2100 kcal/person/day in urban areas.

Government’s efforts for food security

As a response to food shortages, GoI has launched PDS during 1960s which relied mainly on procurement of food grains by FCI and their distributions through Fair Price Shops. By 1970s, PDS had evolved into a universal scheme for the distribution of subsidized food. Currently, it is the largest distribution network in the world. In 1990s, the government revamped the PDS to improve access to food grains to people in hilly and inaccessible areas and to target the poor. The Targeted PDS operates through a multi level process in which the centre and the states share responsibilities. Government launched a unique ‘Mid Day Meal Scheme’ in 1995 to encourage enrolment and attendance in primary schools along with improvement in nutritional levels of the children. Antyodaya Anna Yojana- was launched in 2000 targeting families having monthly income of less than Rs. 250 who were not able to afford food even at subsidized rate. Government notifi ed National Food Security Act 2013 to provide food and nutritional security to its people as a legal right. It doesn’t disturb the structure and provisions of Antyodaya Ann Yojana. Government of India is also operating an Integrated Child Development Scheme since 1975 to provide a sound base for overall development of children which includes nutritional security. Target group is children in the age of 0-6 years, pregnant women and lactating mothers. Services such as health, nutrition and early learning at provided at the village level through anganwadi centres across the country.

Challenges to food security in India

Increase in population, Urbanization, Shrinking agriculture land and rising demand for food. Preferences of people for livestock products and consumption of more processed food. Climate change, scarcity of fresh water in northern and peninsular region has led to shortage of food. Declining and degrading land resources Unsustainable exploitation of biodiversity of plants and livestocks. Rate of extinction has increased manifold

To sustain food and nutritional security, India will have to raise its food grain productivity from 25000/kcal/ha/day in 2005 to 46000/kcal/ha/day in 2050.

Opportunities to sustain food security

‘Vision 2050’ has been formulated by ICAR to promote excellence in agricultural research, education and extension. It aims at: Zero net land degradation, 20% increase in total food supply chain effi ciency, reducing losses and wastages from fi eld to fork, 20% increase in water and nutrient effi ciency in agriculture etc. To address the issue of global climate changes, ICAR has launched nation wide project NICRA- National Innovations in Climate Resilient Infrastructure.It provides strategic support to farmers and empowers to adopt climate smart agricultural practices. New varieties of crops are being developed which are tolerant to climatic stresses and perform well under stress.


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Integrated farming models are being popularized in which livestock are being integrated in the cropping patterns as livestock has always acted as insurance during environmental stresses. The power and potential of science and innovation promises hope for sustainable food and nutritional security through enhanced production and productivity of crops and livestock including fi sheries. Genetic enhancement of plants/animals/fi sh is considered a major option to sustain food security. Mechanization of agriculture and food production systems may enhance overall productivity to save labour and cut down production cost. Biotechnological advances in agriculture may improve soil productivity and may provide safety net to food production.

Women and food security

In rural areas, women and girl child are often found to be relatively more malnourished within a household. The orthodox social norms, constrained roles to domestic work, limited access to resources, inadequate opportunities are some factors behind food insecurity of females. The issue remains disguised because most studies evaluates at the household level and not individual level.

What can be done?

According to study by FAO, women’s education resulted in 43% reduction in hunger from 1970 to 1995. Additionally, they should be supported for access to land and property rights. Gender sensitisation is linked to gender empowerment. Men and women should get equal opportunities to develop their full potential. Mother and child health and nutrition programmes can break gender barriers in child care by including men and boys in nutrition and health education activities. Bringing legislation that guarantees equitable employment condition that protect workers in both formal and informal employment. Extending coverage of social protection to all categories of rural workers and ensuring that they incorporate women’s special needs. A gender approach to food security can enable shifts in gender power relations and assure that all people, regardless of their gender can be benefi ted and empowered by development policies.

Conclusion

Raising rural income is central to ensuring food and nutrition security for which massive improvements in rural infrastructure are required. Food and nutrition security should be given high priority and efforts to increase the production and economic accessibility needed to be addressed by technological innovations, investments in irrigation, creating rural infrastructure and raising rural employment opportunities.

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economic & human geography - ias score · 2019. 8. 6. · economic & human geography 6...

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