Indian and Australian Agriculture Economy


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Indian and Australian Agriculture Economy

  1. 1. Agriculture<br />Presented By:<br />SaurabhSingh<br />
  2. 2. History of agriculture<br /><ul><li>Indian agriculture began by 9000 BC as a result of early cultivation of plants, and domestication of crops and animals.
  3. 3. Settled life soon followed with implements and techniques being developed for agriculture.
  4. 4. Double monsoonsled to two harvests being reaped in one year.
  5. 5. Indian products soon reached the world via existing trading networks and foreign crops were introduced to India.</li></li></ul><li><ul><li>The middle ages saw irrigation channels reach a new level of sophistication in India
  6. 6. Land and water management systems were developed with an aim of providing uniform growth.
  7. 7. Despite some stagnation during the later modern era the independent Republic of Indiawas able to develop a comprehensive agricultural program</li></li></ul><li>TODAYS INDIAN AGRICULTURE<br />Although agriculture contributes only 21% of India’s GDP, its importance in the country’s economic, social, and political fabric goes well beyond this indicator. <br />The rural areas are still home to some 72 percent of the India’s 1.1 billion people, a large number of whom are poor. <br />Most of the rural poor depend on rain-fed agriculture and fragile forests for their livelihoods.<br />The sharp rise in food grain production during India’s Green Revolution of the 1970s enabled the country to achieve self-sufficiency in food grains and stave off the threat of famine. <br />Agricultural intensification in the 1970s to 1980s saw an increased demand for rural labor that raised rural wages and, together with declining food prices, reduced rural poverty.<br />Sustained, although much slower, agricultural growth in the 1990s reduced rural poverty to 26.3%.<br />Since then, however, the slowdown in agricultural growth has become a major cause for concern.<br />The Government of India places high priority on reducing poverty by raising agricultural productivity. <br />
  8. 8. Agriculture in India at a glance<br />Agriculture  has made rapid strides since independence:<br />From food shortage and import to self-sufficiency and exports. <br />From subsistence farming to intensive and technology led cultivation. <br />Today, India is the front ranking producer of many crops in the world. <br />Ushered in through the green, white, blue and yellow revolutions.<br />
  9. 9. India’s competitive advantage <br />Diverse agro climatic conditions<br />Sufficiency of Inputs <br />Reasonable labour costs<br />
  10. 10. OUTLINE OF AREA UNDER CULTIVATION<br />Total Geographical Area - 328 million hectares <br />Net Area sown - 142 million hectares <br />Gross Cropped Area - 190.8 million hectares <br />
  11. 11. India’s position in world Agriculture<br />Rank<br />Total Area Seventh<br />Irrigated Area First<br />Population Second<br />Economically Active population Second<br />Total Cereals Third<br />Wheat Second<br />Rice Second<br />Coarse grains Fourth<br />Total Pulses First<br />Oil Seeds Second<br />Fruits and Vegetables Second<br />Implements (Tractors) Third <br />Milk First<br />Live Stock (castles, Buffaloes) First<br />
  12. 12. Major Crop Production<br />Rice 89.5 million tonnes <br />Wheat 75.6 million tonnes <br />Coarse Cereals 30.5 million tonnes <br />Pulses 13.4 million tonnes <br />Oilseeds 20.9 million tonnes <br />Sugarcane 29.9 million tonnes <br />
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  14. 14. Major Achievements of Agriculture in India:<br />Largest producer of pulses, tea and milk in the world <br />Second Largest producer of fruits, vegetables, wheat, rice, groundnut and sugarcane. <br />
  15. 15. India’s Agricultural Export Potentials<br />Marine Products <br />Rice <br />Wheat <br />Condiments and Spices <br />Cashew <br />Tea and Coffee <br />Castor <br />Jute <br />Fruits and Vegetables- Onions, Mango, Grapes, Banana, Tomato, Potato, Lichi<br />
  16. 16. Harvesting Season<br />There are three main crop seasons, namely, kharif, rabi and summer. <br />Major kharifcrops are rice, jowar, bajra, maize, cotton, sugarcane, soya bean and groundnut. <br />Major rabi crops are wheat, barley, gram, linseed, rapeseed and mustard. Rice, maize and groundnut are grown in summer season also. <br />
  17. 17. INSIGHTS INTO THE INDIAN AGRICULTURE<br />Number of cows globally: 1.5 billion <br />Number of cows in India: 200 million <br />Milk production 2001-2002: 84.6 million tonnes<br />People who are farmers: almost 550 million<br />Number of agricultural labourers: about 200 million (many with daily wages  below 10 Rs per day) <br />Cultivation which is rain-dependent: nearly 60 percent<br /> Interest rates charged by &quot;moneylenders&quot; and local &quot;businessmen&quot; for a small agricultural loan:100 to 450 % <br />Government spending for the agricultural sector: 8 percent of the annual budget<br />Total of arable land which is not irrigated: nearly 63 percent.<br /> Bank credit allocated for agriculture: 12% of total bank credit in India.<br />Disparity in average income between farmers and non-farmers: 5 times (non-farmers earn 5 times more than farmers).<br />
  18. 18. Contd..<br />Production of fruit and vegetables by India: 14% of world wide production <br />India&apos;s export of fruit and vegetables: 1 % of world&apos;s fruit/veg exports <br />India has the largest area in the world under pulse crops <br />India is the first in the world to evolve a cotton hybrid. <br />India has the world&apos;s highest percentage of arable land to the total geographical area, in the world. <br />About 50% of India&apos;s geographical area is used for agricultural activity. <br />About 80 percent of India&apos;s farmland is used to grow India&apos;s main foods--grains and pulses, the seeds of various pod vegetables, such as beans, chickpeas, and pigeon peas. <br />India has the world&apos;s largest cattle and buffalo population. <br />Dairy accounts for nearly 26% of the total value of agricultural output. <br />India grows more than half of the world&apos;s mangoes and leads all countries in the production of cashews, millet, peanuts, pulses, sesame seeds, and tea. <br />The nation ranks second in the production of cauliflowers, jute, onions, rice, sorghum, and sugar cane. <br />
  19. 19. Contd..<br />India is a major producer of apples, bananas, coconuts, coffee, cotton, eggplants, oranges, potatoes, rapeseeds, rubber, tobacco, and wheat. <br />India is also the world&apos;s largest grower of betel nuts, which are palm nuts chewed as a stimulant by many people in tropical Asia. It is also a leading producer of such spices as cardamom, ginger, pepper, and turmeric. <br />In terms of gross fertilizer consumption, India ranks fourth in the world, after the USA, the erstwhile USSR and China. <br />Agriculture provides livelihood to about 65% of India&apos;s labour force <br />Agriculture accounts for about 10% of India&apos;s exports. <br />
  20. 20. 17<br />India’s Agricultural Export Potentials<br /><ul><li>Marine Products
  21. 21. Rice
  22. 22. Wheat
  23. 23. Condiments and Spices
  24. 24. Cashew
  25. 25. Tea
  26. 26. Coffee
  27. 27. Castor
  28. 28. Jute
  29. 29. Fruits and Vegetables- Onions, Mango, Grapes, Banana, Tomato , Potato ,etc. </li></li></ul><li>AGRICULTURE IN AUSTRALIA<br />Agriculture is an important sector for the Australian economy, generating up to $39 billion in gross value each year. <br />Australia is one of the most laissez-faire capitalist economies according to indices of economic freedom. It is a major agricultural producer and exporter.<br />Farming employs around 370,000 people across Australia. <br />Agriculture and natural resources in Australia constitute only 3% and 5% of GDP, respectively, they contribute substantially to export performance. Australia&apos;s largest export markets are Japan, China, the US, South Korea and New Zealand.<br />
  30. 30. MAJOR AGRICULTURAL PRODUCTS<br />Australia produces a large variety of primary products for both export and domestic consumption. <br />Cereals, oilseedsand grain legumes are produced on a large scale in Australia for human consumption and livestock feed.<br />Wheat is the cereal with the greatest production in terms of area and value to the Australian economy. <br />Australia produces a wide variety of fruit, nuts and vegetables. The largest crops include oranges, apples, bananas, chestnuts,potatoes, carrotsand tomatoes.<br />Australia is one of the few countries that produces licit opium for pharmaceuticals.<br />The horticulture industry has traditionally provided Australians with all their fresh fruit and vegetables needs, with a smaller export industry<br />
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  33. 33. Some facts:-<br />There are 154,472 farms in Australia - including those for whom farming is not their primary business. However, there are 137,969 farms solely dedicated to agricultural production.<br />Australian farms and their closely related sectors generate $103 billion-a-year in production - underpinning 12% of GDP. <br />Over the last 30 recorded years , Australian farms have consistently achieved average multifactor productivity growth of 2.8%-a-year - no other industry, with the sole exception of telecommunications and information technology, comes close to this achievement.<br />The gross value of Australian farm production totals $35.6 billion-a-year. The top two agricultural commodities produced nationally are milk and wheat.<br />Australian farmers produce 93% of Australia&apos;s domestic food supply. Food imports contribute 7.5% of the total value of Australian retail food sales. <br />
  34. 34. Australia’s major agricultural export markets <br />
  35. 35. Issues In Indian Agriculture<br />Agricultural sector contribute 17% of the GDP of India.<br />About 25% of the total population are farmers.<br />Agriculture and related jobs contributes to 60% of population.<br />The major issues are drought, floods, poor technology, insufficient government policies.<br />
  36. 36. <ul><li>India was the world’s second largest rice grower. By 2010 India may start importing rice after a period of 21 years. India’s absence in the export market may drop rice supply by 3 % to 117.4 million MT by the end of the 2009-2010 as per the forecast by the FAO.
  37. 37. Causes to drought are deficiency in rainfall,Over farming, Deforestation, Excessive irrigation, Erosion.
  38. 38. Consequences may be of social & economic.
  39. 39. According to government data, over 5,000 farmers committed suicide in 2005-2009 in Maharashtra, while 1,313 cases reported by Andhra Pradesh between 2005 and 2007. In Karnataka the number stood at 1,003, since 2005-06 till August 2009. In the last four years, cases in Kerala were about 905, Gujarat 387, Punjab 75 and Tamil Nadu 26.</li></li></ul><li>
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  41. 41. Solutions and Recommendations<br /><ul><li>Rainwater harvesting schemes have been introduced especially in the southern parts to help farmers mitigate the crisis, these include both roof water and ground water
  42. 42. Tapping river water and building canals for diverting such water to deficit areas, this will also help to tackle the recurring problem of floods. Damming of major rivers and creating reservoir capacity.
  43. 43. Both the Central and the State govts have to open ideas such as artificial rain through cloud seeding and desalination of seawater.
  44. 44. More government measures need to be taken to promote agriculture as well as provide employment to rural population such as NREGP.
  45. 45. Provide more technological access to the farmers who are following traditional methods.</li></li></ul><li>BUDGETARY ALLOCATION<br />In the fiscal year 2008-09, the contribution of agricultural sector to the GDP is 18%. It has been decreased from 55% .<br />There is a constant reduction in Agricultural lands.<br />In order to improve agricultural sector government has come up with 11th five year plan(2007-2012)<br />
  46. 46. Budgetary Allocation Contd…<br />Agricultural sector gives over 45% of employment in rural India.<br />As machine entered the farm fields, employment rate starts decreasing.<br />Increase agricultural GDP growth rate to 4% per year to ensure a broader spread of benefits.<br />Target for agriculture credit flow set at Rs.3,25,000 crores for the year 2009-10.<br />In 2008-09 agriculture credit flow was at Rs.2,87,000 crores.<br />
  47. 47. Government Schemes <br />Interest subvention scheme for short term crop loans up to Rs.3 lakhs per farmer. Additionally 411 crores are allocated in budget.<br />Debt relief schemes- extending the repayment date.<br />Allocation under Accelerated Irrigation Benefit Programme (AIBP) increased by 75 percent over B.E. 2008-09.<br />Fertilizers,crops are provided to the farmers at the subsidized rate.<br />
  48. 48. Other Schemes<br />Land Tax has been reduced to remove tax burden on Employees. Tax paid is just Rs.5 per acre.<br />Subsidies up from Rs.71,431 crore in B.E. 2008-09 to Rs.1,11,276 crore in B.E.2009-10.<br />agricultural sector contributes 12.2% of the national exports. <br />The growth rate in 2008-09 is 1.9 %<br />
  49. 49. Technologies for Sustainable Agricultural Development<br />Biotechnology<br />Pre & post harvesting technology<br />Energy saving technology<br />Environment protection technology<br />Information and Communication technology<br />GIS & RS technology<br />Internet/Intranet Technology<br />
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  51. 51. Take care of her today…So that she can take care of you tomorrow….<br />