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Agriculture

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Agriculture
Amit Kumar Anand
www.amitkanand.com
September 9, 2016
1 Introduction
• India has 2.4 % land area having 17% of...
2.4 Measures to improve agricul-
ture
• Easing land constraint
1. Land transfer by government to
landless.
2. Facilitating...
• adoption of Participatory Guarantee
Scheme (PGS) certification.
• creating facilities for production of
organic manure/ b...
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Agriculture

  1. 1. Agriculture Amit Kumar Anand www.amitkanand.com September 9, 2016 1 Introduction • India has 2.4 % land area having 17% of world population. • Agriculture accounts for 80% of water needs; 60% from ground water. • 52 % workers in Agriculture; 14 % of GDP. 2 Farmers 2.1 Disadvantages to Farmers 1. Economic Disadvatage: landlessness, near-landlessness, or small size of owned or operated holdings. • Small size of landholdings re- duces the farmer’s ability to in- vest in lumpy inputs, or gain from economies of scale, or have neces- sary bargaining power in markets and with service agencies. • Marginal farmer : land holding < 1 ha (2.5 acre). • Small farmer : land holding upto 2 ha (2.5 acre to 5 acre). • 83% farmers are small and marginal. 43% of area under their cultivation. • 10% of rural households landless. 2. Social Disadvantage: gender (being women), caste or tribe (belonging to SC or ST). 3. Ecological or regional disadvantage: located in regions which are arid, semi arid, rainfed, disaster prone, poorly irri- gated or geographically remote. 2.2 Constraints faced by Farmers 1. Poor land access 2. Poor credit access 3. Poor access to critical inputs, such as wa- ter, power, seeds, and fertilizers/manure. 4. Neglect by extension services and crop re- search. 5. High production risk and little insurance coverage. 6. Limited market access. : Small number of farmers taking advantage of marketing cooperatives. 2.3 Best Practices 2.3.1 Kudambashree, Kerala • Kudambshree project in Kerala pro- vided for land leasing to women SHGs. Later Joint Liability Groups (JLGs) - a NABARD scheme - and given financial and technical support. 2.3.2 Andhra Pradesh Mahila Samatha Society • Women’s group farming. Part of Na- tional Mahila Samkhya Programme. • Aim is to achieve food security. Only food crops grown. 2.3.3 The Gambhira farmers’ collec- tive, Gujrat • Farming cooperative formed in 1953. • Cultivation on a stretch of River Mahi by farmers of four villages. 1
  2. 2. 2.4 Measures to improve agricul- ture • Easing land constraint 1. Land transfer by government to landless. 2. Facilitating land purchase . 3. Facilitating land leasing including creation of land bank. 4. Tenancy to be legalized and regu- lated. 5. Protecting small and marginal hold- ers from indiscriminate land acquisi- tion of land for non-agricultural use. 6. Improving land records and gender disaggregated data. • Promoting group farming: Advan- tages of pooling of resources like credit, equipments, irrigation etc. 1. Incentivize group farming by land pooling or land leasing. 2. Can be integrated with MGN- REGA. 3. Kudambshree and APMSS model to spread. • Enhancing access to Production In- puts 1. Development and preservation of crop varieties. 2. Joint crop planning and input pro- curement. 3. Non chemical agriculture. 4. Improvement in irrigation facilities. 5. Low cost custom hiring of agricul- tural machinery. • Enhancing credit access 1. Financial inclusion. • Extension, Training and Capacity Building 1. Training essential for increasing pro- ductivity e.g.System of Rice Intensi- fication (SRI). 2. Resource centres to build capacity and knowledge of farmers on contin- uous basis especially women farm- ers. 3. Agricultural Technology Manage- ment Agencies (ATMAs) • Risk Mitigation 1. Crop insurance. 2. MSP • Marketing of Produce 1. Producers Organisations to be set up. More bargaining power. 2. Amendments in APMC act for protection for delayed payments and deliveries, contract cancellation damages, sharing production risks, dispute resolution etc. 3. Contract farming linkages. 3 Animal Husbandry and Dairying 4 Schemes 4.1 Soil Health Card Scheme • CSS for issuing soil health card to every farmer. • report on soil fertility status. • advisory on soil test based use of fertiliz- ers and amendments to increase produc- tivity and profitability. • SHC to be updated every 3 years. • soil sample drawn from uniform grid of 2.5 ha in irrigated land and 10 ha in non irrigated land. 4.2 Paramparagat Krishi Vikas Yo- jana (PKVY) • to promote organic farming. • Group of farmers to be promoted to adopt organic farming. 50 or more farm- ers to form clusters having 50 acre land. 2
  3. 3. • adoption of Participatory Guarantee Scheme (PGS) certification. • creating facilities for production of organic manure/ bio-fertilizer/ bio- pesticides and marketing of produce. 4.3 Pradhan Mantri Krishi Sin- chayee Yojana (PMKSY) • extending irrigation coverage “Har Khet ko Pani” and improving water use effi- ciency “Per Drop More Crop” in a fo- cused manner. • end to end solution on source creation, distribution, management, field applica- tion and extension activities. 4.4 Price Stabilisation Fund (PSF) • CSS with initial corpus of 500 crore to support market intervention for price control of agri-horticultural commodities. • interest free loans to State Governments and Central agencies. • procurement directly from farmers or farmers’ organisation at farm gate/ Mandi. • Centre State contribution 50:50, in NE 75:25. 4.5 National Agricultural Market through Agri Tech Infrastruc- ture Fund (ATIF) • aimed at migration towards national market with implementation of common e-market platform. • address present challenges in agricultural marketing especially providing remuner- ative prices to farmers. • enhance marketing of produce, improve access to market related information, better price discovery, accessing greater number of buyers through transparent auction process. 4.6 Schemes for enhancing relief to farmers due to Natural Disas- ters 1. National Disaster Response Fund (NDRF)/ State Disaster Response Fund (SDRF) norms revised comprehensively. 2. Relief in form of input subsidy. 3. Enhancement in financial assistance to farmers for crop damage due to natural calamities. 4. Crisis Management Plan (CMP) for drought. 5. National Crop Insurance Plan (NCIP) 4.7 Mission for Integrated Develop- ment of Horticulture (MIDH) • Subsumes all horticulture development schemes. • Research, technology promotion, exten- sion, post harvest management, process- ing and marketing. • Encourage Farmer groups to leverage economies of scale and scope. • Augment farmers income and strengthen nutritional security. • Improve productivity by way of quality germplasm, planting material and water use efficiency. • Skill Development. Create employment generation opportunities for rural youth in horticulture and post harvest manage- ment, especially in the cold chain sector. 4.8 Farm Mechanisation • Overall 40-45 % mechanisation. 4.8.1 Farm Mechanisation Areas 1. Tillage & seed bed preparation. 2. Sowing/ Planting 3. Fertilizer Application. 3
  4. 4. 4. irrigation. 5. Harvesting. 6. Post Harvesting. 4.9 Core issues 1. Adverse Economies of Scale. 2. Weak financial strength of majority of farmers. 3. Lack of access to credit. 4. Need for promoting appropriate Farm Equipment: Low cost, region and crop specific, indigenous technology. 4.9.1 Sub Mission of Agricultural Mechanisation (SMAM) • Promoting farm mechanization in small and marginal farmers. • Promoting Custom Hiring Centres to offset the adverse economies of scale aris- ing due to small landholding and high cost of individual ownership. • Creating hubs for hi-tech & high value farm equipments. • Ensuring performance testing and certi- fication. 4.10 Rainfed Area Development Programme (RADP) • The Food Bowl of India (North West) is becoming unsustainable. Urgent need for “Second Green” revolution from “RAIN- FED AREAS” • 60 % of net sown area is rainfed. 4.10.1 Problems in Rainfed areas 4.10.2 Natural 1. Erratic Rainfall, Floods, Droughts, Inad- equate Irrigation Infrastructure. 2. Land Degradation, Poor Soil Fertility. 4.10.3 Socio-Economic 1. Small Land Holdings, Poor Farmers. 2. Lower Credit off take. 3. Poor Socio-Economic growth, Illiteracy, Poverty. • High risk, low yield business. • High Risk → Less investments in Inputs → Low Productivity → Under developed Market Infrastructure, Poor Post Harvest Management → High Risk. 4.11 National Food Security Mis- sion (NFSM) • increase the production of rice, wheat, pulses and coarse grains by 10, 8, 4 and 3 million tonnes. • promote and extend improved tech- nologies, i.e., seed, micronutrients, soil amendments, integrated pest manage- ment farm machinery and implements, irrigation devices resource conservation along with capacity building of farmers. 4.12 Integrated Scheme for Agricul- tural Marketing (ISAM) The ISAM has five sub schemes namely 1. Agricultural Marketing Infrastruc- ture (AMI) the erstwhile schemes of Grameen Bhandaran Yojana (GBY) and the Scheme for Devel- opment/Strengthening of Agricultural Marketing Infrastructure, Grading and Standardisation (AMIGS) have been subsumed into AMI sub scheme. 2. Marketing Research and Informa- tion Network (MRIN) : collect and disseminate information on price, ar- rival and other market related data for the benefit of farmers and other market stakeholders. 3. Strengthening of Agmark Grading Facilities (SAGF) 4
  5. 5. 4. Agri-business Development (ABD) through Venture Capital Assistance (VCA) and Project Development Facil- ity (PDF) and 5. Ch. Charan Singh National Institute of Agricultural Marketing (NIAM), Jaipur 5

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