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PPP Special 08 - Institut für Entwicklungs- und Agrarökonomik

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9<br />

Karnataka is predominantly rural and agrarian and more than 71 per<br />

cent of the population 4 is engaged in agriculture. Hence, agriculture<br />

plays an important role in the state’s economy and contributes about 28<br />

per cent to the domestic product (Karnataka State Department, 2000).<br />

The total geographical area of Karnataka is 19 million hectares and 64<br />

per cent is used for agriculture of which less than one fourth is irrigated.<br />

Cotton is grown as one of the major cash crops but the production has<br />

been constrained by especially low rainfall during the last three years<br />

(see Figure 2.2). Only 35 per cent of cotton is grown with supplementary<br />

irrigation.<br />

Figure 2.2 shows average yields of lint cotton in five-year intervals<br />

between 1955 and 1999.<br />

Figure 2.2:<br />

Area and yield 5 of cotton in Karnataka<br />

1200<br />

300<br />

1000<br />

250<br />

Area [mill.ha]<br />

800<br />

600<br />

400<br />

200<br />

150<br />

100<br />

Yield [kg/ha]<br />

200<br />

Area<br />

Yield<br />

50<br />

0<br />

1955-60 1961-65 1966-70 1971-75 1976-80 1981-85 1986-90 1991-95 1996-99<br />

Source: Karnataka State Department 2000<br />

The cotton area decreased over the last ten years since farmers shifted<br />

to other crops like maize and sugarcane. The cotton yield of 212 kg lint<br />

0<br />

4 See Appendix for districtwise population and area.<br />

5 Fiber Cotton (about 1/3 of Seed Cotton)

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