Karnataka Agricultural Policy - Institute for Social and Economic ...

Karnataka Agicultural Policy 2006
number of companies of about 30 per cent, followed by Agri-biotech and health biotech companies
with around 25 and 20 per cent respectively. The infrastructure facilities in terms of high level
research and academic institutions, industry, information technology, etc., in the State have been
attracting large number of firms.
20.2 The State has provided a very congenial atmosphere for establishment and development of biotech
companies. Such companies increased from 35 to 92 between 1999-2000 and 2003-04 at an average
annual growth rate of 28 per cent. Biotechnology is a capital-intensive sector, where the State has
seen significant rise in investment, at an annual average rate of 61 per cent. Similarly, the total revenue
has risen from Rs. 355 crore to Rs. 1700 crore. Greater potentialities of biotechnology are expected from
its strength in augmenting the export sector. This can be seen from the rapid increase in export in the
2000
G r o w th o f B T s e c to r in K a r n a ta k a
1500
Growth
1000
500
0
1999-00 2000-01 2001-02 2002-03 2003-04*
N o O f C o m p an ies
T otal Revenue (Rs. Crores)
Year
Investm ent (Rs. Crores)
Exp orts (R s. In C rores)
State. Exports from biotechnology sector have increased from Rs. 117 crores to Rs. 750 crore at an
average annual growth rate of 61.5 per cent during 1999-2000 to 2003-04. This needs to be taken up
vigorously.
21 Towards Farmers’ Welfare
21.1 This is a farmer centric policy, and therefore, farmers’ welfare is given prime importance here.
There are five major components of farmers’ welfare. First the farm dictates the welfare orientation
of the farmer. It incorporates the type of soil, the size of holding, the crops grown, technology
utilised and basic infrastructure. The impact of factor market imperfections dictate the second
component of farmers’ welfare. Here, if the inputs are available easily and at affordable prices, it
helps to optimise the welfare of the farm family. Availability of agricultural labourer and the
conditions of the agricultural labourer also dictate the type of output available from the farm. Third,
the production process and the product market behaviour dictate the net income generated in the
farm family. Fourth, the post harvest value addition and marketability of the products produced
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