Instability in Indian Agriculture - NCAP

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Instability in Indian Agriculture remunerative prices to farmers to encourage use of modern inputs and adoption of new technology. To achieve this, new institutions like Food Corporation of India and Agricultural Prices Commission, later renamed as Commission on Agricultural Costs and Prices (CACP) were created. The CACP was entrusted with the task of announcing minimum support prices (MSP) for selected commodities and the Food Corporation of India implemented the MSP by procuring paddy and wheat at those prices. Public sector market interventions was also extended to some other crops by creating national and state level institutions (Acharya 2001). This period also witnessed strong emphasis on agricultural R&D, expansion of institutional credit, and creation of modern input manufacturing industry. After mid 1980s, policy intervention became more and more price centric. This period witnessed major surge in subsidies and a sharp fall in public investments in agriculture (Chand 2008). Another significant policy change in this period relates to liberalization of agriculture trade. Adoption of green revolution technology in mid 1960s started with shift in area from traditional varieties to high yielding crop varieties. By the year 1987-88 high yielding varieties of cereals were grown on 55 per cent of total area under cereals in the country. However, spread of HYV across states was highly uneven as can be seen from Table 2. Coverage of HYVs was below 42 percent in seven out of 17 major states whereas it was more than 75 percent in Punjab, Haryana and Tamil Nadu. After 1987-88 new agriculture technology spread to wider areas. By the year 1996-97, 14 out of 17 states cultivated HYVs of cereals on more than 70 percent of area. The major expansion took place in those states where area under HYVs remained low in the first phase of green revolution. coefficient of variation in coverage under HYVs among major states declined to almost half between 1987-88 and 1996-97. At national level, area under HYVs of cereals increased from 54 million hectare during 1987-88 to 76 million hectare during 1997-98. During these 10 years per cent area under HYVs increased from 55 per cent to 76 per cent of total area under all cereals. ... 14 ...
Ramesh Chand and S S Raju Table 2: Spread of new technology in indian agriculture as revealed by area under HYVs and fertiliser use Area under HYV’s of cereals ( %) Fertiliser use: NPK (kg/ha) State 1987-88 1996-97 1987-88 2005-06 Andhra Pradesh 56.2 82.5 92.3 247.2 Assam 39.1 58.9 8.8 71.1 Bihar 71.2 83.1 65.0 140.8 Gujarat 40.8 72.8 47.0 129.9 Haryana 79.7 78.1 121.8 320.0 Himachal 51.8 76.1 43.9 88.7 Pradesh Jammu & 63.5 83.3 53.2 122.7 Kashmir Karnataka 35.0 75.3 52.9 145.2 Kerala 41.1 92.2 82.5 93.9 Madhya Pradesh 38.6 63.4 26.3 66.6 Maharashtra 61.0 85.5 40.8 112.5 Orissa 38.1 67.0 25.5 68.8 Punjab 92.4 96.9 267.4 397.6 Rajasthan 28.2 42.4 18.6 53.3 Tamil Nadu 75.7 100.7 117.5 215.7 Uttar Pradesh 61.7 83.4 99.8 204.5 West Bengal 51.9 77.5 105.1 207.7 C.V. (%) 33.1 18.3 81.6 60.8 All India Year Area under HYV (%) NPK (Kg/ha) 1967-68 6.1 11.0 1987-88 54.6 65.6 1996-97 75.6 100.2 2006-07 NA 153.0 Source: 1. Agricultural Statistics at a Glance, Ministry of Agriculture, GOI, New Delhi, various issues. 2. Indian Agriculture in Brief, Ministry of Agriculture, GOI, New Delhi, various issues. ... 15 ...
Page 1: Discussion Paper : NPP 01/2008 1 In
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Instability in Indian Agriculture - NCAP

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