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Overview
Post independence till 1964. Reliance on imported
food and Food AID from Developed countries and UN.
1960s Green Revolution (wheat)
1970s extension to Rice poorly irrigated areas.
Tube well system of irrigation increased.
1980s - White revolution (milk)
1990s - Yellow revolution (vegetable oils)
2000s - Blue revolution (fisheries)
2010s - Pink revolution (horticulture)
Overview
Punjab, UP, MP, Haryana, Bihar top 5
Agriculture is a state list item and central govt can not
form uniform national policies
MSP generally is below market prices due to
inefficiency
Quick overview
Farm Subsidies
Country
Subsidy / ha ($)
% Pop dependent on
agriculture
USA
32
Japan
35
China
30
24
S Africa
24
18
India
14
60
Farm Subsidies
Accounts for 40% of subsidy bill (Rs 190 K Cr); around
0.8% of GDP
87% through fertilizer subsidies (Rs 67K Cr)
13% through electricity subsidies (Rs 10 K Cr)
MSP
Market
Paddy
1250
1300
Jowar / Ragi
1500
1500
Bajra / Maize
1175
1175
Arhar
3200
3850
Moong
3500
4400
Urad
4300
4300
Cotton
3600
3600
Groundnut/Sunflower
3700
3700
Soybean
2200
2200
Sesame
4200
4200
MSP
Market
Wheat
Barley
1350
980
1285
Gram
3000
Masur
2900
Mustard
3000
Safflower
2800
4070
2500
Non-agri; 6%
Barren; 4%
Pasture; 2%
Trees/Groves; 1%
Wasteland; 3%
36.2
20.1
6.2
7.5
63.6
84
26.5
USA (40.1)
4.7
7
20.2
China (92.7)
India (138.6)
World (31.9)
80
70
67
53
60
51
43 42 42
50
40
30
72
21 21
Marginal
Small
S Medium
Medium
Large
37
24 23
20
10
10
0
% land area
% irrigated
% fertilizers
Cotton; 11%
Others; 27%
Marine; 10%
Oil; 9%
Tea; 3%
Cereals; 3%
B.Rice; 9%
Paper/Wood; 6%
Sugar; 9%
Spices; 7%
Meats; 7%
Others; 9%
Canals; 28%
Tubewells ; 40%
Tanks; 4%
Wells; 18%
Crop-wise irrigation
5.7
10.0
41.1
66.1
55.3
82.4
94.3
90.0
58.9
33.9
44.7
17.6
Paddy
Wheat
Pulses
Sugarcane Oilseeds
Fibres
Actual
Normal
Productivity issues
Productivity issues
Margin% share
of final
price
Issues
Farmer
35%
Non
transparent
pricing
Limited
financial
capability
Primitive
cleaning,
sorting &
grading
facility
Village
Comm.
Agent
15%
District
Comm.
Agent
Whole
saler
SubWholesaler
Retailer
10%
10%
10%
20%
Wastage rampant
Lack of quality and hygiene consciousness
Lop sided pricing
Opportunistic profiteering
Consumer
High
prices
Limited
choices
Cumulative Wastage
Potato
24%
Cauliflower
24%
Banana
30%
Cabbage
36%
Tomato
40%
Road ahead
More opportunities
Drip irrigation
Rainwater harvesting
Organic farming
Packaged farming products
Microfinance
Crop insurance
CSR initiatives
WTO
Agreement on Agriculture
domestic support MSP, subsidies
Market access
reduction of import duties by 24%
export subsidies
Reduce by 14% by volume, 24% by
valye