Review of the year – 2009

  The year 2009 has been a dramatic year for agriculture, with monsoons playing a spoiler in record-breaking foodgrain production year after year in the previous four years. About 23 percent of the area received deficient south-west monsoon rains. Yet, despite such a severe drought and about two-thirds of Indian crop area being rainfed, Indian agriculture withstood the impact of drought and is confident of harvesting a robust crop in the coming season.

 The year started with an all-time high foodgrain production of 233.88 million tonnes, comprising 117.70 million tonnes of kharif foodgrains and 116.18 million tonnes of rabi foodgrains. 

 After the record production came the onslaught of drought. Monsoon broke out early but halted soon after that. Rains were delayed and deficient and were distributed unevenly.  The north-west India, which contributes significantly to the country’s food production, was particularly hit. Kharif crops could not be sown in time. Where farmers planted crops, subsequent dry spell dried up the standing crops. Scanty rains also badly affected water storage in reservoirs and production of feed and fodder. Rains did come later but were not sufficient. In some parts of Andhra Pradesh and Karnataka, the drought spell was followed by heavy rains leading to floods.

 As per the latest estimates, kharif foodgrain production in the just-ended kharif season stands at 98.83 MT as compared to 117.70 MT in 2008 kharif. The loss in foodgrain production could be contained to the extent of 16 percent primarily because of timely and concerted actions taken by the central and State governments.

 The monsoons tested the resilience of Indian agriculture and the responsiveness of the government. The drought situation was closely monitored at the highest levels and adequate measures were taken in close association with States. National level meetings were held in which State Chief Ministers, Agriculture and Food Ministers, Chief Secretaries and Agriculture Secretaries participated. Monitoring of the situation and coordination was done regularly at the Prime Minister and Agriculture Minister levels followed by implementation and close coordination with implementing agencies and States at Cabinet Secretary, Agriculture Secretary and Chief Secretary levels. An Inter-Ministerial Group on a regular basis took stock of field level preparedness. The strategy focused on protecting the standing crops, making best use of late rains and preparing in advance for the ensuing rabi. Diesel subsidy was given to farmers and additional power was given from the Central pool to many States.  Relaxations were allowed in seeds parameters to increase seed availability.  Truthfully labelled seed was allowed to be used in government programmes.  Seed movement was coordinated across the country, particularly for late kharif and early rabi. 

 A nation-wide strategy has been evolved to maximize rabi production. Funds from ongoing schemes have been allowed to be used to meet these objectives. For helping States to make district-specific plans and guide them on various technical aspects, Consultants were sent to a number of States. Availability and supply of essential inputs such as fertilizers, additional power for irrigation etc have been ensured in coordination with the States and various Central Ministries. Double the number of minikits are being distributed during this rabi season.  The distribution subsidy on seeds for oilseeds, pulses, rice, wheat and maize has been enhanced for rabi 2009-10 in order to reduce the cost of seed to the farmer. Advisories continue to be issued to farmers on how to maximize production in the prevalent situation. 

 At present, rabi crops are being sown or have already been sown. Acreage under wheat is planned to be increased by 5 lakh hectares.  This along with increase in productivity would lead to increased production of 2 million tonnes of wheat compared to the last year.  Acreage under summer/boro rice is to be increased by 12 to 15 lakh hectares in States like West Bengal, Orissa, Andhra Pradesh, Tamil Nadu, Bihar and Eastern UP.  This is expected to result in additional production of about 1 million tonnes. Area under rabi pulses is to be increased by 15 lakh hectares due to improved soil moisture on account of late monsoon rains.  This is expected to result in additional production of about 1 million tonnes.  Similarly, additional area under oilseeds would also bring about 1.2 million tonnes of additional production. Rabi maize and sorghum and summer bajra would bring in 1.5 million tonnes of additional production. These efforts are likely to result in production of about 8.5 million tonnes of additional foodgrains and 1.5 million tonnes of additional oilseeds during the rabi season. 

 The policy support initiated in the last few years has played a major role in achieving record crop production, reducing the impact of  a poor monsoon this year and planning for the coming rabi season. NFSM – the crop and area specific approach for raising foodgrain productivity on a time-bound manner – is one major programme that has started showing results.  RKVY, another major scheme, has   helped States in prioritizing schemes as per their specific needs and has also brought in greater investment in the agriculture sector from State and central budgets. National Horticulture Mission and the recently set-up National Fisheries Development Board have played a major role in promoting horticulture and fisheries.

 The National Food Security Mission (NFSM) was launched in 2007-08 to enhance the production of rice, wheat and pulses by 10 million tonnes, 8 million tonnes and 2 million tonnes respectively by the end of the 11th Plan.  Allocation for the scheme for 2009-10 has been stepped up from Rs.1100 crore to Rs. 1350 crore. The Mission has helped to widen the food basket of the country with significant contributions coming from the NFSM districts.

 Investment plays a key role in achieving higher growth rate.  The plan outlay for the agriculture and allied sectors has increased substantially, partly as a result of the introduction of Rashtriya Krishi Vikas Yojana (RKVY) which incentivises States to increase the percentage share of State Plan expenditure in agriculture and allied sectors. The allocation under RKVY has been raised from Rs.3165 crore last year to Rs.4100 crore in 2009-10.

 Minimum support prices of foodgrains have been raised significantly in the last six years.  MSP for wheat has been raised to Rs.1100 per quintal for the coming crop.  MSP for paddy was increased to Rs.950 per quintal for the last kharif crop and a bonus of Rs. 50 per quintal was subsequently declared.  Increase in MSP has encouraged farmers to grow more foodgrains which has resulted in record procurement of wheat and rice during the last two years.

 The Macro Management of Agriculture Scheme has been revised and redefined to avoid overlapping and duplication of efforts of the States and to make it more relevant to the present agricultural scenario to achieve the basic objective of food security and to improve the livelihood system for rural masses. The Scheme comprises 10 sub-schemes relating to crop production and natural resource management.

 Efforts are being made to increase the production of oilseeds, pulses and oil palm to meet the rising demand through implementation of Centrally Sponsored Integrated Scheme of Oilseeds, Pulses, Oil Palm and Maize (ISOPOM) and other schemes. As a result, the production of oilseeds reached 28.16 million tonnes during 2008-09. A target of 31.60 million tonnes of oilseeds production has been fixed for 2009-10.

 To upgrade the quality of farmer-saved seed, financial assistance is provided under the Seed Village Programme.  So far, about 65,000 villages have been covered under this scheme and another 65,000 villages are expected to be covered during the current year.  The programme will result in increased availability of about 2.20 lakh quintals of improved seed to farmers. Seed import and export regulations have been liberalized with the intention to develop the country into a major seed production and export centre. States are encouraged to obtain accreditation of seed testing laboratories from the International Seed Testing Association (ISTA).

 The government provides 100% depreciation to the private sector for cold-chain and warehousing storage of agricultural products.  In addition, a Terminal Markets Scheme has been launched where subsidy upto Rs.50 crore is given for setting up modern terminal markets.  In addition, the scheme of supporting rural godowns continues with a subsidy of 25%.

  Agricultural credit has expanded multi-fold over the last five years. By the end of October, total farm credit stood at Rs. 1,63,195 crore. A target of Rs. 3,25,000 crore has been kept for disbursement of crop loans this year, and the target is likely to be fully achieved.  An interest subvention of 2% is being provided by the government for short-term agricultural credit.  In addition, a 1% interest subvention for prompt repayments has also been announced as a new incentive this year.  This takes the effective rate of interest for short-term farm credit to 6%.  A campaign to issue Kisan Credit Cards has been launched in all States.  Nearly 9 crore credit cards have been issued so far, enabling these farmers to access credit easily from banks.

 Cooperatives play a big role in agriculture, be it production, input supply or marketing. So as to ensure democratic, autonomous and professional functioning of cooperatives, the Government has introduced the 111th  Constitution Amendment Bill in Parliament in November this year. It will empower cooperatives through their voluntary formation, autonomous functioning, democratic control and professional management.

 

ANIMAL HUSBANDRY, DAIRYING AND FISHERIES

 Animal husbandry, dairying and fisheries sectors play an important role in the national economy and in the socio-economic development of the country. These sectors also play a significant role in supplementing family incomes and generating gainful employment in the rural sector, particularly, among the landless labourers, small and marginal farmers and women, besides providing cheap nutritional food to millions of people. 

 India continues to be the largest producer of milk in the World.  Milk Production is estimated to have reached 108.00 million tonnes in 2008-09.  Per capita availability of milk is expected to have reached 261 grams per day by 2008-09.

 The milk production and marketing system in India is unique. Most of the milk is produced by small and marginal farmers and landless labourers who are grouped into cooperatives at the village level. To provide them a steady market and a remunerative price for the milk produced, about 13.89 million milk producers have been brought under the ambit of 1,33,349 village level dairy cooperative societies in the country.

 India has achieved significant progress in the development of the fisheries sector.  With a total fish production of 7.13 million tonnes in 2007-08, India contributed 4.7 per cent towards the global production of 151.70 million tonnes.  While production from the inland sector is 4.21 million tonnes, the production from the marine sector stands at 2.92 million tonnes.  The country stands third in the world in total fish production and second in inland aquaculture.  As many as 14.48 million persons in the country depend on the fisheries sector for their livelihood. The sector contributes around 1 per cent to the GDP and 4.56 per cent to Agriculture GDP.  Fish and fish products account for Rs. 7,620 crore during 2007-08 towards country’s exports; this constitutes 14 per cent of  national agriculture exports. 

 The Eleventh Five Year plan has targeted a fish production of ten million tonnes by 2012.  The potential in marine fishing is in deep-sea fishing, as against the coastal fisheries, which have been over exploited.  However, there is a vast potential for enhanced production in the inland sector. While the target growth rate for fisheries sector as a whole is 6 per cent, the targets for inland and marine sector have been fixed at 8 per cent and 2.5 per cent respectively.

 A Centrally Sponsored Scheme, “Poultry Development” at a total outlay of Rs. 150 crore has been approved.  It combines three components viz. ‘Assistance to State Poultry Farms’, ‘Rural Backyard Poultry Development’ and ‘Poultry Estates’.

 A Central Sector Scheme ‘Integrated Development of Small Ruminants and Rabbits’ approved during the current financial year envisages setting up 54 intensive small ruminant development clusters with venture capital through NABARD as well as infrastructure development and institutional restructuring for sheep and goat development.

 The 18th Livestock Census was conducted throughout the country with 15/10/2007 as the date of reference. The All India provisional results are expected to be finalized by the end of April, 2010.  All India detailed household results are expected to be released by December, 2010. 

 The Livestock Insurance Scheme has been extended to 300 districts from 100 districts in which the scheme was implemented so far.

 The Prevention and Control of Infectious and Contagious Diseases in Animals Act, 2009 (Act No. 27 of 2009)’ received the assent of the President of India on 20th March, 2009.  The objective of the Act is to provide for the prevention, control and eradication of infectious and contagious diseases affecting animals and spreading of such disease from one State to another, and to meet international obligations for facilitating import and export of animals and animal products.

 India had notified outbreaks of Avian Influenza (H5N1) in Assam, West Bengal and Sikkim during November 2008 to May 2009.   The final disinfection process was completed on 8th June 2009.  After carrying out surveillance throughout the country as per article 2.7.12.4 of the OIE Terrestrial Animal Health Code (2008), India declared itself free from notifiable Avian Influenza (H5N1) from 22nd October, 2009.

 RESEARCH & DEVELOPMENT

             Agricultural research and education plays a crucial role in the growth of the agriculture and allied sectors. Major achievements this year include  development of 147 varieties/hybrids of crops including a Bt gene containing cotton variety  Bikaneri Narma. To promote use of better seeds, ICAR produced and distributed 7340 tonnes of breeder seeds of different field crops and over 25 lakh planting materials. To contain crop loss due to droughts and floods, new varieties of rice capable of withstanding drought (Sahbhagi Dhan) and water submergence (Swarna-Sub 1) were developed. The latter can survive for 14 days under water. To ward off threat to wheat production from the globally spreading menace of stem rust, Ug99, resistant varieties (DBW 17, PBW 550, Lok 1, and Turja) have been identified.

             ICAR released 3 location specific coconut varieties/hybrids and developed dry matter-rich variety potato Kufri Frysona for making French fries. Pusa Navrang, a fungal resistant grape variety with red pigmentation in both  peel and pulp was developed for juice making.

             To promote production-to-consumption chains for maximizing farmers’ profits, 51 models were developed for different agricultural commodities. In 102 of 150 most disadvantaged districts, 36 models of technological innovation-based sustainable rural livelihood initiatives were introduced which  benefitted 50,000 farm families.

             The year also witnessed production of the first survivor cloned buffalo calf. This success will pave way for faster multiplication of selected highly productive animals.

         

            In fisheries sector, for year-round rearing of Indian carp (fish), technique for off-season spawning was developed. Open sea cage farming technology was developed for culturing sea bass. An international award-winning device was designed to reduce by-catch and juvenile fish trapping in trawl nets.

         

            ICAR has developed cost effective amelioration technologies for waterlogged, salt affected and acid soils. In order to address the  issues of impact of climate change on agriculture, a National Institute of Abiotic Stress Management has been established.

    Eight new Krishi Vigyan Kendras have been added during the year.  Provision has been made for e-linking of Krishi Vikas Kendras and for establishment of facilities like mobile diagnostic-cum-exhibition units, soil and water testing labs, rain water harvesting, etc.

    ICAR has also set up a comprehensive accreditation system to ensure quality of education, strengthening of infrastructure and faculty improvement in agricultural universities, introduction of new courses on skill and entrepreneurship development and introduction of international fellowships.

Source: Ministry of Agriculture – PIB release