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DOUBLING FARMERS' INCOME: ISSUES and STRATEGIES for RAJASTHAN Final Report

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DOUBLING FARMERS' INCOME: ISSUES and STRATEGIES for RAJASTHAN Final Report DOUBLING FARMERS’ INCOME: ISSUES AND STRATEGIES FOR RAJASTHAN Final Report NOVEMBER 2018 CONTENTS 1) Executive Summary ...................................................................................................................... 9 2) Background ................................................................................................................................. 18 A) OBJECTIVES OF THE ASSIGNMENT .................................................................................................. 20 B) SCOPE OF WORK .......................................................................................................................... 21 3) Review of Literature ................................................................................................................... 22 a) Reforming Agricultural Produce Marketing Policies and Interventions ................................... 23 b) Raising Productivity of Land and Water .................................................................................... 26 c) Land Tenancy Reforms .............................................................................................................. 28 d) Improved relief measures in the event of natural disasters ..................................................... 29 e) Enhancing Farmer’s Income – International Experiences ......................................................... 31 4) Methodology .............................................................................................................................. 33 a) Rajasthan: physiography, soils and water resources ................................................................ 33 b) Agro-climate and Agro-economic Zones of Rajasthan .............................................................. 34 c) Sampling Methodology for Analysing Farmer-level Objectives ................................................ 35 d) Sampling Stages ........................................................................................................................ 36 e) Macro-level Objectives ............................................................................................................. 39 f) Analytical Framework ............................................................................................................... 40 5) Income and investment required to double farmer’s income ................................................... 43 a) Estimating Farmers’ Income ..................................................................................................... 43 b) Investments Required for Doubling Farmer’s Income .............................................................. 45 6) State of farmers and farming in Rajasthan ................................................................................. 47 a) Crop Composition and Growth ................................................................................................. 48 b) Variability in Crop Output ......................................................................................................... 52 c) Livestock Sector ........................................................................................................................ 54 d) Drivers of Growth ...................................................................................................................... 58 e) Factors Influencing Growth ....................................................................................................... 62 f) Gross Cropped Area .................................................................................................................. 62 g) Improved Crop Yields ................................................................................................................ 63 h) Investment and Infrastructure .................................................................................................. 64 i) Public Investment in the Farm Sector ....................................................................................... 69 j) Farm Prices ................................................................................................................................ 72 k) Constraints to Growth............................................................................................................... 73 i) Water scarcity and inefficient use ........................................................................................ 73 ii) Climate Change ..................................................................................................................... 76 1 iii) Underinvestment in agricultural research ............................................................................ 77 iv) Underdeveloped value chains for high-value crops ............................................................. 78 v) Feed scarcity ......................................................................................................................... 78 vi) Underdeveloped livestock markets and infrastructure ........................................................ 79 vii) Ban on Animal Slaughter ....................................................................................................... 79 viii) Declining Agro-exports .......................................................................................................... 81 7) Profile of the Sampled Districts .................................................................................................. 83 AJMER .................................................................................................................................................... 83 a) Climate ...................................................................................................................................... 84 b) Soil ............................................................................................................................................. 84 c) Land utilization .......................................................................................................................... 84 d) Forest ........................................................................................................................................ 84 e) Ground water resources ........................................................................................................... 84 f) Irrigation .................................................................................................................................... 85 g) Cropping pattern ....................................................................................................................... 85 h) Crop Insurance .......................................................................................................................... 86 i) Animal Husbandry ..................................................................................................................... 86 j) Infrastructure ............................................................................................................................ 87 k) Trade and Commerce ................................................................................................................ 88 l) Industries .................................................................................................................................. 89 m) Minerals and Mining ................................................................................................................. 89 UDAIPUR .................................................................................................................................................. 91 a) Climate ...................................................................................................................................... 91 b) Soil ............................................................................................................................................. 91 c) Land utilization .......................................................................................................................... 92 d) Forest ........................................................................................................................................ 92 e) Ground water resources ........................................................................................................... 92 f) Irrigation .................................................................................................................................... 92 g) Cropping pattern ....................................................................................................................... 93 h) Crop Insurance .......................................................................................................................... 94 i) Animal Husbandry ..................................................................................................................... 94 j) Infrastructure ............................................................................................................................ 95 k) Trade and Commerce ................................................................................................................ 95 l) Industries .................................................................................................................................. 96 m) Minerals and Mining ................................................................................................................
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