Important Facts Related to Agriculture 2007-08

■ The share of agriculture in the gross domestic product has registered a steady decline from 36·4 per cent in 1982-83 to 18·5 per cent in 2006-07.

■ Over a medium term, there has generally been a shortfall in the achievement of target of foodgrains, pulses and oilseeds during 2000-01 to 2006-07. The actual production of foodgrains on an average was 93 per cent of the target. Actual production, however, was only 87·7 per cent of target for pulses and 85·3 per cent of target for oilseeds. Production of sugarcane and cotton, however, over achieved their respective targets in 2005-06 and 2006-07.

■ Agriculture in our country provides livelihood to about 64% of the population.

■ Agriculture sector provides employment to 58·4% of country’s work force and is the single largest private sector occupation.

■ Green Revolution in the country was actually started in the mid sixties.

■ Due to Green Revolution, the share of wheat in the total production was increased. The share of rice remained constant while the shares of cereals and pulses were reduced.

■ Coarse cereals include jawar, maize, bajra, ragi and small millets.

■ Between 1950-51 and 2006-07, foodgrain production increased at an average annual rate of 2·5% compared to the growth of population which averaged 2·1% during this period.

■ The overall production of foodgrains was estimated at 217·3 million tonnes in 2006-07 which shows an increase of 4·2% over 2005-06. Compared to the target set for 2006-07, it was, however, lower by 2·7 million tonnes (i.e. 1·2%).

■ During 2006-07, the increase in foodgrain production was largely because of higher production of wheat by 6·5 million tonnes (9·3%) and pulses by 0·8 million tonnes (6%).

■ During 2006-07 there was a decline in production of oilseeds (Decline by 3·7 million tonnes or 13%) compared to the production in 2005-06.

■ Nine oil seeds which are produced in India are : groundnuts, mustard, toria, soyabean, sunflower, sesamum (til), castorseed, nigerseed, linseed and safflower (kardi).

■ Madhya Pradesh has the highest production of soyabean in India.

■ During 2006-07, the production of rice has been estimated at 93·0 million tonnes (final estimates). During 2005-06 the production was 91·8 million tonnes.

■ India holds first position in the world in the production of sugarcane and sugar.

■ During 2006-07, the production of sugarcane has been estimated at 355·5 million tonnes. During 2005-06, its production was 281·2 million tonnes.

■ During 2006-07, the production of cotton has been estimated at 220 lakh bales of 170 kg. each. During 2005-06, its production was 185 lakh bales.

■ UP accounted for a share of 18·97% in India’s total foodgrains production in 2006-07, followed by Punjab with a share of 11·65%, AP with 7·47%, West Bengal 7·35% and Haryana with 6·79%. Compared with the previous year’s production level of 208·60 million tonnes, 2006-07 all-India production, at 217·28 million tonnes, recorded a 4·16% growth.

■ Rice production in the country amounted to 93·35 million tonnes during 2006-07, up 1·70% over the 2005-06 production of 91·79 million tonnes. West Bengal, Andhra Pradesh, Uttar Pradesh and Punjab were the top four producers cumulatively accounting for half of the country’s rice production.

■ During 2006-07, production of jute and mesta has been estimated at 110 lakh bales of 180 kg. each while during 2005-06 it was 108 lakh bales.

■ Cashew nuts assumes an important place in the Indian Economy. India produces 45% of the global production of Cashew. India is the largest producer, processor, consumer and exporter of Cashew in the world.

■ India contributes about 13% to the world vegetable production and occupies first rank in the production of Cauliflower,second in Onion and third in Cabbage in the world.

■ India’s share in the world production of mango is about 54%.

■ India occupies the first rank in banana production of 1·16 million tonnes.

■ The present availability of human protein in an Indian diet is 10 gm. per person per day as against a world average of 25 gms.

■ The Commission for Agricultural Costs and Prices (CACP) has proposed a Minimum Support Price (MSP) of Rs. 675 per quintal for Grade ‘A’ paddy and Rs. 645 per quintal for common variety to be procured during the Kharif marketing season October 2007–September 2008. For 2006-07 (October-September) the corresponding MSPs (with bonus) were Rs. 650 and Rs. 620 per quintal respectively. In addition, the Centre has announced an incentive bonus of Rs. 75, taking the procurement price of the 2007-08 crop to Rs. 725 and Rs. 695 per quintal for Grade ‘A’ and common paddy respectively.

■ The cabinet committee on Economic Affairs has fixed the Minimum Support Price for 2007-08 wheat crop (market year 2008-09) at Rs. 1000 per quintal which is Rs. 250 more than the Rs. 750 per quintal set for 2005-06. In addition to this government also announced a bonus of Rs. 100 per quintal for the year 2007-08, which hiked MSP of wheat to Rs. 850 per quintal.

■ All India Summary Reports of the 17th Livestock Census released in July 2006 points out that India possesses the largest livestock populations in the world after Brazil. It accounts for about 56 per cent of the world’s buffalo population and 14 per cent of the cattle population. It ranks first in respect of buffalo and second in respect of cattle population, second in goat population and third in respect of sheep in the world.

■ Animal husbandry output constitutes about 30% of the country’s agriculture output.

■ U.P. is the highest wheat producing state in India. Punjab and Haryana hold second and third positions respectively.

■ Rice is the main food crop in India. The highest rice producing State is W. Bengal, Andhra Pradesh and Uttar Pradesh hold the second and third places respectively.

■ The highest cereals producing area is Maharashtra. Karnataka and Rajasthan hold the second and third position respectively.

■ The highest pulses producing State is M.P., U.P. and Maharashtra hold the second and third places respectively. The production of pulses in the country has been stagnating at around 14 to 15 million tonnes as against domestic demand of around 20 million tonnes.

■ India is the largest producer and consumer of tea in the world and accounts for around 27% of world production and 13% of world trade.

■ Under the present foreign trade policy, import of tea is permitted with an import duty of 100%.

■ India contributes only 4% of world coffee production but India ranks sixth in world coffee production. During 2006-07 coffee’s production was 2·88 lakh tonnes. For 2007-08, its production has been estimated at 2·62 lakh tonnes.

■ A total quantity of 2·49 lakh tonnes of coffee was exported from India during the year 2006-07 valued at 453 million US dollar, earning a foreign exchange of Rs. 1016 crore.

■ Karnataka which is the largest producer of coffee in the country accounts for 56·5% of total coffee production in India.

■ Domestic demand for coffee in the country is about 70000 tonnes per annum 70% of the total coffee production is exported from India.

■ The productivity of rubber in the country during 2006-07 was 1879 kg per hectare, which is the highest in the world. At present country’s 97% of demand for natural rubber is met by indigenous production.

■ India is the fourth largest producer of natural rubber with a share of 8·8% in world production in 2006.

■ Kerala is the main rubber producing state which produces 90% of rubber in the country and accounts for over 85% of the area under cultivation.

■ The Price Stabilisation Fund Scheme (PSFs) for tea, coffee, rubber and tobacco growers was launched in April 2003 against the backdrop of decline in unit value realisation of these commodities, at times falling below their cost of production.

■ India is the largest milk producing country in the world. During 2006-07, milk production was 100·9 million tonnes in the country. The country is also world’s fifth largest producer of eggs, sixth largest producer of fish and second in inland fisheries.

■ Milk production and per capita availability of milk in 1950-51 was 17 million tonnes and 124 gm/day which became about 100·9 million tonnes and 246 gm/day respectively in 2006-07.

■ Accelerated Irrigation Benefits Programme (launched in 1996-97) covered 229 major/medium irrigation projects and 6205 surface minor irrigation schemes upto January 29, 2008 with release of Central Loan Assistance of Rs. 24867 crore for such projects.

■ Irrigation is one of the six components for development of rural infrastructure under Bharat Nirman. The irrigation component of Bharat Nirman aims at creation of irrigation potential of 10 million hectare during 2005-06 to 2008-09 mainly through completion of ongoing major and medium irrigation projects.

■ The total irrigation potential in the country has increased from 81·1 million hectare in 1991-92 to 102·8 million hectare in 2006-07. The potential created so far is estimated to be 73·5% of the ultimate irrigation potential. Of the total irrigation potential created only 87·2 million hectare (84·9%) is actually utilised.

■ A scheme for the establishment and maintenance of a Seed Bank has been in operation since 1999-2000.

■ Irrigation is one of the six components for the development of rural infrastructure under the Bharat Nirman and aims at creating the irrigation potential of 10 million ha by 2008-09. The target under Bharat Nirman is to be met largely through the completion of ongoing major and medium irrigation projects/schemes.

■ Agricultural Insurance Co. of India Ltd. (AICIL) has introduced Rainfall Insurance Scheme known as ‘Varsha Bima’ during 2004 South-West monsoon period.

■ The Government has decided to provide 2% subsidy to Public Sector Banks and RRBs to ensure availability of farm loans at 7% interest.

■ At present India is the third largest fertiliser producing country in the world. India meets 94% of nitrogen fertiliser domestic demand and 82% of phosphate fertiliser domestic demand. For potash fertiliser India is totally dependent on imports.

■ Since August 1992, all controls on price and movement of phosphate and potash have been removed.

■ India is the third highest tobacco producing country in the world. Annual production of tobacco in India is about 5·5 to 6·00 lakh tonnes.

■ In April 1995, Comprehensive Crop Insurance Scheme was launched. Premium of Insurance is shared by the Centre and State Government in ratio of 2 : 1 under this scheme.

■ India ranked first in production of vegetable in the world. Besides India is the second largest producer of fruits in the world.

■ Per hectare consumption of fertilisers has increased from 69·8 kg in 1991-92 to 113·3 kg in 2006-07.

■ As against the desirable NPK proportion of 4 : 2 : 1, the average use is 6 : 2 : 4 : 1.

■ Nitrogenous fertilisers accounts about 60% share in total fertiliser consumption while share of pottasic fertilisers is about 12%.

■ Per hectare fertiliser application is quite high in Punjab, Haryana, Andhra Pradesh and Tamil Nadu but quite low in Rajasthan, Orissa and Madhya Pradesh.

■ Since marketing year 2001-02, massor and rubber have been brought in the purview of minimum support price.

■ The Commission for Agricultural Costs & Prices (CACP) recommends the Minimum Support Prices (MSPs) for 24 important crops. The Commission, apart from other factors, considers the cost of production which includes the cost of paidout inputs, imputed value of family labour and rentals for the own land while recommending MSP.

■ Acreage under horticulture which includes fruits, vegetables, spices, floriculture and coconut is expected to be 20 million hectares in 2006-07.

■ The horticulture sector in 2005-06 contributed around 28% of GDP in agriculture.

■ Vegetables, fruits, plantation crops and spices contributed to 59·8%, 30·9%, 6·5% and 2·1% of total horticulture production respectively in 2006-07.

■ There are 21,780 rural primary periodic agricultural markets but of which 15% function under the ambit of regulation.

■ Gross capital formation in agriculture as a proportion to the total capital formation has shown a continuous decline. The share of agriculture in total gross capital formation remained 5·8% in 2006-07.

■ The stock position of foodgrains as on January 1, 2008 is 19·2 million tonnes comprising of 11·5 million tonnes of rice and 7·7 million tonnes of wheat.

■ The Cabinet Committee on Economic Affairs on Thursday fixed the Statutory Minimum Price (SMP) for sugarcane for the 2008-09 sugar season (October-September) at Rs. 81·18 per quintal for a basic recovery of 9·0%. Extra payment for recovery beyond 9·0% has been fixed at 90 paise for each 0·1 percentage point increase. The new rate, based on the recommendations of Commission for Agricultural Costs and Prices (CACP), shows no change from the rate fixed for the 2007-08 season.

■ Commercial Banks, Cooperative Banks and Regional Rural Banks contributed 69·0%, 10·1% and 20·9% respectively in total credit flow to agriculture during 2006-07.

■ Noted Agri.-Scientist Dr. Swaminathan gave a new call for ‘Evergreen Revolution’ for doubling the present production level of foodgrains from 210 million tonnes to 420 million tonnes.

■ During 2006-07, the total number of (Kisan Credit Cards) KCCs issued were 85·11 lakh and the amount sanctioned was Rs. 46,729 crore. As per the available information for 2007-08 (as on November 30, 2007), the amount sanctioned was Rs. 25,263 crore.

■ Union government has planned to establish Rural Knowledge Centres in various states through NABARD. Initially these centres will be established in Andhra Pradesh, Gujarat, Karnataka, Maharashtra, Orissa, Puducherry, Rajasthan, Tamil Nadu, Uttarakhand and West Bengal.

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