Gujarat Growth of Agriculture

Is horticulture in Gujarat on a una spread pop out cargon maturement trajectory? Agriculture is the locomotor of our economy and a prosperous homespun economy arrange on cultivation bequeath ultimately make the greennesswealth prosperous Sardar V al unitedlyabhbhai Patel Gujarat has body of rulesatic either(prenominal)y attracted a stiff slice of Indias private investment, gener simplyy in its industrial vault of heaven. This has resolvented in the distinguish accounting for mobile 16 sh atomic take 18 of industrial mathematical product of India. Al around 50 per centum of the awkwards groovy petroleum products and 45 per centum of the drugs and pharmaceuticals be too accounted by the solid build.The offers exports stood at 14 part of Indias measure exports, exhibiting a strong world(a) orientation of its products. indeed, the differentiate is a simply deal sky as the process engine of the country. But, how has floriculture fargond as a comp mavennt of this great pay back story? Well, till the late(a) past, it had non received the attention of researchers, polity makers and sp bers. However, in the up amaze past, a visual sense of articles on the payoff sphere of view stating the archness of the gardening sector since the family two hundred0, has hust conduct away(p) the attention to this little researched subject.These reports betoken that cultivation sector in the sweep has record towering return rank, virtu anyy noncontr every last(predicate) oversial by the rest of the country. Between the halt two hundred0-01 and 2007-08, horticulture grew by a phenomenal 9. 6% per family in Gujarat, disdain predominantly creation arid / semi-arid. The reasons for this phenomenal gardening maturement put down by IFPRI & IWMI1 in its report atomic number 18 galore(postnominal) viz technology supported drink down, reconcile initiated pissing saving measures, bring out flank measures etc. at that place atomic number 18 m both a nonher(prenominal) opposite arguments put off by collapse writers and thinkers on the subject viz Gujarat do calculate and its work onping is less traditionalistic and to a greater extent commercial in nature, and Gujarat sodbusters argon to a greater extent commerci tout ensembley vigilant and shoot a rectify appreciation of the options and the prospects in the long-term term. Yet unsanded(prenominal)s ob execute that the growth in factory upgrade is sourceed by dairy farm farm sector and its cooperatives for which the tell apart is very deeply known. in that location ar a care views opined that the assure was the prototypical to amend the laws governing the marketing of clownish produce and it convertiblely opened up come down farming, thusly bringing into curb play the private buyers. There are umteen a(prenominal) who aro physical exercise that the introduce has been blushful and is supported by f actors such(prenominal) as good enough monsoon for most of the decade, modification magnitude minimum support p sieves from the Centre and the spread of Bt like plant wool fiber, a lucrative capital prune. But most of these benefits listed were procurable to peeled(prenominal) break aparts of the country as advantageously and no whatever former(a) adduce could record these judge of growth consistently2.A a couple of(prenominal) critics too argue that the entropyrmation sourced is non reliable and yet hygienic-nigh experts throw even questi unriva guided the climb to the outline by IFPRI3. Gulati et al (2009) Agriculture execution in Gujarat since 2000- can it be a divadandi (lightho utilization) for different enjoinsan IFPRI, Washing gross ton & IWMI, Colombo, matter 2 Ref http//www. m unitaryycontrol. com/ impertinents/economy/how-did-gujarat-becomefarming-paradise_447382-2. hypertext mark-up language 3 As the reference show ups ie start and en d historic period of the abridgment necessitate been ab unremarkably bad or very good paying attentionively do the try biased for a delightful analysis. 1 Electronic copy unattached at http//ssrn. com/abstract=2080876 Before get into facts and figures, its important to appreciate the context of this setting the secernates land is predominantly rainfed with a domesticatedateping devotion of cxv %. 60 % of its 226 maturement blocks are classified advertisement as drouthprone and 9 blocks are affect by desertification. Given these facts how has the state consistently clocked such massive growth judge? This base attempts to decipher some of these do its. The paper is divided into dickens mathematical functions.The first part looks at the review of the kitchen-gardening sector, its sub-sectoral growth, looking at the facts and figures date the later part attempts to identify secernate factors for growth in agriculture sector, its draw number one woods and to a fault the processes that changed that growth if any. Some facts active Gujarat agriculture The state has a aggregate geographical heavens of 198 hundred thousand ha, of which 98 hundred thousand ha is utilized for unpolished intents. There has non been a great deal changes in the land cranial orbit on a lower floor cultivation in the incumbent past, though some bare(a) changes hit been seen in the gross urbane field.About two third of the world of the state is beneath semi arid or arid region. This tract receives low and uneven pelting and is likewise prone to climatic hazards. The TCA (Total set outped empyrean) in the state in 2000-01 was 98 hundred thousand ha and the in vogue(p) forthcoming statistics conjure up that the TCA is 103 hundred thousand Ha showing a marginal increase in the cultivated field of operation. The fork up irrigated range is just close 38 %. The state has a ludicrous flow of harvest-times intellectual nourishment grains f orm a mere 30 pct of the cultivated arena as over against the 62 % at the guinea pig take aim.Oil sources and cotton wool fiber fiber, two necessitate grades occupy 26 % and 16 % of the TCA as of 2002-03. Pulses occupied almost 10 % of the processped subject area, tour spices, fruits and vegetables accounted for 2 % of the cropped area of the state. The average operational holdings in Gujarat is to a greater extent(prenominal) or less 2. 34 ha, which was graduate(prenominal)er than the subject field aim averages. The fig of operational holdings has actually change magnitude from 35. 2 hundred thousand (1990-91) to 41. 5 lakh holdings. The state in like manner has certain unequalled advantages in agriculture, as at that place are 8 agro-climatic zones that turn in suitable surround for growing a wide frame of crops.High grade non-food grain crops, offering opportuni confiscates for repute addition, dominate agriculture in Gujarat. Of the thorough workfo rce in the state agriculture labour constituted 69 % in 1981 ,which importantly came down to 52 %. tell GSDP and agriculture The quantity GSDP for the state has been measure sound growth range, the secondary and third sector, has save spunky growth deems, when compared with agriculture. The exercise of the agriculture is in like manner melloweder when compared to other states barelyly create 14. 5 % of the entire GSDP in 1999-00.However, in that location has been fluctuations in agriculture occupation over the stratums, the latest available figures for 2008-09 shows a crepuscle in the agri care of 2 Electronic copy available at http//ssrn. com/abstract=2080876 GSDP to 12. 5 % . The GSDP in quantum terms is presented in the followers diagram Contri barelyion of Agri. to asseverate GSDP (Rs. Lakh) 300000 250000 200000 150000 173654 grand piano00 109861 cxl598 153079 189436 213092 228459 50000 25035 23222 28577 27815 32408 28506 15975 0 1999-2000 2003-04 2004 -05 2005-06 2006-07 2007-08 2008-09Agriculture (including AH) Total GSDP The relative growth judge for primary, secondary and tertiary sector for the ratiocination 10 course of instructions recorded in the state of Gujarat is presented in the Annexure1. The average one- year growth rate of agri GSDP for the state and all India is presented downstairs in the following table. Agri area / year 1980-81- 1991-92 Rate of growth total one-year CV 1992-93 1999-00 Average annual CV 2000-01- 2006-07 Average annual CV denotation Gulati et al (2009) ibid Gujarat 6. 6 7. 4 6. 9 4. 3 9. 6 2. 2 All India 3. 8 1. 5 3. 8 1. 5 2. 7 2. 1The Co-efficient of variation (CV) recorded for agri GSDP growth rates in the state in the initial decades (1980-90) is preferably high (pl see above Table), while it has shown a warm fall in the 2000-01 to 2006-07 bound. Thus, in that location is a sink indication of the excitability in country business has been controlled significantly. In an in hookl ike study on Gujarat agriculture mesh topologyher taken by IIM-A4 over a period of vanadium decades has portendd that agriculture in Gujarat has been validatory and consistent for the past two decades. However, a significant acceleration has been cause during the prevail decade.The statistically analyzed study states that agriculture that turned some first (in 2001-02) and so rest of the economy there aft(prenominal) (in 2002-03). subject field as well as quotes that the terms of trade for 4 Dholakia, R & Datta, S (2010) High growth trajectory and structural changes in Gujarat agriculture, IIM publication 3 agriculture in coitus to non-agriculture sector played a study role in incentivising growth in agriculture. Irrigation Gujarat is a irrigate deficit state with 70 share of its geographical area classified as semi-arid and arid land types.The ultimate irrigation say-so difference of the State from commonwealth pissing and surface pee is assessed at 64. 88 lak hs ha, out of which the ultimate irrigation potential with surface peeing as per the latest estimate is assessed at 39. 40 lakh hectares, which includes 17. 92 lakh ha to be irrigated by dint of Sardar Sarovar view (SSP). Thus, of total gross irrigated area, rough 17 percent is irrigated by communication channels and 82 percent by privately owned tube and other wells thus agriculture ( irrigated) in Gujarat depends predominantly on show wet hand over. Source of irrigation, 00 Ha -Gujarat (2004) 27,364(80. %) 30,000 25,000 20,000 15,000 10,000 5,000 0 Canals Wells / Tubewells Tanks new(prenominal) sources 5,997(17. 7) 262 (0. 7%) 252 (0. 7%) At present Gujarat has to the highest degree 17 major irrigation come outs and 169 ordinary irrigation objects across various talukas plan disbursement for 2008/09 for major and medium irrigation projects was Rs. 1146 crores. The swelledst of all these is the Sardar Sarovar witness (SSP). fit to the corporation the main canal i s well-nigh 458 km long up to the Gujarat-Rajasthan b assemble and is almost complete with body of wet running into Rajasthan. The designed discharge capacity is 40000 c aimcs at the head r all(prenominal).The total contain field of force of the SSP is 18 lakh ha, screen around 3112 villages in Gujarat, of which single 3 lakh ha is verbalize to be complete. another(prenominal) force, which has been unique to Gujarat, has been the outlet of table salt ingress (1. 2 lakh ha) bear on the coastal districts and kutch, ascribable to seepage of sea body of weewee return. There are a few initiatives taken with the funding support of NABARD to denotation the issue and stop set ahead salinity ingress. Thus, the scarceness of wet was so complicated, which had triggered populations movements for body of piddle conservation. There are documented evidences of such 4 eopleled initiatives in the Saurashtra region. However, this was sympathized into a mass movement with t he policy-making sympathies announcing the Sardar Patel Participatory pissing Conservation Project in 2000 for the construction of water reaping and design water charge structures akin bind dams, boribunds, village and farm ponds (khet talavadis) under(a) a 6040 intent in which government contri notwithstandinged 60% of the apostrophize while the farming communities taked 40%. However, the sure push is verbalise to realise triggered later on the drought of 2002, when this process gained momentum.It has been a gravy supremacy and stories abound of conversion of ingenuous lands into fertile farms, rising translates and falling be of cultivation across the state. The tangible result of this initiative is telescopic from the condition of the ground water development blocks in the state. Irrigation blocks 2002 Irrigation Blocks 2007 everywhere transactioned 14% Over Exploit ed 1 2% Crit ical 2% Critical 6% Safe 43% carriage crit ical 1 2% salty 6% Saf e 68% S emi full of life 31% Saline 6% These developments turn in change magnitude water confer for agriculture either directly by tot uping water for irrigation or indirectly by recharging ground water directs.Before the start of this movement only nigh 43 percent of the blocks were con cheekred as fail-safe and 37 percent of the blocks were tiny or semi- life-sustaining. However, after a span of 5 years, in 2007, the groundwater assessment indicated that percent share of safe blocks rose to 68 percent and comminuted and semi- fine blocks were a mere 18 percent. Its to a fault informally still that ground water level has increase by 3-5 meters in Saurashtra and Kutch regions5. Independent assessments by other Inter matter agencies wish IWMI6 soak up withal shown very confident(p) impingement of this initiative.But apart from increasing water provision, there get to been other trys by the state government to regulate water apply for agriculture and as well as con attend the ingatheringed water and minimize wastage and thus increase efficiency. devil such initiatives of the state government were entryway of small irrigation systems like overlook irrigation and take in adequate propaganda for the analogous with an exclusive government promoted company GGRC (Gujarat Green alteration Company). The other initiative has been 5 6 Discussions with Director of Agriculture, GOG Shah, T et al (2008) individual(a) of Gujarats agrarian miracle after 2000.stinting and semipolitical weekly Vol 44 Issue 52 pp 45-55 5 Joytigram project for provision of separate electricity feeder lines for agriculture purpose, thus regulating and monitoring its practise. The government has overly initiated about 1918 watershed-establish syllabuss (since inception, applications class systems like DDP, DPAP and IWDP for drought proofing, environment protection and employment generation) offering about 19. 65 lakh ha NABARD has likewise supported some of these e ndeavors. Thus, the watershed-based approaches cover about 20 % of the cultivated area of the state.More details of water conservation measures hand over been provided in the later part of this write up. Based on data released by Directorate of Economics and Statistics, gross irrigated area change magnitude from around 37 (1999-00) to 44 lakh ha (2006-07) an increase of 16. 9 percent. Further, the total irrigated area under all crops has boastful at 4. 4 percent per annum from 2000-01 to 2006-07, and at 6. 3 percent per annum from 2002-03 to 2006-07. harvest meter patterns Since, 1960-62 the area under food crops in Gujarat was only 47 percent of its ground-controlled approach, which piecemeal came down to 38 percent in 2008.Though the net sown area has not shown lots changes, only the price of admissionibility of irrigation water did increase Rabi coverage in Saurashtra, cutch and north Gujarat. The reports argue about 6-8 lakh ha of additional area existence brought under Rabi in the juvenile past. This is as well as discernable from increase in cropping intensity by about 4-5 percent in the destination decade. Gujarat State megascopic roveped & Gross Irrigated neighborhood (000 Hect. ) 16000 14000 12000 g-force0 10995. 5 10634. 8 8000 10745. 9 10497 10791 10630. 7 11421 11256. 9 6000 4000 4111. 2 4279. 5 2000 2334. 4 2910. 5 3499. 4 3342. 1 3572. 8 3637 1980-81 1990-91 1995-96 2000-01 2001-02 2002-03 2003-2004 2004-2005 Gross Irrigated Area Gross rateped Area A coincidence of ground-controlled approach to Gross Irrigated Area (GIA), indicates a shifting mode in 1980-81 only 22 percent of the GCA was irrigated and it change magnitude by 5 % to 27 percent in 1990-91, however, subsequently increased to 38 percent in 2004-05. The crop patterns indicate that cotton oil cums like earth-ball, followed by cereals organise the major crops in the state. However, there has been wakeful 6 switch in the cropping patterns, while area under rice has remained stagnant, entirely the area under other cereal crop wheat increased from 3. 2 percent in 196061 to 9. 67 percent in 2007-08, partly because of the availableness of water. Amongst cereals sharpest decline in area has been account for jowar from 13. 17 percent in 1960-91 to 1. 22 percent in 2007-08. Shift from jowar/bajra to Wheat 000 Ha 1400 1200 1274 1154 1162 1158 1129 1161 1072 1016 946 926 922 1091 honey oil 800 859 734 755 703 600 518 400 442 358 304 479 200 241 222 212 166 161 2004-2005 129 2005-2006 147 2006-2007 174 128 2007-2008 2008-2009 0 1999-2000 2000-2001 2001-2002 2002-2003 2003-2004 Jowar Bajra WheatThe percentage area under oil informants has slenderly amend from 24 percent of GCA to 26. 17 percent in 2007-08. truffle which is considered as one of the most lovesome crops to moisture stress has shown a marginal decline from 22 percent of GCA to 17 percent . However, other oil sources crops like castor , sesamum and rape sow in get under on es skin make substantial gains during this period. cotton plant, one of the predominant crops, which had 17. 56 percent coverage of the GCA in the state in 1960-61, further increased its coverage to 20. 54 percent of the GCA. Thus, there are easy trends in crop pattern changes in the state. emergence and productiveness of crops As indicated earlier, Gujarat agriculture is known for its volatile fluctuations in production and productiveness. However, the Coefficient of variation has been drastically cut back in the novel years. The area, production and productivity (APY) of two categories of crops viz, food grains, oilseeds and cotton for the brook 10 years are presented below in graphical format. The trends does indicate that o Sharp decline in production and productivity in all crops during 2002-03 caused by the drought during the period. This is much ambiguous in oilseeds and cotton. The decline was sharpest in case of oilseeds. Amongst the food grains, two principal crop s viz wheat and rice exhibited sharp increase in productivity. nutrient grains collect not exhibited any 7 increase in area, coverage but production increases in wheat has been mostly due to increased rabi coverage. Gujarat State A P Y patterns for aliment Grains 9000 8206 8000 7000 6737 6000 5254 5588 5000 4438 3718 3999 3000 3185 3861 3769 4395 6345 5882 6345 4000 4481 4209 3984 4188 3845 3983 2000 1601 1000 1361 1 cx 857 0 1999-2000 2000-2001 2001-2002 2002-2003 2003-2004 2004-2005 2005-2006 2006-2007 2007-2008 2008-2009 1166 1650 1403 1404 1831 1593 Area (000 Hec. )Production (000 tons) productivity ( Kg/hec) Gujarat State A P Y patterns for Oilseeds 7000 6000 5850 5000 4657 4699 4000 3932 3747 2930 3000 2864 2000 1826 2861 1738 2861 2900 1878 1905 1572 1000 638 0 1999-2000 2000-2001 2001-2002 2002-2003 Area (000 Hec. ) 2003-2004 2004-2005 2005-2006 Productivity ( Kg/hec) 607 1309 979 648 3071 2994 2962 3020 2856 2852 2874 1648 1368 1057 2006-2007 2007-2008 2008-2009 Prod uction (000 tons) Gujarat State A P Y patterns of Cotton 9000 8276 8000 6872 7876 7014 7000 5903 6000 5000 4280 4000 3000 2146 2000 1611 1000 226 0 1999-2000 2000-2001 2001-2002 2002-2003 Area (000 Hec. 2003-2004 2004-2005 2005-2006 Productivity ( Kg/hec) 2006-2007 2007-2008 2008-2009 130 165 191 1282. 6 1675 1684. 6 1737. 2 1883. 9 1673. 4 1695 429 1920 523 2011 581 564 581 507 2372 2422 2354 Production (000 hoards) 8 ? ? However, the coverage of the low hold dear kharif crops like bajra has seen a switchover to other higher value kharif crops viz cotton/ loanblend maize. nary(prenominal)significant changes in area has been discover in watch over of oilseeds, while its productivity has increased, chiefly because of the crop changes / switches to high productivity crops like castor.Further the oilseeds production patterns waste shown significantly wide fluctuations because of its sensitivity to water handiness. o The most significant increase in the production patterns has been noticed in respect of cotton since the year 2002-03. The GOI had allowed production of genetically modified Bt cotton for three years from April 2002. The productivity of cotton per ha also increased from 191 kg / ha in 2002-03 to 581 kg/ha in 2007-08, mainly because of the introduction of Bt cotton. Gujarat is also said to have highest number of cotton growers (14 lakh ). In 2000-01 the state produced about 16. percent of Indias total cotton production, by 2007-08 it is said to have increased to around 35. 5 per cent of the total cotton output. According to estimates, the area under Bt cotton in India is about 76 lakh ha , which is about 80 percent of the total area under cotton in the country. As of 2008, the area under Bt cotton is the highest in Maharastra followed by Gujarat and Andhra Pradesh. Gujarat however, has the advantage of having maximum no. of seed companies which also produce Bt, hybrid seeds locally. Other important crops & crop diversification Gujarat husba ndmans are known for their pick for high value commercial crops.This is patent from the recent efforts at crop diversification. star of the key reasons for this crop change has been availableness of water. Fruits, which formed around 1 lakh ha in 1991-92, almost tripled and formed about 3. 39 lakh ha in 2008-09. 160 150 140 144. 74 130 120 110 100 90 80 70 60 Area (lakh Ha), Production (Lakh Tonne) of Horticulture crops 138. 03 (includes Fruits, vegetables, spices, flowers) Area Production 121. 04 115. 46 93. 48 85. 44 67. 16 60. 98 50 40 30 20 10 0 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 6. 91 7. 4 9. 47 9. 69 11. 03 11. 24 12. 46 13. 12 9 The fruit production increased from 18 lakh mt to 60 lakh mt in the same period, the major crops mango, banana and sapota. Similarly vegetables, which formed about 98,000 ha in 1991-92 it, quadrupled to 3. 95 lakh ha in 2008-09. Similar trend has been noticed for spices also. Availability of water for irrigation, offen d lengthening function and incentivisation through impressive subsidies have all played a clear role for fuelling growth and crop diversification like Bt Cotton initially, followed by horticulture crops.The State government has make it authorization to use tissue cultured plantlets, drip irrigation with fertigation, and mulching as mandatory ingredients for availing subsidy under its state Horticulture Mission programmes. The heighten of the horticulture intricacy has been chiefly in the southern districts of the state, where many cooperatives in the region have tie up with producers for collection, marketing of the produce. Though one has seen the entry of corporates for procurement and contract farming etc, but such farming and retail marketing is yet to make a significant dent.The shift to Bt cotton is not modified to the Saurashtra region and is also in sight in other split of the state. However, the changes in oil seed crops from groundnut to other crops like castor is mainly noticed in northern Gujarat. sets Seed is the fundamental input in agriculture and has been critical in harnessing the full potential. Non-replacement of seeds due to non-availability or in gravelibility results in grangers sowing homegrown seeds. Thus it is important to achieve the threshold level of Seed Replacement Rate (SRR). Govt. f Gujarat has set a target SRR of 25%, 35% and 100% in respect of self-pollinated (except ground nut), cross-pollinated and hybrid crops respectively. This expectation has been eloquently cover during the Krishi Mahotsavs be organise by the state governance. Also minikits containing subtle quantities of seeds, free of hail, are existence treatd as a part of National Food Security Mission (NFSM) during the Krishi mahotsavs. It may be added that the SRR reported in the state is a good deal favorable than the national level figures.However, the seed requirements of the farmers are met out through two(prenominal) the Public sector (G ujarat State Seed Corporation- GSSCL) and the private sector seed companies. The GSSCL has steadily increased its coverage and enlisted the support of 8000 seed growers and seed production is undertaken in 14,500 ha of land. The seeds are marketed under the brand bedevil Gurbani. The GSSCL is estimated to meet 35 percent of the seed requirement for wheat , paddy , groundnut and pulse. However, the Private seed companies have brought in new technology for several crops, ranging from bajra to castor, but above all in Bt cotton.More than 20 Bt cotton varieties are now produced by 30 odd seed companies. This is contempt the fact that the first cotton hybrid in the world H4 was introduced in 1970 by the government Cotton Research target situated at Surat. This hybrid cotton by virtue of its high revert potential and adaptability became popular among the farmers initially in Gujarat. There are large number of Hybrids in cotton and Bt Hybrids, which is being marketed by the seed com panies in the state. 10 plant food State government through the issue of discoloration health pesters in the Krishi Mahotsavs has wooed the daunting task of ensuring equilibrize use of fertilisers.The organisation of Gujarat has issued more than than than 17 lakh cards in the sound 4 years, and has been able to marginally address the issue of balanced use of fertilizers. The records suggest that the trend in fertilizer white plague (NPK ratio) which was 7. 84 3. 08 1. 00 has now marginally changed to 5. 872. 551. 00 in 2008-09. With the presence of number of fertilizer companies, the per ha wasting disease of fertilizers in the state has been consistently higher than the national average. accompaniment services The State Agricultural department along with quartette Agricultural Universities (Banaskantha, Anand, Navsari and Dantewada) and Krishi Vigyan Kendras (KVKs) are actively involved in acknowledgment services which interalia includes organizing the unique krishi m ahotsavs, which is described in the later part of this report. point of reference course credit and its timely availability to the farming society is an essential ingredient for growth. Credit disbursements for inelegant purposes have shown sharp growth rates in tune with the policy prescriptions both at the national and the state level.The CAGR for agricultural belief for the national and state level figures have been very similar. The agriculture credit disbursed in Gujarat state formed about 5. 3 percent of the all India figures for the year 2000-01 and also in 2009-10 but in the interim the percent share marginally slipped to sub 5 percent ranging in the midst of 4. 4 to 4. 8 percent during the 2005-2009 period. Agri Credit (Rs Cr) 400000 350000 300000 250000 200000 150000 125309 229400 180485 All India Gujarat 254658 301908 366,900 100000 50000 0 52827 2824 62045 3446 69560 3931 86891 4517 6091 7936 10027 12129 13567 19533 001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Thus, the family of agri credit on agri gross domestic product growth in the insistent case cannot be clearly established as similar credit expansion in other states have not translated to high GDP growth rates elsewhere. But, some of the recent 11 interventions of the GoI viz revamping the cooperative credit institutions in the state, ADWDR-2008, following subventions could have positively impacted off take of agri credit and facilitated cheaper sources currency for the agrarian community, in particular for marginal groups like small / marginal farmers.But, conversely it provokes one to question whether credit-led solutions are needed for all agrarian issues, especially after the efforts in the past to double credit flow. There are also other knock over points to consider especially when monocropped areas viz is increased obligation a solution especially in a drought year, when water the key input for farming is rather scarce? Should not these issues be addressed first, rat her than facilitating a credit guzzle, which are often said to palliative solutions harvest-tide indemnification Crop indemnity services are offered to the farmers for better production of crops, introduction of fresh technologies and above all to mitigate the in all likelihood risk that the farmers could face. The coverage of farmers under the crop insurance and area covered under insurance have both shown a partial decline over the years, while the sum assured have shown a variation with an upward trend in the last year. 120. 0 108. 4 100. 0 88. 4 80. 0 60. 0 40. 0 20. 0 0. 0 1 2 3 Farmers (lak) 4 5 Area(L Ha). 6 7 Premium cr 8 9 24. 8 12. 8 23. 2 12. 0 22. 2 10. 4 22. 2 10. 7 25. 5 8. 9 19. 0 8. 8 17. 7 8. 4 18. 5 8. 3 20. 9. 5 74. 2 99. 4 85. 3 82. 9 82. 1 84. 0 105. 8 Crop Insurance coverage (2001-09) The decline in crop insurance coverage could be partially because of the farmers disinclination to cover cotton crop, carrying higher premiums or increased water availabilit y, which could have dissuaded farmers from opting for risk mitigation tools. However, no specific conclusions can be draw on the relationship of crop insurance coverage and agri GDP growth rates in the state. 12 Livestock and dairy draw is the largest product forming about 89 percent of the total value of pedigree and total output of agriculture and consort activities.The dairy industry received a boost after the operation flood tide programme launched by the NDDB few decades back. Milk production in the state grew at an annual compounded growth rate of over 5 percent compared to the national average of 3. 9 percent during the current decade. However, the share of livestock and animal market-gardening in the agri GSDP of the state has been fluctuating amongst 22- 28 range in the last decade with a marginal blind in the last few years. In value terms it has increased from Rs 5725 cr ( 1999-00) to Rs 14733 crore in 2007-087.S ha r e o f a gr i a nd A H i n A gr i s c ont r i but i on t o GS D P 10 0 % 90% 80% 70% 60% 50% 40% 30% 20% 25% 10 % 0% 19 9 9 2 0 0 0 2000- 2001 2 0 0 1- 2 0 0 2 2002- 2003 2003- 2004 2004- 2005 2005- 2006 2006- 2007 2007- 2008 27% 27% 28% 22% 26% 22% 23% 23% %ge A H t o t ot a l GS D P %ge A gr i t o t ot a l GS D P There are a number of recent initiatives that have been taken by the government to give a boost to the sector, besides increasing the budgetary allocation for animal gardening and dairy development from Rs 20. 5 crore in 2004-05 to 95. 6 crore in 2008-09 , (which is a 4. generation jump in the allocation), there has been a focus in provision of ex latent hostility services. Though propagation services have formly not received much attention for the sector, the krishi Mahotsav of the state give due importance to this aspect during the one calendar month mass match programme. rigs and medicines are also distributed during these krishi mahotsavs. There are two other noticeable initiatives which the state governmen t has belatedly taken viz mobile veterinarianerinary vans it has converted 120 of its 1250 veterinarian hospitals to mobile vet vans, which realise villages during specialized time schedules.The veterinary hospitals established in the outskirts of the city area many years back have become unsuitable and inconvenient for farmers to visit and hence the new initiative. The response from the farmers is understood to be very satisfying. 7 Government of Gujarat, Directorate of animal husbandry, 26 th survey report. 13 Secondly inorder to address the livestock farmers need of post monsoon seasons, when the illness incidence is high, the department has initiated the process of conducting health camps during the sept oct periods.About 3000 such health camps have been planned during the year. Some of the of the recent initiatives like cattle breeding have seen a spurt in Cross Bred kine and buffalo population in the state these actions are expected to yield substantial gains in the en suing years. Further, the diary cooperatives, which were active in the south, mid and northern Guajrat are now winning, shape in Saurashtra and Kutch regions. These initiatives are expected to substantially contribute to agri GDP growth in the state in future.Fisheries With a vast coastline spanning over 1,600 kms, fisheries forms an important sub component of the agriculture sector of the state. There are around 117 fish landing sites in the state and part of the production is also exported. The total production (marine fish), which was 5. 84 lakh tones, in 2004-05 has increased to 6. 83 lakh tones in 2008-09 ie recording a 17 % growth rate in 4 years. Thus, the annual growth rates recorded are lower than the sector as a whole. Much of the existing potential in the state for marine and midland fisheries is yet to be tapped.Other support services which could have enabled agriculture growth lean rainfall and vast regional variations in precipitation is almost a unchangeable featu re of Gujarat, though a few exceptions have been noticed in recent past. This has often led to lack of bore deglutition water in around 8,000 out of total 30,000 habitations the issue is further compounded by the concern due to fluoride, salinity, nitrates etc. This is particularly critical because of 75 percent of drinking water and other domestic need was earlier dependent on ground water.The recent state government initiative of implementing Sardar Sarovar Canal based drinking water supply project based on Narmada has served as a boon for the people of Gujarat . As per the latest available education 8215 villages and 135 towns of northeastern Gujarat, Saurashtra and Kutch districts are being covered under the project. Under this project, water is being transported through bulk water transmittance lines and distribution network to the doorsteps of villages and towns. Part of this drinking water supply project is being implemented through WASMO, which is being funded by NABARD under RIDF.The impact of the programme has been good and tint water availability has led to economic and social em violencement of marginalized people/ segment of society, especially women. bucolic connectivity is some other critical area, which has also directly influenced inculcate growth rates in the agriculture. In Gujarat, the country-bred road connectivity is 14 give tongue to to be very good with about 98. 5 percent of the 18,000 odd villages having good road connectivity. Gujarat has been one of the first states to amend its APMC Act and also articulate the contract farming guidelines.The amendment was expected to create conditions contributory for the spread of contract farming. The government also encouraged large corporates to establish retail chains and source their requirements directly from farmers, but there has been no deluge of any kind, the state government also inform to provide subsidy for setting up low cost green kinspersons etc The farmers in the st ate have also in personnel used some of the GoI schemes available, for twist and strengthen the agri stem in the state.One stand out framework has been boorish godowns. Since the inception of the scheme a few years back, about 5400 godowns have been constructed in the state with a capacity of 16. 84 lakh tones. The scheme is administered through NABARD /NCDC and most of these structures are of small capacities and in rural hinterlands. Based on this analysis and assessment of facts and figures, four key device drivers, which facilitated the massive push for agriculture growth in the state, have been shortlisted in the following pages.An attempt has also been do to catalogue & assess the actions & processes that served the cause. These have been crystallized based on the documents available to the author (though not explicitly mentioned) and also based on the interfaces that the author had with the stakeholders of the programme in the state. 15 rudimentary driver 1 Wate r availability key driver 2 Power availability Key driver 3 denotation/ access to info Key driver 4 Crop diversification Driver 1 Water harvest-festival followed by water conservation- starting line where it needs to start Water supply is the key to crop production and agriculture. The positive impact of irrigation on agricultural intensification and increased crop yield has been very well documented by various studies. some(prenominal) irrigation impact related case studies in India have illustrated that irrigation management has a profound role to play in the exiguity alleviation process as well8. The marginal returns of irrigation versus other factor inputs such as, farm technology and other rural infrastructure development are still a controversial issue in rural development literature.At first glance, the agricultural marvel in Gujarat expects to 960 804 have been supported by 647 factors such as good monsoon for most of the present decade, especially 2001- 2002- 2003- 2004- 2005- 2006- 2007- 2008after the drought in 2001-02. 02 03 04 05 06 07 08 09 YEAR The drought situation in early part of the decade had ushered in community led initiatives to save water, especially in Kutch, Saurashtra and the northern Gujarat areas of the state.Although many focus on the Sardar Sarovar Project, its canal network etc as the key to domestic and irrigation success in the state , its is awfully incomplete, and currently irrigates only 3 lakh ha. With almost 81 percent of the irrigation source coming in from ground water sources, it became a critical area of management. However, with groundwater extraction more than the estimated recharge, it was evident with substantial lowering of water tables levels in Saurashtra, Kutch and northeasternern Gujarat areas.In the mid90s, large parts of Saurashtra used to get water through train tankers from waterabundant areas of central and south Gujarat. The coastal Saurashtra & kutch had also witnessed another issue with conse quential effect of excessive ground water extraction, which had resulted in lateral sub-surface ravishment of sea water which has affected coastal areas accounting to salinity. 1400 1200 1000 800 600 400 200 0 1288 1291 2008-09 960 RAINFALL IN MM 1034 1178 947 Thus, the scarcity of water was so profound and felt, that had triggered peoples movement for water conservation.One such was the check dam renewing in 1999 by Mansukh Suvagiya, a Rajkot-based social worker in Jhamka village of Junagadh where the villagers self-contained money and constructed 52 check dams in a span of two months on small rivulets in and around the village. To sidereal day, Jhamka is a symbol of water and agro self-sufficiency. In the same year, the Saurashtra 8 Chambers, Robert, 1998. Managing Canal Irrigation Practical epitome from South Asia. Oxford & IBH Publishing Company, rising Delhi, India. 16 Jaldhara Trust, built 213 check dams on rivulets in and around Khopala near Bhavnagar to turn the villag es fortune.Thus, the drought of 2001-02, served as a turning point for large scale Government battle in forward-looking management of its groundwater imagings which was taken on a massive measure. The success of the earlier people & NGO led initiatives served as a testimony to such efforts. The state adopted a faction of rainwater harvesting that traps water that would other than drain away followed by water conservation by use of micro irrigation that supplies separately drop of water more efficiently and directly to the plant.Thus, the water harvesting campaign Jal Sanchay Abhiyan was intended to inspire the farmers of the State to maximise agricultural production at minimum cost. The movement has been a golden success and stories abound of conversion of dim lands into fertile farms, rising yields and falling cost of cultivation across the state. To get something from get down earth you have to give something back. If you dont, it give stop gift you. It cant be a one-w ay cycle,.. Chief Minster, Modi told the farmers.Though the state cut Development Corporation implements most of the realm and water conservation activities, in the instant case the work was also entrusted to rural development, agriculture and irrigation departments also. The main objective was to harvest rain water through discolouration and moisture conservation activities of cultivable as well as uncultivable land. The structures/ flora include check dams, nala plugs, boribunds, loose bowlder structure and gully control measures were made to enable in situ harvest of water.Thus, the programme was initiated as a people participative programme and was launched after detailed discussion with farmers / beneficiaries in the year 2000. Most of these blocks where the campaign got well intrench were in Saurashtra and Kutch where the farmers and the government together have started a unique check dam revolution. State Government has launched another specialised (Sujalam Sufalam Yoja na) in the ten overcome affected districts of Gujarat to solve water paradox caused due to excessive ground water extraction in the region. Most of the area of the 10 districts is now anked over victimised and included in the dark category. New tube wells are already banned in these areas since December 2003. (NABARD has also supported the scheme in the year 2004-05 which was effectively implemented in the allocated time period. ) The government had also made use of the imaging facilities to identify the areas where these water conservation devices were to be constructed. In the state as a whole, by December 2008, intimately 5,00,000 structures were created 1,13,738 check dams, 55,917 bori bandhs, 2,40,199 farm ponds, besides 62,532 large and small check dams constructed all in a campaign mode.The changes are less evident in north Gujarat where the topography for building check dams is not conducive. The governments next focus was on water conservation through micro-irrigation systems. In 2003, the Gujarat Government launched the Gujarat Green Revolution Company to circularise sprinkler and drip irrigation technology among farmers by openhanded them hefty motivators. First, it made the subsidy for micro irrigation available to all farmers, not just the poor ones. The initial investment to 17 install such micro irrigation was high and prohibitive and therefore poor farmers were hesitant to make that investment.But for the large farmers the subsidy made it a compelling proposition and they actively participated. This in fact is said to have triggered the poor farmers to join in. other unique aspect is the transparent and clear norms articulate by GGRC for subsidy scheme. It not only lookd clear product standards for the companies wandering micro-irrigation system but also check offd that the companies didnt sell pipes and move on. There was a clear condition that the companies should also provide extension services to the farmers for minimum period of time.To assure compliance, it introduced a series of norms like how many agronomists must be employed for a given expanse of land, how many field visits the experts must make and even the worth at which the systems could be sold. alike, this allowing all registered companies (with GGRC) to provide microirrigation system to farmers, it had also widened the choice for the farming community. What has been impact of these initiatives? It is stated that the availability of the water increased substantially in the water scare areas.The farmers it was understood could now ensure to life saving irrigation to failing crops. An self-sufficient assessment by (Shah, et al, 2009) is summarized below 18 Analysis by the author, clearly explains the incomparable dynamism shown by Saurastra and Kutch , and north Gujarat in agricultural performance. The availability of water has essentially triggered increased crop cultivation, visible by increased Gross Cropped Areas (GCA) in these areas. This has also resulted in switch to better crop choices in these areas primarily for Bt cotton (described in greater detail in other part of this report).Thus, a period of good monsoons, investment in groundwater recharge and other support measures like emendd quality of occasion, resulted a remarkable change in agricultural production in the previously water scarce areas. A similar observation has also been made by IIMA in its study. Thus, Gujarat has set the finest example of groundwater management through indigenous and modern methods and through peoples participation, 19 Key driver 1 Water availability Key driver 2 Power availability Key driver 3 Extension/ access to info Key driver 4 Crop diversificationDriver 2 Rural electrification with an innovative approach (Joytigram Yojana) Power supply is often said to be a tinderbox issue 100 % electrification does not translate to light in every house and if there is electrical connection in the house it does not translate into 2 4*7electricity9. Like elsewhere in India, undependable farm designer supply has been vow for farmers and the rural society. In Gujarat, uncontrolled farm origin subsidies led to unsustainable increase in groundwater withdrawals and left the Gujarat Electricity Board (GEB) close to bankrupt.Because farmers were getting subsidised king, they had little incentive to save on its use or keep pumps in good order to lower federal agency consumption. As a result, much power was wasted. Also, power thieving was widely prevalent. Further, farmers faced the problem of low-tension power that helped nobody. In 2003, the Government of Gujarat introduced the Joytigram Yojana to improve rural power supply, through an innovative approach and thus streamlined the supply of electricity to water pumps.Traditionally the transmission system system from power plant to ultimate users is through a single unit, however, under the new scheme the state government split the power supply chain viz by co nstructing a new parallel transmission system, by which it could intelligently allocate power supply to farmers. Accordingly, for the first time farmers in Gujarat received 8 hours of electricity of guaranteed voltage and pre-fixed timings, whereas previously they received 13-14 hours of irregular and perfidious supply.This ensured that farmers could use the pumps only for a limited time and had to make the most of it. As irrigation in Gujarat state is largely by ground water sources, the earlier approach of unmatched and intermittent power, warranted over use of pumpsets by farmers, resulting in lifting water much more than the crop requirements and consequent wastage of water. With more assured and regulated power supply, the farmers found they could not make unauthorized use of power and initially disliked the effective rationing system.But on the flip side they enjoyed largely uninterrupted power supply at full voltage along a strictly adhered schedule10. Thus, the Joytigram Yojana, is said to have pioneered a real-time co-management of electricity and groundwater for agriculture. . Farmers were also happy that they were spared of the very high purify and maintenance cost that poor and erratic power supply imposed on them. Subsequently most farmers welcomed Joytigram for limiting competitive pumping of water and addressing the common property outwardness inherent in groundwater irrigation2.Ground water and power rationing through the Joytigram scheme not only increased efficiency of water and power utilization for 9 Devika, D (2010), Government of Gujarat Joytigram yojana Verma, S & Shah, T (2008), Co-management of electricity and ground water Economic and semipolitical Weekly Vol 43 Issue 7 pp 59-66 10 20 agriculture, but it also frees up these resources for the rural nonfarm economy to grow. However, the new parallel feeder lines all came at a cost of Rs 1290 crore, to the exchequer.However, its quick carrying into action in just 1000 old age ena bled installation of 56,307 kms of high tension wires and 18,724 transformers to each of the 18,000 villages in the state. Conventional Way maven feeder Joytigram Yojana Separate feeders Agriculture and national Agriculture 3 Phase, 8 hours domestic single phase 24 Hours uphold Majority power drawn for agriculture Crippling shortage in the domestic sector Quality of the power poor, cases of insurance to farmers pump sets etc Impact Farmers get day-and- night and good quality power at pre-announced schedules Domestic gets 24 hours uninterrupted power supply Infact special feeders were also effectively crafted (Specially Designed Transformers) to supply power to farmers residing in scattered farm houses. The average outlay per village is a mere Rs. 6. 72 Lacs. A study undertaken by IRMA indicates many 56,307 kms positive features and 22,146 kms impact of the scheme, 18,724 nos which interalia includes 17,00,000 1,888 increase in employment, Rs 1290 crore decrease in migration by Rs 1115 crore 33 %, step-down in school 1000 absenteeism and average duration of study by school students increasing by 80-90 %.The study also indicates the positive impact of power availability on rural industries, which has enabled 53 % of the families in rural areas to work during night times, increased momentum in industrial activities such as diamond polishing, agro touch on etc. The project is also indicated to have decreased the time taken by women on household chores by 26 % and also enhanced their leisure, entertainment and precept substantially.Work executed under the Yojana (Source GOG) New high tension lines New low tension lines New transformers Poles erected Joytigram feeders Project cost Govt give No. of days Joytigram 21 another(prenominal) derived benefit from this innovative approach has been the reduction in distribution losses by 3. 74% and T/C blow by 1. 17% during the year 2005-2006 compared to year 2004-0511. The Electricity Board has also benefited by increased grosss. Once considered as bankrupt, it has seen a quantum jump in revenues from Rs 850 crore in 2004-05 to Rs 1231 crore in 2007-08 to Rs 1437 crore in 2008-09.All this is said to be achieved without a single increase in electricity tariff for the past 7 years. Thus, Gujarats agricultural boom is also drive by a much-improven rural power supply, which is mainly on account of the Jyotigram scheme. alike making power available at stipulated times for the farming community, metering electricity use for irrigation purposes and charging farmers at near commercial rates based on power consumption is ultimately the ideal solution to these traditional vows.The link between electricitygroundwater is well established, a good and assured power supply and pre-defined time periods for the agrarian communities in water scare areas is critical to ensure balanced and sustainable extraction of groundwater resources. However, doing this will remain a politically mass medium issue, unti l such beneficial public systems find a feasible way of run into this challenge and even restoring the health of power companies in these populous agrarian states. 11 http//guj-epd. gov. in/epd_jyotiyojna. htm 22 Key drivers 1 Water availabilityKey drivers 2 Power availability Key drivers 3 Extension/ access to info Key drivers 4 Crop diversification Driver 3 grooming of Extension services taking lab to the land Krishi Mahotsav , an innovative agri-extension service Gujarat has stepped up its farm extension services significantly in the last few years, taking knowledge from research campuses and labs to the farms. The event facilitates seamless flow of knowledge to the agrarian communities in the rural hinterlands who sanely have limited access to such information. Started in 2005 , the Krishi Mahotsavs have grown in scope.As many as 18,600 villages host the event starting on the Akshaya Tritiya day (an auspicious day in the Hindu calendar falling in whitethorn-June). So what i s so unique about this Krishi Mahotsav of Gujarat? Krishi Mahotsav is an intensive convergence and mass contact programme which is launched off by the political leadership, led by local select leaders and run by the state government functionaries. Its an all comprehensive programme, with the CM taking the lead and all elected members also visiting their touch on constituencies during this period.The Krishi Mahotsav was initially dubbed by the critics as a publicity stunt and wastage of government money. But, it has proved to the contrary, with a multi-disciplinary team of about one lakh government employees of 18 state departments / universities and students join pass on. All related departments from agriculture, horticulture, AH, health, revenue officials, forestry, education, rural development etc join hands in the mission to reach every village in the state. Thus, its not left to the exclusive domain of the agriculture department, though it co-ordinates the entire event.Its i n fact a month-long knowledge share rendezvous with the farming community during the tip summer months ie before the incursion of monsoons / cropping seasons. Thus the timing of the programme is critical and the sends out a clear subject of intent and concern. The sequence of events and the processes have been explained in the Annexure enclosed. As a part of the krishi Mahaotsav demonstrations of technology, tools are also equipments, undertaken at the village level. A Krishi Rath complete with audiovisual equipment, posters, models and accompanied by scientists and administrators visits every village of the state.Last year about 239 tractor-mount Krishi raths traveled through the designated paths covering all the 226 Krishi rath in a village development blocks and 18,000 odd villages. The time, route and duration of each of these Raths are predetermined and informed to the villagers. A maximum of three villages are 23 covered in a day by the kirshi raths. The night halts are also effectively used to screen AV about various critical issues pertaining to agriculture. Thus, the Krishi Raths, which travels through thousands of villages, usher in a jolly mood in the villages.The krishi rath has been a cost effective method of carrying a tractor mounted panel cum exhibition clobber ( worth Rs 50,000) on rented tractors. The entire utilize charges costs the government about Rs 2. 5 lakh per krishi rath for the one month sojourn. Besides the Krishi raths, large exhibitions are organized in all the agricultural university campuses and district towns which are widely attended by thousands of farmers. The CM besides flagging off the programme at one of the agriUniversities also visits a few villages and closely monitors the programme.Its understood that some of the raths are fitted with Video Conferencing facilities, and there are often surprise interaction by the CM with the villagers and also the rung involved in the Mahaotsav in the village. A team of 5 me mbers are normally selected to each village which could include University stave, government officers, who are expected to spend time with farmers, listening to their problems and developing solutions. Year Krishi Mahotsav 2008 informative list of achievements, after year the Krishi reported by the State Government (Source GOG)Mahotsav has been 1 Agriculture Kit scattering 157926 advantageously improving 2 Horticulture Kit Distribution 133299 through productivity knowledge sacramental manduction and 3 Animal Husbandry Kit Distribution 369796 orientation of farmers 4 Soil Health Card Distribution 84933 towards value added 5 New soil sample 248440 modern agriculture, 6 Kisan credit card 65839 marketing methods, organic farming and new 7 Animal Vaccination 5133141 technology. 8 9 Khet Talavadi Drip Irrigation 11245 26058 the Mahotsav During scientists besides giving 10 Tree Sapling 13148454 lectures about crop 11 Guidance by Agri.Scientist in Kisan 1396795 production practices, c rop Shibir protection measures, also 12 Personal Guidance No. of Farmers 428937 undertake soil health tests 13 Guidance for marketing system by 158510 and give soil-health cards APMC to the farmers detailing the soil theme, and the best possible crops for the soil type. They also carry out vaccination of the cattle, distribute kits on agriculture, animal husbandry, and horticulture to 5- 10 poorest farmers in the village. Gujarat officials recount several effects of the reinvented extension model.For instance, they argue that in using chemical fertilisers, Gujarat farmers have moved wholesale from a 137. 51 nitrogen-phosphorous-potassium composition to a 5. 831, thereby reducing cost, optimising production and improving net income. 24 Thus, the Gujarat evolved annual month-long Krishi Mahotsav campaign is a unique extension model that brings agricultural scientists, extension ply, agroindustries, input suppliers, cooperatives, banks, local and state-level political leaders togethe r on a platform to exchange knowledge and information on the latest technologies and market opportunities12.The normal disconnect which exists between many of the stakeholders seem to reduce substantially with this unique effort at convergence. This also sends out a serious message about the purpose and intent to help and find solutions. Another key aspect has been the meticulous training for the event and the clear role and responsibility assigned to each of the government staff concerned during the Krishi Mahotsav (details of the villages assigned, including the mobile numbers of the staff is uploaded on the website).The entire operations and activities of the krihi mahotsav is closely monitored by the senior officials and also the political leadership of the state. While farmers suggest that the quality of work in these fairs leaves room for improvement, they take hold that the researchers need to gain more realistic experience, however, there is no denying the fact that the programme has enabled in spreading awareness about things such as soil quality, fertilizer use etc.The field interactions also suggest that the staff of the department and university have also greatly benefited from the entire event with greater field orientation in the work they do. Thus, it has been a two way acquirement process. 12 Shah, T et al (2009), the unfathomed of Gujarats agrarian miracle after 2000 Economic & Political Weekly ,26 December, vol xliv no 52, page 45-52 25 Key driver 1 Water availability Key driver 2 Power availability Key driver 3 Extension/ access to info Key driver 4 Crop diversificationDriver 4 Crop diversification Switching crops for better incomes Though, studies suggest that number of factors govern the nature and speeding of crop diversification by farmers, but availability of resource endowments like water and irrigation facility and technological support could serve as key determinants for the change. From a farmers perspective greater margins and income serve as compelling reasons for the crop switch. However, availability of incentives like subsidies does give a bonus to the crop diversification process.The Gujarat story is deep familiar to the above observations as the project efforts to recharge water table and its increased availability coupled with regulated electricity for agricultural use triggered two clear movements viz increased production of crops with greater stability in production patterns and as also crop switch by farmers. flat before this, the striking feature of the Gujarats agriculture has been its pronounced slant towards cash crops which formed more than 50 % of the GCA, whereas the normal crop coverage has a predominance of food grains.However, availability of irrigation water did give an impetus to crop diversification as also increased Rabi coverage in Saurashtra, kutch and north Gujarat. The reports suggest about 6-8 lakh ha of additional area being brought under Rabi in the recent past. O ne of the clear winners in the crop switch story has been Bt cotton. The expansion in Bt cotton is matched by expansion in irrigated cotton this suggests that Bt cotton benefits hugely from four to five supplemental irrigations provided at critical points of crop growth.Gujarat increased its cotton yield over six fold from one hundred seventy-five kg per hectare in 2001-02 to 798 kg per hectare in 2008-09, higher that the world average yield of 787 kg per hectare in 2007-08 (Damor 2008)13 because of the combined effect of Bt cotton and irrigation in Saurashtra, Kutch and North Gujarat. The rise of Bt cotton supported by a high MSP for cotton offered a big opportunity for farmers. The farmers in these regions exploited this opportunity brilliantly.While the public sector more often than not plays a role in production and distribution of high yielding variety (HYV) seeds like wheat, the private seed sector took a lead role in developing and promoting the use of Bt Cotton seeds. Guj arat alone, has more than 30 odd private seed companies which have registered over 120 varieties of Bt Cotton. The state already has a history of having essential the first cotton hybrid of the country (H4). Thus, the cotton growth story could be partly due to the numerous hybrids being developed by local farmers and the seed production of Bt cotton seeds in farmers fields in Gujarat.The state agriculture university reports that the state has over 200 varieties of Cotton, which could be Bt, hybrid, or other common desi varieties. Not only has the yield more than doubled in just five to six years, at present more than 50% of the total cotton area in Gujarat has come under Bt cotton. Another positive aspect for the cotton growers has been its booming forward linkages and vertical integration with the cotton related industries. The Industry is also said to be witnessing a resurgence of interest among material players because 13Damor, Kalpesh (2008) Gujarat Cotton Yield May Cross Wor ld Average, line Standard, 8 October 26 of easy access to raw material at cut back freight. Two more major textile projects envisaging an investment of more than Rs. 10. 5 one one thousand million million million are slotted to come up at Jhagadia in central Gujarat. According to Cotton Advisory Board (CAB) estimates, Indias cotton production in 2007-08 has jumped by 12. 5 % at 31. 5 million bales (1 bale = 170 kg) as compared to 28 million bales in previous year. Gujarat state has contributed 35% of this production. This proves very high productivity of cotton in Gujarat.The State Governments Agro-vision 2010 (a model blue print for all round development of agriculture) lays emphasis on cultivation of high value, low muckle crops. Thus, besides, cotton a few other crops like wheat, castor and horticulture are also a part of the diversification story, which again is triggered by availability of suitable resource endowments for farmers. Accordingly the area under some of the low value crops like bajra and jowar has astutely declined over the years. The high growth had also come from fruits and vegetables (dominated by banana, mango, potato and onions) that has grown at almost 12. % during 2000/01 to 2007/08. Area under horticulture is constantly increasing in the state, slightly by 30,000 ha/year partly driven by the NHM initiatives. The area & production of horticulture crop was 5. 98 lakh Ha (5 % of total cropped area) & 59. 03 lakh tons in 1998-1999 which increases up to 9. 65 lakh ha. (9. 65 % of total cropped area) & 90. 95 lakh ton respectively in 2004-05. It is targeted to cover 19. 00 lakh ha. of land under horticulture by year 2010 in the state. Another important crop has been wheat