2. Agricultural scenario
Agriculture is the largest provider of
livelihood in rural India
It contributes 25 percent to India’s GDP
It is still dependent primarily on the monsoons
The growth in agricultural production has been
stagnant for the past several years.
The drought in north and western parts in 2009
created shortages in supply of food grains.
3. Factors Affecting Agriculture
Small and fragmented landholdings
Dependence on the monsoon
Lack of international competitiveness of its
Inadequate availability of electricity,
fertilizers, irrigation and pesticides
Poor access of the farmers to good roads,
market infrastructure, refrigerated
transportation of goods
Conversion of agricultural land for
residential and other land use purposes.
4. Macro-Management in
This represents a major shift from the programmatic to
the Macro Management mode of planning and
implementation to operationalise regionally
differentiated strategies and ensure that limited financial
allocations find timely and effective application in the
5. Technology Missions
A Technology Mission for Integrated Development of Horticulture
in the North Eastern States including Sikkim was launched during
2001-02 with an outlay of Rs.239 crore.
The Scheme seeks to address all issues relating to the development
of horticulture in the region covering research, development and
The mission has been extended to Himachal Pradesh, Uttaranchal
and Jammu and Kashmir.
A Central Sector Scheme on Technology Mission for Coconut was
launched for implementation during 2001-02. The Mission seeks to
address issues like technology development, demonstration,
processing, product diversification, market research and promotion.
6. Law on Multi-State Co-operative
The Central Government has enacted a new
Multi-State Cooperative Societies Act, 2002 to
provide full functional autonomy and
democratic management to co-operative
Farmers now will have to pay a maximum
interest rate of 9 per cent on bank loans up to
Rs.50,000 for each crop.
Earlier, they had to pay a rate of 14 to 18 %
8. Grameen Bhandaran Yojana
A scheme of construction, renovation and
expansion of rural godowns, called
Grameen Bhandaran Yojana, was
launched during 2001-02.
9. Programme for AgriInfrastrucutral Facilities
The Government has announced a Rs 50,000 crore
programme for mitigating the difficulties, being faced by
the agricultural sector.
The programme, to be spread over three years, will
address issues like agri-infrastructural facilities,
wasteland development, minor irrigation, functioning
and viability of cooperatives, grading, certification,
storage of agro-products, their processing, cold chains
and modern abattoirs.
Under the programme, to be operated by the
NABARD(National Bank for Agriculture and Rural
Development), loans will be made available to
borrowers at low competitive rates.
The National Agricultural Insurance Scheme, Aims at
protecting the farmers against crop losses suffered on
account of natural calamities such as drought, flood,
hailstorm, cyclone, pests diseases.
The Scheme is currently implemented by 22 States and 2
The Seed Crop Insurance is currently being
implemented in Andhra Pradesh, Haryana, Karnataka,
Madhya Pradesh, Chhatisgarh, Maharashtra, Uttar
Pradesh, Uttaranchal and Gujarat.
11. Protection of Plant Varieties &
Farmers’ Rights Act
The Protection of Plant Varieties and Farmers’ Rights
Act provides for establishment of an effective system for
protection of plant varieties and plant breeders and for
encouraging the development of new varieties of plants.
The plant varieties will be registered for plant breeder
rights, based on the criteria of distinctness, uniformity
12. National Seeds Policy
The main features of the National Seeds Policy, 2002
include development of new and improved varieties of
plants, timely availability of quality seeds, compulsory
registration of seeds, creation of infrastructure facilities,
quality assurance, promotion of seed industry, abolition
of licensing for seed dealers, facility for import of best
quality seeds, encouragement for export of seeds and
creation of Seed Banks and National Seed Grid.
13. Mass Media Support for
The scheme aims at utilizing the vast mass
media infrastructure available in the
country for providing agriculture-related
14. Kisan Call Centres
The scheme aims at addressing queries and
questions raised by farmers throughout the
The farmer can access a Call Centre through
toll free lines by dialing 1551 any time.
The questions will be answered by agrigraduates and specialists.
15. Drought Management
The country faced a severe drought last year. In order to
mitigate drought conditions, the Government of India
allocated 87.36 lakh MTs of food grains, free of cost,
and provided cash assistance of Rs.4,214.95 crore under
CRF and NCCF to the 17 drought affected States
16. Agriclinics and Agribusiness
The scheme of Agriclinics and Agribusiness Centers was
launched in 2001-2002, with the objective of using
unemployed agriculture graduates to provide extension
services to farmers on payment basis by setting up their
The Government of India provides training to
agriculture graduates willing to set up such centers
17. Assistance for Sugarcane
The Government has announced a one time assistance of
Rs.678.06 crore to Uttar Pradesh, Uttaranchal, Haryana,
Punjab and Bihar to clear the cane arrears of sugarcane
farmers for the 2002-03 season
18. Milk Production
Several measures, initiated by the Government
to increase the productivity of livestock, have
resulted in significant increase in the milk
production to the level of an estimated 89.1
million tonnes in 2002-03 as compared to 17
million tonnes in 1950-51.
India has become the largest producer of milk in
19. Agricultural research
About 400 improved varieties/hybrids of crops
have been released for realizing improved
productivity and enhanced stabilized production.
Eighteen improved agricultural tools and
equipment have been developed and
20. Food Security
Food security refers to the availability of food and one's access to it.
A household is considered food-secure when its occupants do not
live in hunger or fear of starvation.
Effective price support operations for safeguarding the interests of
Distribution of food grains throughout the country for public
Maintaining satisfactory level of operational and buffer stocks of
food grains to ensure National Food Security
21. Public Distribution System
The Public Distribution System is one of the important elements of
the Government’s ‘Food Security’ system.
PDS involves management of supplies of essential commodities
and maintenance of their uninterrupted flow at affordable prices to
the identified beneficiaries.
It also works as an instrument for moderating the open market
prices of food.
PDS means distribution of essential commodities to a large
number of people through a network of FPS on a recurring
Commodities involved are:
23. Who Operates PDS?
By Central Govt: They are responsible for procurement,
storage, transportation (up to the district headquarters)
and bulk allocation of food grains.
By State Govt: They are responsible for distributing
these food grains to consumers through a network of
Fair Price Shops.
24. Targeted PDS
In June 1997, the Government of India launched the Targeted Public
Distribution System (TPDS) with focus on the poor. Under the
TPDS, States are required to formulate and implement foolproof
arrangements for identification of the poor for delivery of food
grains and for its distribution in a transparent and accountable
The scheme when introduced, was intended to benefit about 6 crore
poor families for whom a quantity of about 72 lakh tonnes of food
grains was earmarked annually.
The identification of the poor under the scheme is done by the
States as per State-wise poverty estimates of the Planning
Commission for 1993-94 based on the methodology.