The role of agricultural R&D is critical to enhance agricultural productivity. On July 24, 2006, the World Bank launched a US$200 million National Agricultural Innovation Project to help increase agricultural productivity in the country. August 10, 2006 -- India’s recent growth has had a strong urban bias: while the services sector is booming, agricultural productivity has declined.This has adversely affected India’s poor, most of whom depend on agriculture for their livelihoods. The slowdown in agricultural growth is of special concern in the green revolution states of Punjab, Haryana and Uttar Pradesh. These states have traditionally been the bread basket of the country, accounting for 74% of the country’s wheat and 26% of its rice production. Their decelerating agricultural growth is therefore raising concerns about continued food security. - India’s rice yields are one third of China’s and half of yields in Vietnam and Indonesia.
- Punjab, Haryana, and Uttar Pradesh grow 74% of the country’s wheat and 26% of its rice.
- India’s southern and western states recorded higher agricultural growth than the national average in the 1990s using less fertilizer and irrigation than the northern states.
- India’s southern and western states have undertaken greater crop diversification than the northern states.
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Declining agricultural growth is also a concern in the poorer states of Bihar and Orissa where dependence on agriculture is high and rural poverty persists. Fertilizers and better seeds bring few new gains The use of inputs such as fertilizers, other agrochemicals, improved seed varieties and irrigation appears to have had a limited impact on agricultural growth. Punjab, Haryana, and Uttar Pradesh use the largest amount of these inputs but, in the 1990s, the southern and western states recorded faster agricultural growth than the national average despite their limited use of these inputs and less access to irrigation. The southern and western states have also recorded the highest degree of crop diversification. The northern region continues to specialize in food grains, particularly in rice and wheat, encouraged by favorable government price support policies for these commodities. Agricultural research and innovation can raise crop yields India has ample scope to increase its yields of several major crops substantially. Its rice yields, for example, are about half those in Vietnam and Indonesia, and one-third of China’s. With the exception of sugarcane, potato and tea, the same is true for most other agricultural commodities. With limited scope to expand the area under cultivation, the role of agricultural R&D is critical to enhance agricultural productivity. Indian agriculture will have to shift from resource and input based growth to knowledge and science based growth triggered by innovations and the application of science to agriculture. Similarly, in marginal and disadvantaged areas where it is difficult to expand irrigation, technological advancements complemented with institutional and policy support, can improve productivity. World Bank assistance to enhance agricultural productivity The Government of India is placing a high priority on raising agricultural productivity to achieve agricultural growth and reduce rural poverty. On July 24, 2006, the World Bank launched the US$200 million National Agricultural Innovation Project to increase agricultural productivity in the country by accelerating collaboration among public research organizations, farmers, the private sector and stakeholders in using agricultural innovations. |
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