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1 Status of agricultural commercialization in North-Western India Dr. Sanjay Parihar Head, Department of Geography, S.G.G. Govt. College, Banswara Rajasthan Abstract: Today commercialization of agriculture is an inevitable reality through the whole world. There are a number of factors affecting the commercialization process in agriculture. Some of them could be named as irrigational extent, cropping intensity, improved seeds, pump sets, tractors, consumption of fertilizers and government agricultural policies. The major objective of this research paper was to find out and analyze the status of commercialization in north-western India (Punjab, Haana and Rajasthan states). The present study was conducted for two points of time i.e. year and The district was considered as the unit of analysis. The study utilizes published data obtained from statistical abstracts of the comprising states. For measuring the status of commercialization seven indicators were used to construct the composite indices of commercialization for each district of north-western India. The study shows that the agriculture in the study area is transforming from subsistence to commercial. It also reveals that the pace and level of commercialization is higher in Punjab and Haana than Rajasthan throughout the study period. The difference between the study points was found much significant. The development of infrastructure is the key driving forces for commercialization of agriculture. Key Words: Agriculture; commercialization; indicators; infrastructure; transforming. INRODUCTION Presently, it is hardly possible that a full time farmer produces only for the consumption of his family. There may be a few farmers who produce for their own consumption but is a fact that majority of farmers produce by aiming the market. Competition among farmers is increasing. Farmers who are not capable enough to survive in this high competition are being eliminated from the farming business; so the farming population throughout the world is diminishing. Today commercialization of agriculture is an inevitable reality around the world. There are a number of factors affecting the commercialization process in agriculture. Some of them are- rapid growth of economies in the both developing and developed countries, introducing of new technologies, expansion of market, market liberalization, urbanization, rapidly increasing demand for food, decreasing agricultural population, liberalized and open economic policies, economic agreements, developed infrastructure facilities in farming areas and government agricultural policies. However, commercialization in agriculture is not a new phenomenon. Since the nineteen fifties, farmers in most of the countries have moved towards commercial agriculture. Agricultural commercialization refers to the process of increasing the proportion of agricultural production that is sold by farmers (Pradhan et al., 21). Commercialization of agriculture as a characteristic of agricultural change is more than whether or not a cash crop is present to a certain extent in a production system. It can take many different forms by either occurring on the output side of production with increased marketed surplus or occur on the input side with increased use of purchased inputs. Commercialization is the outcome of a simultaneous decision-making behavior of farm households in production and marketing (von Braun et al., 1994). 67 The research journal of social sciences Janua 218 volume 9 number 1

2 Commercialization of agriculture which can be defined as a process where farmers start producing primarily for sale in distant markets, rather than to meet their own need for food or to sell in local markets. In the past few decades, India has witnessed a rapid increase in the agricultural commercialization. Rising incomes, changing tastes and lifestyles, demographic patterns and the spread of modern supply chains have led to this situation. DATA SOURCE AND METHODOLOGY In the present paper an attempt has been made to develop suitable indices involving appropriate indicators to measure the status of agricultural commercialization in the North-Western India at district level. The study area comprises the state of Punjab, Haana and Rajasthan. The present research is based on seconda data collected from Statistical Abstracts of Punjab, Haana and Rajasthan. Seconda data are ranging between years 198 to 211 at district level. Commercial agriculture involves high costs of modern inputs such as high yielding variety seeds, chemical fertilizers, irrigation and mechanization. So following indicators have been used and categorized to investigate the status of agricultural commercialization in the study area. A composite index has been complied with the help of these indicators to identify the status of agricultural commercialization at district level. INDICATORS OF AGRICULTURAL COMMERCIALIZATION 1. Irrigation Extent Irrigation is an artificial application of water to the land. It is used to assist in the growing of crops. Availability of perennial irrigation encourages the farmers to adopt more scientific techniques as well as intensive cultivation. The latter provides him to use the best quality of high yielding varieties of seeds at the right time and to reap the bigger margins of profit. Development of irrigation facilities is a must for both intensive and extensive cultivation. Even hybrid seeds and modern means of technology would be useless in absence of assured irrigation. Irrigation extent was calculated by the following formula and tabularized in table 1. Irrigation extent = Gross Irrigated area Gross Cropped area X 1 The irrigational facilities in Punjab and Haana are well developed. Almost the entire states had ve high level of irrigation extent. In Rajasthan, irrigation has not been developed due to physical and socio-economic adversities. Surplus production is precursor to commercialization, which can be easily done by irrigation. The development of irrigation infrastructure considerably increased the irrigated area in the study region which in turn led to the increase in agricultural production, thereby increasing the proportion of marketed surplus. 2. Cropping Intensity Cropping intensity is defined as a ratio between net sown area and total cropped area. It thus indicates the additional percentage share of the area sown more than once to net sown area. The intensity of cropping refers to raising a numbers of crops from the same field during one agricultural year. Thus it is an indicator of the potentiality and performance of the land. The following formula is used to calculate cropping intensity and tabularized in table 2. Cropping Intensity = Total Cropped Area Net Sown Area X 1 level of cropping intensity demands well developed irrigational facilities. Punjab and Haana states have endowed with developed irrigational facilities which lead to high 68 The research journal of social sciences Janua 218 volume 9 number 1

3 cropping intensity in these states. Consequently leads to surplus production and commercialization. 3. Improved Seeds yielding variety seeds played vital role in the progress of agriculture. They are considered as miracle seeds. HYV seeds give better quality yielding than traditional seeds. The maturity time of crop is less. Multiple crops can be grown easily. Seeds are mostly flood and drought resistant. Problems of pests and diseases are less. Net agricultural income increases substantial. Thus the percentage area under HYV crops and level of agricultural development are highly correlated. Percents area under HYV seeds to total cropped area has been calculated and shown in table 3. Punjab and Haana states had got the benefits of green revolution. Now most of the part has HYV seeds for cultivation. HYV seeds demand more water and these states have developed irrigational facilities. These seeds give higher yield and boost the production; consequently HYV seeds lead subsistence agriculture to commercialized agriculture. 4. Pump Sets Pump sets includes both type of electric and diesel engines. These are used for and tube well irrigation. This type of irrigation is much important in the area where canal irrigation is not possible. As pump sets are an indicator of mechanization in agricultural and mechanization has impact on agricultural development. So it is supposed to have pump sets influence on agricultural development. Number of pumps per hectare has been used and tabularized in table 4. Pump sets are used for ground water irrigation. Punjab and Haana also had the facilities of canal irrigation so the percent under high and ve high level is comparatively low. In Rajasthan central and eastern part has ground water irrigation facilities thus pump set percents are high. 5. Tractors Tractor is an important element of mechanization. Today tractors are extensively used in agriculture. Various tasks of men and animals have been replaced by tractor. Tractors have significant role in agricultural development, so the analysis of its relationship with agricultural development is much important. Number of tractors per hectare has been calculated and shown in table 5. Number of tractors represent level of mechanization, but it is not only the single element which can tell the whole sto of mechanization as a tractor can be used in many farms and many work other than agriculture. Along with, other machines like thresher, harvester, combine etc. are extensively used in large fields of Punjab, Haana and eastern part of Rajasthan. Besides these, number of tractors is still a useful aspect to describe the level of mechanization and commercialization. 6. Consumption of Fertilizers Soil fertility largely depends on its nutrient status: the amount and rates of nutrient supplies for plant growth. An adequate nutrient supply is an essential factor in plant growth. Without an external input, the capacity of the soil to supply plants with nutrients is progressively reduced with eve harvest. Fertilizes are necessa to replace the nutrients that have been removed from the soil. They can provide an optimal nutrients balance tailored to the demands of the specific crop, soil and climate conditions, increasing crop yield and quality whilst also minimizing environmental impacts. The FAO has state that after land and water, fertilizers are probably the most important input leading to increased yields. In the Developed world, after 69 The research journal of social sciences Janua 218 volume 9 number 1

4 15 years of increasing fertilizer use, it is thought that roughly half of the present agricultural output may be attributed to fertilizers. Consumption of fertilizers in kilograms per hectares has been calculated and shown in table 6. Consumption of fertilizer is higher in Punjab and Haana as HYV seeds demand more fertilizer and water to grow and these elements are available in these states. The trio of irrigation, HYV seeds and fertilizer give higher productivity and surplus production. 7. Cash Crops Farming of cash crops is also known as commercial farming. Cash crops are plants grown or managed, harvested and sold for cash rather than for subsistence. They are grown for grains, fruits, flowers, foliage, stems, roots, latex or any plant organ which may be consumed or utilized directly (e.g. fruits, vegetables, cut flowers and cut foliage) or processed into such products as fiber, rubber, sugar and bio-fuel. Cash cropping is distinct from subsistence farming. In contrast to the aim of cash cropping, subsistence farming is practiced for subsistence, that is, for the food of the farmer and his family. Subsistence crops are also grown for feed of the farmer s livestock including working animals. Percents area under cash crops to total cropped area has been calculated and shown in table 7. Although the cultivation of cash crop is practiced for sale in the market, but in Punjab and Haana, maximum area was under wheat and rice cultivation which is not used for cash crop cultivation, so the larger area was under medium level catego. Eastern and northern part of Rajasthan has higher proportion of area under cash crops which lead to high level. Commercialization is not restricted to just cash crops; the so called traditional food crops are frequently marketed to a considerable extent and the so-called cash crops are retained, to a substantial extent under suitable conditions. COMPOSITE INDEX OF AGRICULTURAL COMMERCIALIZATION Commercialization is sum of various factors and cannot be descried alone; so a composite index has been constructed with the help of various indicators of commercialization which have been discussed earlier in this chapter. All districts have been categorized and analyzed in five catego viz. ve low, low, medium, high and ve high and shown in table 8 and figure 1. (i) Level Punjab and Haana- There was no district of Punjab and Haana state under this catego during the study period. Rajasthan- More than 8 % districts of the state were under this catego in ; this percent reduced to 15.6 in Churu, Barmer, Pali, Bikaner and Jalore were the major districts. (ii) Level Punjab and Haana- There was no district of Punjab and Haana state under this catego during the study period. Rajasthan % districts and 46.9 % districts of Rajasthan were under this catego in and respectively. Jaisalmer, Jhalawar, Jhunjhunu, Nagaur, Banswara, Baran, Sawai Madhopur, Tonk and Sikar were the main districts. (iii) Medium Level 7 The research journal of social sciences Janua 218 volume 9 number 1

5 Punjab % districts had this catego in ; while in there was no district under this catego. Haana- Half districts had medium level of irrigation extent in The percents came down to 15 % in Main districts were Mahendragarh, Mewat and Bhiwani. Rajasthan- There was no district under this catego in , while in 21-11, more than 37 % districts had medium level. Karuali, Hanumangarh, Kota, Rajsamand, Bundi, Dausa, Chittorgarh and Jaipur were the main districts. (iv) Level Punjab- More than 58 % districts were under this catego in In 21-11, 35 % districts were under this catego. S. A. S. Nagar, Muktsar, Taran Taran, Gurdaspur, Hoshiarpur, Mansa and Firozpur were the main districts. Haana- Two districts had high level in , while 6 % districts occupied position in high level catego in Sirsa, Panchkula, Rohtak, Hisar, Gurgaon, Fatehabad, Ambala, Yamunanagar Jind and Jhajjar were the major districts. Rajasthan- There was no district had high level during the study period. (v) Level There was no district of the study area under this catego in % districts (Jalandhar, Rupnagar, Bhatinda, Amritsar, Kapurthala, Sangrur, Patiala Ludhiana and Faridkot) of Punjab and 25 % districts of Haana (Kaithal, Sonipat, Karnal, Kurukshetra and Faridabad.) had ve high level of commercialization in No one districts of Rajasthan was under this catego. It can be concluded that districts with flat land, fertile soil, high extent of irrigation, featureless relief, well developed agricultural infrastructure, awakening among the farmers about the use of chemical fertilizer, etc are responsible for high level of agricultural commercialization and vice versa. The proportion of all above indicator is much higher in Punjab and Haana than Rajasthan; consequently leads to higher magnitude of agricultural commercialization in Punjab and Haana than Rajasthan. CONCLUSION The status of agricultural commercialization has been analyzed in this research paper which shows that the agriculture in north-western India is transforming from subsistence to commercial. This pace is higher in Punjab and Haana than Rajasthan. In , most of the districts of Punjab and Haana had medium and high level of commercialization while all the districts of Rajasthan had ve low and low level of commercialization. In 21-11, all the districts of Punjab and Haana had high and ve high level except 15 % districts of Haana which had medium level of commercialization. In case of Rajasthan districts under ve low catego shrink to 15.6 % from 8.8 % during the study period % districts had medium level and remaining districts had low level of commercialization. It also observed that the level of commercialization was higher in Punjab and Haana than Rajasthan throughout the study period. Owing to flat land, fertile soil, high extent of irrigation, featureless relief, well developed agricultural infrastructure, awakening among the farmers about the use of chemical fertilizer, etc 71 The research journal of social sciences Janua 218 volume 9 number 1

6 in Punjab and Haana the level of commercialization is much higher in Punjab and Haana than Rajasthan. Commercialization of agriculture is not the result of any single factor but the cumulative impact of a wide range of factors which came to the surface after the green revolution. The chief factors which facilitated this change were: heavy investments in the development of rural infrastructure, construction of roads, development of irrigation infrastructure, adoption of new policies for market and the introduction of new technologies viz. high yielding varieties of seeds, fertilizers and modern implements. Nevertheless, the highly favorable cost-benefit ratio for cash crops was also a decisive factor responsible for motivating the peasant to switch over to the cultivation of cash crops. The development of rural transport and communication infrastructure enhanced the mobility of people and information through reduction in cost and time consequently increased their interaction with the outside world. The development of infrastructure led to the development of markets and reduction of marketing cost, both of which acted as the key driving forces for commercialization of agriculture. References 1. Chouhan, T. S. (1987).Agricultural Geography- A Case Study of Rajasthan State. Academic Publication, Jaipur. 2. Gupta, D. P. and Shangari, K. K. (198): Agricultural Development in Punjab. New 3. Gurjar, R. K. (1993): Irrigation for Agricultural Modernization. Jodhpur: Scientific Publisher. 4. Husain, M. (214): Systematic Agricultural Geography. Jaipur: Rawat Publications. 5. Iqbal, Comred (1979): Yielding Varieties of Seeds and Their Impact on Agricultural Development. In Ali Mohammad, Dynamics of Agricultural Development in India. Delhi: Concept Publishing Company. 6. Kumar, Pramila and Sharma, S. K. (28): Agricultural Geography (Hindi). Bhopal: Madhya Pradesh Hindi Granth Academy. 7. Kumar, Vinod (215): Changing Agricultural Scenario And Food Prospects In India A Study With Special Reference to Rajasthan. Ph.D. Thesis, Maharshi Dayanand University. 8. Lata, Asha (215): Agricultural Change during Post Reform Period in Haana. Ph.D. Thesis, Maharshi Dayanand University. 9. Mahaliyanaarachchi, R. P. and Bandara, R. M. A. S. (26): Commercialization of Agriculture and Role of Agricultural Extension. Sabaragamuwa University Journal, vol 6, no. 1, pp Mehta, P. K. (21): Role of Crop Diversification in Output Growth in India: A State Level Analysis. Journal of Agricultural Economics 6(2), Ojha, Manish. K (216): The Inter District Variations in Agriculture Development in Rajasthan. Ph.D. Thesis, Sardar Patel University. 12. Ranjana (212): Trends in Crop Diversification In Punjab-Haana Plains: To Ph.D. Thesis, Punjabi University. 72 The research journal of social sciences Janua 218 volume 9 number 1

7 13. Ray, Shovan (editer) (27): Oxford Handbook of Agriculture in India. New Delhi: Oxford University Press. 14. Shafi, M. (1984): Agricultural Productivity and Regional Imbalances- A Study of Uttar Pradesh. New Delhi: Concept Publication Company. 15. Shafi, M. (26): Agricultural Geography. New Delhi: Pearson Education Ltd. 16. Sharma, B. L. and Bhardwaj, P. (21): Agricultural Geography (Hindi). Udaipur: Himanshu Publications. 17. Shimar, R. (214): Growth and Instability in Agriculture Production in Haana: A District Level Analysis. International Journal of Scientific and Research Publication 4 (7), Singh, Jasbir and Dhillon, S. S. (1984): Agricultural Geography. New Delhi: Tata McGraw Hill Publishing Co. Ltd. 73 The research journal of social sciences Janua 218 volume 9 number 1

8 Table 1: Spatial District wise Distribution of Irrigation Extent < Medium Total > Source: Statistical Abstracts of Punjab, Haana and Rajasthan Table 2: Spatial District wise Distribution of Cropping Intensity < Medium Total > Source : Statistical Abstracts of Punjab, Haana and Rajasthan The research journal of social sciences Janua 218 volume 9 number 1

9 Table 3: Spatial District wise Distribution of Improved Seeds Area < Medium Total > Source: Statistical Abstracts of Punjab, Haana and Rajasthan Table 4: Spatial District wise Distribution of Pumps per Hectare < Medium Total > Source : Statistical Abstracts of Punjab, Haana and Rajasthan The research journal of social sciences Janua 218 volume 9 number 1

10 Table 5: Spatial District wise Distribution of Tractors per Hectare < Medium > Total Source: Statistical Abstracts of Punjab, Haana and Rajasthan Table 6: Spatial District wise Distribution of Consumption of Fertilizers < Medium > Total Source: Statistical Abstracts of Punjab, Haana and Rajasthan 76 The research journal of social sciences Janua 218 volume 9 number 1

11 Table 7: Spatial District wise Distribution of Area under Cash Crops < Medium > Total Source : Statistical Abstracts of Punjab, Haana and Rajasthan Table 8: Status of Agricultural Commercialization Compo site Index < Medium > Total Source: Computed 77 The research journal of social sciences Janua 218 volume 9 number 1

12 78 The research journal of social sciences Janua 218 volume 9 number 1