MINISTER OF AGRICULTURE (SHRI SHARAD PAWAR)
(a) to (h): A statement is laid on the Table of the House.
STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (h) OF LOK SABHA
STARRED QUESTION NO. 170 DUE FOR REPLY ON 5TH DECEMBER, 2005.
(a)&(b): As per 59th Round Survey Report of National Sample Survey Organization
(NSSO), 60 per cent of farmer households like farming as a profession and the remaining 40 per
cent do not like it, because it is either not profitable or it is risky. Of the 40 per cent, those who
do not like farming as a profession, 27 per cent found agriculture being not profitable. While 8
per cent consider agriculture as a risky venture, remaining 5 per cent dislike it for some other
reasons, which include low social status.
(c): A number of measures have been taken by the Government to increase production and
productivity in agriculture sector as also to raise the farm income by ensuring remunerative
prices and thereby reasonable return to them. The measures, inter-alia, include easy and timely
availability of institutional credit in a hassle free manner to the farmer at low rate of interest,
better risk management through implementation of crop insurance scheme, strengthening of
marketing and storage facilities, promotion of agricultural diversification towards income
enhancing crops and activities suitable to small holdings, sustainable dry-land farming, subsidy
and price support measures like announcement of Minimum Support Prices and organising of
purchase operations to prevent distress sales by the farmers.
A number of specific Schemes are being implemented for the benefit of farmers
including small and marginal farmers. Prominent among these are National Horticulture
Mission, Macro Management of Agricultural Scheme, Integrated Scheme of Oilseeds, Pulses,
Oil Palm & Maize (ISOPOM), Technology Mission on Cotton, Technology Mission on Coconut;
Technology Mission for Integrated Development of Horticulture in North Eastern States
including Sikkim, Jammu & Kashmir, Himachal Pradesh and Uttaranchal, Seed Village Scheme,
Strengthening of Agricultural Marketing Infrastructure. Under these Schemes financial
assistance is provided to the farmers. Besides, two new initiatives on micro irrigation and
enhancing sustainability of dry land farming systems are on anvil, which are to be implemented
in the resource poor areas.
(d)&(e): As per latest statistics released by Central Statistical Organisation, the average
annual growth rate of agriculture sector during 2004-05 was about 1.1 per cent (at 1993-94
prices). The average growth rate estimated in the first two quarters of the current year is 2.0 per
cent (at 1993-94 prices). Keeping in view the favourable monsoon and reversal in the declining
trend in the public investment in agriculture, the growth rate is not likely to decline.
(f)&(g): The credit flow to the agriculture sector has increased from Rs. 86981 crores in
2003-04 to Rs. 115242.81 crores in 2004-05 i.e. an increase of 36.71 per cent.
(h): To reduce the dependence on non-institutional/non-formal sources of credit who
normally charge high rate of interest and thereby increase the loan burden on the farmers, the
Government has announced a comprehensive credit package on 18th June, 2004 which aims at
doubling the flow of agricultural credit in three years. The major components of the farm credit
package, interalia, include restructuring of loans for providing credit related relief to farmers in
distress, farmers in arrears, farmers indebted to informal sources and One Time Settlement
Scheme for small and marginal farmers who have been declared defaulters and have become
ineligible for fresh credit.
