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Annual Report

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Title Annual Report
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The National Centre for Agricultural Economics and Policy Research (NCAP) was established by Indian
Council of Agricultural Research (ICAR) in March 1991. The Centre is located at the campus of the Indian
Agricultural Statistics Research Institute (IASRI), a sister institute of ICAR and is adjacent to the Indian
Agricultural Research Institute (lARI), a premier research institute in the country. The Centre has at
present twenty scientists, and sixteen other staff. It had a total budget of Rs. 119.75 lakhs for the year
1998-99.
The Centre is guided in its policies by a high-level Research Advisory Committee (RAC) comprising
mostly of eminent professionals outside the system. Dr. S.S. Johl is the current Chairman. The Centre
also has a Management Committee (MC). A number of internal committees, such as Staff Research
Council, Budget and Policy Committee, Official Language Committee, Consultancy Processing Cell,
Grievance Cell, Women Cell, Institute Joint Council etc. have been constituted for decentralised
management.
Research programmes are underway in each major thrust area viz. technology policy; sustainability of
agriculture; supply demand and markets; institutional change; and agricultural growth and adjustment.
This section summarises the salient findings of completed studies.
A study was undertaken to estimate the contribution of technical change to the growth of livestock output
in the country. Aggregate indices of livestock output and inputs were constructed. TFP growth was
computed as the difference between output and input growth rates. The study revealed that the livestock
sectoral output grew at 2.59 percent per annum over 1950-51 to 1995-96. The input index increased by
1.79 percent per annum and TFP grew at about 0.8 percent. There was no TFP growth in the first period
(1950-51 to 1970-71) suggesting no technical change. The real upswing started in the eighties when
sectoral output growth touched nearly 4 percent per annum and TFP growth jumped to nearly 1.8percent
(Table 1), contributing about 45 percent to total output growth. Backed by an improved market and
institutional environment, investments in livestock research have begun to pay off.
To identify what would drive the future growth in livestock production, another study was undertaken with
Karnataka's livestock sector as a case. About two third of the growth in cattle milk production and half of
the growth in buffalo milk production is accounted for by productivity and this contribution has been rising
over time. Rapid shift in herd structure in favour of high milk yielding species and improved feed fodder
supplies and animal health services would facilitate future growth. Meat production increased at an
annual rate of more than 9 percent. However, growth in meat output of almost all the species is on
account of increase in slaughter rates. Growth in egg production is also largely due to increase in
population of layers. Future growth in egg production would come from a shift in layer population in favour
of improved layer and intensive system of poultry production.
A study was undertaken to examine the level and pattern of energy use and its efficiency in soybean
based cropping system of Madhya Pradesh using farm level data. Soybean and wheat are the two most
important crops in the soybean belt. Wheat is the most energy intensive crop (13980 mega joules per ha).
Chickpea, which competes with wheat, requires about half of the energy used in wheat cultivation.
Commercial sources of energy account for more than 90 percent of the energy used in cultivation of these
crops. Soybean, the Kharif season crop grown largely under rained conditions consumes 7142.5 mega
joules per ha of which about 77 percent comes from commercial sources. Maize, sorghum and blackgram
compete with soybean and require one-third of the energy used in soybean cultivation. These crops
largely derive their energy requirements from non-commercial sources. The findings indicated that
technologies such as integrated nutrient management, integrated pest management, etc. should be
scaled up as to conserve commercial non-renewable energy whilst maintaining profitability of agriculture.
An inter-institutional collaborative research project on the economics of sorghum utilization in seven
districts from the states of Maharashtra, Karnataka and Andhra Pradesh indicated that sorghum forms the
main staple, constituting more, than half of the total cereal consumption in majority of sample districts. In
rabi districts, sorghum consumption formed 55% of the total cereal consumption, followed by wheat (20%)
and bajra (12%). In the kharif districts, consumption of sorghum formed 58% of total cereal consumption,
followed by wheat (30%) and rice (11%). Sorghum is not the most important staple diet in Mahabubnagar.
Here the consumption of rice accounts for half of the total cereal consumption thereby relegating sorghum
to second position.
Rice-wheat based cropping system which covers about 10 million ha in the Indo-Gangetic plain of India is
now showing multiple problems. To confirm these issues, a study was conducted to estimate the total
factor productivity of rice-wheat based cropping systems, and examine the role of legumes in improving
the sustainability of soil and water resources. The study used the secondary data from states, namely
Bihar, Haryana, Punjab, Uttar Pradesh and West Bengal from 1976 to 1992. Results indicated that the
annual growth in TFP which was about 3% during 1978-85period reduced to (-) 0.4% during 1985-92
period in the Indo-Gangetic plain of India. In the later period the growth rate in output was completely
contributed by higher levels of inputs. Further, analyses indicated that the effect of legume area on TFP
was positive and highly significant. The results clearly suggested that legumes are critical for the growth
in productivity and for sustainability of the rice-wheat based cropping system.
Irrigation development in the past was not specifically targeted towards desired multiple impacts. Equity
impacts of irrigation water distribution in India is empirically analysed at national level covering different
decades. Results of this study showed that major source for reducing the inequality in the distribution - of
irrigation facilities lies within the state level distribution of irrigation services across farm sizes rather than
from balanced irrigation development across states. Increasing role of states in promoting the equity
impacts of irrigation expansion across farm sizes is emphasised. Comprehensive modelling of irrigation
systems is a pre-requisite to conduct ex-ante evaluation of policy intervention options for promoting equity
in the sharing of irrigation benefits across farm sizes.
An empirical analysis for supply responsiveness in India's rainfed agriculture reveals that return from a
crop relative to other crops plays significant role in affecting supply in the case of all the crops. Since,
arithmetically, profitability depends as much on prices as on yield, the role of productivity in boosting
output needs to be properly appreciated. In subsistence agriculture the impact of productivity
improvement may be stronger than the prices because productivity change influences expectations in a
more visible manner while price changes are only perceived vaguely. The results of the study show that
relative crop returns are a strong motivation for the farmers in rainfed region to increase supply by
increasing area or yield or both.
A study on review of trade policies shows clear positive impact on export of non-basmati rice, marine
products and oilmeal. There were some relaxations like abolition of minimum export price, decanalisation,
removal of bans and quotas for these commodities, particularly rice, which have contributed to the
emergence of non-basmati rice as an important export item. Total agricultural exports were around $3000
million at the beginning of economic reforms period. In a short span of 3-4 years the export earnings
became more-than double. This is a clear indication that the indirect effect of trade liberalisation,
exchange rate adjustments and effects of relaxation in government controls and restrictions on
agricultural exports is positive and significant. Among all agricultural commodities, oilseeds comprise the
largest share in imports in most of the years during the last decade. This is happening despite a spurt in
edible oilseed output in the recent years. Nearly half of the agricultural imports consist of fertilizer imports
in most of the years. For the success of external liberalization, internal liberalization is said to be
essential. External liberalization may not produce full impact if domestic reforms by way of removal of
excessive and unnecessary government controls are not undertaken.
In another study, a comprehensive data series has been constructed for the country and states which
include investments made in irrigation, rural roads, rural electrification, storage, marketing, agricultural
research and education, . land development, cooperation, etc. This series will be useful for further
research on growth and development of Indian agriculture. The data show a. consistent decline since mid
seventies in all states. This does not auger welt for future growth and this study points to the need for a
critical reappraisal of public expenditure and investments to address this distortion.
Two Policy Papers and two Policy Briefs, three workshop proceedings and three PME notes have been
published during the year 1998-99. Centre staff have also been involved in a number of professional and
policy-level interactions.
Other significant achievements during the year under report include finalisation and approval of Ninth Five
Year proposals, approval and initiation of activities proposed under NATP, rigorous and intensive
dialogue and training in research prioritisation and diagnostic surveys, planning for a network of
agricultural economists, renovation of office building, and strengthening of LAN at the Centre
Not Available
 
Date 2016-12-01T06:53:09Z
2016-12-01T06:53:09Z
1999-03-01
 
Type Annual Report
 
Identifier Not Available
Not Available
http://krishi.icar.gov.in/jspui/handle/123456789/766
 
Language English
 
Relation 1998-1999;
 
Publisher Not Available