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Chapter – 2
KERALA’S AGRICULTURAL SECTOR:
AN OVERVIEW
Introduction
Kerala state, branded as God’s Own Country under tourism, is
located at the Southern part of the Indian sub-continent. The state has a rich
past. The easy access through sea routes attracted the Greeks, Portugese,
Dutch, Egyptians, Romans, Chinese, Arabs, etc. even before the era of
Jesus Christ for its spices, medicinal and aromatic plants, high value timber
like Sandal, Rose, Teak, Anjili wood, Ivory and ship-building skills. The
flourishing opportunities for trade and commerce attracted people from
different regions and culture. As a result, along with the Indian
sub-continent’s religions such as Jainism, Buddhism and Hinduism, Jewish,
Christianity and Islamism also flourished from the time of their formations.
Geographical Setting
The state is a small strip of land in the West Coast of India. It has a
length of 560 km and maximum width of 132 km and has a geographical
area of 38,863 sq.km. It constitutes only 1.2 per cent of the geographical
area of India; but holds 3.1 per cent of her population. The state has three
distinct geographical formations like low land, mid land and high land. The
low land in the state constituted less than 10 per cent of the geographical
area but accommodates 18 per cent of the people; whereas, mid land
constitutes 72 per cent of the area and accommodates 77 per cent of the
population1. The high land constitutes 18 per cent of the area and
accommodates 6 per cent of the people. The population in high land has
increased mainly due to encroachment and conversion of such land under
commercial crops. The State is rich in water resources. It is blessed with two
rainy seasons, viz. the South-West and North-East Monsoons. The average
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rainfall is about 2,590 mm per annum and the state has also a good number
of rainy days. It is also blessed with a good number of perennial rivers and
water canals to talling 3,092 km. The well- spread precipitation coupled with
the rich rivers and canals make the state lush green throughout the year.
Such natural resource availability enables the cultivation of a variety of
commercial crops. The state also has a rich forest cover. These are well
protected and makes life in the state pleasant and peaceful. These factors
attract millions of tourists from far and wide and make the land “God’s Own
Country”.
Demographic Details
As per 2001 census, Kerala State’s population totals 3.2 crore,
consisting of 1.5 crore males (49%) and 1.6 crore females (51%). The
population growth during 1991-2001 is recorded at 9 per cent and the
annual growth of population woks out less than one per cent. The rural
population is about 74 per cent and the remaining 26 per cent constitute
urban population. Kerala is densely populated; 819 persons/sq.km when
compared to the national average at 324 persons/sq.km. Estimates on
Human Development Index and Gender Equality Index for the Indian s tates
make Kerala the first rank holder. The literacy rate as per 2001 census is 91
per cent compared to 61 per cent at all-India level.
Administrative Set up
Kerala is a diluted city. It has 14 districts, 63 taluks, 152 development
blocks and 1,453 revenue villages. A well defined administrative and
development system prevails in each of the above administrative set up. At
the district-level it is headed by the District Collector along with the
Departmental Heads of Revenue, Police and other Development
Departments. At the block-level, the Block Development Officer (BDO)
along with in-charges of various development departments takes care of the
functioning at the block-level. Similarly, at the village-level, the panchayat
secretary with his colleagues share the responsibility of development as
well as administration.
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In order to ensure public participation at each level, it is ensured
through democratic election process mainly at the panchayat-level and
subsequently at the block/taluk and the district-level. The permanent
missionary, thus support the elected representatives to translate the
people's aspiration in both administration and development activities.
Land Utilization
Out of the total geographic area of 38.85 lakh hectares, 10.82 lakh
hectares (29%) are under forest. The forest area shrinked over a period
owing to encroachment, development of various projects, etc. Based on the
studies of the Survey of India it is reported that during 1905, the forest cover
was as high as 44 per cent 2.
The pattern of land utilization for crop production purposes also
records a steady increase in terms of non-agricultural purposes. Details of
land utilization during five points of time, viz. 1960-61’, 1975-’76, 1995-’96,
2003-’04 and during 2006-’07 is indicated in Table 2.1.
Table 2.1 Pattern of Land Utilization in Kerala
(000’ Ha)
Particulars 1960-‘61 1975-‘76 1995-‘96 2003-‘04 2006-‘07
Total Geographical Area 3885 3885 3885 3885 3885
Forest 1082 1082 1082 1082 1082
Land under Non-Agri: use 205 259 313 388 423
Barren & Uncultivable Land 151 78 43 30 21
Permanent Pastures & Grazing Land
45 20 1 0.5 0.2
Land under Misc. Tree Crops 204 84 27 12 5
Cultivable Waste 144 113 74 71 60
Fallow other than Current 62 23 29 39 47
Current Fallow 67 37 51 71 90
Net Area Sown 1924 2189 2265 2194 2021
Total Cropped Area 2349 2981 3067 2976 2606
Area Sown More Than Once 425 792 802 783 805
Cropping Intensity 122 136 135 136 137
Source : Agriculture Census
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Table 2.1 indicates that the Net Area Sown steadily increased from
1960-61 to 1975-76 and 1995-96. However, it recorded declining trend
during 2003-04 and 2006-07. Similarly, the land put under non-agricultural
purposes also recorded increasing trends; whereas the land under
permanent pastures and grazing steadily declined. The cultivable waste
also recorded steady declining trends due to its use under various
purposes. The increasing trend of fallow land after 1975-76 is a cause for
serious concern. The increasing trend in keeping the paddy land fallow
appears to be the reason for this trend.
Pattern of Land Holdings
Out of the total Geographical area of 38.85 lakh hectares a sizable
portion (40%), is under various land holdings by public and private sector.
Based on the latest available data, there are 66.6 lakh operational land
holdings constituting 15.7 lakh hectares. More than 95 per cent of the land
holdings are very small in size, less than one hecteare. The average size of
holdings works out to 0.24 ha. The average holding over time has also
decreased from 0.74 ha in 1966-67 to 0.49 ha during 1976-77 and further
decreased to 0.33 ha during 1990-91. The pattern of land holding at four
different points of time is given in Table 2.2 to have an idea on the pattern of
holding 3
Table 2.2
Pattern of Operational Holdings
Size of Land Holding
1966-‘67 1976-‘77 1990-‘91 2006-‘07
% holding
Average size
% holding
Average size
% holding
Average size
% holding
Average Size
Marginal < 1 ha 82 0.28 87.1 0.24 92.6 0.18 95.3 0.15
Small 1-2 9 1.43 8.4 1.37 5.2 1.36 3.7 0.90
Semi-Medium 2-4 7 2.79 3.4 2.70 1.8 2.60 0.66 2.40 Medium 4-10 2 5.60 1.0 5.49 0.4 5.27 0.30 5.01
Large > 10 0.5 19.86 0.1 19.06 0.06 55.74 .04 53.20 All 0.74 0.49 0.34 0.23
Source : Agriculture Census
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It may be observed from Table 2.2 that the average size of holding in
respect of all the five categories, viz. marginal, small, semi-medium,
medium and large categories decreased over a period. Only in respect of
large holding, the average size of holding recorded a sizable increase from
19.06 ha in 1976-77 to 55.74 ha during 1990-91.The relatively better
consolidation of land among the large land owners appears to be due to
their commercial viability.
Water Resources
Water is required for the daily use of human beings, animals, birds,
plants and the whole life system. It is also required for irrigation and for
industrial purposes. Thus, careful harvesting and economic use of water
assume importance. In Kerala, the annual yield of water in a normal
monsoon year is estimated at 70,300 Million Cubic Metre (MCM) and the
groundwater availability is estimated at 7,048 MCM. The utilizable water
resources are estimated at a conservative figure at 42,000 MCM. Kerala
requires about 30,000 MCM of water for agriculture, 7,500 MCM for
domestic purposes and 12,200 MCM for prevention of salt water intrusion.
Along with the increasing living standards, there is an increased
demand for water for domestic as well as irrigation and commercial
purposes. As the crop productivity and cropping intensity is having a direct
relation with increasing water requirement, any attempt on optimisation of
the above two factors results in the requirements of more water. But,
currently, more than 40 per cent of the available water resources are lost as
run off resulting in heavy floods, soil erosion, damage to crops, livestock
and the local infrastructure. A commitment to harness water is yet to
become a part of our culture and governance.
Attempts were made to strengthen the irrigation capacity in the state
right from the second half of the 19th century. During the Five Year Plan
periods concerted efforts are being made to optimize the irrigation potential
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through a variety of instruments such as major, medium and small irrigation
projects, laying water canals and exploiting the groundwater using deep
tube wells, shallow tube wells and dug wells. For better management of the
available water, instruments like drip irrigation and sprinkle irrigation are
also promoted with technology and subsidy supports.
As against the estimated net irrigation potential of 15 lakh ha and
gross irrigation potential of 24 lakh ha as on March 2007, only 5.35 lakh
(22%) gross irrigation potential has been created. During the XI Five Year
Plan period a target of 2.5 lakh ha has been addressed of which 2 lakh ha
are under minor irrigation. Currently, the major part of the irrigation facility in
the state is made available through the development of surface water
sources 4. Establishment of Lift Irrigation projects and development of
instruments like Dug Wells, Bore Wells, Filter points and introduction of
various water conservation and management devices appear to be the
possible methods for careful exploitation.
Government of Kerala with the help of Central Ground Water Board
(CGWB) carries out regular studies for assessing the groundwater
availability and enabling water users for their careful exploitation. As per the
estimation made by Ground Water Estimation Committee, as on 31 March
2004 the Ground Water Development in the state is 46.87 per cent. As
against the annual recharge of 6,840 MCM the existing rate is 2,920 MCM.
Out of the remaining balance of 3,920 MCM the allocation provided for
future domestic construction is estimated at 1,396 MCM, 48 per cent.
In order to have a better idea on ground water availability at
district-level the same is presented in Table 2.3.
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Table 2.3
Ground Water Availability vis-à-vis their Exploitation
(In MCM)
Sl.
No District
Ground Water
Recharge
Present Draft
Allocation for Domestic
Supply
Net Ground Water
Availability for future purposes
% level of Exploitation
1 Thiruvananthapuram 309 186 117 81 67
2 Kollam 496 205 99 225 46
3 Alappuzha 466 129 77 279 31
4 Pathanamthitta 347 101 48 210 32
5 Kottayam 521 134 82 322 28
6 Idukki 269 92 49 145 37
7 Ernakulam 618 294 115 249 52
8 Thrissur 775 326 117 354 46
9 Palakkad 824 328 190 397 44
10 Malappuram 557 308 183 148 61
11 Wayanadu 325 72 55 196 25
12 Kozhikkode 366 213 111 121 62
13 Kannur 592 261 96 272 48
14 Kasargod 376 272 58 75 79
Total 6841 2921 1397 3074 47
Source: the Dynamic Ground Water Resource of Kerala, CGWB
From the above Table it may be observed that the groundwater
exploitation ranges from 25 per cent in Wayanad district to as high as 79 per
cent in Kasargod district. The exploitation level is above 60 per cent in
Thiruvananthapuram, Malappuram, Kozhikkode and Kasargod districts. For
the state as a whole, the stage of development approximate at 47 per cent.
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In respect of Kottayam and Wayanad the development is observed below
30 per cent.
A closer look at taluk-level is essential for understanding the stage of
development of groundwater in each taluk/block. Out of the 152 Blocks, five
blocks are over-exploited, 15 are under critical stage, 30 are in semi critical
stage and another 33 blocks are under more than 70 per cent of the
exploitation of groundwater availability. Details of the district-wise critical
blocks and over-exploited blocks are given in Table 2.4.
Table 2.4
Critical and Over Exploited Blocks
Sl.
No District Critical Blocks
Over Exploited Blocks
1 Thiruvananthapuram Chirayinkeezhu, Parassala Athiyanoor
2 Palakkad Kollencode,Thrithala, Palakkad Chittoor
3 Kozhikkode Balussery,Tooneri Kozhikode
4 Kasargod - Kasargode
5 Thrissur - Kodungallur
6 Idukki Kattappana -
7 Ernakulam Angamali, Pampakkuda, Parakkadavu, Vyttila
-
8 Malappuram Wandur -
9 Kannur Thalassery, Koothuparambu -
Source : CGWB
In 2003, Govt. of Kerala enacted the Ground Water Regulation and
Control Act. Based on this Act, the State Ground Water Authority was
constituted in 2005; and on detailed study they have declared five Blocks as
over-exploited and it was published in the November 2005 gazette. In
accordance with the notification any further exploitation of groundwater in
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these blocks using new instruments were totally banned, except for drinking
purposes. The State Ground Water Authority also periodically conducts
awareness programmes and advocates the users to meticulously follow
them.
The state is also increasingly becoming aware of pricing of water. In
order to cope up with the ever increasing expenditure under irrigation,
states such as Maharashtra, Madhya Pradesh, Gujarat and Karnataka have
revised their water rates. But in Kerala, it is not revised since 1974. Recently
the State Government is feeling the necessity of revising them.
Based on the above situation, the Kerala Ground Water (Control
&Regulation) Act 2003 was enacted. Under this Act quantification of the
groundwater on watershed concept is followed. The Act insists on each user
of groundwater to register the existing groundwater structure with the district
office of the State Ground Water Department. Under this Act, investment in
any new structure to exploit groundwater from restricted area is also
banned.
The State Water Policy also insists on introducing better
management practices in both groundwater exploitation and its use.
Following are the important features of the State Water Policy, 2008.
Micro watershed should form the basic unit for sustainable harness
and exploitation.
The water resource system should be based on the river basin as the
basic unit and all related problems should be integrated with this
basic concept.
An integrated and multi-sectoral approach in planning, formulation,
development and management of the water resources is to be
followed.
All development plans should emphasize comprehensive watershed
conservation, water quality management plan, long term sub-basin
and river basin operation.
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Strictly implement institutional and legal mechanism for sustainable
water resource development, use and management.
The State Ground Water Department has prepared detailed action
plans for the implementation of the above objectives during XI Five Year
Plan period. The department has considered minor irrigation as projects
covering 1-15 ha, medium irrigation as 16-10,000 ha and major irrigation as
those covering more than 10,000 ha. Construction and renovation of
irrigation tanks, construction of diversion works, salt water prevention
works, reclamation of backwaters, strengthening of streams & canals,
installation of new lift irrigation schemes, etc. are given importance.
Partner agencies implementing various irrigation programmes,
advocates for the estimation of groundwater resources in all blocks jointly
by CGWB and State Ground Water Board (SGWB). They also feel that
there is an urgent need for the formation of Water Users Associations
(WUAs) especially in the command areas of all Major & Medium Irrigation
projects and Larger Lift Irrigation projects.
Both the public and the project implementing agencies equally feel
the necessity of suitable legislation to control the present state of pollution
happening in our water bodies. Similarly, there is an increasing awareness
on harvesting the rainwater and recharging the groundwater availability.
There is a common concern for the speedy implementation of the Govt. of
India- supported scheme on artificial recharge of dug wells through suitable
methods of rain harvesting.
Cropping Pattern
Out of the total geographical area of 38.86 lakh ha, the net sown area
totalled 21.11 lakh ha, 54 per cent of the geographical area during 2006-’07.
The gross cropped area totalled 29.17 lakh ha, keeping the cropping
intensity at 138 per cent 5. The current cropping pattern in the state is given
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in Table 2.5.
Table 2.5
Area Production and Productivity of Major Crops in Kerala
Crop
Area (Ha) Production (MT) Productivity (Kg/ha)
2005-06
2006-07
% Change
2005-06
2006-07
% Change
2005-06
2006-07
%
Change
Paddy 275742 263529 -4.4 629987 641577 1.8 2285 2435 6.6
Pulses 8000 6870 -14.1 8080 5211 -35.5 1010 759 -24.9
Pepper 240551 226094 -6.0 75704 64264 -15.1 315 284 -9.8
Ginger 9285 11082 19.4 38747 42497 9.7 4173 3835 -8.1
Turmeric 3000 3917 30.6 6477 9978 54.1 2159 2547 18
Cardamom 38865 41362 6.4 9329 8545 -8.4 240 207 -13.8
Arecanut 108207 102078 -5.7 110641 109968 -0.6 1022 1077 5.4
Banana 62141 59143 -4.8 488061 463766 -5.0 7854 7841 -0.2
Plantains 55460 53060 -4.3 421415 435635 3.4 7599 8210 8
Cashew 80727 70461 -12.7 57624 61680 7.0 714 875 22.5
Tapioca 94982 87128 -8.3 2585096 2518999 -2.6 27217 28911 6.2
Coconut* 899943 870939 -3.2 6013 6054 0.7 6575 6951 5.7
Coffee 84644 84571 -0.1 60175 59475 -1.2 711 703 -1.1
Tea 35043 35364 0.9 56384 53659 -4.8 1609 1517 -5.7
Rubber 494400 502240 1.6 739225 780405 5.6 1495 1554 3.9
*Production in million nuts and productivity in nuts/ha
Source : Agriculture Census
Coconut, Rubber, Paddy, Pepper, Arecanut, Coffee, etc. are the
major crops cultivated in the state. As may be observed in Table 2.5 except
in the case of rubber, in most of the other major crops, the area under
cultivation declined during 2006-07 compared to the area recorded under
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the same crops during the previous year, 2005-06. Among the major crops,
the decreasing area was more under pulses (14.1%) followed by cashews
(12.7%) and tapioca (8.3%). The area under paddy declined at 4.4 per cent
during the period 2005-06. In the case of ginger (19.4%), turmeric (30.6%),
cardamom (6.4%) and tea (0.9%) the area recorded increasing trends. A
sizable increase in area was observed in the case of rubber at 1.6 per cent
during the reference period.
Unlike other states, Kerala has a peculiar cropping pattern. Most of
its cultivation happens under Homestead Farming. Under this system a
variety of crops, both seasonal and perennial in nature are cultivated in the
surrounding areas of one’s home. Along with the crops they also rear the
livestock, poultry and pets. The system is mutually dependable and it
enables optimization of the rare resources including family labour. Recently
this is accepted as a role model and is advocated in areas having limited
land availability for crop production.
Perusal of the Table 2.5 reflects a complex system in the case of
both production and productivity. Out of the 15 crops under the analysis, in
the case of eight crops there is an increase in crop productivity. But in the
case of remaining seven crops the productivity has declined during the
reference period, 2005-06 and 2006-07. The increase in productivity is
observed as high as 22.5 per cent in the case of cashew followed by
turmeric (18%) and plantains (8%)tapioca (6.2%) and coconut (5.7%). The
productivity under banana marginally fell at 0.2 per cent. The maximum fall
in productivity was observed in the case of pulses at 24.9 per cent, followed
by cardamom at 13.8 per cent and for tea at 5.7 per cent respectively.
The above analysis thus indicated that coupled with a sizable
decrease in area under major crops and sharp fall in crop productivity, the
production has serious adverse effects. Out of the 15 crops under detailed
study, in respect of eight crops the quantity of production recorded sizable
decrease during the reference period. The deceleration trends were at a
larger size in respect of pulses at 35.5 per cent followed by pepper 15.1
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percent, cardamom 8.4 per cent and banana at 5.0 per cent. In the case of
tapioca (2.6%), coffee (1.2%) and arecanut (0.6%) the production recorded
marginally decreasing trends.
Thus, the data on area, production and productivity analysis
indicated the growing concern under Kerala agriculture. In the absence of
concerted efforts, the production efficiency is likely to further fall offsetting
the economy. This may adversely affect the rural economy through
withdrawal of a sizable number of farmers from traditional crop cultivation.
The process may add to the ongoing migration in search of better
alternatives.
Table 2.6
Area under major Crops in Kerala
(000’ ha)
Crop 1960-61 1975-76 1995-96 2003-04 2006-07
Paddy 779 876 471 287 264
Coconut 501 693 914 906 871
Tapioca 242 327 114 111 87
Rubber 136 212 449 476 502
Pepper 100 108 192 207 226
Cashewnut 54 109 103 88 70
Arecanut 54 77 71 93 102
Plantains& Banana 44 52 73 107 53
Tea 38 38 37 37 35
Cardamom 29 54 44 32 41
Coffee 17 42 82 85 85
Ginger 12 12 13 9 11
Total Cropped Area 2319 2981 3067 2976 2347
Source: Agricultural Census
A study of Table 2.6 reveals interesting observations on the pattern
of land utilisation in Kerala during the last 47 years. The net cropped area
which was at 23.19 lakh ha during 1960-61 has almost remained the same
during the year 2006-07 at 23.47 lakh ha even after 47 years. However, the
area under major 12 crops recorded a sizable increasing trend during
1960-61 to 1975-76, the first 15-year period. It has also further increased to
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30.67 lakh ha up to 1995-96 in another 20-year period. Subsequently, the
area under major crops declined to 29.76 lakh ha during 2003-04 and
further decreased to 23.47 lakh ha during 2006-07. Thus, from 1960-61, for
a 25-year period, the area under major crops recorded increasing trends
and subsequently another 20-year period it recorded decreasing trend.
Presently, the area under major crops remains almost at par with those
under 1960-61 period. This indicates serious concern on the subject. The
increase in net area sown and further decline in the same will throw
interesting light on the use of land other than crop development and change
in crop production.
Out of the 12 major crops covered under the above analysis, the
maximum decrease in land use is recorded under paddy. During 1960-61
the area under paddy was about 7.8 lakh ha. It further increased to 8.8 lakh
ha during 1975-76 and subsequently decreased to 4.71 lakh ha during
1995-96 and further declined to 2.64 lakh ha during 2006-07. Thus, the
present paddy cultivation in Kerala is just 1/3 of the land under paddy during
1960-61.
Similarly, the area under tapioca also declined from 2.42 lakh ha
during 1960-61 to 0.8 7 lakh ha during 2006-07. The decrease was also
equally high in the case of paddy. Availability of other food crops coupled
with the cultivation of higher profit making commercial crops such as rubber
and spices appear to be the reason for lesser area allocation. Among
commercial crops the area increase was observed relatively larger in
respect of rubber, coconut, pepper, cashewnut, and arecanut, cardamom,
plantains and banana.
While the area under Rubber has increased almost four times (1.36
lakh ha to 5.02 lakh ha) the area under coffee has increased by five times,
pepper slightly more than two times, arecanut almost two times, cardamom
increased by 1.4 times and banana experienced a marginal increase of 1.2
times. In order to have a better insight on the shift in cropping pattern, the
percentage allocation of land for each major crop was worked out at five
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different point of time. They were further ranked and it is tabulated in Table
2.7.
Table-2.7
Share of major Crops in the Cropped Area and their Ranks
Crop
1960-61 1975-76 1995-96 2003-04 2006-07
Share %
Rank Share
% Rank
Share %
Rank Share
% Rank
Share %
Rank
Paddy 33.2 1 29.4 1 15.4 2 9.6 3 11 3
Coconut 21.3 2 23.3 2 29.8 1 30.4 1 37 1
Tapioca 10.3 3 11.0 3 3.7 5 3.7 5 3.7 6
Rubber 5.2 4 6.9 4 14.6 3 16.0 2 21 2
Pepper 4.3 5 3.6 6 6.3 4 7.0 4 10 4
Cashew nut 2.3 6 3.7 5 3.4 6 3.0 8 3.0 8
Arecanut 2.3 7 2.6 7 2.3 9 3.1 7 4.3 5
Plantains& Banana
1.9 8 1.8 8 2.4 8 3.6 6 2.3 9
Tea 1.6 9 1.3 11 1.2 11 1.2 11 1.5 11
Cardamom 1.2 10 1.8 9 1.4 10 1.4 10 1.7 10
Coffee 0.7 11 1.4 10 2.7 7 2.9 9 3.6 7
Ginger 0.5 12 0.4 12 0.4 12 0.3 12 0.5 12
Source : Agricultural Census
During 1960-61 paddy, coconut, tapioca, rubber and pepper were
the most important crops cultivated in Kerala. During 1975-76 also the same
pattern continued except for a minor change in the case of pepper which
has slipped from rank number five to six. However, during 1995-96 paddy
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became a lesser important crop compared to coconut, slipping from number
one to two. Rubber has risen to 3rd position and pepper also improved its
status and reached the 4th position. During 2003-04 paddy lost once again
against coconut and rubber which rank one and two respectively. During
2006-07 also same status continued for paddy at the 3rd position. Pepper,
areca nut and tapioca notched 4th, 5th & 6th rank respectively. All these crops
are not cultivated generally in wetlands. Thus, it appears that a large portion
of the wetland was either kept uncultivated or put under other than
agricultural purposes.
Crops like plantains, cardamom, ginger, tea and coffee recorded
almost steady trends in the area allocation except for minor changes in
certain periods. It may be due to their price fluctuations. The higher prices
prevailed during certain periods might have encouraged farmers to allocate
new areas suitable for their cultivation. Similarly, any adverse price effect
coupled with relative advantage of comparable crops might have prompted
the decision on area allocation under these crops.
Total agricultural production under a crop is determined by both area
allocation and crop productivity, viz. Yield per Hectare (YPH). A perusal of
Table 2.7 indicated that both Area and YPH has equally contributed in the
increase of production of majority of the crops during 1960-61 to 1975-76. In
the case of paddy, tapioca, rubber and plantains YPH appeared to have
played a significant role in production during the above referred period.
Whereas, in the case of coconut, cashew nut, cardamom and coffee
increase in area has played a major role in their total production during the
period under review. In order to have a detailed perusal on YPH the same
has been worked out on major crops for different periods of time and the
same is given in Table 2.8.
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Table 2.8
Yield Levels of Major Crops in Kerala
(Kg/ha)
Crop 1960-61 1975-76 1995-96 2003-04 2006-07
Paddy 1371 1520 2023 1984 2435
Coconut 6430 4963 5638 6052 6951
Tapioca 6845 16491 22008 22484 28911
Rubber 187 623 1056 1377 1554
Pepper 271 227 358 275 284
Cashewnut 1659 1122 801 737 875
Plantains 7381 7556 6585 7446 8210
Tea 1073 1148 1762 1513 1517
Cardamom 45 38 122 208 207
Coffee 442 345 546 754 703
Ginger 938 2479 3594 3330 3835
Source: Agricultural Census
It may be observed from Table 2.8 that almost all the crops have
recorded an increase in YPH during the reference period. In the case of
paddy, YPH increased from 1371 Kg/ha during 1960-61 to 2435 kg/ha
during 2006-07. During the same period YPH under tapioca, rubber,
cardamom and coffee has increased three folds. Whereas, the YPH under
coconut, pepper, plantains and tea has increased moderately. The YPH
under ginger recorded an appreciable increase during the reference period.
From productivity stage at 938 kg/ha during 1960-61 it increased to 3835
kg/ha during 2006-07. The data also show a steady increase in productivity
in the case of cardamom. Whereas, the productivity under Pepper has
recorded a marginal rise. From 271 kg/ha during 1960-61 it increased to
284 kg/ha during 2006-07, within a span of 46 years. In the case of crops
which had an advantage of appropriate technology recorded relatively
higher increase in YPH 6.
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The analysis also highlights the importance of productivity increase
under both food crops and commercial crops, especially for spices. For
addressing the efficiency in crop productivity each factor of production, viz.
land, labour, capital and management has a larger role to play. The capital
requirement is generally felt under capital formation process in agriculture
as well as to meet its operational expenditure 7. Here, institutional finance
has a larger role for timely meeting the requirement of the farmers with
respect to the above two factors. In addition to the above, quality aspects of
the input such as seeds, manure/fertilizers, farm machinery,
pesticides/insecticides, etc can also influence the crop productivity.
Thus, for augmentation of the crop productivity, a collective effort by
all partner agencies such as the farmers, bankers, input manufacturing
agencies; etc along with efficient management can only address this
subject. Therefore, the subject assumes its importance. During the course
of the study, we shall focus on the role of institutional credit assistance
especially for development of Agriculture and Allied Activities.
Table 2.9
Production of Major Crops in Kerala
(000’ Metric Tones)
Crop 1960-61 1975-76 1995-96 2003-04
A
2006-07
B
% Change
B-A
Paddy 1050.7 1331.2 953.0 570.0 641.6 12.56
Coconut* 3220 3439 5155 5484 6054.0 10.39
Tapioca 1656.5 5390.2 2500.1 2503.6 2519.0 0.6
Rubber 23.2 128.8 474.6 655.8 780.4 19.0
Pepper 27.0 24.6 68.6 55.9 64.26 14.96
Cashew nut 83.3 119.9 82.8 65.2 61.68 -5.4
Plantains 322.7 395.0 592.4 775.4 899.4 16.0
Tea 40.0 45.8 64.8 55.9 53.66 -4.0
Coffee 7.0 17.5 45.0 63.8 59.48 -6.8
Ginger 11.1 28.8 46.5 29.7 42.50 43.1
*Production in Million nuts and Productivity in nuts/ha
Source: Agricultural Census
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As may be observed from Table 2.9, out of the 10 crops under study,
the production has declined in the case of cashew nut, tea and coffee during
the period, 2003-04 and 2006-07. In the case of tapioca, the production
almost remained stagnant. Whereas, in the case of ginger, rubber,
plantains, pepper, paddy and coconut the production recorded increase.
However, the increase was sizable in respect of both ginger and rubber. In
respect of the remaining four crops the production increase was marginal.
Production of both paddy and cashew nut sizably decreased during
the period 1960-61 and 2006-07. In respect of all remaining eight crops, the
production recorded increasing trends. Among them, the maximum
difference is recorded by rubber, ginger, coffee and coconut. The
production of rubber which was at 23,000 MT during 1960-61 had increased
to 7,80,000 MT during 2006-07. Similarly, the production of ginger has
increased from 11,000 MT to 43,000 MT during the same period. In the case
of coffee, the production increased from 7,000 MT to 59,000 MT during the
under review period. coconut, one of the major crops grown, had also
realized a production increase from 3,220 million nuts during 1960-61 to
6054 million nuts during 2006-07.
The production of major crops also had undergone considerable
variations over time. It was more prominent in the case of paddy, tapioca
and cashew nut. It was relatively less prominent in the case of ginger, tea,
coffee and pepper. In the case of rubber, plantains and coconut, increasing
trends were recorded in the case of production, right from 1960-61 8. All the
three are relatively better commercial crops. Rubber has an increasing
demand in the market for commercial purposes and farmers might have
received a better stabilized net return from its cultivation. Recently the policy
support was also in favour of high-tech commercial crops compared to the
food crops9. In the case of plantains and coconut, they served as both food
crops and a source for value addition. This might have prompted the
farmers for its regular cultivation and maintaining a steady increase in
production.
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Animal Husbandry (Livestock)
Majority of the rural households find supplementary income rearing
livestock such as cows, buffalos, pigs and poultry. Based on the Livestock
Census 2003, the cattle population in Kerala totalled 21.22 lakh, of which
17.35 lakh (82%) was cross-bred animals compared to the national average
of 12 per cent. As against the estimated demand for milk at 24.53 lakh
tonnes, the production during 2006-07 was estimated at 21.18 lakh tonnes,
86 per cent of the demand. Thus, Kerala continued to be a milk deficient
state. Optimisation of per cattle milk productivity appears to be the solution
to address this problem.
As against the desired average milk yield of 8-10 ltrs/day, the current
realised milk yield averages only six ltrs/day. In spite of the larger number of
cross-bred animals available in the state, favourable climate and
satisfactory infrastructure availability for modern dairy farming, the stagnant
state of milk yield poses challenging initiatives for achieving optimum milk
yield. The financial institutions can play significant role in helping the dairy
farmers to address the issues relating to production efficiency. Calf-rearing,
introduction of better management practices in breeding, feeding and better
maintenance of the milch animals during the inter-calving periods, etc can
be initiated by the dairy farmers with the support of timely required credit
assistance.
Kerala is also deficient in egg production. As against the per capita
egg consumption of 66 per year during 2006-07, the state’s production
approximates only 36 eggs/year, about 55 per cent of the requirement. The
remaining 45 per cent is imported from other states, especially from Tamil
Nadu and Andhra Pradesh. The present situation open up ample scope for
poultry based investments in the state. However, once again the efficiency
in production only will help the state to compete with the relatively matured
poultry farmers of the neighboring states. The banks can play a major role in
enabling the required support to the farmers.
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The per capita consumption of chicken meat is also relatively higher
in Kerala. During 2006-07, the effective demand of chicken meat was about
60,000MT. Out of which about 16,200MT (27%) was produced within the
state and the remaining 73 per cent was supplied by the neighbouring
states. The total meat requirement in the state (including mutton, beef,
chicken, pork and others) is estimated at 2.62 lakh tonnes during 2006-07.
As against the demand, about 1.96 lakh tonnes (75%), are produced in the
state and the remaining 0.66 lakh tonnes are brought from other states.
These figures once again highlight the existing potential on further
development.
Earlier, backyard poultry was a part of the rural household economic
activity in Kerala. Though it was promoted during the first three Five Year
Plan periods, due to the entry of commercial poultry, especially larger
availability of broiler, cull birds and quills (weaned male birds), backyard
poultry in Kerala assumed lesser importance. However, recently there is an
increasing enthusiasm for the revival of backyard poultry. Institutional credit
can play a major role in its revival through extending suitable credit support.
As the investment is more eco-friendly, it is likely to get larger importance in
future.
Fisheries
Kerala has a rich history in capture fisheries. However, the fishermen
in Kerala belong to the most backward economic community. In spite of the
mechanization process introduced through Indo-Norwegian project as early
as 1950s the fishermen under the sector remain less modernized compared
to the people in other sectors. The state has rich water resources suitable
for capture fisheries and development fisheries. It has about 590 km coastal
line, inland water spread across 4 lakh ha enriched by 44 rivers and
infrastructure for water storage through 30 major reservoirs and
innumerable ponds and large stretch of brackish inland water bodies.
As per the latest census data, the State has about 2.20 lakh
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fishermen; of which 1.79 lakh, constituting 81 per cent, depend on marine
capture fisheries. And the remaining 19 per cent, 0.41 lakh depend on either
capture fisheries in inland water bodies and a few are also engaged in the
development of fresh water fish varieties and prawns and shrimps. The
fisheries activities are spread over in 222 fishing villages. Among them,
about 113 fishing villages are engaged in inland fisheries and the remaining
109 fishing villages are engaged in marine fisheries. The fishermen
constituted about 8.43 lakh of the state’s population.
The fishermen deploy Mechanized Fishing Vessels (MFVs),
Kattamarams, Traditional Canoes, Fiber Glass Boats with Out Board
Motors (OBMs), a variety of fishing gears, insulated boxes carrying ice and
fresh water containers. Liberal bank credit facilities are extended for the
procurement of these equipment and also to meet the daily operational
expenditure. However, a large number of the traditional fishermen are yet to
make use of the support system for augmenting their productive efficiency
and living standards.
The marine fish production in Kerala recorded sizable increasing
trends. Recently Kerala is the second largest marine fish production centre
in the Indian Union. The ever increasing number of MFVs and
Non-Mechanized Fishing Vessels resulted in larger and unhealthy
competitions resulting in sizable reduction in per vessel fish catch. This has
also resulted in frequent confrontations between the MFV and Non-MFV
operators. The poaching happening during restricted fish breeding seasons
also results in reduction in the availability of various fish varieties.
A perusal of the quantum of fish catch under marine fisheries reveals
interesting results. During the 80s, the annual average was around 3 lakh
MT. It increased to almost 6 lakh MT during the 90s. Subsequently, it
stagnated around 5.5 lakh MT. During the same period, the number of
MFVs increased from 9,914 in 1988-89 to 29,395 in 2003-04. During the
same period, in the case of non-motorized crafts it increased from 24,093 to
26,106. The indiscriminate use of fishing vessels and frequent violation of
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the Marine Fisheries Regulation Act results in depletion of capture per
vessel.
In spite of the large availability of suitable water bodies for
development of inland fisheries, it is yet to take off on a commercial basis in
the state. The inland fish production was about 0.26 lakh MT during the
eighties. It increased to 0.36 lakh MT during the 90s and further increased to
0.85 lakh MT during the subsequent period. Compared to the achievements
made by Andhra Pradesh, there is large scope for further exploitation under
inland fisheries in Kerala. Careful utilization of the rainwater and
eco-friendly development programme without polluting the local
environment will give rich dividends under inland fisheries development.
Bank credit can also play major role in such developments.
Infrastructure Availability
For accelerated development of Agriculture & Allied Activities,
certain essential infrastructure and support services are required10.
Availability of appropriate technology with regard to quality seeds and input
production, efficient management of irrigation, efficient farm machineries,
well developed farm lands which can properly harvest the rain water and
recharge groundwater, proper storages for the agriculture produce, suitable
cold storages and supply chain system for perishables, proper harvesting
yards, transportation, markets, information dissemination centres and
service providing agencies/professionals to address the unexpected crisis
due to crop diseases, insects attack, fall in prices, bulk production, etc. In
order to meet the above, a well defined extension system is required.
In Kerala, Agricultural University and Dept. of Agriculture are the
Nodal Agencies to carry out research, teaching and extension on the
subject. At each panchayat level there is a Krishi Bhavan functioning with a
qualified Agricultural Officer and other staff for technical guidance. Often the
state is highlighted as a role model11. Their efforts are further supplemented
by the various institutions and forums such as Coconut Development Board,
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Tea Board, Coffee Board, Rubber Board and Spices Board, Krishi Vikasa
Kendras (KVKs), Farmers Clubs initiated by NABARD, the initiatives by
Co-operative Sector, emerging concepts under Self-Help Groups (SHGs) &
their Federations , Farmers Organizations/ Marketing Forums, etc.
The Primary Agricultural Credit Societies (PACS), Agricultural
Produce Marketing Co-operative Societies, the branches of Commercial
Banks, Co-operative Banks, Regional Rural Banks, etc also extend a
variety of support systems to the farmers like Kissan Credit Card (KCC),
information on market prices and distribution of major inputs, collection of
items like milk through well spread co-operative collection centres, sharing
information on larger markets, etc.
Project Specific Support System
In addition to the above mentioned infrastructure support for the
development of agriculture, government periodically introduces certain
projects for strengthening agriculture. A few important such ongoing
projects in Kerala are briefed below.
In order to mitigate the distress among the farmers, Govt. of India
(GoI) had identified three distress districts in Kerala during 2006 and
introduced the concept of watershed development project in these
districts. Under the project, a family-based livelihood in the command
area of a watershed is addressed with grant and credit assistance. A
technology package is given and supported with loan development
activities for retaining the soil moisture, intensifying the cropping
intensity and for cultivation. The projects initially introduced in
Kasargod, Wayanad and Palakkad districts were subsequently
introduced to all districts having potential for the development of
watershed projects. Successful implementation of these projects
with people’s participation, it is hoped, will accelerate the process of
economic development in the project area.
The GoI has also introduced in 2006 a special package
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programmeme for farmers in distressed districts in Indian Union. In
Kerala, three districts, viz. Palakkad, Wayanad and Kasargod
benefited out of the project. Under the project special allocation was
made for the development of Check Dams and other Minor Irrigation
(MI) instruments. For better management of irrigation, sprinkler and
drip irrigation were promoted. Special package programmemes for
Horticulture Development, Farm Extension Services and a host of
supplementary income generating activities were also promoted.
For increasing the capital formation process under agriculture and
especially by the public sector, GoI has introduced Rashtriya Krishi
Vikas Yojana (RKVY) during XI Five Year Plan period. Among the 56
districts identified for special focus, both Wayanad and Palakkad
from Kerala were included. Out of the total budget of ` 5,000 crore,
about ` 1,500 crore was earmarked for 2007-08. Govt. of Kerala
(GoK), of late, is preparing suitable projects for the above two
districts.
Realising the importance of increasing demand on fruits and nuts in
the country, GoI framed a special mission called National Horticulture
Mission to address accelerated growth under this sector. Banks are
advised to give liberal credit and GoI gives incentives for the farmers
for both intensive and extensive cultivation of horticultural crops. In
Kerala, the State Horticulture Mission started functioning from 2005
onwards. Its programmeme cover crops such as mango, banana,
gooseberry, pineapple, pepper, ginger, turmeric, nutmeg, cashew,
coco, medicinal plants, flower crops, mushroom, bee keeping and
vegetable cultivation. Under this programmeme, all need-based
extension network is offered by Vegetable and Fruit Promotion
Council of Kerala (VFPCK). The agency imparts training and
handholding services for the cultivation of banana, pineapple and
vegetables.
For addressing the development programmemes and specific issues
under Sericulture, GoK has instituted Sericulture Federation
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(SERIFED). The agency takes care of farmers’ requirement for the
cultivation of mulberry, rearing cocoons, spinning and weaving.
For the development of need-based infrastructure under agriculture,
GoI has introduced a variety of credit-linked promotional schemes for
the construction of rural warehouses, development of suitable
infrastructure for marketing of agricultural produce, for setting up and
development of cold storages and supply chain systems especially
for the perishables like fruits and vegetable, dairy, poultry products,
etc. Young agricultural graduates were also supported for the setting
up of Agri-Clinics in rural areas for rendering the professional
services and also to provide quality inputs, High Yielding Variety
(HYV) seeds, extending the services of agricultural machineries, etc.
For revitalisation of the plantation crops, viz. pepper, cardamom,
rubber, coconut, cashew, coffee and tea, GoI has formulated a
package programmeme for XI Five Year Plan period with a financial
support of `3,000 crore. The project included re-plantation in 68,000
ha of Pepper involving `476 crore, 5,000 ha under cardamom with
assistance of `60 crore, 50,000 ha under rubber with `450 crore, 3
lakh ha under coconut with an assistance of `1,350 crore, 50,000 ha
under cashew with an assistance of `60 crore, 20,000 ha under
coffee with a support of `160 crore and 35,000 ha of tea with the
assistance of `350 crore.
For the timely technology dissemination at the district level, GoI has
introduced a scheme called “Support to State Extension
Programmes for Extension Reforms”. For this purpose, a new
agency called Agriculture Technology Management Agency (ATMA)
was constituted. It will work at the district level for addressing
research and extension under agriculture with the support of KVKs.
ATMA will serve as a nodal agency for integrating the research and
extension activities and will shoulder the responsibility of translating
research findings to the farmers and commercialization of
agriculture.
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Recently GoK has also constituted a “Debt Relief Commission” for
assuring timely protection of the farmers when a natural calamity
strikes them. The Commission is given various powers under
adjudicatory, conciliatory and negotiating functions for redress of
grievances of the affected farmers and to recommend suitable relief
measures for them. The GoK is also looking forward to help the
farmers with an assured farm gate price for their major crops.
For strengthening the availability of infrastructure in rural area, GoI
has constituted Rural Infrastructure Development Fund (RIDF) in
1995-96 with an initial amount of `2,000 crore. State Governments
are generally eligible for borrowing the fund under RIDF especially
for completing projects under irrigation, rural roads, developing
infrastructure for agriculture marketing, etc. The Finance Department
of GoK submits suitable projects and avail of the credit support from
NABARD. Currently, XIV Tranche is ongoing and so far 2,947
projects with a sanctioned amount of `2,523 crore has been
sanctioned by NABARD to GoK as on 30th November 2008. As
against the sanction, GoK has availed of `1,444 crore, (57%).
GoK is also having a regular system of monitoring the progress of
agricultural sector within the state. Through automated software
called AIMS (Agriculture Information Management System), the
Directorate of Agriculture connects more than 1,500 offices and
1,054 Krishi Bhavans spread across the state. Through regular
collection of field data the directorate brings in timely and efficient
management of the sector.
Summary
The above analysis brings in more hopes with a variety of issues and
problems. The changing cropping pattern in favour of commercial crops
appears to be favourable for the farmers. On the other side, the decreasing
trend in food production especially under the staple food rice is a larger
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threat on food security. The increasing fragmentation of land, higher wage
rates coupled with the ever-increasing input costs make cultivation of most
of the food crops uneconomic. This results in keeping a large portion of the
cultivable land fallow. The alternative job availability and the increasing
urbanisation make scarcity in the supply of agricultural labour. This adds to
the existing confusion. The resource allocation in the state has larger scope
for its judicious allocation. It needs more serious efforts for formulating
concrete and meaningful programmes to address the local area based
development potential12.
In the above context, collective focusing on the following issues by
the developmental agencies assumes importance.
Assurance of remunerative prices to all agricultural produce is
required for encouraging farmers to continue their farming activities.
Currently, farmers have no control on both inputs and the prices of
their produce. This situation needs changes. There should be an
appropriate regulatory authority through which the farm inputs can be
supplied to the farmers at a steady price. Similarly, there should be a
mechanism for plugging the leakages and minimizing the risk due to
climate, pest, diseases and other natural calamities.
The adverse effect of fragmentation of land may be addressed
through contract farming, farming under leased land, group farming,
farming through Farmers’ Club and through SHGs etc.
Modern system of precision farming, farming under green house,
tissue culture, etc may be promoted on a large scale.
Institutional credit availability may be made easier and operation-
wise better user friendly. A larger acceptance of instruments such as
KCC and the use of instruments like ATM in rural areas have to be
added for better professionalisation of farmers.
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Serials Publications, New Delhi .
2. Bio-diversity and Tropical Forests, the Kerala Scenario. Chief Editors, P.
Pushpangathan & KSS Nair (1997). The State committee on Science,
Technology and Environment, Kerala. The Forest Wealth of Kerala, T.K.
Raghavan Nair- P(127)
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4. Irrigation and Agricultural Development in Kerala, M.V. George & N.G.
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10. India 2020, A Vision for the new Millennium, A.P.J. Abdul Kalam with
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