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LATEST NEWS UPDATES | Scale Neutrality in Indian Agriculture -Srijit Mishra & Kaushiki Singh

Scale Neutrality in Indian Agriculture -Srijit Mishra & Kaushiki Singh

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published Published on Jul 21, 2019   modified Modified on Jul 21, 2019
-Working Paper No. 75, July 2019, Nabakrushna Choudhury Centre for Development Studies, Bhubaneswar

This study looks into four broad questions on smallholder agriculture, that is, the marginal and small farm sizes that constitute more than 85 per cent of the operational holdings in India. Are returns to smallholder agriculture sustainable? Is the smallholder agriculture efficient? Does the smallholder have access to formal sources of credit? Is credit provided by formal sources scale neutral? The observation of the study suggests the following. The returns to the smallholder are woefully low to address livelihood sustainability. The contention that the smallholders are inefficient is rejected. Further, the smallholders are the ones who have to rely more on non-institutional sources for their credit requirement and at many a times with a greater interest burden. In addition, the credit provided by formal sources  is  not  scale neutral. This puts us in a difficult policy praxis, as the ones who are efficient cannot sustain themselves and are also subjected to greater burden for their credit requirement.

Please click here to access the study.

Working Paper No. 75, July 2019, Nabakrushna Choudhury Centre for Development Studies, Bhubaneswar, http://ncds.nic.in/sites/default/files/WorkingandOccasionalPapers/WP75NCDS.pdf


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