Presentation Topic: Concept of Agricultural

Diversification in the World

S.NO Contents Page No.
1. Introduction

2. Reasons for Agricultural Diversification

3. Techniques and Advocates of Agricultural

Diversification

4. Determinants of Agricultural
Diversification

5. Pathway and Stages of Agricultural

Diversification

6. Dimensions of Agricultural Diversification

7. Case Studies
i) Sonipat, Haryana
ii) South Asia
8. Horticulture in Himachal Pradesh and
Uttarakhand

9. Impact of Agricultural Diversification

10. Conclusion

11. References
 1. INTRODUCTION

Man has been practising agriculture since ancient times; man

undertook cultivation for his survival or for the settlement of his
family life at the beginning of the human civilization. Since then
man has been practising agriculture. Whenever man has
undertaken the cultivation of crops or rearing of animals he has
faced number of difficulties such as failure of crops, vagaries of
monsoon, lack of irrigation facilities, crop diseases, lack of inputs
and the variation of the prices of agricultural products etc.

In order to escape from these difficulties and to have security in

agriculture, farmers have started to undertake the task of
shifting the crops from loss bearing crop to less loss bearing
crops. To control risk of loss in agriculture, farmers have started
not only to shift the crops from one to another but at the same
time he has undertaken the cultivation of varieties of crops such
as food crops, commercial crops, plantation, horticulture, etc.
Further, to achieve economic well being the farmers have started
non farm activities such as dairy, poultry, sericulture, bee
keeping etc. along with their farming activities. This shift or
change in approach by the farmers in recent time is termed as
‘Agricultural Diversification’.

1.1 Definitions
According to DEFRA (Department of Environment, Food and
Rural Affairs - Britain) Agricultural Diversification can be
defined as “the entrepreneurial use of farm resources for a non-
agricultural purpose for commercial gain”.

International Food Policy Research Institute, “Agricultural

Diversification involves the changes in the production portfolio
from the low-value to high value commodities like vegetables,
milk, meat, eggs and fish based on the market demand that
creates the new horizon for the rural income source”.
Agricultural diversification is the process of structural
transformation of an economy. Diversification in agriculture can
be broadly defined as producing increased variety of agricultural
commodities. It is also referred to engagement in wide range of
agrarian activities such as dairy, poultry, piggery, goatery, sheep
rearing, rabbit rearing, etc.

1.2 Evolution
Historical data on county-level agricultural production and
manufacturing productivity was first ever conducted in United
States in 1860 through census. Whereas, in India it is considered
that Agricultural Diversification as a phenomenon was seen
after ‘Green Revolution’.

Process of
Diversification

Horizontal Vertical
Diversification Diversification

1.3 Process of Diversification

1.3.1 Horizontal Diversification
It is one of the most common phenomena in India. Through this
approach the diversification takes place by adding more crops in
the existing cropping system as a way to improve the overall
productivity of a farm or region’s farming economy, or a shift
from subsistence farming to high value crops.
1.3.2 Vertical Diversification
It stands for the addition of value in the existing cropping
system through processing, packaging and branding or other
efforts to enhance the product value

After analysing all these definitions it is to be realised that

specifically the term agricultural diversification has been used to
note the changes in the crop mix, enterprises mix, and activity
mix at the household level. So the term agricultural
diversification is nothing but a main indicator of changes or
variations that occur in the field and structure of agriculture or
it is an instrument through the help of which we can see the
changes that has been occurring in the agricultural sector.
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2. Reasons for Agricultural Diversification

The need of agriculture diversification is witnessed after the

green revolution due to fluctuation in the price due to demand
and supply equation under the WTO regulation for the market.
In this case agriculture diversification proves to a good shock
absorber in the ups and downs of the market value of the farm
products may ensure economic stability for the farming families.

The agricultural diversification is needed and has become quite

essential because of the following reasons.

1) To face the problems and challenges arising in the

agricultural sector such as ill effects of weather, climate change,
pests, soil infertility, land unproductivity, etc.
2) To attain the socio-economic goals and needs of the society,
viz. employment generation, improvement in standard of living
and income.
3) To take advantages of new opportunities and policies, viz.
globalization, liberalization and privatization.
4) To adjust with the changing domestic demand, supply of food
grains and international trade scenario.
5) To mitigate the adverse food situation and alleviate hunger
and malnutrition.
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3. Techniques and Advocate of Agricultural

Diversification
Many of the scholars have given more importance to the study of
diversification of cropping pattern in an economy. The
techniques and formulas of measuring diversification have been
developed by various scholars through different case studies and
research works.

3.1 Techniques
3.1.1 Gibbs and Martin’s Technique - 1962

Formula:-

Here x is the percentage of total cropped area occupies by an

individual crop. According to this method crop diversification
varies between 0.1 to 0.9. This method is directly related to
magnitude of diversification. Here higher the index higher the
diversification and lower the index lower the magnitude of
diversification.

3.1.2 Bhatia’s Technique – 1965-66

Formula:-

Where x crops are those crops that individually occupy 10 per

cent or more than 10 per cent of the total cropped area in the
study region. This formula is inversely related with the
magnitude of diversification. Here higher the index lower is the
diversification and vice versa.

3.1.3 Singh’s Technique – 1976

Formula:-

According to this method, the index of crop diversification is

obtained by summing up the harvested area of those crops which
are having 5.0 per cent or more than 5.0 per cent area to the
total harvested area. Thus, this formula is also inversely related
with the magnitude of crop diversification. Higher the index,
lower the magnitude of crop diversification and lower the index
higher the magnitude of crop diversification. In this formula, N
crops are those crops which individually occupy 5 per cent or
more than 5 per cent of the total harvested area in the study
region.

3.2Advocates
3.2.1 Dhawan and Kohlan
It shows that diversification of agriculture not only provides
more employment to the people but also helps in increasing the
productivity of land.

3.2.2 R. K. Dhabai
In his work points out that diversification of crops depends upon
the development of new seeds, fertilizer and the irrigation
facilities.

3.2.3 S. P. Shing
His works indicate that farmers were practicing diversification
and the scope for diversification of food grain with vegetable
fruits and flowers were observed to be vast both in terms of farm
profitability and employment of labour.
3.2.4 K. V. Subrahmanayam and M. Sudha.
They confirm that the small size cultivators are aware of the
potential of horticultural crops in enhancing their income.
If they are provided institutional credit facilities and new
technology they diversify their farm through horticultural crops.

3.2.5 Acemoglu and Zilibatti

Risky projects with high returns are only carried out when
economies have possibility of entering a wide array of projects;
higher diversification goes hand in hand with a higher expected
rate of return.

3.2.6 Bryan Dorsey

He showed that diversified production provides small holders
with an opportunity to select the particular crop or crops for
commercial production in order to increase farm generated
income while meeting increasing demands for local farm produce
and export crops.
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4. Determinants of Agricultural Diversification

As the physical and socio-economic factors are the most

important in controlling the agricultural practices in any region,
so the study of determinants of agriculture diversification enable
us to know the dominating factors in a particular region who
control the agriculture practice. Moreover, it helps us in knowing
the contemporary competition among crops. Forces that drive
agricultural diversification in a particular socio-economic set up
may be different in another set up. Tsai-Feng Hsiao has
classified the factors which contribute for agricultural
diversification.

4.1 Food Consumption Pattern

The increase in the per capita income has caused a great change
in food consumption pattern. People tend to consume more food
of higher nutritional value as they can afford to spend more for
food. Thus the consumption of meat, fish, egg, milk, vegetables,
fruits and beans increases the market demands for food
diversification accordingly and contribute to the diversification
of agricultural production. The trends have seen change in
consumption pattern has cereals consumption tends to decrease
from 54% (2001) to 46% (2050), however meat and seafood fish
have seen a considerable rise of 62% and it’s assumed that milk
and egg consumption will also increase with each passing year.

4.2 Agricultural Export

The export of agricultural products to the foreign countries will
bring attractive remuneration to the farmers and to the nation.
As a result, farmers will undertake the varieties of crops
cultivation which will lead to diversification in agriculture. Thus
the increase in agricultural export contributes to agricultural
diversification. According to Agricultural and Processed Food
Products Export Development Authority, in India Fruits and
Vegetables exports account for 1.469.33 USD Millions, output
Livestock Sector (milk, egg, meat, poultry) since 2004 has seen
4% growth increment and Floriculture exports account for 81.94
USD Millions.

4.3 Technological Progress

Introduction of crop varieties from other countries have resulted
in a wide range of crops available for farmers to decide what to
grow. Moreover, the success of breeding, early maturing
varieties made it easier to adjust diversified cropping system of
shift farm crops so that land could be used more intensively.
Example: - The Caribbean Coast which was known for Banana
plantation, in 1920 the plantation got infested by Panama
disease so through genetic breeding in 1950 Gros Michel widi
Cavendish (Banana species variety) was introduced in the coast
which was immune to the Panama disease.

4.4 Availability of Labour

The availability of cheaper labour in agriculture sector helps the
farmers to undertake the cultivation of short duration crops as
well as the horticultural and plantation crops. Hence, it is the
labour which helps the farmers to undertake the cultivation of
varieties of crops in agriculture. Thus labour is also contributing
to the agricultural diversification. Example: - Many of the
cultivators of Western Uttar Pradesh (Saharanpur and
Muzaffarnagar districts) have given up the cultivation of rice
owning to non-availability of workers at the times of harvesting.

4.5 Availability of Cheaper Credit

Institutional credit has been provided through agricultural
banks and the credit division of farmers associations. Borrowers
of these loans sometimes pay no interest or low interest, with
government subsidies. The agricultural credit system has helped
farmers adopt new technologies to utilise their farm resources
more efficiently. That will help the farmers to diversify their
agriculture. In 2018 the Indian government started the Pradhan
Mantri Annadata Aay Sanrakshan Abhiyan which provides
farmers with the Kisan Credit Card and Price Support Scheme.

4.6 Research and Educational Institutions

There are many research institutions administered by the
government private institutions and NGO's. They have helped to
develop new production techniques and supply agricultural
workers. Many improved varieties and new agricultural
production technique were developed from these institutions. In
addition to the research work, these institutions also conduct
some intensity programmes. So most of the farmers receive
primary education, they are able to learn non traditional
agricultural production techniques which helps to diversify the
agriculture. Across the world there are many research
institutions like International Maize and Wheat Improvement
Centre (Mexico), International Food Policy Research Institute
(USA), International Potato Centre (Peru), International for
Tropical Agriculture (Columbia), International Livestock
Research Institute (Kenya), and Indian Council of Agricultural
Research (New Delhi), etc.

4.7 Local Farmers Associations

The local farmers associations play very important roles
providing various kinds of services needed by farmers. The local
farmers associations provide integrated multiple services such
as credit services, supply and marketing services and extension
services. These services have made farmers more receptive to
new technology, which contributes to agricultural diversification.
An example of such association is Northeast Organic Farming
Association (USA).

4.8 Marketing and Processing

Marketing is important to realise a reasonable profit for
farmers. Efforts have been made to make the amount of farm
products marketable at reasonable prices. It will induce the
farmers to undertake the cultivation of varieties of crops.
Moreover most of the farm products are perishable, improved
techniques facilities of storing and processing have been
strengthened to reduce the seasonality in the supply of farm
products, and to encourage farmers to produce new products,
which is a relatively risky and uncertain venture. It is necessary
to guarantee the price to farmers for variety of crops and the
transport facilities are made available to more diversified
agricultural products to places where they are needed. In
1977-79 Western Uttar Pradesh shifted from sugarcane to
potatoes and cereal cultivation but attractive prices in market
motivated back them to sugarcane.

4.9 Extension of Irrigation Facilities

There is still a need to build more irrigation systems in many
countries since water availability is the key factor that dictates
whether or not diversification is feasible. To diversify agriculture
there should be more and more irrigation facilities because it is
irrigation which is the most important factor that contributes to
the diversification of agriculture.

4.10 Availability of Inputs

Inputs are a must in agricultural diversification. Any
diversification programme should therefore, include a scheme for
distributing inputs like fertilizer and pesticides to ensure that
farmers get them at the right time. The use of irrigation water
should also be monitored so that during period of low water
levels, this can be shared or rotated among farmers.
4.11 Other Factors
There are some other factors which are also contributing to the
diversification of agriculture. They are Climatic conditions, Type
of soil, Rainfall, Supply of power, Availability of warehousing
facilities, Change in the outlook of the farmers, Change in the
life style and standard of living of the farmers, Fear of famines
and droughts, Growth of Agro based industries, Government
policies towards agriculture.
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5. Pathway and Stages of Agricultural Diversification

5.1 Pathway of Diversification

 Bryan Dorsey "Agricultural Intensification, Diversification and
Commercial Production”
5.2 Stages of Agricultural Diversification
As quoted by (Chaplin, 2000) the process of diversification of
agriculture may pass through four stages.

1. At the first stage the cropping system shifts from monoculture

to multiple cropping. This phenomenon generally occurs in the
developing countries and most of the third world countries are
under this category.
2. At the second stage the farmers start more than one
enterprise. For example crops and animal husbandry, beside the
number of crops in a year is more than one.
3. At the third stage there is initiation of mixed farming.
4. At the fourth stage of diversification the activities which are
incorporated are beyond the agricultural domain such as adding
the value through the processing, packaging and producing by
products e.g. jam, pickles etc.
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6. Dimensions of Agricultural Diversification

6.1 Dimensions

Agricultural diversification has either of the following

dimensions:-

a) A shift from less profitable crop to more profitable crop i.e.

‘crop diversification’: - It indicates the farmer’s response towards
variations in price and their efforts to adjust to change in the
marketing conditions.

b) A shift from traditional farm to modern non-farm activities: -

It is nothing but the diversification of rural economy

c) Use of resources in diverse but complementary activities: - It

refers to a stock on the system and exploitation of unemployed
resources which would raise their income levels.
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7. Case Studies
7.1 Agricultural Diversification – An Opportunity for
Smallholders by Pravin Kumar and Sunil Kumar
 (A Case Study of Sonipat District of Haryana)

7.1.1 Introduction

Agricultural diversification may be considered as diversification

of resources from low income generating crops to high income
generating crops. In developing countries like India, starts with
a gradual shift towards diversification. At the time independent,
India was suffering with serious problem of food insecurity and
with less developed market and primitive technology was
responsible for low growth and high variability in agricultural
sector. But after 1990s with emergence of World Trade
Organization (WTO) and liberalization of trade create new
opportunity for growth in the agricultural sector and major
emphasis was given to the production of high value commodities
crops. India, in context of rural areas the percent share of HVCs
in the total food spending has increased up to 39 percent in
1991-2000 from 31 percent in 1983 and in urban area it has
increased up to 50 percent in 1991-2000 from 41 percent in 1983.
High growth of urbanization with increase in per capita income
is the main reason behind the shift in the consumption pattern
towards HVC like fruits and vegetables. However, technological
advances in communication, logistics, and marketing system
have induced supply-side growth of non-food crops. Therefore,
diversification of agricultural sector towards HVCs is
recommended as most feasible way to increase employment
opportunity, raise income at farm level and to maintain the
sustainability for long term conservation of natural resources. It
is observed that the demand and supply of these HVCs have
increased faster than those of food grains. The share of these
commodities in the total expenditure on food increased from 23.8
percent in 1977-78 to 35 percent in 2003 for rural consumers and
from 32.2 percent to 41.55 percent for urban consumers which
show a shift in the consumption pattern from cereal crops to
these HVCs crops.

7.1.2 Need of the Study

The present research work focus on the state of Haryana as one

of the leading states in the country in producing wheat and rice.
About 51 percent of the state population is engaged directly in
agriculture activity (Haryana State Agricultural Policy, 2010).
But in Haryana and even in India the percent of small and
marginal is so high and they are not getting the benefit of green
revolution because under Green Revolution the emphasis was on
the expansion of chemical fertilizers, HYV seeds and high farm
level technology. So the small and marginal farmers were not
the target group and another reason is small land holding and
the cost of cultivation would not match with what they will get.
So there is a need to understand the extent of diversification of
this group of farmers and what problems or constraints they
faced due to their diversifying nature of production.

7.1.3 Objective and Methodology

1. To examine the extent of agricultural diversification in the

study area
2. To analyze the constraints and potential of agricultural
diversification that affects the famers.
3. To give appropriate suggestion for the sustainable growth of
smallholders in the study area.

Methodology:-
 Use of Primary and Secondary data.
 Sample households were selected through the process of
stratified random sampling technique based on the list of
farmers obtained from the village patwari. Furthers
farmers were categorized into different sub-categories as
marginal farmers (less than one hectares), small (between
 1-2 hectares), medium (2-4 hectares) and larger (above 4
hectares).
 Use of Herfindahl Index Method and Perception Based
Method.

7.1.4 Study Area

Study Area Location Map

7.1.5 Result and Discussion
Table 1 show that the cropping pattern of the selected farmer’s
household of three villages namely Aterna, Pabsra and Manoli.
In Aterna village farmers are more diversified toward baby corn
crop with an area of 22.67 hectares whereas in Pabsra and
Manoli village farmers are diversified towards the production of
vegetables crops mainly for daily uses. The main advantage of
these crops is their cultivation in both Rabi and Kharif season
with maximum profit gain than wheat and rice.

The figure 2 indicates that in all three selected villages, the

farmers who owned land below two acres put maximum percent
of their gross cropped area (GCA) under HVCs, but their
horizontal extent of diversification is not so high because they
put maximum percent of their GCA under only one commercial
crop. Whereas in case of farmers who owned land above two
acres generally grow more than one or two high value
commodities crops because they are more flexible in terms of the
size of their land holding.
The figure 5 shows the intensity of benefit variation under
different crops. The graph indicates that the proportion of
income from HVCs like baby corn, bhindi and sweet corn are
very high amongst the smallholders owning land below 4 acres
as compared to larger farmers where the high proportion of
income comes from wheat and paddy crops. Moreover, the
farmers owning land between 2 to 4 acres are getting higher
proportion of their total income at farm level from HVCs which
vary from 70 percent in Aterna (from baby corn crop), about 44
percent in Pabsra (from crops like Bhindi, Bakla and Sem) and
around 70 percent in Manoli village (from crops like sweet corn,
Bhindi).
7.1.6 Possible Constraints
7.1.7 Conclusion and Recommendation
It is found that the nature of diversification in the studied
villages are more in a generalized way as most of the farmers
are either diversified or in the process of being diversified.
However, there is neither complete diversification nor complete
concentration. Whereas, the farmers owning land between two to
four acres are more access to facilities like formal credit,
agricultural training programme and showing more horizontal
extent of diversification which means that these kind of facilities
have their crucial role in the process of diversification. Moreover,
it can be observed that the net income per household at farm
level is much better of diversified farmers than that of non-
diversified farmers. The high relative profitability may be one of
the reasons for being diversify their cropping pattern.

Recommendations

1. There is a need to motivate farmers through regular “Kisan

Mela” with the support of local agricultural institution where
farmers should be trained or advice for practicing the cultivation
of HVCs.
2. There is a need to stabilize the market price to make farmer’s
decision in favour of putting more areas under HVCs.
3. Technological development in terms of providing low cost good
quality of hybrid seeds which can restraints the risk of weeds
and other disease in case of HVCs like baby corn, bhindi, and
other vegetables etc.
4. There is a need to establish linkages between the producer
and the end consumer via establishment of agro-processing unit.
For this purposes government need to support the public private
partnership (PPP) with some compensation to attract the private
players.
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7.2 AGRICULTURE DIVERSIFICATION IN SOUTH ASIA by

P.K. Joshi, Ashok Gulati, Pratap S Birthal and Laxmi Tewari

7.2.1 Introduction

Most of the South Asian economies have been undergoing a

process of economic reforms since the late 1980s. They are
gradually adopting trade liberalisation as a policy plank. The
unfolding globalisation of agriculture, however, has thrown new
challenges and opportunities to the agrarian sector in these
countries. Agricultural diversification seems to open up a
window of opportunities when South Asian agriculture is
experiencing shrinking size of its holdings, decelerating
technological advances in staple crops, declining investment in
agriculture and increasing degradation of natural resources.

7.2.2 Objective

(i) Examine the extent, nature and speed of agricultural

diversification in South Asian countries.
(ii) Identify determinants of agricultural diversification
(iii) Assess implications of agricultural diversification on food
security, employment and sustainable use of natural resources.

7.2.3 Determinants of Agriculture Diversification

These are broadly classified as Demand side forces and Supply

side forces. The demand side forces that have been hypothesized
to influence the diversification include per capita income and
urbanization. On supply side forces, the diversification is largely
influenced by infrastructure (markets and roads), technology
(relative profitability and risk in different commodities),
resource endowments (water and labour), and socio-economic
variables (pressure on land and literacy rate).

7.2.4 Study Area

The study covers a period of two decades from 1980-81 to 1999-

2000. There were two obvious reasons for studying the past two
decades. First, the historical evidence showed that the impact of
green revolution in South Asian countries was gradually fading
during the 1980s. Second, the process of economic reforms
started in most of the South Asian countries in the late 1980s or
early 1990s, and also most of them bound themselves to the
commitments under the WTO, which is likely to have serious
implications for their respective agricultural sectors.

7.2.5 Patterns
Agricultural performance in South Asia is improving over time.
The annual compound growth rate of agriculture was 3.7%
during 1990s as against 3.2% in 1980s. Besides continuing role
of high-yielding rice and wheat varieties in South Asian
countries, the agricultural growth is attributed to diversification
in favour of high-value commodities. South Asia is diverse in
climate, soils and other agro-ecological features. Diversity
permits South Asian farmers to cultivate variety of crops, rear
different species of livestock and catch wide range of fish species
from various sources. The Simpson Index of Diversity (SID) for
South Asia was 0.64 in 1999-2000, up from 0.59 in 1981-82 .This
shows that South Asia is gradually diversifying its crop sector in
favour of high value commodities, especially fruits, vegetables
(Tables 1). Among countries, Bangladesh, Bhutan and Nepal
show less diversity as compared to other countries. Bangladesh
has specialized in rice. Nepal and Bhutan are aiming to have
higher degree of self-sufficiency in basic food grain than what it
is today, and therefore, concentrating more towards cereals,
particularly rice, wheat and maize.

7.2.6 Implications
Several benefits of agricultural diversification are reported in
the literature. In the short run these are (i) shifting consumption
pattern, (ii) improving food security, (iii) increasing income,
(iv) stabilizing income over seasons, (v) generating employment
opportunities, (vi) alleviating poverty, (vii) improving
productivity of scare resources (e.g. water), (viii) promoting
export, (ix) improving environmentally sustainable farming
systems through conservation and enhancement of natural
resources.
 Per capita consumption pattern of food items
(kgs/person/annum)

7.2.7 Conclusion

The study diagnosed the status of agricultural diversification in

South Asian countries. Detailed investigations were carried-out
for India to examine the determinants of diversification. The
results of the study revealed that agricultural sector in South
Asia is gradually diversifying in favour of high-value
commodities, namely fruits, vegetables, livestock and fish
products. Much of the diversification came, if at all, with only
little support from the governments. It was because food security
issues are still critical in the sub-continent and government
policy is still obsessed with self-sufficiency in cereals, which
presumably contributes to a large share of area still being
allocated to cereal crops. Countries like Bangladesh, India and
Sri Lanka have achieved food self-sufficiency at the national
level, but the emphasis is still focused towards increasing
production of rice and wheat. Countries, like Bhutan, Nepal and
Pakistan, which are still deficit in food grain production making
serious attempts in augmenting their production. Production of
fruits, vegetables, livestock and fish products have increased
remarkably in most of the South Asian countries. Due to their
low share in gross value of agricultural output, the silent
revolution was unnoticed. Despite focusing efforts towards food
grain production, a silent revolution is witnessed in high-value
commodities. Production of fruits, vegetables, livestock and fish
products have increased remarkably in most of the South Asian
countries. Due to their low share in gross value of agricultural
output, the silent revolution was unnoticed. The production of
these commodities was demand-driven, which is unlike the
supply-driven ‘green revolution’.

8. Horticulture in Himachal Pradesh and Uttarakhand

8.1 Himachal Pradesh

Himachal Pradesh has been endowed with a wide range of agro

climatic conditions due to which a large number of horticulture
commodities like fruit crops (from temperate to sub tropical),
flowers, vegetables, mushrooms, hops, tea, medicinal & aromatic
plants etc. are successfully grown here.
Furthermore, in Himachal Pradesh the cultivation of fruits and
vegetables has increased from 5.22% in 1982-83 to around 10%
in 2004-05.

However, Horticulture in the state has led to positive outcomes

in employment wages and poverty reduction, as the agricultural
employment has increased from 0.9% in 1983 to 28% in 2009-10.
And, to facilitate crop diversification and organic farming
Himachal Pradesh Horticultural Produce Marketing and
Processing Corporation was established in 1971.

8.2 Uttarakhand

Uttarakhand is known for its horticultural crops, which include

fruits, vegetables, off-season vegetables, floricultural crops,
medicinal and aromatic plants.
Area, Production and Yield of Horticultural Crops in
Uttarakhand during 2010-11
Horticulture is one of critical sectors in the economy of the hill
state of Uttarakhand. It provides much needed opportunity for
diversification and increased employment in the state where the
scope of high rate of growth in conventional agriculture is rather
limited due to peculiar topography and majority of scattered and
marginal holdings.

Uttarakhand shared 2.81 per cent of all India area under fruits.
The proportion in production was around one third. It was due to
poor level of productivity in the state. The share of Uttarakhand
in all India area of vegetables was negligible and around 1 per
cent during 2010-11 while proportion in production was less
than 1 per cent.

Floriculture is emerging as a potential sub-sector of horticulture

in the state of Uttarakhand. It shared 0.63 per cent of all India
area under flowers while contributed only one-third of this to the
production.
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9. Impact of Agricultural Diversification

9.1 Positive Impact
a) Shifting consumption pattern :-
b) Improving food security
c) Increasing and Stabilizing income over seasons
d) Generating employment
e) Alleviating poverty
f) Improving productivity of scare resources
g) Promoting export
h) Value addition from the agricultural output through
branding, processing, packaging, etc of the agricultural
output.

9.2 Negative Impact

a) Significant financial outlay, it is the total cost incurred in
acquiring various agricultural inputs which can lead to a
financial predicament for the farmer.
 b) Can often increase risk due to increased demand on time,
management skills and other resources
c) Increased workloads with subsequent less ‘free’ time
leading to increased stress and inability to meet outside
responsibilities
d) Potentially significant negative financial and social
consequences if fails or affects the core farming business
e) Difficulties associated with marketing and distribution of
the new product and unfamiliarity with the new supply
chain.

__________________________________________________________

10. Conclusion

When we study various agricultural diversification theories

which have been formulated by eminent scholars of different
disciplines through the case studies from time to time they
generally indicate that the agricultural diversification is quite
essential. Without that the growth of agriculture is not possible.
Agricultural diversification may be used as a means to increase
income, employment and production in the agriculture sector. It
can be also used as a weapon to eradicate poverty and improve
the standard of living of the farmers. In all, agricultural
diversification helps the nation in achieving its socio-economic
goals. Furthermore, the United Nations Food and Agriculture
Organization (FAO) has been one of the development
organizations promoting diversification by small farmers and
has produced booklets identifying beekeeping, mushroom
farming, milk production, fish ponds and sheep and goats,
among others, as diversification possibilities.
____________________________________________________________
 11. References

 https://shodhganga.inflibnet.ac.in/bitstream/10603/142463/
10/10_chapter%202.pdf
 https://www.sciencedirect.com/topics/agricultural-and-
biological-sciences/agricultural-diversification
 https://editorialexpress.com/cgibin/conference/download.cgi?
db_name=NEUDC2013&paper_id=446 –‘Agriculture
Diversification and Economic Development’
 https://pdfs.semanticscholar.org/bf01/9d6441686d6c570599
e4bad0dbd68e0f046d.pdf-
‘Agriculture Diversification - An Opportunity for
Smallholders’
 https://www.jstor.org/stable/4415148?read-
now=1&seq=1#page_scan_tab_contents – ‘Agriculture
Diversification in South Asia’
 https://en.wikipedia.org/wiki/Agricultural_diversification
 https://hds.hp.gov.in/GeneralpageWithTemplate.aspx?key=
PROJKEY0003
 http://shm.uk.gov.in/pages/view/19-profile
 https://www.jagranjosh.com/general-
knowledge/agricultural-research-centers-in-world-
1321867909-1
 http://apeda.gov.in/apedawebsite/six_head_product/floricult
ure.htm
 https://www.ncbi.nlm.nih.gov/pmc/articles/PMC2935122/
 Agricultural Geography – Majid Husain (Book)
 http://www.hpenvis.nic.in/Database/Horticulture_4022.asp
x
 http://shm.uk.gov.in/pages/display/6-state-profile
 http://du.ac.in/du/uploads/Academics/centres_institutes/Agr
icultural_Eco/18.2013-
Baseline%20horti_Uttarakhand%20Usha.pdf – ‘Baseline
Data on Horticultural Crops in Uttarakhand’