Facts Noncash
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Rural Artisans
2.14 As per the Draft Plan 1978-83 (revised), the traditional rural
industries like khadi, village industries, handlooms, sericulture, coir
and handicrafts provided employment to 14 milUon persons in
1977-78 and the value of their production aggregated Rs. 2,125 crores.
They accounted for about 5.5 per cent of the total contribution by the
manufacturing sector to the net domestic product. The present position
is that like the agricultural labourers, the rural artisans also lack
improved or modern productive assets, though they possess some basic
skills. An additional factor is the lack of an assured market for their
goods. Consequently, the rural artisans have to rely on wage employment
to some extent. Though they may require consumption credit
initially and during some periods, their real need is for investment
credit[i.e. credit for acquiring modern productive assets) supported
by input supplies and marketing facilities. In addition, they are in
need of some services the provision of which is the responsibility of
Governments, both Central and State. The major task consists of
(z) supply of raw materials, {ii) introduction of designs based on
market preferences and consumer research, {Hi) introduction of
improved tools, {iv) upgrading of skills through training and {v)
marketing arrangements and export promotion.
Agriculture
8.7 Organisations of relevant services which would help small and marginal farmers and
sharecroppers to derive economic benefits from new technology and diversification of
farm income through mixed farming, agro-industries and small scale industries are two o
the major thrusts of the agricultural Plan. The effective implementation of this
programme will call for greater efforts in the field of scientific land and water use
planning and in linking production with processing, storage and marketing. Improved
management through a flood of cash and non-cash inputs will have to be achieved. Both
internal and external markets will have to be properly served through well-planned
linkages be^een co-operative marketing federations, Civil Supplies Corporations and
'foreign trade agencies. Structured linkages involving forward planning will have to be
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developed among the concerned agencies. Scientific management of agriculture will
require a highly orchestrated effort in policy formulation and implementation on a part o
the agencies concerned with the development of packages of technology, services and
public policies. Both at the Siate and national levels, this aspect will have to receive
attention if the desired growth rates in agricultural production and exports are to be
achieved
http://planningcommission.nic.in/plans/planrel/fiveyr/6th/6planch8.html
Agricultural input projects must provide inputs that are
technologically feasible in the small farmer's environment. Often
they are too advanced for the farmer's resources and knowledge
base or too complicated for the local system of transportation
and communication to support. Delivery of the agricultural
inputs must be timely. Many inputs must be completely written
off if they are not available at the proper time in the season,
and concern about this possibility of failure may inhibit farmers
from experimenting with new inputs even where delivery problems
have been resolved. Utilization of the inputs must result in a
marketable, profitable product for the farmer, which means that
inputs must be coordinated with the overall farming system and
supportive price and economic policies at the national level.
For agricultural marketing projects, services must be
appropriate to the systems available in the user's environment.
This might be collecting crops at the farm gate, handling small
increments, and providing assistance with crop drying and
storage. The market services must be timely. Most farmers,
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especially in the tropics where risks of spoilage are high,
prefer an immediate sale to a private trader over a later sale to
a government agency, even when a higher price is offered. Yet
marketing the crops must result in a profit if the incentive to
produce is to be maintained. The two most frequent causes of
price problems are government policies and seasonal volatility
caused by short-term supply considerations.
http://pdf.usaid.gov/pdf_docs/PNAAL079.pdf
1. Agricultural input programs must provide farmers with inputs
that are appropriate. Many programs have introduced
technologies that were too advanced for the farmers'
resources and knowledge base, not profitable under the
farmers' own conditions, or too complicated for the local
system of transportation and communication to support.
2. Delivery of the agricultural inputs must be timely. Many
inputs must be completely written off if they are not
available at the proper time in the season. Concern about
this possibility of failure may inhibit farmers from
experimenting with new inputs, even where delivery problems
have been resolved.
3. Utilization of the inputs must result in a marketable,
profitable product for the farmer.
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Timeliness is particularly importantwhen biological processes and farmer decisionmaking aredependent on capricious monsoon rains. The more complex thetechnological package and the greater the number of off-farminputs required, the more dependent the farmer becomes on theefficiency of input delivery services.
PAGE 28
PAGE 37-38
http://www.jstor.org/stable/pdfplus/3211741.pdf
http://www.worldbank.org/afr/fertilizer_tk/documentspdf/GregoryOnVouchers.pdf
http://www.agnet.org/library/eb/551/
http://pdf.usaid.gov/pdf_docs/PNAAL079.pdf
http://www.rbi.org.in/Scripts/bs_viewcontent.aspx?Id=1270
In the absence of government extension service, farmers are advised by input traders leading to an increase in inpucosts through supplier-induced-demand.
Input quality: Inputs in the form of seeds, pesticides and fertilisers sold to farmers could be of spurious qualityThere is no regulatory mechanism. We came across situations where farmers were advised by traders to gin for a third sowing a case of supplier-induced-demand. The private traders should be regulated. Loca
non-governmental organizations (NGOs) can be involved in regulating the private trader.
http://www.igidr.ac.in/suicide/ExecutiveSummary_SFM_IGIDR_26Jan06.pdf
http://rbidocs.rbi.org.in/rdocs/PublicationReport/Pdfs/55259.pdfvyas committee report