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  • ThesisItemOpen Access
    Income and inequality among farm households in Punjab
    (Punjab Agricultural University, Ludhiana, 2021) Saini, Rohit; Manjeet Kaur
    The present study was conducted to examine the farm-size productivity relationship, level of income, extent of inequality and to decompose sources of income inequality among farm households in Punjab. The study was based on the data of National Sample Survey Organization (NSSO) 70th round. The data pertained to the agricultural year 2012-13. The results revealed that majority of the farm households in Punjab belonged to general category (84.41%) followed by OBC (9.32%) and SC/ST group (6.28%). The average family size of the farm household was 5.49 members. There were around six per cent of the farm households headed by female members. The average operational holdings across different farm-size categories were 0.47, 1.40, 2.76, 6.00 and 14.81 hectares for marginal, small, semimedium, medium and large farms, respectively. The wheat and paddy were two main crops of rabi and kharif seasons, respectively. Farm-size and productivity analysis was conducted at two levels i.e., crop-wise analysis for wheat crop and farm level analysis for kharif, rabi and all crops. Farm-size and input use relationship was also studied. There was positive and significant correlation between area under the wheat crop and productivity. For kharif crops, the farm-size and productivity relationship between productivity and cropped area was found to be significant and positive. Same results were observed for rabi crops and all crops. Farmsize and input-use relationship was positive for fertilizers, plant protection chemicals, hired labour, diesel while negative for hiring machinery. The main source of farm household income was crops (81.89%), followed by salaries (8.67%), livestock (6.61%) and non-farm business (2.32%). The distribution of income among farm households was highly skewed. The Gini coefficient was estimated at 0.50 among the farm households. Using Theil index, it was analyzed that the inequality within farm-size categories (0.27) was higher than the inequality between categories (0.18). Livestock came out to be inequality decreasing factor in overall decomposition as well as intra class decomposition of income inequality. Cooperative farming, strengthening of dairy sector, promotion of agro-processing industries and establishment of skill development centers were suggested policy implications of the study.
  • ThesisItemOpen Access
    An economic analysis of investment pattern on Punjab farms
    (Punjab Agricultural University, Ludhiana, 2017) Saini, Rohit; Raj Kumar
    Indian agriculture has been completely transformed from subsistence farming to a business entity and Punjab is central point of this transformation. Farming as a business requires constant investment. To study the investment pattern on Punjab farms, a sample of 150 farmers was taken and 23, 28, 46, 43 and 10 farmers were selected from marginal, small, semi-medium, medium and large farm size categories respectively on the basis of the probability proportion to size (PPS). All the farm assets on which the farmers have invested and various factors which affected farm investment were worked-out. The items of investment in agriculture were broadly classified under machinery and implements, farm buildings, irrigation structures and livestock inventory. It was found that the larger share of investment was made in machinery and implements (44.05%) followed by farm buildings (22.58%), livestock inventory (20.81%) and irrigation structures (12.55%). In machinery and implements, tractors were the main item of investment with 57.63 per cent share. It was found that in different farm size categories investment per farm increases with the increase in farm size but investment per hectare decreases as the farm size increases. Therefore, it was suggested that the farmers should opt for collective farming and the government may setup more cooperative agro service centers to decrease investment per hectare. From the regression analysis, it was found that operational holding of the farmers; annual savings of the farm households and credit availability have positive relation with the farm investment. The role of institutional and non-institutional sources in farm investment was also analyzed. The share of borrowed funds in total investment was 43.19 per cent. In total credit, share of institutional and non-institutional credit was 65.98 and 34.02 per cent respectively. Considering the significant role of non-institutional credit sources, it was suggested that government may regularized working of non-institutional credit agencies so that government can keep check on their working.