LIVELIHOOD SECURITY OF FARM HOUSEHOLDS UNDER DIFFERENT FARMING SYSTEMS IN HYDERABAD-KARNATAKA – AN ECONOMIC ANALYSIS

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Date
2017-11-30
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UNIVERSITY OF AGRICULTURAL SCIENCES, RAICHUR
Abstract
The study was undertaken in Hyderabad-Karnataka state to assess cost and returns under major farming systems, net income of the farmers from different sources and significant influence of area and dairy in major farming systems. Four major farming systems viz., Crop+Dairy (C+D), Crop+Horticulture (C+H), Horticulture+Dairy (H+D) and Crop+Dairy+Horticulture (C+H+D) were identified based on preliminary survey in the area. The study is based on primary data of 160 farmers covering equal samples under major farming systems elicited through survey for 2016-17. The data was analyzed using production function, Data Envelopment Analysis (DEA), Garret ranking, Gini co-efficient and indices. Results revealed that net annual income realized by farm household was higher in C+D+H (C 8,62,898) farming system of which 72.42 per cent was from horticulture. The least annual net income was observed in C+D (C 2,17,982) farming system of which 55.49 per cent was from livestock enterprise. Area under irrigated crops was found highly significant against net annual income in major farming systems (C+D, C+H and C+D+H). Area under Horticultural crops was found highly significant in major farming systems (C+H, H+D and C+D+H). Number of milching dairy animals was found highly significant in major farming systems (C+D, H+D and C+D+H). DEA analysis indicated that nearly 15 per cent of farms under assumption of constant returns to scale were found to perform with the efficiency level equal to 0.9 or greater. Majority of farms i.e., 90 per cent of the farms in C+D,75 per cent in C+H, 70 per cent in H+D and 87.50 per cent in C+H+D systems were found to be operating in the region of increasing returns or the suboptimal region. Farm households of all farming systems are on par with ICMR norms in cereal consumption but In case of pulses the consumption level of three farm households (C+H, H+D and C+D+H system) are above the ICMR norms except C+D farm households. The market dependence for cereals and millets was higher in H+D farming system (94.10 %). The overall livelihood security is high in case of H+D farm households.
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