Role of dairy farming in the structural transformation of agriculture in Punjab
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Date
2008
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Diversification of crop farming through dairy enterprise can play a more significant role as dairy farming provides nutrition, draft animal power, organic manure, supplementary employment and generate continuous flow of income. The present study examined the trends in the growth of dairy sector, determinants of the growth of dairying, effect of dairying on farm income, employment and resource use and constraints, inhibiting the growth of dairying and suggests policy measures to promote and accelerate the growth of dairying in the state. To meet the stipulated objectives, both primary as well as secondary data were used. Apart from averages, percentages, budgeting techniques, compound growth rates, the additive decomposition model was used to analyse the contribution of various sources to growth in milk production. Significant regional disparities were observed in the stocking rates in the state. Of the total milk produced in the state during 2005-06, 73.39 per cent was produced by buffaloes, 25.40 per cent by crossbred cows and 1.21 per cent by indigenous cows. There were two sources of growth in milk production i.e. the increase in the population of milch animals and the increase in productivity per milch animal. The results of the additive decomposition model revealed that contribution of yield effect was more in the growth of milk production. The comparison of relative contribution of these sources in the production of cow and buffalo milk revealed that the yield effect was higher in case of cow milk while the population effect was more strong in case of buffalo milk. Average retail price of milk and credit were found to the significant determinants of the growth of dairying. The annual farm business income from dairying (at constant prices) on an average farm increased from Rs. 7162.91 in 1987-88 to Rs. 12501.99 in 2004-05. The use of labour in dairying increased from 170.82 mandays in 1987-88 to 250.13 mandays per year in 2004-05. Scarcity of green fodders and low yield of animals were found to be the major constraints inhibiting the growth of dairying in the state. The high proportion of 'not calved' bovines, animal health constraints, inadequate A.I. facilities, insufficient dairy credit support, inadequate extension services were also found to be the other constraints. Thus it seems desirable to resolve these problems so as to develop the dairy sub sector on a sound footing. Growth of dairy farming is a viable option to bring about the structural transformation in the agriculture sector of Punjab.
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