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Unit 11: Sectoral Performance I: Agriculture: Growth Productivity Trends and Crop Patterns



        The Government introduced the new agricultural technology known as Intensive Agricultural District  Notes
        Programme (IADP), which was soon followed by a programme of using improved seeds, viz., High
        Yielding Varieties Programme (HYVP). The new agricultural technology was expected to usher in
        the green revolution. However, as a result of the extensive and serious drought conditions in 1965-
        66, agricultural production was adversely affected.
        (a)  None of the agricultural targets—except sugarcane—was achieved during the Third Plan period;
             and
        (b)  The actual output at the end of the Third Plan in the case of foodgrains, oilseeds and raw cotton
             was lower than the output at the end of the Second Plan, indicating that the Third Plan was a
             wash-out as far as agriculture was concerned.
        As a consequence of the shortfall in food production and serious famine conditions in many parts of
        the country, the Government was forced to import foodgrains extensively during the last year of the
        Third Plan. Besides, for the first time, the public lost interest in the planning process and the Government
        adopted “plan holiday“ for three years.
        The experience of the Third Plan made the Planning Commission realise the bitter fact that economic
        planning would be a failure unless agricultural production was increased rapidly. Accordingly,
        the Planning Commission assigned high priority to agriculture in the successive plans.
        Progress from the Fourth Plan Onwards

        The approach paper to the Fourth Plan emphasised the necessity to create favourable economic
        conditions for the promotion of agriculture and a systematic effort to extend the application of science
        and technology to improve agricultural practices. Ambitious targets were fixed for the Fourth Plan.
        Table 5, however, reveals clearly that none of the targets fixed in agriculture in the Fourth Plan was
        realised. For example, the target for foodgrains was 129 million tonnes for 1973-74 but the actual
        production in that year was only 104 million tonnes—the highest level of production during the
        Fourth Plan was 108 million in 1970-71.
        Consider further the targets fixed and actual production of oilseeds, sugarcane, cotton and jute during
        the Fourth Plan. It would be clear that the Fourth Plan failed to achieve the agricultural targets.
        The Fifth Plan (1974-1979) was prepared with great care, with total Plan outlay at ` 39,430 crores out
        of which outlay on agriculture and allied sectors would be ` 8,740 crores (which was 24 per cent of
        the total Plan outlay). The targets for production of various crops and the necessary inputs to achieve
        these targets were also clearly set out. Unfortunately, all the financial calculations went wrong because
        of the serious inflationary situation during 1973-74. However, after the declaration of emergency
        (1975) agricultural progress was steady and plan targets were almost realized.
        The Janata Party which came to power in 1997, however, suspended the Fifth Plan midway – rather
        foolishly - and started preparing the Sixth Plan. It will be clear from Table 4 that the actual production
        of foodgrains in the last year (1978-79) of the Fifth Plan was 132 million tonnes, as against the target
        of 125 million tonnes. In fact, apart from the First Plan the Fifth Plan was the only period when the
        actual production of foodgrains exceeded the targeted production.
        Progress since the Sixth Plan

        Of all the Plans, the Sixth Plan (1980-85) was hailed as a great success, particularly because of the
        success on the agricultural front. As against the annual growth rate of 3.8 per cent for agriculture, the
        actual growth rate was 4.3 per cent. The production of foodgrains in 1983-84 was 152 million tonnes
        (against the target of 154 million tonnes) and was hailed by the Indian Government as the Second
        Green Revolution. While the First Green Revolution from 1967-68 arose from the introduction of
        new high yielding varieties of Mexican wheat and dwarf rice varieties, the Second Green Revolution
        from 1983-84 was said to be from expansion in supplies of inputs and services to farmers, agricultural
        extension and better management.
        While the First Green Revolution was confined mainly to Punjab, Haryana and Western U.P., the
        Second Green Revolution had spread to eastern and central states including West Bengal, Bihar,



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