The study has been undertaken to (i) find the pace and pattern of agricultural diversification in Rajasthan (both crop and livestock), (ii) assess the factors affecting the agricultural diversification, and (iii) evaluate the associated impact on the agricultural input-use with emphasis on land and labour. The study has utilized the aggregate and district-wise secondary data from various sources of Govt. of Rajasthan. The study on the pattern and determinants of the crop sector has revealed that area under the cereals has been gradually diversifying to pulses and oilseeds. The literacy rate, landholding size as well as tractor density have been found to influence the diversification positively, whereas the population density and road density affect it negatively. In the case of livestock, the buffaloes have been found replacing the cattle as the major milch animals. The regression analysis has revealed that the livestock growth has significant influence of rainfall, gross cropped area and common property resources like grazing area.
The diversification process has indicated fragmentation of land to the extent that nearly 27000 holdings per year are coming under the marginal category, rendering it uneconomical for cultivation. The diversification and structural transformation in the state have not been able to reduce the dependence on agriculture. This increasing dependence of labourers on agriculture is a serious issue to be looked into as it severely affects the labour productivity in agriculture. Considering the scarcity of water and declining groundwater level, harvesting and conservation of the rainfall would be important for further diversification.
