The agricultural diversification has been studied in the state of Haryana based on the secondary time series data collected from various published sources, using simple statistical tools like percentages, averages, etc. and Herfindahl Index. It has been observed that the economy of the state has diversified from agricultural-dominated economy to non-agricultural sector. The share of primary sector has decreased during the study period (1965–66 to 1999–2000) but in value terms, it has registered four-times increase. The contribution of livestock income has increased while income from crops has decreased to the agricultural sector. The value of index of diversification of area under various crop groups has shown concentration in favour of cereal crops (i.e. specialization has taken place). The area under fine cereals has increased at the expanse of area under coarse cereals. These results have emanated important policy implications. Due to inelastic supply of land, area and yield of foodgrains may not increase in the longrun with the present technology. Some fundamental and radical changes are required at the genetic molecular level (i.e. biotechnology) and marketing level i.e. tailor-made quality product for the consumer after value-addition (i.e. agribusiness). Investment on agri-R&D is required to enhance yields of high-yielding varieties of crops and diversifying the genetic base of crops. Since livestock plays a catalytic role in enhancing the farm income, it may also be increased along with the crop enterprise.
