University Business School, Panjab University, Chandigarh- 160014, Punjab
*Corresponding author email: tilakraj.eco@gmail.com
Online published on 22 February, 2021.
The total number of small and marginal farms in Himachal Pradesh increased significantly whereas it decreased for other categories of holdings. Majority of farmers in the rural areas of Himachal Pradesh cultivate mainly low value subsistence crops. In the absence of adequate farm and non-farm employment opportunities, they are forced to live below poverty line. There is limited scope of increasing production through expansion of cultivable land. Hence, there is a need for diversification of farms within and outside agriculture. The principal objective of the study is to discuss the scope for agricultural diversification in Himachal Pradesh. An attempt has also been made to examine the opportunities and challenges of agricultural diversification in the state. Secondary data has been used to find out the ultimate goal. The study revealed that agricultural diversification is a major step towards the improvement of the rural economy and it is the best solution for reducing the production uncertainty. The farmers need to be taught about the new cultivation practices and mixed farming for this purpose. Arrangements should be made to provide them high yielding seeds, new technologies and subsidized fertilizers.