How to double farmers’ income by 2022?: A sector-wise growth rate and decomposition analysis

This paper studies the past performance of the agriculture sector so as to understand how farmers’ income can be doubled by 2022. The time series data at all India level on area, production and productivity of foodgrains, production and per capita availability of milk and eggs and production of meat were compiled and a decade wise analysis of growth rate and decomposition analysis was done. During the overall period, the area under food grains showed negative growth whereas production and productivity growth was positive. Production of milk, egg and meat showed positive growth. Growth rate in area, production and productivity of both vegetables and fruits was positive. For foodgrains, the yield effect was higher than the area effect which could be attributed to increased use of high yielding varieties. For vegetables and fruits, the contribution of area effect was more than that of yield and the interaction effect suggesting that measures should be taken to improve their productivity.