A Very Good Production

"By and large, sowing is more than last year...We should expect a very good production," Agriculture Secretary P K Mishra told reporters on the sidelines of a function here.

Asked about reasons for the likely increase in the area under Kharif crops, Mishra said, "good market condition and good rains also". He noted that net crop area might not rise in the Kharif season but gross crop area would not be less than last year as farmers would utilise fallow land.

On decline in sugarcane acreage, Mishra said, "This time the sugarcane area may be slightly less but that does not mean that the production will be affected. Last two years, there has been high production. So even if there is some marginal decline, it does not matter." The area under coverage for sugarcane has declined to 42.82 lakh hectare (LH) as on July 4 from 51.74 LH in the corresponding period last year.

Mishra said that area under sugarcane is less because "farmers have looked at the market situation, the price situation and income prospect. Some crops give them better income, they will go for that".

India is facing a glut in sugar production for the last two seasons. In 2006-07, output stood at 283 lakh tons while in the current season the production is seen at 270 lakh tons. The annual consumption is estimated at 200 lakh tons.

Paddy area has increased by 19 per cent to 55.95 LH till last week against 47.08 LH in the same period last year, while oilseeds acreage rose to 50.01 LH from 49.52 LH. The Secretary highlighted that good progress has been made in the National Food Security Mission and quality seeds have been distributed to the farmers, which would help in achieving higher productivity.

Talking about the agriculture growth, Mishra said, "We are expecting 4.1 per cent overall growth rate which is the target for the 11th five year Plan." He said the target is feasible because in 2007-08 the growth rate was 4.5 per cent and in 2006-07 and 2005-06 the growth rate was 3.8 and 6 percent respectively.

"Overall, in the last three years our (agriculture) growth rate has been more than 4 per cent," he added.

Asked about the growth rate projection for the farm sector this fiscal, Mishra said, "Year-wise, it's very difficult to say because the growth rate doesn't depend only on the total production but also on the base year of production."