Presentation on theme: "Agricultural Diversification and Role of ATMA in Bihar"— Presentation transcript:
1 Agricultural Diversification and Role of ATMA in Bihar Dr.K.M.SinghDirector,State Agricultural Management and Extension Training Institute, BiharPresentation in the Global Meet for a Resurgent Bihar,19-21 February 2007,Hotel Maurya, Patna, India
2 Historical Perspective Post independence, single minded focus on removing shortages and self reliance for basic cereal cropsResearch system served this purpose by delivering dramatic productivity increases by introduction of new varieties and use of chemicals for nutrition and protectionTraining & Visit (T&V) Extension system successfully managed technology transfer to the farmersIt was believed that “Market Forces” could not adequately address the needs of both farmers and consumers. Regulatory framework was designed to circumvent the market
3 Historical Technology Dissemination Model Information FlowICAR R&D system & Agricultural UniversitiesCreateKnowledgeExtensionTeamsFarmerProduct FlowProcessorsBrand MarketersFarmerMandisAggregatorsDistributor/RetailersConsumerState ProcurementSystemNo market risk for the farmer – Support price systemFirm contract with the governmentNeither the research system nor the farmer required any connect with the consumerand its demands.Burdened with this baggage of historical success - search for the new paradigm
4 Why the need for the new paradigm? Falling trend growth rate of agriculture.Productivity increases are not keeping pace with the rising population trends.Falling water tables & rising soil salinity.Soil degradation due to intensive chemical usage.Piling food grain stocks and increased dependence on oil seed & oil imports.R&D system should deliver the "increased income aspirations” of the farmers.India’s factor price advantage & diverse agro-climatic conditions, not leveraged to become a player in the international market.
5 Ploughing ahead …..times have changed DomesticInternational MarketConsumerConsumerDistributor/RetailerExportersProcessorsBrand MarketersImportsAggregatorsMandisFarmersInadequate information with farmers to plan production– Little or no linkageswith the marketResearch system with limited connect with the marketPublic actions focused on crisis resolution, not at systemic solutionPrivate sector focus on articulating problem only a few initiatives to show for.
6 Myths about Agricultural Research & Extension R&D System is not deliveringExtension system has collapsedNeed for increased role for private sectorFarmers are not willing to changeState Government are not responsiveHowever the Reality isR&D system has the knowledge base but lacks means of transfer to the farmFarmer is willing to change, can take technology risk provided he is insulated from the market risk.No public support for new initiative leading to collapse of the T&V extensionservices.Few Private sector players operating in limited pockets at best equipped toplay the role of facilitators – NOT YET READY TO LEAD.Some aggressive state agendas neutralized by inertia in other states.
7 Framework for Crafting the Research Agenda R&D agenda should be driven by market demand. Links with the Private sector can fill in this gap.Benchmark with the best in the worldIdentify regions and crops where we can be better than the bestEvaluate nationally & globally available varieties to select candidates for propagation.Adopt and develop package of practices which are locally relevant and within the resource base of the farmerMaintain focus on optimizing water usage and rationalized chemical inputs to build sustainabilityPublic and private partnership with input companies on the basic research agenda.“Redefine research agenda to be in-tune with market demand & leverage India’s resource base on a sustainable format.”Only TECHNOLOGY which delivers HIGHER INCOMES for the farmers will SUCCEED!
8 A Possible RoadmapLeverage Bihar’s diverse and favourable agro climatic conditions to create:“Specialized” “Regional” production centers :VarietiesSpecialized Regionalproduction centersWater availabilityFarmer’s CapabilityRegionCropMarket LinkageNutrition/Protection PlanOnly way of maintaining competitiveness in a world focused on SPECIALIZATION!
9 Technology Transfer Enablers CommercializationEvaluation of promising varieties and hybrids- short listing selectionBlueprint for agricultural practices after adapting to local conditions,to suit intellectual & financial means of the farmerMulti locational trials including at farmers’ fieldsEvaluation of farmer economics modelTechnology TransferThe extension services team - selection and trainingFarmer education programDemonstration farmingR & D ActivitiesEnsure market and predictable pricingTiming the harvest to optimize the returnsPost harvest management to ensure qualityPrompt farmer payment systemEnsure “adequate financing” to fund the inputs
10 What should be the pattern of engagement ? It has been seen elsewhere that successful commercialization of technology works because there is a demand.As yet, no established demand for Agricultural technology by the private sector.“Public- Private Partnerships” rather than pure “Commercial engagements” need to be developed.Involve private sector in drawing up specific work plan of research institutions.Leverage both public & private sector resources for reaching out to the farmerGovernment market interventions to support new technologies and diversification
11 Challenges before Extension System To respond to food and nutritional security, poverty alleviation, diversifying market demand, export opportunities and environmentEffective linkages between production and agro-processing for value added productsSustainable management of natural resources – land and waterPublic funding in extension is under considerable strain, getting private funds need of the hour.
12 System Constraints Extension programs heavily top-down: Extension field staff, primarily handing out central government funded inputs and subsidies, rather than assisting farmers to increase their incomesBy focusing on staple food crops, extension is mostly supply–driven rather than being demand– driven or market–drivenLack of attention to farmer problems; extension system not accountable to farmersInadequate technical & managerial capacity, especially among the field-level extension staff posted in the districts and blocksAbsence of any mechanisms to empower farmersWeak involvement with the private sectorWeak R-E-F-M linkages
13 Key Elements of the New Strategy Shift from food security (i.e., Green Revolution) to diversifying into high-value productsIndia had become self-sufficient in basic food cropsGrowing domestic market for high-value products; dairy, eggs, fresh fish, fruits and vegetables, etc.To implement this new strategy, farmers had to be organized, trained and linked to these new domestic and international marketsImplementing organization pilot tested under NATP was the Agricultural Technology Management Agency or “ATMA”(In Hindi, ATMA mean “soul;” therefore ATMA has become the soul of agricultural development in India and Bihar.)
14 ATMA was the Mechanism Used to Decentralize Extension and Diversify Agriculture: Which is Critical to Building a “Market-Driven” Extension SystemRegional and urban market opportunities tend to be “location-specific;” therefore, extension planning must be “bottom-up!”The ATMA model pilot-tested between ; now the Government of India is implementing this “market-driven” extension or ATMA model nationwide in 252 districts and it may be up scaled to cover the whole country in the XIth Plan.
15 Steps in Implementing the Strategy Conduct PRA and then develop a Strategic Research and Extension Plan (SREP) for each Project DistrictIdentify and evaluate “Success Stories”Determine most promising products/marketsOrganize farmers into groupsFarmer Interest Groups (FIGs) at village level & Farmer Associations (FAs) at block, district & state levelsFarmer leaders are critical to the success of FIGsExposure visits and demonstrations are used to motivate FIG members.Investigate markets to identify interested manufacturers or wholesale markets(i.e., avoid traders; shorten the supply chain to avoid middlemen.)
16 Building Social Capital VIS-À-VIS MARKET DEVELOPMENT Two basic types:BondingBridgingLocal MarketsResearch &ExtensionGlobal MarketsFIGFarmer AssociationUrban MarketsFIGFarmer Federation
17 Implementing the Strategy (cont.) Collaborate with research (e.g. SAUs or KVKs) to develop and test production and post-harvest technologies and then train FIG members to produce to contract specifications.Public-Private Partnerships are emphasized at block level; emphasis is on “contract farming” between FIGs and companies (e.g. Pepsi and Hindustan Lever are contracting for basmati rice and vegetables for processing)Some other companies are doing this on a smaller scale in Bihar ( Aromatic crops, exotic vegetables, organic farming etc.)
18 Example-Lemon grass oil production Flow Chart Up to 5 yearsHarvesting for distillation every 2-3 months depending on growth of cropField DistillationforLemongrassoilevery 2-3monthsUp to 5 yearsOil sold@ Rs.300/-per kgtotal oil yield120 kg per yearMonthsTransplanting 6-8 monthold plantletsin the field9 MonthsOil sold to processorsafter 12 Monthsto 5 yearsRoot stock Growing in nursery in 1/5th area ofintended cropPopularization and technical support from ATMA, Patna and KVK, Barh6 MonthsLemongrass Saplingsfrom CIMAP, Lucknowor FFDC, KannaujKrishna and CKP25Varieties most suitedfor Bihar
19 Impact of this ATMA Model of Extension on Crop Diversification and Farm Incomes (Average changes in production area and income in 28 project districts* between ; IIM Lucknow data)Horticultural Crops: 12 16%Oil Seeds: 3 11%Herbs and Medicinal Crops: 1 5%Sericulture: 0 1%Area planted to cereals declined: 55 47%, but yields increased 14%During this period, average farm income increased 24% in project districts in contrast with only 5% in non-project districts*All India figures
20 Performance Indicators of ATMA Programme in Bihar (Rs Performance Indicators of ATMA Programme in Bihar (Rs./ Household/Year)Impact IndicatorsBaselineActualAbsolute Income Gain In Project Districts6125668797Absolute Income Gain In Non-Project Districts6051266951Net Gain In Household Income In Project Districts household Over Non Project Districts household7441846Per Household Annual IncomeProject Districts8904999423Non-Project Districts9354285331Cropping Intensity(%)145196140174Benefits Of Adopting New Technologies (%)Increase In Crop Yield13Increase In Farm Income15
21 Conclusion: Key Elements of this New Extension Strategy Refocus some research and extension resources to high-value crops/products, including market assessmentDecentralize extension planning and decision-making; begin by focusing on local and regional market opportunities.Empowering Farmers—organize and train farmers so they can link to high-value markets; they must get organized to achieve economies of scale and to increase market power.
22 Reasons for Success Farmer friendly approach to Extension Partnership with Private SectorATMA Single Window delivery point for Technology.Diversification dictated by market demand only.Judicious Use of Mass media.R-E-F-M linkages strengthened with primary focus on farmer.Revitalizing the farmers through capacity building,Using farmers and private entrepreneurs as Extension Agents.Group focus in all the interventions.Effective use of NGO’s, & private sector.Sustainability given due importance, with cost sharing being the key word in most of the interventions.
23 ATMA Model : Lessons Learnt Autonomy, financial flexibility and direct funding resulted in better outcome.Better coordination, Convergence, pooling of resources and integrated delivery of demand driven extension.Priority settings through the farmers involvement (SREP , GB and FIAC).Strong Research-Extension-Farmer-Market(R-E-F-M) Linkage.ATMA an effective platform for Public-Private-Partnership.SREP as a tool for bottom-up planningCapacity building through need-based trainings, exposure visits, demonstrations, etc.