Direct cash transfer to farmers, though a welcome step, will alone not address the agrarian distress. It is clear from research studies that a proper extension service system can help farmers reduce cost, increase productivity, and foster sustainability.

As Indian farmers are increasingly challenged by climate change, globalised domestic markets, advanced agricultural technologies and multitude of policies, there is a need to develop a vibrant agribusiness extension system to facilitate them to take timely and appropriate decisions. So far, availability of local, reliable, timely, comprehensive, and cost-effective information in an understandable way has been a distant dream for Indian farmers.

Despite a host of government initiatives — such as setting up of Krishi Vigyan Kendras (at the district level) and the Agricultural Technology Management Agency (ATMA), use of mass media, helpline and ICT — hardly 6 per cent of the farmers make use of information from public extension agencies. Often, the functionaries are not equipped to handle specific problems.

Information gap has resulted in huge imbalance in fertiliser usage by the farmers, increasing the cost of production, reducing productivity and affecting sustainability. Nearly 20 per cent of the agricultural land have degraded due to incorrect application of fertilisers. Lack of quality information has also contributed to yield gap of over 50 per cent for many crops. Deficiency in information is more acute in the of case pesticides and insecticides. Input dealers, who have vested interest in clearing their stocks, have been a major source of information for many farmers.

Farmers are primarily concerned with profitability, cost, sustainability and managing risks in crop production. Farmers need comprehensive information about crop planning, crop production — choice of crop and varieties, planting methods, nutrient management, inter-cultural practices, crop protection, harvesting, post-harvest care, value addition, marketing, and risk management — in an understandable way to effectively manage their crops.

Multiple areas of focus

The primary objective of a ‘comprehensive agribusiness extension system’ has to be to make agriculture profitable, less risky and sustainable rather than simple transfer of technology. This needs a business approach where the focus is not on any single aspect of production but on all aspects of agribusiness such as crop planning, input procurement, crop production, value addition and marketing. The extension services have to take into account all these five dimensions in an integrated fashion to provide inputs periodically in a user-friendly way.

With advances in information and communication technology (ICT), it is now not only easier to reach information to rural areas but also provide information in a user-friendly way. Agents, assisted by tablets and smartphones, can effectively provide customised information. The usefulness of technology assisted extension service are many.

Extension agents can explain to the farmers about various farming practices through periodic visits and with the help of photographs, videos, animation, graphs, charts, etc., so that farmers understand best practices better. ICT can help in collecting information from the grassroots level and instantly process them in a format required and make them available to any stakeholder.

Reports can be generated from real-time data during pest attacks to ascertain the incidence and impact. Suggestions for the event/incidence could be provided to the farmers immediately. The agents will be able to contact scientists easily for solutions to new problems in their area.

Such a comprehensive system with the involvement of agricultural universities in the region, KVKs and local NGOs can provide information in a user-friendly way with the help of ICT. At the village level, the NGOs can take the help of local graduates/diploma holders or those who have training in agriculture as raita mitras to reach individual farmers or FPOs.

A pilot study conducted in Siruguppa taluk in Ballari district of Karnataka has shown an increase of 18 per cent and 85 per cent yield for paddy and cotton, respectively, resulting in net income increase of 78 per cent and 221 per cent from these crops after two years of intervention.

A larger scale replication suggested that such a system is expected to cost about ₹2,500 per farmer per annum in the initial phase and is likely to reach a self-sustainable level once a functioning farmer producer organisation can be put in place.

The writer is Professor, IIM Bangalore

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