Pattern of Agricultural Diversification in India

Brajesh Jha, Nitesh Kumar, Biswajit Mohanty
JEL codes: 
Working Paper Series No. E/302/2009

Agricultural diversification as measured by increase in the percent of non-food crops has grown; whereas diversification as measured by the concentration indices has remained unchanged in the recent decade. There have been significant changes in the pattern of agricultural diversification at the regional level. Within a region, smaller sub-regions or pockets of specialization in certain crops and crop-groups have emerged. Farms do not remain diversified and the usual notion of crop diversification as a risk management practice is also belied in the present study. The study also found certain kind of structural changes in all sub-sectors of agriculture: crop, livestock, and fisheries. Concerns over extreme effects of such changes are however, not valid.