Agricultural Diversification-Concept, Determinants and Prospects

Agriculture is one of the most fundamental instruments for poverty reduction, food insecurity and sustainable development of a society throughout the world. Three out of every four people in the developing countries live in rural areas, and the livelihoods of about 60% of the population are dependent on agriculture. Therefore, promoting agriculture through the sustainable management of land and water resources is imperative for meeting the Millennium Development Goal of reducing poverty and hunger. Agriculture in India has a predominant position provides livelihood to two-thirds of the population, gives employment to around 52% of the workforce, and accounted for 15.7% of the gross domestic product in 2008-09. A sustainable and dynamic approach to agricultural development has remained of great concern to the government and priority for discourse in the policy arena as it has been confronting with numerous techno-institutional problems created by unfolding globalization and liberalisation of economy. Diversification of agriculture in favour of more competitive and high-value commodities is reckoned an important strategy to overcome these challenges.