Agriculture Production

Total factor productivity growth in Indian agriculture and regional convergence

Kisan credit card and smallholder farmers’ economic performance in eastern India: A panel data analysis

Farmers in India continue to be deprived of adequate and timely institutional credit. The Kisan Credit Card (KCC) scheme, introduced in 1998, sought to address this issue by providing credit support under a single window with simplified procedure. Using a panel data of 2,586 farming households from five states in Eastern India, namely, Bihar, Uttar Pradesh, Jharkhand, Odisha, and West Bengal in 2018 and 2023, we examine the determinants of access to KCC and its credit limit. We also analyze the impact of KCC on farmers’ input usage, dependence on moneylenders and farm income using propensity score weighted fixed effects model which controls for selection bias and unobservable time-invariant heterogeneities. We find that farmers’ participation in agricultural training, demonstrations and development programs encourage farmers to adopt KCC. Furthermore, KCC access increases farmers’ input usage and reduces their dependence on money lenders. This evidence comes from an economically challenged region whose economy significantly depends on agriculture. The findings of the study raise concerns over the limited penetration of the scheme among smaller-scale farmers and provide key insights into the underlying issues hindering the efficacious functioning of the scheme.

Developing a regional cooperation strategy for scaling up climate-smart agriculture in South Asia

Climate change being a global environmental problem, a cooperative approach involving all the sovereign countries is required to achieve an optimal solution. Caused by the accumulation of greenhouse gases (GHG) in the atmosphere, including carbon dioxide, methane, nitrous oxide, and hydrofluorocarbons, climate change has global effects that are independent of the geographical sources of these emissions. However, the adverse impacts of global warming and extreme weather events associated with climate change are not uniformly distributed, as vulnerable populations in less-developed countries bear the brunt of the damage. Some of these climate-vulnerable nations contribute less than 1 per cent of global GHG emissions, including Bhutan (0.0057%), Sri Lanka (0.072%), Nepal (0.105%), and Bangladesh (0.522%) in South Asia.