Explain the factors influencing the decision of the farmers on the selection of high value crops in India.

Q3. Explain the factors influencing the decision of the farmers on the selection of high value crops in India.

High-value crops (HVCs) refer to agricultural products that generate higher returns per unit area compared to staple cereals. These include fruits, vegetables, spices, floriculture, plantation crops, and medicinal plants. 

High-value crops boost farm incomes through higher returns, jobs, diversification, and export potential, making them crucial for resilience, nutritional security, and sustainable doubling of farmers’ income.

Factors influencing the decision of the farmers on the selection of high value crops in India

• Higher Profitability: HVCs like fruits, vegetables, spices, and flowers give 3–4 times more returns per hectare compared to cereals.
  • Eg: Tomato cultivation in Andhra Pradesh and potato in Punjab provide higher net margins than wheat or paddy.
• Changing Dietary Demand: Rising incomes, urbanization, and health awareness have increased demand for fruits, vegetables, dairy-linked fodder, and protein-rich crops.
  • E.g., Urban middle-class diets are shifting towards protein-rich crops; India’s pulses production has risen to 27 MT (2022–23), with demand driven by health awareness.
• Export Potential: India has become a major exporter of spices, grapes, mangoes, and basmati rice, making HVCs attractive for global markets.
  • Eg: Maharashtra’s grape exports to Europe and Gujarat’s cumin export.
• Impact of Globalization and Social Media: Global food trends and lifestyle changes have influenced Indian farmers to adopt exotic crops such as avocados, broccoli, dragon fruit, and blueberries, driven by demand in supermarkets, restaurants, and among health-conscious youth.
  • Eg: Farmers in Karnataka and Maharashtra are experimenting with avocados and blueberries for metro markets, while social media-led diet fads like “superfoods” have boosted demand for quinoa and chia seeds.
• Government Initiatives: Schemes like Mission for Integrated Development of Horticulture (MIDH), Operation Greens, Purple and Saffron Revolution and Agri Export Zones support infrastructure and market linkages for HVCs.
• Better Access to Irrigation & Technology: Expansion of micro-irrigation (drip and sprinkler) under Per Drop More Crop has enabled water-intensive but profitable HVCs in semi-arid areas.
  • E.g., Pomegranate and banana cultivation in Maharashtra’s dry regions.
• Declining Returns from Cereal MSP Regimes: Saturation in procurement and falling profitability of wheat-paddy cycles have pushed diversification.
  • Eg: Farmers in Punjab and Haryana increasingly grow potatoes, and other vegetables.
• Support from FPOs and Cooperatives: Collective marketing and value addition through Farmer Producer Organisations (FPOs) and cooperatives reduce risks.
  • Eg: Grape Growers’ Association in Maharashtra; Amul’s support for fodder crops.
• Cold Chain & Market Infrastructure Expansion: Growing private sector investment in warehousing, logistics, and cold storage enables handling of perishables.
  • Eg: Floriculture around Bengaluru thrives due to proximity to air cargo hubs.
• Credit and Insurance Availability: Targeted credit (NABARD horticulture schemes) and crop insurance encourage farmers to take risks with HVCs.
• Policy Push for Crop Diversification: States like Haryana offer incentives to shift from paddy to maize, pulses, or horticulture to conserve groundwater.

Moving forward, strengthening cold chains, providing crop insurance, diversifying procurement policies, and empowering FPOs will make HVC cultivation more viable. A farmer-centric approach aligning cropping patterns with income security, nutritional demand, and ecological sustainability will be key to mainstreaming high-value crops in India’s agricultural future.

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