Step-by-step explanation:

The thrust of the proposed policy is to suggest future course of growth and

development for agriculture sector and ways and means to improve sustainability of

agriculture production and increase real farm incomes. The production technology

available for wheat and rice, supported by the appropriate policies and complemented with

the required investments and institutional infrastructure, resulted in a spurt in their

productivity and production in Punjab in a record time (green revolution). Consequently

Punjab which was a food defi.cit State became the ‘food basket’ of the country. Because of

low production risk and assured marketing of wheat and rice, about 80% of the arable

area has come under these two crops. For a long period, this cropping system continued

yielding a high growth in agricultural production and farm incomes. The production

potential of the available technology of these crops has almost been fully exploited. There

is now near stagnation in growth, decline in real farm incomes and over-exploitation of

natural resources i.e. soil and water. The very sustainability of the wheat-rice production

system is under threat. Climate change is posing a new challenge for future agricultural

growth.

Like the earlier agricultural development, future growth will also depend upon

technology development supported by the public policies, relevant institutional changes

and facilitating increased investment from the private sector as well. For improving farm

income sustainable intensification, diversification of agriculture and value addition of

produce are essential. Maize, kharif pulses and soybean are important kharif crops

proposed to replace part area of paddy, which is possible only if their marketing and

remunerative price are assured. To achieve the objective, creation of Price Support

Operation (Corpus) Fund is suggested.

The technology developments are essential to achieve enhanced production

potential both in the crop and livestock sector, encouraging crops / varieties having low

water requirements, high value crops i.e. fruits and vegetables and dairy farming. As

soybean and pulses offer a long term potential source for diversification and sustainability,

there is need to focus on a breakthrough in their productivity. It is recommended that the

users of technology should bear a part of the cost of technology development.

The highlights of the suggested agriculture policy are (i) encouraging the optimal

use of natural resources for long term sustainability of agriculture; (ii) enhancing the

productivity of crops and live-stock through strengthening research, public and private

investments and development programmes; (iii) improving the economy of farmers; (iv)

encouraging the cultivation and addressing the problems of high value crops; (v)

addressing the constraints through restructuring of the incentives, market orientation,

credit delivery system and value addition to produce both at industrial scale and at the

village level; and (vi) restructuring of various development departments for coordinated

implementation of various activities.