NCERT Solution for Class 12 Economics Chapter 6 – Rural Development

Questions for NCERT Economics Solutions Class 12 Chapter 6 – Rural Development

5. Why is agricultural diversification essential for sustainable livelihoods?

Agricultural diversification refers to the diversity in crop production and allocating of agricultural workforce in other allied activities such as fisheries, poultry and livestock, also in non-agriculture sector. The following points explain the importance of agricultural diversification:

1. Indian farmers are dependent on monsoon for farming which is risky, so diversification enables farmers to earn more from occupations that are non-agricultural.

2. While there are a lot of farming opportunities in the Kharif season, the Rabi season brings with it difficulties in irrigation which makes employment less, diversification helps by providing an alternative source of income.

3. Agriculture as a job providing proposition is already saturated and is unable to generate further employment, therefore non-agricultural sectors can be explored as a potential source of revenue.

4. Due to possessing dynamic linkages several non-farm sectors help in enhancing the economic growth.

6. Critically evaluate the role of the rural banking system in the process of rural development in India.

After nationalisation of banks took place in 1969, rural banking has grown a lot. This has helped in rural development in the following ways:

1. It helped increase the farm and non-farm output by supplying credit facilities to customers.

2. Provided long term loans with better repayment options. It helped dependency on moneylenders

3. Achieving food security by production of food grains in abundance.

4. Assisting self-employment schemes in rural areas for generating credit

7. What do you mean by agricultural marketing?

Agricultural marketing refers to the services that are involved in movement of an agricultural product from the farm to the consumer. It includes planning, organising, directing and handling of products in a way to satisfy farmers, intermediaries and finally the customer.

The steps involved in agricultural marketing are:

1. Collecting the product after harvesting

2. Processing the collected product

3. Grading of product as per the quality standards

4. Packing the product

5. Storage of the product for future use

6. Sale of product in market at the best price

8. Mention some obstacles that hinder the mechanism of agricultural marketing.

Obstacles that hinder the mechanism of agricultural marketing are as follows:

1. Inadequate storage spaces or warehouses.

2. Multiple middlemen eating into profits.

3. Malpractices present in unregulated markets.

4. Lack of a proper weighing, grading and standardisation system

5. No scope of finance

6. Lack of proper market information

7. Transport and communication are not that developed.

9. What are the alternative channels available for agricultural marketing? Give some examples.

The small and marginal farmers were the one who were selling their product by taking help of middlemen and losing profits to those middlemen. They were not receiving appropriate price for their product. Hence, it led to the creation of alternative channel. The features of these channels were that farmers can sell directly to consumer and get higher price in comparison to selling through middlemen. Some of these examples are Hadapsar Mandi in Pune, Uzhavar Sandies in Tamil Nadu, Rythu Bazars in Andhra Pradesh and Telengana and Apni Mandi in Punjab, Haryana and Rajasthan. Apart from this, another alternative channel was sale of produce to national and international companies on contract basis. Payments were made in advance for products at pre-determined rates. The use of these channels helped farmers in raising income.

10. Distinguish between ‘Green Revolution’ and ‘Golden Revolution’

11. Do you think the various measures taken by the government to improve agricultural marketing are sufficient? Discuss.

For improving the system of agricultural marketing, the government came up with variety of measures which are as follows:

1. Regulated markets organisation.

2. Minimum Support Price Policy

3. Development of cold storage, warehouses

4. Agriculture themed programs which were aired on radio and television

After all these initiatives, the system was successful in parts. Following are some of the obstacles that prevented a successful agricultural marketing system:

1. Farmers do not have a knowledge of market prices and market conditions that leads to sale of produce at a price lower than expected.

2. Insufficient storage spaces making farmers sell their produce at low rates

3. Lack of availability of transportation makes farmers unable to reach new markets

4. Large number of intermediaries are involved which reduces customer interaction and farmers get paid less

5. Farmers become easy targets of false weighing techniques

6. Lack of institutional credit forces farmers to borrow from moneylenders at high interest rate.

12. Explain the role of non-farm employment in promoting rural diversification.

India as a country is mainly dependent on agriculture produce and most of the population in rural areas are engaged in farming. Due to saturation in agriculture field, the demand for non-farm activities has increased extensively. Agriculture industry is plagued by the problem of disguised unemployment. The non-farm sectors are less risky as compared to agriculture and also provide proper livelihood for the rural people. Industries like agro-processing, leather, food processing, leather and tourism industry are some of the dynamic sub sectors where employment can be generated. There are other sectors which lack infrastructure and support like pottery, handloom and crafts. Therefore men and women from rural areas are seeking employment opportunities in these industries which is a sign of rural diversification.

13. Bring out the importance of animal husbandry, fisheries and horticulture as a source of diversification.

Animal Husbandry

Animal husbandry contributes to non-farm employment in a significant way. Rural families opt for rearing and sale of cattle, poultry in addition to farming. The farmers living in semi-arid and arid areas are mostly involved in livestock farming. In India approximately 70 million people are earning their income through livestock farming. The most important products obtained from livestock farming are milk, meat and eggs and also by products like skin which can be used to make leather items.

Fisheries

Fisheries form an important source of income for states in the coastal region such as Maharashtra, Kerala, Gujarat, Andhra Pradesh and Tamil Nadu. Fishing is primarily based on inland water bodies like river, ponds, fisheries and marine water bodies such as sea. Funds have been allotted to this sector for improving the production. Still this segment has not contributed much towards GDP.

Horticulture

Horticulture is also one of the most important source of livelihood in rural India. This includes fruits, vegetables, aromatic plants, flowers and medicinal plants. India is the second largest producer of fruits and vegetables. Rise of income levels have been witnessed in families engaged in horticulture. Horticulture generates around 19% of the total labour force in India.

14. ‘Information technology plays a very significant role in achieving sustainable development and food security’ — comment.

Information technology (IT) plays a significant role in agriculture and helps in achieving sustainable development. It enables data storage associated to past and future conditions providing vital inputs for making decision and also for taking various corrective measures necessary for improvement of crop production. Weather and soil conditions can be determined with the help of information technology for improving crop productivity, and as such if there is a chance of crop failure, it can be prevented using the information obtained from IT. It is possible for farmers to connect to Kishan Call Centers for any doubt regarding agriculture, it also helps in generating employment in rural areas in form of kiosks. These kiosks serve as the source of information for improving productivity, better land usage, fertilisers, quality of seeds and other modern techniques that are required for agriculture. Hence we can say that agriculture plays significant role in achieving sustainable development.

15. What is organic farming and how does it promote sustainable development?

Organic farming is a form of farming that puts an emphasis on preserving and enhancing the ecological balance. This type of farming uses organic inputs for cultivating crops. Traditional farming techniques use fertilizers, pesticides which causes damage to ecosystem. In organic farming, toxic free are produced while maintaining the fertility of the soil and contributing towards creating ecological balance.

16. Identify the benefits and limitations of organic farming.

Benefits of Organic Farming:

1. Organic farming does not use harmful chemicals so it is not harmful for the environment.

2. Chemical fertilizers cause the soil to lose its fertility after a period, whereas organic farming preserves the soil fertility.

3. Crops that are grown organically have higher nutritional value as compared to standard grown crops.

4. It is an inexpensive mode of farming suitable for the small and marginal farmers.

5. International markets have a higher demand for organically produced crops.

Limitations of Organic Farming:

1. Organic farming has a lesser yield than yield obtained from conventional farming using fertilizers, hence less productivity.

2. As organic farming has low productivity, it is not popular amongst the farmers.

3. Marketing of products and inadequate infrastructure are some concerns that needs to be addressed.

4. Due to low yield, it is not seen as a financially viable option for small and marginal farmers.

17. Enlist some problems faced by farmers during the initial years of organic farming.

It was observed during the initial years of organic farming that the yield produced was lesser than the modern farming. Due to this reason the farmers were unable to take large scale production. As it was having low yield per hectare, it was not seen as financially viable for small and marginal farmers. The organically produced varieties are perishable having short shelf life and the choice of crops during off season are limited in case of organic farming.