Chapter

1.
INTRODUCTION
1.1 HISTORY OF AGRICULTURE IN INDIA
The beginning of agriculture marked the commencement of civilized society.

Agriculture was introduced in the Holocene Era (10000 BC) due to increase in
population and also due to change in the climatic conditions. During Bronze Age
(9000 BC), the homosapiens switched from the profession of hunting to agriculture1
[1]. Agriculture made people to have a stable settlement and they have also expanded
urban- based societies. India is known as a land of agriculture and has made
tremendous progress since independence providing livelihood to people living in both
rural as well as urban i.e. provides employment to about 70% people. About 49% of
the labor force is mainly occupied under agriculture sector in 2012. Though it is the
largest employer but its contribution to GDP of Indian economy has diminished to
13.9% in the year 2013-142[2]. In India over 43% of the geographical area is under
agriculture. Indian agriculture is of the monsoon- driven and has two cropping
seasons (Kharif and rabhi), it has various climatic conditions which are suitable for
agriculture. Major crops grown in these climatic conditions are acid lime, banana,
bajra, coffee, cashew, cotton, coconut, cabbage, cauliflower, jowar, mango, oilseeds,
rice, wheat, pulses, sapota etc. The food grain production has reached the highest
production from 104.67 million tonnes in 1973-74 to 264.77 million tonnes in the
year 2013-20143[3]. In India, major agricultural contributing states are Andhra
Pradesh, Bihar, Gujarat, Haryana, Maharashtra, Madhya Pradesh, Punjab, Uttar
Pradesh and West Bengal. It has recorded 12% growth in export of Agricultural
products such as Vegetable Oil, Sugar, Wheat, Oil Meals, Rice (Basmati & Non-
Basmati) and Pulses.
India is one of the largest producers of milk (132.4 million tonnes in 2012-
2013), jute and pulses and also has the second largest cattle population (i.e. 118.89
million in 2012) in the world4 [4]. India has ranked as the second largest producer of
1
Agro product: History. (2008). Retrieved February 2015, from agro product:
http://www.agriculturalproductsindia.com/agro/history.html
2
Pocketbook of agricultural statistics 2013-14, New Delhi: Ministry of Indian Agriculture
3
Reserve Bank of India. (ON595) & Ministry of Consumer Affairs, Food & Public Distribution, Govt.
of India.
4
Department of Animal Husbandry, Dairying & Fisheries, Ministry of Agriculture, GoI
1
rice next to china producing about 99000 million tonnes in 20125[3] and also recorded
as second largest producer of fruits and vegetables producing about 76424.2 thousand
tonnes of fruits and 156325.5 thousand tonnes of vegetables in 2011. Many industries
such as cotton industry, food processing industry, jute, and sugarcane industries
depend on agriculture for raw material. With the green revolution, the purchasing
power of people living in rural areas has increased and also the consumptions of
agricultural inputs like seeds, machinery, pesticides, fertilizers etc has increased
stimulating the improvement of Agri-industries. Agriculture sector earns foreign
exchange by exporting agricultural commodities like coffee, cotton, tea, tobacco,
spices, fruits, vegetables, jute, etc. which helps to pay in return for the imports of raw
material and machinery used for both agricultural and non-agricultural sector. The
significance of agriculture to India is figured by a statement “If Agriculture survives,
India survives” 6[1].
1.2 AN OVERVIEW OF AGRICULTURE IN INDIA
India has a total population of about 1259.7 million7[5] spread in the

geographical area 3,287,26,000 sq.km8[6]. Of the total geographical area, 60.4%9 [7]
of the land is under agriculture. The Green revolution has initiated a technological
change in Indian agriculture introducing HYV. With the introduction of HYV (High
Yielding Varieties) India has overcome the situation of starvation and became self-
sufficient. Agriculture has a great importance in Indian economy for its contribution
to GDP and is known as the backbone of the Indian economy. It provides a livelihood
for about 70% of the rural people and about 49% of the labor force is under
agricultural sector.
5
Reserve Bank of India. (ON595)
6
Agro product: History. (2008). Retrieved February 2015, from agro product:
http://www.agriculturalproductsindia.com/agro/history.html
7
Statista. (n.d.). Retrieved February 2015, from Statista.com:
https://www.statista.com/statistics/263766/total-population-of-india/
8
world stat. (n.d.). Retrieved February 2015, from worldstat.ifo:
http://en.worldstat.info/Asia/India/Land
9
The world bank Group. (n.d.). Retrieved February 2015, from The world bank:
http://data.worldbank.org/indicator/AG.LND.AGRI.ZS
2
Table 1.1 Contributions of Agriculture and Allied Sector to GDP (Rs. in Crores)
Year
Item
2009-10 2010-11 2011-12 2012-13 2013-14
GDP of Agriculture
6,60,987 7,17,814 7,53,832 7,64,510 7,99,996
and Allied Sectors
Per cent to total
14.6 14.56 14.4 13.9 13.9
GDP
Source: Central Statistics Office, Ministry of Statistics and Program Implementation, Govt. of India.
1.2.1 CROPS GROWN IN INDIA

1.2.1.1 COMMERCIAL CROPS
1.2.1.1.1 AREA UNDER CULTIVATION
The total area under agriculture is 60.4% of the total geographical area (i.e.)
16,96,23,000 ha10[8]. Of the total cultivated land, the area under cultivation of
commercial crops is 48.56million hectares (i.e. total oilseeds are 28.53millionha and
other crops are 19.03million hectares)11[9]. Commercial crops are also known as the
cash crops, grown in a tropical climate and are grown in Andhra Pradesh, Punjab and
Haryana, Rajasthan, West Bengal, Bihar, Maharashtra, Karnataka, Kerala and
Tamilnadu.
Table 1.2: Area under Cultivation of Commercial Crops in India
Sugar Cotton Jute& Toba
Tea Coffee
Oilseeds cane (Lint) Mesta cco
Ground Rapeseed& Soyabean
Year Total
nut Mustard
2004-05 6.64 7.32 7.57 27.52 3.66 0.52 0.33 8.79 0.92 0.37
2005-06 6.74 7.28 7.71 27.86 4.20 0.56 0.38 8.68 0.90 0.37
2006-07 5.62 6.79 8.33 26.51 5.15 0.57 0.38 9.14 0.94 0.37
2007-08 6.29 5.83 8.88 26.69 5.06 0.58 0.39 9.41 0.96 0.35
2008-09 6.16 6.30 9.51 27.56 4.42 0.58 0.39 9.41 0.90 0.39
2009-10 5.48 5.59 9.73 25.96 4.18 0.58 0.40 10.13 0.91 0.44
2010-11 5.86 6.90 9.60 27.22 4.88 0.58 0.41 11.24 0.87 0.49
2011-12 5.26 5.89 10.11 26.31 5.04 0.58 0.41 12.18 0.90 0.46
2012-13 4.77 6.34 10.84 26.53 5.06 - 0.42 11.98 0.87 -
2013-14 5.53 6.70 12.20 28.53 5.01 - 0.44 11.69 0.85 -
Source: Ministry of Agriculture, Government of India.
10
Food and Agriculture Organisation of United Nation. (n.d.). Retrieved from Food and Agriculture
Organisation of United Nation: http://www.fao.org/nr/water/aquastat/countries_regions/ind/index.stm
11
Agricultural statistics at Glance 2013-14, Ministry of Indian Agriculture, Government of India.
3
1.2.1.1.2 PRODUCTION OF COMMERCIAL CROPS IN INDIA
Commercial crops are of agricultural products, which are mainly produced as

a raw material for the industrial purpose. However, some of these commercial crops
are produced for both direct human consumption and also for industrial use. In 2013-
2014 the total production of commercial crops is 742.57 million tonnes excluding tea
and tobacco.
Table: 1.3 Production of Commercial Crops in India (Million tonnes)
Oil seeds
Ground Rape Cotton Raw Jute

Coffee Sugarcane Tea Tobacco
Year nut seed Soya (Lint) & Mesta
& bean
Mustard
1 2 3 4 6 7 8 9 10 11
2004-05 6.77 7.59 6.88 275.50 16.43 10.27 237.09 906.84 0.55
2005-06 7.99 8.13 8.27 274.00 18.50 10.84 281.17 948.94 0.50
2006-07 4.86 7.44 8.85 288.00 22.63 11.27 355.52 973.07 0.47
2007-08 9.18 5.83 10.97 262.00 25.88 11.21 348.19 987.02 0.44
2008-09 7.17 7.20 9.91 262.00 22.28 10.37 285.03 972.77 0.57
2009-10 5.43 6.61 9.96 290.00 24.02 11.82 292.30 991.18 0.69
2010-11 8.27 8.18 12.74 302.00 33.00 10.62 342.38 966.73 0.88
2011-12 6.96 6.60 12.21 314.00 35.20 11.40 361.04 1,095. 0.82
2012-13 4.70 8.03 14.67 318.20 34.22 10.93 341.20 - -
2013-14 9.67 7.96 11.99 311.50 36.59 11.58 350.02 - -
Source: Ministry of Agriculture, Government of India, Coffee Board of India, Tea Board of India.
1.2.1.2 FOOD GRAINS
1.2.1.2.1 AREA UNDER CULTIVATION OF FOOD GRAINS

In India the total area under cultivation of food grains is of 126.04 million
hectares in the year 2013-14 of which 100.81 million hectares is under rice, wheat and
pulse and 23.47 million hectares is under cultivation of pulses12 [9]. Compared to the
12
4
previous year the land under cultivation of food grains has increased by 6 million
hectares in order to serve the increase in population.
Table: 1.4 Area under Cultivation Of Food Crops (million ha)

Cereals Total
1 2 3 4 5 6 7
Year Rice Wheat Coarse Total Pulses Food grains
Cereals (2+3+4) (5+6)
2004-05 41.91 26.38 29.03 97.32 22.76 120.08
2005-06 43.66 26.48 29.06 99.20 22.39 121.60
2006-07 43.81 27.99 28.71 100.51 23.19 123.70
2007-08 43.91 28.04 28.48 100.43 23.63 124.06
2008-09 45.54 27.75 27.45 100.74 22.09 122.83
2009-10 41.92 28.46 27.68 98.06 23.28 121.33
2010-11 42.86 29.07 28.34 100.27 26.40 126.67
2011-12 44.01 29.86 26.42 100.29 24.46 124.75
2012-13 42.41 29.65 24.64 96.70 23.47 120.16
2013-14 43.95 31.19 25.67 100.81 25.23 126.04
1.2.1.2.2 PRODUCTION OF FOOD GRAINS IN INDIA
Indian agriculture depends mostly on monsoon rainfall. During the past five
years, the production of food grains had reached the highest producing 264.77 million
tonnes. In the total food grain production, production of pulses was 19.27 million
tonnes, rice was 106.51 million tonnes, wheat was 95.91 million tonnes and cereals
were 43.05 million tonnes. Major food grains producing states are Andhra Pradesh,
West Bengal, Bihar, Maharashtra, Karnataka, Tamilnadu, Madya Pradesh etc.
5
Table: 1.5 Production Of Food Grains In India (Million tonnes)
Cereals Total
1 2 3 4 5 6 7
Year Rice Wheat Coarse Total Pulses Food grains
Cereals (2 to 4) (5+6)
2004-05 83.13 68.64 33.46 185.23 13.13 198.36
2005-06 91.79 69.35 34.07 195.20 13.38 208.60
2006-07 93.36 75.81 33.92 203.08 14.20 217.28
2007-08 96.69 78.57 40.75 216.02 14.76 230.78
2008-09 99.18 80.68 40.04 219.90 14.57 234.47
2009-10 89.09 80.80 33.55 203.45 14.66 218.11
2010-11 95.98 86.87 43.40 226.25 18.24 244.49
2011-12 105.30 94.88 42.01 242.19 17.09 259.29
2012-13 105.24 93.51 40.04 238.79 18.34 257.13
2013-14 106.54 95.91 43.05 245.50 19.27 264.77
Source: Ministry of Agriculture, Government of India
1.2.1.3 STATE-WISE PRODUCTION OF COMMERCIAL AND FOOD

GRAINS IN INDIA
In the year 2013-14 Andhra Pradesh is recorded as the second highest

producer of rice producing 13027.1 thousand tonnes of rice, Uttar Pradesh is the
largest producer of wheat, Karnataka is the largest producer of cereals, in pulses
Madhya Pradesh is the largest producer13[9]. In a total production of food grains,
Andhra Pradesh is recorded as the third largest producer of all the food grains next to
Uttar Pradesh and Madhya Pradesh. In commercial crop production especially in
cotton Andhra Pradesh stood in the third position next to Maharashtra and Gujarat
producing 7140 bales in the year 2013-14.
13
6
Table: 1.6 State-Wise Productions of Commercial and Food Grains in India
(thousand tonnes)
Year (2013-14)
FOOD GRAINGS COMMERCIAL CROPS
Raw
Coarse Cotton Sugar- Jute &
State Rice Wheat Pulses Oilseeds
cereals (Lint) cane Mesta
Andhra
13027.1 7.0 5511.9 1552.0 1836.0 7140 15360.0 83.0
Pradesh
Assam 4778.0 32.0 19.0 110.0 162.2 - 969.0 741.6

Jharkhand 2741.1 356.3 525.4 570.3 192.9 - 457.0 -
Karnataka 3758.0 230.0 6720.0 1465.0 1284.9 1400 35910.0 -
Kerala 509.2 - 0.3 4.0 1.0 - 209.7 -
Madhya
2780.7 13927.7 2433.4 5093.6 6655.0 1850 3310.1 2.3
Pradesh
Bihar 5507.9 5081 2049.6 515 144.1 - 13476.6 1929.5
Chhattisgarh 6716.4 134 261.8 470.8 185.4 - 22.1 2.2

Gujarat 1616 3651.4 2208 739 6837.9 10950 12550 -
Haryana 3998 11800 1051 125 898.5 2550 7446 -
Himachal
132.5 538.5 708.8 39.1 9.2 - 27.5 -
Pradesh
Maharashtra 2946 1602 6248.2 3120 5241 8520 76554.8 35
Orissa 7583.6 1.1 325.7 423.7 161.2 380 936.5 82.3
Punjab 11267 17035.3 558.8 40.9 67.8 2250 6311.7 -
Rajasthan 312.6 8921.8 6600.5 2467.7 6069.8 1050 362.9 -
Tamilnadu 5536.9 - 2522 435.3 1004.9 500 31760.2 -
Uttar
14628 30246.3 3464.4 1708.4 932.1 - 135161
Pradesh
Uttarakhand 579 844 299 57 36 - 6432 -
West
15313.7 947 540.3 249.8 932.9 - 1705 8621.8
Bengal
Source: Agricultural Statistics at a Glance, Ministry of Agriculture, Government of India. in thousand
bales of 180 kg each.
7
1.2.1.4 AGRICULTURAL AREA AND PRODUCTION SCENARIO OF
SELECTED CROPS IN INDIA
As per the data available from the Ministry of Agriculture India, the total area
under cultivation of selected food crops i.e. rice (43.95 mha), wheat (31.19 mha),
cereals (25.61 mha), pulses (25.23 mha) is 126.04 million hectares and overall area
under cultivation of food grains has increased by 6 mha in the year 2013-14. The
production of selected food crops has reached the highest target of 126.04 million
tonnes compared to previous years producing rice 106.54 million tonnes, wheat 95.91
million tonnes, cereals 43.05 million tonnes, and pulse 19.27 million tonnes. Whereas
the area under cultivation of commercial crops i.e. oilseeds is 28.53 mha, sugar cane
is 5.01mha, and cotton is 11.69 mha and the production of these crops is oilseeds
32.88 million tonnes, sugarcane is 350.02 million tonnes and the cotton is 36.59
million bales.
Table: 1.7 Areas and Production Scenario in India

Area (million hectares) Production (million tonnes)
Crops
2011-12 2012-13 2013-14 2011-12 2012-13 2013-14
Rice 44.01 42.41 43.95 105.30 105.24 106.54
Wheat 29.86 29.65 31.19 94.88 93.51 95.91
Coarse
26.42 24.64 25.61 42.01 40.04 43.05
Cereals
Pulses 24.64 23.47 25.23 17.09 18.34 19.27
Food-
124.75 120.16 126.04 259.27 257.13 264.77
Grains
Oilseeds 26.31 26.53 28.53 29.80 30.94 32.88
Sugarcane 5.04 5.06 5.01 361.04 341.20 350.02
Cotton 12.18 11.98 11.69 35.20 34.22 36.59
1.2.2 EXPORTS AND IMPORTS OF AGRICULTURAL PRODUCTS FROM

INDIA
India is the major exporter and importer of major agricultural products. It
mainly imports jute and vegetable oils. It imported about 95 thousand tonnes of
vegetable oils and 51 thousand tonnes of jute in the year 2013-2014 till February
2014. India mainly exports rice, wheat, cotton etc. In the year 2013-2014 when
8
compared to previous years it has exported 60482.95 crore rupees of cotton, 26519
crore rupees of basmati rice, but the export of wheat reduced by 1700 crore.
Table: 1.8 Imports of Agricultural Products by India

Import of Agricultural Products by India
(2009-2010 to 2013-2014-upto Feb 2014)
(Quantity : ' 000 Tonne; Value : Rs. in Crore)
2010-2011 2011-2012 2012-2013 2013-2014
Items
Quantity Value Quantity Value Quantity Value Quantity Value
Pulses 2698.66 7149.6 3308 8767 35 11640 28 9861
Wheat 185.28 255.85 0.02 0.08 - - - -
Rice 0.22 1.12 1.06 5.48 - - - -
Other
Cereals 30.68 59.53 15.36 30.04 - - - -
Cereal
Preparatio 37.27 225.95 46 300 - - - -
n
Milk &
Cream 37.14 491.65 63 1038 - - - -
Cashew
Nuts 504.14 2479.7 809 5338 9 5085 7 4313
Cashew
shelled - - 2.08 42.79 - - - -
Fruits &
Nuts
Excluding - 3684.2 - 4519 0 5326 0 7155
Cashew
Nuts
Spices 107.89 1358.7 124 2102 1 2291 1 3084
Sugar 1198.39 2789.5 997 3138 10 2807 9 2278
Oil Seeds 53.91 113.21 - 93.89 0 322 0 810
Vegetable
Oils Fixed 6905.43 29860 8429 46242 101 56520 95 51699
(Edible)
Vegetable
& Animal 0.78 16 0.86 19.99 - - - -
Fats
Cotton
(Raw & 44.99 607.09 78 1059 2 2338 2 2220
Waste)
Jute
(Raw) 74.87 273.04 181 449 1 317 51 142
Tea 19.69 186.92 22.43 218.91 - - - -
Wood &
Wood - 7251.2 - 11856 0 12883 0 13981
Products
Total
Agricultur - 56196.1 - 82819 - - - -
al Imports
Total
National - 160531 - 234546 - - - -
Imports
% Share
of
Agricultur
al Import - 3.5 - 3.53 - - - -
in
National
Imports
Source: Ministry of Agriculture, Govt. of India. (16146)
9
Table: 1.9 Export Of Agricultural Products From India
Export of Agricultural Products from India
(2009-2010 to 2013-2014)
(Quantity : in ' 000 Tonne; Value : Rs. in Crore)
2013-2014
2010-2011 2011-2012 2012-2013
(April13-feb14)
Commo
Quantity Value Quantity Value Quantity Value Quantity Value
dities
Pulses 208.02 865.74 174.2 1065.8 201.65 1279.9 - -
Rice
2186.45 10581 3212 15450 35 19391 34 26519
Basmati
Rice
(Other
99286 222.21 4099 8668 67 14417 64 16117
than
Basmati)
Rice 2471.37 11586 - - - - - -
Wheat 0.4 0.7 740.75 1023.2 65 10488 51 8604
Other
3220.07 3648.4 4072 5479 5463.44 8217 - -
Cereals
Tea 233.4 3174.5 292.35 4078.5 267.49 4677 - -
Coffee 222.86 2912.0 278.87 4534.6 253.95 4712.5 - -
Tobacco
Unmanuf 207.55 3007.6 197.17 2899.4 230.34 3814.9 - -
actured
Tobacco
Manufact - 791.07 - 1106.9 - 1221.3 - -
ured
Poultry
& Dairy - 780.33 - 610.6 - 1763.6 - -
Products
Floricult
ure - 286.52 - 365.32 - 423.45 - -
Products
Spices 749.03 7870.1 931 13176 10 15319 9 14499
Cashew
nut Shell 11.36 31.85 14.63 59.46 9.19 29.84 - -
Liquid
Cashew 91.56 2598.1 131.76 4390.6 104.02 4067.2 - -
Sesamu
343.03 2194.4 389.15 2641.6 299.52 2881.5 - -
m Seed
Niger
11.82 41.14 28.23 117.27 17.9 90.13 - -
seed
Ground
418.56 2099.7 832.62 5246.4 535.67 4065.5 - -
nut
Guargum
403 2805.7 707 16357 4 21190 5 10964
Meal
Oil
6797.86 10845 7436 11762 63 15822 59 15603
Meals
Castor
411.21 2851.6 492.63 4571.6 566.37 4314.7 - -
Oil
Edible
12.94 111.95 - - - - - -
Oils
Oilseeds 887.88 4643.8 - - - - - -
Shellac 3.88 112.95 4.55 256.79 3.6 400.95 - -
Sugar 1714.37 5419.1 2747 8779 2794.37 8576.2 - -
10
Onion 1138283 1780.2 - - - - - -
Molasses 1822.88 996.46 384.13 204.33 349.13 225.44 - -
Fruits/Ve
getable 11.14 170.63 15.21 287.76 17.18 349.21 - -
Seeds
Fresh
- 2144.3 - 2557.5 - 3290.5 - -
Fruits
Fresh
Vegetabl - 2530.8 - 2907.1 - 3096.5 - -
es
Processe
d
- 732.97 - 1057.3 - 1119.7 - -
Vegetabl
es
Processe
d Fruit - 1006.4 - 1656.1 - 1972.4 - -
Juices
Miscella
neous
- 2569.3 - 3832.3 - 4956.4 - -
Processe
d Items
Meat &
Preparati - 8775.9 - 14111 - 17902 - 24547
ons
Marine
800.95 11547 1032 16588 10 18833 9 28033
Products
Cotton
Raw
1258.09 12981 2013 21623 20 19813 16 19657
including
Waste
Cotton 1854.29 12966 - 22983 - 48514 6048
Jute
- 699.93 - 945.83 - 868.46 - -
Hessian
Poultry
- 272.11 - 388.35 - 460.1 - -
Products
Paper/W
- 7763.3 - 8575.1 - 10363 - 11424
ood
Total
Agricultu
- 20185 - 187609 - 230414 - -
ral
Exports
Total
National - 114817 - 1465959 - 163467 - -
Exports
% Share
of
Agricultu
ral
- 10.47 - 12.8 - 14.1 - -
Exports
in
National
Exports
Source: Ministry of Agriculture, Govt. of India.(ON464),(15758)
11
1.2.3 RAINFALL IN INDIA
Rainfall is an important water resource for the Indian agriculture. Rainfall may
vary from heavy to scanty in different parts of India. In the year 2013-14 the country
has received a rainfall of 936.7mm against the average rainfall of 886.9 mm14[10]. Of
the total annual rainfall 88% of the Long Period Average (LPA) rainfall has been
recorded from June to September in the year 2013-201415 [11]. In North West India it
is 79% of LPA, over central India it is of 90% LPA, in south peninsula it is of 93% of
LPA, in northeast India it is 88% of LPA. Of all the 622 districts, 184 districts
received plenty of rainfall, 264 districts received moderate rainfall, 156 received low
rainfall and 156 districts received extremely low rainfall16 [10].
1.2.4 CLIMATIC CONDITIONS IN INDIA
India has a tropical monsoonal climatic condition which is suitable for Indian
agriculture and also the climatic condition varies from region to region. The central
India experiences moderate temperature as well as moderate rainfall which are
suitable to grow crops like wheat, sugar cane, rice, jowar, maize, cereals, pulses etc.
In western India the climatic condition are very hot which is suitable for growing
crops like jute, cotton, wheat etc. in southern parts of Indian the climatic condition are
of extremely hot in some areas like Andhra Pradesh, Tamilnadu etc and cool in some
areas like Karnataka, Kerala etc. major crops grown in this area are rice, cotton,
barley, wheat sorghum etc.
1.2.5 TYPES OF SOILS AND CROPS GROWN IN INDIA
Soils are the natural resources of India. In India, we can find six types of soils.
Alluvial soils are found in northern regions, rich in nitrogen and phosphorous which
are suitable to grow crops like Wheat, jute, sugarcane, rice and cotton. Black soils are
mostly hilly areas and Southern India; these soils contain a moderate amount of
phosphorous and are poor in nitrogen. Crops grown in these areas are Wheat, jute,
sugarcane, rice, cotton, millets and oilseeds. Desert soil is found in northwest parts of
14
Annual report 2013-14, Department of Agriculture and Cooperation Ministry of Agriculture,
Government of India, New Delhi.
15
Government of India, Ministry of Statistics and Programme Implementation:
http://mospi.nic.in/Mospi_New/upload/SYB2015/CH-34-RAINFALL/Rainfall.pdf
16
Annual report (2013-2014). New Delhi.: Department of Agriculture and Cooperation Ministry of
Agriculture, Government of India,
12
India, these are rich in nitrogen which is useful to grow crops like Barley and millets.
Laterite soils are found in areas with heavy rainfall and are rich in iron, suitable to
grow Cashew, rubber, coconut, tea and coffee. Mountain soils, these are found in the
Himalayas and are rich in an organic matter suitable to grow crops like Tea, coffee,
spices, and tropical fruits. Red soils are found in some parts of south India, rich in
organic matter, suitable to grow Tea, coffee, spices, and tropical fruits.
Table: 1.10 Soil Types and Crops Grown

Type of
Area Rich in Crops Grown
soil
Alluvial Nitrogen and Wheat, jute, sugarcane,
Northern India
soil Phosphorous rice and cotton
Moderate Wheat, jute, sugarcane,
Black Hilly areas,
phosphorus and rice, cotton, millets and
soil Southern India
poor nitrogen oilseeds
Desert
North West India Nitrogen Barley and millets
soil
Laterite Areas with heavy Cashew, rubber,
Iron
soil rainfall coconut, tea and coffee
Mountain Tea, coffee, spices, and
Himalayas Organic matter
soil tropical fruits
Rice, wheat, sugarcane,
Southern India low in nitrogen and
Red soil millet, groundnut, ragi,
(some parts) phosphorous
and potato.
Source: http://www.gardenguides.com/128581-types-soil-crops-grown-india.html
1.2.6 CHANGES IN CROPPING PATTERNS
Cropping patterns are the area cultivated under different crops at a particular
time whereas the change in cropping pattern is the change in the area under
cultivation of crops at two particular times, which may change over time. This is
controlled by technological, physical and socio-economical factors17 [12]. Crops that
17
Punithavathi, J., & Baskaran, R. (2010). “Changes In The Cropping Pattern, Crop Concentration,
Agricultural Efficiency In Papanasam Taluk, Thanjavur District, Tamil Nadu, India”. Recent Research
in Science and Technology, 2(5): 01-07.
13
are more profitable commonly replace less profitable crops. In 2013-14 due to
increase in population cultivation of food grains (126.04 mha) especially rice
(43.95mha) has increased18[10][9] and in commercial crops production of cotton and
jute has increased due to insufficient rainfall, risk factors in the cultivation of other
crops, the growth of textile industries created a demand for cotton as well as jute.
1.2.7 TYPES OF FARMING PATTERNS
India has the largest plain area compared to other countries; along with this,
the country has different climatic conditions, different soil types and proper irrigation
facilities which are suitable for agriculture. In addition to these change in
technological, introducing of agricultural inputs such as insecticides, High Yielding
Varieties (HYV) of seeds and fertilizers played an important role in the introduction
and development of farming practices in India19 [13].
1.2.7.1 SUBSISTENCE AND COMMERCIAL FARMING
SUBSISTENCE FARMING: Subsistence farming is that farming for self

consumption. Small Farmers generally practice this type of farming where the
entire production is meant consumption of their own family members and
cultivation techniques are also simple, no usage of modern machinery, seeds,
pesticides, and fertilizers. Crops cultivated with this type of farming are
cereals, pulses, oil seeds, vegetables etc.
COMMERCIAL FARMING: Large and marginal farmers adopt this type of

farming where the production is meant for commercial use i.e. selling purpose.
Farmers adopt the latest machinery, uses high-quality seeds, pesticides and
fertilizers. Crops cultivated under this farming are cotton sugarcane, jute, and
groundnut.
18
Annual report 2013-14, Department of Agriculture and Cooperation Ministry of Agriculture,
Government of India, New Delhi.
19
Retrieved from http://www.nos.org/media/documents/SecSocSciCour/English/Lesson-12.pdf
14
1.2.7.2 INTENSIVE AND EXTENSIVE FARMING
These two types of farming differ based on the amount of output per
unit of land. Extensive farming is mostly practiced in USA and CANADA20
[13], in India; we don’t find this type of farming.
INTENSIVE FARMING: In this type of farming agricultural output per unit

of land is high. Generally, this is practiced in areas where land for cultivation
is limited. In India, we can find the similar situation in the state of Kerala.
EXTENSIVE FARMING: It is of two types; Plantation farming and Mixed

farming.
 Plantation Farming: Farmers growing a single commercial crop for

the purpose of sale adopt this type of farming. Tea, rubber, coffee,
spices and banana are the plantation crops grown under this farming.
 Mixed Farming: It is the situation where farmers simultaneously carry
out both growing crops and rearing animals. Generally, farmers
engaged in this type of farming will be more economically benefited
than another type of farming patterns.
1.3 DEMOGRAPHICAL PROFILE OF GUNTUR DISTRICT
1.3.1 POPULATION
The district has a total population of 4,887,813 with a population density of

429 residents per sq km and ranked as 22nd largest populated state in India. According
to 2011 census, of the total population 2,440,521 are males and females are about
2,447,292. Of the total population rural population is about 3,235,075 whereas urban
population is about 1,652,738. The growth rate of population from 2001-2011 is
9.5%. Sex ratio is of the district is 995 females for 1000 males.
20
ibid
15
Table: 1.11 Total Populations of Guntur District
Total Population Rural population Urban population
Total Total
4,887,813 Total persons 3,235,075 1,652,738
persons persons
Males 2,440,521 Males 1,621,491 Males 819,030
Females 2,447,292 Females 1,613,584 Females 833,708
Source: Government of India, census 201121 [14].
1.3.2 LAND UTILIZATION PATTERNS IN GUNTUR DISTRICT
The total geographical area of Guntur district is 1139100 hectares. Of these

161940 hectares is covered by forest and 31650 ha area is of barren and uncultivable
land. An area of 633825 ha has been sown during the year of 2013-14 and 7500 ha
area has sown more than twice in that year. Nearly 24726 ha area is covered by
Miscellaneous trees and Groves. The land which was put to non-agricultural use is
161027 ha. Of all the total geographical area the land under cultivation is more than
the others, this shows that the Guntur district is contributing much to Agriculture.
Table: 1.12 Land Utilization Patterns In Guntur District: (Area in Ha)
1 Total Geographical Area 1139100

2 Area under Forests 161940
3 Barren and Uncultivable Waste 31650
4 Land put to Non-Agricultural Use 161027
5 Permanent Pastures and other Grazing lands 16150
6 Miscellaneous trees and Groves not included in net area sown 24726
7 Cultivable waste 26677
8 Other fallow lands 38833
9 Current Fallows 36772
10 Net area sown during 2013-14 633825
11 Area sown more than once 7500
Note: Net area sown excludes area under prawn culture of 5356 Hects.
Source: Department of Agriculture, Guntur District, Andhra Pradesh.
21
http://www.censusindia.gov.in/2011census/PCA/PCA_Highlights/pca_highlights_file/India/Chapter-
1.pdf
16
1.3.3 LAND HOLDINGS BY FARMERS
Andhra Pradesh is well known as the food bowl of the country. Most of the
people depend on cultivation of food crops and commercial crops. About 161027ha of
the land in Guntur district is under cultivation of various crops. Farmers were
categorized to marginal, small and big farmers according to the land possessed by
them. According to the available statistical data from department of agriculture
Guntur District, farmers possessing less than 1 hectare of land is known as marginal
farmers, farmers possessing 1.0 to 2.00 hectares of land is known as small farmers,
farmers possessing a range of 2 to 4 hectares of land are known as semi medium
farmers and farmers possessing above 10 hectares of land are known as large farmers.
In the district, there are about 687356 numbers of total marginal and small farmers, a
total of 73295 numbers of big farmers and about 230000 tenant farmers cultivating
the land under agricultural crops.
Table: 1.13 Land Holdings by Farmers in Guntur District

SL.No Type of Farmer No. % to Total
1 Marginal farmers (below 1 hect.) 536291 71%
2 Small farmers (1 to 2 hect.) 151065 20%
Total (MF &SF) 687356 90%
3 Semi Medium farmers (2 to 4 58366 8%
Hec.)
4 Medium farmers (4 to 10 Hec.) 14312 2%
5 Large farmers (above 10 Hec.) 617 0%

Total Big farmers (above two 73295 10%
hect.)
Total 760651
6 Tenant Farmers 230000
Source: Department of Agriculture, Guntur District, Andhra Pradesh.
1.3.4 CROPPING PATTERN IN GUNTUR DISTRICT
There are two agricultural seasons like kharif (rainy) and rabi (summer). Food
crops such as rice, jowar, maize, bajra, red gram, green gram and commercial crops
such as chillies, tobacco are grown in both seasons. But some crops such as cotton,
17
sugarcane are grown in kharif season only. The total cropped area in Guntur district
during kharif season is 560874 ha and total cropped area during rabi is 257459 ha.
Cropping patterns changes based on the rainfall, climatic conditions and irrigation
facilities.
Table: 1.14 Cropping Pattern in Guntur District (2014-15)

Normal Area
(Ha.)
Sl. No.Name of the Crop Kharif Rabi
1 RICE 239630 47643
II COARSE GRAINS:
2 Jowar 148 13904
3 Maize 845 77485
4 Ragi 119
5 Bajra 1319 28
6 Others 17
Sub-Total: 241942 139196
III PULSES:
7 Redgram 19807 1048
8 Greengram 4731 14498
9 Blackgram 355 54791
10 Horsegram
11 Bengalgram 12528
12 Cowpea
Sub-Total: 24893 82865
Total food grains 266835 222061
IV OIL SEEDS:
13 Sunflower 0 78
14 Groundnut 380 4838
15 Sesamum 3646 989
16 Castor 1134 511
17 Other Oil seeds 120 611
Sub-Total: 5280 7027
V OTHER CROPS:
18 Cotton 172978 0
19 Sugarcane 655 0
20 Chillies 63933 2959
21 Tobacco 1810 4238
Others 49383 21174
Sub-Total: 288759 28371
TOTAL CROPPED AREA 560874 257459
Source: Agricultural office, Guntur District.
18
Table: 1.15 Cropping Pattern in Guntur District From Last Five Years
Sl. No. Name of 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15
the Crop
1 Paddy 191000 271000 282000 174669 280060 287273
2 Maize 1000 0 1000 1103 1530 78330
3 Redgram 31000 25000 17000 13555 13579
20855
4 Greengram 1000 14000 1000 2980 4273
19229
5 Blackgram 0 0 0 761 223
55146
6 Groundnut 0 0 0 434 510 5218
7 Gingelly 2000 6000 3000 1945 5672 -
8 Castor 1000 2000 1000 1728 869 1645
9 Chillies 62000 61000 74000 58609 63406 66892
10 Cotton 152000 170000 163000 187397 193207 172978
11 Jowar 0 0 0 295 205 14052
12 Bajra 0 1000 0 1882 3323 1347
13 Soyabean 0 0 0 168 433 -
14 Others 54796 50203 59664 47372 47523 48677
Total : 495796 600203 600664 492898 614813 771642
Source: Agricultural office, Guntur District.
From the above table we can observe fluctuations in area of cultivation of

cotton crop. From 2009-10 to 2013-14 the area under cultivation of cotton is gradually
increasing but in the year 2014-15 the area has decreased but the total area under
cultivation of variety of crops is increased to 771642 ha.
1.4 INTRODUCTION TO SEED
Seeds are the indicators of life and it is a part of a plant which has a capacity
to generate a new plant. They are the first link in the food chain and transfer the secret
of life to its next generations. The seed contains all the genetic information related to
the quality of the output, resistance to diseases and insects, yield and adaptation
feature to the conditions of cultivation. Seed is defined as the mature ovule consisting
of an embryonic plant and is surrounded by a protective seed coat. During the sixties,
i.e. in 1966-67, high yielding varieties, as well as the hybrid varieties, were introduced
and this has brought a revolutionary progress in Indian agriculture in the production
19
of food and commercial crops. So it is considered as a crucial period to Indian
agriculture22 [15].
1.4.1 IMPORTANCE OF SEED IN INDIAN AGRICULTURE
Seeds hold prime importance in agricultural systems in India. India’s

population has been increasing day by day. The population has increased by 0.06
billion (in 2014, 1.27 billion)23 when compared to population in 2011(1.21
billion)24[16]. In order to meet the demand of increasing population, the food
production has to be doubled by integrated natural resource management and by
adopting modern technology. The modern technology involves intense usage of
nontraditional agricultural inputs like better quality seeds (hybrid), fertilizers,
weedicides, pesticides and modern machinery. Among all the agricultural inputs seed
has a vital importance in Indian agriculture. It is a basic agricultural input which acts
as a catalyst to other agricultural inputs to be cost effective. A quality seed alone
enhances the production of a crop by 25% when compared to the performance of
other inputs, this shows that better seeds sown can harvest better future 25[17]. Use of
good quality seeds is a requirement for farmers as the return on investment or the
yield depends on the seed they use. In olden days farmers usually perpetuate a portion
of their agricultural produce for use as a seed. But now this tradition has disappeared
due to the technological advancements in seeds i.e. tolerating to floods, resistance to
diseases and has created a demand for seeds and also marketing of seeds. The seeds
which farmers use should be of genetically true, physically pure and healthy and
should also posse’s additional feature like free from contamination and free from an
exogenous mixture. If the seeds don't fulfill this minimum features it shows adverse
effects on production and quality causing great damage to farmers. An old seed has to
be replaced by high yielding varieties/ hybrids; seed replacement rate has to be
increased. The quality of the seeds depends on the production and storage conditions.
22
Writing articles. (n.d.). Retrieved 2015, from Writing articles:
http://manas.expertscolumn.com/article/high-yielding-variety-seeds
23
http://www.indiaonlinepages.com/population/population-of-india-2014.html
24
Census of India (2011),
http://www.censusindia.gov.in/2011census/PCA/PCA_Highlights/pca_highlights_file/India/Chapter-
1.pdf
25
AgriQuest. (n.d.). Retrieved march 2015, from AgriQuest: http://agriquest.info/index.php/quality-
seed-and-its-importance-in-agriculture
20
The quality of a seed varies from one another based on the formation and maturation
period, time of harvest, handling, chemical treatment and preservation conditions.
1.4.2 HISTORY OF HYBRID SEEDS
The first hybrid seed introduced was in the maize in the year 1920’s and is
extended to flowers and vegetables, and recently in other varieties such as rice, cotton
etc26 [18]. All the seeds which we use now are hybrid seeds. Generally, seeds are
produced from out breeding crops and by repeated pollination of out breed crops,
inbred lines are produced. These inbred lines are crossed and F1 generation is
produced. This F1 generation seed has heterosis which helps in the uniform
production of plants with equal benefits and helps in increasing yield of the crops
compared to inbred lines. The hybrid seeds once used cannot be saved as a seed for
future use and so the farmer has to purchase the seed every year. Use of hybrid seeds
benefits farmers by giving a better yield, improve colour, uniformity, develops disease
resistance etc. Usage of hybrid seeds is prevalent in commercial seeds and also in
horticultural crops. Nowadays hybrid seeds are playing a dominant role in seed
business increasing the agricultural yield.
In 1970 the Cotton Research Station located at Surat in Gujarat state developed
the first cotton hybrid in the world (i.e. H4 variety)27[19]. It is popular by its high
yielding factor and is accepted by states such as Andhra Pradesh, Karnataka,
Maharashtra, and Tamilnadu. The public hybrids are produced and marketed by the
state seed corporations and the state seed certification agencies registers and certify
the seeds. In addition to the public hybrids, the private seed companies produce and
markets both the public hybrids as well as the hybrids developed by their own. The
Government of India made the foundation seeds available to all those who want to
multiply and market the seeds to the farmers. India is the first to introduce hybrid
seed in cotton which was introduced by the public sector.
26
Science in Society Archiev. (2009). Retrieved march 2015, from Science in Society:http://www.i-
sis.org.uk/hybridSeed.php
27
Agro products. (2012-13). Retrieved march 2015, from Agro products:
http://www.agriculturalproductsindia.com/seeds/seedshybridseeds.html
21
1.4.3 IMPORTANT ASPECTS OF A SEED
 SEED HEALTH: Seeds should be of good health. Seed health determines the
quality of the seeds. Quality seeds are those which consist of good
germination capacity and also a good strength for developing into a plant
28
[17]. Healthy seed should be free from insecticides, weeds and also
infestation caused by bacteria and fungi as the infection reduces physical and
also the physiological quality of the seeds. Seeds used by the farmers should
be of qualitative as it determines the yield of the crop (production) and shows
an impact on their economic development. So farmers should be very careful
while selecting the seed.
 PURITY OF SEEDS: Seed purity has to be maintained at 96-98% and should
be of invariable in size and shape without any damage 29[17]. Seeds should be
free from seeds of other crops, dust, weeds, damaged and broken seeds and
stones. After harvest seeds should be partitioned from empty seeds and also
from infected seeds in order to maintain the purity of seeds. Seed purity
standards specify the percentage of purity or the contamination present in the
seeds.
 GENETIC PURITY OF THE SEEDS: Maintaining genetic purity is
essential to secure the quality of the seeds. Traditional features of the seeds
should be preserved for generations to generations. The F1 generation seeds
should be similar to breed line (mother seed). The state seed laws and seed
certification agencies will establish the genetic purity standards in order to
provide detailed information to the buyer and assure that they had bought the
accurately labeled seeds of a particular crop variety.
 MOISTURE CONTENT OF THE SEED: Seeds containing high moisture
content losses its germination capacity and vitality in a short time.
Consequently, it is elementary to maintain right moisture content to retain the
germination capacity and vitality of a seed. And it is also mandatory to prevent
the seed from attacking various pest infections and diseases. So proper
28
29
ibid
22
moisture level of 9-13% has to be maintained by measuring it with a digital
moisture meter30 [17].
1.4.4 DIFFERENT CLASSES OF SEEDS
The association of seeds certification agency defined four main classes of seeds. They
are
 Nucleus seeds.
 Breeder seeds.
 Foundation seeds.
 Certified seeds.
 NUCLEUS SEEDS: These are the basic seeds class and are used for the
production of seeds. They are 100% genetically pure. Breeder maintains and
multiplies this class of seeds using different crop multiplication techniques.
The nucleus seed is produced under the supervision of an efficient plant
breeder31 [20].
 BREEDER SEEDS: The next generation of nucleus seeds is the breeder seed.
It is produced in Agricultural universities and also in Research Institutions
under the governance of a breeder. The whole process is done under the
supervision of seed certification officers, scientists and representatives of
National Seed Corporation. A produced breeder seed is 100% genetically pure
and a golden yellow color certification tag is given to it.
 FOUNDATION SEEDS: The next generation of breeder seed is the
foundation seed. These foundation seeds are produced by private seed
producer and also at Government farms. The production may also be
undertaken by the farmers by getting breeder seeds from government and also
from the private seed companies. A produced breeder seed are off 99.5%
genetically pure and is given a white colour certification tag.
 CERTIFIED SEEDS: Certified seeds are produced from foundation seeds.
National Seed Corporation, farmers and also private seed companies produce
this seeds. Produced seed should be uniform and pure. The quality standards
30
31
Kulakarni, G. (2011). “Principles of seed technology”. New Delhi: Kalyani Publishers.
23
should be as prescribed by the Seed Certification Department. These seeds are
off 99% genetically pure and are given a blue certification tag. These certified
seeds are made available to farmers by the private seeds companies and also
by government, provides various subsidies to the farmers32 [20].
1.5 SEED INDUSTRY IN INDIA
1.5.1 INTRODUCTION
The Indian seed business is the result of refinements and modernization in

technology. The sixties are known as the crucial period to Indian seed business as the
high yielding varieties are introduced in this period and also the formation of National
Seed Corporation had taken place. With the liberalization of Seed Act, the private
seed companies have entered into seed business. Today Indian seed business has
occupied the sixth position in the world with Rs.9000 crore turnovers33 [21]. This is
due to the increase in adoption of Bt cotton hybrids, hybrid vegetable and also corn
hybrids. The hybrid market is fixed at Rs 12000 crore. Indian seed industry consists of
14 state seeds corporations, 2 national level seed corporations, and many
multinational companies. Gradually the public sector is confined to production and
distribution of high volume low value certified seeds and with a limited presence in
commercial crops such as cotton, vegetables etc. In recent years we find growing
involvement of private sector in producing and marketing of cash crops such as
cotton, cereals, corn and vegetables. The key players in private seed sector are
Monsanto, Kaveri, Nuziveedu, Pioneer, Vibha and Syngenta seeds. In India, the
hybrid seed market is growing by 15-20 % annually. Major share (i.e. 80%) of the
seed market has been occupied by 10 multinational companies. By 2018 the hybrid
seed market in India is estimated to reach by Rs 18000 crore34 [21].
1.5.2 EXTENSION OF INDIAN SEED INDUSTRY
In the initial stage, the seed industry consists of two national organizations. In
1963 the National Seed Corporation is established and acted as a sole in-charge for
both production and manufacturing of seeds for about 13 years. In 1966 government
32
ibid
33
Dr. MJ Khan., A. N. (2014, June). “Better Seeds Better Future”. Agriculture Today, pp. 20-47.
34
ibid
24
of India enacted the seed act to regulate the growing seed industry. The seed act
stipulated that seeds should confirm minimum level of physical and genetic purity and
should also assure germination percentage either by compulsory labeling or voluntary
certification. Later in 1969 State Farms Corporation of India Limited is established
with the aim of producing breeder, foundation seed, and certified seed. It is the largest
seed producing agency in India having 12 production units located in 8 different
states. During 1970’s and 1980’s, 13 State Seed Corporations (SSC) are formed and
this had taken up the role of National Seed Corporations (NSC) in different states35
[22]. In 1990-91 National Seed Project III was launched with the financial assistance
provided by the World Bank. The aim of National Seed Project III is to enhance the
efficiency and infrastructure of the Public Seed Sector. Today the task of the public
sector is confined only to fulfill the national seed requirement of high volume low-
value crops such as rice, wheat, and pulses. These seeds are supplied by the NSC and
SSC at subsidized rates (determined by the government). The private seed firms have
slowly emerged into seed sector in 60’s and 70’s36 [22]. In initial state, the role of
private firms has confined only to the multiplication of seeds, slowly with the
technical assistance given by NSC’s they started their own breeding programs and
released breeds of their own for crops such as cotton, sunflower, maize, pearl millets
etc. fixing their own price. Later with the interference of the government, the prices of
the private hybrids are reduced and are sold at government fixed rates. Now the
private firms have occupied a major share in the Indian seed industry. Since the
hybrid varieties cannot be used for replanting the farmer has to purchase the seeds for
every season. In recent years as a result of the reduction of barriers, many foreign
firms entered into Indian seed market with the collaboration of joint ventures with
Indian firms.
1.5.3 SEED INDUSTRY UNDER PUBLIC SECTOR
Due to the developments in agricultural programs after 1960 and the

development which are occurring now, the seed trade has become seed industry
whose function is no longer merely to buy and sell, but take forward to the need of the
farmer and place its program based on science and technology. Two distinct phase of
the seed industry is to assure a continuing supply of the foundation seed of highest
35
http://base.d-p-h.info/en/fiches/premierdph/fiche-premierdph=4106.html
36
ibid
25
possible quality and the production of certified seed for sale to the farmers. India is
developing vigorous seed industry with the help of science of seed science and
technology. Undoubtedly, the public sector is playing a useful role in developing the
seed industry. Therefore, India is now considered as a developed country as far as
seed sector is concerned. India surpasses many western countries in this trade if the
volume of the seed produced and distributed is considered; about a thousand notified
varieties are available in India and the excellent quality of the seed has attracted
orders from neighboring countries like West Asia and USSR. The prices of the seed
are cheaper by International standards. Due to many fold increase in demand for the
quality seed, the preset seed industry may not be able to meet the demand. But
looking to the tremendous progress in the seed industry now and judging by the
present rate of growth, the target of producing 220 lakh quintals of quality seed by
2000 A.D should not be difficult to achieve.
1.5.4 SEED INDUSTRY UNDER PRIVATE SECTOR
The government and financial institutions have always been encouraging the
active participation of private institutions by creating an appropriate atmosphere for
the growth and the development of private seed sector. Now the private seed sector is
playing a crucial role in overall development of seed industry in India. It accounts for
about 50% of the seed production in maize, sorghum, and bajra. In vegetables and in
cotton it accounts for about 90%37[20] of the seed production. Some of the private
seed companies are actively engaged in the improvement of cultivars by taking up
plant breeding work. Hybrids of pearl millet, sorghum, cotton, maize, sunflower and
vegetables evolved by private seed companies are reported to be extremely popular
with the farmers. It is estimated that about more than 500 seed companies of different
sizes in the private sector are engaged in the seed industry. The Seed Association of
India is expected to bring a lot of coordination between public and private sector to
formulate new developments in the seed industry of the country [20].
37
26
1.6 LEGAL FRAMEWORK FOR SEED PRODUCTION AND MARKETING
1.6.1 CENTRAL SEED ACT 1966

The Government of India regulates the seeds industry and also the seed trade.
Many policies are introduced for the development of Indian seed industry of which
the Seed Act 1966, the Seed Control Order 1983, and the New Policy on seed
development 1988 laid the foundation for the present-day Indian seed industry. The
seed act 1966 defined that seeds should conform to a minimum stipulated level of
physical and genetic purity and assured percentage germination either by compulsory
labeling or voluntary certification. It is applicable to only to the notified kind variety.
This act provides instructions to Central Seed Committee to advise central
government on all matters arising out of the administration of this act. Under the Seed
Act 1966 (section 7&8), Certification Agencies, Central Seed Committees for the
States and the Central Seed Certification Boards are established to deal with the
matters relating to high-quality seed production and distribution. A unique feature of
the Seed Act 1966 is to maintain effective control over seed production and
distribution of most staple food crops in the hands of the government institutions.
1.6.2 SEED RULES 1968
To understand the scope of Seed Act 1966 the Central Government of India
has framed Seed Rules in the year 19683839[20][23]. The Seed Rules contains 11 parts
in which
 Part- I consist of titles and definitions.

 Part- II is related to Central Seed Committee, it recommends the fee structure
to be paid to the seed certification agency for the seed certification process.
 In Part- III the Central Seed Laboratory in collaboration with State Seed
Laboratory has given additional functions to promote constancy in seed
testing.
 Under Part-IV, the Seed Certification Agency has been given extra functions.
The certification agency shall figure procedures for cultivating, seed labeling
and shall direct seed standard for certifying the seeds. The seed certifying
38
ibid
39
Andhra Pradesh State Seed Corporation Limited. (2010). Retrieved 1 9, 2017, from AndhraPradesh
State agricultural portal: http://apseeds.ap.nic.in/pdf/seedrules.pdf
27
agency should maintain breeder varieties list. The seed agency should endorse
the seed source, variety, purchase record and has to confirm the standards of
certification. The record of seed producers, distributors/ dealers, and retailers
has to be maintained.
 In Part-V the seed certification agency has responsibility towards marking or
labeling. Each seed packet should have a tag containing a clear description of
seed weight, testing date, a method of seed treatment, and name of the variety
etc.
 Part-VI states about the seed requirement to be composed by seed companies.
The expired seed should not be sold and also the label on seed packet should
not be modified. And the dealer has to maintain the record of at least three
years after the sale of a seed lot. The seed certification agency supervises the
production of seeds in order to maintain the genetic purity and seed standards.
 Part-VII deals with seed certification. The certification tag on seed packet
should contain all the required information regarding name and address of the
seed producer, date of issue of certificate, validity and its class with the
appropriate colour of the tag such as white for foundation seed, purple for
registered seed and blue for certified seed. The seed packet without a tag or
with damaged tag is not authorized for sale.
 Part-VIII deals with requests made by the indignant person for action of seed
certification Agency or the seed inspector. This request is accepted in a
prescribed form with a requisite fee, along with a copy of the determination of
the Certification Agency. The request form is to be submitted in person or sent
by a registered post or submitted through an authorized agent. The concerned
authority follows the procedures of court under the Civil Procedure Code,
19084041[23] [20].
 Part-IX deals with Seed Examiner and Seed Inspectors: The Seed Examiner
verifies the mark and the seal or fastening are intact and should note the
condition of a seal. After examining the sample, he shall submit a copy of the
report to the responsible authority and also a copy to the State Government.
The Seed Inspector shall frequently audit the places of seed production, go
downs or sale of seeds. He has a right to reject the samples and also
40
ibid
41
Kulakarni, G. (2011).”Principles of seed tecnology”. New Delhi: Kalyani Publishers.
28
investigates the complaints given to him. He sends the entire report to the Seed
Certification Agency.
 Part-X is associated to collecting, locking, fastening, sending and analyzing of
the seed sample. The samples should be collected in a clean dry air tight
container to prevent leakage and entry of moisture in to it. It should display a
label containing detail address of the sender, person from whom the seed
sample has been collected and also other details such as date of sampling, kind
or variety and nature and quantity of the preservative added to the seed if any.
Proper care has to be taken while packing the seed.
 Part-XI deals with various functions such as records to be maintained by the
seed dealer. The form of communication should be in Form VIII while
entering and breaking the premises by the Seed Inspector.
1.6.3 SEED (AMENDMENT) ACT, 1972
The Seed Act, 196642[23] was revised and named as Seeds (Amendment) Act,
1972. It consists about 25 sections and is approved by the President of India on
September 9th, 1972. Section 1 and 2 deals with title, extent and definitions related to
seeds and seed material. Section 3 deals with Central Seed Committee. This
committee makes laws with the approval of the Central Government. Section 4 is
related to the Seed Testing Laboratory. Section 5 and 6 authorizes the Central
Government to announce a variety that is informed. Through section 7, the
Government regulates the seed sales of notified varieties by restricting the seeds
which are not notified. Section 8, under this section Central Seed Certification Board
is established to give suggestions to the Central and State Governments on all issues
relating to certification and also regulates and coordinates the functions of the
agencies established. Both Section 9 and 10 deal with certification process. Seed
Certification Agency has given authority to grant and to cancel the certificates.
Granting of certificate to a particular variety is done only when a particular seed
variety maintains prescribed standards. If a person is, unhappy with the decision of
the seed certification agency under section 9 or 10, as per section 11 he can appeal to
authorities stated by the State Government within a given time period of 30 days and
each order of the stipulated authority is considered as final. Section 12 deals with
42
29
Seed Analyst which authorizes the State Government to engage a qualified person as
a Seed Analyst. Section 13, 14 and 15 accords with potentials and procedures of the
Seed Inspector43 [20]. Section 15 aims at the procedures to be pursued by the seed
inspector. Section 16 accords with the seed analyst report. Section 17 is related to
restriction of export and import of notified seed varieties. Section 18 accords with
identification of foreign seed certification agencies. Section 19 and 20 is deals with
penalty and seize of the property. Section 21 accords with crimes of the seed
companies. According to section 22 any legal prosecution will not be taken against
any government official or the government under good intention. Section 23 the state
government is directed by the central government in implementing the act and rules.
Section 24 states that, the provision of the act and rules do not fit to farmers in case
they sell the notified varieties to another farmer for sowing or planting. Section 25
authorizes that the Central Government which may make rule to carry out the purpose
of this Act by notification in the official gazette in respect of function of Committee,
Laboratories, and Certification Agency, manner of labeling, different forms of
applications, keeping of record and seed standard and any other matter which is to be
or may be prescribed4445 [20] [23].
1.6.4 SEED CONTROL ORDER 1983
The Seed Control Order is introduced in the year 1983. It is promoted under
the Essential Commodities Act of 1955 specifically with a view to evolve a
mechanism for registration of seed dealers, flow of information on production, sales
and distribution of seeds throughout the country. The Seed Control Order (clause 3)
foresees the obligations on the part of dealer to obtain license. All the seed retail
outlets must be licensed, should maintain display stock board and price list in order to
provide information to the customers (clause 8). Seed dealers and retailers should
maintain proper records, give memorandum of cash or credit to the purchasers (clause
9) and should ensure proper distribution of seeds (clause 10). It empowers the State
Governments to make it obligatory on the part of seed dealers to register themselves
to take license (clause 3). According to the clause 15 it has right to cancel the license
in case of any violation. The Seed Control Order 1983 inherently discourages the
43
44
ibid
45
30
activities of unscrupulous dealer. Under Seeds control Order the samples drawn
should confirm to the standard quality claimed on the label46 [20].
1.6.5 SEED DEVELOPMENT POLICY 1988
The seed developmental policy 1988 is introduced to encourage seed industry

by permitting the import of commercial seed varieties (limited) but no limit is
imposed on the import of seeds of vegetable crops, flowers and the ornamental plants.
The import is permitted with a premise that the Indian company importing seeds will
have a co-operation agreement with the foreign supplier specifying that the parental
lines, breeder seed and seed production technology would be surrendered to the
Indian company within a period of two years. Import duties are also lowered on seeds
and seed processing equipment from 100 percent to 15 percent47 [24].
1.6.6 NATIONAL SEED POLICY 2002
The government of India has introduced a National Seed Policy in the year
2002, in order to provide intellectual property protection to new varieties and to set up
new institutions for the development of seed sector48 [25]. This policy covers major
thrust areas such as varietal protection and development; production, distribution and
marketing of seed; providing proper infrastructural facilities for the storage of seeds;
encouraging the exports and imports of seeds; promoting the seed industry by
strengthening the monitoring system, providing access to breeder seed49[26] [27] etc.
This policy ensures timely availability of quality seeds, and also encourages
investments in research and development for the production of new hybrid variety
seeds.
1.6.7 SEED BILL 2004
The Seed Bill 2004 regulates the production, distribution and sales of quality
seeds and this replaces the Seed Act 1966. It necessitates every seller of seeds to
meet the basic standards of seeds. Under this act all varieties of seeds meant for sale
should maintain minimum standards and should be registered. The label of the seed
46
47
http://seednet.gov.in/Material/NEW_POLICY_NPSD.pdf
48
http://seednet.gov.in/Material/National%20Seed%20Policy,%202002.pdf
49
Premjit Sharma. (2008). Marketing of Seed. New Delhi: Gene-tech books.
31
lot should indicate all the required information regarding manufacturing date,
certification date, weight etc. Before going for registration the transgenic variety of
seeds should get clearance from the Environmental Protection Act 1986. But the seed
bill 2004 exempts’ farmers grown seeds to get registered, they are freely allowed to
produce, exchange or sell the seeds and planting material to others. If a certified and
registered variety of seed fail to fulfill the required standards, the farmer has a right to
claim compensation from the Seed Company. The seed bill has set up a compensation
committee to resolve the compensation issues. This compensation committee shall
inquire and resolve the issues. The person selling misbranded seeds should pay
penalty ranging from Rs 25,000 and Rs 1, 00,00050[28].
1.7 SEED MARKET SIZE AND ITS STRUCTURE

1.7.1 MARKET SIZE
Indian seed industry is the world’s fifth largest seed markets next to U.S
(27%), China (20%), France (8%), and Brazil (6%)51[29] with a total turnover of Rs
15000 crores52 [30]. In terms of global trade, India is virtually self-sufficient in
vegetables, fruits, flowers and field crop seeds. The National Seed Association of
India says that every year the market size of seeds industries increases by 11%53[31].
The growth drivers for Indian seed market are – increasing population, advancements
in technology, decreasing agricultural land availability and high investment54 [32].
The demand for hybrid seeds is increasing due to the benefits like sustainability to
drought conditions, herbicide tolerance, increase in production etc.
1.7.2 MARKET STRUCTURE
The market structure helps in identifying the weaknesses of a seed industry.

Market structure can be defined by analyzing the (i) product differentiation, (ii)
degree of concentration of producers, dealers and retailer (iii) barriers to entry and
exist and (iv) market knowledge. In India 24% of the market share is occupied by
50
PRS Legislative Research: Agriculture Rural development. (2015). Retrieved may 2015, from PRS
Legislative Research: http://www.prsindia.org/billtrack/the-seeds-bill-2004-104/
51
Care research . (2013). Retrieved June 2015, from Care research:
https://researchreports.careratings.com/industries/seed.html
52
http://www.frontline.in/multimedia/archieve/01483/seeds_of_fortune_1483537a.pdf
53
Frontline (2013), June 28, Pg.no: 128-129.
54
Markets and Markets. (2009-17). Retrieved June 2015, from Markets and Markets:
http://www.marketsandmarkets.com/Market-Reports/seeds-market-376.html
32
public organization, 43%55 [31] of the share is occupied by private organization and
the rest 33% is occupied by private unorganized sector. The public organizations
contribution in seed production and supply is limited to only high volume-low value
seeds and the private organizations has taken the overall control over the production
and supply of low volume high value seeds such as cotton, maize etc. During 1990’s
proprietary market has increased, with the entry of more private players eating away
the share of market leaders. The market structure is competitive56 [33] dominated by
few number of MNC’s.
1.8 MARKETING OF SEEDS
Marketing of seed is an important aspect in seed industry and it involves

making business sustainable and rewarding. It aims at satisfying the farmers demand
by supplying improved seed varieties at an acceptable price. Marketing includes
various promotional activities to create awareness of a particular seed variety and to
make them available at a right place, at reasonable price at a right time. Promotional
activities include advertisement, brochures, maintaining relations with farmers, sales
aid, conducting seminars and field days, demonstration plots, roadway signs etc,.
1.8.1MARKETING ACTIVITIES
Marketing activities include promoting, advertising and distribution of seeds;

it is a coordinated management operation involving employees at every step of
marketing activities. Generally marketing involves four management divisions57 [26]
[27].
-Research and Development,

-Administration
-Production and
-Finance.
The framework and standard of specialization of any activity depends on the size of
that organization. In small-scale organizations, a single person may perform various
55
Frontline (2013), June 28, Pg.no: 128-129.
56
Sheperd, W.G (1997). “The Economics of Industrial Organisation: Analysis, Markets, Policies”. 4 th
edition. New Jersey: Prentice Hall International. Inc. pp. 4477
57
Premjit Sharma. (2008). “Marketing of Seed”. New Delhi: Gene-tech books.
33
functions or one person takes the responsibility of the entire marketing and sales
operations. Traditionally, marketing activities are divided based on the operational
activities and service activities. The operational activities include sales and
distribution of products and the service activities include conducting market research,
designing advertising, and promotional activities.
Marketing activities include:
-CONDUCTING MARKET RESEARCH AND ANALYSIS: It involves finding

out the market structure, identifying the competitors, identifying the customers etc.,
can be analyzed by studying the product type, where and by whom it is required,
variety demanded by customers, period of sale etc.
-FORECASTING THE DEMAND: Making use of available marketing information,

the marketers shall plan and makes sound decisions, like quantity of seed packets
needed, quantity of seed packets to be produced and quantity of packets will be sold.
-NEW PRODUCT DEVELOPMENT: It entails introducing new product varieties

or increasing quality and purity of the existing seed varieties.
-PRODUCT SELECTION: In includes, licensing and selecting seeds varieties from

own production and from the third-party suppliers.
-PRODUCT MANAGEMENT: It focuses on developing and executing marketing

policies for seed varieties.
-ADVERTISING, PROMOTION AND MAINTAINING PUBLIC

RELATIONS: Helps in creating awareness of the product (product type, usage and
benefits etc), act as one of the factors influencing the buying behavior of farmers and
also develops a positive percipience on the company.
-SALES ORDER MANAGEMENT AND DISPATCH OF STOCK: It involves

taking and handling of seed packet orders, issuing and shipping the stock, and
maintaining stock logbooks.
-STOCK CONTROL AND QUALITY ASSURANCE: It involves managing

record for each seed variety, to guarantee germination capacity and vigor.
34
-DISTRIBUTION AND TRANSPORT OF SEEDS: It involves transport of seeds
from the production unit to sales point.
-SALES AND INVOICING OF SEEDS: It is the process of selling the product and
receiving payment for the product, the end result of the marketing activity.
-MANAGEMENT INFORMATION: It involves gathering and presenting sales

information and another market related information for monitoring operations and
designing future marketing activities.
-CUSTOMER CARE: It includes after sales service, deals with issues to maintain
customer loyalty.
1.8.2 MARKETING MIX
In order to satisfy the needs of customers, companies should think of product,

price, place, and promotion. Product represents varieties, place represents market,
where it is made available to farmers, promotion makes sure of product existence in
the market. Marketing mix consists of 4 components (Product, Price, Place and
Promotion)58[26] [27], these are described in detail below.
 PRODUCT: Marketing activities mainly focuses on the product to make it

available to the farmers in a right place at a right time. However many details
of a product, such as propagation, seed production and processing are not
marketing responsibilities but it deals with the product’s attributes (such as
quality, appearance, purity, and performance).
 PRICE: Price generates sales revenue and is consequently important in
determining the total sales volume. Farmers perceive price as a value of a
seed. It is very important for marketers to know how farmer’s value seed and
also price they are ready to pay in return to the benefits they foresee from the
seed.
 PLACE: The factor place handles with the market, how the seeds reach the
market through various transportation methods to make them accessible to the
farmer. Distribution system plays a key role in reaching the product to the
58
Premjit Sharma. (2008). “Marketing of Seed”. New Delhi: Gene-tech books.
35
farmers at right place at right time. The selection of distribution method
depends on the market environment, nature of product and also the farmer.
 PROMOTION: Promotion is the process of communicating with and
attracting the customers. However, the cost associated with the promotion is
an important element in the overall cost of a seed; successful seed promotion
increases the sale of seed. Increased promotional activity or a new seed variety
launch is significant to maintain visibility of product in the marketplace as
well as to maintain a persistent flow of information to the consumer.
1.8.3 MARKETING STRATEGY
The seeds marketing strategy is based on two significant factors:
1. Seed Demand.
2. Seed Supply.
1. SEED DEMAND: The total quantity of seed requirement is estimated on the
basis of area and seed replacement rate. But estimating the demand for high-
quality seed is slightly difficult. In this case, seed replacement rate, offering
credit and extension and promotion system, play a key role in raising the
demand for certified seed. Dissemination of new varieties on farmers’ fields
greatly depends on:
i. Agronomic superiority
ii. Farmers’ education.
iii. Relationship of cost and benefits.
iv. Type of crop.
The variety possessing superior agronomic character is accepted by most of the

farmers with in short time. An educated and innovative farmer adopts quickly new
seed varieties as compared to other farmer. Therefore, increase yield should cover the
extra price paid for the seed and should motivate the farmer to adopt high-quality
seed.
2. SEED SUPPLY: Seed should be produced in a suitable area but it should not
be far from the consumers. Seed supply system depends on successful marketing and
distribution network. Good packing catches the attentiveness of farmers. Seed storage
is also act as a key factor in the supplying the seed at right time. The seeds are
36
distributed through different channels. The public and private seed companies
distribute the seeds through their own retail outlets, dealers or sometimes directly to
farmers.
1.9 FARMERS BUYING BEHAVIOUR
Marketing of seeds is a complex and dynamic process compared to the

marketing of other agricultural inputs. Production of seeds has no value if the seeds
do not reach the farmers in time59 [34]. In other words marketing of seeds includes the
supply of quality seeds to the farmers through proper distribution channels60 [35].
With the entry of private firms the market has become very competitive61 [36]
dominated by few MNC’s. The introduction of high-yielding varieties and
advancements in machinery brought success in gaining high yield. However, if a
potential of a seed is poor then the other inputs fail to increase in output. Thus,
selection of a quality seed becomes a key issue while purchasing seeds. Purchasing of
seeds depends on the awareness level of the farmer on seed varieties. Various factors
influence farmers while purchasing of seeds i.e. quality, price, brand, credit facility62
[37] etc. Various theories and models explain consumer buying behavior such as
Psychological theories, socio-cultural theories, learning theory, Howard Sheth theory,
and certain model such as Howard-Sheth model of buying behavior, Engel and kollat
model etc.
1.10 RESEARCH GAP
Majority of the works have been carried out in other countries (Nigeria, East
Java, Uganda) in regard of related area of farmers buying behaviour with respect to
corn, potato seeds, and maize seeds. The research outcome proved that product factors
such as quality, availability and brand name influence the purchase decision. Only a
few studies have been carried out in India that too especially in understanding the
59
Acharya, S., & Agarwal, N. L. (2004), “ Agricultural Marketing, 4th edition”, New Delhi.: Oxford &
IBH Publishing Co. Pvt Ltd.,
60
Gowda, Basave, Shekargouda, M., & Hegde, R.T (1996). “Seed demand forecasting”, Seed Tech.
News, 26: 4-5.
61
Pray, C. E., Ramaswami, B., & Kelley, T. (2001). “The impact of economic reforms on R & D by the
Indian seed industry”, Food Policy, 26: 587-98.
62
Solanki, D., Panchal, N. V., & Desai, P. (2013). “Consumer Buying Behaviour towards Agriculture
CultureInputs: An Empirical Study in Rural Area of Bardoli”, Global Research Analysis, vol-2, issue
no-6, pg: 117-118.
37
purchase decision of cotton seed farmers but no study had been carried out in Andhra
Pradesh.
No studies has been carried out to prove that, in addition to Product factor,
other factors such as Social factors, Individual factors, and Psychological factors also
influences the purchase decision of farmers.
So researcher felt it as a gap and made an attempt to study whether these

factors are influencing the buying behaviour of farmers in Andhra Pradesh (i.e.) in
Guntur district.
1.11 RESEARCH PROBLEM
Indian cotton seed industry is one of the dominant industries which moved
considerably from hands of Central and State Government to private sector. With the
private sector involvement, the industry has become a competitive market-oriented
industry and had made marketing of cotton seeds very complex. This has resulted in
many problems to the farmers such as the presence of spurious seeds, artificial
scarcity created by dealers, non-availability of credit to farmers, damage of packets,
advance payment to seeds, price fluctuations, the low yield of seeds, and so on.
With presence of many seed companies and also with the introduction of many
seed varieties, the buying behaviour of farmers has been changing repeatedly and also
selection of a quality seed has become a key issue while purchasing seeds. Purchasing
of seeds depends on the level of awareness of the farmer on seed varieties. Hence a
study has been necessitated to get insights into the issues involved with regard to the
marketing of cotton seeds and understanding the farmers’ buying behaviour in the
cotton seed market in the present competitive environment.
38
1.12 OBJECTIVES OF THE STUDY
1. To study the existing marketing practices of cotton seeds in India.

2. To study the buying behaviour of farmers and to identify the factors
influencing the buying behaviour of cotton farmers in Guntur District, Andhra
Pradesh.
3. To identify whether there is significant difference between Groups with
respect to age, category, and tenant, landlord, and tenant & landlord.
4. To identify the problems faced by farmers in the cotton seed market in Guntur
District, Andhra Pradesh.
5. To suggest appropriate measures to overcome the problems faced by cotton
Farmers in Guntur District, Andhra Pradesh.
1.13 NEED FOR THE STUDY
Indian seed industry is one of the dominant industries providing employment

to many people. Previously it is dominated by public sector seed companies, but by
easing of government regulations and the implementation of a new seed policy in
1988, the private sector seed companies have started playing a major role in seed
research, development and marketing, creating a competitive environment. So in this
contest, most of the farmers are finding difficult in getting quality seeds in right time
and at the right price. Being an agri-based country, it is essential to render better
service to farmers by all means.
Hence the researcher felt the need to probe into the details of this societal
problem and carry out an investigation to arrive at a possible solution for this long
lasting issue through studying marketing of cotton seeds with reference to farmer
buying behavior in Guntur district, Andhra Pradesh.
39
1.14 SIGNIFICANCE OF THE STUDY
India has a total population of about 1259.7 million63 [5] spread in the
geographical area 3, 287, 26,000 sq.km64 [6]. Of the total geographical area, 60.3%65
[7] of the land is under agriculture. The Green revolution has initiated a technological
change in Indian agriculture introducing HYV. With the introduction of HYV (High
Yielding Varieties) India has overcome the situation of starvation and became self-
sufficient. “Seed” is a basic catalyst to other agricultural inputs to be cost effective as
seed quality alone enhances the production of a crop by 25%.
In India, the production and supply of cotton seeds are totally under the
control of the private sector. The GMO seeds supplied by the private seeds sectors are
very expensive and are resulting in crop failure as the technology has losing its power.
These seeds cannot be used for regenerations so farmers’ has to buy new seeds every
year66 [38]. So in this context, it is important for the marketers to promote seeds every
year and is necessary to study the changing behaviour of the farmers.
1.15 SCOPE FOR THE STUDY
Cotton seed market is a dynamic market with large number of players making
seed varieties available to the farmers. Though the market size of cotton seed is not
known, the researches carried out in the area of marketing of seeds and farmers
buying behavior reveals the scope of existing and future marketing for manufacturers,
marketers, researchers and scholars. The present study gives a clear picture about the
buying behavior of the farmers which help the marketers to know on what factors they
should concentrate in order to increase the company sales. This study also helps in
designing effective marketing strategies in retaining existing customers and also in
attracting new customers. It will be helpful to identify the farmer’s needs and
delivery of cotton seeds during Kharif season. It helps the Government of Andhra
63
Statista. (n.d.). Retrieved February 2015, from Statista.com:
https://www.statista.com/statistics/263766/total-population-of-india/
64
world stat. (n.d.). Retrieved February 2015, from worldstat.ifo:
http://en.worldstat.info/Asia/India/Land
65
The world bank Group. (n.d.). Retrieved February 2015, from The world bank:
http://data.worldbank.org/indicator/AG.LND.AGRI.ZS
66
InsightsIAS. (2014, November 12). Retrieved January 12, 2017, from Insights:
http://www.insightsonindia.com/2014/11/12/agriculture-subsidies-seeds-fertilizers-related-issues/
40
Pradesh and Ministry of Agriculture to probe into details of problems and address
with solutions. Being a cotton producing area, Guntur district has been witnessing
financial crisis of farmers due to usage of poor quality of seeds. The quality of seeds
shall be ensured in order to support the needy farmers, which is possible by
mobilizing all resources like MARKFED, Agri Universities etc. This study gives
scope to these issues.
1.16 CHAPTERISATION OF THE THESIS
Chapter I: Chapter I deal with description of the agricultural situation in India, seed
and seed industry in India, seed policies, and introduction to marketing activities with
respect to seeds, farmers buying behavior, research gap, research problem, need,
significance, and scope of the study.
Chapter II: Chapter II consists of two sections. First section consists of a review of
literature related to the marketing of agricultural inputs such as seeds, fertilizers, and
pesticides) and farmers buying behavior with respect to various agricultural inputs
such as seeds, fertilizers, pesticides, farm machinery, farm feeds and bio-fungicides.
Second section consists of various theories and models that support the buying
behavior of farmers. It also includes the theoretical model developed by the researcher
for his/her research work.
Chapter III: Chapter III consists of research methodology. This chapter consists of
objectives, hypothesis and limitations of the study. It also explains various research
techniques or tools that the researcher uses to analyze the data.
Chapter IV: Chapter IV explains marketing of seeds. It includes an understanding of

seed market and its structure, forecasting seed demand, designing a marketing plan to
meet the seed demand, seed supply, and detailed explanation of 4 P’s relating to
seeds.
Chapter V: Chapter V Data analysis and interpretation. Data analysis includes

various tools used for analyzing the data.
41
Chapter VI: Chapter VI deals with Summary of the thesis, findings, suggestions,
conclusion, and scope for future research. The suggestion includes suggestion to
farmers, suggestion to government and suggestion to seed companies.
42

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1.

1.1 HISTORY OF AGRICULTURE IN INDIA

The beginning of agriculture marked the commencement of civilized society.

1.2 AN OVERVIEW OF AGRICULTURE IN INDIA

India has a total population of about 1259.7 million7[5] spread in the

1.2.1 CROPS GROWN IN INDIA

Commercial crops are of agricultural products, which are mainly produced as

Table: 1.3 Production of Commercial Crops in India (Million tonnes)

Ground Rape Cotton Raw Jute

2012-13 4.70 8.03 14.67 318.20 34.22 10.93 341.20 - -

2013-14 9.67 7.96 11.99 311.50 36.59 11.58 350.02 - -

1.2.1.2 FOOD GRAINS

1.2.1.2.1 AREA UNDER CULTIVATION OF FOOD GRAINS

Table: 1.4 Area under Cultivation Of Food Crops (million ha)

1.2.1.2.2 PRODUCTION OF FOOD GRAINS IN INDIA

1.2.1.3 STATE-WISE PRODUCTION OF COMMERCIAL AND FOOD

In the year 2013-14 Andhra Pradesh is recorded as the second highest

FOOD GRAINGS COMMERCIAL CROPS

Assam 4778.0 32.0 19.0 110.0 162.2 - 969.0 741.6

Bihar 5507.9 5081 2049.6 515 144.1 - 13476.6 1929.5

Chhattisgarh 6716.4 134 261.8 470.8 185.4 - 22.1 2.2

Tamilnadu 5536.9 - 2522 435.3 1004.9 500 31760.2 -

Table: 1.7 Areas and Production Scenario in India

1.2.2 EXPORTS AND IMPORTS OF AGRICULTURAL PRODUCTS FROM

Table: 1.8 Imports of Agricultural Products by India

1.2.4 CLIMATIC CONDITIONS IN INDIA

1.2.5 TYPES OF SOILS AND CROPS GROWN IN INDIA

Table: 1.10 Soil Types and Crops Grown

1.2.6 CHANGES IN CROPPING PATTERNS

1.2.7 TYPES OF FARMING PATTERNS

1.2.7.1 SUBSISTENCE AND COMMERCIAL FARMING

SUBSISTENCE FARMING: Subsistence farming is that farming for self

COMMERCIAL FARMING: Large and marginal farmers adopt this type of

INTENSIVE FARMING: In this type of farming agricultural output per unit

EXTENSIVE FARMING: It is of two types; Plantation farming and Mixed

 Plantation Farming: Farmers growing a single commercial crop for

1.3 DEMOGRAPHICAL PROFILE OF GUNTUR DISTRICT

The district has a total population of 4,887,813 with a population density of

Total Population Rural population Urban population

1.3.2 LAND UTILIZATION PATTERNS IN GUNTUR DISTRICT

The total geographical area of Guntur district is 1139100 hectares. Of these

Table: 1.12 Land Utilization Patterns In Guntur District: (Area in Ha)

1 Total Geographical Area 1139100

Table: 1.13 Land Holdings by Farmers in Guntur District

5 Large farmers (above 10 Hec.) 617 0%

1.3.4 CROPPING PATTERN IN GUNTUR DISTRICT

Table: 1.14 Cropping Pattern in Guntur District (2014-15)

From the above table we can observe fluctuations in area of cultivation of

1.4 INTRODUCTION TO SEED

1.4.1 IMPORTANCE OF SEED IN INDIAN AGRICULTURE

Seeds hold prime importance in agricultural systems in India. India’s

1.4.2 HISTORY OF HYBRID SEEDS

1.4.4 DIFFERENT CLASSES OF SEEDS

1.5 SEED INDUSTRY IN INDIA

The Indian seed business is the result of refinements and modernization in

1.5.2 EXTENSION OF INDIAN SEED INDUSTRY

1.5.3 SEED INDUSTRY UNDER PUBLIC SECTOR

Due to the developments in agricultural programs after 1960 and the

1.5.4 SEED INDUSTRY UNDER PRIVATE SECTOR

1.6.1 CENTRAL SEED ACT 1966

1.6.2 SEED RULES 1968

 Part- I consist of titles and definitions.

1.6.3 SEED (AMENDMENT) ACT, 1972