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Chapter- I
INTRODUCTION
1.1 INTRODUCTION
Rural Development has been receiving attention in recent years
from the central as well as State Governments. Very recently a neo-
Gandhian approach of development strategy visualized in vision 2020 by
Dr. A. P. J. Abdul Kalam the former president of India. Economic
upliftment of villages through provision (providing) of Urban Amenities
to Rural Area (PURA Model) became an important consideration. This
involves development of agricultural and food processing, agro-
manufacturing units, agro-service unit’s provision of electricity power for
all parts of rural country in a reliable and quality manner, education and
health for all expansion of information and communication technology to
rural areas and development of strategic sectors like nuclear technology,
space and defiance technology.
In view of its importance to the national reconstruction and
development, the present study is micro-level study. Agro based
industries play vital role in the development of rural economy.
The study were highlight the focus on agro produce processing
units, agro-produce manufacturing units, agro inputs, manufacturing units
and agro service centers. These are the most important agro based
2
industries in Walwa Taluka. This study is covered a period of five years
from 2006 – 2007 to 2011-12.
1.2 GENESIS AND JUSTIFICATION OF THE STUDY
In choosing Agro-based industries of Walwa Taluka in Sangli
district as the area of research interest researcher has been guided both
personal and academic consideration. As Sangli district has been
residence and Walwa as origin place of researcher for almost three
decades and have better knowledge of agriculture and more particularly
agro-based units in Walwa.
Moreover, the present study has its genesis in the researcher’s
participation in the agricultural sector and economics teacher since 1992.
This has been one of the main reasons for the choice of the topic and
there is no more work done on Agro-based industrial sectors in Sangli
District.
The research work done so far in the field of agro-based industries
mainly deal with their performance and financial aspects. The present
study is covering the studies of socio- economic profile of agricultural
labourers and agriculturists in terms of their changing cropping pattern,
occupational pattern, wages, income, migration etc. The present work
cover part from these aspects some of the other relevant factors such as
improved employment opportunities, creation of entrepreneurship in rural
3
areas, and the increasing pressure of demand on labour market etc. The
government of India has laid special emphasis on these industries in
recent years. It is in this context that the present study assumes
importance.
This study is therefore be unique, because of its coverage of
various aspects of the rural economy. It highlights and obtains the
information about the transformation of the rural economy in the light of
occupations, income. Wage employment opportunities, industrial
leadership and agricultural development etc. Concerned with the five
agro-based industries in Walwa taluka.
In view of the importance of agro-based industries as a micro level
study, brief reference to rural agricultural development, cropping pattern,
irrigation facilities, financial facilities are necessary to understood. It has
been said, in support of agro based industries that because they are labour
intensive, they should be developed on a priority basis.
In order to have a better appreciation of the problem and asses the
reality of this problems the present research study has the facts and
figures referring to the impact of these Agro sectors of rural economy. In
this contest the present study considered relevant because it evaluates the
impact of agro based industries on the various sectors of the rural
economy with reference to Walwa Taluka of Sangli District. This type of
4
research work assumes greater importance in the formulation of
government policies concerned with rural development.
1.3 STATEMENT OF THE PROBLEM:
Agriculture and Agro Based industries units are the backbone of the
country’s economy. They contribute a sizable share not to the countries
domestic product but also a major crunch of working population is
engaged in agriculture and rural industrial units. In addition to this, it
encourages other activities, such as Processing units, service units, trade,
commerce and transportation. The Maharashtra is on of the leading states
in the country, in agriculture, cottage and small scale units, agro-
industrial units, agro plantation and garden crops1. The Maharashtra is a
largest producer of the sugarcane in the country. Tea, coconut,
cashewnut, paper, rice, mango, cardimam, rubber, orange, grapes are
important plantation and garden crops. Maharashtra is considered as the
Museum of cottage industries due to diverse physical and climatic
patterns of the state.
“Of the 350 million people below the poverty line in the country
around 300 million are in the rural areas. These consist largely of the
landless labourers, small and marginal farmers, rural artisans and other
workers”. Over the course of three decades agricultural labourers and
marginal farmers have undergone little improvement. Various socio-
5
economic measures such as land reform measures, minimum wages to
agricultural labourers, agro-based industrial workers etc. have not helped
to solve the problems of rural poor. Even the spectacular increase in
agricultural production in the regions of green revolution has not brought
uniform and substantial improvement in the wages of agricultural
labourers.
According to the 10th Five year plan growth of agro based industries
has been steel concentrated by a number of factors including
technological backwardness inadequate and irregular supply of raw-
materials, lack of organized market channels, imperfect knowledge of
market conditions unorganized nature of operation, inadequate
availability of credit constraint of infrastructure facilities including power
etc. and deficient managerial and technical skills. All these constraints
have resulted in a strewed. Cost structure policy this sector at a
disadvantages vis a vis the large industries and linkages with business
with in domestic and export markets.
Industries having backward and forward linkage with agriculture,
irrespective of their size and having a direct bearing on agriculture and
rural economics life may be placed in the category of agro based
industries. Is Industries provide the essential inputs and also function as
potential outlets for the agricultural outputs.
6
Agro Based Industries has play an important role in modernizing
the agricultural sector, in raising the incomes of the farmers and in
stepping up agricultural productivity. These Industries contribute greatly
towards diversification of the rural economy which is the real answer to
the twin problems of rural poverty and unemployment. However, over
optimization with respective raw material supply and markets has led to
widespread underutilization of capacity in agro industrial investment. The
relatively poor performance of the rural agricultural related industrial
sector can be attributed to the restrictive approach adapted to the problem.
The preservation of traditional rural industries is of ten viewed as an
objective in itself, without examining their likely role in the process of
overall rural and national development these the protection of small rural
units has became more important can development and modernization of
such units. Without a political will or Govt. policy support the rural
entrepreneurs and their products may fail to enter the competitive market
and avail of the benefits of economic liberalization.
In future, an attempt should be made to top the “potential” of the
rural population from among the children of the traditional artisans and
give them intense training and orientation to convert their establishments.
The rural artisans who have the potential to contribute to the country’s
economy. Another problem relates to the size of the market which is very
7
small. A strategy based on agro industry – cum – area development
approach leading to vertical and horizontal integration of the programs
can also sustain the industries in rural areas. It is necessary to evolve an
appropriate organizational set-up for the growth of agro industrial units.
Marketing continues to be a problem facing Agro small units. The
rural industries (Agro Based) has to depend on the local rural materials
for marketing its products.
To assess the reality of the Agro based industries in Walwa Taluka
of Sangli districts is one of the major objectives of the study. This study
of agro based industries has thrown light upon the impact and prospects
on cropping pattern, employment, wage and income in details. The
findings of the study are useful in formulating the agro industrial policy
and over all development of rural sectors.
1.4 OBJECTIVES OF THE STUDY
The present study highlights the transformation of the rural
economy depending upon the initiation of the process of rural agro-based
industries. In more precise terms the following are the objectives of the
study.
1. To find out the nature of relationship between agro-based
industries and the cropping pattern. In this context, the inter-
8
relationship between cropping pattern and agro-based industries
will be analysed.
2. To study the changing occupational structure of population of
selected villages in the Walwa Taluka as a result of setting up of
agro-based industries.
3. To study to overall impact of agro-based industries on rural
economy with reference to Walwa Taulka and examine the
changes in the income level of the population and in particular the
agriculturists, agricultural labour and workers employed in the
agro-based industries.
4. To suggest measures for improvement of agro-based industrial
development of Walwa Taluka of Sangli district.
1.5 HYPOTHESES
The Present study aims at testing the following hypothesis.
1) Actual working process and technique of agro based industries are
still traditional.
2) The changing status of cropping pattern in sample villages of
Walwa Taluka is influenced by agro-based industries.
3) The income of farmers, agricultural laborers and agro-based
industrial workers was depends on agro-based industrial units.
9
1.6 METHODOLOGY OF THE STUDY
This is essentially a sample study and exclusively based on survey
and empirical data. Information for specific time period of January 2006
to December 2011 were collected form the selected sample. The criteria
for the selection of the sample for study are –
1.6.1. SELECTION OF AGRO – BASED INDUSTRIES:
In order to determine the impact of different agro – based
industries on Walwa Taluka, two industries were selected out of in
Walwa Taluka for the study.
The study takes into account these agro-based industries having
completed minimum 5 years of establishment of January 2006. It has
been observed that there are 3 to 4 agro based units fulfilling the above
condition and these units also play a predominant role in the Walwa
Taluka, therefore, data and related information were collected from them.
Selection of agro-based industries:
Sr.
No. Name of Agro-based industries Place
1 Rajarambapu Patil Co-Operative Sugar Factory Walwa
2 Din-Dayal BC Co-Operative Cotton Textile Industry Islampur
1.6.2 SELECTION OF VILLAGES:
This is mainly an intensive study of sample villages selected on the
stratified base and covered by all type of agro-based industrial units. The
impact of the setting up of agro-based industries were studied with
reference to the selected villages of Walwa Taluka. The units are in semi-
urban area.
1.6.3 SELECTION OF RESPONDENTS :
Selection of respondents as shown in table no.1.1.
10
Table No. 1.1
Sample Villages, No of Farmers, Agricultural Labours and Agro
based Industrial Workers in Walwa Taluka
Sr.
No.
Name of the
Village
Farmers Agricultural
labours
Agro based
industrial
workers
Total
No.
Sample
Size 5%
Total
No.
Sample
Size
5%
Total
No.
Sample
Size
10%
1 Walwa 142 7 137 7 260 26
2 Bagani 128 6 107 5 254 25
3 Bavachi 128 6 215 11 300 30
4 Borgaon 147 8 244 12 330 33
5 Gotkhindi 140 7 220 11 232 23
6 Kameri 212 11 220 11 260 26
7 Islampur 138 7 131 7 300 30
8 Takari 135 12 225 11 205 21
9 Kasegao 140 7 140 7 241 24
10 Bahe 151 8 201 10 258 26
Total 1561 79 1840 92 2640 264
Ref.: Walwa Gram Panchayat, Talathi Records – 2012
The data consisting from the first two categories of respondents
represent the villages and the next two categories represent the agro
industrial places.
The selection of respondents in the case of farmers, agricultural
labours is based on 5% and agro-based industrial workers is based on 10
percent and for this it was used stratified random technique. The selection
of agro-based industrial entrepreneurs were based on the census system as
an established within 10 years.
In order to collect data from villages the households of
agriculturists and agricultural workers were firstly identified in terms of
11
the definition provided by the Agri cultural Labour Enquiry Committee
and the households of farmers and agricultural labours were selected. On
the basis of stratified random sampling technique. The selection of
respondents from among the workers employed in agro based units were
also be based on stratified random sampling technique depending upon
the nature of employment e.g. Permanent, seasonal and casual etc. All the
agro-based units of the selecting agro-based industrial places are covered
by the study.
1.6.4. SOURCE OF DATA COLLECTION:
Two types of data were to be used in this study:
A) PRIMARY DATA:
The present study is mainly based on primary data which was
collected by personal canvassing of questionnaires in the concerned
villages. Four types of separate questionnaires were prepared three for
each group of the respondents and one of agro-based industries. This is
one of the major sources for data collection. Spot observations are yet
another source.
Information regarding the following aspects were collected viz,
demographic profile, agro-based industrial profile, number of workers
employed, Capital invested, Wage rate, nature of employment, cropping
12
pattern, occupation pattern, irrigation facilities, wage-level, employment,
entrepreneurship income level and other related aspect and so on.
B) SECONDARY DATA:
Even though the study is almost exclusively based on primary data,
reliance on secondary data is also necessary. The Secondary data were
collected from the Govt. Reports i.e. Annual Survey of Industries. Central
Statistical Organization, Zilla Parishad of Sangli and Panchayat Samiti
Walwa and DIC for the period from 2006-2011.
Various research reviews on different aspects of agro based
industries and rural development published by individual and Govt. were
referred. It were provide a basis for the existing knowledge about the
impact of agro based units on rural economy.
1.6.5. Personal Discussions :
Personal Discussions with agro based industry owners / managers
support organizations and workers respondents were held for the purpose
of this study. The main focus of the discussions with government policy
and the workers respondents were the different issue relating the
development of workers.
13
1.6.6 On the spot observation :
Observation method was also adopted in the present study.
Observation of Agricultural labors, agro units workers and agriculturists
were also made with respect to the various aspects of related studies.
1.7. CRITERIA FOR MEASUREMENT OF IMPACT OF AGRO-
BASED INDUSTRIES AND RURAL DEVELOPMENT:
i) Addition to employment
ii) Changes in income of the people
iii) Changes in cropping pattern
iv) Changes in wage - level
v) Changes in occupational structure of the people under study.
For this purpose various methods concerned with practical
significance method, comparative analysis method especially concerned
with price level were used, with the help of Microsoft Excel.
1.7. 1 Data Processing:
The data collected through questionnaire was processed with the
help of computer. Single response questions assigned a single variable
and multiple response questions were assigned multiple variable and
direct response questions assigned a direct variable. The data was then
entered into and processed by computer operator as per the instructions
given by the researcher. The responses to the broad type and open ended
14
questions were examined. Classified and processed with the help of
computer. The data has been presented in the form of simple tabular
form. Both actual frequencies and percentages have been mentioned in
the tables. Some data has been presented in the form of graphs, tables and
diagrams.
1.7.2 Data Analysis:
The interpretation and analysis of the data in the study the simple
tools, like average, percentages, frequencies etc were used and important
conclusions are drawn and finally important recommendations are made.
1.8 CHAPTER SCHEME OF THE STUDY:
Keeping in view, the objectives the present study is divided into
seven chapters including observation, findings and recommendations.
The chapter first throws light upon research methodology of the
study. It covers introduction, genesis justification of the study,
statements of the problem, objectives of the study, hypothesis,
methodology of the study, data collection, data processing, data analysis
and chapter scheme of the study.
The chapter second is based upon the review of literature about the
present research subject. This chapter is also covered definitions, Nature,
Scope, Features and types of agro based industries and Empirical studies
of agro-based industries.
15
Chapter third highlights the “Profile of Study Area” it gives an
overview of the Historical background of Sangli District. Geographical
location and physical setting, climate, rainfall in Walwa Taluka,
irrigation, Walwa Taluka land use pattern in Walwa, demographic
features, industrial profile, co-operative movements, banking, Socio
Economic indicators agricultural profile, in Walwa Taluka.
Chapter fourth highlights the “Agro-based industries and rural
development”. It also consists of effects of agro-based industries on rural
employment, changes in occupational pattern, and overall impact of agro-
based industries on rural development.
The last fifth chapter is Findings and Suggestions. In this chapter
the researcher concludes the analysis with some Suggestions.
*******
REFERENCES:
1 James Brown “ Improving Agro-industries in developing
countries finance and development report- 2001, p.43
2 Government of India “Sixth Year Plan 1980-85”, Planning
Commission, New Delhi, 1981, P-170.
3 10th five year plan – planning commission report 2007.
4 “Khadi Gramodyog” Role of Agro-industries in agricultural
economy by J. A. Khan Feb. 1997, p.281
5 Government of India, “Report of the National Commission
on Agriculture” (Part XV), Agrarian Reforms, Ministry of
Agriculture and Irrigation, New Delhi, 2001, P- 238.
16
CHAPTER - II
REVIEW OF LITERATURE
2.1 INTRODUCTION
The most important long-run economic problem facing by country
is unemployment. Particularly disguised unemployment and this problem
are becoming increasingly acute day by day in spite of the planned efforts
to tackle it. The increase in unemployment has been mainly due to the
increase in the labor force unmatched by a similar increase in
employment opportunities. This fact highlights the vital importance not
only of checking population growth but also of expanding employment
opportunities by means of rapid industrialization.
Besides this large magnitude of unemployment there is a
substantial size of underemployment particularly among the rural
population which is about 70% of the country’s population. The most
serious problem in India therefore seems to be our inability to utilize to
the fullest possible extent our manpower resources. The planned and well
thought out development of agro industries of various types therefore
seems to be the most effective long-run solution of the problem.
Therefore, the socio-economic objectives of our planning i.e.
creation of employment opportunities and remove of poverty can be
achieved only by promoting agro-based industries and their dispersal all
17
over the country. The growth of agro industries helps in creating avenues
for greater employment in the rural areas checking rural migration gainful
utilization of locally available resources and materials as well as by
products which are otherwise discarded as waste material. The nature of
agro-industries will depend largely on the local infrastructure raw
materials technical skill and availability of adequate and timely credit. So
the types of agro industries can be specified for all the areas in the
country.
This chapter contains the various of empirical studies on Agro-
based industries in India including Maharashtra state In addition, the
various aspects of agro-based industries are studies such as nature,
definition scope, features types & Govt. polity and importance & role of
agro-based industries, in India.
2.2 DEFINITIONS OF AGRO-BASED INDUSTRIES:
1. "Agro-based industries are those, which are involved in supplying
the farm with agricultural inputs besides handling the products of
the farm".
2. "Agro-based industries are those industries which have either direct
or indirect links with agriculture".
3. Village industry means any industry located in rural area, which
produces any goods or renders services with or without use of
18
power and in which the fixed capital investment per head of an
artisan or worker does not exceed Rs 15,000/-.
4. "An agro-industry is an enterprise that processes raw materials,
including ground and tree crops as well as livestock. The degree of
processing can vary tremendously, ranging from the cleaning and
grading of apples to the milling of rice, to the cooking, mixing, and
chemical alteration that create a texturized vegetable food. Agro-
industries can be roughly categorized according to the degree the
raw material is transformed. In general, capital investment,
technological complexity, and managerial requirements increase in
proportion with the degree of transformation.
5) The national council of applied economic Research has defined
agro-based industries as those which use either agricultural raw
materials or make things that farmers need for their agricultural
needs. They include not only seeds, fertilizers, implements, plant
protection chemicals etc. but also the repair and servicing of farm
implements or machinery.
6) Agro-industrial integration can be defended as an organic link
between agriculture and the industries that use agricultural raw
materials on the one hand, and the industries that manufacture
agricultural inputs and agriculture that uses them on the other. The
19
first are called agro-based industries or processing industries and
the second are called agriculture based industries that produce
agricultural inputs.
2.3 NATURE AND SCOPE OF AGRO-BASED INDISTRIES:
The definition coined by the units nations Industrial Development
organization restricts the scope of agro-industries in as much as it
includes only those industries which utilize the raw material of
agriculture including fisheries and forestry husbandry including dairy
agriculture, sericulture, meat and poultry do not specifically come under
its purview besides packing industry which is included as agro-allied
industry does not properly come in the concept as this industry littlies the
raw materials mainly from forestry and its end use extends into agro
allied industry. Thus a more viable and clear conception needs to be
projected to clearly demarcate various areas based on utilization and
fictional criteria. This also leads us to some other industries such as
compost making were agricultural work is manly utilized for en use as
input apiculture sericulture and lace culture which do not directly utilize
agricultural production but are mainly concerned with rearing of honey
bees skill worms and lace insects respectively and the cold storage which
only has the purpose of protection and conservation of produce.
20
As such Agro-Industries can be defined as those industries which
are dependent on agriculture and on which agriculture is dependent. It can
be further elucidated as those industries which utilize the agricultural
produce for processing or Fabrication of products used in agricultural
production or commercial purposes.
Agro-industrial integration, agriculture receives its requirements
from the one and supplies its produce to the other. Naturally this involves
an integration of agriculture with the other two kinds of industries. In
such an integration the location of industries becomes important. It must
be in the village or at a place very near the village so that the raw
materials produced locally might be processed there and the required
agricultural inputs may be produced there with all the consequential
advantages of generating additional employment income and investment.
2.4 EMPIRICAL STUDIES OF AGRO-BASED INDUSTRIES
In course of time several industries using the ‘inputs’ of agriculture
and manufacturing ‘outputs’ for the use by agriculture have come into
existence in the country. Inspire of these developments, the overall
development of the Indian economy has lagged behind many developing
and developed economies where the concept of commercial agri-
enterprises has acquired added significance. From subsistence agriculture,
these economies have switched over to commercial agriculture. In this
21
advanced stage of development, agricultural sector is required to cater to
the needs of globalization and liberalization by producing agri-goods for
world trade. It is believed that once agriculture is transformed from
subsistence agriculture to commercial agriculture, the productivity and
profitability of agriculture will not only grow but also help to expand the
export sector of the economy for earning valuable foreign exchanges for
the growth of the economy. This, therefore, is a big challenge for the
country. In the order to have a through discussion covering all these
aspects of development of agriculture, agro-industries and commercial
agri-enterprises, a national seminar was held sometime in the early part of
the new millennium in Nabakrushna Choudhury Centre for Development
Studies with the active participation of academicians, policy-makers,
technocrats and NGO’s. The deliberations and discussions in the seminar
were considered useful to provide necessary guidance to the government
for taking appropriate action for the development of agro-industrial
enterprises.
India is a developing country facing a number of problems such as
the population explosion, unemployment, poverty, paucity of capital, low
productivity, inequalities, low living standards, inflation and so on.
Taking into consideration the problems on one hand and over 60 years of
independence on the other. The growth of the Indian economy is rather
22
slow. For the solution of the above problems and for rapid economic
development it was necessary to accept a mixed economy as an economic
system for the balanced growth of public and private sector together with
a major role for agro-based industries to contribute their mite in the
process of economic development.
Prof. L. P. Singh in his paper, “Co-operative processing in Rural
Development has mention about the importance of processing industries
in rural development. He has pointed out that processing is an important
stage in agricultural marketing under which efforts are made to process
biomass i.e. agricultural raw materials including ground and tree crops in
recent years the gamut of agro-processing has been attempted to be
widened by including processing of live stock and fisheries also within
the purview of agro processing. However despite all such efforts agro-
processing even today includes processing of agricultural commodities
only processing of ground and tree crop, to be more specific.
Prof. Ashok Mitra write, “Unless the institutional issue affecting
the Indian agrarian scene are first resolved it is fairly pointless to
expatiate on the arcadia that could be brought about through the
development of agriculture agro-based industries and small and cottage
industries”.
23
Prof. R. A. Chaurasia has maintained in his book, “Agro Industrial
Development”, that the genomic foundation and the industrial scenery of
Pavt of U.P. The availability of resources like agricultural, livestock,
Forest, rock and minerals etc. and their complementary to existing and
new industrial unit, Industrial Structure, Infrastructure and Strategy of
Industrial Growth points suggesting units and locations of various small
scale industries for their future development have been that dealt within
the chapter of the book.
Dr. Rajagopal has pointed in his book ‘Agree Business and
Entrepreneurship’, Agri – Business and rural enterprise occupy an
important intermediate position between farms and consumers of farms
products and their expansion can be a catalytic factor in stimulating rural
development assistance has been related to what some perceive as a
conflict between growth and equality, one of the important potentials of
the agri-business and rural enterprises sector is in providing growth
possibilities without sacrificing the equity dimension.
Dr. Arun Bhargave has maintained in his Book “Rural Marketing
and Agri-business in India”. Agro-processing production of agro-
chemicals and farm machinery and trade are considered as parts of
manufacturing (Industrial) or Services (tertiary) sector with structural
transformation of the economy the share of agricultural production in the
24
economy is going down that of processing distribution and trade is
increasing.
In the development countries agri-business is defined as the total
output arising from farm production and product processing at both pre
and post farm gate levels. In developing countries like India the agri-
business sector encompasses four distinct sub-sectors i.e. agricultural
inputs, agricultural production, agro-processing and marketing and trade.
All these add value or utility to the goods. Agri-business is emerging as a
specialized branch of knowledge in the field of management science and
practice of activities, with backward and forward linkages related to
processed food, feed and fiber including supply of inputs and services for
these activities.
Most of the development in agro processing is limited to the
progressive states such as Punjab and Maharashtra. For balanced regional
growth, special effort has to be on involving lagging states such as Bihar
and Orisa and the flung north eastern states in the emerging modern
system.
Dr. K. P. Sinha has pointed in his book ‘Agribusiness
Management’ India is an agricultural country. Since the independence
various efforts on the part of the government has been to develop it
quantitatively and qualitatively, in view of this recently in 2000,
25
government had announced the first ever nation Agriculture policy to
actualize the vast untapped growth potential of Indian agriculture,
Strengthen, rural infrastructure, accelerate the growth of agribusiness,
discourages migration to urban areas, create employment in rural areas
securing fair standard of living etc.
Dr. T. Natrajan has pointed in is book “Organic farming for
Business”. What is the current situation of Agro industry Development in
India? India is a one of the leading producer of agriculture and livestock.
Commodities grains, fruits and vegetables, milk etc. However the share
of these products going for processing is very small. Also, India’s share
in world. Trade of processed food is 1.6%, and value addition is 20%.
(Ministry of food processing’ Annual Report 2005-06).
Key issues in food processing in India are the low level of
processing, consumer-perception regarding processed food and
unorganized nature of the processing sector. The level of processing at
the industrial level needs a closer look. Lower level of processing
reported at the industrial level does not mean that Indians do not consume
the processing foods. Instead most of the processing in done at the
household level – Jams, Pickles, Jellies and other traditional items are
usually made at home and preserved through traditional means such as
storing with salt, sundering etc. another important aspects of processing
26
sector relates to traditional Indian food habits and the perception that
“processed food is not fresh”. This has also lead to low consumption of
processed foods. However, this nation is changing in the recent years
because of exposure to verity of processed foods in the supermarket and
higher awareness about the nutritional aspects of processed foods.
India’s next frontier of innovation is in the area of agribusiness and
agro processing, food processing industry is widely recognized as a
‘sunrise industry’ in India having huge potential for uplifting agricultural
economy which has been stagnant in the past few years, exposing
traditional Indian agriculture to modern technologies, creating large scale
processed food manufacturing and food chain facilities and consequently
generate employment and export earning. The vision for the food
processing sector in India is to make India the food basket of world and
achieve what has been achieved in the computer technology sector.
Prof. Pilar Santacoloma and Prof. Alexandra Pottger have
explained the relationship between economic development and agro-
based industries in their article “Strengthening farm – agribusiness
linkages” published in the book Corporate Agri-business. They pointed
out that the emphasis on the importance of complementarities and
linkages among industries in the development process. Farm –
agribusiness linkages gain in importance when systems develop. While in
27
subsistence farming producer and consumers are the same person, the
picture changes with agricultural development. Linkages refer to the
degree to which an industry is able to generate demand for the products
of other industries such as agricultural production on the one hand and
processed foods manufacturing on the other, and of the spectrum.
Upstream industries are engaged in the initial processing of agricultural
commodities. Examples are rice and flour milling, lather tanning, cotton
ginning, oil pressing, saw milling and fish canning. Downstream
industries undertake further manufacturing operation on intermediate
products made from agricultural materials. Examples are bread, biscuit
and noodle making, textile spinning and weaving garment making, paper
production and shoe and rubber products manufacturing. If a primary
processing industry is established this can lead encourage investment in
other industries up or down stream i.e. oil extraction leads to soap making
(downstream) and larger palm oil plantation upstream.
The National Seminar which was held during 21st and 22
nd January,
2000 was inaugurated by Shri. S. B. Misra, the then Chief Secretary of
Orissa under the president ship of Prof. B. Misra, Chairman of the Crntre,
Prof. S. N. Misra and Dr. A. K. Behera, Managing Director, APICOL,
were the coordinators of the seminar. During the National Seminar papers
were presented for discussion under three inter-related themes. The
28
classified themes were: (a) Importance of agro-industries in economic
development, (b) Problems of specific agro-industries and (c) Prospects
of development of agro-industries. These have been included in the book,
“Agro - Industries and Economic Development” Published by Deep &
Deep Publications.
Professor Baidyanath Misra in his paper on ‘Role of small
industries in Rural Development’ of rural industries for promoting rural
development. He felt that this would relieve pressure on land, establish
linkage between agriculture and industry, increase employment
opportunities, improve the economics of well-being of rural people by
increasing their income and prevent migration or rural population to cities
which increase slums. He raised three questions that would be relevant in
the context of developing small industries, even though, agro-industries.
First is the type of industries to be located in rural areas – the criteria of
location. The second is with regard to choice of techniques. Professor
Misra’s third question is with regard to protection to small-scale
industries. He was against any form of subsidy that helps vested interests.
A more appropriate government role, according to him, is increased
investment in rural areas for improving infrastructure, providing technical
training and expediting the delivery of necessary inputs, these provisions
29
would help agro-based small-scale industries to come up in a large
number in the rural areas.
Dr. A. K. Behera in his paper, ‘Agri-Business Scenario special
Reference to Orissa’ mentioned that the large agricultural base of the
state ideally lays the foundation for a diversified agro-processing
industry. There is scope for fresh fruit processing, banana processing,
pineapple, fibre and coconut processing units. Besides fruits, there are
potentials in vegetables like mushroom, potato, baby-corn, cereals like
sunflower and soyabean, spies like chilies, coriander, garlic, turmeric and
ginger, floriculture and aquaculture. The commercial agri-business is
particularly relevant in the context of expanding export trade for earning
valuable foreign exchanges under the impact of globalisation and world
trade.
Dr. Jagannath Lenka presented a paper entitled ‘An Economic
Inquire into the Determinants of Agro-Industry Development in Orissa’,
co-authored with Professor Adwait Mohanty. They analyzed that the
employment elasticity of investment in agro-based industries in Orissa is
0.36, relatively higher as compared to 0.24 in non-agro-based industries.
They took employment as the indicator of growth of agro-based industry
and emphasized the need for developing those industries.
30
Dr. Bhagabata Patro in his paper, ‘Employment Implications of
Agro-Industries in India’, a co-authored paper with Ms. Preyasi Nayak
questioned the various investment criteria as they ‘appear to be deficient
in tackling the fundamental problem of growing unemployment’.
However, neither was their contention worked out logically nor was their,
suggestion of a ‘Maximum Employment Generation’ elaborated, They
did echo the need for agro-based industries in rural areas and their
potential in employment generation-based on- some empirical figures
across industries.
Dr. Bhagban Sarangi’s paper on ‘Economic Potential of Agro-
Industries’ mentions that there is great potential for agro-industries in the
country, Accordingly, there is the need for backward and forward
linkages and co-ordination between related industries so that the by-
products are used simultaneously. There is, further, a need for advanced
management and use of marketing methods.
The paper presented by Sugata Ghose entitled ‘Present Status of
Coconut Processing Industry in India’ analyzing the scope of developing
coconut-processing industries in the country mentions that coconut can be
used as a fruit, fibre, oilseed, beverage and medicinal crop. Hence, there
is vast opportunity for investment in adding value to coconut. More
recently, the technology for processing coconut cream, spray dried
31
coconut milk powder, coconut vinegar, nata-de-coco and packaging of
tender coconut are developed by Coconut Development Board. In spite of
this, the coconut processing industries have come across with problems
like : (a) inadequate support extended to technology development, (b)
coconut culture is concentrated only in the southern parts of the country
and hence the industry is not diversified to other parts, (c) low priority
accorded to the industry by the central government on account of the
limited contribution of the coconut industry to national income, and (d)
absence of a rationalized tax structure for the benefit of the coconut
industry etc. The paper sets the motion for a full length discussion about
the other types of industries.
Dr. K. C. Samal in his paper, ‘Aquaculture (Shrimp) Industry in
and around Chilika Lake: Its Impact on Environment’ has expressed that
shrimp ponds by shrimp industry for carrying out shrimp culture. He has
pointed out that both shrimp ponds and shrimp gheries pollute the
environment by causing obstruction to natural drainage, water logging,
soil and water salinisation, damage to natural fisheries, loss of cultivable
and grazing land and siltation in the lake. His study recommends
abolition of shrimp culture and shrimp seedlings in and around Chilika
lake.
32
Dr. P. Sahu presented a paper titled, ‘Prospects of Seafood
Processing Industry in Orissa’, co authored by Dr. N. B. Pradhan. The
paper mentions that the shortage of conventional food leads to a search
for seafood from the coasts in order to meet the demand of growing
population in the domestic market. Besides, seafood gas also a great
export potential. For developing the industry steps should be taken to
build infrastructural facilities, modernization and up-gradation of
technology and marketing arrangements for the sale of the products.
Dr. Manaranjan Behera and Damodar Jena in their paper,
‘Marketing of Sabai Material : A study of Mayurbjanj Sabai Grass
Processing and Marketing Co-operative Society’, have studied the
marketing system of sabai materials of the society, A number of problems
and critical gaps with respect to marketing of sabai materials have been
pointed out by the authors. These problems are: non-adherence to the by-
laws stipulated by the society, purchase of sabai materials from
middlemen at inflated prices, inadequacy of working capital in relation to
fixed capital deployed in industries, and poor marketing facilities
etcetera, the authors have suggested, among other things, for the
cultivation, processing and production of finished items directly by the
society. Management orientation of the staff presently working in the
society must also receive added attention.
33
The paper of Dr. Shibalal Meher titled, ‘Role of Sericulture
Industry in the Economic Development of India’ mentions of productive
employment besides having and important role in earning foreign
exchange. He has suggested for streamlining the marketing system and
expansion of area under sericulture for rapid development of this type of
industries.
Dr. (Mrs.) Rashmi Mishra’s ‘Status and Prospects of Fruit Industry
in Orissa’ begins by stating that India ranks first in the world in terms of
fruit production. The problems identified by the author are : low capacity
utilization, excessive concentration of fruit industries in the urban areas
with very little spread effect in rural centers, inadequate expansion of
fruit processing and preserving units, lack of application of modern
technology and poor marketing arrangements either by the public or by
the private sector. She has suggested for large scale investment and
improvement of R and D facilities for the fruits industry in the coming
years.
Dr. B.P. Misra presented a paper titled, Food Processing Industry’s
Role in Economic Development’. He has pointed out that through India
has the first position in the world in the preproduction of fruits and
second position in vegetables, yet, only 1% of the total fruits and
vegetables are being processed in the country. He has pointed out that
34
India has the potential to export a substantial part of the production of
processed fruits and vegetables. For this the industries have to adopt
technologies and manufacturing practices to meet the requirements of the
world trade. But the new technologies will have to be preceded by a new
management outlook. In his article Misra has used SWOT analysis to
asses different aspects of the food processing industry.
The paper on ‘Sea Water Farming’ was presented by Mrs.
Nirupama Misra. The paper highlights the importance of Salicornia-
world’s first salt tolerant plant. The seed of the plant contains
approximately 30% of oil. Salicornia oil is an excellent type of vegetable
oil similar to sunflower oil. This is also used by cosmetic and
pharmaceutical industries. The residue remaining after oil extraction can
be used for human consumption or as protein concentrate to be used as
animal feed. The author, however, laments that very little attempt has
been made to exploit salicornia plant from the seacoast of the state. More
R & D activities be involved in extracting the plant for better commercial
use.
Mrs. Pramila Prava Patnaik in her paper ‘Food Processing
Household Units in Orissa: A Study in Chatrapur NAC’ has dealt with
consumer food processing in household units in Chatraopur town of
Ganjam district. The study has shown income, output and employment
35
generation in food processing units by employing family labour and hired
labour. Income generation is more in case of the former than the latter,
where as output generation shows the reverse trend. She suggests for
adequate supply of institutional finance to units and for the formation of
co-operative societies to assists the members with the supply of raw
materials, credit and marketing opportunities.
C. R. Das presented a paper on ‘Rural Development in Orissa
through Diary Sector’. He has mentioned several problems presently
faced by the dairy sector in the state of fering a few suggestions to
overcome those problems.
S. F. Jalil in his paper on, ‘Mushroom Production for Rural
Economic Development’ mentions about the growing importance of
mushroom cultivation in the rural economy of Orissa. He has suggested
that more attention be paid for the supply of quality seeds, training and
extension facilities, finance and marketing opportunities in the rural areas
in order to attract more rural population to adopt the prof ession which is
lacking at present.
The session started with the presentation of a paper by Dr. S. N.
Misra on, ‘A Model Plan for the Development of Agro-Industries in
Undivided Puri District during Ninth Five Year Plan (1997-2002)’. The
paper highlighted the following objectives: (a) the potential demand
36
existing for the agro-industrial projects in the state, (b) the available
supply of these to match with the growing demand, (c) the problems
encountered by agro-industries in course of their operation and finally the
measures envisaged during the Ninth Five Year Plan of Orrissa to
accelerate the development of these industries. Dr. Misra mentions that
the demand for agro-industrial products like cashew nut, prawn products,
dairy products, meat and meat products, poultry and packaging, etc. have
increased considerably. As against the demand, the supply of such
products has not increased commensurately and, hence, there is a gap
between demand and supply. Failure of supply to increase in paripassu
with the demand of the products is due to several organizational,
operational and administrative reasons. Removal of these problems
through well thought out planning and appropriate policy measures would
help to develop those industries to a large extent.
Dr. Sridhar Behera in his paper has discussed on, “Agro-Industries
and Agricultural Efficiency in Orissa – A Study of Angul Agricultural
District’. The author mentions about the low agricultural productivity
prevailing in the state. The productivity is lower even in comparison to
other states of the country. To increase productivity he has suggested the
following : (a) to develop an efficient land-person management system,
(b) to evolve proper water management system to use the valuable scarce
37
resources, (c) to introduce organic farming and (d) to develop efficient
communication system. He has summarized by saying that when all these
improvements are taken into consideration, the development of
agriculture and industries depending upon agriculture would likely to
develop.
Dr. R. M. Mallik, in his paper, “In Processing Value-added NTFT-
based Products in Orissa: Opportunities and Challenges’, has focused on
non-timer forest products. He has pointed out that the existing provisions
in the forest acts, financial, technical and other institutional impediments
are the major constraints for NTFP processing units. He has suggested for
decentralization and locally governing system for NTFP-based value-
added products by empowering Gram Panchayats to take up the
management and control NTFP processing units.
Dr. N. C. Dalai presented a paper on, “High-tech Agriculture and
Agro-industries. He has mentioned that Hi-tech agriculture is the key to
increasing both production and productivity. He has pointed out that
organic farming is presently considered as the best alternative to live in a
world free of toxicity and residual effect. He has highlighted the
importance of hydroponics technology and its prospects for the growth of
agriculture and agro-industries depending on it.
38
Dr. N. K. Sahu presented his paper on, ‘Food Processing Industries
and Industrial Policies of Orissa.’ In his paper he has advocated that
government is required to implement agricultural and industrial policies
properly. He has suggested for strengthening the linkage between
processor and grower and for providing financial assistance to food
processing industry in time and in adequate amounts.
Dr. Nilakantha Panigrahi in his paper, ’Prospects of Agro-
Industries in Tribal Reforms of Orissa’ mentions about the importance of
these industries in the tribal economy of the state. He has particularly
suggested for the formation of Self-Help Groups to serve as a link
between agriculture and agro-industries and between agro-industries and
the market. Since the SHG’s have worked well in the tribal areas in
establishing the above linkages, the obstacles standing on their way need
be removed to make them more operative.
The paper by Madhuri Padhi on, ‘Performance of Agro-produce
Processing Units in Undivided Puri District’ discusses about the problems
of agro-processing units and suggests measures for the removal of these
problems.
The agro industry is regarded as an extended arm of agriculture.
The development of the agro industry can help stabilize and make
agriculture more lucrative and create employment opportunities both at
39
the production and marketing stages. The broad based development of the
agro products industry will improve both the social and physical
infrastructure of India. India is one of the largest producers of food, and is
the largest producer of milk, sugarcane and tea, as well as the second
largest producer of rice, wheat, fruits, and vegetables in the world. Nearly
70% of the population depends on agriculture and agro-based industries.
Since it would cause diversification and commercialization of agriculture,
it will thus enhance the incomes of farmers and create food surpluses.
The agro industry mainly comprises of the post harvest activities of
processing and preserving agricultural products for intermediate or final
consumption. Market opportunities for the sale of fruit juices, sauces,
squash, pulp and ketchup, syrups, vinegar, barley water and canned fruits
have increased considerably. It is a well recognized fact across the world,
particularly in the context of industrial development that the importance
of agro industries is relative to agriculture increases as economies
develop. It should be emphasized that food is not just produce. Food also
encompasses a wide variety of processed products. It is in this sense that
the agro-industry is an important and vital part of the manufacturing
sector in developing countries and the means for building industrial
capacities.
40
REFERENCES :
1. Dr.V. Venkaiah - Impact of Agro-Based Industry on
Rural Economy. Himalaya Publication
Mumbai-1996, P-17-18
2. INDIA - Famine Enquiry Commission, 1944
3. S N Bhattacharya, - Rural Industrialization in India, B R
Publishing Corporation, Delhi, 1980, p
192;
4. INDIA - (Planning Commission) Village and
Small Industries Sector Framework,
New Delhi, July 1988, p 7
5. See: James E Austin - Agro-industrial Project Analysis, John
Hopkins University Press, London,
1981, p 3.
6. Dr.V. Venkaiah - Op.cit. P.22
7. Ibid - Page No.22
8. S. Nakkiran - “Agro Industries in Indian Economy”,
Khadi-Gramodyog, Vol. – 18, No.3,
June 1972. P.528.
9. Dr.V. Venkaiah - Op.cit. P.23-25.
10. Dr.V. Venkaiah - Op.cit. P.25-26.
11. Ibid - P. 274.
12. Ibid - P. 279
13. Dr. Sudhakar K. Pager - Impact of sugar co-operative industry
on Rural Development, Chandralok
Prakashan Kanpur, 2007 (P.35)
14. S.B. Vrma , U. P.
Singh, S. K. Jiloka
- ‘Rural Development Reforms’, Deep
and Deep Publications Pvt. Ltd., New
Delhi, 2006, (P.179).
15. R.P. Misra and K.V.
Sundaram ,
- ‘Rural Area Development’, Sterling
Publishers Pvt. Ltd. New Delhi, 1979,
(P. 148-149)
16. R.A. Chaurasia - “Agro Industrial Development”,
Chaugh Publications, Allahabad, 1988.
17. Dr.Rajagopal - ‘Agri-business and Entrepreneurship’,
Amol Publications, New Delhi-1990.
41
18. Dr. Arun Bhargave - ‘Rural Marketing and Agricultural in
India’, Surendra Publications,
NewDelhi-2010.P. 226
19. Ibid - P. 226-227
20. Ibid - P.266
21. Dr. K. P. Sinha - ‘Agribusiness Management’, A. K.
Publications, New Delhi-2009.
22. Dr. T. Natrajan - “Organic farming for Business”,
Swastik Publication, Delhi-2011.P. 27.
23. Ibid - P.27-28.
24. Ibid - P.44-45.
25. Depika M. G. and S.
Rajagopaln
- ‘Corporate Agribusiness Concepts and
Cases’, The ICFAI University Press
2005.
26. B. Misra, G.C. Kar
and S.N.Misra
- Agro Industrial and Economic
Development, Deep and Deep
Publications Ltd., New Delhi – 2004.
(P.179)
27. Economic Survey -2005, Govt. of India
28. RBI Report 2010. -
29. http://agro.indiamart.com/agro-industry-overview/
30. http://agro.indiamart.com/agro-industry-overview/
31. Arun Bhargav - Op.cit P.256-260.
32. Dr. T. Natrajan - Op.cit P.229.
*******
42
CHAPTER - III
PROFILE OF THE STUDY AREA
3.1 INTRODUCTION
In view of the importance of agro-based industries as a micro level
study a brief reference to rural agricultural development of selected
villages and profile of study area are necessary to be understood. It has
been said in support of agro-based industries. In order to have a better
appreciation of the study area, we must have the fact and figures referring
to the study area.
This chapter analyses the profile of the study area, Demographic
profile, population size. Agricultural profile concerned with land size,
irrigation pattern and cropping pattern in the study area etc. The main
purpose of this chapter is to present more comprehensive demographic
profile of farmer, agricultural labourers and labours in agro-based
industries in the area under study.
3.2 PROFILE OF THE SANGLI DISTRICT
The history of Sangli District is related with Maratha dynasty the
Mugal's, Aadilshaha and Maratha's struggled for providing
superemainacy on this reason. Shrimant Aappasaheb Patwardhan, The
Leader of Maratha Dynasty made Sangli. The Capital of "Sangli
Sansthan." In post independence Era in 1947 the District "South Satara"
43
was formed by adding some part the Satara District and the independent
erstwhile states Viz. Aundh, Jath, Sangli, Miraj, Kurundwad etc. In 1960,
the name of "South Satara" was changed "Sangli District". The
district Sangli is bounded by Vijapur district of Karnataka State in the
East, the part of Kolhapur district in the South, the part of Ratnagiri in
the West and Satara district in the North.
The district is located between 1.6.46 to 17.10 North Latitude and
73. 42 to 75.40 East Longitude Total Geographical area of the district is
8601.50 Kms. Average rainfall is about 50mm. Agriculture is the main
occupation in the district. Almost 77 percent people engaged in
Agriculture Thehe majoa eras are Jawar, Barja, Wheat, Sugarcane,
Cotton, Tobacco, and Groundnut. The gross cultivable land 8.66 lacks
hectors and net cultivated land is 5.69 lacks hectors. The land brought
under irrigation gross 119 thousand and net 97 thousand hectors. The
main river of Sangli district is Krishna and its tributaries are Varna and
Yerala. The work of lift irrigation project is in progress at Takari near
Sagarshwar and Mhaisal irrigation project is under construction near
Miraj.
The total population of Sangli district is 25.82 lacks. Population of
male and female is 11.28 and 10.81 lacks respectively. Percentage of
rural population to total population of district is 77 percent and rest is
44
urban. Literate population is 62.6 1 percent to total population. The
percentage SC/ST population to total population is 12.54 and 0.50
respectively. The total villages are 727 of which 723 are inhabitant and 4
are deserted. Electrification in the entire district is almost completed.
The numbers of banks in the district are 21 and its branches are
416. The registered factories are 2514 in operation. Total units of Large
and Medium Scale industries are 56. Units under small scale industries
registered 6046 provided employment to 31397 persons. Rs.18743 lack
has invested in these SSI units. Production capacity is Rs.22187 lacks.
M.I.D.C. is set up at five places and five Coop. Industrial estates are in
operation. The number of sugar factories and spinning mills are 17 and 13
respectively in the district. Sugar production is 5.22 lack tons.
Total length of railway track and road is 174 and 9703 Kms.
respectively. Agricultural production is marketed through 5 main
markets, 6 sub markets, 13 marketing societies and 21 fruit and
vegetables markets, Dairy, Poultry, Fisheries and Horticulture activities
having ample scope with adequate facilities in the district.
The medical facilities made available through 22 hospitals, 66
primary health units, 57 primary health centers. The Wanless Medical
Hospital at Miraj is famous for best Medical Centre in the country.
Walchand Engineering College is well known for growing talented
45
Engineers, Sangli district is developing fast and hence having ample
scope for insurance penetration. The Sangli district is well known for
cultural and political activities.
3.3 PROFILE OF THE STUDY AREA
The agriculture is the backbone of the Indian economy. It
contributes a sizable share not to the country's domestic product but also a
major part of working population which engaged in agriculture. In
addition to this it encourages other economic activities such as industry,
trade, commerce and transportation. The agriculture in Maharashtra state
and in study area is facing many problems such as low agricultural
productivity, over dependence on rain, heavy pressure of population lack
of use of improved technology, defective storage, large scale
unemployment and under employment. So there is an urgency of
developing agricultural sector on a priority basis. The price and pattern of
economic development is very much depends on agricultural
development.
The farmers on the basis of size of land holdings have been
categorized into three groups viz medium small and large farmers. The
farmers who have land holding of below one hectare are called as
marginal farmers. Those who have land holding between one and 2
hectare are called as small farmers. The farmers who have land holding
46
above of 5 hectare are called as big farmer. The Small farmer is mainly
depending on mansoons, without water supply the small farmers can not
increase agricultural production, besides it is not possible to increase
agricultural production, productivity and profitability without irrigation
facilities.
The Maharashtra is one of the leading states in the country in
agriculture and plantation crops. It is the largest producer of coffee in the
country. The small farmers in the state are producing tea, coconut,
cashewnut, pepper, cardamom, rubber, orange, grapes. In the study area
small farmers are producing sugarcane, cotton, wheat, maize, oil seeds,
groundnut, jowar and rice etc. The economic history of small farmers in
Walwa taluka received due attention of the scholars in the country and in
Maharashtra State. But unfortunately little attention was paid to the
writing of socio-economic history of small farmers and agricultural
labourers in the study area in view of economic development of these
sections of the society.
3.3.1. INFRASTRUCTURE FACILITIES IN WALWA TALUKA
There are 25 commercial regional rural banks, 4 urban co-operative
and one primary land development bank working in Walwa taluka during
20011-12. In addition to these banking services, 04 co-operative sugar
47
factories, 60 agricultural credit co-operatives, 19 milk producers credit
co-operative and 191 other co-operative are working in Walwa taluka.
There are 23364 motor vehicles in Walwa taluka including motor
cycles, cars, cabs, auto rickshaws, buses, tractors, ambulance, goods
vehicles and others, which made transportion easy. There is also a
provision of railway services with 28 kms broad gauge and one railway
stations at in Walwa taluka linking Karnataka and southern parts of
Maharashtra up to Bangalore. There are 91 post of fices. One telegraphic
of fice and 26 telephone exchanges with 13064 telephone service
facilities in Walwa Taluka.
3.3.2 Education Facilities in Walwa Taluka
There are 189 primary Schools, 56 high schools 20 pre university
colleges and 9 degree college in the Walwa taluka in the year 2011-12.
3.3.3 Health Facilities in Walwa Taluka
There are 11 Govt. primary health centers and 52 private hospitals
working in the taluka during 2011-12.
3.3.4 Location of Walwa Taluka
Walwa taluka is located in the top of the Sangli district, it situated
between 15-23 and 16-58 North latitudes and 74-05 to 75 - 28 east
longitudes at the North West part of Maharashtra State. Walwa taluka is
one of the biggest taluka in the district with an area of 78781 sq.km. It
48
lies on the border of Maharashtra State connecting Sangli district in the
North, Kolhapur district in the west and Bijapur district in the East.
3.3.5 Rainfall in Walwa Taluka
Normal Rainfall (in mms) during 1991 to 2010 - 680.90
Actual Rainfall (in mms) in 2009-10 - 706.3
During rainy days - Normal (1991 to 2010) - 40
Actual (2009-10) - 38
3.3.6 Pattern of Land Utilization in Walwa Taluka
The taluka has been the forefront in respect of agricultural and
other activities; it has an ideal agro-climatic conditions and enterprising
farming community. The taluka, with its salubrious and moderate climate,
accounts for an enormous area under sugarcane with enthusiastic farmers.
The Table no 3.1 reveals the utilization of land in the study area of
Walwa taluka.
Table No. 3.1
Pattern of Land Utilization in Walwa Taluka
Sr. No. Details of Land Utilization Area in
Hectares
1 Total Geographical area 78781
2 Area not available for cultivation 8803
I Area Under forest 2952
II Non Agricultural Land 4179
III Barren Land 4626
3 Other cultivable land 5434
I Cultivable waste land 1805
II Permanent land 67026
III Trees and Graves 129
4 Follow Land 7319
5 Area Sown 57902
I Net area sown 75604
II Area sown more than once 17702
Source: Sangli District statistics at a glance 2011-12.
49
The table No. 3.1 shows that the total geographical area of the Walwa
taluka is 78781 hectare, out of which land available for cultivation was
8803 hectare, other uncultivable land was about 4179 hectare and fallow
land was about 7319 hectare. The total area sown was 57902 areas shown
were 75604 and 17702 hectors of land considered as area shown more
than once.
3.4 DEMOGRAPHIC PROFILE OF SMALL FARMERS AND
AGRICULTURAL LABOURERS
This profile consists the total population of the taluka according to
census 2001. It also includes literacy ratio, sex, density of population and
working population in Walwa taluka. The detail demographic profile is
shown in the Table no. 3.2
The identification details of small farmers and agricultural
labourers can be studied with the help of demographic characteristics viz
nature, composition, education and literacy, total population of Walwa
taluka has been shown in the following table.
50
3.4.1 Demographical Profile of Walwa Taluka
Table No. 3.2
Demographical Profile of Walwa Taluka
Sr.
No. Details of Population Number Percentage
1 Total Population (Rural) 335844 100
I Male 173263 51.60
II Female 162581 48.40
2 Total Population (Urban) 91533 100
IV Male 47279 51.65
V Female 44254 48.35
Total (Rural +Urban) 427317
3 Literates
I Male 187406 76.17
II Female 109417 62.43
4 Total Workers 185102 43.45
I Cultivators / Small farmers 80692 18.89
II Agricultural Labour 60826 14.23
III Agro Based Industrial worker 43524 10.20
Source: Sangli District statistics at a glance 2011-12.
The table no 3.2 reveals that the population of the Walwa taluka
according to 2001 census was 427327 out of which 335844 (78.59) rural
and 91533 (21.41) urban. There is 51.60 % male and 48.40% female in
rural and 51.15% male and 48.35 % female in urban.
The literacy rate is not satisfactory. It is only 76.17 percent of the
male and 62.43 of female. As regards the workers, nearly 18.89 percent
51
of the population is cultivator, 14.23 percent are agricultural labourers
and other services accounts for only 10.20 percent of the total population.
3.4.2 Population and Number of Villages in the Study Area
The population and number of villages in the study area in
comparison with state and district has been shown in table no. 3.3
Table No 3.3
Population and Number of Villages in the Study Area
Sr.
No.
Name of the
District
Population No. of
Villages Male Female Total
1 Maharashtra 50401000 46478000 96879000 3711
2 Sangli dist. 1320000 1264000 2584000 724
3 Walwa 220482 206835 427317 73
Source: i) Government of India census report 2011.
ii) Sangli District at glance 2011-12.
Table no. 3.3 shows the total population and number of villages in
Walwa in Sangli District and in Maharashtra state according to
2001census report. The population of Walwa taluka was and distributed
among 73 villages. In Maharashtra there are three 3711 villages and in
Sangli District there are 724 villages.
3.5 AGRICULTURAL PROFILE OF WALWA TALUKA
The agriculture and its allied activities are major occupations of the
people in the taluka. The 69.50 percent of land is under cultivation,
52
agriculture being a predominate occupation of the people. There are five
categories of farmers seen in the taluka on the basis of land holding but
among them three categories are considered important and they are
marginal farmers (below 1 hectare), small farmers (below 1 to 2 hectare)
and big farmers above 2 hectares. The land holding pattern of above
different categories of farmers is shown in the table no. 3.4
Table 3.4
Land Holding Pattern of Different Categories of Farmers in
Walwa Taluka
Category of
Farmer Number
Average
Area
(in hectare)
Average
Marginal Farmer 18580
(24.17)
9300
(4.62) 0.50
Small Farmer 21086
(27.43)
61500
(15.75) 1.50
Semi-Medium
Farmer
19570
(25.47)
58400
(29.21) 2.98
Medium Farmer 15442
(20.09)
71330
(35.67) 4.61
Big Farmer 2172
(2.82)
29400
(14.70) 13.53
Total 76850
(100)
199930
(100) 2.60
Source: Sangli District Statistics at a Glance 2011-12.
Note : Figures in brackets indicate percentage of the respective
number .
53
Graph 3.1
Land Holding Pattern of Different Categories of Farmers
in Walwa Taluka
The Table 3.4 and graph 3.1 reveals the status of distribution of
farmers in the taluka was not even. A large number of farmers in the
study area are belongs to marginal and small group holding just around
20 percent of land of the total land in the study area. The big farmers, i.e.
14.70 percent of total land holders, constitute only 2.82 percent of total
land holding. It is significant to note that semi medium farmers and
medium farmers shared nearly 64.88 percent of the total land holding.
They are on the top position in area acquiviring land holding. It reveals
that category of big farmers is dominating other categories of farmers in
Semi-Medium Farmer, 25.47
Small Farmer, 27.43
Marginal Farmer, 24.17
Big Farmer, 2.82 Medium Farmer, 20.9
54
area that is 15.07 percent of total land acquired only 2.78 percent of the
total land holders.
As regards the average land holding to the farmers under study
area. Table No. 3.4 shows that 24.23 percent of the sample farmers
having only as an average 0.49 hectare of land 29.23 percent of the
sample farmers having only 1.44 hectors of land. It is remarkable to note
that only 2.78 sample farmers have 14.50 hectors of land. Generally in
the study area as an average 2.67 hector of land per household.
3.5.1. Net Area Irrigated
Irrigation in Walwa taluka is insignificantly developed. Since
major part of taluka is dry, therefore it is considered as a drought hit area.
But the farmers residing in dry areas have made their own provision of
water facilities to their lands at their own cost by the way of wells and
tube wells. The small farmers of Krishna River belt have lift irrigation
facilities. The main sources of irrigation in the taluka are wells, bore
wells, lift irrigation schemes and some minor irrigation schemes of the
Government of Maharashtra. The Table no. 3.5 presents different sources
of irrigation in Walwa taluka.
55
Table No. 3.5
Source of Irrigation and Net Area Irrigated In Walwa Taluka
In 2008-09 and 2009-10
Sources
Area
Irrigated
(In hectare)
Percentage
Canals 45911 61.20
Wells 26592 35.45
Tube Wells 68 0.090
Left Irrigation 2440 3.25
Total 75011 100.00
Source: Sangli District Statistics at a Glance 2011-12.
The table no. 3.5 reveals that in Walwa taluka out of the total sown
area only 75011 hectare of land under irrigation facilities. Among the
various sources of irrigation, lift irrigation from Krishna and Koyana
Rivers was covered 64.45 percent of area and is on the top position. The
35.45 percent of area was under irrigation through wells and only 0.090
percent of land by tube wells. In certain parts of the taluka where
government constructed the check dams, from which provision of
irrigation facilities has been made through canals. Under these canals
45911 hectare of land was irrigated.
56
3.5.2. Cropping Pattern in Walwa Taluka
The crop plays an important role in the economy of small farmers
and agricultural labourers. The cropping pattern in Walwa taluka is
shown in table 3.6.
Table No 3.6
Cropping Pattern in Walwa Taluka
Crops
Irrigated
Area
(In hectors)
Non -Irrigator
Area (In
hectors)
Total Area
Sugarcane 24400 (69) - 24400
Cotton 2370 (8.59) 280 2650
Wheat 3018 (8.58) 800 3818
Maize 618 (7.75) 557 1175
Oil Seeds 844 (2.40) 25904 26748
Fruits 368 (1.046) - 368
Vegetables 631 (1.80) 844 1475
Pulses 1150 (3.27) 7223 8373
Jawar 850 (2.41) 10011 10861
Rice 921 (2.61) 3579 4500
Total 35170 (100) 49198 84368
Source: Sangli District Statistics at a glance 2011-12.
Table No. 3.6 reavels that Sugarcane 24400 (69), Cotton 2370
(8.59), Wheat 3018 (8.58), Maize 618 (7.75), Oil Seeds 844 (2.40), Fruits
368 (1.046), Vegetables 631 (1.80), Pulses 1150 (3.27), Jawar 850 (2.41),
Rice 921 (2.61) respectively.
*******
57
CHAPTER - IV
AGRO-BASED INDUSTRIES AND RURAL DEVELOPMENT
4.1 Introduction
The social and economic impact of agro-based industries on
rural areas is different from one industry to another, depending upon the
nature and size of the agro-based industry. An attempt has been made in
the proceeding chapters to give a critical review of the impact of different
agro-based industries on the employment, occupational pattern, wage
structure and income structure.
This chapter is divided into two parts. An attempt has been made to
give a comparative evaluation of the effect of the different kinds of agro-
based industries covered by the study. Further, it gives a brief outline of
the overall impact of agro-based industries on the rural economy, both at
the micro level and the macro level.
This chapter presents a comparative picture of the villages covered
by the study. Here, a comparison has been made of the different socio-
economic aspects of rural areas in the villages covered by agro-based
industries and a village not covered by agro-based industries.
The detailed analysis of the collected secondary data of various
aspects relating to the impact of agro based industrial units on rural
development under study is given below.
58
4.2 Effects of agro-based industries on rural employment
The establishment of agro-based industrial units may be expected
to result in the creation of indirect employment opportunities in the
related sectors, such as the farm sector and the tertiary sector. The
indirect employment created in the farm sector would mainly be in the
form of additional employment generated followed by the changes in the
cropping pattern, which in turn, were as equal to the location of agro-
based industries. This aspect of study takes into consideration the
additional employment opportunities created in the farm sector, either in
the same village or the surrounding villages by the location of the agro-
based industry. Further, in the context of the indirect employment
created in the farm sector, the relationship between the agro-based
industries and the cropping pattern has been studied with the help of
collected information under the study.
Since the Sugar factory and Cotton Textile Industry are located in
rural areas, the impact of these units on the creation of indirect
employment has been studied with reference to their places of
establishment. It has been observed that the tertiary sector developed in
the places where agro-based industries were established and that the
growth of this sector can be attributed only to the location of these agro-
based industries. In the context of this study on indirect employment
59
created by agro-based industries, it would not be out of place here to
determine the employment generated in the tertiary sector developed in
the places where agro-based industries were established. The present
chapter, therefore, also covers the impact of agro-based industries on the
employment generated in the tertiary sector as well.
The direct employment created by the agro-based industries under
study as classified into different types of jobs had been studies with
reference to the year 2006 to 2011. This is also the reference year for the
study of the employment created in the tertiary sector.
4.3 Rural Employment and agro based industrial units
The sub-section of this chapter covers analytical study of various
aspects of employment in the agro based units under study. This includes
direct and indirect employment considering with seasonal, casual, skilled,
unskilled, employment in the agro based industry units in Walwa Taluka
of Sangli district.
4.3.1 Direct Employment in Agro-based Industries
The volume of direct employment generated by agro-based
industries depends upon the nature of the industries. Since agro-based
industries are expected to provide employment opportunities to the
locally available manpower, the proportion of unskilled workers in the
employment profile of agro-based industries would be generally
60
substantial. But this proposition would not hold good universally because
the proportion of skilled and unskilled workers depends upon the degree
of the capital intensity of a particular agro-based industry. But there is
also a case for having agro-based industries that employ high proportion
of skilled and white-collar workers.
It is proposed to analyze the employment provided by the agro-
based industrial units of the two different places taken up for the study
during 2010-11 on the basis of the data given in Table 4.1. The workers
employed directly in agro-based industries have been classified on the
basis of the nature of their employment and on the type of work they
engaged in. The nature of employment has been subdivided into five
classes, but is depends on the nature, scope and business of the agro
based industry units under study.
(i) Permanent employment;
(ii) Seasonal-permanent employment;
(iii) Seasonal employment;
(iv) Casual employment;
(v) Seasonal training.
This classification is necessary because agro-based industries are,
by and large, seasonal in their operations and do not employ uniform
labour force throughout the year. It may be pointed out that the
61
proportion of permanent and seasonal workers largely depends upon the
nature of the agro-based industry.
Table No. 4.1 A
Employment in agro based industrial units in 2010-11
Nature of Employment Administra
tive Staff
Skilled
Workers
Unskilled
Workers Total
1 2 4 6 8
1. Rajarambapu Patil Co-Op.
Sugar Industry – Sakhrale
Permanent Employment 460
(51.33%)
300
(33.48%)
136
(15.18%)
896
(39.60%)
Seasonal - Permanent
Employment -
450
(39.57%)
687
(60.42%)
1137
(50.24%)
Casual Employment - 100
(69.56%)
130
(56.52%)
230
(10.16%)
Total 460
(20.32%)
850
(37.56%)
953
(42.11%)
2263
(100%)
2. Din Dayal BC Co-op. Cotton
Textile Industry, Islampur
Permanent Employment 160
(57.76%)
52
(18.77%)
65
(23.46%)
277
(73.47%)
Casual Employment - 15 (15%) 85
(85%)
100
(26.52%)
Total 160
(42.44%)
67
(17.77%)
150
(39.79%)
377
(100%)
Grand Total 620
(23.48%)
917
(34.73)
1103
(41.78)
2640
(100%)
(Bracketed figures shows percentages)
Source : Data collected through Agro industrial units records.
62
An idea of the employment provided during 2010-11 by the
selected agro-based industrial units has shown in Table 4.1 A. It is clear
from the table, the two agro-based industrial units, put together, provided
employment to 2640 workers. An analysis of the table reveals that
permanent employment was significant in the Cotton Textile industry,
which accounted for 73.74 per cent, followed by the Sugar factory with
39.60 per cent, of the total employment provided by these factories. The
permanent employment in the Cotton Textile industry is perceptible
because of the permanent nature of the functioning of the maize industry;
and it is considerable in the Sugar factory because of its capital intensity
and big size, leading to the employment of the highest proportion of
administrative and technical personnel (20.32 per cent) out of the total
employment in the two agro-based industrial units. As regards the
Permanent employment is significant in the according 1173 (44.73%)
permanent employment out of total 2640 in two agro based industrial
unit.
While seasonal-permanent employment in the Sugar factory is
1137 as regards casual employment, in the Sugar Factory, accounting for
230 (10.69%) per cent of the total employment. While it is 100 (26.52%)
in the Cotton Textile Industry.
63
4.3.2 Indirect Employment generated by the settingup of agro-based
Industries:-
Indirect employment i.e. employment in other sectors of the
selected agro based industrial places during 2006-07 and 2010-11 has
been shown in table no.4.1.B
Table No. 4.1. B
Indirect Employment
Agro-Industrial Place 2006-07 2010-11 Change in
Employment
Sugar Factory : Sakaharale 240 432 192
(55.36)
Cotton Textile : Islampur 127 329 202
(38.60)
Total 367
(100)
761
(100)
394
(48.22)
Source : Data collected through Agro-based industrial Records.
Table No. 4.1.B shows that the two agro base industrial places
provided indirect employment for 367 persons in 2006-07 and 761 in
2010-11. This figure shows that 48.22% increase in indirect employment
during 2010-11. An analysis of the table reveals that the 55.56% increase
in indirect employment in sugar factory. 38.60% in Cotton Textile
industry.
Thus the agro-based industries not only created employment
opportunities in the industrial units (i.e., direct employment) but also
64
created considerable employment opportunities in the tertiary sector
which developed because of the setting up of the agro-based industrial
units.
The agro-based industrial units, thus, resulted in the creation of
employment opportunities in different ways. The direct employment
provided by these agro-based industrial units depended largely on the
nature and size of the agro-based industrial unit in question.
The agro-based industries and the cropping pattern are interrelated.
The agree of interrelationship depends on the nature of the crop linked
with the agro-based industry and whether it is an irrigated crop or not.
The development of the tertiary sector and the employment
opportunities created in that sector were based on the nature of
employment and the level of technology adopted by the agro-based
industrial units. In brief, it may be said that agro-based industrial units not
only create employment in the industrial sector but also in related sectors,
such as the agricultural and tertiary sectors.
4.4 Changes in Occupational Pattern
The occupational position of the farmers in selected villages during
2006-07 and 2011-12 have been shown in Table No. 4.2 A and 4.2 B.
65
Table No. 4.2 A
Rural Occupational Structure of Farmers
Sr.
No. Occupation
2006-
07
2011-
12
1 Walwa
I Agriculture 4 5
II Agricultural Daily Wage Work 1 0
III Agricultural Annual Wage Work 2 0
IV Entrepreneurship of agro based industrial Units 0 2
V Total 7 7
2 Bagani
I Agriculture 4 6
II Agricultural Daily Wage Work 2 0
III Agricultural Annual Wage Work 0 0
IV Entrepreneurship of agro based industrial Units 0 0
V Total 6 6
3 Bavachi
I Agriculture 5 6
II Agricultural Daily Wage Work 1 0
III Agricultural Annual Wage Work 0 0
IV Entrepreneurship of agro based industrial Units 0 0
V Total 6 6
4 Borgaon
I Agriculture 7 7
II Agricultural Daily Wage Work 1 0
III Agricultural Annual Wage Work 0 0
IV Entrepreneurship of agro based industrial Units 0 1
V Total 8 8
5 Gotkhindi
I Agriculture 5 7
II Agricultural Daily Wage Work 1 0
III Agricultural Annual Wage Work 1 0
IV Entrepreneurship of agro based industrial Units 0 0
V Total 7 7
Source: Primary data based on the field survey.
66
Table No. 4.2 B
Rural Occupational Structure of Farmers
Sr. No. Occupation 2006-
07
2011-
12
6 Kameri
I Agriculture 9 10
II Agricultural Daily Wage Work 1 0
III Agricultural Annual Wage Work 1 0
IV Entrepreneurship of agro based industrial Units 0 1
V Total 11 11
7 Islampur
I Agriculture 5 6
II Agricultural Daily Wage Work 1 1
III Agricultural Annual Wage Work 1 0
IV Entrepreneurship of agro based industrial Units 0 0
V Total 7 7
8 Takari
I Agriculture 8 11
II Agricultural Daily Wage Work 2 1
III Agricultural Annual Wage Work 2 0
IV Entrepreneurship of agro based industrial Units 0 0
V Total 12 12
9 Kasegaon
I Agriculture 5 6
II Agricultural Daily Wage Work 1 1
III Agricultural Annual Wage Work 1 0
IV Entrepreneurship of agro based industrial Units 0 0
V Total 7 7
10 Bahe
I Agriculture 6 7
II Agricultural Daily Wage Work 1 1
III Agricultural Annual Wage Work 1 0
IV Entrepreneurship of agro based industrial Units 0 0
V Total 8 7
Source: Primary data based on the field survey.
67
It is observed from the table, 4.2 A and 4.2 B that number of
farmers during 2006-07 in Table 5.2 A and 5.2 B reveals that Walwa,
Bagani, Bavachi, Boargaon, Gotkhindi, Kameri, Islampur, Takari,
Kasegaon, Bahe was 4,4,5,7,5,9,9,5,8,5,6 and 3 respectively. The number
of farmers during 2011-12 in the same villages was 5,6,6,7,7,10,6,11,6
and 7 respectively.
The number of daily wage workers during 2006-07 in these
villages was 01, 02, 01, 01, 01, 01, 01, 02, 01 & 01 respectively. The
number of annual wage workers during 2006-07 was same in Walwa,
Gotkhindi, Kameri, Islampur, Kasegaon and Bahe. i.e. one and in Takari
there is two agricultural annual wage workers in 2006-07. The number of
entrepreneurship of agro based industrial units was negative i.e. 0 in all
sample villages during 2006-07. The number of entrepreneurship during
2011-12 in Walwa two and Boargaon One. It is clear from the table no.
4.2 A and 4.2 B that the Entrepreneurship of agro based industrial units
were started after 2007 and developed gradually up to 2011-12 and there
is no annual wage workers during 2011-12. It means agricultural annual
wage workers in 2006-07 were merged in agricultural occupations during
2011-12.
68
4.4.1 Changes in the Occupational Pattern of Agricultural Workers
In order to bring out the impact of agro-based industries on the
changes in the occupations of agricultural workers in rural areas,
5 percent of the agricultural workers' households of the selected villages
were analyzed in terms of their occupations in earlier years. The total
working population of respondent households, as in 2011-12, was
considered for this purpose. An analysis was also made of the percentage
of working population employed in agro-based industries located in and
around the villages. Further, the changes in the attitudes of agricultural
workers to farm-based and traditional occupations have been discussed.
Changes in the Occupational Pattern of the Working Population of
the Agricultural Workers' in selected Villages in Walwa Taluka
between 2006-07 and 2011-12. This is shown in table no.4.3.
69
Table No. 4.3
Changes in the Occupational Pattern of the Working Population of the Agricultural Workers' in selected Villages in
Walwa Taluka between 2006-07 and 2011-12 . This is shown in table no.5.13. Sr.
No
.
Name of
Villages Occupational Pattern in 2005-2006 Occupational Pattern in 2005-2006
Ag
ricu
ltu
re
Ag
ricu
ltu
ral
An
nu
al W
age
Wo
rk
Ag
ricu
ltu
ral
Dai
ly W
age
Wo
rk
Em
plo
ym
ent
agro
bas
ed
Ind
ust
ry
Em
plo
ym
ent
in t
erti
ary
Act
ivit
y
To
tal
Ag
ricu
ltu
re
Ag
ricu
ltu
ral
An
nu
al W
age
Wo
rk
Ag
ricu
ltu
ral
Dai
ly W
age
Wo
rk
Em
plo
ym
ent
agro
bas
ed
Ind
ust
ry
Em
plo
ym
ent
in t
erti
ary
Act
ivit
y
To
tal
1 Walwa 1 2 3 1 - 7 2 1 1 4 3 11
2 Bagani 1 - 2 1 1 5 2 - 1 1 1 5
3 Bavavhi 2 3 5 1 - 11 4 2 4 1 - 11
4 Boargaon 2 4 5 1 12 3 2 3 3 1 12
5 Gotkhindi 2 2 4 1 2 11 2 1 2 2 - 7
6 Kameri 3 3 5 - - 11 4 2 3 2 - 11
7 Islampur 1 2 2 2 - 7 2 1 2 2 - 7
8 Takari 3 4 4 - - 11 5 2 2 2 - 11
9 Kasegaon 1 3 2 1 - 7 2 2 2 1 - 7
10 Bhae 2 3 4 1 - 10 3 2 2 2 1 10
Total 18 26 36 9 3 92 29 15 22 20 6 92
(19.56) (28.26) (39.13) ( 10.00) (3.26) (100) (31.52) (16.30) (24) (21.73) (6.52) (100)
70
Table No. 4.3 reveals that in 2006-07, 19.56% agricultural
occupation 28.56% agricultural annual wage work, 39.13% agricultural
daily wage work 10% employment in agro-based industry and only
3.26% employment in tertiary activity. It reveals highest was in
agricultural daily wage work i.e. 36 out of 92 (39.13) and lowest in
tertiary activity. It can be seen that in all selected villages in Walwa
Taluka workers engaged in agriculture were near by same.
In 2011-12, 31.52% workers were engaged in agriculture
occupation, 16.30% agricultural annual wage works, 24% agricultural
daily wage works, 21.73% employment in agro-based industries and
6.52% employment in tertiary activities. The share of employment in
farm based occupation of agricultural annual wage work and daily wage
work declined from 28.26% to 16.30% and 39.13% to 24% respectively
during 2006-07 and 2011-12 . Increase in agriculture occupation from
19.56% to 31.52% during the same period. Increase in employment
agro-based industries and tertiary activity from 10% and 10.26% to
21.73% to 6.52% respectively during 2006-07 and 2011-12.
The shift in occupation to agricultural due to the regular cultivation
of two crops consequent upon the provision of the irrigation facility. The
change in occupation to employment in agro-based industries and tertiary
71
activity was influenced by two factors i.e. higher wages than agricultural
sector and the earning of a regular monthly income.
4.4.2 Occupational Background of agro-based industrial Workers:-
In this topic it is proposed to review the occupational background
of the workers employed in selected four agro-based industries. In the
present analysis, the occupational structure of the workers employed in
agro-based industries units has been studied with reference to the two
agro-based industries located at Walwa taluka. It is proposed to analyse
the previous occupations of the workers employed in agro-based
industries in year 2006-07 and 2011-12. This analysis is expected to
throw light on the occupational background of agro-based industrial
workers in 2006-07 and 2011-12. In order to define this occupational
background, it is intended to study how the agro- based industries
workers merged from other occupations during 2006-07 and 2011-12.
4.4.3 Occupational Background of the workers in Sugar Factory:-
Occupational background or occupational positions of workers
employed in sugar factory in Sakharale has Shows in the table no.4.4.
72
Table No.4.4
Occupational Background of Workers Employed in Sugar Factory in
Sakhrale between 2006-07 and 2011-12
Sr.
No. Occupation
2006-
07
2011-
12
1 Non agricultural daily wage work 17
(21.51)
4
(5.06)
2 Full time employed in agro-based
industries
27
(36.70)
37
(46.83)
3 Agricultural daily wage work 10
(12.65)
7
(8.86)
4 Own Business (Small & Cottage
industries)
13
(16.45)
16
(20.25)
5 Employment in tertiary activity 10
(12.65)
22
(27.84)
Total 79
(100)
79
(100)
The table no 4.4 gives an idea of occupational background of the
workers employed in the sugar factory in Walwa. In 2006-07, 21.51%
workers were non agricultural daily wage workers, 36.70% full time
engaged in sugar factory, 12.65% agricultural daily wage work, 16.45%
engaged in there own business (small & cottage industries) and 12.65%
employed in tertiary activity.
In 2011-12 non agricultural daily wage workers 5.06%, full time
employees in sugar factory 46.83, agricultural daily wage work 8.86%
and 20.25% engaged in there own business and 27.84% employment in
tertiary activity. It can be observed from this table that there is decrease in
non-agricultural daily wage worker and agricultural daily wage workers
73
and increase in all other occupations in 2011-12. There is due to
development of sugar factory and provided irrigation faculties.
It is clear that from the foregoing analysis that the workers relying
on different occupation in 2006-07 become full time workers in the sugar
factory by 2011-12. It may therefore be concluded that the importance of
farm-based occupations has been gradually declining following the
emergence of agro-based industrial units.
4.4.4 Cotton Textile Industries and Occupational Background -
Occupational background or occupational positions of workers
employed in Cotton Textile industries in Islampur during 2006-07 and
2011-12 has shown in the table no.4.5.
Table No.4.5
Occupational Background of Workers Employed in
Cotton Textile Industries in Islampur
Sr.
No. Occupation
2006-
07
2011-
12
1 Non agricultural daily wage work 13
(43.33)
4
(13.33)
2 Full time employed in agro-based
industries
7
(23.33)
16
(53.33)
3 Agricultural daily wage work 6
(20) -
4 Own Business (Small & Cottage
industries)
2
(6.66)
2
(6.66)
5 Employment in tertiary activity 2
(6.66)
8
(26.66)
Total 30
(100)
30
(100)
74
Table No. 4.5 evident that the occupational background of the
workers employed in Cotton Textile industry in Islampur during 2006-07
and 2011-12. During 2005-06, 43.33 % worker were non agricultural
daily wage workers, 23.33% Full time engaged in Cotton Textile
industry, 20% agriculture daily wage workers, workers engaged in their
own business and employment in tertiary activity. Were same i.e. 6.66.
In 2011-12 , 13.33% non agricultural daily wage workers, 53.33%
workers full time employed in Cotton Textile industry, 6.66% workers
engaged in there own business and 26.66% employed in tertiary activity.
It can be seen from this table that there is decrease in non-agricultural
daily wage workers in 2010-11. This is no change in their own business
during 2006-07 and 2010-11. An important point to be noted here is that
there is no single worker engaged in agricultural daily wage work in
2010-11. It means all agricultural daily wage workers in 2006-07 shifted
to Cotton Textile industries in 2011-12. There is increase in full time
employment in Cotton Textile and tertiary activity in 2011-12. The share
of employment agro-based industrial occupation was the highest i.e.
53.33% and agricultural daily wage work was lowest i.e. 13.33 in
2010-11. It may therefore, be concluded from the above analysis that the
setting up of the Cotton Textile industry in Islampur brought about an
improvement in the occupational status of the rural population and
uplifted than economically. In short it provided employment to the
75
educated unemployed and reduced the problem of disguised
unemployment in the farm sector.
4.5 RUEAL WAGE STRUCTURE
The agricultural labour and agro based industrial workers is
forming a substantial portion of the weaker sections of Indian population.
In Maharashtra they constitute 26.7 percent of the total workers and 40.4
percent of agricultural workers in 2006-07. This has decreased to 26.5
percentage of the total population and 36.7 percent of workers in 2006-07
the data were collected by the Researcher from all the 10 selected sample
villages in the taluka of Walwa during 2006-07 and 2011-12.
4.5.1 Wage Structure in Study Area
The wage structure of agricultural labours in selected villages and
agro based industrial workers in selected agro based industries are
shown in table no 4.6 A and 4.6 B.
Table No. 4.6 A
The Wage Structure of Agricultural Labours in Selected Villages
Sr. No. Village Wage Rate Per Day (2011-12 )
Male Female Children
1 Walwa 250 150 50
2 Bagani 250 150 75
3 Bavavhi 200 125 50
4 Boargaon 200 150 75
5 Gotkhindi 200 150 75
6 Kameri 250 150 50
7 Islampur 250 150 75
8 Takari 250 150 50
9 Kasegaon 250 150 50
10 Bhae 250 150 50
76
Table No.4.6 A shows that wage rate is same i.e. Rs.250 in Walwa,
Bagani, Kameri, Islampur, Takari, Kasegaon and Bahe due to setting up
agro based industries. There is lowest wage rate i.e. Rs.200 in Bavachi,
Boargaon and Gotkhindi because of absence agro based industries and
majority of population in these villages were agricultural labours. The
wage rates were very high in the villages covered by agro based
industries.
Table No. 4.6 B
Wage Structure of Agro Based Industrial Workers
Sr.
No. Agro Based Industry
Wage Rate Per
Month (2011-12 )
Skilled
Worker
Unskilled
Workers
1 Sugar Factory 37000 20000
2 Cotton Textile Industry 25000 10000
Table No.4.6 B reveals that in Sugar Factory Rs. 37000 wage per
month for skilled workers and Rs.20000 for unskilled workers. In Cotton
Textile Industry Rs.25000 per month wage for skilled workers and
Rs.10000 for unskilled workers. It may be observed that the wage rate is
high in sugar factory because Sugar Factory capital intensive and big
size.
77
4.6. Overall Impact of Agro-Based Industries on Rural
Development
4.6.1 Impact on Employment:-
The employment pattern and agro-based industrial units reveals-
that the employment opportunities created by these industries differ from
one industry to another, depending on the nature of the agro-based
industry. While some industries provide larger permanent employment,
some others create seasonal employment. For example, permanent
employment is significant in the maize and sugar industries. In the Cotton
Textile, it is substantial because of the permanent nature of the func-
tioning of .maize mills. It is greater in the sugar industry because of its
capital-intensive nature, for the share of administrative and technical
personnel in that industry is quite substantial. Nevertheless, the
employment of seasonal and casual workers is noteworthy in the sugar
factory.
As regards the employment created in the farm sector by the
cultivation of agro-based industrial crops, it is evident that the cultivation
of sugarcane and cotton created more additional employment
opportunities (i.e., a larger number of mandays of work) than the other
crops (covered by the present study). In respect of the development of the
tertiary sector and the employment opportunities therein, of the two
industries, the sugar industry ranked first.
78
4.6.2. Impact on Occupations:
Agro-based industries, irrespective of their nature and type,
brought about significant changes in the occupational pattern of the rural
population. The impact of these industries was the most pronounced on
the occupational positions of agricultural workers; and it was the least in
the case of agriculturists. Consequent on the setting up of agro-based
industries, there was an expansion in the range of occupations in rural
areas. This was so because of the entrepreneurship of agro-based
industrial units by rich agriculturists and because of the employment of
agricultural workers in unskilled jobs in agro-based industries.
The percentage of skilled workers in Cotton Textile industries was
much lower than that in the sugar industry. A large number of workers
were unskilled and were drawn exclusively from agricultural occupations,
whereas, in the sugar industry, the skilled and unskilled workers were in
equal proportions, the unskilled workers coming mainly from agricultural
occupations.
The employment in sugar industries resulted in a shift in
occupations they provided relatively greater permanent employment than
seasonal and casual employment. As opposed to this, there was
practically no shift in the occupation of workers employed in the cotton
textile industries. This was essentially due to seasonal employment in this
industry. The workers employed in this industry took up agro-based
79
industrial occupation only as a secondary occupation in addition to their
principal occupation (i.e., agricultural occupation).
4.6.3 Impact on Wages:
The development of agro-based industries in or around rural areas
substantially increased the wage rates for different agricultural
operations. The increase was more pronounced in the case of women and
child labourers than in that of men. Obviously, the wage differentials
were reduced among casual labourer’s men, women and children to a
large extent.
But wage differentials cropped up afresh in a new direction in rural
areas, i.e., between agricultural workers and agro-based industrial
workers.
Change in Wage rates of agricultural workers during 2006-07
and 2010-11 - Shows in table no. 4.7.
80
6.3.2 WAGES – Change in Wage rates of agricultural workers during 2006-07 and 2010-11 - Shows in table no. 4.7
Table No. 4.7
Average Daily and Annual Wage Rates of Agricultural Workers – Male-Female and Children in Different
Operations in Sample Villages (2006-07 to 2010-11)
Agricultural Daily wage work
Male Female Children
Year Ploughing
Sowing
weeding
and trans
plantation
Harvesting
and
threshing
All
agricultural
operations
Sowing
weeding
and trans
plantation
Harvesting
and
threshing
All
agricultural
operations
Sowing
weeding
and trans
plantation
Harvesting
and
threshing
All
agricultural
operations
Agricultural
annual
wage work
(per
annum)
Tending
cattle
(per
annum)
2006-
07
200 150 200 150 100 150 100 50 75 100 20000 2750
2010-
11
220 200 250 200 150 200 150 75 100 200 60000 10000
Source : Data collected through questionnaires.
81
The figures in Table No. 4.7 give an idea of the average daily wage
and annual wages of agricultural workers in Walwa Taluka during 2006-
07 and 2010-11.
For all agricultural operations, the wages of male workers-
increased from Rs.100 to 150 in 2010-11. The increase was from Re.
100.00 to Rs. 150.00 for women and from Re. 75 to Re. 100 for children,
the percentage increase being 25 in each of the two cases. The increase
was more pronounced among women and child workers than among male
workers. This indicates that the wage differentials went down
significantly among male, female and child workers.
In this village, the same wages were paid for different operations
for each of the categories of the workers who were-employed casually.
As for the wages of attached workers, while the wages of
agricultural annual wage workers increased from Rs. 20000 to Rs. 60000,
those of the workers engaged in tending cattle increased from Rs. 2750 to
Rs. 10000.
4.6.4 Impact on Income:
The impact of agro-based industries was significant on the income
levels of all categories of the rural population. The increase in incomes
was more spectacular in the households of agricultural workers and the
workers employed in agro-based industrial units themselves. The trend
82
therefore was towards a reduction in income disparities among the rural
households.
Even though the incomes went up substantially in all the industrial
places irrespective of the nature of the agro-based industry located
therein, the increase was relatively more pronounced in the villages
covered by the sugar and Cotton Textile industries a fact which may be
ascribed to the cultivation of sugarcane, an of shoot of the sugar industry.
In brief, the incomes of all the rural households, more particularly of
agricultural workers, increased irrespective of the nature of the agro-
based industry located in or around a rural area.
INCOMES – Changes in the Per Acre Incomes of Agriculturists in
sample Village between 2006-07 and 2010-11 shows in table no.4.8
Table No. 4.8
Changes in the Per Acre Incomes of Agriculturists in Sample Village
between 2006-07 and 2010-11
Size of the
land
holding (in
acres)
Number of
household
Average
number of
acres
cultivated per
house hold
Average in
come per
acre in
2006-07
Average in
come per acre
in
2010-11
Increase in
average in come
per acre by
2010-11 over
2006-07
Less than 5 16 3.66 18000 24000 6000 (33.33)
5-10 15 8.50 17500 22000 4500 (25.71)
10-15 12 12 15000 20000 5000 (33.33)
15-20 14 16 15500 20000 4500 (29.03)
20-25 9 21 14000 18000 4000 (28.57)
25-30 13 28.20 14000 19000 5000 (35.71)
Total 79 88.36 94000 1230000 29000 (38.85)
(Figures in brackets refer to the percentage increase in income over the
period.)
Source: Data collected through questionnaires.
83
Table No. 4.8 gives an idea of the changes in the per acre incomes
of agriculturists of between 2006-07 and 2010-11.
An analysis of the table reveals that the increase in the per acre
income was insignificant during the period covered by the study. By and
large, it was the same in the case of all the size holdings. While the size
holdings of 5 to 10 acres accounted for the lowest increase (i.e. 25.71 %),
the highest increase was observed in land-holdings of 25 to 30 acres
(35.71).
The percentage increase in the per capita, income of agricultural
workers' households has been shown in Table No. 4.9.
Table No. 4.9
Changes in the Per Capita Income of the Working
Population of Agricultural Workers' Households of sample Villages
between 2006-07 and 2010-11
Level of per capita income 2006-07 2010-11
Below 1000 8
(8.04) -
1000- 2000 23
(25.28)
7
(5.74)
2000-3000 26
(29.88)
17
(18.39)
3000-4000 28
(31.03)
20
(21.83)
4000-5000 7
(5.74)
24
(26.43)
5000 and Above - 25
(27.58)
Total 92
(100)
92
(100)
Source: Data collected through questionnaires. (Figures in brackets
refer to the percentage)
84
Table 4.9 shows that while there was not even a single household
earning more than 5000 per capita income during 2006-07. And there is
25 i.e. 27.58% household earning more than 5000 per capita income
during 2010-11. The income of 49 household i.e. 54.2% increased to
more than Rs.4000 by the year 2010-11. On the other hand the number of
households with income of less than Rs.4000 decreased 94.25% to
45.97% (85 to 44 household) during the period from 2006-07 to 2010-11.
The important point to be noted is that while the incomes of all the
households increased the households in the income groups of 1000-2000,
2000-3000 and 3000-4000 in 2006-07 registered a very sustained
increase.
4.7 Overall Impact of agro based industries
The findings of the present study throw light on how the rural agro-
based industries influenced the rural economy in particular and the
national economy in general. These agro-based industries, by raising the
income levels of the rural workers, brought about significant changes in
the standard of living and the social and cultural attitudes of the rural
population in general. Further, rural agro-based industries contributed to
the per capita income at the national level. The particular rural areas
investigated reflect a micro-level change in the economy,. whereas the
consequences of such changes covering a much broader area, say, the
85
whole state or nation, represent a macro-level transformation. To achieve
the predetermined objectives of the study, the provision data was
collected with a view to throw light upon the following important aspects.
4.7.1 Impact at the Micro Level
Consequent on the setting up of agro-based industries and the
cultivation of agro-based industrial crops, the structure of agricultural
output in the selected villages underwent a change. The growth in the
industrial and agricultural sectors in rural areas gave an impetus to the
growth of the tertiary sector, viz., banking, transport, communication,
hotel business, etc.
The setting up of agro-based industries resulted in the emergence
of growth centers of the selected places.
"Growth Centre" contains industrial activities having an
innovative and generative character and with defined tendencies towards
the multiplier effect. The economic activities at a growth centre are
endogenous and generate development impulses in an area. The industrial
activities can be resource-based or of an intermediate type or even
consumer type which can generate other secondary and tertiary activities
in the town and reinforce its growth potential. The growth centre will
have, in addition to the above, well developed services and administrative
functions. Growth center’s policy paves the way for planned urbanization
86
in the country and creates frontier check posts of migration from rural to
urban, settlements. Growth centre development through non-farm
activities-stimulates the growth of the primary sector, too.
The term "growth centre" refers to the rural area which has
acquired the status of a semi-urban or urban centre in terms of its
business and' employment potential and communication-cum-transport
facilities stimulated by the establishment of agro-based industries.
The development of the tertiary sector in the places where the
industrial units had been established provided further employment
opportunities for the rural population. It is no exaggeration to say that the
growth of agro-based industries generated employment opportunities for
the educated and skilled people in the secondary and tertiary sectors in
these rural areas. Employment opportunities were also created for the
unskilled workers in rural areas (i.e., agricultural workers) in the
agricultural sector consequent upon the cultivation of agro-industrial
crops.
The expansion of sugarcane cultivation encouraged the inter-state
and inter-district migration of the population. A number, of people
migrated from other States like Karnataka for jobs to these areas of
agricultural and industrial development. Even agricultural labourers
from neighboring districts migrated to the places where agro-based
industries were situated.
87
Agro-based industrial units have accentuated the development of
roads and communication facilities in the countryside. A majority of the
villages have been linked, by the construction of roads, with the places
where agro-based industrial units have been established. The
development of roads was necessitated by the need for transporting
agricultural raw materials (i.e., sugar-cane, grape and .maize in the
selected places) from the villages to the agro-based industrial units on the
one hand, and providing agricultural inputs to agriculturists in the villages
on the other. Moreover, the means of transport have changed. Farmers
have been increasingly replacing bullock carts with tractor trailers for the
transport of their agricultural output. Because of the improvement in
transport and communication, the rural people have had increasing access
to the growing towns.
By the operation of the demonstration effect, the affluent section of
the rural population has been switching over to a new way of life - "some
of the cultivators of agro-industrial crops in the villages have acquired
motor-cycles and Cars and frequently visit the nearby towns for shopping
and recreation. Many cultivators have constructed modern buildings in
their villages for residential purposes. These villagers have been sending,
and are aspiring to send, their children for higher education, especially for
college and university education.
88
The agricultural workers of the selected villages are able to find
employment almost throughout the year. The seasonal movement to other
places for employment has ceased after the setting up of agro-based
industries. They do not have to struggle any more for their minimum
requirements of life. Moreover, there has been a considerable change in
their way of life. Above all, they own consumer durables like Bikes, T.V.
and Cell Phone. Thus, there has been a great deal of improvement in the
standard of living of these agricultural workers.
4.7.2 Impact at the Macro Level
The establishment of agro-based industries was mainly based on
the availability of raw materials. These industries should, therefore, be set
up in rural areas where raw materials are available in plenty. Since the
rural folk form a major chunk' of the population, the employment
opportunities provided by agro-based industries are equally large in
proportion. This helps in the upliftment of the rural economy. In essence,
the setting up of agro-based industries in rural areas generates income and
thus improves the economic condition of the people which, in turn,
creates a potential demand for goods and services. This-demand may be
classified into three categories:
(i) The demand for non-food goods and services, which-would
increase as rural incomes increase.
89
(ii) The demand for inputs and services for agriculture
(including tools and equipment, repair services, transport,
processing, and supporting infrastructure and works), which
would increase with agricultural development.
(iii) The demand for manufactured goods.
Studies of household expenditure show that non-food items have
an increasing share in the budget of rural households as rural incomes
increase.
Likewise, the demand for non-food goods and services increases
when agricultural output increases. The demand stems from both
backward and forward linkages with agriculture. The former includes
demands for tools and equipment, repairs and supply services, buildings,
and works; the latter includes processing, transport and the marketing of
output.
Besides the markets generated by agricultural development,
external markets for manufactured goods and handicrafts from rural areas
can be a source of employment. An adequate rural infrastructure of fers
manufacturers ready access to the rural labour market, materials and
services. This indicates that agricultural development cannot be
considered in isolation; it requires continual improvement in
infrastructure. Moreover, it is a positive stimulus to the development of
agro-based industries .and of rural towns. Such towns form the natural
nodal points for the expansion of manufacturing activity. For this and
other reasons, it is important to consider the interaction between rural
development and the growth and role of rural towns, the latter being the
consequence of the development of agro-based industries in rural areas.
*******
90
CHAPTER - V
FINDINGS AND SUGGESTIONS
5.1 Introduction
This chapter concludes the research work by emphasizing some
important, observation and findings emerging from the study. The present
study was considered important to the researcher because till today
agricultural labour, agro- industrial labour are treated as unorganized and
weaker section of the society to achieve the predetermined objectives and
tested the hypothesis of the study, the primary and secondary data and
information was collected with a view to throw light upon the important
aspect of agro industrial sector. These aspects were relating to profile
of the study area, profile of cropping pattern. Agro industrial units
position, rural employment, rural occupation wage & income structure
and impact of Agro-industrial units on rural development.
On the basis of the analysis and interpretation of collected data and
information. Some important observation and findings are drawn and
important recommendations are made for consideration.
91
5.2 FINDINGS:
The summary of the major observations and findings of the study is
presented as follows:-
1. Comparing to other talukas in Sangli District the rain fall in Walwa
Taluka is satisfactory. So, its is considered as which is favourable for
sugarcane cultivation and horticultural activities.
2. It has been found that the geographical migration of the workers
seeking employment in agro-based industrial units was inter-state,
inter-district and intra-district in nature and that it was more
widespread among the workers of sugar industries. The Cotton
Textile industry was characterized by the inter-district and intra-
district mobility of the workers. One broad observation that has been
made is that there was a close relationship between the nature of the
agro-based industry and the type of geographical migration. The
sugar industries were on a different footing in view of the
sophisticated nature of their technology, which required skilled
technical personnel these industries had to draw their skilled
workers required from far of places, even beyond the state
boundaries, thus stimulating inter-state migration. It may therefore
be concluded that the nature of the industry exercised an enormous
influence on the nature of the migration; and this has been amply
92
demonstrated by the workers employed in the industries taken up for
study.
3. The sex composition of the male, female was 51.60% and 48.40% in
rural area respectively and in urban area 51.65 male and 48.35%
female.
4. It was observed that the farmers in the study area were changed
their cropping pattern as per the requirement of agro based
industries so cach crop were given much importance rather than
food grain crops. They started to cultivate Sugar cane, cotton oil
seeds, chili etc.
5. A great majority of the workers employed in agro-based industrial
units were drawn from the agricultural sector, particularly from the
wage-earning occupations. The local agricultural workers took up
most of the unskilled, semi-skilled and manual jobs in agro-based
industries.
6. The impact of the agro-based industry depended on the nature of
industrial units.
7. The shift in or increase in the number of occupations, depends
upon the nature of employment in agro-based industries.
8. The employment pattern of agro-based industries revealed' that the
employment opportunities created by these industries differed from
one industry to another, and depended on the nature of a particular
93
agro-based industry. While some industries provided substantial
permanent employment, some others created seasonal employment.
9. Employment in the sugar industries resulted in a shift in occupation
for they provided substantial permanent rather than seasonal and
casual employment.
10. Consequent on the setting up of agro-based industries and the
cultivation of agro-based industrial crops, the structure of
agricultural output in the selected villages had undergone a change.
The growth of agricultural and industrial sectors in rural areas
paved the way for the growth of the tertiary sector.
11. The sugarcane production has exceeded the target in the last three
years of the Eleventh Plan. Increased prices over and above the
statutory minimum price of fered by the State Government have
contributed to the expansion of the area under sugarcane
production. A number of sugar factories have been established in
both the traditional and non-traditional areas.
12. The cropping pattern may be in accordance with the soil and water
requirements of the area. Crops standing longer on the land and
needs more water could be easily substituted by leguminous crops
and soyabeans etc. which are ready within shorter span. But it was
not observed in study area due to agro based industries.
94
13. The minimum wages in agriculture labourers are not revised
periodically. In Walwa taluka the minimum wages are not revised
by any reasons.
14. An analysis of the study reveals that permanent employment in the
the sugar factory with was 896 (39.60%) and in Textile industry
Permant Employee was 277(73.47%).
15. The seasonal-permanent employment is the highest in the sugar
factory i.e. 1137 (50.24%).
16. As regards casual employment, it is extensive in the Cotton Textile
industry, accounting for 26.52% of the total employment. Next in
order is the sugar factory, which accounted for 10.16% of the total
employment of the sugar factory.
17. In respect of the type of workers employed, unskilled workers
constituted 42.11% of the total workers in the sugar factory and
41.78%, cotton textile industry. On the other hand, skilled workers
accounted for an almost 37.56% share in the sugar factory,
followed by 34.73% in cotton textile industry.
18. Another important change that may be noticed from the cropping
pattern during the period was the increase in the acreage under the
cultivation of Sugarcane, cotton.
19. The relationship between the agro-based industry and the cropping
pattern is different from industry to industry. The changes in the
95
cropping pattern and the setting up of agro-based industries go
hand in hand. In this way, the setting up of agro-based industrial
units is not always the single most important factor that brings
about changes in the cropping pattern, but may be the consequence
of irrigation.
20. The setting up of agro-based industries in or around rural areas
influenced the wage levels and occupational structure of the
workers in rural areas. This was true for all the ten selected villages
irrespective of the nature of the agro-based industry situated in
each one of them. The increase in wages had been more
pronounced in the case of women and children than in that of male
workers. In other words, the decrease in the wage differentials
among male, female and child workers was spectacular in the
agricultural sector during the period of the study.
21. For agricultural annual wage workers, the increase in wages was
more substantial in the villages covered by assured agro-based
industries than in the villages covered only by the agro-based
industry.
22. A comparison of the wages of agricultural workers from the
selected villages with the wages of unskilled workers employed in
agro-based industries shows that the wages of unskilled workers,
which were the lowest in agro-based industries, were perceptibly
96
higher than the highest wages in agriculture. Further, the present
high wages in agriculture might have been an of shoot of the
setting up of agro-based industries, without which they would have
been lower. The impact of agro-based industries on the rural wage
structure was two-fold—direct and indirect. First, the agro-based
industries employed agricultural workers for their unskilled
operations and were paying much higher wages than the wages
paid in agriculture. This was the direct impact on the wage levels
of agricultural workers and their earning capacity. Secondly, the
agro-based industries generated a pressure of demand for agri-
cultural workers, for they created additional employment in the
farm sector by the cultivation of agro-based industrial crops on the
one hand, and drew a considerable number of workers from the
existing agricultural labour force of the villages on the other. As
equal to this was a substantial increase in the wage rates for
agricultural operations.
23. The increase in income was relatively more pronounced in the
villages covered by the sugar and cotton textile industries; and this
can be ascribed to the cultivation of sugarcane, which was an of
shoot of the operations of the sugar industry. It was less in the
villages covered by the other industries.
97
24. It has been revealed by the present study that the average level of
employment is quite high in the irrigated villages. The farmers and
agricultural labourers without land are working larger number of
days than the agricultural labourers with land.
25. The “harvesting and threshing” operation was the highest paid in
both the years (i.e. 2006-07 and 2011-12) in the villages having
agro-based industries. “Ploughing” took the next position and
“sowing, weeding and transplantation” were the lowest paid types
of work.
26. The impact of agro-based industries on the incomes of
agriculturists is determined by the nature of the crop linked to the
agro-based industry. Since the cultivation of an agro-based
industrial crop involved risk and a substantial capital investment,
the farmers either made enormous profit or incurred losses,
depending upon different factors natural, marketing, governmental
policy of pricing agricultural produce.
27. An important finding has been that the role of agro-based
industries was very significant in increasing the incomes of the
households of the workers employed in agro-based industries.
More significant is the fact that the households of lower income
groups benefited much, and that almost all the households were
elevated to higher income groups. These households benefited by
98
direct employment in the agro-based industrial units. Thus, the
tendency had been towards a reduction in income disparities
among the rural households, which is a healthy sign of prosperity.
28. The employment pattern of agro-based industries reveals-that the
employment opportunities created by these industries differ from
one industry to another, depending on the nature of the agro-based
industry.
29. Agro-based industries, irrespective of their nature and type,
brought about significant changes in the occupational pattern of the
rural population. The impact of these industries was the most
pronounced on the occupational positions of agricultural workers;
and it was the least in the case of agriculturists. Consequent on the
setting up of agro-based industries, there was an expansion in the
range of occupations in rural areas.
30. The impact of agro-based industries was significant on the income
levels of all categories of the rural population. The increase in
incomes was more spectacular in the households of agricultural
workers and the workers employed in agro-based industrial units
themselves.
31. Consequent on the setting up of agro-based industries and the
cultivation of agro-based industrial crops, the structure of
agricultural output in the selected villages underwent a change. The
growth in the industrial and agricultural sectors in rural areas gave
an impetus to the growth of the tertiary sector, viz., banking,
transport, communication, hotel business etc.
99
5.3 SUGGESTIONS:
It is observed that, there are a number of possible measures which
can improve and develop the position of agro industrial units related
aspects the agro-industrial units. Development of rural economy and
potential employment of occupational opportunity and to add to their
welfare substantially As revealed by the study, the following are the areas
in which special remedial measures are immediately required.
1. Most of the recent studies on agricultural labour including the present
study have concluded that introduction of new technology in
agriculture has increased employment and wages of agricultural
labourers.
A number of other studies have come to the conclusion that more
innovations occur in already labour shortage areas. The more
imperfections in the inter regional labour markets, and the
concentration of labour requirements in the periods of peak demand
the more mechanization will occur. According to these studies, the
introduction of new input increases the demand for agricultural labour
at peak seasons. The result is an increase in wages during those
periods; and this increase can be considerable if there is an effective
organization of labour. The trouble and disputes become more
frequent among farmers and agricultural labourers. Under these
circumstances, the large farmers go for labour saving machines. The
100
employment effects of mechanization will differ in the short and in the
long run one must be aware of this destination. In the initial stage
mechanization will lead to an increase in the demand for agricultural
labourers as there is an increase in the intensity of cultivation. But
when there is complete mechanization this trend will be reversed.
2. On the other hand, in irrigated villages in Walwa taluka availability of
irrigation, adoption of new technology and higher intensity of land use
have contributed to a higher level of employment. Both Male and
female farmers and agricultural labourers work for a larger number of
days in crop production. In the non irrigated villages measures should
be undertaken by the government to develop dry land farming,
watershed development and soil conservation. The employment of
female agricultural labourers was very low in the irrigated villages as
well as in non irrigated villages. Female labourers will have to be
provided more employment in agricultural and other subsidiary
occupations. The farmers and agricultural labourers have both in
irrigated and non irrigated villages have very little non agricultural
wage employment in the area under study.
3. The Government till today unfortunately gave a secondary place to the
generation of additional wage employment in the rural area. The
National Rural Employment Programme is designed to provide
supplementary employment to the rural poor farmers and agricultural
101
labourers during the periods of seasonal unemployment. The total
outlay on N.R.E.P. was much lower than on Integrated Rural
Development Programme in the all five year plans. The tenth five year
plan allocated Rs. 1600 cores for N.R.E.P. while for I.R.D.P. the total
estimated expenditure was Rs. 4500 cores in the State.
4. To test the difference between the level of employment and income of
workers with land and without land. It was found that the difference
in the level of employment and income is found to be significant with
respect to farmers and agricultural labourers with land as well as
without land in both the irrigated and non irrigated selected sample
villages. This may largely be due to the fact the agricultural labourers
without land work for a large number of days than the farmers and
agricultural labourers with land but earn less income as compared to
the agricultural labourers with land. This is true in both types of
villages with and without irrigation facilities.
The farmers and agricultural labourers with land have a higher
level of income though they work for a less number of days. Therefore
only increasing the number of days of employment is not going to
improve the income of the rural farmers and agricultural labourers.
There is a case for redistribution of land in favour of landless
agricultural labourers. This will substantially increase their per capita
102
income and thereby improve the living conditions of the farmers and
landless agricultural labourers in the area under study.
5. It was revealed by the present study that the average wages paid to
agricultural labourers are quite low. The wage paid to female
agricultural labourers is lower than the wage paid to male agricultural
labourers. The wages in non irrigated villages are lower than the
wages in the irrigated villages. In irrigated villages on an average Rs.
70 to 80 per day wage is paid to male agricultural labour while female
agricultural labourers are paid Rs. 50 to 60 per day but in the non
irrigated villages male agricultural labourers are paid Rs. 50 to 60 and
female labourer is paid Rs. 30 to 40 only.
The minimum wages of agricultural labourers were revised in 1995
by Government of Maharashtra. The wage revision has been made
several times in Karnataka State The agricultural wage rate
recommended during 1999 and onwards was ranged between Rs. 100
to 125 per day. There is no effective implementation of the policy of
minimum wages in Maharashtra State because of non unionization of
agricultural labourers. There is no machinery to implement minimum
wages to agricultural labourers in rural areas.
The minimum wages of agricultural labourers should be subject to
revision with increase in the cost of living. Then only it can strengthen
the bargaining power of the farmers and agricultural labourers with the
103
employer. The outcome of such bargaining power will be determined
by factors like aggregate demand for agricultural labour, strength of
the organization of agricultural labourers and the extent of
intervention by the state government through its employment
programme and policies.
6. The minimum agricultural wages fixed should be implemented
effectively. The task of enforcing Minimum Wages Act through
legislation in thousands of villages is a gigantic problem. The co-
operation of the employers and agricultural labourers is essential. The
agricultural labour market is complicated by its heterogeneity of both
labourers and their employers and the local nature of the market.
There are farmers similar in socio economic status compared to the
agricultural labourers. They also need to be covered by the Minimum
Wages Act.
The effective implementation of the Minimum Wages Act needs
some degree of selectivity in the choice of the area of enforcement.
Those low wage areas or the backward non irrigated area where
farmers and agricultural labourers suffer from low socio economic
status must receive top priority. The state Government should set up a
squad group at the state level for consistent vigilance and supervision
over the implementation of the Minimum Wages Act. The
implementation of the Minimum Wages Act may work through the
104
committee of villages Panchayats. The objective of the Committee
would be to persuade the employers to enter into a broad
understanding regarding the level of wages. The functioning of this
Village Panchyat Committee needs to be supervised and guided by a
Watch Dog Committee at the state level. The State Committee should
lay down the working procedures and function as an appellate body to
look into the grievances arising out of the non implementation of
Minimum Wages Act. It is also necessary to strengthen the of ficial
machinery for inspection, conciliation and enforcement. The recent
Amendments to the Minimum Wages Act in Kerala and Maharashtra
are model to other states for implementation.
7. The long term solution to the problem of rural farmers and agricultural
labourers will depend upon their effective unionization. This is
primarily the field for local leaders, voluntary agencies and the left
parties. In Kerala and West Bengal, the Communist Party of India (M)
and its Kisan Sabha are responsible for the unionization of farmers
and agricultural labourers. The State Government can play the
supporting role in the organization of farmers and agricultural
labourers. The process of unionization will support policies relating to
programmes for social rehabilitation of farmers and agricultural
labourers and prevention of premature and unregulated farm
mechanization for enforcement of regulated wages.
105
8. No doubt the public sector programmes like N.R.E.P., R.L.E.G.P.
and IRDP are important but are not enough. There is a great scope
for greater employment generation in the agricultural sector. The
studies on large scale irrigation have shown that the present use of
irrigation water is not generating the maximum income per unit of
water. Appropriate policies must be prepared for increasing
cropping intensity which can greatly increase the employment and
the income of farmers and agricultural labourers. The policies and
the measures to bring about consolidation of land holdings improve
the prospect of greater employment in agriculture.
9. The provision of house sites and the improvements for houses of
farmers and agricultural labourers should also include provision of
sheds for subsidiary occupations. The mass construction of houses
would act as catalytic agent in generating more employment and
income for farmers and agricultural labourers. The construction of
houses and provision of house sites to farmers and agricultural
labourers should be taken up on top priority basis. The houses
constructed under the scheme of Indira Awas Yojana,
Dr.Ambedkar Housing Yojana and the construction of houses
under the Janata Housing Scheme for the poor should not be
entrusted to the contractors. The beneficiaries must be directly
given the materials and finance to construct their houses. The
106
money for house construction can be released in installments
directly to the beneficiaries so that the misuse of funds can be
prevented.
On the one hand the Government has initiated a number of
special employment programmes for creating greater wage
employment for the rural farmers and agricultural labour. But on
the other hand, policies leading to drastic reduction in employment
in the farm sector are being promoted. For example the National
Bank for Agricultural and Rural Development has decided to
permit refinancing of loans for combine harvesters at concessional
rate of interest. The using of combine harvester and mechanical
there shares will reduce employment considerably in harvesting
operations which provide the largest number of man days of
employment to farmers and agricultural labourers. This is not the
right time to introduce combine harvesters and mechanical there
shares in the country. Only the selective mechanization namely
tractorisation, which replaces bullock power can be advocated.
10. The rural labour problem is a great problem. It is a genetic task. A
multi purposed strategy should be adopted to solve the problems of
poverty, unemployment disguised unemployment, health housing
and standard of living of farmers and agricultural labourers. The
strategy includes the Guarantee of Employment under the policy of
107
National Rural Employment Guarantee Programme or Rural
Landless Labour Employment Guarantee Programme. The basic
minimum wage linked to cost of living index, unionization of the
rural farmers and agricultural labourers has the provision of low
cost housing and strengthening the public distribution system to
enable the farmers and agricultural labourers as to procure the
essential commodities at reasonable prices in the village itself.
Unless guaranteed employment is provided, there is no point in
fixing and implementing the Minimum Wages Act to agricultural
labourers. The employment programmes should be planned
realistically and should be taken up on a continuous basis without
affecting the normal agricultural work. The Idle farmers and
agricultural labour should be mobilized for bounding works, canal
construction, making roads minor irrigation and social forestry etc.
The farmers the agricultural labourers who are enterprising and
skilled can take to subsidiary occupations like dairy, poultry and
other agro business for their rapid economic development.
11. It was observed that the number of farmers and agricultural
labourers is increasing rapidly. There are 219381 farmers and
agricultural labourers in 1991. The number increased to 366259 in
2001. The Government and District administration has look into
the problems of farmers and agricultural labourers so that their
108
number can not further increased. If the government can not
control it carefully. It will create a class of farmers and agricultural
labourers, which class has to face many social, economic and
political problems in future.
12. The education of farmers and agricultural labourers increased to
some extent in study areas. There are some farmers and agricultural
labourers who are H.S.C. passed. They also educated their sons and
daughters. Now at present many sons and daughters of farmers and
agricultural labourers are working in state Government and Central
Government Departments. This is because of wide spread of
education and new education policy of Government of India and
Govt. of Maharashtra.
13. The rapid development of transport and communication has
changed the life style of farmers and agricultural labourers in
Walwa taluka. The some farmers and agricultural labourers have
BSNL landline phone connections, still some have mobile phones.
In irrigated villages farmers and agricultural labourers have two
wheelers. In irrigated villages the agricultural wages are high so the
agricultural labour economic condition is satisfactory. It helps them
to increase their income and standard of living. They are enjoying
with all necessaries of life.
109
14. There is a acute shortage of market places / centers and proper
transportation and storage service to store the production of Agro
based industrial products. In case of Agalgaon grape processing
units. All farmers in Agalgaon and sourrounding villages not
having their own storage facilities. They are supposed to store their
resign product in the cold storages of others with hire charges. So
the Government should provide them finance to cold storage at a
subsidised rate of interest. The market are also not available to get
fair prices the product so proper fair price markets should be
developed at taluka and village level.
15. Implementation of Bonus act the is not observed by all Agro-based
industrial units owners. Sugur Factory only gives bonus to all its
workers as per Bonus Act. The other agro-based industries are not
giving Bonus regularly to workers even though earns prof it
regularly. The Government should order the agro-based industrial
units to distribute bonus to its all workers.
16. The working hours in all agro-based industries are more than 12
Hours. The overtime payment is not given to workers. Holidays are
not allowed in some industrial units in the study area. They always
insist all no work no pay norms. So all factories and industrial units
110
are forced to give bonus and holidays to workers and overtime
payment for the excess work.
17. Lack of health and hygiene facilities on the campus of the factory
site. Except the Mahankali Sugar Factory all other agro-based
industries are not providing health and hygiene facilities to workers
at the factory site. In other words none of the agro-based industrial
units in the study area have their own hospitals for workers health.
The factory should be compelled to provide medical and hygienic
facilities to the workers.
18. Pensions are not given to retired workers. The retired workers of
Mahankali Sugar Factory are only given pension to retired workers.
All other agro-based industries are not giving pensions to retired
workers. The State Government should insist all the agro-based
industries to provide pension to retired workers of the factory.
19. Educational facility to workers and their children should be
provided by the agro-based industrial workers. All agro-based
industries in the study area should start their educational
institutions for the education to workers and their children’s.
Education is the fundamental right of the every children. The
Government should provided to some finance to agro-based
111
industries units to start schools on the factory site or in the near by
villages.
20. All factories should appoint social welfare of ficers for the welfare
of the workers.
21. The provision of residential facilities to workers. None of the
factory in the study area provides housing facilities at the factory
site. The most of the workers are living outside factory are and they
are coming to factory on their own vehicles. The agro-based
industries should provide residential and transportation facilities to
workers to come to factory for work in time and regular.
*******
112
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Delhi: A. K. Publication.
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23. Garry. S. (1983), “Poverty Inequality and Development”,
Cambridge University Press London, P-138.
24. Haan H.H. (1988), Alternatives in Industries Development
Sugar Cane Processing in India, New Delhi: Sage Publication.
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114
26. Jadhav M. G. (1984), Sugar Cane Cultivation – A Regional
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27. Jalan Bimal (2004), Indian Economy, New Delhi: Panguin
Books India Pvt. Ltd.
28. Jha Shailendra (1990), Agriculture Labour, New Delhi: Deep
and Deep Publication.
29. Joshi B. M. (1990), Infrastructure and Economic Development
in India, New Delhi: Ashish Publishing House.
30. Kamat G.S. (1928), Management of Cooperative Sugar
Factories in Maharashtra, Maharashtra Rajya Sahakari Sangh.
31. Kharche R. M. (1979), Management of Sugar Cane
Development in Cooperatives Sugar Industry, Maharashtra
Rajya Sahakari Sangh, Pune.
32. Malyadri V. (1974), Socio – Economics Impact of the Sugar
Cooperative, Bombay: Commerce Prakashan.
33. Manonmoney N. & Selvaraj G. C. (2007), Economics of
Proper Industry in India, Ambala Cantt (India) : The
Associated Publishers.
34. Memoria C.B. (2008), Agricultural Problems of India, New
Delhi: Himalaya Publishing House.
35. Misra B. (1990), Agriculture Development (Problems and
Procpects), New Delhi: Ashish Publication House.
36. Misra S. K. (1995), Agro-based industrial development in
India, Mumbai: Himalaya Publication House.
37. Mohite Y. J. (1974), Sugar Cane Industry of Maharashtra,
Government of Maharashtra, Bombay.
38. Mustafa M. (1990), Labour Problems and Welfare – A Study
of Sugar Industry, New Delhi: Deep & Deep Publication.
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39. Nakkiran S. (June 1972), “Agro Industries in Indian
Economy”, Khadi-Gramodyog, Vol. – 18, No.3.
40. Dr.Natrajan T. (2011), “Organic farming for Business”, Delhi
: Swastik Publication.
41. NIIR Board (1998), Hand Book on Agro Based Industries,
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Research.
42. Pathak Becheha (2007), Indistrial Policy of India, New Delhi:
Deep & Deep Publication.
43. Prasad C. S. (2006), Sixty years of Indian Agricultural 1947 to
2007, New Delhi : New Century Publication.
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Delhi: Himalay Publication.
45. Puri S.K. and Puri V.K. (2007), “Indian Economy”, New
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New Delhi: Amol Publications.
47. Raw B.V. (1988), Social economic change, New Delhi:
Himalay Publication.
48. Rawat D. S. (1989), District Planning for Industrial
Development, New Delhi: Commanwealth Publication.
49. Research References, Pains Division, India-2010, New Delhi:
Ministry of Information and Broad Costing.
50. See: James E Austin (1981), Agro-industrial Project Analysis,
London: John Hopkins University Press.
51. Sharma Somnath (1972), Socio – Economic Study of Agro-
Industries, New Delhi : Mittal Publication.
52. Dr. Sinha K. P. (2009), ‘Agribusiness Management’, New
Delhi : A. K. Publications.
116
53 Srivastav S. B. and Agrawal V. K. (2001), Agro based
Industries and pesticides formulations, Mumbai : Himalaya
Publication House.
54. Sundaram K.P.M. (2009), Indian Economy, Mumbai :
Himalaya Publishing House.
55. Tacke E. F. (1963), The World of Sugar Economy-Structure
and Policies, Vol.II, Published by Interntional Sugar Council.
56. Thakur Devendra (1995), Trends in Agro Industrial Sector,
Mumbai: Himalaya Publication House.
57. Vainkaiah (1996), Agro base industry and rural development,
Mumbai: Himalaya Publication House.
58. Varma S. B., Jiloka S. K. (2006), Rural Agricultural and
Marketing, New Delhi: Deep and Deep Publication Pvt. Ltd.
59. Venkaish V. (1987), Impact of Agro-based Industries on Rural
Development, Bombay: Himalaya Publishing House.
60. Vrma S.B., Singh U. P., Jiloka S. K. (2006), ‘Rural
Development Reforms’, New Delhi: Deep and Deep
Publications Pvt. Ltd..
117
II. REPORTS
1 11th five year plan – planning commission report 2010.
2 A Pamphlet Published by the VDPSSK Ltd., Sangli in 2001-02.
3 A Silver Jubilee Souvenir, Vasant Dada Sugar Institute (1975-2000),
Published by the Vasant Dada Sugar Institute in 2000.
4 Annual Convention Part 11997, Published by the Deccan Sugar
Technologist, Association India, Shivaji Nagar, Pune.
5 Annual Report 2009-10, Maharashtra Rajya Sahakari Sakhar
Karkhana Sangh, Bombay.
6 Annual Report of the National Fedration of Cooperative Sugar
Factories Ltd.New Delhi, For the year 2001-2010.
7 Annual Report of Rajarambapu Patil Co-operative Sugar Factory
Sakharale, Cotton Textile Industry, Islampur.
8 Bardhan Pranab “Rural Employment, Wages and Labour Markets in
India: A Survey of Report, Economic and Political Weekly, June 25,
July 2 and 9, 1975.
9 Cooperative Sugar Factories in Maharashtra: in Difficulty, Published
by the Chairman, Cooperative Sugar Factories Committee,
Government of Maharashtra, 1997.
10 Economic Survey of Maharashtra -2006-07 to 2011-12.
11 Government of India, “Report of the National Commission on
Agriculture” (Part XV), Agrarian Reforms, Ministry of Agriculture
and Irrigation, New Delhi, 1976.
12 Government of India, Report of the National Commission on
Agriculture” (Part XV), Agrarian Reforms, Ministry of Agriculture
and Irrigation, New Delhi, 1976.
13 James Brown “ Improving Agro-industries in developing countries
finance and development report- 1986.
118
14 Performance of Sugar Factories in Maharashtra Season 2001 to 2010-
11, Complited by Vasant Dada Sugar –Institute, Manjuari, Dist –
Pune.
15 Report of Sugar Industry Inquiry Commission, Government of India,
Directorate of Sugar Cane Development, New Delhi – 1974.
16 Sangli District at Glance 2006 to 2012.
17 Taluka Panchayat, Walwa Report – 2006-07 to 2011-12.
18 Village Accountant Reports of sample village from 2006-07 to 2011-
12.
19 Sangli District Industrial Board Report Published in 2006-07
20 Various Report of Maharashtra, Agro-based Industries Corporation.
III. ARTICLES –
1 Acharya S. - “Agricultural Wages In India: A Disaggregated
Analysis, Indian Journal of Agricultural Economics”, Vol. No. II,
April 1989.
2 Galenson N, “Economic Growth, Income and Employment”, paper
presented at the conference on Poverty and Development in Latin
America, Yale University. 1977.
3 Griffin, K. “Increasing poverty and changing Ideas about Developing
Strategies” paper presented at the Conference on Distribution,
Poverty and Development, Bogota, 1977.
4 Hinge BJ & Patil T. Y. – The Impact of Agro Industry on the
cultivators in the Sangli Region of Maharashtra Indian Journal of
Agricultural Economics Vol – 27, October – December 1971.
5 Kakwani.N.and Subbarao .K., “Rural Poverty and its alleviation in
India”, Economic and Political weekl, March 1990.
6 Khadi Gramodyog “Role of Agro-industries in agricultural economy
119
by J. A.Khan Feb. 1997.
7 NSS 50th Round and WSS 55th Round as quoted By Sundaram K.
In Employment and Poverty in 1990s. Economic and Political
Weekly, Vol.No. XXXVI, 32, August, 11-17, 2001.
8 Shrivastava S. C., "Sugar and Allied Industry in the Post
Independence Economic Development of the Country."
9 Sinha K.K., “The Poverty Concept”, Indian Economic Journal, Vol.
II, Conference, Issur, IEA, Bombay, 1977.
10 Tenduldar.S and Jain.L.R. , “Economic Reforms and Poverty”,
Economic and Political Weekly, June 1995.
IV. JOURNALS, PERIDOCALS & MAGAZINES -
1 Agricultural Economics, The ICFAI University Press, Journal 2007
to 2012.
2 ARTHA SANVAD, MARATHI ARTHASHASTRA PARISHAD,
2007 to 2012.
3 Business India, The Magzin of the Corporate World, Mumbai 2007
to 2012.
4 Entrepreneurship Development, The ICFAI University Press,
Journal 2007 to 2012.
5 Indian Co-operative Review, National Co-operative Union of India,
New Delhi - 2007 to 2012.
6 Maharashtra Co-operative Quarterly, Maharashtra Rajya Sahakari
Sangh, Pune – 2006-07 to 2011 to 2012.
7 Monetary Economics, The ICFAI University Press, Journal 2010 to
2012.
8 Sahakari Maharashtra, Maharashtra Rajya Sahakari Sangh, Pune -
2010 to 2012.
9 Sourthen Economist Published by Bangalore - 2006-07 to 2011 to
2012.
120
V. WEBSITES
1 www.mahaagri.gov.in
2 www.agriculturalproductsindia.com
3 http://en.wikipedia.org/wiki/Agriculture_in_India
4 http://www.midcindia.org/Lists/Policies%20Circulars%20and%20N
otification/Attachments/5/GrapesProcessingIndustryPolicy,2001.pdf
5 http://agro.indiamart.com/agro-industry-overview/
6 http://assamagribusiness.nic.in/agriclinics/Managing%20and%20
Developing.pdf
******
121
TITLE OF RESEARCH WORK – IMPACT OF AGRO-BASED
INDUSTRIES ON RURAL ECONOMY
Questionnaire to the Agriculturists
Name of the respondent : …………………………...……………
Name of the village : …………………………………………
Other Occupations : …………………………………………
1. How many acres of land do you own?
A) In this village:………… B) In the neighboring village :…….…..…
2. What is the total area cultivated by you?………………………………
3. What is the cropping pattern of your cultivated land during the year
2006-07 to 2010-11 ?
Particulars
1st Crop 2
nd Crop
Sugar-
Cane Grapes Maize
Groundnut/
Bajara Total
Sugar
Cane Grapes Maize
Wheat/
Jawar Total
4. What was the cropping pattern immediately before in sugar factory or
any other Agro- based industry was set up?
1st Crop 2
nd Crop
Sugar-
Cane Grapes Maize
Groundnut/
Bajara Total Sugar Grapes Maize
wheat/
jawar Total
122
5. What was the cropping pattern before irrigation facility is provided.
1st Crop 2
nd Crop
Sugar-
cane Grapes Maize
Groundnut/
Bajara Total Sugar Grapes Maize
Wheat/
Jawar Total
6. What are the factors that influenced you to produce sugarcane?
A) Income from the corn B) Setting up of nearness to the Sugar factory
C) Irrigation facility D) Encouragement by the to the factory
7. The costs of cultivating different crops per acre.
Sr. No Particulars
Name of the Crops
Sugar –
Cane Grapes Maize
Wheat/
Jawar
Groundnut/
Bajara
A Preparing the ground
1.Tractor plough
2.Labour cost
B Sowing
1.Cost of seed
2.labour cost
C Irrigation
1.Water cess
2.labour cost
D Application of fertilizers,
manures and insecticides:
1.Fertiliser cost
2.Manures
3.Insecticides
4.Labour cost
E Cost of weeding operations
1.Labour cost
F Cost of bunching operations
1.Labour cost
123
G Cutting operations
1.Labour cost
H Harvestion operations
1.Labour cost
I Any other cost (specify)
Total in Rupees
8. Income and Expenditure Statement of Different Crops
Sr.
No
Name of the
crop
Yield per
acre units
Price per
one unit Rs.
Revenue
from one
acre Rs
Cost per
one acre
Net income
from on
acre
1
2
3
4
9. What is the crop subsequent to Sugar-cane?
10. What is the income from such crop from an acre of land?
11. What is the net income of the following crops on one acre of
cultivation?
A) Sugar-Cane B) Cotton
C) Corn D) Jowar /Wheat
12. Are you able to get laborers for?
A) Daily wage farm work (for weeding, cutting, harvestion
operations etc)
B) Annual Farm work (Cultivating the land)
C) Seasonal farm work
D) Tending cattle (Annual)
E) Household work on annual basis
124
13. The particulars of wages paid to the different workers in different
years.
Sr.
No Class of works
2006-07 2007-08 2008-09 2009-10 2010-11
M F M F M F M F M F
1 Daily wage farm work
(for weeding, cutting,
harvesting operations etc)
2 Annual farm work
3 Seasonal farm work
4 Trading cattle
5 Household work on annual
basis
14. Do you find any change in the attitude of agricultural workers? Yes/No
15. Do you propose to change the cropping pattern? Yes/No
16. If so, what are the changes that you propose to have?
……………………………………………………..………………………
17. Particulars of the household:
A) Annual Income in Yes/No
B) Whether any Land is acquired or building or cattle shed
constructed. If so, value of each item. Yes/No
C) Do you own any vehicle? Yes/No
D) Is your house electrified? Yes/No
18. Mention the overall impact of agro-based industries on your village in
the Following aspects (specify):
A) Educational institutions and development.
B) Primary Health Centers and setting up of dispensaries.
C) Rural roads D) Co-operative farming association
E) Association of sugarcane growers for the purpose of price
fixation and such other related problems.
F) Any other development.
Signature of Agriculturists
******
125
TITLE OF RESEARCH WORK – IMPACT OF AGRO-BASED
INDUSTRIES ON RURAL ECONOMY
Questionnaire to the Agricultural Workers
Name of the village : .……………………………...…………
Name of the respondent : .………………………………...………
1. A) what is your main occupation? …………………..………….………
B) How much income do you earn from this occupation per annum?
……………………………………………………………………….
2. The particulars of your family members:
Sr. No. Members M/F Age
1
2
3
3.The Particulars regarding the earning members of family at present:
Sr. No. Members Occupation Wage
1
2
3
4. The particulars of your family members employed in agro-gassed
industrial units:
Sr.
No Members
Name of the
industrial unit
Place of the
unit
Distance
the unit
Wages
and
salaries
1
2
3
4
126
5. Are you a native of this village? Yes/No
6. If not, where do you come from?
Village : , Taluka : ,
District : , State : Distance :
7. When do you come here?
A) Before 2 years B) Before 5 years
C) Before 10 years D) Before 15 years
E) Before 20 years
8. Are you settled here permanently? Yes/No
9. If not, when do you go back to your village? .…………………………
10. A) What was the main occupation before the agro based industrial
units were started? ..…………………………………...…………
B) Give the details of income from the main occupation?……………
C) What was the subsidiary occupation of the members of your
family before the agro-based industrial units were started?
………………………………………………………………………
D) What was the income from such occupation?……...………………
11. Please give the particulars of land cultivated by you
Particulars Before
irrigation
Before agro-based
industrial units Now
Number of acres owned
Number of acres
cultivable
Total value of land
Net annual income
127
12. The particulars of other assets owned by you
Name of Asset Before irrigation
Value M. income
Before agro-based
industrial units
Value M. income
Now Value M.
income
1. Livestock
i) Farming cattle
(including
equipment)
ii) Milch cattle
iii) Sheep
iv) Any other
(specify)
2.Poultry (local)
3.House
4.Any other
13. The wages paid for different types of work
Type of work Before
irrigation
Before agro based
industries Now
1.Annual farm work
2.Tending cattle
3.Daily farm work
i) Males
ii) Females
iii) Children
14. What is the total income of your family earned in the form of
agricultural wages in year? ….………………………………………
Signature of Agricultural Workers
******
128
TITLE OF RESEARCH WORK – IMPACT OF AGRO-BASED
INDUSTRIES ON RURAL ECONOMY
(I) QUESTIONNAIRE TO THE INDUSTRIAL UNITS
1. Name of the Industrial Unit : …..………...……………………………
Place of Location : ……………………….…………………
Year of Establishment : …………………………………………
2. What are the factors that influenced the location of the unit here?
….………………………………………………………………………….
3. What is the nature of organization?
…………...………………………………………………..……………….
4. How Many agriculturists are there as partners/shareholders?
……………...………………………………………………………….…..
5. a) What is the capacity of the plant? (Physical Units)
b) What is the percentage of capacity utilization at present
c) If underutilized, what are the reasons?
d) is the management taking any steps to increase the capacity
utilization?
Mention steps : Yes/No
6. What is the total investment of the unit? ...……………….……………
7. What are the various sources of finance for the unit?
Sr.
No.
Name of the unit or source of
finance Amount Rs.
i Owned Capital
a) Agriculturists
b) Non-Agriculturists
ii Commercial Bankers
iii Financial Institutions
iv Indigenous Bankers
v Government Subsidies
vi Any other source (Specify)
129
8. What price is paid to the raw materials (Unit-wise?) ……...………….
9. How many workers are employed in this unit-
i. Administrative Skilled Unskilled
ii. Others
10. Where from the workers are attracted? Give details.
Sr.
No. Place
Distance
from this
unit
Taluka District Earlier
occupation
1
2
3
11. The particulars of workers employed.
Type of
workers Male Female Children
Permanent
Temporary
Seasonal/Casual
12. The wage level and structures of industrial workers per months:
Type of
workers
Male Female Children
Month Day Month Day Month Day
Permanent
Temporary
Seasonal/Casual
130
13. Please give the wage level and structure of the managerial and
administrative staff.
Cadre Particulars (as per)
Month Day
a) Managerial
b) Supervisory
c) Manual
14. What is your opinion about the performance of workers?
a) Excellent b) Good
c) Satisfactory d) Not satisfactory
15. Are there any industrial or the unit which were started because of
setting up of the unit here Yes/No
16. If yes, What are they? …...……………………….……………………
17. If any such unit is within the organization, how many workers are
employed in it?.......................................................................................
18. Is Government encouraging this unit? ……………..………………….
19. If yes. It is through:
a) Finance b) Industrial Estate c) Material Supply
d) Subsidy e) Tax incentive f) Market
g) Any other (Specially)
20. What is opinion about the government policy towards this unit?
Please of fer suggestion to streamline the Governmental assistance
towards the small and agro-based industries……...……………….…
Signature of Organizer/Owner
******
131
TITLE OF RESEARCH WORK – IMPACT OF AGRO-BASED
INDUSTRIES ON RURAL ECONOMY
(II) QUESTIONNAIRE TO THE WORKERS EMPLOYED
IN AGRO-BASED INDUSTRIES
Name of the respondent : ……………………………………………...…
Name of the industry : ……………….……………………………..…
Name of the Village/town : ………………………………………………
1. How long have you been working in this industrial unit? Year ………
2. a) Nature of employment- permanent/seasonal/temporary. .…………..
3. Size of family (Members).
Sr. No. Particular Sex Age
1 Wife
2 Children
3 Other
4. The particulars of the earring members of the family present?
Sr. No. Occupation Wages Income
1
2
3
Total
132
5. The particulars of your family members employed in agro-based
industries (other than you)
Sr.
No. Particulars
Name of
industrial
unit
Place
of unit
Name
of your
village
Distance
of unit to
your
village
Wage
and
salaries
1
2
3
6. Are you a native of this village? Yes/No
7. If not, where do you come from? Please give the particulars (Name of
the village and the distance from this industrial unit)...……..…………
…………………………………………..……………….………………...
8. If you plan to change your present occupation, what is the next choice
of work?……………………………………………...……………………
9. What was the main occupation before the irrigation is provided? ..……
10. Give details of the income from main occupation.……………………
11.What was the main occupation before the agro – based industrial unit
were started? ………………………………………...………………..…..
12. Give details of the income from the main occupation. ………………..
13. If any, what was the income from such occupation….………………..
14. Do you own any land? …………………...……...…………………….
15. The particulars of your wage: Daily Rs.
Monthly Rs.
Signature of Worker
******