State of Farm Economy in Poor States in India

The monograph highlights the trend and pattern of agricultural growth in three backward states- Bihar, Madhya Pradesh and Odisha, in India. The bottlenecks in physical infrastructure and service delivery are the major stumbling blocks in rapid transformation of farm economy in these states. In recent past, the economic growth has been faster as compared to previous many years. However, the pace of growth is still slower to catch up the other advanced states' economic growth in rural areas. The net income earned from farming in these states are very disappointing, as the predominantly smallholder farmers in the region have poor access to 3 Is- Infrastructure, Institutional credit and Information. The obnoxious combination of these forces the poor smallholders to face the climate vagaries as well as market risks on their own, thus further pushing them into the poverty trap. Therefore, multi-pronged strategies focusing skill development of the farmers, improvement of rural infrastructure, and innovation in delivery of different services like credit, extension, etc. are urgently needed to uplift the economic status of the poor smallholders in the region.