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Impact of Groundwater Over-draft on Farm Income and Efficiency in Crop Production

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  • Sharif, Mahin
  • Ashok, K.R.

Abstract

In this study, the cost of groundwater extraction, impact of groundwater depletion on farm income, wateruse efficiency, technical efficiency in crop production and costs of groundwater depletion among different categories of farmers have been reported. The study has been conducted in the Chamarajanagar district of the Karnataka state, where groundwater is the major source of irrigation. Data have been collected from over-exploited, semi-critical and safe villages. The study has shown a wide difference between large and small farms in their access to groundwater resource in terms of cost. The functional analysis has revealed that farm income is lower in over-exploited and semi-critical villages compared to safe villages. The mean technical efficiency in crop production has been found highest among farmers in over-exploited villages. The total cost of groundwater depletion has been reported more in over-exploited villages and the cost increases with increase in the size of holding. The impact of this cost would be maximum on small and marginal farmers because of their low resource base and limited means of income. The study has emphasized on the need for incentivising for efficient use of groundwater by adopting efficient irrigation technologies like drip, sprinkler, etc. to ensure livelihood security.

Suggested Citation

  • Sharif, Mahin & Ashok, K.R., 2011. "Impact of Groundwater Over-draft on Farm Income and Efficiency in Crop Production," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 24(2), December.
    • Handle: RePEc:ags:aerrae:119382
    DOI: 10.22004/ag.econ.119382
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    References listed on IDEAS

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    1. V. Ratna Reddy, 2003. "Costs of Resource Degradation Externalities - A Study of Groundwater Depletion in Andhra Pradesh," Development Economics Working Papers 22332, East Asian Bureau of Economic Research.
    2. Shah, Tushaar & Bhatt, Sonal & Shah, R.K. & Talati, Jayesh, 2008. "Groundwater governance through electricity supply management: Assessing an innovative intervention in Gujarat, western India," Agricultural Water Management, Elsevier, vol. 95(11), pages 1233-1242, November.
    3. Shiferaw, Bekele & Reddy, V. Ratna & Wani, Suhas P., 2008. "Watershed externalities, shifting cropping patterns and groundwater depletion in Indian semi-arid villages: The effect of alternative water pricing policies," Ecological Economics, Elsevier, vol. 67(2), pages 327-340, September.
    4. Aigner, Dennis & Lovell, C. A. Knox & Schmidt, Peter, 1977. "Formulation and estimation of stochastic frontier production function models," Journal of Econometrics, Elsevier, vol. 6(1), pages 21-37, July.
    5. Chandrakanth, M.G. & Arun, V., 1997. "Externalities in Groundwater Irrigation in Hard Rock Areas," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 52(4), December.
    6. V. Ratna Reddy, 2003. "Cost of resource degradation externalities: A study of groundwater depletion in Andhra Pradesh," Centre for Economic and Social Studies, Hyderabad Working Papers 49, Centre for Economic and Social Studies, Hyderabad, India.
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    Cited by:

    1. Pradhan, Deepa & Ranjan, Ram, 2016. "Achieving Sustainability and Development through Collective Action? An Empirical Analysis of the Impact of the Bore Pool Sharing Program on Farm Incomes and Crop Choices," World Development, Elsevier, vol. 88(C), pages 152-174.

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    Agricultural and Food Policy;

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