Risk in Output Growth of Oilseeds in the Rajasthan State: A Policy Perspective

Today, India is one of the largest producers of oilseeds in the world and this sector occupies an important position in the agricultural economy. Rajasthan state occupies a prominent place in the oilseeds production of India. The important oilseed crops of the Rajasthan state are groundnut, soyabean, rapeseed & mustard, sesamum and taramira. The growth pattern of these crops in the state has been prone to risk over time and across the agro-climatic regions because of the rainfall behaviour, prolonged drought-periods, limited water-resources and facilities available in the state Under such a situation, growth performances of these crops are subjected to high degree of risks in the sector. Therefore, it is important to describe the growth pattern of area, production and productivity, factors affecting acreage allocation under crops and magnitude of instability as well as its sources in major oilseeds crops of Rajasthan state. The fluctuating yield has been seen for almost all the oilseeds crops. However, the area and yield instability of the mustard crop has been found declining overtime plausibly because of increase in irrigation facilities, location-specific technologies and better input management. However, this needs to be further strengthened for improvement in the overall agricultural scenario. The acreage of the crops has been found to be governed by both price and non-price factors. Hence, price incentive alone has not been found to be the sufficient in bringing the desirable change in the cropping pattern as well production of crops. Hence, a policy for better implementation of support price system, development of consistently performing varieties and further enhancement of irrigation facilities will go a long way to ensure stability in the Rajasthan agriculture. To compel the large yield variability, it is advisable to the farmers to avail benefits of crop insurance scheme.