Abstract

Crop diversification leads to reduction of water scarcity problems and income inequality in irrigation systems. Irrigated areas have been witnessing a slow diversification from paddy to other field crops (OFC) during yala season. It is noted that other than descriptive comparison of the diversification potential in irrigation systems, no research effort has been made to compare agricultural economic variables. In this context, present study examines the determinants of crop diversification from paddy to OFC and explores income inequality in the Minipe major irrigation scheme. Data were collected from 90 farm-households selected from Stage I (head end - H) and IV (tail end - T) of the scheme using stratified random sampling method during April and May 2009. Comparative analysis and the binomial logit model were employed. The study revealed that OFCs have comparative advantage over paddy for the land that does not get adequate irrigation water for paddy cultivation in yala season. The logit analysis reveals that farmers in responding to crop diversification opportunities are constrained by the inactive farmer organization (FO), markets, and poor irrigation infrastructure. This analysis also showed that the probability of the diversification was determined by family labour, FOs&rsquo; collective action including irrigation management and market arrangement. Gini coefficient (GC) estimations showed that there is relatively lower income inequity (GC 0.34) in Stage I compared to Stage IV (0.41). A significant proportion (27%) of total income was derived from non farm activities in stage IV, whereas it was only 10% in the case of stage I. The farmers in Stage IV are keen and prepared for crop diversification. Therefore, enhancement of FO capacity in water management and market-oriented production in the irrigation system is important. DOI: http://dx.doi.org/10.4038/tar.v21i3.3307 <em>TAR </em>2010; 21(3): 308-320

Highlights

  • During the 1980s, several Southeast Asian countries enthusiastically embraced agricultural diversification and rural industrialization as a strategy for rural development

  • 70% of the sample population was engaged in full time farming and about 90% of the sample was involved in paddy cultivation in both stages, with mixed adoption of other field crops (OFC) which is higher (22.2%) in Stage I than Stage IV (11.6%)

  • This study was carried out to examine the determinants of crop diversification from paddy to other field crops (OFC) and explore income inequality in the Minipe major irrigation scheme

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Summary

Introduction

During the 1980s, several Southeast Asian countries enthusiastically embraced agricultural diversification and rural industrialization as a strategy for rural development. This was partly in response to structural changes accompanying the long-term contraction of agriculture in the economy. Crop Diversification and Income Inequality in Irrigation Systems and rural development strategy (FAO, 1990). Links between agricultural diversification and agro based industries is highlighted by the present agricultural strategy. Successful diversification requires a commercialized agricultural system, adequate infrastructure development, and well functioning rural institutions all conditions barely present in many of the irrigation systems in Sri Lanka (DOA, 2000)

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