Over the last 50 years, agricultural sector in Tamil Nadu has witnessed a steep decline in the total cropped area.

Cropped area in the State decreased from 61.69 lakh hectares in 1970-71 to 45.82 lakh hectares in 2018-19. – a fall of 15.87 lakh hectares.

On the other hand, fallow land doubled from 15.38 lakh hectares to 29.78 lakh hectares during the period. This increase is far higher than the increase of-36.38 per cent at the all-India level.

Drop in share of agriculture in State income

This gradual decline in cropped area over the years is a cause for the continuous fall in the share of agricultural output in the Gross State Domestic Product (GSDP) of the State – from 56 per cent in 1950 to 36 per cent in 1980, 33 per cent in 1990, 17 per cent in 2000 and further down to 13 per cent in 2020.21 (Source: Tamil Nadu - An Economic Appraisal, Government of Tamil Nadu - various issues).

Though Tamil Nadu has seen rapid economic growth in the last several decades, agricultural output is stagnating, contributing to its declining share in the GSDP.

This adverse trend has also affected the generation of employment in agriculture. Sixty per cent of employment (91 lakh out of 151 lakh workers) was generated by agriculture in 1970, which declined to 50.3 per cent (146 lakh out of 290 lakh workers) in 2011 and further to 42 per cent in 2011 (139 lakh out of 328 lakh workers).

Reasons for fall in gross cropped area.

1. Small farmers are forced to leave farming because of the decline in returns from agriculture. Such farmers seek non-agricultural jobs such as construction work in the neighbouring urban areas, leaving their farmlands as fallows.
   Depletion in rural workforce has been partially offset by the agriculturists relying on machines for works such as transplanting and harvesting.
2. Drastic fall in the irrigation from tanks and canals is another important reason for the fall in area cultivated.
   Canal irrigation in the State declined from 9.03 lakh hectares in 1960-63 to 6.22 lakh hectares in 2014-17. Tank irrigated area declined from 9.41 lakh hectares to 3.69 lakh hectares ding the period.
   In the 1960s and 1970s, Tamil Nadu was India’s leading irrigated State, accounting for 11 per cent of India’s gross irrigated area. This share declined to just 3.40 per cent in 2014-17. It is a sad situation that Tamil Nadu is reported to be the only State in the country that registered a negative growth in gross irrigated area during the period.
   Between 1990 and 2000, groundwater usage rose by about 4.5 lakh hectares, with its share exceeding the 50% mark. In 2022, groundwater caters to about 62% of the net irrigated area.
   The Standing Committee on Water Resources in its 16th Report underlined that tank irrigated area has declined in Tamil Nadu due to heavy encroachments and lack of proper maintenance.
   Therefore, the popular view that attributes the reduction in tank irrigated area to low rainfall is not correct.
3. Over the years, cost-intensive groundwater irrigation has become inevitable to the farmers in Tamil Nadu due to the reduction in low-cost canal and tank irrigation sources. Groundwater irrigation has grown significantly from 6.02 lakh hectares to 16.53 lakh hectares during the same period. This increase in cost of cultivation has reduced the farmer’s income.
   According to a study of NABARD (2016-17), the monthly income of a farm household in Tamil Nadu was Rs.9,975, which is very low compared to that in many other States.
4. Persisting uncertainties in income from agriculture coupled with growing demand for farmland from non-agricultural sources is increasing the sale of farmlands. Moreover, bulk of the lands sold remain fallow.

Severe exploitation of groundwater

Increased use of groundwater for agriculture in the face of loss in canal and tank irrigation has led to overexploitation of groundwater. As per the estimate of Central Water Commission groundwater is severely exploited more than 80 per cent in 17 out of 32 districts.in the State.

Percentage of over-exploitation of groundwater in some districts: Tiruppur 88%, Tiruvannamalai 85%, Dharmapuri 83%, Kovai 82%, Salem 80%, Namakkal 77%, Thanjavur 76%, Vellore 73%, Karur 70%, and Dindigul 70%.

In 2013, Tamil Nadu repealed the Tamil Nadu Groundwater (Development & Management) Act, 2003, meant to ration and regulate groundwater extraction.

TN has not so far implemented revised guidelines released by CGWA which came into effect from June 1, 2019.

Deficiency in TN Farm Budget 2021

The first ever budget for agriculture presented in 2021 has not addressed the problem of fall in cropped area or the severe depletion in groundwater in some areas. The budget has also not spelled out any strategy or investment proposal for increasing the cropped area, restoration of tanks and canals, and for solving the crisis of severe depletion of groundwater in several districts.

To quote from the Budget, "The agriculture budget is the aspiration of farmers. It is a dream of nature lovers". This dream would be farfetched in the absence of definite strategy for increasing the cropped area and restoring the lost canal and tank irrigation.

A separate Ministry for Irrigation and Water Management as well as a Water Management Commission with experts in water management under the Ministry could serve to form strategies to accelerate agricultural growth in Tamil Nadu.

S.J.S. Swamidoss is Director (Retd.) Department of Economic and Policy Research, Reserve Bank of India, and Expert in the Foundation for Economic Growth and Welfare (EGROW) .