Miller Magazine Issue: 138 June 2021

88 Country Profile MILLER / june 2021 the highest-ranking countries in production volume for various commodities like rice, wheat, cotton, and dairy. Agriculture and related sectors such as forestry and fisheries account for 17 percent of GDP though this has been declining since 1991. Agricultural-related occupa- tions, including those of the textile sector, account for roughly half of India’s labor market. Consequently, the agricultural sector plays an important role in Indian eco- nomics, politics and society. The agricultural sector is witnessing a shift from tra- ditional farming to horticulture and to poultry and dairy production. The demand for fresh and processed prod- ucts of all types is increasing as the population urbaniz- es, incomes rise, and consumption habits change. Wheat and rice are the cornerstones of India’s food security policy. The Indian government allocates sig- nificant funding to support research, development, and extension activities to educate farmers about new varieties and improved production technologies (e.g., seed, pest management) for these crops. Central and state governments also support farmers by subsidizing inputs (water, fertilizer, seed, power, irrigation, chemi- cals, and agricultural credit) for crops like wheat. INDIAN WHEAT PRODUCTION India is an erratic participant in the international wheat market. It imports wheat in low production years, and exports when local supplies are sufficient and prices are competitive. High domestic supplies will keep most foreign wheat out of the Indian market in MY 2021/2022. However, India’s growing fast food and bakery/confec- tionery industries are demanding specialty flours (used in pizzas and burger buns) that require different wheat classes that are not produced locally. Indian wheat production has exceeded trends in the last five years on higher planting and productivity. Pro- duction is up due to the steady increase in the gov- ernment’s MSP (Minimum Support Price), expansion of area planted with new, higher-yielding varieties, and generally favorable weather conditions. Wheat is the preferred crop in irrigated areas in the wheat-producing states due to increases in the govern- ment’s MSP prices. Wheat is favored because of its rela- tively stable yields when compared to other competing rabi (winter planted) crops (e.g., corn, pulses, oilseeds, and other coarse grains). Wheat acreage consequently over the last decade has remained stable at between 29-31.6 million hectares. Despite the back-to-back bumper harvest, the wheat crop is vulnerable to climate change, particularly the ‘earlier-than-normal onset of summer (terminal heat), and unseasonal heavy rains affecting the crop at the grain filling/maturity stages (March-April). These are concerns for Indian policymakers and researchers alike. The Indian Council of Agricultural Research (ICAR) and various state agricultural universities (SAU) are now involved in developing response mechanisms through agronomic management and technological advances in attempts to mitigate potential climate change risks. In northern India, over-exploitation of groundwater due to flood irrigation is causing problems of soil sa- linity and declining water tables in the wheat-growing