Agri-business and Rural Management in India Issues and Challenges Dr. V.

. Basil Hans Abstract In India there are healthy signs of transformation in agriculture and allied activities. Visible improvement has come about through adoption of management practices through on-farm and off-farm operations in this sector. Agri-business has evolved out of the new input-output matrix. Agriprenuers have come to realise the importance of quality changes and value addition in agriculture. Risk and uncertainty being inevitable parameters of modern business, serving farmers and saving farming has become the need of the hour. This paper examines how under liberalisation and globalisation, agri-business has opened new vistas for growth and development of the rural economy in general and of the agrarian economy in particular. The challenges of the rural economy can be balanced provided there is better management in the economy. We suggest that the right type of managerial skills and entrepreneurial expertise peppered with timely measures by the government would help fulfil the growing needs of agri-business.

Keywords: agri-infrastructure, agri-business, diversification, value added agriculture JEL Classifications: Q13, M2

agri-management,

sophisticated

Professor & Head of the Department of Economics, St Aloysius Evening College, Mangalore - 575 003, D.K. District, Karnataka State, INDIA. Email: vbasilhans@yahoo.com

Electronic copy available at: http://ssrn.com/abstract=1271622

2 I. INTRODUCTION Policy-makers are making reforms. The populace is taking the reforms. We the people of India are in the period of Second Generation Reforms.1 Now the talk is about agricultural reforms. Hence the need to upgrade agriculture which still supports majority of our population. While market-oriented reforms are being carried forward with more thrust, the government has also initiated a number of measures to modernise agriculture, the most important of them being the introduction of new generation technologies. The National Agricultural Policy (2000) which was presented in the Parliament on July 28, 2000 has clearly spelt out these measures. To mention a few of them: (i) special efforts to raise the productivity and production of crops to meet the demand for raw materials for expanding agro-based industries; (ii) thrust to the development of horticulture, floriculture, sericulture, aromatic plants etc., (iii) development of dairying, aqua-culture etc., for diversifying agriculture; (iv) involvement of co-operatives and the private sector in these activities; (v) application of bio-technology, remote sensing technologies, pre and post harvest technologies etc., (vi) increasing the investment on agricultural research, HRD, post-harvest management and marketing; (vii) setting up agro-processing units, and encouraging collaboration between the producer co-operatives and the corporate sector; and (viii) making legal provisions for giving private land on lease for cultivation and agribusiness.

The New Agricultural Policy envisages a better deal for products and people (i.e., the peasants) in terms of protection (e.g. insurance), price, and profit. Based on the premise of modernisation it promises a Green Revolution, a White Revolution and a Blue Revolution. It has, therefore, been described as a policy of promising Rainbow

Electronic copy available at: http://ssrn.com/abstract=1271622

3 Revolution. When the First Green Revolution took place in the sixties it was veritable but subjective. It was a revolution that started in the minds of the traditional farmers and was carried on in the farms. The quantified net result was seen in a tremendous increase in the agricultural output, particularly of wheat and rice. In the eighties too there was a green revolution (which did not get due credit, at least among the academic circles.) This revolution occurred largely due to better input management. The New Agricultural Policy has both quantitative and qualitative targets for Indian agriculture. The time has therefore come to kick start a revolution of a third kind. This revolution will have to be a modified one. It has to encompass all the resources, regions and activities of the rural economy. Its economic benefits should reach the poor through rural value-added enterprises and partnerships with the private sector (Khan and Farhad, 2002). It cannot be exclusively input management or output management but a blend of both. The country needs a healthy combination of gene revolution and gram (village) revolution. Agribusiness should be the main driver of this revolution.

The purpose of this paper is to analyse agribusiness in the context of globalisation with particular reference to developing countries like India. The second part gives the conceptualisation of agribusiness. The third part is the actualisation of agribusiness in terms of its contribution. The fourth part puts agribusiness in the management perspective. The fifth part examines the challenges for agribusiness in India and tries to offer some strategies to face them. The sixth part is the conclusion of the paper.

4 II. NATURE AND SCOPE OF AGRI-BUSINESS The Agribusiness Council (ABC) of the US defines "agribusiness" as a broad term encompassing all aspects of agricultural production, processing and distribution. This includes food, forest and fibre production, their by-product utilisation, agricultural chemicals and pharmaceuticals, agricultural finance and trade, agribusiness/farm management, agro-environmental considerations, and land development; in short, all of the major elements essential to the establishment and operation of efficient agro-food enterprises. John Davis and Rav Goldberg defined agribusiness as the sum total of all operations involved in the manufacture, and distribution of farm supplies; production operations on the farm; and the storage, processing, and distribution of the resulting farm commodities and items. It is in simple a process and product of applying economics in business and development of agriculture. It engulfs efforts to modernise and diversify agricultural operations using industrial approach and managerial expertise. It is, thus, an umbrella term to bring together agriculture, manufacturing and services for the sake of socio-economic integration and development (Hans, 2006a). The edifice of agribusiness has two main pillars in agri-infrastructure and agri-management. Farm managers, consumers, engineers and administrators are its integral components (see figure 1).

With agribusiness, the traditional myth of agriculture being an only on-farm activity is exploded. It is not merely cows, sows, and ploughs or weeds, seeds and feeds activity. Today agriculture is a technology industry that includes production, agriscience and agribusiness. It is both an on-farm and off-farm activity and the agriculturist is today a farm manager or an agri-businessman. The farm manager needs science,

5 research, engineering, and education whether to make cheese or to sell cut flowers. He has to decide, develop and determine options, plans and strategies like any other entrepreneur. Add to this the management of resources, risks, and returns. That gives the picture of agribusiness. Some call it the agriculture industry encompassing agribusiness input supplies (feed, seed, machinery, pesticides, education, engineering research etc.), production farming (dairy, livestock, alternative animals, forestry fruits, vegetables, alternative crops etc), agricultural by-products and agribusiness output (processed food, beverages, fast food, restaurants, marketing, transportation etc). The concept clearly brings out the complementarity of agriculture and industries in nation-building (Patro et. al., 2002). Some form of agribusiness was prevalent even in the past. In fact attempts have been made to combine agriculture with industry without undermining the age-old rural asset viz., the village. In Soviet Russia it was the agrogorod, an agricultural town which took shape as the kolkhoz. In Israel it evolved as the agrindus, a regional unit of villages with a town as its nucleus. These have been some revolutionary ideas in transition, just as the rurban the combination of rural and urban.

In short, agribusiness is an umbrella terms to bring together agriculture, manufacturing and services for the sake of socio-economic integration and development. It is a no frontiers composite model of agricultural development. Several hundred years ago the Greeks called economics as the science of household management. Today managerial economics has crossed the threshold of micro-business and encompasses all the facts of macro-business. Rightly, therefore, the application of economic tools and theories is influencing individual peasants as well as institutional peasantry. In India with

6 public-private partnership some sort of sophisticated diversification measures in farming and agro-processing industry is already seen with banks also reaching out in a big way to aid and promote this sector.

III. ROLE OF AGRIBUSINESS IN INDIA It would seem self-evident that independent Indias number one priority would have been agriculture. But India did not do the self-evident. By the mid-60s, the relative neglect of agriculture blew into a crisis unleashing the Green Revolution. However, the post 1990s progress of Indian agriculture too has been patchy. Public investment in agriculture has declined from 1.6 per cent of GDP in the early 90s to 1.3 per cent of GDP in 1998-2002. The agricultural production index has stagnated and the productivity of agriculture has made no progress. The dismal situation in agriculture was exacerbated by a four-year spell of bad monsoons in recent years.2 Deceleration in agriculture is one of the major concerns of the UPA government. According to the Planning Commission, agricultural growth has decelerated sharply from 3.2 per cent between 1980-81 and 199596 to an average of 1.9 per cent subsequently.

The mid-term appraisal of the Tenth Plan has cited loss of dynamism in the agriculture sector as the major cause of rural distress. While bringing agriculture centre stage, we also need to shift policy emphasis to marketing from production. Today, the agricultural marketing system and infrastructure are incapable of profitably absorbing even the current output. It has been realised that Indian farming has to undergo major changes, for rural incomes to go up appreciably. Dependency on subsidy has to give

7 place to income generation from market integration. This calls for many changes such as raising productivity in diverse activities rather than pure crop husbandry, market reforms, creation of new capacity in agro services (like storage, sorting, handling and processing of food), enabling farmers to benefit from the enhanced value addition. There are certain things that must figure in this new farm package: accentuating infrastructure accessibility, security framework of insurance, sound agro-climatic studies (coupled with viable methods of disaster management) and dissemination of information, and above all a strong political will to stamp out weeds in the way of agricultural development. The Government of India is already planning to formulate a new farm package, well appreciating the on-going economic reforms. These realities require a shift in public policy on agriculture to markets and competition from the traditional ones of regulation and support, and a view of agriculture as an agribusiness. It is time for greater boldness in Indian agricultural reform (Gopalakrishnan, 2004).3

The economic liberalisation and the associated opening up of the Indian economy have significantly reduced the structural rigidities in the system. This positive trend should be the premise for Indias future agricultural reforms. Agribusiness has come under the strong and direct influence of international markets. Indian farmers have to produce quality goods to meet the international standards (Godara, 2006).

India is a huge country with a large agricultural base. It should not be impossible for India to emerge as a major presence in the agro industry sector. Out of the 320 million work force of India, 170 million (53 per cent) are employed in agriculture. India ranks 2nd

8 in the world in terms of arable land and also in terms of irrigated area. It ranks 1st in the world in production of milk and milk products, 2nd in terms of rice, wheat, groundnut and tobacco and 3rd in coffee. However, there is the problem of low productivity. The yield for each crop is only 30 per cent of the world standard. Low agricultural productivity today is not due to absence of technology but because the full advantage of technology has not reached this sector. An agro industry focussed strategy as the core of the next stage of reform process will be politically correct and at the same time, yield rich economic and political dividends. We must start by identifying which are the prevailing policy measures and actions of the government which come in the way of India realising its full potential in agro industries. The government set up nearly 10 years ago the Ministry of Food Processing. This Ministry should be able to act as a great facilitator of the growth of the agro industries in the country by helping access to the latest technology.4 Similarly the Department of Agriculture and Co-operation runs a programme called Integrated Development of Commercial Floriculture (Kiran et. al., 2007b). While rapid innovation is an incentive even for high-cost growers, market niches are few by nature (Kiran et. al., 2007a). Food processing, floriculture and horticulture are some of the new avenues assuming commercial status in India in recent times and also much to offer to Indian economy if managed on business principles. Better planning and managing for value-added agriculture is called for.

The willingness of Indian farmers to adopt new farm practices need not be doubted. Many farmers have already adopted biotechnology. Mahalingappa

Shankarikoppa of India has seen his income triple after planting Bt cotton, which is enhanced with a naturally occurring soil protein (Bacillus thuringiensis) to ward off

9 insect pests. The Jute Manufactures Development council India feels that jutes versatility and eco-friendly profile has placed it back on the international scene as a golden fibre with fashionable shopping bags just one of its end products. Imbalance in socio-economic development and urban-rural divide can only be arrested if the infrastructure in rural areas is made sustainable, qualitative and a growth oriented business environment is created. While major initiatives in removing this imbalance are yet to take momentum, there exist certain deterministic steps towards achieving the goal. Agribusiness can be a medium to address this imbalance particularly at the grassroots level.

The trend towards agribusiness in India are visible more clearly now than ever before. Agriculture has changed from deficit oriented to surplus oriented sector. New inputs and new technologies are hitting the market everyday. Output marketing has switched over to value added pivot rather than selling raw. Quality also counts. New strategies and methods of marketing such as contract farming captive markets, futures trading are assuming greater importance. Decision-making process has become more complex, if not complicated. A picture of corporate farming is emerging. The theory and practice of agriculture has to be viewed from the global perspective and every operation measured in terms of cost and benefit (Hans, 2006b). Hence the need to develop

agribusiness mangers who can fill the middle-level management requirements of the new systems (Vijayakumar, 2003).

The National Advisory Council (NAC), in its recent meeting stressed the need for a paradigm shift from micro finance to livelihood finance and technology empowerment. To promote knowledge empowerment and capacity building in areas of agriculture,

10 animal husbandry, fisheries, forestry, agro-processing, marketing and genetic literacy, it emphasised on the establishment of village knowledge centres. It is very clear that NAC is in favour of modernising agriculture. A new deal for the Indian farming community is in the offing. The Tatas, the Birlas, the Mahindras, the Mittals, the ITC and other corporate houses are entering and expanding rural businesses (Saran, 2004). In the market folklore and parlance the e-choupal has made its beginning. What specifically then is the contribution to the Indian economy is the question. The answer may be spelt out in terms of the specific contributions that agribusiness makes to the Indian economy:

It helps to make a break-even output. A high domestic market and a large international market- abundant natural resources, easily available labour, varied soil and agro climatic condition are all in favour of this proposition. It opens up the countryside for competitive dualism vis--vis urban sector and the foreign sector. While having to strictly meet international standards, it is bound to have significant multiplier effects on employment and income growth, particularly nonfarm employment.5 The occupational structure in the country will change favourably, closing the gap between white-collar jobs and the blue-collar jobs. It will do away with the dilemma of agriculture versus industries; agriculture will be with industries, and not at the cost of industries. Advantages of complementary and linkage effects can be reaped. It paves the way for decentralisation of economic power and foster democracy in management. Hence it is politically sound too.

11 Agri-business ensures that the economy livelihood of the masses is equitable and sustainable.

Agriculture in India for decades has faced the brunt of being backward, debtridden and poverty-stricken, with no surplus expect labour (!)6 Time has come for removing these useless labels.7 With newer and newer areas emerging within agribusiness there is immense scope for profitable operations not only to individuals but to institutions as well. Banks, for instance can play a major role here. Commercial banks and Regional Banks with their 68,000 plus branches already, have a phenomenal strength in financing agribusiness ventures. With farm incomes and savings rising there would be no major resource constraint in the near future. This would also make way for revival of development banking in India. It would be an appropriate move from class banking to core banking. However, finance is not the only picture obtained in the emerging scenario of agribusiness sector; it is management of resources and returns, (finance included).

IV. MANAGEMENT PERSPECTIVE FOR AGRIBUSINESS

This is the Age of Management. With value-added agriculture becoming the order of the day one cannot undermine the need for and significance of management exercises and therapy for agricultural problems and rural issues as well.

The essence of agribusiness lies in rural resource management. It necessitates the study of agri-infrastructure and agri-management. Agri-infrastructure has close links with modern farm practices and hence farm mangers of the day cannot overlook it. Factors

12 like irrigation, transport, power, literacy, marketing finance etc., constitute the major components of agri-infrastructure (Pradhan, 2003). Farm managers i.e., agriculturists and agro industrialists (agro-producers) have an inter-relationship with the consumers. Traditionally, the producers could manage with make and sell decisions In the modern (hi-tech) virtual economy they have to switch over to sense and respond techniques of production and marketing. The impact of work has to be gauged in terms of real time resource allocation and management.8 Farm managers get the benefit of inventions and innovations undertaken by the engineering and science faculty (the term science use to cover social scientists also). It will no longer be the ivory tower R&D but lab-to-land and land-to-lab research. For instance one of the highlights of modern Indian agriculture is the rapid improvement in agro-climatic mapping and weather forecasting for diverse zones and conditions (Hans and Jayasheela, 2007). This must be further strengthened. The administrators (both public and corporate) take the responsibility of translating the research findings and discoveries to concrete policies and programmes of action. The cooperatives, the panchayats, the NGOs and the media will also join hands in the process of transmission of knowledge, to all the four groups of players. The process of building and maintaining the architecture is quite challenging indeed. It is necessary to have in-built stabilisers to withstand any tremor and turbulence, economic or noneconomic. Agricultural performance is to a large extent governed by non-price factors like technology and infrastructure-led government investment (Desai, 2000) but time and again prices pose problems as is evident in the current situation of agri-inflation in India. The principal areas of agribusiness that needs specific/specialised managerial techniques are:

13 Management of surpluses because of changing food/dietary habits and consumer preferences. Quality Management due to increased competition. Cost Management since market has become a buyers market. Knowledge Management because research, education and extension also need re-organisation right from the basic level. In a nutshell, therefore, agribusiness management includes study of input supply system, agricultural production system, and output marketing system. Agriculture must adopt a systems approach in order to achieve the goals of increased production, enhanced quality and reduced cost of production. It should, however, start with the management students/practioners being oriented towards achieving the goal of understanding the nuances of a marketised/globalised agriculture. The end-result will be a stabilised agricultural production system (Vijayakumar, op. cit.).

V. CHALLENGES

Thus, Indian agriculture is poised for a great leap forward. The important paradigm shifts in agriculture post liberalisation are from the following.

Subsistence farming to commercial farming Imported oriented to export-oriented Crop specialised to farm diversified Organic inputs to bio-inputs Exploitative agriculture to experimental and sustainable agriculture Limited post harvest technology to more post harvest technology Supply-driven technology to demand-driven technology Transfer of subsidies to investment (Mohanty, 2005)

14 Unorganised farming and peasantry to organised/co-operative farming (Kumar, et. al., 2003). Risk-aversion to risk acceptance (appetite?) The paradigm shifts are giving rise to new challenges to both the people and the government. The main challenges are as follows.

Adaptation to Micro/Medium Scale agribusiness projects in India Imperative of Infrastructure Development - Agri-Infrastructure Agri-Education Agri-Clinics Agri-Profesionals Better Management of Public Expenditure. Public Private Partnerships Management Contract Rural development in terms of rural resource utilisation, rural livelihood and rural ecology (Hans and Jayasheela, 2008). Indian farm-holdings are very small Existing Government schemes have inequitable distribution and/or have led to market distortions. Economies of Scale build up difficult WTO Challenge Movement form a subsidy-supported set-up to a equity-based set-up Fiscal compression in Agriculture Emerging ecological issues such as ecological footprint and hoof prints10 Each of these challenges in turn need though examination if one has to acquire the wherewithal to confront them. The positive thing here is that our agriculturists nay, the farm mangers need not have to begin from a scratch. They can build up on the accumulated knowledge and experience. For example they have an experience of crisis

15 management as acquired in the 60s. Indian farmer is very intelligent. He knows his land very well. Similarly the success stories of Farmer Groups/SHGs /Co-operatives are many. These success stories provide a strong fundamental spirit for resurgence. Added to this we have the efforts made by institutions like banks and corporate houses, apart from the government (Central as well as state) in developing the necessary ingredients in the form of collateral management services, price risk mitigation products, food parks, bill of exchange of farmers etc. There are signs of new products such as farmer-friendly ATM cards. Governmental efforts in developing large infrastructural facilities like international airports are also welcome signs in this direction. Micro-finance movement is creating financial revolution in the countryside. We also hear the call for going beyond micro credit or new frontiers for microfinance (Hans, n.d.) Agribusiness has made agriculture-led services sector growth a reality. According to WTO report in 2002 world export growth rate declined to 4% but Indian exports registered the third highest growth rate (14%) in the world after China (15%) and Czech Republic (22%). The buoyant growth of professional, technical and business services has provided a cushion against the slow-down in traditional services such as travel and transportation (Chandrasekaran, 2007).

VI. CONCLUSION Technology has played an important role in Indian agriculture since 1960s. Now management has to take the initiative. The so-called second green revolution or farm diversity is essential not only for promotion of agribusiness and agritrade but also for eradication of poverty and unemployment in the country (Mohanty, op. cit).11 In the light

16 of diversities, shifts and challenges in agriculture, there is a need for reform in agricultural education a management education for rural labourers and entrepreneurs: education that gives knowledge and not just disseminating information or providing data. The impact of real and managerial education will be on cost (reduction and control), quality (enhancement) and knowledge (sharing). Knowledge and expertise in the green revolution days of the 60s were highly concentrated and/or costly. Today it is diluted and cheap, and many a times, localised. That makes agriculture less dependent too.9

To conclude, from a backward agriculture to a value added agriculture, Indian Agriculture has come a long way. But there are miles to go. And Indian farmers, beyond doubt have the required amount of patience needed to undergo a metamorphosis for bringing about the healthy transition from inhibitive farming to innovation farming. That is agribusiness after all.

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17 NOTES

1. For the sake of this paper, the year of commencement of New Economic Policy is taken as 1991 which ushered in the era of economic reforms called in a capsular form as Liberalisation, Privatisation and Globalisation, LPG for short. This initiated the First Generation Reforms that was largely (BOP) crisis-driven. The Second Generation Reforms beginning from 2001, on the other hand is development-driven. 2. When it comes to the monsoon, it has always been case of more misses than hits. Its lacklustre performance in the first half of the current financial year prompted the CMIE to slash the agriculture growth projections for the year to -0.3 per cent from an earlier estimate of 3.1 per cent in April. Subsequently, however, the monsoon began to gain strength. The net result: the CMIE revised the projections to 3 per cent while the NCAER raised it from 2.5 per cent to 3.4 per cent [see The Economic Times, Friday 25 November 2005, p. 9] 3. See also Not just a rural affair, (editorial). The Economic Times, Thursday 24 November 2005, p. 2. 4. Indias total food market is estimated at Rs.2500 billion of which Rs.800 billion comprise of value-added products. With 40per cent of the countrys population expected to be the very rich by 2007, there is going to be a strong market for processed food. The food processing industry generates nearly five jobs for every Rs.100,000 of investment, bulk of the job creation being in rural and semi-urban areas. It is a sunrise industry indeed. The Ministry of Food Processing planned a total investment of Rs.521,000 million for this sector during the Tenth Plan. (See I. Satya Sundaram, Processed Food for the Changed Lifestyle, Facts For You, Vol. 25, No. 8, May 2005, pp. 7-8). 5. With economic progress there will be continuous decline in agricultural labour per se. But agribusiness will neutralise this effect by making deployment of labour off the farm more productive. According to the latest round (sixtieth) of the NSSO survey, strong growth in the service sector is facilitating employment generation and economic growth in the rural economy. Self employment seems to be the most preferred mode [see for details, Chakravarti, Shivom Boom in services rubs off on villages; farm jobs fall The Economic Times, Tuesday, 13 December 2005, p. 10]. 6. Unfortunately (?) the standard classroom example for exceptional supply curve even today is the solid backward-bending supply curve of agricultural labour in underdeveloped countries like India. 7. For example, the myth that capital when being lumpy is best suited for asset creation than employment is exploded because the very nature of capital gets

18 transformed in agribusiness. Even industry gets freed from being criticised as leading to jobless growth. The Nurksian and Lewisian theories of surplus labour utilisation get practical utility in this context. Agribusiness can not only put an end to the dilemma of agriculture vs. industries, but can also ensure industrialisation with minimum social cost, ecological imbalances etc. [see Ragner Nurske, Problems of Capital Formation in Underdeveloped Countries, Bombay: Oxford University Press, 1962; and W. Arthur Lewis, Economic Development with Unlimited Supplies of Labour Development Planning, London: George Allen and Unwin, 1966]. If maximum employment generation via less capital-intensive industries is our objective then agro industries fit the bill. It is found that the rising capital cost per in the agro-based industries is 25 per cent as compared to 54 per cent in petroleum-based and 31per cent for other industries. [See also CSO reports of the Govt. of India, particularly for the year 1997]. Patrao, op. cit. pp. 48-49. 8. Amartya Sens view of disguised unemployment becomes relevant here. He is of the view that too many labourers are spending the labour that is disguised unemployment. (For more details see Sens Choice of Techniques). 9. Theodore W. Schultz, for instance opines that modern agriculture is capable of making a large contribution. Even for its modernisation, agriculture need not depend on other sectors. (See V. B. Hans, A Handbook of Economics of Development, Mangala Publications, Mangalore, 2000, p.115). 10. For an empirical discussion on these issues see M. Ravichandran, Ecological Footprint A Macroeconomic Tool, Environment, Sustainable Development and Human Well-being, Proceedings of Interdisciplinary Research Workshop 2008, Madras Institute of Development Studies, Chennai, pp. 69-80, and Tony Weis, The Global Food Economy: The Battle for the Future of Farming, Zed Books, London and New York, 2008. See also the review of Weis book by C. R. Sridhar in Economic and Political Weekly, Vol. XLIII, No. 31, August 2-8, 2008, pp. 25-26. 11. Discussing and doing agribusiness does not mean being complacent about the problem of poverty or presuming agribusiness as a panacea for rural poverty. In fact new forms of poverty can arise out of uneven playing field in agribusiness. See Sridhar (cited in FN 10 above).

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REFERENCES Chakravarti, Shivom (2005). Boom in services rubs off on villages; farm jobs fall, The Economic Times, Tuesday, 13 December, p. 10. Chandrasekaran, A. (2007). Agriculture to Services Sector-Led Growth, Southern Economist, February 1, pp. 29-31. Desai, Bhupati M (2000). Agricultural and Agri-business Issues under Economic Liberalisation. In Peter Ronald de Souza (ed.), Contemporary India transitions, New Delhi, Sage Publications, pp. 108-149. Godara, Ratan (2006). Rural Job Opportunities Agribusiness Centres Some Realities, Kurukshetra, March, pp. 14-17. Gopalakrishnan, R. (2004). Agriculture as agribusiness, Thursday February 26, http://www.economictimes.indiatimes.com (accessed on 25.11.2005). Hans, V.B. (2000). A Handbook of Economics of Development, Mangalore: Mangala Publications. Hans, V. Basil (2006a). Agribusiness in India: Issues and Challenges, Journal of Global Economy, Vol. 2, No. 2, April-June, pp. 119-33. Hans, V. Basil (2006b). Towards a Vibrant Indian Agriculture, Kisan World, Vol.33, No.06, June, pp. 18-19. Hans, V. Basil (n.d.). Microfinance in India from Financial to Social Intermediation. In Rasure, K. A. (ed.), Rural Credit in the Era of Globalisation, Delhi: Abhijeet Publications, forthcoming.

Hans, V Basil and Jayasheela (2007). Environmental Management and Sustainable Development Implications for Indian Agriculture, Financing Agriculture, Vol. 39, No. 4, pp. 20-25. ------------------------- (2008). Environment and Economic Well-being: Identifying the Critical Conundrum. Proceedings of Interdisciplinary Research Methodology Workshop on Environment, Sustainable Development and Human Wellbeing, February 18-20, Madras Institute of Development Studies, Chennai. Khan Akram A and Farhad Shirani Bidabadi (2002). Indian Agriculture: A 2020 Vision for Food, Agriculture and the Environment, South Asian Survey, Vol. 9, No. 1, pp. 77-91.

20 Kiran Kumar P., Jayasheela and V. Basil Hans (2007a). Commercial Floriculture in India: Opportunities for Cut Flower Development, Southern Economist, Vol. 46, No. 11, pp. 18-22. -------------------------- (2007b). Floriculture for Value Addition, Kisan World, Vol. 34, No. 12, December, pp. 22-23. Kumar, K.N. Ravi, K. Sree Laxshmi and D. Chinnam Naidu (2003). Prospects of Indian Agriculture in the 21st century in the Light of World Trade Agreement, Agricultural Situation in India, Vol. LX, No. 6, September, pp. 411-15. Mohanty, B. K. (2005). Regional Approach with Farm Diversity An Emerging approach for promoting Agri-Business Enterprise, Kurukshetra, Vol.53, No. 8, pp. 4-10.

Patro, Bhagabata and Preyasi Nayak (2002). Employment implications of Agro-based Industries in India. In Misra, B., and G.C. Kar and S.N. Misra (ed.), Agro Industries and Economic Development A Vision for the 21st Century, New Delhi: Deep & Deep Publications, pp. 42-49. Pradhan, Rudra Prakash (2003). Agri-infrastrcture and Modern Farm Practices: Their Impact on Agricultural Productivity, Indian Journal of Economics, Vol. LXXXIV Part II, No.333, October 2003, pp. 269-84. Saran Rohit (2004). Call of the Countryside, India Today, December 13, pp. 48-49. Sundaram, I. Satya (2005). Processed Food for the Changed Lifestyle, Facts For You, Vol.25, No.8, May, pp.7-8. The Economic Times (2005). Not just a rural affair, editorial, Thursday 24 November, p.2. Vijayakumar, H.S., Agribusiness Management Education, Theme paper presented at the 11th Annual Conference of AERA held at Karaikal (Pondichery), December 1213, 2003, Agricultural Economics Research Review, Conference Issue, 2003 p.189-92.

Websites: http//www.agribusinesscouncil.org http://www.amazon.com http://www.tradeforum.org

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APPENDIX A

Figure A1. Architecture of agribusiness: a micro model

AGRI-ARCHITECTURE

Agri-infrastructure

Agri-management

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