Markets, Institutions and PoliciesResearch Program

Insights from Village Level Studies

Sep 2011IMOD

Innovate Grow ProsperInclusive Market Oriented Development

Generate pro-poor policies, tools, lessons and investment guidelines that contribute to improved food security, livelihood resilience and poverty reduction

VLS Target: Past, Present and Future

1975-85 2001-08 2009 and beyond

IntroductionIn 1975, the ICRISAT Economics Program initiated Village Level Studies (VLS) at six villages in two states of semi-arid tropical (SAT) India and four villages in West and Central Africa (WCA). They provide the most efficient way to understand the farming systems in rural areas, and to identify the socioeconomic constraints faced by the farming community in the SAT.

Objectives• To track changes in the livelihood options of the rural poor.• To understand farmers’ response to changing markets, policies and technologies.• To understand farmers’ perceptions on climate change and their coping mechanisms.• To provide a socio-economic field laboratory for teaching and training of students and researchers.

• Research questions are identified through Focus Group meetings and surveys.

• The major enquiry is to understand the dynamics of agricultural transformation

• Project on assessing the dynamics of poverty in the semi-arid tropics.

Role and recognition of VLS• “Gene bank of social scientists”.• Testing grounds for ICRISAT technologies.• An IPG – unique longitudinal household panel data.

• Climate change/variability becoming prominent

• Vulnerability and adaptation strategies of village communities

• Monitoring of direct and indirect effects of climate change

• Building layers of resilience

Linking climate change with VLS

Targets in WCA

Key findings• The drivers of change are:

surface and groundwater irrigation, technology adoption, non-farm income.

• Proportion of incomes from non-farm sources, migration and caste occupations increased, while that of farm income decreased.

• Demand for draft animals reduced due to use of tractors.

• Annual per capita income increased from Rs 3466 in 1975-78 to Rs 8013 in 2001-06.

• Farmers invested little on soil conservation measures but heavily on groundwater exploration.

• Changes in labor markets: increased real wages of labor, increased migration and spatial integration.• Welfare and development programs of the government have helped households in coping with

income shocks.• Organization of women into self help groups has reduced dependence on money lenders for small loans.

Policy implications for rainfed agriculture• Provide supplemental irrigation in drought-prone areas to enhance sustainability of livelihoods.• Strengthen public investment in water conservation and recycling.• Food stamps worth Rs 150 per month may be given to the households below the poverty line in lieu

of Public Distribution System subsidy.• Minimum support prices provided for rainfed crops have to be backed up by procurement

mechanisms by the government.

Moving forward• Deepening of enquiry to include social and climatic aspects.• Identification of drivers that help in moving out of poverty and achieving food and nutritional

security.• Vulnerability to climate change: adaptation strategies and layers of resilience.• Smallholders’ investment in natural resource management.

Sep 2011

IMODInclusive Market Oriented Development Innovate • Grow • Prosper •