ANNOUNCEMENTS
Despite government-led efforts to promote crop diversification as a sustainable alternative to the dominant wheat-rice cropping system, its adoption in the region remains limited. Environmental concerns such as soil degradation, groundwater depletion, and climate variability make crop diversification a critical strategy. However, the extent of its adoption is limited in states like Haryana, where the green revolution was initially implemented. Using both Ordinary Least Squares (OLS) and Conditional Mixed Process (CMP) regression models, the study explores the income effects of diversification while accounting for potential endogeneity. While OLS results indicate a statistically significant negative relationship between crop diversification and net farm income, the CMP model suggests this relationship is statistically insignificant, pointing towards the region and crop-specific nature of diversification. The findings imply that while diversification may not directly increase income in this context, it also does not lead to meaningful financial losses. The study also identifies key factors affecting adoption. A significant negative association between institutional credit access and diversification suggests that formal credit may push farmers toward market-oriented crops like wheat and rice. Similarly, vehicle ownership is linked to lower diversification, while greater market distance discourages it—indicating the importance of local market accessibility in supporting diversification decisions. Overall, the study emphasizes that crop diversification is a sustainability practice. Realizing its economic potential, however, requires targeted institutional support, including price incentives, better access to market and region-specific policies to make diversified farming profitable for farmers.
Keywords: Crop Diversification, Sustainability, Simpson Diversification Index, Conditional Mixed Process, Food Security, Calories, Adult Male Equivalence.
