First, land holding in India is highly fragmented, with marginal holdings (of one hectare or less) accounting for as high as 62 per cent of all operational holdings. The small farm size in a labour surplus agrarian sector leads to intensive use of land, but in the absence of supporting infrastructure and capacity to access modern technology and inputs, productivity remains low.
Second, rainfed agriculture constitutes as much as 55 per cent of the cropped area and 45 per cent of the total agricultural output. More than 70 per cent of pulses and oilseeds production as well as a substantial part of horticulture and animal husbandry produce is from rainfed farming, underscoring significant continuing monsoon dependence.