Introduction

Farming is the main source of income in Palampur. Other activities include small-scale
manufacturing, dairy transportation, and so on.

Various resources are combined in these production activities to create the desired goods and
services.
Palampur is well connected to nearby villages and towns. An all-weather road connects the
village to Raiganj and, further on, to the nearest small town.
This road is lined with various modes of transportation, including bullock carts, tongas, bogeys,
motorcycles, jeeps, tractors, and trucks.
Palampur is home to approximately 450 families from various castes. The majority of the land is
owned by 80 upper-caste families.
Their houses are quite large, built of brick and plastered with cement.
The SCs (Dalits) makeup one-third of the population and live in a small section of the village in
much smaller houses made of mud and straw.
The majority of the houses are wired for electricity.
All of the tube wells in the fields are powered by electricity. Electricity is also used in many
small businesses.
There are two primary schools and one high school in Palampur. There is one government-run
primary health care centre and one private dispensary.
Organization of Production
Production of any type of goods or services necessitated the services of four production factors,
which aid in the overall production organization.
The first requirement is land, as well as other natural resources like water, forests, and minerals.
The second requirement is labour. Some production activities necessitate highly educated
workers, while others necessitate manual labourers.
The third requirement Is physical capital, which refers to the variety of inputs needed at each
stage of production. Fixed capital refers to tools, machines, and buildings that can be used in
production for many years. Working capital refers to raw materials and cash on hand that are
consumed during production.
There is also the fourth requirement. To be able to combine land, labour, and physical capital and
produce an output, knowledge and enterprise are required. These days, this is referred to as
human capital. Every production is organized by combining factors of production such as land,
labour, physical capital, and human capital.
Farming in Palampur
1. Land is Fixed
Farming is the primary source of income in Palampur.
Farming provides a living for 75 percent of the working population.
There has been no increase in the amount of land under cultivation in Palampur since 1960.
Some of the village’s wastelands had been converted to cultivable land by that time.
There is no more opportunity to increase farm production by cultivating new land.
2. Is there a way one can grow more from the same land?
In Palampur, all land is farmed. There is no idle land.
People grow jawar and bajra during the rainy (Kharif) season for cattle feed. Potatoes are grown
from October to December.
Wheat is sown during the winter (or Rabi) season. A portion of the land is also dedicated to
sugarcane, which is harvested once a year.
3. Will the land be sustained?
Modern farming methods have depleted the earth’s natural resources.
The soil’s fertility has declined as a result of the increased use of chemical fertilizers.
Natural resources, such as soil fertility and groundwater, are depleted and difficult to restore.
4. How is land distributed between the farmers of Palampur?
Not everyone involved in agriculture has enough land to cultivate. In Palampur, approximately
one-third of the 450 families are landless, i.e. 150 families, the majority of whom are Dalits, lack
cultivable land.
240 of the remaining land-owning families cultivate small plots of land less than 2 hectares in
size.
Land Distribution between Farmers of Palampur
There are 60 families of medium and large farmers in Palampur who cultivate more than 2
hectares of land. A few of the large farmers own 10 hectares or more of land.
 5. Who will Provide the Labour?
Farming requires a great deal of effort. Small farmers cultivate their own fields with their
families. As a result, they provide the labour required for farming. Farm labourers are hired by
medium and large farmers to work in their fields.
Farm labourers are either from landless families or from families who cultivate small plots of
land. Farm labourers, unlike farmers, have no ownership of the crops grown on the land. Instead,
they are paid by the farmer for whose benefit they work. Wages can be paid in cash or in crop
form. Labourers are sometimes provided with meals as well.
Wages vary greatly from region to region, crop to crop, and farm activity to farm activity (such
as sowing and harvesting). There is also a wide variation in the duration of employment; a farm
labourer may be employed on a daily basis, for one specific farm activity such as harvesting, or
for the entire year.
6. The Capital needed in Farming
To obtain capital, the majority of small farmers must borrow money. They borrow from large
farmers, village moneylenders, or traders who supply various agricultural inputs.
The Interest rate on such loans is extremely high. They are put in a difficult situation in order to
repay the loan.
In contrast to small farmers, medium and large farmers have their own farming savings. As a
result, they are able to arrange or the capital required.
Small farmers have a small surplus because their total production is small, and a significant
portion of this is kept for their own family needs. As a result, wheat is supplied to the market by
medium and large farmers.
Large and medium-sized farmers sell excess farm products. A portion of the earnings is saved
and kept for the purpose of purchasing capital for the following season. As a result, they are able
to arrange for farm capital from their own savings. Some farmers may also use their savings to
purchase cattle, trucks, or to open new businesses.
7. Sale of Surplus Farm Products
The farmers keep some of the wheat they grow on their land for personal consumption and sell
the rest.
Wheat is only supplied to the market by medium and large farmers.
8. Sustainable use of Land
Because land is a natural resource, it must be used with caution. Modern farming methods have
depleted the earth’s resources.
Because of the increased use of chemical fertilizers, the Green Revolution is associated with a
loss of soil fertility.
The continuous use of groundwater for tube well irrigation has resulted in a decrease in the water
level beneath the ground.
Environmental resources, such as soil fertility and groundwater, are built up over time. It is
extremely difficult to restore them once they have been destroyed.
9. How does Electricity help the Farmers in Palampur?
The main impact of the spread of electricity in Palampur was the transformation of the irrigation
system.
Electricity helped farmers in transitioning from traditional Persian wheels to electricity-powered
tube wells.
The irrigation capacity of electricity-powered tube wells far exceeds that of Persian wheels.
The spread of electrical wires literally shifted the entire society from darkness to light. It altered
all social and economic norms. It’s like entering a different world.
Modern Farming Methods
The main reasons why farmers are able to grow three different crops in a year are:
(i) As a result of the coming of electricity in the Palampur village, people have greatly
improved the system of irrigation. They can now irrigate more lands quite effectively.
(ii) Tube wells were first installed by the government but soon people were able to set up
their own tube wells.
(iii) By multiple cropping more than one crop is grown on a piece of land during the same
year. All farmers in Palampur grow at least two main crops; many are growing potato
as the third crop.
(iv) The other way is to use modern farming methods for higher yield. Higher yields are
possible from a combination of HYV seeds, irrigation, chemical fertilizers, pesticides
etc.
Green Revolution
The large increase in crop yields, leading to record food production, began in our country in
1960 and marked a turning point in Indian agriculture, leading to our country’s green revolution.
The Green Revolution refers to the significant increase in the production of food grain crops,
particularly wheat, in our country over the last 30 years. This is due to a sort of agricultural
revolution in India, which has resulted in massive food grain production.
The revolution Is called because it has led to unmatched greenery of crops eThe period 1960 to
1980 is also called the ‘golden era’ for the record food grain production.
It Is because of the green revolution that our country has become self-sufficient in food
production and even buffer stocks of food grains have been created for use in times of natural
calamities like drought and floods.
Non-Farming Activities in Palampur
Dairy
Dairy is a common activity in many families of Palampur. People feed their buffalos on various
kinds of grass and the jawar and bajra that grow during the Kharif season.
The milk Is sold in Raiganj, the nearby large village. Two traders from Shahpur town have set up
collection cum chilling centres at Raiganj from where the milk is transported to faraway towns
and cities.
An Example of Small Scale Manufacturing in Palampur
Less than fifty people are engaged in manufacturing in Palampur, unlike the manufacturing that
takes place in the big factories in the towns and cities.
Manufacturing in Palampur involves very simple production methods and is done on a small
scale. It is carried out mostly at home or in the fields with the help of family labour.
The Shopkeepers of Palampur
People involved in the trade (exchange of goods) are not many in Palampur. The traders of
Palampur are shopkeepers who buy various goods from wholesale markets in the cities and sell
them in the village.
There are a few small general stores in the village selling a wide range of items like rice, wheat,
sugar, tea, oil, biscuits, soap, toothpaste, batteries, candies, notebooks, pen, pencil, and even
some cloth.
Transport: A Fast Developing Sector
There are a variety of vehicles on the road connecting Palampur and Raiganj, including
rickshawalas, tanga walas, jeep, tractor, truck drivers, and people driving the traditional bullock
cart and bogey.
They transport people and goods from one location to another for a fee.