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Asset Creation Under MGNREGA and Sustainable Agriculture Growth: Impacts of Convergence Initiatives in Odisha and West Bengal

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Employment Guarantee Programme and Dynamics of Rural Transformation in India

Part of the book series: India Studies in Business and Economics ((ISBE))

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Abstract

In 2009, the Government of India announced a new set of guidelines for planning of works and preparation of labour budget under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). This guideline made it mandatory for the states to ensure that at least 60% of MGNREGA related works undertaken in a district in terms of costs, is spent for creation of productive assets that are directly linked to agriculture and allied activities. This is very important considering that creation of productive assets is necessary not only for making ecological regeneration but also for ensuring sustainable growth of agriculture sector and creation of livelihood opportunities in a village economy. In this chapter, the authors analyze and document experience towards convergence of the MGNREGA work with other rural developmental schemes in the Odisha and West Bengal states of India. More specifically, the Chapter addresses the following issues: What are the different types of convergence models that have been initiated in Odisha and West Bengal? How have the joint efforts of various line departments contributed to conservation and management of natural resources? Are assets created under convergence initiatives sustainable in the long-run? How have these assets contributed to agriculture sector, particularly in respect of increase in production and yield, changes in cropping pattern, crop diversification, and multiple cropping? Can the existing institutions contribute to management and utilization of the assets created under convergence? If not, what institutional supports are necessary in this regard?

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Notes

  1. 1.

    For example, the kuchcha structures in Bihar were often incomplete when the monsoon arrived and many check dams were left without “dressing” making them vulnerable to soil erosion. Besides, roads did not have adequate top layer and the location of many of these assets was often inappropriate (Dreze and Khera 2009).

  2. 2.

    Accordingly, the major programmes covered under the convergence initiatives include Watershed Programmes, National Agriculture Development Programme, National Horticulture Mission, Scheme of Artificial Recharge of Ground Water through Dug well, Accelerated Irrigation Benefit Programme, Backward Region Grant Fund, Pradhan Mantri Gram Sadak Yojana (PMGSY), Swarnjayanti Gram Swarozgar Yojana (SGSY), National Afforestation Programme (NAP), etc.

  3. 3.

    While the share of agriculture and allied activities in GSDP of Odisha(at constant prices 2004–05 prices) declined from 19.08 to 16.38%, that in West Bengal declined from 20.43 to 16.92%. For details in this regard, see ‘Data Report for the use of Deputy Chairman, Planning Commission, 4th August, 2014’ (sourced from http://planningcommission.gov.in).

  4. 4.

    For details see 66th NSSO Round, 2009–10.

  5. 5.

    While rural poverty in Odisha is 60.8% (highest in the country) that in West Bengal is 38.2%. For details in this regard, see ‘Data Report for the use of Deputy Chairman, Planning Commission, 14th March, 2013’ (sourced from http://planningcommission.gov.in).

  6. 6.

    Experience from a broader subset of less developed countries (LDCs) also suggest that agricultural transformation is important at the early stages of development, especially for breaking down the barriers to growth in traditional rural societies (Adelman and Morris 1988; Adelman 1984).

  7. 7.

    So far, the PRIs, especially the Gram Panchayats (GPs) have played a crucial role in people’s participation in the MGNREGA. For example, social audits by the GPs has increased awareness of the workers regarding their rights and entitlements and contributed to their increased ability of bargaining power.

  8. 8.

    The audit report tabled by the Comptroller and Auditor General (CAG) in the Parliament on 23rd April, 2013 finds that while more than 22 million works were taken up under the programme during 2007–08 to 2011–12, close to 70% of these works were never completed.

  9. 9.

    This is particularly so as the works relating to agriculture has potential of improving soil fertility, restricting land degradation and top soil erosion and mitigating against droughts.

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Authors and Affiliations

  1. Department of Humanities and Social Sciences, Indian Institute of Technology, Kharagpur, India

    Pulak Mishra & Saswat Kishore Mishra

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  1. Pulak Mishra
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  2. Saswat Kishore Mishra
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Correspondence to Pulak Mishra .

Editor information

Editors and Affiliations

  1. Jalsrot Vikas Sanstha (JVS), Kathmandu, Nepal

    Madhusudan Bhattarai

  2. Amrita School of Business, Amrita Vishwa Vidyapeetham (Deemed to be University), Kochi, Kerala, India

    P.K. Viswanathan

  3. Gujarat Institute of Development Research, Ahmedabad, Gujarat, India

    Rudra N. Mishra

  4. Research Program on Markets, Institutions and Policy, ICRISAT, Hyderabad, India

    Cynthia Bantilan

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Mishra, P., Mishra, S.K. (2018). Asset Creation Under MGNREGA and Sustainable Agriculture Growth: Impacts of Convergence Initiatives in Odisha and West Bengal. In: Bhattarai, M., Viswanathan, P., Mishra, R., Bantilan, C. (eds) Employment Guarantee Programme and Dynamics of Rural Transformation in India. India Studies in Business and Economics. Springer, Singapore. https://doi.org/10.1007/978-981-10-6262-9_7

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