As the world gears up to face the challenges of the new millenium, India's growing population threatens to break all records and touch the one-billion mark. At this juncture one worrying question before us is whether we will be able to feed our masses. The answer lies in maintaining the Gross Domestic Product ( gdp ) from agriculture at a minimum growth rate of 4-5 per cent per annum which will sustain an overall gdp growth of 7-8 per cent per annum over the next decade and beyond. This growth rate is necessary to meet the demand from the growing population and rise in per capita income, to step up exports of agricultural commodities and for alleviating poverty.

Although population growth and increase in per capita income will raise the demand for foodgrains, experience has shown that a number of factors operate as a consequence of socio-economic development, urbanisation and modernisation which dampen the demand for foodgrains. Apart from the decline in population growth, there is a change in the tastes and preferences away from foodgrains to non-foodgrains like dairy products, vegetables and fruits. Further, because of restrictions on trade in India at present, the prices of staple cereals like wheat and rice are substantially lower