Nexus between Climate Change and Agricultural Production in Odisha, India: An ARDL Approach

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International Journal of Environment, Agriculture and Biotechnology Vol-6, Issue-2; Mar-Apr, 2021 Journal Home Page Available: https://ijeab.com/ Journal DOI: 10.22161/ijeab

Nexus between Climate Change and Agricultural Production in Odisha, India: An ARDL Approach Pratap Kumar Jena Assistant Professor of Economics, Maharaja Sriram Chandra Bhanjdeo University, Baripada, Odisha-757003, India Received: 19 Jan 2021; Received in revised form: 15 Mar 2021; Accepted: 03 Apr 2021; Available online: 23 Apr 2021 Β©2021 The Author(s). Published by Infogain Publication. This is an open access article under the CC BY license (https://creativecommons.org/licenses/by/4.0/).

Abstractβ€” Climate change is an emerging issue particularly in agricultural research as it is observed that the climate change has unfavorably distressed the agricultural production in different regions in India. Therefore, the present study has empirically examined the relationship between climate change and agricultural production in the selected districts of Odisha, India using a Panel Autoregressive Distributed Lag (PARDL) model over the period 1993 to 2019. The study found that the climate variables have adversely affected the crops production in the districts of Odisha. In order to minimize the impact of climate change on crops production in the state, there must have implementation of various policies and adaptive strategies by the government and farmers. Keywordsβ€” Climate change, crops production, economic impact, central revenue zone Odisha. I.

INTRODUCTION

Climate change is an emerging issue for policy makers, scientists and academic researchers across the regions, since the impact of climate change varies from regions to regions, and have positive impact in some regions and negative in some other regions (Ninan and Bedamatta, 2012; Al-Amin et al., 2013). The existing studies on climate change have found a modest impact of climate change on developed countries, whereas the developing countries have a negative impact of such change (Mendelsohn and Dinar, 2003; Ciscar et al., 2012). The regions, which are located in tropical and sub-tropical climate, have realized more negative impact of climate change than others as it affects more to drier regions. ((Parry et al., 2007; Kurukulasuriya and Mendelson, 2006). Empirical studies on the climate change and agricultural production have found a negative impact on developing countries, because the climate variables act directly along with input variables such as land, water, fertilizers & pesticides, etc. in agricultural production (Cline, 2007; Xie et al., 2019). Though, the agriculture production is one the major sources of livelihood in rural areas of developing regions, the policy makers and researchers have given more importance to the impact of ISSN: 2456-1878 https://dx.doi.org/10.22161/ijeab.62.15

climate change on agricultural production in rural areas. The present study has intended to empirically examine the nexus between climate change and agricultural production in Odisha, India. Odisha is one of the poor and backward states situated in the East-Cost of India and in a climatic tropical zone, where we observe high temperature along with high humidity. The state economy and people’s livelihood have extensively depend on agricultural & its allied activities (Hoda et al., 2017). Since three/four decades, the agricultural production of the state has been highly affected by various climatic issues like; floods, droughts, storm, cyclones etc. (Rao et al., 2016). The agricultural production and yield have been declined over the years and stand as a major problem to food security in the state (Reddy, 2012). The state Odisha has been continuously influenced by different natural calamities such as cyclones, floods, or shortage of rainfall, etc, which badly hit the agricultural growth rate and livelihood of farmers. Therefore, the present study has made an attempt to examine the nexus between climate change and agricultural production in Odisha using an autoregressive Distributed Lag (ARDL) model. The rest of the paper is organized as follows; section-2 provides the review of literature. Section-3 describes study variables and

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