Impact of mining on agricultural productivity: A case study of the Indian State of Orissa

Abstract

This article attempts to analyze agricultural productivity in a coal mining region of Orissa. Our analysis focuses on paddy production, as this is the main produce in the study region. Fisher and Tornqvist indices are used to analyze the study. A number of t-tests are performed to examine whether the Total Factor Productivity (TFP) pattern in mining villages is different from that in the control villages. Our analysis provides evidence that there is loss in agricultural productivity due to mining activities. Apart from this, we observe a shift in livelihood from agriculture to mining related work. This social change is an indicator of rural development in the mining area, in spite of a reduction in agricultural productivity. © 2008 Sage Publications.