Document of

The World Bank

FOR OFFICIAL USE ONLY FE COpy

Report No. 3297-IN

INDIA

STAFF APPRAISAL REPORT

TAMIL NADU EXTENSION PROJECT

March 25, 1981

Education and Agricultural Institutions DivisionSouth Asia Projects Department

This document has a restricted distribution and may be used by recipients only in the performance oftheir official duties. Its contents may not otherwise be disclosed without World Bank authorization.

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CURRENCY EQUIVALENTS

US$1.00 = Rupess (Rs 8.0

WEIGHTS AND MEASURES

Metric System

ABBREVIATIONS

AAO - Assistant Agricultural OfficerAO - Agricultural OfficerADA - Additional Director of AgricultureADA - Assistant Director of AgricultureAEO - Agricultural Extension OfficerAPC - Agricultural Production CommissionerBDO - Block Development OfficerDDA - Deputy Director of AgricultureDEA - Department of Economic AffairsDOA - Directorate of AgricultureDOE - Directorate of Agricultural Extension (GOI)DOH - Directorate of HorticultureDRD - Directorate of Rural DevelopmentDTC - District Technical CommitteeDVAO - Divisional Agricultural OfficerDYAO - Deputy Agricultural OfficerGOI - Government of IndiaGOTN - Government of Tamil NaduHYV - High Yielding VarietiesICAR - Indian Council of Agricultural ResearchIRRI - International Rice Research InstituteJD - Joint Director of AgricultureTNAU - Tamil Nadu Agricultural UniversitySDAO - Subdivisional Agricultural OfficerSMS - Subject Matter SpecialistSWC - Scientific Workers ConferenceT&V - Training and Visit System of Agricultural ExtensionVEW - Village Extension Worker(s)VLW - Village Level Worker(s)

FOR OFFICIAL USE ONLY

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

Table of Contents

Page No.

I. BACKGROUND .................... 1A. Introduction ................................. I

Agriculture in India ......................... IAgricultural Extension ....................... 2Existing State Projects ...................... 3

B. The State of Tamil Nadu ...................... 6General Description .......................... 6Agriculture Structure ........................ 6Agricultural Production ...................... 6Agricultural Services in Tamil Nadu .......... 7Marketing .................................... 9

II. THE PROJECT ........................................ 10A. General Description ........................... 10B. Detailed Features ............................. 10

The Extension Methodology ..................... 10Incremental Staff Requirements .12Training .13Housing .14Transport .14Equipment .14Operating Expenses .15Monitoring and Evaluation .15

III. COST ESTIMATES AND FINANCING . .15A. Cost Estimates .15B. Proposed Financing .16C. Procurement .17D. Disbursement and Audit .17

IV. ORGANIZATION AND MANAGEMENT ....................... 18Extension Service ................................. 18Input Supplies .................................... 19State Level Coordination .......................... 19Linkages between Extension and Research .... ....... 19Monitoring and Evaluation ......................... 21

V. BENEFITS, JUSTIFICATION AND RISKS .... ............. 22

VI. AGREEMENTS REACHED AND RECOMMENDATIONS ............. 23

This document has a restricted distribution and may be used by recipients only in the performance oftheir ofricial duties. Its contenst may not otherwise be disclosed without World Bank authorization.

Table of Contents (continued)

ANNEXES

1 - Table 1 Summary of Project CostsTable 2 Incremental Staff Salaries

Table 3 Civil Works

Table 4 Incremental Vehicles and EquipmentTable 5 Incremental Operating Costs

Table 6 Training CostsTable 7 Horticulture ExtensionTable 8 Horticulture Extension f

Table 9 Requirement of Extension Staff by Year

Table 10 Staff RequirementsTable 11 Requirement and Availability of Extension Staff

by Subdivision

2 - Training

3- Table I Implementation ScheduleTable 2 Estimated IDA Disbursements

4 Table 1 Economic AnalysisTable 2 Economic Price for Paddy

CHART - World Bank - 22284

MAP

IBRD 15429

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

I. BACKGROUND

A. Introduction

1.01 The proposed project would be the tenth in a series of IDA-assistedprojects designed to reorganize and strengthen agricultural extension inIndia. 1/ Under the project, the Government of Tamil Nadu (GOTN) would

reorganize its extension service to provide farmers, on a regular and system-atic basis, with up-to-date advice on farming practices best suited to theirspecific conditions and capable of having an immediate impact on production

and income. This would be achieved by strictly programmed visits from regu-

larly trained field staff, supported by professional advice from the Departmentof Agriculture (DOA) and from research. 2/ The project was prepared by GOTN

with assistance of staff of the Bank's Resident Mission in India. Appraisal

took place in October 1980. This report is based on the findings of theappraisal mission consisting of Messrs. C.P.R. Nottidge, R.J.G. Le Breton(IDA), T. Lohavisvapanich (FAO/CP), d.M. Mathur and G.R. Galgali (Consultants).

Agriculture in India

1.02 The area of India is 3.29 M km of which 55% is cultivable and

about 25% of net cultivated area irrigated. India's population of over 650 Mis growing at an annual rate of about 2%. National income has grown at about

3.5% per annum since 1950, and the per capita GNP reached US$190 in 1979.Although average per capita income has increased, in general, there has been

little change in the living standards of the vast mass of urban and ruralpoor, conservatively estimated at 300 M people with incomes below the povertyline of US$79 per capita per year. Thus, GOI's development plans give priorityto alleviating poverty and creating employment, especially in rural areas.

1/ The nine previous projects are described in the following appraisal

reports:

Assam Agricultural Development Project, Cr. 728-IN.West Bengal Agricultural Extension and Research Project, Cr. 690-IN.Rajasthan Agricultural Extension and Research Project, Cr. 737-IN.Madhya Pradesh Agricultural Extension and Research Project, Cr. 712-IN.Bihar Agricultural Extension and Research Project, Cr. 761-IN.Orissa Agricultural Development Project, Cr. 682-IN.Composite Agricultural Extension and Research Project (Haryana,Gujarat and Karnataka), Cr. 862-IN.

Kerala Agricultural Extension Project, Cr. 1028-IN.

Maharashtra Agricultural Extension Project (Appraised in October 1980)2/ The main principles of the proposed extension reform are described in

Agricultural Extension: The Training and Visit System (World Bank, 1977).

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1.03 Agriculture is the dominant sector of the Indian economy and contri-butes about 40% of GNP. It engages about 70% of the labor force and providesthe base for about 60% of India's exports. During the last decade, GO! develop-ment plans have emphasized agriculture and sought to raise foodgrain productionby increasing the use of irrigation, fertilizers, plant protection chemicals,and seeds of improved varieties. In support of this, GOI has modernized andexpanded its agricultural credit institutions and accelerated the developmentof irrigation. More recently, increased attention has been givei- to the estab-lishment of improved extension services and upgrading the research capabilitiesneeded to support this extension effort.

1.04 These efforts appear to be bringing significant results. Over thepast decade foodgrain production has grown at about 2.75% p.a., sufficient tomeet consumer demand, eliminate imports (which had averaged nearly 5 milliontons per year for the 15 years preceeding 1976) and lower real foodgrain pricesto consumers. At the same time India was able to build up sufficient bufferstocks of rice and wheat to cope with the 1979/80 drought with comparative ease,and to export about 0.5-0.6 million tons of rice in 1980/81. While these devel-opments are very encouraging, great efforts will be required to maintain thispace. Moreover, per capita production of a number of other important crops,including cotton and oilseeds, has fallen during the period. Furthermore, India'sagriculture is particularly susceptible to the vagaries of weather and foodgrainproduction can vary as much as 20% between successive years. Although expansionof irrigation facilities to reduce this variation remains a priority, GOI recog-nizes that the bulk of India's cropped area and over half of its farmers, cannot,in the foreseeable future, benefit from water-intensive agricultural technologies.Moreover, although much appropriate research is available, yields under rainfedconditions have shown little or no improvement over this period-- a fact whichprompts this project's emphasis on rainfed as well as irrigated farming.

Agricultural extension

1.05 State Governments have direct responsibility for agricultural exten-sion; they operate through their Departments of Agriculture (DOA), generallywith the cooperation of other state departments, including Community Develop-ment. While organization varies between states, in states where extension ser-vices have not been reorganized through the type of project appraised in thisreport, the extension service is generally headed by the Director of Agriculturewho reports to the Secretary of Agriculture. He is assisted by staff located atstate, zonal and district levels. The Collector (the senior representative ofthe civil administration at the district level) coordinates activities betweenthe various agencies of government, with the District Agricultural Officer (DAO)representing DOA. Below the district level, Agricultural Extension Officers(AEO) generally report on routine matters to the Block Development Officer (BDO),an official of the state Community Development Department. In some states,locally elected councils (panchayats) also play a role and the BDO are respon-sible to these bodies. Given the multitude of local activities and lack ofdirect administrative control by DOA, AEO are often diverted to non-agriculturalactivities. The village level worker (VLW), a multipurpose worker and generallyan employee of the Community Development Department, is supposed to spend 75-80%of his time on agricultural extension under the direction of the AEO. However,the VLW is administratively responsible to the BDO and the lack of a well-definedagricultural program, combined with the demands of his other activities, generallyresult in his spending very little time on agricultural extension. The same isgenerally true of the AEO. What little extension work is done is neither plannedsystematically, nor supervised adequately.

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1.06 Over the years, dissatisfaction with the effectiveness of themulti-purpose worker for increasing agricultural production has led to thedevelopment of a variety of special programs focusing on particular crops,areas, or techniques. Staff employed under these schemes are usually underthe administrative control of various subject matter departments of DOA.In a given state, such schemes usually cover only a few districts and onlypart (e.g., one crop) of the farmers' operations. These schemes have tendedto dissipate extension efforts in many uncoordinated directions and divertattention and resources from the need to reform the main line extensionagency.

1.07 In addition to the organizational problems mentioned above, theextension service often suffers from inadequate and outdated staff training.There are usually too few staff to cover the farming community adequately andthey lack sufficient mobility to reach farmers systematically and regularly.Furthermore, government-owned housing is scarce and rented accommodation hardto come by in rural areas where extension workers need to be based. Linkageswith research have been tenuous and irregular. All these factors have hamperedeffective extension work. They have resulted in a general stagnation in agri-cultural production, with most extension personnel having low status, low payand poor morale.

1.08 With yields in irrigated and rainfed areas remaining at levels wellbelow potential, GOI has become increasingly concerned with improving agricul-tural extension. A new system of extension--the Training and Visit System(T&V)--based on frequent and regular farm visits by full-time, and adequatelytrained extension personnel was developed in 1974 with IDA assistance. Underthis approach, a substantial portion of the multipurpose VEW is transferredfrom Community Development Departments to DOA to work exclusively on agricul-tural extension. The results from the Chambal Irrigation Project in Rajasthan,1/where the system has been in operation since 1974, were so encouraging that theapproach has been subsequently adopted in ten states under projects discussedbelow.

Existing State Extension Project

1.09 The Rajasthan Agricultural Extension and Research Project (Cr. 737-IN, US$13 M, effective in February 1978), was an outgrowth of the favorableresults obtained with the new approach to agricultural extension pioneeredunder the Chambal Command Area Development Project (Cr. 562-IN, effectiveSeptember 1975) and the Rajasthan Canal Command Area Development Project(Cr. 502-IN, effective December 1974). The Government of Rajasthan is pre-sently reorganizing and strengthening extension and supporting adaptiveresearch to serve 2.9 M of the state's 3.7 M farm families in 17 districtswhere an immediate potential for improving agricultural production exists.Project implementation has picked up rapidly. Farmers have responded favor-ably to the system, and adopted new practices like seed treatment, basaldressing with fertilizers, and intercropping with kharif pulses which havehelped them to grow a good crop even under drought conditions. There is nowa need for more intensive work by researchers to develop more sophisticated

1/ This covered about 84,000 farm families and 360,000 ha of which abouttwo-thirds is irrigated.

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technological packages since farmers have developed confidence in the exten-sion staff and are highly receptive to new techniques and skills.

1.10 As a result of experience with improved extension activities in theChambal Irrigation Command Area, Madhya Pradesh requested IDA assistance inextending the reorganization of agricultural extension services to cover bothirrigated and rainfed areas in 15 of 45 districts in the state (Cr. 712-IN,for US$10 M, effective September 1977). Progress was good in the early stagesof the project, but slowed down later due to frequent changes in projectmanagement. The major problems noted by the various early supervision missionswere staff shortages, slow construction of buildings and houses, inadequateliaison between research and extension organizations and slow implementationof the T&V system, although district phasing had proceeded as planned. Despitethis, there has been considerable improvement during the past year and almostall posts have now been filled. Having overcome cumbersome bureaucratic ten-dering procedures, the building program is now gaining momentum. Liaisonbetween research and extension has been well established resulting in a sub-stantial involvement of research workers in training extension staff and withgreater emphasis being given to resolving farm related problems within theoverall research program. At a recent survey, 75% of contact farmers wereaware of the day of visit of the VEW and almost all could identify him by name.About 81% of contact farmers have adopted at least one of the recommendedpractices.

1.11 In project districts, there has been a 300% increase in the use ofclean and graded seed, a 35% increase in the planting of seed of improvedvarieties and a 28% increase in the use of seed dressings. Fertilizer use,both under rainfed and irrigated conditions, has increased by 66% over 1976/77levels (as compared to 48% in other districts of the state) and the use ofsoil testing facilities increased by 69%. In October 1980, IDA appraised aproject to extend the T&V system to cover all districts of the state.

1.12 Eastern India, including Assam, Bihar, Orissa and West Bengal, isthe country's "rice bowl." Despite its high potential, foodgrain yields arelow and production has barely kept pace with population growth. The stagna-tion of agricultural production has been partly due to the inability of theextension service to give meaningful advice to farmers; similarly, researchhas failed to focus on the majority need for simple, low cost means of improv-ing production. Orissa was the first state to reorganize its agriculturalextension service throughout the entire state (Cr. 682-IN, for US$20 M, effec-tive June 1977). Virtually all of the state's 3.4 M farmers are now coveredby the program and according to the most recent supervision mission, goodprogress has been made and farmers have responded well and have accepted,on a widespread basis, new practices for increasing production, e.g., intro-duction of mustard as a new crop, seed treatment, and use of manually operatedseed drills. In addition, the supervision mission has reported favorably onthe way extension messages are reaching even the remotest villages.

1.13 During the preparation and appraisal of the West Bengal AgriculturalDevelopment Project (Cr. 541-IN, effective August 1975), which supports minorirrigation development in a portion of the state, one of the major constraints

was identified as a lack of effective agricultural extension. Consequently,the project included a component to strengthen extension in six districtsalong the principles established in the Chambal and Rajasthan Canal Areas.The initial impact of extension reorganization was so favorable that the statedecided to expand the coverage. This was provided in Cr. 690-IN, for US$ 12 M,effective August 1977. Initially, the project was highly promising: 2,400multipurpose workers were transferred from the Community Development Departmentto the control of DOA and were trained in the dissemination of specific messagesfor farmers and, together with DOA technical staff, worked with farmers inidentifying and solving field problems. In the latter part of 1977, however,a new Government of West Bengal (GOWB) suspended its earlier decision to placethe Village Extension Worker (YEW) under the administrative control of DOApending a thorough review. This drastically reduced the ability of VEWs tovisit farmers regularly, and extension operations came to a virtual halt inmost of the state. GOWB has now re-established the single line of command,placing all extension staff under DOA, thus removing the major obstacle toproject implementation. Although recruitment and training of new VEW hasstarted, the tempo of work has not yet reached former levels due to an injunc-tion being brought against the Government by some staff transferred from theCommunity Development Department. The injunction was partly lifted in January1981 allowing newly recruited VEW to $tart field work.

1.14 Under the Assam Agricultural Development Project (Cr. 728-IN, forUS$8.0 M, effective September 1977), Assam became the third state in theeastern region to reorganize its extension service. The project now covers allof the approximately 1.9 M farm families in Assam's plains districts. In thefirst districts covered, improved farm practices such as transplanting ofpaddy, use of HYV paddy, increased area and higher yields of HYV wheat andincreased consumption of fertilizers resulted. In the more recently covereddistricts, the effects of extension work are already starting to be seen. -Unfortunately, in view of political unrest in Assam, it has not been possibleto supervise the project since November 1979.

1.15 Under the Bihar Agricultural Extension and Research Project (Cr.761-IN for US$8 M, effective May 1978), through a reorganization of existingstaff, some 9,000 VEW were to reach all of Bihar's 7.6 M farm families. However,very little progress has been made so far with the reorganization. Ihe postsof Director of Agriculture and Additional Director of Agriculture (Extension)remain vacant and the extension system is operating in only 5 of 31 districts.The persistent delay by the Government of Bihar in filling key posts andgeneral commitment to the project is of great concern. More recently, govern-ment has expressed renewed commitment to the project and some staff have beenappointed. IDA and GOI are following the situation closely. The state govern-ment has been alerted that unless significant progress is made by March 31,1981, IDA will have to reassess its involvement in the project.

1.16 The Composite Agricultural Extension Project (Cr. 862-IN for US$25 M)became effective in December 1979. Under this project, the governments ofGujarat, Haryana and Karnataka have undertaken the reorganization of extensionservices in their states. The project also includes strengthening of the capa-bility of the Directorate of Agricultural Extension of the Government of India(GOI) in order that it may assist all states in the implementation and opera-tion of the reorganized extension system. Extension activities are going wellin Haryana and Karnataka. In Gujarat, the quality of extension work is not

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uniform. While in some districts its impact is highly effective, in other

districts it has suffered from inadequate supervision by the State DOA. The

State Government has been urged to remedy the situation.

1.17 The most recent project, the Kerala Agricultural Extension Project

(Cr. 1028-IN for US$10 M) became effective in June 1980. Recently, there havebeen changes at the top administrative and political levels in agriculture with

the result project implementation has made little progress. A recent supervi-

sion mission discussed project proposals with the new officials and agreed on

a modified program for implementation. Field work has begun in three districts

and will start in the remaining districts in May, 1981

1.18 The beneficial results of the system are not being achieved with

equal success in all areas due to local problems. The decision to transfer

control of considerable numbers of multipurpose extension workers to the

Department of Agriculture and assign them to work exclusively on agriculture

requires a major political commitment and reorganizational efforts. It has

been difficult for some state governments to make this decision and maintain

it once made. In addition, the absence of timely financial sanctions, tardy

staff recruitment, and protracted procedures for acquisition of land have

sometimes slowed progress, although these problems have now been overcome in

most states. Encouraged by the impact which the Training and Visit system

of extension is having in areas where it has been successfully operating,

GOI is seeking to bring about similar reorganization throughout all states

in India. The GOI Directorate of Agricultural Extension (DOE) has taken the

initiative to help states overcome initial difficulties. Although these

projects are demanding in terms of IDA supervision, their great potential

for sustaitned increases in food production and improved incomes for the rural

sector justifies continued IDA participation.

B. The State of Tamil Nadu

General Description

1.19 Tamil Nadu, situated in the south of the Indian sub-continent,

occupies an area of about 130,000 km . Its estimated population of 46.8 M

million (1979) represents about 7% of the Indian total. The State's per

capita income in 1977/78 was Rs 1,036 compared to an all-India average of

Rs 1,189. About 60% of the working population is engaged in agriculture

which accounts for 43% of the State's GDP. The State is divided into 15

districts, subdivided into 151 taluks.

1.20 The State has two main geographical regions; first the coastalplain 50-100 km wide which runs from Madras to Cape Comorin and from the Bay

of Bengal to the Eastern Ghats (hills) with mainly sedimentary soils and an

average rainfall of about 1,200 mm. The second region being the central pla-

teau lying between the Eastern and Western Ghats with mainly red soils on

crystalline rock formations and with an average rainfall of about 800 mm.The Western Ghats are the watershed for the main rivers flowing into the Bay

of Bengal of which the Cauvery is the most important. There are three main

seasons; the SW monsoon from June to September (maximum month 100 mm of rain);

the NE monsoon from October to December with the heaviest rainfall (maximum

month 700 mm) and the dry season from January to May with little rain. Tem-

peratures range from 250C in January to 31.5 C in June.

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Agriculture Structure

1.21 The net sown area is about 6.3 M ha (48% of total area), whilea further 3.6 M ha (28% of total area) is classified as pasture, fallowor cultivable waste land. About 2.9 M ha (46% of net sown area) is irrigatedof which the most important source is tanks (38%) followed by canals (36%) andwells (26%).

1.22 Farm holdings in Tamil Nadu are small and often fragmented. Eightypercent of holdings are up to 2 ha in size (representing 36% of farm land),16% range between 2 and 6 ha (32% of farm land) with the balance of 4% (52%farm land) above 6 ha. There is a high proportion of tenant farmers who at

present have relatively limited rights and who generally are unable to mort-gage the lands they farm. A ceiling has been placed on individual land

ownership and operational farm units are often greater than statistics wouldimply because of divided ownership among many members of the same family.Nonetheless, the small size of farms is an important factor in the sta te'sagricultural economy.

Agricultural Production

1.23 Although paddy is the state's most important single crop (repre-senting about 36% of cropped area), rice production, which in 1977/78 amountedto 5.9 M tons, is barely adequate to meet local consumption demands and indrought years must be imported from other states. The remainder of the

cropped area is divided among cereals (27% of cropped area), oilseeds--mainly groundnuts (16%), pulses (6%), cotton (4%), sugarcane (2%), and avariety of other commercial and subsistence crops (9%). The total productionof cereals and pulses averaged 7.1 million tons over the three years to1977/78, while of the commercial crops, 1977/78 production of sugar (jaggery)was 1.02 M tons, cotton 686,000 tons and oilseeds 1,018,000 tons.

Agricultural Services in Tamil Nadu

1.24 Extension Services. At present, most field level extension workis carried out through several special crop schemes under the Directorateof Agriculture, notably for paddy, cotton, coconut, tobacco, sugarcane andpulses. These schemes were established in the early 1970s because GOTN foundthat the previous system, which relied entirely on multipurpose Village LevelWorkers (VLWs) under the control of the Directorate of Rural Development, couldnot carry out regular intensive extension work. While this approach made animpact in the limited areas of its operation, some problems have emerged:

(a) the coverage per unit is limited. Thus, given the availablestaff, only a relatively small proportion of the state'sfarmers (about 10%) could be reached;

(b) frequent regular training was not a feature of the system;

(c) separate staff for different crops led to duplication ofefforts by the agricultural department and high operatingcosts;

(d) farmers, who normally grow a variety of crops, had toconsult several different sources for advice;

(e) the number of "units" in a district grew too large to beeffectively supervised by District staff;

(f) extension staff at the units lacked mobility, became office-bound due to growing paper work and became input supplyagents, rather than agents of technological change; and

(g) there was no regular systematic contact between the exten-sion staff and the farmers.

In addition, the Directorates of Horticulture and Oil Seeds (recently formed)provide advice to farmers, the former department being solely responsible forall agricultural extension activities in Nilgiris District where tea, coffee,deciduous fruits, spices and vegetable crops constitute the main crops grown.During the past decade, much emphasis has been laid by the Directorate ofAgriculture on the introduction of high yielding varieties, developing andadvocating packages of agricultural practices and increasing the use of fertil-izers, plant protection chemicals, weedicides and mechanized land preparation.More recently, the emphasis on increased production shifted to the area approach,wherein intensive farming practices were introduced for the specific needs ofeach of the agroclimatic zones, e.g., Drought Prone Area Program, IntegratedDryland Area Development Program, Intensive Agricultural Development Programand the Intensive Agricultural Area Program. Despite these efforts, the annualgrowth in food grain production over the last 10 years has been less than 5%and that of commercial crops has widely fluctuated with seasonal conditions.

Moreover, yields from rainfed crops are still a cause for concern althoughproduction could be increased considerably through the adoption of improvedhusbandry practices.

1.25 Training. The Tamil Nadu Agricultural University (TNAU), establishedin 1971 at Coimbatore and employing some 1,500 staff, is the primary agricul-tural training institution in the state. In 1979, it awarded 331 B.Scs, 128M.Scs and 22 Ph.Ds in agriculture and allied fields. TNAU's Extension Wingprovides in-service training to extension service staff at its main campus andat research stations. The Directorate of Agriculture is represented on the Exten-sion Education Council chaired by the Vice Chancellor of TNAU, which meets todevelop training programs as required. There are also two training centerscurrently operating in the state, one in Coimbatore district, and the other inMadurai District, with a total capacity for training of about 140 students.At present, these centers are used primarily to train multipurpose AssistantAgricultural Officers/Demonstrators and who are generally employed on specialcrop development schemes. The State Agricultural Institute at Kudumiamalaitrains farmers and departmental staff and has facilities for training in useof agricultural machinery.

1.26 Research. Responsibility for agricultural research in Tamil Nadurests primarily with the Directorate of Agriculture and is conducted on its25 research stations located throughout the state. The main areas of workare in the paddy, coconut, groundnut, cotton and sugarcane crops. Researchis largely concentrated on the stations, although limited work is done on

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farmers' fields in a few villages surrounding the various research stations.In addition, TNAU carries out research including research into horticulturalcrops, farm machinery, food processing and livestock. Research is undertakenon farms located at the two main campuses at Coimbatore and Madurai and at10 outreach stations and subcenters. Government has decided that full respon-sibility for agricultural research will be transferred to TNAU (including thetransfer of the research stations), once agreement can be veached on terms andconditions of services for DOA staff working in research who wo_ld also betransferred. DOA is also represented on TNAU's research advisory committee.These formal relationships are supplemented by numerous informal contacts.The working relationships between DOA and TNAU are good and productive.

1.27 Credit. The cooperative apex institution for short and medium-termagricultural credit is the Tamil Nadu State Cooperative Bank which works through16 District Cooperative Central Banks and about 4,800 village agriculturalcredit societies located at the District and Village levels, respectively.Long-term credit is provided by the Tamil Nadu Central Land Mortgage Bankthrough Primary Land Mortgage Banks. Commercial Banks also provide Et growingvolume of credit to agriculture. Due to a reluctance in farmers to repaypast loans, seasonal advances, over the past two years have declined substan-tially. However, the amounts of fertilizers and pesticides sold have notdeclined as farmers have resorted to cash purchase of their needs.

1.28 Input Supplies. Tamil Nadu, one of the more highly developed statesin India and with a good transportation network, is well served by its inputsupply system. For fertilizer, there are over 13,700 selling points, aboutevenly divided between public sector cooperatives and private dealers. Fewfarmers have to travel more than 3 km for their fertilizer supplies. Plantprotection chemicals are sold from about 8,000 outlets. DOA is directlyinvolved in the production of seeds and the production and distribution ofplanting material of tree crops. HYV paddy foundation seed is multiplied onDOA farms; nucleus seed being supplied by TNAU. Registered growers multiplyfoundation seed to produce certified seed. DOA staff carry out field inspec-tions and quality control tests while distribution to farmers is from DOAdepot and seed stores located at Panchayat Unions.

Marketing

1.29 Under the Tamil Nadu Agricultural Produce Market Act (1959), regu-lated markets have been established throughout the state for the sale of mostagricultural produce. At each of the 230 markets, farmers' produce is auctioned,officially weighed and immediate cash payment made for produce bought. Dailyinformation is given to growers on prevailing prices, demand and amounts ofindividual crops being delivered. In addition to private buyers, the TamilNadu Civil Supplies Corporation purchases paddy at prices established byGovernment.

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II. THE PROJECT

A. General Description

2.01 The five year project seeks to achieve early and sustained increasesin agricultural production throughout Tamil Nadu's 15 districts through thereorganization and strengthening of the extension services of DOA and theDirectorate of Horticulture (Nilgiris District only). The project would supportthis reorganization by

- establishing a single line of command between full-timevillage extension workers (VEW) and extension headquarters;

- consolidating staff from the special crop schemes of DOA into asingle unified service;

- incorporating regular in-service training as an integralpart of extension activities;

- improving the working linkages between extension operationsand agricultural research activities;

- developing regular monitoring and evaluation procedures; and

- providing the additional staff, operating expenses, equipment,vehicles, training facilities, and rural housing requiredto implement these reforms.

introduction of the reorganized extension service would be phased over atwo year period, with eight districts (including Nilgiris District) beingcovered in the first year and seven in the second year.

B. Detailed Features

The Extension Methodology

2.02 Under the project, Tamil Nadu's agricultural extension service wouldbe reorganized and intensified throughout the state, following the T&V patternadopted in other Indian states over the past three to four years. The projectwould systematically and regularly provide farmers with up-to-date advice onfarming practices best suited to their specific conditions and emphasizing provenpractices. This would be brought about by organizing extension field staff sothat they visit farmers regularly and receive systematic training and technicalsupport from DOA and from research institutions. Each Village Extension Worker(VEW) drawn from the cadres of Assistant Agricultural Officers and DemonstrationAssistants, would be assigned to work with a number of farm families. Thenumber would vary depending on local conditions, population density, croppingintensity and accessibility. In most parts of Tamil Nadu, road communicationsare good, and this would permit an average farm family: VEW ratio of 800:1.However, available statistics probably understate the number of farm familiesin Tamil Nadu as the current estimate of 3.81 M effective farm families is

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based on figures derived from the 1971 population census. In any event, theactual number of effective operating families will vary from around 600 insparsely-populated areas to about 1,500 in a few densely-settled coastal areaswhere coconut is virtually the only crop and communications are good. Contin-gency provision is made in project costs to provide for 300 additional VEW, ifin the course of project implementation, GOTN and IDA determine that more inten-sive coverage by VEW is warranted. As assurance was obtained during negotiationsthat GOTN and IDA would review progress of project implementation by March 31,1983 to determine if the number of field staff (VEW) should be increased.

2.03 To reach his farmers systematically, the VEW would divide them intoeight smaller groups each of about 100-150. He would visit each group regularlyon a fixed day of the week in a two-week cycle. During his visit, the VEWconcentrates his efforts on about 10 contact farmers selected from each group,involving as many other farmers as possible. By the concrete results heachieves with contact farmers, the VEW can spread his recommendations moreeffectively to all farmers. During each visit the VEW would concentrate hisefforts on only a few strategically-selected recommendations relevant for thatparticular phase in the crop cycle. Initially, the emphasis would be on lowcost improvements which the majority of farmers can afford. The VEW would besupervised and helped in his work by an Agricultural Officer/Deputy AgriculturalOfficer (DYAO), the former would usually hold a B.Sc. degree in agriculture. OneDYAO would normally be responsible for about six to eight VEW and would spend atleast four days a week visiting them in the field. Once in each two-week periodVEW would receive a full day of intensive training in recommendations for thatperiod. Thus, every two weeks VEW would spend eight days in visiting each of hiseight groups and one day in training. One day might be spent by the DYAO meetingtogether with all his VEW in the field or at headquarters to review progress andidentify topics to be raised at the next training session. The remaining workingdays in the two-week cycle would be devoted to trials on farmers' fields, makingup missed visits and occasional, but limited office work.

2.04 To provide regular training, continuous technical guidance andsupervision of field work, between six and eleven agricultural subdivisionswould be established in each district under the charge of a DivisionalAgricultural Officer (DVAO), who would have full time responsibility forsupervising 6-10 DYAO in his areas and ensuring effective extension opera-tions. A subdivision would comprise one or a number of taluks. The DVAO wouldhave a technical staff of three Subject Matter Specialists (SMS) (one each inagronomy of field crops, plant protection, and training/communications). SMSwould spend one-third of their time in training groups of VEW once each fort-night (para 2.06), one-third of their time in field visits providing technicalsupport and guidance to VEW, and one-third of their time in building theirown stock of knowledge through a regular dialogue with research workers, carry-ing out simple field trials in farmers' fields, and attending short trainingcourses. At the district level, a team of three SMS (generally in the samespecialities as at the subdivisional level) would be established to providegreater depth of support to SMS teams at the subdivisional level and/or tocover specializations not covered by those at the subdivision. They wouldalso divide their work between teaching, field visits and gathering knowledge.The Joint Director (JD) in charge of the District will have direct responsi-bility for extension operations throughout his District. To free the JD for

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frequent field visits so necessary to review extension operations effectively,one Deputy Director of Agriculture would take over responsibility for reportingon scheme implementation, attending coordination meetings at district level,regulatory functions, and input supply arrangements. Staff at DOA headquarterswould also be strengthened to provide more effective support to field operations(para 4.02).

Incremental Staff Requirements

2.05 Staff required to implement this reform would be met by redeployingstaff already with DOA and DOH, transferring staff from Directorate of RuralDevelopment and hiring new staff. Detailed breakdown of staff requirement andavailability by year, district and subdivision are given in Annex 1, Tables 8and 9. The table below summarizes staff available and required by category.Assurances were obtained that GOTN would fill incremental staff positions accord-ing to or earlier than the schedule shown in Annex 1, Tables 2, 7 and 9. As thetables indicate, some 4,777 VEW are required. This requirement would be met byredeploying about 1,090 Assistant Agricultural Officers (AAOs) and 1,214 Demon-stration Assistants already with the DOA and now utilized for special crop andarea schemes, merging them with 1,122 VLW, to be transferred from the Directorateof Rural Development (DRD) and hiring about 1,351 new recruits. As a conditionof invitation to negotiations, GOTN has issued a government order transferring513 VLW positions from the DRD to DOA.

Extension Staff Requirements - DOA

Total Number IncrementalRequired Available Requirement

VEW 4,777 3,426 1,351DYAO 645 467 178SMS (SUBDIV) 297 201 96DVAO 99 60 39SMS (DIST) 57 13 44DYAO (TECH) 57 55 2JD 14 2 12SMS (HQ) 7 7 0DYAO (HQ) 2 0 2Asst. DA (HQ) 1 0 1ADA (EXTN) 1 1 0

New posts would have to be created and filled by GOTN for 1,351 VEW, 178 DYAO,96 subdivisional SMS, 39 SDAO, 44 District SMS and 12 JD. New VEW posts wouldbe filled by promoting Demonstration Assistants or by direct hiring of thosepassing out from the state training institutions (para 2.07). The outturn fromTNAU is sufficient to meet the need for graduates. Additional staff (1 DDA, 4SMS, 5 DYAO and 40 VEW together with the necessary support staff) would alsobe recruited for the Horticultural Directorate (Annex 1, Table 7). The extensionservice would be directed in its day-to-day operations by a full-time AdditionalDirector of Agriculture who would work exclusively on this job. Assurances were

1/ In Tamil Nadu VEW are known as AAO and the AEO as AO/DYAO. DVAO is generallyof the rank of Asst. Director of Agriculture.

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obtained that the VEW would be used exclusively for agricultural extension and thattheir emolument would not be adversely affected as a result of the reorganization.

Training

2.06 The project would support a variety of in-service trainingprograms for extension staff. The most important of these are outlinedin Annex 2. Central to the entire extension support and an integralpart of it is the fortnightly training session during which VEW would betrained in groups of about 30 by subdivisional SMS, assisted by the DYAOand drawing on the district SMS as well as specialists from nearby researchstations. The entire training effort would be focused on making these fort-nightly sessions as effective as possible. Training would be practical andconcentrate only on the few specific recommendations relevant to farmingoperations in the coming fortnight. Ample time would be provided for VEWs,to carry out the recommendations and to practice how they would convincefarmers to adopt them. They would also have an opportunity to raise anddiscuss problems encountered in the past two weeks. On alternate weeks VEWswould meet with their DYAOs to review progress. Other inservice trainingcourses for VEW include a pre-season workshop/training session for each majorseason and about one special short course per year on a particular technicaltopic.

2.07 Newly recruited VEW would have generally received two years trainingat one of two institutions located in Madurai and Coimbatore districts. Theaverage intake at each institution is from 40-70 and with a total output of 80-140 annually. Currently, there are more than 800 persons from these institutesregistered at employment exchanges throughout Tamil Nadu. These, together withpromotions from the Demonstration Assistant cadres and the anticipated numberqualifying from Sri Ramakrishna Vidyalaya and Ghandigram Rural Institute would besufficient to fill new posts created during the first three years_of the projectand fill vacancies arising from retirement, transfer, etc. In addition, in-servicetraining (three month period) and refresher training (two month period) wouldbe given at the State Agricultural Institute to those Demonstration Assistantspromoted to VEW and who had received their training some while before theirpromotion.

2.08 Higher level staff would require a range of training programs aswell. Each month DVAO would meet with SMS and DYAO for a one day trainingand planning session during which the main points of emphasis and scheduleof activities for the coming two fortnights would be determined. Beforeeach season, training sessions would be held at the district level for DVAOs.Also, before each season there would be a workshop at the zonal researchstation attended by JD, DVAO and SMS. During this session research workersat the zonal station together with DOA staff would review the previous sea-son's research results, specify recommendations and plan the coming season'sresearch and field trials programs (paras 4.05-4.11). While the fortnightly,monthly and orientation training of VEW and DYAO by SMS would be a major fea-ture of the project, additional and more specialized training would be impartedto various categories of extension staff. This more specialized training(details are in Annex 2) would be conducted at the State Agricultural Institute,located at Kudumiamalai and which would be enlarged and improved under theproject.

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2.09 Improving the training of SMS is crucial to the success of theproject. One primary vehicle for this would be a monthly workshop held atthe research station designated in each main agro-climatic zone for thispurpose. The workshop would be attended by all SMS in the zone together withTNAU, DOA and DOH staff and headquarters SMS. The main objective is to reviewresults achieved, modify recommendations as necessary to suit prevailingfield conditions, review findings and progress of field trials and developsuggestions for future research topics and field trials. In addition, specialshort-term practical courses in production technology and extension methodswould be organized for SMS both at TNAU and at all-India institutions. Alimited number of scholarships at TNAU would be provided for DOA staff whoperform well. Before the introduction of the extension system in a givendistrict, an orientation course of about three to four days duration would beorganized by senior DOA staff. This would explain the new system and itsprocedures in detail, assist district staff in designating geographic areasof responsibility for VEWs, demonstrate by example how contact farmers shouldbe selected, and outline major initial impact points. Further details aregiven in Annex 1, Table 6.

Housing

2.10 Under the reorganized extension service, extension workers would berequired to make regular and frequent visits to their farmers' groups. Conse-quently, it is necessary for them to live in or near their areas of work.At negotiation GOTN provided assurances that VEW and DYAO would live in ornear the areas assigned to them. Since housing is difficult to find in someareas of Tamil Nadu and as a result of a preliminary survey, the project wouldprovide housing for about 20% of VEW and DYAO (1,750 houses). An assurance wasobtained that GOTN would furnish to IDA, at regular intervals (through DOE),information on progress in locating sites for housing to be financed under thecredit. Details are given in Annex 1, Table 3.

Transport

2.11 Effective extension requires a high degree of mobility both to enablefield level staff to meet farmers regularly and to enable technical and super-visory staff to make frequent personal visits in order to provide the directguidance needed. The entire system thus depends on a high degree of personalcontact between all levels of the extension hierarchy. To facilitate this, theproject would provide various modes of transport for different levels of staff,one car for each JD and one 4 wheel drive vehicle or van for each district levelSMS and DVAO. VEW would be provided loans on attractive terms to purchase bicy-cles. Similar loans would be provided to DYAO and SMS to purchase scooters ormotorcycles. Assurances were obtained from GOTN that loan terms and conditions andtravel all mileage allowances would be sufficient to ensure the purchase and useof these vehicles. The project would also provide four-wheel drive vehiclesat subdivisional and district levels, and a limited number of sedans atdistrict and headquarters levels. Details are given in Annex 1, Table 4.

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Equipment

2.12 The project would provide simple dependable audio-visual equipmentto support the training sessions and to enhance field operations. Emphasiswould be on low-cost, simple aids such as charts and flipcharts which exten-sion staff can design themselves and modify to fit local conditions. TheInformation wing of DOA would assist the extension service by using its existingprinting and photographic equipment supplemented by equipment provided under theproject. Furniture and office quipment would also provided as necessary.Details are given in Annex 1, Table 4.

Operating Expenses

2.13 DOA's operating expenses would increase with the implementation ofthis project. Of particular importance would be the availability of funds andmaterials for printing diaries, field note books, charts and instructionalmaterials, materials for practical demonstrations at training sessions, seedsand other inputs for field trials and materials for preparing simple visualaids. Adequate funds would also be provided for incremental vehicle operatingcosts and travel allowances. Further details are given in Annex 1, Table 5.

Monitoring and Evaluation

2.14 The project would provide for the establishment and operation of amonitoring and evaluation system specifically designed to provide project man-agement with current information on the effectiveness of the extension system.The methodology used would be similar to that described in World Bank StaffWorking Paper No. 272 "A System of Monitoring and Evaluation AgriculturalExtension Projects." This system would supplement direct personal supervisionby each level of project management (paras 4.01 and 4.02). Details of staffingare given in Annex 1, Tables 2, and 9-11. Assurances were obtained thatGOTN would undertake monitoring and evaluation in a form acceptable to IDA andthat results would be forwarded (through DOE) to the Association at least oncea year.

III. COST ESTIMATES AND FINANCING

A. Cost Estimates

3.01 Detailed cost estimates inclusive of taxes and duties and based onincremental costs for carrying out the project over a five year period aregiven in Annex 1, Tables 1 to 8. The following table summarizes the costs:

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Rs M US$ M/a% Foreign

Category Local Foreign Total Local Foreign Total Exchange

Incremental Staff Costs 115.9 - 115.9 14.5 - 14.5Civil Works 76.5 - 76.5 9.6 - 9.6Equipment & Vehicles 21.3 10.0 31.3 2.7 1.2 3.9 32Training 22.4 1.9 24.3 2.8 0.2 3.0 8Incremental OperatingCosts 25.3 13.0 38.3 3.1 1.6 4.7 34

Total Base Cost 261.4 24.9 286.3 32.7 3.0 35.7

Physical Contingencies 10.6 1.1 11.7 1.3 0.2 1.5Price Contingencies 60.8 6.0 66.8 7.6 0.8 8.4

TOTAL PROJECT COST 332.8 32.0 364.8 41.6 4.0 45.6 9

/a Converted at the rate of Rs 8.0 = US$1.0.

These costs include about US$5.9 M in duties and taxes and an estimatedUS$ 4.OM in foreign costs. Physical contingencies of 5% have been applied tocivil works, equipment, training, and operating costs and to meet the possibleneed of 300 VEW (para 2.02) to readjust the farm families:VEW ratio. Pricecontingencies have been applied in accordance with current Bank estimatesof expected inflation rates in India (1980: 10%, 1981-83: 7% per annum; 1984and onwards: 5%) and compounded accordingly.

B. Proposed Financing

3.02 Finance to cover project costs of Rs 318 M (US$39.7 M), includingcontingencies, but net of taxes and duties would be provided as follows:

AmountSource US$ Million Percentage

IDA 28.0 70.0GOTN/GOI 11.7 30.0

Total 39.7 100.0

The proposed IDA Credit of US$28.0 M would be to GOI on standard terms andconditions and would finance about 70% of project costs, net of taxes andduties, but including estimated foreign exchange costs of US$4.0 M. IDA fundswould be channeled through GOI to GOTN in accordance with GOI standard arrange-ments for IDA assisted state development projects. The balance of projectfinancing, beyond IDA financing, would come from state government sources andGOI. GOTN has made adequate budgetary provision for the operation of thefirst project year.

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C. Procurement

3.03 The main items to be financed are: vehicles including cycles andmotorcycles; equipment; houses for VEW and DYAO; training; project monitoring;incremental staff; and incremental operating costs. Civil work contracts(US$9.6 M), for 1,750 houses, would be small and dispersed, both geographic-ally and over time; therefore, they would not be satisfactory for internationalcompetitive bidding. Contracts would be awarded on the basis of competitivebidding following local advertisement. There are numerous qualified localcontractors to carry out such work. Arrangements for preparing tenders andoverseeing construction were discussed during negotiations. All contractsfor civil works, equipment and furniture estimated to cost $100,000 or morewould be reviewed by IDA both before bids are invited and contracts awarded.

3.04 153 motor vehicles (US$1.3 M) of various types would be requiredunder the project. They would be purchased in small quantities overtwoyears and would be widely dispersed in rural areas. As adequate maintenanceand availability of spare parts would be of paramount importance, thi� wouldnecessitate purchase of locally made vehicles of types already used by govern-ment departments. Thus, procurement would be according to existing governmentprocedures, which are satisfactory to IDA. Motorcycles and bicycles (US$0.8 M)would be purchased by individual staff from loans provided by the stategovernment and refinanced under the project.

3.05 Orders for purchase of minor equipment and furniture (US$1.8 N)would be bulked wherever possible and purchased according to established localbidding procedures, except where valued at less than US$50,000 when they wouldbe purchased by prudent shopping through normal trade channels. Assuranceson procurement procedures mentioned in paras 3.03-3.05 were obtained at nego-

tiations.

D. Disbursement and Audit

3.07 Disbursement under the Credit would extend over six years and wouldbe made against:

(a) 100% of cost of training;

(b) 80% of the cost of civil works, equipment and vehicles; and'4

(c) 25% of the total eligible staff costs. 1/ The percentageis calculated to bring total IDA disbursements to about 70%of the project cost.

3.08 Disbursement against expenditures for staff costs, training, locallyprocured vehicles and equipment costing Rs 150,000 or less, and payments under

1! Total extension staff costs eligible for partial disbursement would be thefollowing agricultural and horticultural staff: yEW, DVAO, DYAO, SMS, JD& ADA at village, subdivision, district and state levels and staff of themonitoring and evaluation unit.

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civil works contracts for one or more progress payment(s) not exceeding Rs 300,000under Item (b) above would be against certified statements of expenditures, thedocumentation for which would not be submitted to IDA for review but would beretained by GOTN and DOA. These documents would be available for inspection byIDA during the course of project review missions. Disbursement against all otheritems would be fully documented. Certificates of expenditures would be auditedby GOTN independent auditors once every year and a report submitted to IDA promptlythereafter. All disbursement applications would be forwarded and processed throughthe Department of Economic Affairs. Schedules of implementation and project dis-bursement are presented in Annex 3, Tablesll and 2.

3.09 Assurances were obtained that separate accounts would be kept ofexpenditures made under the project. These would be audited annually for eachfiscal year, in accordance with sound auditing principles consistently appliedand the audit report submitted to IDA as soon as available. In addition, cer-tified accounts would be submitted to IDA within nine months of the end of thefiscal year. Such reports and audits would show, intet alia, that the fundswithdrawn were used for the purpose intended that goods have been received oror work performed, and that payments have been made. All reports would besubmitted by GOTN to the Department of Economic Affairs for onward transmissionto IDA.

IV. ORGANIZATION AND MANAGEMENT

Extension Service

4.01 The project would introduce fundamental improvements in the organi-zation and management of extension operations in Tamil Nadu. By establishinga single line of control from extension headquarters to VEW (see chart forthe organizational pattern), field level staff become directly accountableto their supervisors both technically and administratively. Each would followa fixed schedule of visits to specific groups of farmers, which is known tofarmers. Each DYAO would supervise about 5-8 VEWs, spending at least four daysa week in the field assisting and guiding them. The DVAOs provided under theproject would each be responsible for ensuring that DYAO in their respectivesubdivisions are working effectively. To do this, DVAO would need to spendabout five days a week in the field, including attending fortnightly trainingsessions. SMS at the subdivision provide essential technical support as des-cribed in para 2.04. DVAO is directly responsible to the District JD. Normallya JD would have six DVAO in his charge. The Horticultural Directorate inNilgiris District, would establish a similar organization.

4.02 The DOA headquarters organization would be streamlined to provideeffective management and technical support to the extension service as a whole.While overall responsibility for general agricultural development in the staterests with the Secretary for Agricultural and the Directors of Agricultureand Horticulture, the ADA (Extension) would be responsible for the day-to-dayoperations and management of the extension service both technically and admin-istratively. Subject to the policy directions of the Secretary and Director of

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Agriculture, the Additional Director of Agriculture (Extension) would be respon-sible for training and management of extension personnel. He would visit the fieldfrequently to check on the effectiveness of extension operations. ADA (Extension)would have a technical support staff of seven SMS at headquareters (one each formain crops grown throughout the state, plant protection, adaptive research andtraining, and water management). These SMS would be responsible for improvingthe technical quality of the extension service in their areas of specialization.They would help promote linkages between extension SMS and research work beingcarried out in Tamil Nadu and elsewhere, develop and interpret field trials intheir areas of specialization, organize training programs and serve as a clearinghouse of technical information. ADA (Extension) would also be assisted by a smalladministrative and accounting staff to help keep records of project expenditures andprepare progress reports, etc. The Director of Horticulture would also be assistedby SMS and who would promote linkages between extension and research.

Input Supplies

4.03 Since extension staff at the lower levels will not be responsible forthe distribution of fertilizers and plant protection chemicals, it is proposedto keep these activities outside the purview of the extension service but withinthat of DOA. At district level JD will continue to coordinate requirementsbut at taluk and subdivisional levels, this activity will be catered for byseparate input staff (Divisional Agricultural Officer (Inputs) and DeputyAgricultural Officer (Inputs), respectively). As a separate seeds organizationis to be established responsible for all aspects of seed production and distri-bution, the above staff will liaise with their counterparts in that organization.The public sector network would supplement the already substantial network ofprivate and cooperative input supply points.

State Level Coordination

4.04 Coordination at State Level between extension, research and alliedagencies would be ensured through establishment of a Project CoordinationCommittee. The Committee would be chaired by the Secretary for Agricultureand would include the Vice Chancellor of TNAU, Directors of Agriculture andHorticulture,representatives of concerned government departments and otheragencies (Finance, Irrigation, Cooperation and input agencies). The AdditionalDirector of Agriculture (Extension) would act as Secretary to this Committee.The Committee would meet at least twice a year to review progress in projectimplementation and to resolve any problems that may arise. An assurance wasobtained that such a committee would be established and hold its first meetingbefore September 30, 1981

Linkages between Extension and Research

4.05 As neither research nor extension can function without close coopera-tion it would be necessary to formalize their responsibilities. A clear defi-nition of responsibilities is emerging wherein the Tamil Nadu AgriculturalUniversity would be made fully responsible for the development of suitable newtechnology, while the Directorate of Agriculture would assume responsibility fortransfer of technology to farmers, including widerspread testing of researchrecommendations on farmers' fields. This transfer of responsibility will takeplace once agreement is reached on the terms and conditions of staff transferredfrom DOA to TNAU and as a result it may be necessary to revise the formal link-ages between the extension service and research. The commodity research programs

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of TNAU and of ICAR would continue to identify and select improved varieties ofimportant crops, and also identify economically appropriate practices directedto substantially increasing crop production and, at the same time, lowering far-mers' risk. Selected varieties and production practices would then be tested atzonal research stations, seed farms, and on farmers' fields located in differentagroclimatic regions. TNAU staff would work closely with district and subdivi-sional extension staff, especially SMS, as much of the work at zonal stationswould be in response to the needs of local extension staff and farmers. Theextension staff would work with research workers in carrying out a program offield trials and analyzing and interpreting the results. Research workers wouldtake responsibility,on a monthly basis,for SMS training at the zonal level inorder to prepare them for the fortnightly training of VEW and AEO. GOTN andTNAU have reviewed arrangements for closer cooperation and these have been foundsatisfactory to the Association.

4.06 Strengthening of arrangements for close coordination between TNAUand DOA/ DOH would also be promoted through State and District level techni-cal committees (paras 4.07 and 4.08).

4.07 The State Technical Committee (STC). This Committee already existsas the Scientific Workers Conference (SWC). SWC comprise senior officers ofTNAU, DOH and DOA, meets twice every year and provides a formal mechanism forreview of university and DOA research and field trials, and reviews futureresearch programs and extension recommendations.

4.08 District Technical Committees (DTC). Until such time as the reorga-nization of research is complete (para 4.05), district level technical committeeswould be established. Each Committee would be chaired by the JD and compriserepresentatives of district field staff, SMS and regional agronomists of TNAUand farmers. The DTC would meet twice every year to review and formulate recom-mended agricultural practices, including the identification of research prioritiesand adaptive research needs, for transmission to the Scientific Workers Conference.Once the reorganization of research services is complete the organization of DTCmay be reviewed and altered, if necessary, to strengthen and improve the linkagesbetween extension and research but any such alteration would be satisfactory tothe Association and assurances to this effect were obtained at negotiations.In addition assurances were obtained that DTC, for those districts to be coveredin the first year of project implementation, would be established and hold theirfirst meeting by September 30, 1981. For districts to be covered in the secondyear of project implementation DTC would be established, and hold their firstmeeting, by September 30, 1982.

4.09 Zonal Workshops. Seasonal zonal workshops would be chaired by thesenior research scientist of TNAU and meet twice a year (before the kharif andrabi cropping seasons). The workshop would include representatives from TNAUand extension and research staff of DOA/DOH, and would discuss implicationsof various extension recommendations made by DTC and finalize them after con-sidering research data and field experience.

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4.10 The formulation of extension recommendations would be as under:

District Technical Committee Reviews adaptive research and trialsto propose recommendations, and

JD/SMS/Field Staff/Farmers/TNAU suggests field trial program, basedamong other things on findings of

% monthly zonal workshops.

Zonal Seasonal Workshop Assembles proposed recommendationsfrom DTC. Frames recommendations

TNAU/Extension Staff of Zone after consideration of research dataand economic constraints.

Scientific Workers Committee Reviews proposed recommendationsdeveloped by zonal workshops. Approves

Director of Research (TNAU) or suggests modifications beforeDirector of Extension (TNAU) returning to DTC for implementation.Directors of Agriculture & HorticultureADA (Extension)DOA/TNAU Research Workers

District Technical Committee Adopts or rejects modifications suggestedby STC. Formulates specific fortnightly

JD/SMS/Field Staff/Farmers/TNAU recommendations. These will form thebasis of fortnightly training sessionsafter suitable modifications by SMS atthe monthly zonal workshops.

Monthly Zonal Workshops Zonal workshops will modify recommenda-tions made at preseason training to

TNAU Research Staff/SMS/DVAO/JD suit prevailing field conditions, reviewfindings and progress of field trials,review training techniques and preparelesson plans for fortnightly training.

4.11 Training. TNAU and research workers from DOA would assist in provid-ing monthly training of SMS who are responsible for the fortnightly training ofVEW/DYAO in the districts. JD and DVAO also would participate. The durationof training will be one or two days. The training would serve the followingobjectives:

(a) To review field developments since previous training:(i) how extension recommendations were used in VEW training;(ii) problems in extending recommendations; and (iii) prob-lems posed by farmers in adopting them under normal andspecial situations like drought, epidemic attack of pest/diseases, and flood.

(b) To identify clearly the most important recommendationsthat should be made during the next two fortnights, keepingin mind past experience and field conditions.

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(c) Listing field problems posed by fgrmers and field staff

and discussing them; ensuring that such problems whichcannot be solved during discussions in the workshops aretaken up with TNAU for solution and further study.

Monitoring and Evaluation

4.12 A Joint Director of Agriculture at headquarters would have respon-sibility to the Director of Agriculture for monitoring and evaluation. Hewould be assisted by a statistician, one economist and other staff. Results of

the monitoring and evaluation unit would be reviewed each season by a committeecomprising the Secretary for Agriculture (Chairman), the Director of Agricultureand ADA (Extension). A benchmark survey would be carried out by the Directorate

of Evaluation and which would establish basic data against which the long termeffects of the project could be evaluated. Provision is included for subsequentsurveys if required and details of cost are given in Annex 1, Tables 5 and 6.

V. BENEFITS, JUSTIFICATION AND RISKS

5.01 Financial Implications. Total project costs over the five yeardevelopment period, excluding price contingencies,amount to US$37 M whichis US$ 5.9 per ha of cropped land or US$9.7 per farm family, assuming 3.8 Meffective farm families (based on figures derived from the 1971 census). In-

cremental recurring costs after the project development period to be metfrom State budget sources, would be about US$4.5 M per annum or US$1.2 perfarm family. Incremental costs would be partly recovered through marketlevies on agricultural produce entering commercial markets.

5.02 Economic Benefits. Attributing a precise level of benefits to thistype of project is difficult since it is not possible to determing what pro-portion of benefits are due to extension alone and what are due to additionalpurchased inputs and other factors. In practice, it is the combination of anumber of factors, with extension playing the role of catalyst, that bringsdesired benefits. It is also difficult to estimate acceptance rates of recom-mended practices. However, since the project relies primarily on reorganizationand strengthening of an existing extension structure the increment,al cost is

low per hectare and per farm family. Hence, even very small and slow productionincreases in the project area would generate a high rate of return. This projectwould be able to generate a 50% rate of return if, by 1988, yields of foodgrains(which cover 75% of cropped land area) increase by only 1.3%. Per hectareyields of paddy and millets would have to increase by 65 kg/ha and 22 kg/ha,respectively. Details are given in Annex 4. One significant feature of thesystem is that the practices initially stressed by the extension service focuson improving cultural practices (timely operations, good land preparation,proper seed rates, line sowing and weeding) to maintain adequate and healthyplant population over unit area cultivated; as these operations usually involvemore work and little cash outlay, they are particularly well-suited to theneeds of many small farmers.

/

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5.03 Project Risks. The transfer of multipurpose field workers and esta-

blishment of a single, unified professional extension service marks a major

departure from past practice in India. The fact that such a reform is underway

in large parts of the country reflects a willingness to develop an extension

system capable of serving all farmers well. Nevertheless, it is difficult for

governments to make and maintain such decisions. The main risk, therefore, is

that the state government would find it difficult to maintain a single line of

command from extension headquarters to the VEW who work exclusively on agricul-

ture. In this project these risks are relatively low because only about 25%

of field staff are to be transferred from another department. To reduce these

risks further, efforts were made during project preparation and appraisal to

ensure full understanding of the importance of this by the Tamil Nadu State

Government. In addition, an assurance was obtained that VEW would remain as

full time agricultural extension workers under the DOA and DOH throughout

the project period. Staff changes in the upper ranks of government are fre-quent and there is the additional risk of lack of sustained management. To

avoid this, it will be necessary for IDA to continue to supervise the projects

closely and frequently and provide constant encouragement and assistance to state

governments until the principles of the extension reform become fully accepted.

5.04 Experience has shown other risks to be minimal. Farmers responsive-

ness to recommendations has been generally excellent wherever visits are made

systematically. In addition, VEW have gained confidence in their own profes-

sional ability to introduce innovations. The ability of the service to

develop and disseminate recommendations leading to yield increases well above

the level needed for a 50% return has been demonstrated adequately. Initially,

in most situations, availability of suitable technology for different conditions

has not been a constraint as there is a backlog of research findings as yet

not widely adopted. Major yield increases are possible even in the process of

bringing the production level of average farmers to that of the best farmers.

To reduce the risk of technological constraints lowering anticipated project

benefits, the project supports programs of field testing of research results

and development of good working relationships with Tamil Nadu Agricultural

University. A separate project, National Agricultural Research Project (Credit

855-IN), is directed at strengthening research facilities at the Agricultural

University to ensure a continuous flow of recommendations adapted to specific

regional problems.

VI. AGREEMENTS REACHED AND RECOMMENDATIONS

6.01 During negotiations, assurances were obtained from Government of

India and Government of Tamil Nadu on the following matters:

(a) GOTN and IDA would jointly review progress of project implemen-tation by March 31, 1983 and if then agreed necessary, increase

the number of field staff (para 2.02);

(b) GOTN would fill incremental staff positions according to or

earlier than the schedules shown in Annex 1, Tables 2 7 and

9 (para 2.05);

- 24 -

(c) GOTN would ensure that all extension positions assigned tothe administrative control of DOA under this project would beused exclusively for agricultural extension and retained underthe administrative control of DOA during project execution(para 2.05);

(d) GOTN would ensure that VEW and DAO would live in or near thearea assigned for their operations (para 2.10);

(e) GOTN would ensure that credit and travelling allowanceswould be made available to staff on such terms and condi-tions as to create incentives for the purchase and use ofmotorcycles and cycles (para 2.11);

(f) GOTN would undertake monitoring and evaluation of theproject in the form already agreed with GOI. Further,GOTN would forward to IDA (through DOE) a yearly summaryof results in a form acceptable to IDA (para 2.14);

(g) GOTN would establish a roject Coordinating Committeewhich would hold its fiist meeting by September 30, 1981and thereafter meet at least twice a year (para 4.04) and

(h) GOTN would establish by September 30, 1981 District TechnicalCommittees for those districts covered by the first year ofproject implementation and by September 30, 1982 for thosedistricts covered by the second year of project implementa-tion. Any change in these arrangements, as a result of areorganization of agricultural research services, would besatisfactory to the Association (para 4.08).

6.02 With these conditions and assurances the project would be suitablefor a Credit of US$28.0 M to GOI on standard IDA terms.

25 -

ANNEX 1Table 1

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

SUMMARY OF PROJECT COST

(Rs' 000)

Cost Categoy Year 1 Year 2 Year 3 Year 4 Year 5 Total Cost Foreign Exchange %

INCREMENTAL STAFF COSTS

- Base Cost / 11,083.0 '2 6 ,2 l5.0o 26,215.0 26,215.0 26,215.0 115,943.0- Physical Contingencigsa - - - 1,050.0 2,100.0 3,150.0- Price Contingencies- 997.0 4,194.0 6,292.0 8,389.0 9,962.0 29,834.0

TOTAL 12,080.0 30,409.0 32,507.0 35,654.0 38,277.0 148,927.0

CIVIL WORKS

- Base Cost / 14,890.0 13,680.0 20,520.0 27,360.0 - 76,450.0- Physical Contingenc7s- 744.5 684.0 1,026.0 1,368.0 - 3,822.5- Price Contingencies- 1,407.1 2,298.2 4,925.0 8,755.0 - 17,385.3

TOTAL 17,041.6 16,662.2 26,471.0 37,483.0 - 97,657.8

EQUIPMENT & VEHICLES

- Base Cost c/ 18,273.2 13,000.7 - - - 31,273.9- Physical Contingenci?s- 914.0 650.0 - _ - 1,564.0- Price Contingencies- 1,644.0 2,080.0 - - - 3,724.0

TOTAL 20,831.2 15,730.7 - - - 36,561.9 32%A/ 11,699.5

INCREMENTAL OPERATING COSTS

- Base Cost 3,706.7 8,401.2 8,908.2 8,408.2 8,908.2 38,332.5- Physical Contingencirs/ 185.3 420.1 445.4 420.4 445.4 1,916.6- Price Contingencies- 333.6 1,344.2 2,137.9 2X690.6 3,385.1 9,891.4

TOTAL 4,225.6 10,165.5 11,491.5 11,519.2 12,738.7 50,140.5 34% 17,047.8

TRAINING

- Base Cost C/ 3,852.0 5,150.0 5,097.0 5,097.0 5,097.0 24,293.0- Physical Contingenc is- 193.0 258.0 255.0 255.0 255.0 1,216.0- Price Contingencies- 347.0 824.0 1,223.0 1,631.0 1,937.0 5,962.0

TOTAL 4,392.0 6,232.0 6,575.0 6,983.0 7,289.0 31,471.0 8% 2,517.7

TOTAL

- Base Cost 51,804.9 66,446.9 60,740.2 67.080.2 40,220.2 286,292.4- Physical Contingencies 2,036.8 2,012.1 1,726.4 3,093.4 2,800.4 11,669.1- Price Contingencies 4.728.7 10.740.4 14,577.9 21,465.6 15,284.1 66.796.7

GRAND TOTAL 58,570.4 79,199.4 77,044.5 91,639.2 58,304.7 364,758.2 9% 31,265.0

a/ Calculated as staff salary of 150 and 300 VEW in last 2 years only for additional VEWif needed after a mid term review.

b/ Inflation rate - applied cumulatively at 9%, 16% 24%, 32% and 38% respectively for projectyears 1 through 5. (Expected date of loan effectiveness at July 1981).

c/ Physical contingency calculated at 5%.d/ Weighted average of vehicles (25%) and equipment (40%).

* 26 _

Table 2INDIA

TAJIL NADU AGRICULTURAL EXTENSION PROJECT

INCREMENTAL STAFF SALARIES AND INCENTIVES

(Ro' 000)

AnnualUnit;Ctet Year 1 Year 2 Year 3 Year 4 Year 5 Total(Rs' 000) (No.) Cost (No.) Cost (No.) Cost (No.) Cost (No.) Cost Cost

INCREMENTAL .zXTENSION STAFF

Iteadquarters7 DY. AO. (Tech) 14.0 (2) 28.0 (2) 28.0 (2) 28.0 (2) 28.0 (2) 28.0 1.40,0- Assistant D.A. 16.0 (1) 16.0 (1) 16.0 (1) 16.0 (1) 16.0 (1) 16.0 80.0

DISTRICT

J D A.A/ 26.0 (5) 130.0 (12) 312.0 (12) 312.0 (12) 312.0 (12) 312.0 1,378.0D.D.A. (S.X.S.)k/ 21.0 (17) 337.0 (44) 924.0 (44) 924.0 (44) 924.0 (44) 924.0 4,053.0DY. AO (TECNi) 14.0 - - (2) 28.0 (2) 28.0 (2) 28.0 (2) 28.0 112.0

SUBDIVISIONAL

DV. AE/- 16.0 (19) 304.0 (39) 624.0 (39) 624.0 (39) 624.0 (39) 624.0 2,800.0DY. AO ,iNS>S) 14.0 (44) 616.0 (96) 1,344.0 (96) 1,344.0 (96) 1,344.0 (96) 1,344.0 5,992.0DY. AO.- 14.0 (2) 28.0 (178) 2,492.0 (178) 2,492.0 (178) 2,492.0 (178) 2,492.0 9,996.0Field Level YEW.d. 7.0 (513) 3,591.0 (1351) 9,457.0 (1351) 9,457.0 (1351) 9,457.0 (1351) 9,457.0 41,419.0

SUB-TOTAL 5,070.0 15,225.0 15,225.0 15,225.0 15,225.0 65,970.0

INCRE6ENTAL SUPPORT STAFF

Ad,inistrative Officer 16.0 (2) 32.0 (2) 32.0 (2) 32.0 (2) 32.0 (2) 32.0 160.0Assistant Account Officer 16.0 (7) 112.0 (14) 224.0 (14) 224.0 (14) 224.0 (14) 224.0 1,008.0Superintendenta (SPDT) 11.0 (52) 572.0 (102) 1,122.0 (102) 1,122.0 (102) 1,122.0 (102) 1,122.0 5,060.0Assistant Superintendent 9.0 (129) 1,161.0 (286) 2,574.0 (286) 2,574.0 (286) 2,574.0 (286) 2,574.0 11,457.0Junior Assista-t Superintendent 7.0 (9) 63.0 (44) 308.0 (44) 308.0 (44) 308.0 (44) 308.0 1,295.0Typist 7.0 (78) 546.0 (164) 1,148.0 (164) 1,148.0 (164) 1,148.0 (164) 1,148.0 5,138.0Steno -Typist 7.0 (31) 217.0 (65) 455.0 (65) 455.0 (65) 455.0 (65) 455.0 2,037.0Drivers 6.0 (37) 222.0 (106) 636.0 (106) 636.0 (106) 636.0 (106) 636.0 2,766.0Servant 5.0 (151) 755.0 (324) 1,620.0 (324) 1,620.0 (324) 1,620.0 (324) 1,620.0 7,235.0Artist 9.0 (1) 9.0 (4) 36.0 (4) 36.0 (4) 36.0 (4) 36.0 153.0Screen Designer 11.0 (3) 33.0 (6) 66.0 (6) 66.0 (6) 66.0 (6) 66.0 297.0Cine Operator 9.0 (4) 36.0 (7) 63.0 (7) 63.0 (7) 63.0 (7) 63.0 2?8.0Record Clerk 5.0 (59) 295.0 (121) 605.0 (121) 605.0 (121) 605.0 (121) 605.0 2,715.0

SUB-TOTAL 4,053.0 8,889.0 8,889.0 8,889.0 8,889.0 39,609.0

MONITORINGI/EVALUATION STAFF

Dtrector NIE 26.0 (1) 26.0 (1) 26.0 (1) 26.0 (1) 26.0 (1) 26.0 130.0Agricultural Statistician 21.0 (1) 21.0 (1) 21.0 (1) 21.0 (1) 21.0 (1) 21.0 105.0Agricultural Economist 21.0 (1) 21.0 (1) 21.0 (1) 21.0 (1) 21.0 (1) 21.0 105.0Rural Sociclogist 21.0 (1) 21.0 (1) 21.0 (1) 21.0 (1) 21.0 (1) 21.0 105.0Head, Special Studies 21.0 (1) 21.0 (1) 21.0 (1) 21.0 (1) 21.0 (1) 21.0 105.0Technical Assistant 14.0 (2) 28.0 (4) 56.0 (4) 56.0 (4) 56.0 (4) 56.0 252.0Field lnperni8cr 14.0 (14) 196.0 (14) 196.0 (14) 196.0 (14) 196.0 (14) 196.0 980.0Field Investigator 7.0 (42) 294.0 (56) 392.0 (56) 392.0 (56) 392.0 (56) 392.0 1,962.0Typist 7.0 (I) 7.0 (1) 7.0 (1) 7.0 (I) 7.0 ( 2.0 35.0Steno-Typist 7.0 (3) 21.0 (3) 21.0 (3) 21.0 (3) 21.0 (3) 21.0 105.0Driver 6.0 (2) 12.0 (2) 12.0 (2) 12.0 (2) 12.0 (2) 12.0 60.0Servant 5.0 (7) 35.0 (10) -50.0 (10) 50.0 (10) 50.0 (10) 50.0 235.0

SUB-TOTAL 703.0 844.0 844.0 844.0 844.0 4,079.0

TRAINING CENTER

J.D.A. 26.0 (1) 26.0 (1) 26.0 (1) 26.0 (1) 26.0 (1) 26.0 130.0DY. D.A. 21.0 (2) 42.0 (2) 42.0 (2) 42.0 (2) 42.0 (2) 42.0 210.0Assistant D.A. 16.0 (3) 48.0 (3) 48.0 (3) 48.0 (3) 48.0 (3) 48.0 240.0DY. AO. 14.0 (3) 42.0 (3) 42.0 (3) 42.0 (3) 42.0 (3) 42.0 210.0Superintendent 11.0 (I) 11.0 (1) 11.0 (1) 11.0 (1 11.0 W1 11.0 55.0Assistant 9.0 (3) 27.0 (3) 27.0 (3) 27.0 (3) 27.0 (3) 27.0 135.0Junior Assistant 7.0 (2) 14.0 (2) 14.0 (2) 14.0 (2) 14.0 (2) 14.0 70.0Artist, Operator 9.0 (2) 18.0 (2) 18.0 (2) 18.0 (2) 18.0 (2) 18.0 90.0Typist 7.0 (2) 14.0 (2) 14.0 (2) 14.0 (2) 14.0 (2) 14.0 70.0Clerk, Roneo Operator 6.0 (2) 12.0 (2) 12.0 (2) 12.0 (2) 12.0 (2) 12.0 60.0Steen-Typist 7.0 (3) 21.0 (3) 21.0 (3) 21.0 (3) 21.0 (3) 21.0 105.0Librarian 14.0 (1) 14.0 (1) 14.0 (1) 14.0 (1) 14.0 (1) 14.0 70.0Driver 6.0 (7) 42.0 (7) 42.0 (7) 42.0 (7) 42.0 (7) 42.0 210.0Servant 5.0 ill) 55.0 (11) 55.0 (115 55.0 (11) 55.0 (11) 55.0 275.0

SUB-TOTAL 386.0 386.0 386.0 386.0 386.0 1,930.0HORTICUL1TURE EXTENSION 871.0 871.0 871.0 871.0 871.0 4,355.0

Total (Excluding contingencies) 11,083.0 26,215.0 26,215.0 26,215.0 26,215.0 115,943.0Physical contingencies (VEW) - - - (150) 1,050.0 (300) 2,100.0 3 150.0

GRAND TOTAL 11.083.0 26,215.0 26,215.0 27,265.0 28,315.0 119,093,0

a/ T.o JDA alresdy availableb/ Includes one Water management Specialist. Thirteen Smss already available.c/ Includes one at subdivisional office: Sixty subdivisional AC already available.d/ 191 5S15s and 532 DY. AO already available.

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

CIVIL WORKS

(Re' 000)

Aria Cost Unit Year 1 Year 2 Year 3 Year 4 Year 5 Total.qt. (M ?(Rs/M2) Cost (NO.) Cost (No.) Cost (No.) Cost (No.) Cost (No.) Cost Costa/

VEW 1,450 50-/ 720 36. v 145 5,220.0 290 10,440.0 435 15,660.0 580 20,880.0 - - 52,200.0DY. AC 300 75-h/ 720 5 4 .0 / 30 1,620.0 60 3,240.0 90 4,860.0 120 '.6,480.0 - - 16,200.0

SUB-TOTAL 6,840.0 13,680.0 20,520.0 27,360.0 - - 68,400.0

Training Center (Kudumiamalai)A- 1 5,000 1,076 1 5,380.0 - 5,380.0 N

Horticulture Extension-l 2,670.0 2,670.0

SUB-TOTAL 2,670.0 - _ _ _ _ _ _ 2,670.0

Total (Excluding contingencies) 14,890.0 13,680.0 20,520.0 27,360.0 76,450.0Physical contingencies at 5%) 744.5 684.0 1,026.0 1,368.0 3,822.5

GRAND TOTAL 15,634.5 14,364.0 21,546.0 28,728.0 80,272.5

a/ Housing provided to approximately one-third of field level VEW and DYAO staff.b/ Area is within limits prescribed _for staff on salary range of VgW and DYAO (cf. G.O.M.S. No. 1805).c/ Approved by GOTN PWD for 1980-81.d/ Consists of (i) 150 bed hostel, 3 ciass rooms, conlference hall,laboratory, library and office, and staff quarters.e/ Details at Annex 1, Table 7.

Dex

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-2g~~~~~~~~~. ~~~~AINNEX IT-ble 5

INDIA

TAMIL NADU t.MICULIURAL EXTENSION PROJECT

IPIITMAL OUEATING COSTS

(R. . 000)

Annual Year I Year 2 Year 3 Year 4 Year 5 TotalUnit Coat (No.) Cost (No.) Cost (go.) Cost (No.) Cost (No.) Cost Cost

Operating Expenses and Extension Materials

VEW/DY. AO 0 51/ 2,571 642.7 5,422 2,033.2. 5,422 2,033.2 5,422 2,033.2 5,422 2,033.2 8,775.5Other Staff2/ I':° 240 240.0 467 467.0 467 467.0 467 467.0 467 467.0 2,108.0Other Expenses. Subdivision/Dist. Offices 5. (58) 290.0 (113) 565.0 (113) 565.0 (113) 565.0 (113) 565.0 2,550.0

Headquarters 10.0 10.0 10.0 10.0 10.0 10.0 50.0

SUB-TOTAL 1,182.7 3,075.2 3,075.2 3,075.2 3,075.2 13,483.5

Incremental Travel Allowance and Expenses

VEW' 6t 0.48 (513) 246.0 (1,351) 648.0 (1,351) 648.0 (1,351)' 648.0 (1,351) 648.0 2,838.0DY. AOxS}S_ 7.2 (46) 331.0 (274) 1,973.0 (274) 1,973.0 (274) 1,973.0 (274) 1,973.0 8,223.0S bdivisional o7taf 3.6 (19) 68.0 (39) 140.0 (39) 140.0 (39) 140.0 (39) 140.0 628.0District ioffn a 500 (22) 110.0 (56) 2e0.0 (56) 280.0 (56) 280.0 (56) 280.0 1,230.0

M/E Staff- 3.0 (61) 183.0 (75) 225.0 (75) 225.0 (75) 225.0 (75) 225.0 1,083.0

SUB-TOTAL 938.0 3,266.0 3,266.0 3,266.0 3,266.0 14,002.0

Vehicle Operating Costs

S/Div. 4-ND diesel 10.0 (51) 510.0 (85) 850.0 (85) 850.0 (85) 850.0 (85) 850.0 3,910.0

District - 4-WO diese 11 2 , 15.0 (81) 270.0 (30) 450.0 (30) 450.0 (30) 450.0 (30) 450.0 2,070.0- Petrol led1 18.0 (5) 90.0 (9) 162.0 (9) 162.0 (9) 162.0 (9) 162.0 738.0- Van diese 15.0 (7) 105.0 (14) 210.0 (14) 210.0 (14) 210.0 (14) 210.0 945.0

Headquarters - Sdee lT7. 18.0 (1) 18.0 (1) 18.0 (1) 18.0 (1) 18.0 (1) 18.0 90.0Training Center - Sd12/ 1.0 (1) 18.0 (1) 18.0 (1) 18.0 (1) 18.0 (1) 18.0 90.0

- Sdy 712 15.0 (5) 75.0 (5) 75.0 (5) 75.0 (5) 75.0 (5) 75.0 375.0;1 6 E Unit - Sad,1/ 18.0 (2) 36.0 (2) 36.0 (2) 36.0 (2) 36.0 (2) 36.0 180.0

SUB-TOTAL 1,122.0 1,819.0 1,819.0 1,819.0 1,819.0 8,398.0

Baseline Survy 4 240.0 - - 500.0 - - - 500.0 1,240.0Training Center 13/ 50.0 (1) 50.0 (1) 50.0 ( 50.0 (1) 50.0 (1) 50.0 250.0Horticulture Extensior 184.0 191.0 198.0 198.0 198.0 969.0

Total (Excluding contingencies) 3,706.7 8,401.2 8,908.2 8,408.2 8,908.2 38,332.5

Physical contingencies at 5S 185.3 420.1 445.4 420.4 445.4 1,916.6

GRAND TOTAL 3,902.0 8.821.3 9,353.6 8,828.6 9,353.6 40,259.1

j/ Includes printing of diaries, charts end instruction materials, emple of small Implements, seeds pesticides etc.for field trials nd training demonstrations, poster papers and peits for simple visual aids taken at 50. of unit ..ostin year 1, 75% in year 2 and 100?. thereafter.

2/ Include SM at District and subdivision, Dy. AO(tech.) at district, Taluk AO and Dy. AO (SMS) at subdivisionel level, and JDA.3J Calculated st R*. 5,000 per month for each subdivisional and District level.4/ Office operating costs calculated at Rs. 50,000 per month.5/ Rs. 480 per month as PTA end vehicle (cycle), goverment fixed rate for VEdl.

M/ Motorcycle mileage allowance of Re. 400 per month (40km/day at Re. 0.5 per km for about 20 days a month plus PTA of Re. 200 per mouth.71 R. 180 per month (fixed rate for governmeot vehicle) plus driver st Rs. 120 per month (Rs. 6 per day).8 PTA Rs. 300 per month for JDA and DDA (SMSs), fixed rate for travelling with government vehicle plus driver PTA of Rs. 120 per month.

PTA and travel allo*ane at Is. 500 per month for professional staffs, Re. 200 for field supervisor and Rs. 150 for field investigator.J 20,000km/per month at la. 0.50/km./ 30,000km/per month at Rs. 0.50/km.

12/ 24,000km/per month at Rs. 0.74/km.13/ Details in annex 1, table 7.

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

TRAINING COSTS

(Rs' 000)

a/ Year 1 Year 2 Year 3 Year 4 Year 5Type of Training-/ Unit Cost (No.) Cost (No.) Cost (No.) Cost (No.) Cost (No.) Cost Total Coat

1. Pre-season Training b-(a) VEW 0 07- 4,528 317.0 9,554 669.0 9,554 669.0 9,554 669.0 9,554 669.0 2,993.0

(b) Other (DYAO,S/Div. SMS,DAO 0.15-/ 1,024 154.0 2,082 312.0 2,082 312.0 2,082 312.0 2,082 312.0 1,402.0

2. Orientation Training (DYAO,S/Div., SMS, SDAO) 0.10-/ 512 51.0 529 53.0 - - - 104.0

3. Refresher Training (VEW) 0.309/ 500 150.0 1,000 300.0 1,000 300.0 1,150 300.0 1,150 300.0 1,350.0

4. Special Short Courses 9&'(a) VEW/ DYAO 0 6 - (580) 410.0 (1,250) 750.0" (1,250) 750.0 (1,250) 750.0 (1,250) 750.0 3,410.0

(b) SMS 1.20Z (173) 208.0 320 384.0 320 384.0 320 384.0 320 384.0 1,744.0

(c) Overseas 40.0 2 80.0 4 160.0 4 160.0 4 160.0 4 160.0 720.0

5. Scholarships (deputation)(a) Dy, AO & SDAO for post-grad. courses 6 o0h/ 100 600.0 100 600.0 100 600.0 100 600,0 100 600.0 3,000.0

(b) VEW for B.Sc. Courses 6.00-!h 50 300.0 50 300.0 50 300.0 50 300.0 50 300.0 1,500.0

6. Zonal Workshops 1.0 20 20.0 60. 60.0 60 60.0 60 60.0 60 60.0 260.0

7. Horticulture Extension-/ 1,562.0 1,562.0 1,562.0 1,562.0 1,562.0 7,810.0

Total (Excluding contingencies) 3,852.0 5,150.0 5,097.0 5,097.0 5,097.0 24,293.0

Physical contingencies (5%) 193.0 258.0 255.0 255.0 255.0 1.216.0

GRAND TOTAL 4,045.0 5,408.0 5,352.0 5,352.0 5,352.0 25,509.0

a/ For further details see Annexhb/ Twice per annum for 6 days; for senior staff (DAO, SMS, AO), will be held at State Training Institute, Kudumiamalai.

c/ Once for new staff.d/ For 200 VEWs each year; at Agricultural Experiment Station, Kudumiamalai.e/ One course per annum for all VEW and AO.f/ One course per annum for each SMS../ Rs. 40,000 per trainee sent overseas.h/ Scholarship only (pay and allowances would continue).h/ Details in Annex 1, Table 7.

1'I-

0000 0 00 0 0 0 0 0 0 0 0 0 0 00 0 0 0 00 0 0 0 0 0 0 0 0 0 00000 0 0 0

- 0 0~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ - -0 -- 0

.0400. ....C ..... . .. .... 0000.C0

Z 1

8888~~~~~~~~~~~tt ~~~~~~~~~Zt ~ ~ E

ANNEX 1Table 8

- 32 -

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

HORTICULTURE EXTENSION

(Rs' 000)

Audio Visual Aids Quantity Unit Cost Total Cost

Camera 35 m.m. 3 3,100 9,300

Camera 120 m.m. 1 3,100 3,100

Camera (super 8 m.m.) 1 12,500 12,500Electric flash unit 3 4,400 13,200

Black and white laboratory 1 112,500 112,500

Slide duplicator 1 700 700

Projector cine 8 m.m. 3 6,250 18,750

Projector cine 16 m.m. 3 12,500 37,500

Projector slide (AC/DC) 1 1,250 1,250

Projector Slide manual 2 1,300 2,600

Projector slide semi auto 1 2,500 2,500

Projector slide full auto 3 6,250 18,750

Projector slide overhead 3 5,000 15,000

Slide viewer 58 120 6,960

Tripod screen 3 750 2,250

Rear projection screenWall screen 3 500 1,500

Photo copying machine 1 25,000 25,000

Electric stencil scanner 1 50,000 50,000

Letter press (15"x18") 1 60,000 60,000

Off-set press (powered) 1 100,000 100,000

Accessories for off-set press 1 185,000 185,000Offset machine 22"x 28"1 1 60,000 60,000

Typewriter 1 60,000 60,000

Stencil duplicator 1 15,000 15,000Megaphone 3 4,000 12,000

Reel tape recorder 1 2,500 2,500

Cassette tape recorder 3 2,600 7,800

Loose binder for subject 500 15 7,500

Loose binders for field works 200 15 3,000

Flannel board stiff 3 100 300

Flannel board folding 3 500 1,500

Miscellaneous 2 25 50

Folding easel 40 120 4,800Blackboard 3 100 300

Blackboard rolling 17 120 2,040

Specimen boxes with magnifyingglass, with plastic briefcase 58 120 6,960

TOTAL 798,000

ANNEX 1Table 9

- 33 -

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

REQUIREMENT OF EXTENSION STAFF BY YEAR

Year 1 Year 2 Year 3 Year 4 Year 5

VEW Existing: Yearly 1,751 1,675 - - -Cumulative 1,751 3,426 3,426 '3,426 3,426

New: Yearly 513 838Cumulative 513 1,351 1,351 1,351 1,351

AO/DY. AO Existing: Yearly 305 162 - - -Cumulative 305 467 467 467 467

New: Yearly 2 176 - - -Cumulative 2 178 178 178 178

AO/DY. AO Existing: Yearly 109 92(SMS Subdiv) Cumulative 109 201 201 201 201

New: Yearly 44 52Cumulative 44 96 96 96 96

DVAO Existing: Yearly 32 28Cumulative 32 60 60 60 60

New: Yearly 19 20Cumulative 19 39 39 39 39

AO/DY. AO Existing: Yearly 29 26(Tech) Cumulative 29 55 55 55 55

New: Yearly - 2Cumulative - 2 2 2 2

SMS Dist. Existing: Yearly 12 1Cumulative 12 13 13 13 13

New: Yearly 17 27Cumulative 17 44 44 44 44

JD Existing: Yearly 2Cumulative 2 2 2 2 2

New: Yearly 5 7Cumulative 5 12 12 12 12

Assistant DA New: Yearly 1(HQ) Cumulative 1 1 1 1 1

AO/DY. AO New: Yearly 2(Tech) (HQ) Cumulative 2 2 2 2 2

ANNEX 1Table 10

- 34 -

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

STAFF REQUIREMENTS

(Rs' 000)

PROJECT YEAR I V.E.W.

District Requirement Available New Required

Chingleput 359 242 117

Thanjavur 465 268 197Pudukottai 131 120 11Ramnad 357 320 37Dharmapuri 243 114 129

Coimbatore 275 269 6

Madurai 434 418 16

2,264 1,751 513

Subdivisional Level AO/DYAO

Chingleput 48 45 3Thanjavur 63 101 -38Pudukkottai 18 10 8Ramnad 50 40 10Dharmapuri 34 6 28

Coimbatore 37 35 2

Madurai 57 68 -11

307 305 2

PROJECT YEAR II V.E.W.

North Arcot 486 330 156South Arcot 477 285 192

Trichy 404 360 44Salem 367 212 155Periyar 235 147 88Tirunelveli 389 290 99Kanyakumari 155 51 104

2,513 1,675 838

Subdivisional Level AO/DYAO

North Arcot 67 46 21South Arcot 63 35 28

Trichy 54 26 28Salem 48 10 38Periyar 31 15 16Tirunelveli 54 30 24Kanyakumari 21 21

338 162 176

ANNEX ITable 11

INDIA

TANIL NADU AGRICULTURA. EXTENSION PROJECT

REQUIREHENT & AVAILABILITY OF EXTENSION STAFF BY SUBDIVISION

VEW AO/DYAO DVAO SUBDIV SMS Ditrict SMS DY. AO Tech JD

Faee Net Net Net Net Net Net Net

Fiilte.. Re- AY-Il- Re- Re- Avail- Re- Re- Avail- Re- Re- Avail- e-, Rr.. Avail- Re- Re- Avail- Re- Re- Avail- Re-

Dl.trlcttS.bdivision ('000) ui-red abl. qOired ui-red able qNired g.i-ed able gei-ed pire-d eble gei-ed gi-red able gqired qutred able ui-red Naired able ui-red

YEAR I

A CdINGLEPUT 205 359 242 117 48 45 3 b 5 3 24 ER 6 4 1 3 4 4 - I -

I) RanEbeeparm-UthIrererv,. 33 40 52) Sripe-rabed-r 37 47 63) Saldapet 38 48 64) P--ierl-Curmidl Pa.-dl 33 41 65) Chinglep.t 38 48 66) Nad-raetakm 39 49 77) Tir-vallr-Paaedi 36 45 68) Tir-ttaal-Pallipet 31 41 6

B. THANJAVUR 465 268 197 63 101 -38 11 7 4 33 33 5 2 3 5 5

1) Th.jav-r-Thlrivalyar. 34 42 62) Oa-tb. eda 23 28 43) Kumbakonm-Tlr-vidai-arurur 38 47 64) Pap.n,s m 32 40 55) H ennargedl 38 47 66) Thi-rthb-i1paoodi-Vedar.ay- 39 49 77) Nagap.tti.a.-Tir.var-r 34 42 68) N-nnla- 36 45 69) HayraD 43 53 7

10) Strk.li 21 26 411) Pattekoetal-Pe--v4rnl 36 46 6

C. PUDUKKOTAI 131 120 11 18 10 8 4 2 2 12 9 3 4 2 2 4 4 1

1) Alan8adi.Kalathbr 40 38 5 C

2) Padabkktl 18 33 5

3) Tlrei-y -- Aravthbang-4) Aved.tybrk.il 49 60 8

D. RAMANATHAPURAM 357 320 37 50 40 10 9 5 4 27 14 13 4 2 2 4 4 _ l _

1) Rm...thaperaevR-.~e.- 23 29 52) Madukulathbr-Kaeethi 31 38 53) Tir-avda...l-Tlr-path.r 41 51 74) Karaik.di-Devek.tt.i 24 31 45) S 8 ga -Maeadadara 35 44 6

6) Paraka.d-Playak.9t 27 34 5

7) SrivIllp.thb -R9japalaym 32 40 58) Satb 33 41 6

9) Arepp.k.tt.l-Vir.dh..g.ar-Tir..h.ll 39 49 7

E. DARMAPURI 243 114 129 34 6 28 5 2 3 15 4 LL 4 1 3 4 4 : I :1) Dhba---p-r-Uthbga-al 40 50 72) tMahr 39 41 63) Pi-ac -de-Pe..a.arae 32 40 64) NI,r,,e-D akl 45 57 85) Eirlehavagei 44 55 7

F. COIMBATOIE 275 269 6 37 35 2 6 4 2 18 7 LL 4 3 1 4 4 - I :

I) Celebat-re-Mett.palayav 58 73 102) AviNachi 35 44 63) P1llathL 55 68 94) Palladm 44 55 75) Udu1lpet 28 35 5

G. MADURAI 434 418 16 57 68 -11 8 7 1 24 24 _ 4 1 3 4 4 _ I _I) Madaral (North-Sobth) 32 40 52) Mel r-Na-hm 32 40 53) Tlre....algm-Oel.lapatti 54 68 94) Nilakottal 40 50 75) Dlidisul 45 56 76) Vedaeavd:r-Pal-al 60 75 107) Perlakua,I-tKd.ike-al 46 57 88) Uthamapelay_m 38 47 6

SUB-TOTAL YEAR I 1 818 2.264 1 751 513 307 305 2 51 32 19 153 109 44 2q 12 17 29 29 - 7 2 5

ANNEX ITaBle Ti (-tni ..ed)

INDIA

TAMIIL NADU AGRICULTURAL EXTENSION PROJECT

REQUIREMENT & AVAILABILITY OF EXTENSION STAFF BY S-UBDIVISION

91W pO/OYAO DVAO SUBDIV SMS Diatrict SMA DY. AO Tech JD

Fera ~~~~~Nt Net N't Net_ - Net Net NetFaailiee Re- A-ail- Ret- Re- AvaIl- Re- R.- Av-il- Re- Re- Av.il- Re-t Re- Avail- Re- Re- Aval-~ Re- Re- Av-il- Re-

Di.triot/S.bdivisio. (000O) pired able paired q.ired able pired paired able paired paired able puired pai,ed abl g.i-d pali-d able gaired paired able pired

Year II

9. NORTH ARCOTr 486 330 154 6 46 2 ii 6 5 33 20 13 4 i 3 4 4 - -

l) veIlari 31 39 52) Ariat-Wa1lajah 42 52 73) Arkacha 32 40 54) Cheyy.r 28 34 55) Waadi,eaah 29 36 56) Arnt-Tirae...aa.-li 48 59 B7) Palar 35 44 6B) Cc.e m32 41 69) Tirapattar 40 50 710) Vanlymbadi 39 49 711) Gadiyath- 34 42 6

I. SOUTH ARCOr 475 )B5 iN7 63 3L5 08 N 6 2 26 19 54 -4 4 4 I -

1) bimrEamaaral54 66 92) Caddalare-Panrati 52 65 93) Vridaacha.1-Tittag.di 45 56 74) Ka llkharihi 53 66 95) TIrakeIIar-Uled.rpat 54 68 96) Vi llapar-a4 55 77) Ti.die-aa 43 55 7B) OlaBee 36 446

J. TRICHY 404 360 44 54 26 28 :8 2 4I 24 14 10 4 4 4 4 4 * -

1) TrIah 32 60 52) Mla riTaayr53 67 93) LalIadi 37 67 64) Aelyal1 30 38 55) Permbaia 41 51 76) Ida..arp.l.ym 32 39 57) lEaliihj.l .i-..aepp.r.i 591 73 10B) Rarar 40 49 7

K. SALEM 367 212 155 48s 10 MB 6 4 2 18 9 94 - 4 4 4 - I -

1) S,Im-Yer ... d 57 71 92) Alttr 42 52 73) MN tiar-0,ealr 56 69 94) Sapharl 31 39 55) Tl rabh-Sad.-Pagip.rm 53 66 96) N.-kak.a 53 oR 9

L. PERIYAR 236 147 91. 31 15 16 4 2 2 12 10 2 4 - 4 4 4 I -

I) Rha,.rapr 41 51 72) irde-Perndar.l 62 79 103) iBavacL 35 44 6

4) Gabiah.ttipal.yaa-Santhy-Ang.I-la 50 62 8

M. TIRUNELVELI 389 290 92 54 30 24 B 6 2 24 20 4 4 - 4 4 4 - I I

1) Tir ... l1eli 23 29 42) Tve,haL-Sh.akatt.i 42 53 73) Kaeilpatti-Ott.pid.r--Vil.thik.1-a 51 64 94) SftbaraekoiI-Stv.giri 39 49 75) Aebaaa. dr- 40 50 76) Napi...ari 46 57 B7) Tatiariv-Srivaik..dm 29 37 58) Ti ... haed.r-S.tt.nhkl1- 40 5I 7

N. Kapsyhak-ri 156 51 105 21 - 1 - 3 2 1 9 4 - 4 4 4 2 2 1 Z-

I) Thav-Ia-ABa.-haaaaacr 33 42 62) K.1al a.a 46 58 B3) Vil.ba....de 45 56 7

SUB-TOTAL YEAR II 2.004 ~2518 1_675 838 338 66 2 176 48 29 20 144 92 52 28 27 28 26 2 07 7

GRAND TOTAL 3 822 4.777 ~3426 1.351 645 467 lOB8 99 60 39 29 201 96 57 13 44 57 55 2 14 2 12

- 37 - ANNEX 2

Page 1

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

Training

1. The Agricultural Extension Service has an important role in increas-ing agricultural productivity and thus farmer incomes. To do this, farmersneed knowledge and skills for efficient management of their crops, livestock,physical resources, and farm business as a whole. Essentials of successinclude incentives for production, evolving suitable technology, and availa-bility of credit, inputs, transportation, and markets. The responsibility ofthe extension agents is to provide the farmer with the knowledge to improvehis income, and to verify new technology as it develops. A training programis thus essential both for extension worker and farmers. Practical trainingis essential for extension workers since they must be able to demonstrate tofarmers the actual techniques of improved crop husbandry.

The New Program

2. Training programs for extension workers and agricultural adminis-trators must be strengthened to provide better dissemination of advice asa means of overcoming production constraints and assist farmers in the adop-tion of improved husbandry practices. The Training and Visit System is thebasis for an improved extension service. This system depends on sustainedand regular training of extension workers and transfer of appropriate recom-mendations to farmers through regular visits by VEW. They keynote is con-tinuous practical training to VEW and DYAO by SMS who are conversant with thelatest research results, active in the identification of local problems, andparticipate in local verification trials. Training in administration andmanagement is required for the higher level of staff.

Training Strategy

3. Since the extension service is to improve the quality of farmingpractices, training of research/extension-farmer teams must be such that theyimpart the specific information needed. There is little merit in merelytelling the farmer to do something. The farmer needs to know how to carryout a task. It is best if the extension worker actually works with the farmerin performing specific tasks. This implies that VEW must be able to performall tasks and, likewise, DYAO and SMS who train VEW must also be able toperform all tasks. Furthermore, trainers of SMS (usually research workersand senior staff) need to be acquainted with farming operations and how theyare best performed. This requires a change in present training methods froma reliance on lectures to "learning by doing."

4. The first step in designing of appropriate training programs is anidentification of the skills and knowledge required by the farmer to improvehis production. The second step is to identify which of these would be taughtby VEW to the farmer. The order of operation and their seasonal priority is

ANNEX 2- 38 - Page 2

then determined so that VEW can get appropriate training at the proper time.DYAO, as supervisor of VEW, would also need training in what is to be passedon to the farmer. DYAO should also be able to answer more advanced technicalquestions, and to identify practical problems. For subdivisional and districtSMS, even greater depth of knowledge is required so as to be able to instruct

both VEW and DYAO.

5. Research workers have to develop ability to identify factors limit-ing farm production in the field and target research programs to the practicalresolution of these problems. This implies joint farm visits by researchand extension workers; cooperation in design, execution and analysis of

trials on farmers' fields; and continuous exchange of information and ideasbetween research, extension and farmers. Both this project and the NationalAgricultural Research Project support these activities.

Tests and Demonstrations

6. To provide a measure of the effectiveness of training programs andpermit trainees to assess progress, short tests of knowledge and demonstrationof skills would be integrated into the training program. Pre-course testingwould assist instructors in emphasizing those areas in which the traineesneed the most assistance and eliminate instruction in areas in which theyalready possess adequate skill or knowledge. Pretesting helps the traineeidentify areas in which he needs assistance and thus provides some motivationto learn. Testing may include identification of limiting factors such asdiseases, insects, nutritional deficiencies, or demonstrations by the traineeof crop production techniques. Emphasis should be placed on the practicalrather than extensive testing of written knowledge. Comparison of pre- andpost-course tests will permit the trainee to identify what he has learnt andthe instructor to evaluate the effectiveness and adequacy of his instruction.

Training for Extension Workers

7. Fortnightly training of VEW and AEO by SMS would be a major featureof the project. Additional and more specialized training would be providedfor each category of extension worker. These are described below:

Village Extension Workers (VEW)

8. VEW have generally conpleted secondary school.They are usually given a two-year diploma course. The content, in the past,included subjects related to community development in addition to agriculture.These courses need more emphasis on practical training. Several states havealready adopted shorter courses concentrating on agriculture.

9. Orientation Training. All VEW would receive special training inextension methodology and the T&V system.

10. Fortnightly Training. A major feature of the T&V system is trainingof VEW once a fortnight. This training is carried out by SMS and, reviewedby AEO and his VEW in the alternate week. For sessions given by SMS, the

- 39- ANNEX 2Page 3

basic training unit would be a group of 30-40 VEW and DYAO. They would meeton a regular day, once in two weeks, to receive training from SMS and SDAOof subdivision, supported as necessary by district staff and research workers.Most sessions would be held where there are means for practical applicationof lessons taught, viz., a farmer's field, a seed farm, an experimentalstation, or a training center. Training would cover actual farm situationsmost likely to arise over the next two week period. Time would be allowedfor VEW to carry out field operations and practicals. During training, theVEW would have a chance to raise and discuss problems encountered in theprevious fortnight. Representatives of cooperatives, banks, input agencies,agro-service units, and irrigation would be invited to attend part of thesession to ensure coordination of related activities. On the interveningtraining day in each two-week period, VEW would meet with their DYAO to reviewcurrent problems.

11. Preseason Training. Prior to each of the two main agriculturalseasons (kharif and rabi), VEW would receive a three day training coveringthe main seasonal crops and practices recommended for them. The trainingwould be held at subdivision level. The JD, SMS and SDAO would organize andattend this session. This training would initiate the extension campaign forthe coming season.

12. Special Short Courses. Some VEW would be given training in par-ticular disciplines/crops which are of special importance to their areas.

13. Promotional Training. Training grants would be available toselected VEW to enable them to obtain a degree and thus qualify for promo-tion as DYAO.

Agricultural Extension Officers

14. Preservice Training. DYAO would generally be university graduates.A number of them would be experienced VEW promoted as DYAO.

15. Orientation Training. All DYAO would receive special training inextension methodology and the T&V system.

16. Fortnightly Training. DYAO would attend all training sessions ofVEW. They are expected to assist SMS in fortnightly training. In additionto visiting each VEW in the field, DYAO would conduct a review training meet-ing for the VEW each fortnight as necessary. DYAO would also be given extratraining by SMS to develop greater subject matter competency.

17. Preseason Training. The DYAO would participate in the three daypreseason training prior to the main cropping seasons (kharif and rabi). Thetraining would be held at district level and the training group would consistof TNAU and state headquarters staff.

18. Special Short Courses. Selected DYAO would be given specializedtraining for a week in particular crops and disciplines which are of impor-tance to their area of operation.

- 40 - ANNEX 2Page 4

19. Promotional Training. DYAOs who show exceptional talent would beprovided opportunities for higher training. Such DYAO will be deputed fora two year M.Sc course at TNAU.

Subject Matter Specialists (SMS)

20. SMS play an important role in providing technical support andtraining to VEW and DYAO. There would be SMS with different levels of trainingand competence at subdivisional, district and state levels. Selection criteriaof SMS have been considered at national level and the following qualificationshave been proposed for guidance of the state governments in recruitment ofthis category.

Fresh Recruits: M.Sc (Agri) with specialization in agronomyor other disciplines, preferably with two years of fieldexperience.

21. Orientation. Suitable instruction would be given in extensionmethodology and the T&V system to all SMS. Their specific roles would beexplained to them in detail.

22. Inservice Training. The SMS would participate in the zonal work-shop, preseason training, and specialized short courses.

(a) Zonal Workshop. To provide effective training to VEW andDYAO once every two weeks, the SMS would have to be up-to-date in their area of specialization and ensure thattraining has a practical bias. For this purpose, the SMSwould participate in a zonal workshop every month at aTNAU research station or other suitable location.

(b) Preseason Training. The SMS would participate in the threeday preseason training prior to the main cropping seasons(kharif and rabi). The training would be held at districtlevel.

(c) Special Short Courses. In order to build up professionalcompetence of SMS it is considered necessary to providethem opportunities for higher training-in TNAU, otheragricultural universities, and research institutions ofnational importance. SMS with exceptional talent couldbe provided opportunities for training in such internationalresearch institutions as IRRI (Philippines).

23. Promotional Training. Such of the SMS who do not possess M.Scdegrees would be provided opportunities for higher training (M.Sc agric)at TNAU.

-41 - ANNEX 2

Page 5

Administrative Personnel

24. In addition to subject matter training and training in extensionmethodology, administration and management training would be available toSMS and other staff (DVAO, JD and ADA).

25. Orientation. All supervisory personnel would undergo training inextension methodology and the T&V system. Their specific roles would beexplained in detail.

26. Inservice Training. Special training programs would be organizedby the Director of Agriculture for staff at supervisory levels.

Responsibilities

27. The Additional Director of Agriculture (Extension) and Director ofHorticulture, in consultation with TNAU and other appropriate agencies, wouldbe responsible for planning and organizing all training programs. They wouldbe assisted by the SMS team at headquarters. A summary of the training acti-vities follows:

ANNEX 2

- 42 - Page 6

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

State Level Training Program - Kudumiamalai

No. to be Total No.Name of No. of Trained to be

the Training Training Period in each Batch Trained/Yr

(i) InserviceTrainingVRW 6 April-June 50 300(3 months) July-Sept.

(ii) RefresherTraining MayVEW 4 April-May 50 200(2 months) July-Aug.

(iii) Dy. AO 4 June-Sept. 30 120(1 month)

(iv) SpecializedTrainingVEW 20 October 50 1,000(15 days) November

DecemberJanuaryFebruary

Dy. AO 10 November 30 300(15 days) December

February

SMS 2 October 30 60(2 months) November

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

CHART INDICATING THE PROGRAMME OF TRAINING DURING EACH YEAR

April M June July August September October November December January February March

V.E.W. V.E.W. Spl. Trg. Spl. Trg. Spl. Trg. Spl. Trg. Spl. Trg.

Inservice Inservice V.E.W. V.E.W. V.E.W. V.E.W. Dy.A.O.

2 2 2 2 2

V.E.W. Inservice V.E.W. Inservice courses courses courses courses courses

V.E.W. V.E.W. Spl. Trg. Spl. Trg. Spl. Trg. Spl. Trg. Spi. Trg.

Inservice Inservice V.E.W. V.E.W. V.E.W. V.E.W. Dy.A.O.

2 2 2 2 2

courses courses courses courses courses

V.E.W. Ref. Ref.Ref. Course V.E.W. Course Spl. Trg. Spl. Trg. Spl. Trg. Spl, Trg.

Course Dy.A.O. Ref. Course Dy.A.O. VE.W. V.E.W. V2E.W. Dy.A.O.

2 2 2 2courses courses courses courses

V.E.W. Ref. Ref.

Ref. Course V.E.W. Course Spl. Training Spl. Trg.

Course Dy.A.O. Ref. Course Dy.A.O. S.M.S. V.E.W.2

courses

Spl. TrainingS.M.S.

NB: V.E.W. - Village Extension Worker

Ref. Course - Refresher CourseSpl. Trg. - Specialized Training - 2 courses of 15 days each. M

ANNEX 3Ta b]. 1 1

-44-

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

Implementation Schedule: All Components

Pre-Board Pre- Months after Effectiveness'Item Presentation Effectiveness 1 6 9 12 18 21 24 30 33 36! 42 45

Civil Works

Site Selection

Prepare Tenders

145 VEW 290 VEW 435 VEW 580 AEOConstructi on

30 AEO 60 AEO 9OAEO 120 AEOVehicles &Equipment

Prepare Tenders

PurchaseVehicles 90 57

Equipment _

Staff

Appoint DVAO 32 existing 28 existing;9 new 20 new

Select/AppointSMS .19 existing _ 92 existing

44 new 52 newSelect/AppointAEO 305 existing _ 162 existing

2 new 176 newSelect/Appoint 1,751 existingVEW 1,751_existing 513 new 1,675 existing _

838 newTraining_

Orientation

All Other

CoordinationC6railttees

Project Monitoring

Select/AppointStaff

Data Collection/Baseline SurveyEvaluation

45 -

ANNEX 3Table 2

LNDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

Estimated IDA Disbursements(US$ Million)

Disbursements Semester Cumulative(IDA FY)

1981 /a2nd 0.0 0.0

1982 1st 0.2 0.22nd 0.2 0.4

1983 1st 1.5 1.92nd 2.0 3.9

1984 1st 3.6 7.52nd 3.6 11.1

1985 1st 4.3 15.42nd 3.8 19.2

1986 1st 2.7 21.92nd 2.7 24.6

1987 1st 2.4 27.02nd 1.0 28.0

/a Estimated effectiveness date Sept. 30, 1981.

ANNEX 4Table 1

_ 46 -

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

ECON(MIC ANALYSIS

(Rs' 000)------------Cost------------------------------------------Benefits---------------Incremental Total Cost % DiscountExtension Incremental Total discounted Benefits Factor Present Value

ear Costs Training Costs Cost at 50% Achieved at 50% of Benefits

1 39,667 10,856 50,523 33,648 - 0.666 -2 59,662 5,679 65,341 29,011 10 0.444 0.0443 51,819 5,679 57,498 17,019 30 0.296 0.0904 60,349 5,679 66,028 13,007 60 0.197 0.1205 32,989 5,679 38,668 5,065 80 0.131 0.1006 32,989 5,679 38,668 3,364 90 0.087 0.0797-20 32,989 5,679 38,668 6,573 100 0.170 0.170

107,687 0.603

The annual incremental value of crops (1980 prices) required from year 7 onwards to achieve a 50%rate of return is Rs. 107.68 M. or Rs. 178 M.

0.603

Present Yearly Prices of Present YearlyArea Present Yields Production crops value of crops

(M. Ha) (kg/ha) (M. Ha) Rs/ton (Rs. M)

Paddy 2.3 2,5002/ 5.75 1,9871/ 11,425Millets 2.1 850-3 1.785 1,0002Q 1,785

13,647178

To obtain Rs. 178 M. all the yields must increase by 13,210 or 1.3% on all cropped area or 2.6%of paddy and millets cropped area. Yield increases required would thus be:

Paddy 65 kg/haMillets 22 kg/ha

September 1980

1/ See Table 2.2/ Farmgate price has been used as these crops are not traded.3/ Average yield (1970/71 to 1979/80).

- 47 -

ANNEX 4Table 2

INDIA

TAMIL NADU AGRICULTURAL EXTENSION PROJECT

ECONOMIC PRICE FOR PADDY

1. Milled Rice - Madras US$

Price milled rice 25-35% brokens f.o.b. Bangkok 358 1/Add c.i.f. to Madras and handling to

wholesale outlet 40

398 tons wholesale marketin Madras = 3,184 Rs/ton 2/

2. Costs of Milling and Handling Rice from Farmgateto Madras

Paddy - Farmgate mill, transport, in-storehandling and storage charge Rs/ton

Transport 19.25 3/Milling and handling 40.10 4/

59.35/ton paddy=89.92/ton milled rice

Milled Rice - Transport (Mill to Madras) 82.50 5/Handling to wholesale market 44.63 6/

127.13/ton milled rice

Financial cost of Rs 217/ton adjusted by SCF 0.8to give economic cost of Rs 174/ton.

3. Economic Price of Paddy at Farmgate

Imported rice Madras wholesale market (Rs 3,184/ton) less millingand handling charges to Madras of Rs 174/ton and converted to paddyat 66% = Rs 1,987/ton paddy.

1/ World Bank Commodity Price Forecast, October 1979.2/ Converted at official exchange rate of US$1.0 = Rs 8.0.3/ Transport farmer to mill head Rs 1.93/ptl (about 55 km).4/ Miller paid Rs 26.3/ton for milling + Rs 13.8/ton commission and other

charges for 66% outturn.5/ Transport Mill to Madras (about 150 km) at Rs l.O/ptl/km for the first 15 km

and Rs 0.5/ptl/km over.6/ Handling charges and commission.

INDIATAMIL NADU EXTENSION PROJECT

ORGANIZATION CHART

LEVEL OF ADMINISTRATIONDIRECTOR OF

AGRICULTURE

OUTSIDETLVSYSTEM T & V SYSTEM

STATE

|ADA (SEEDS) ADA IX

DISTRICT ..1E _

JDA ~ ~ ~ ~ ~ ~ ~ ~~~~~~~~DSSF _ _ _ _ _ _ _ _ _ .INPUTS |- JODSAT CERALS JDA S~~~PULSE CANE

TALUK | SEE~~~~ ~~DS DD sms sm1 s F_

WITHNAGRONOMY P. PROTECTION INF & TRG SMSVILLAGE WITH WATER MANAGE

I DY-AO (TECH) 1 DY-Ao WITH ~ ~~~~~~~~~~~ DY-ADH DYADITDHA MENT WITHEACH (14) (TEMEACH 1 DY-AO 1 DY-AO I DY-AO I~~~~~~~~~~~~~~~~~~~~ DY-AD (TECH)

(1) (TECH) EACH (TECH) EACH (TECH) EACH (11

TALUK 1

AGN P.u (646)WRONOMY P. PROTECTION INF & TRG

VILLAGE

World Bank - 22284

'9. ~~~~~~~~BRD 15429

INDIA H

TAMIL NADU EXTENSION PROJECT D E

9-._ - t A R N A -------

7 X t ; g 00 \ _f_ u \ S~~~~~~~~~- s u

N 'jDH;AR /' g ,o T Z R 9 C He,>_ _ ,KAURZKAR"'

.j ~~~~~ COIMEATORE I . - euhhrpA , Xha:9

..SIsond Ye=l Phase , / / ' Z'" -' ¢ Z

r .e 2D 3~~~~~~~~(jp le p6 AW< r,|.S ..:

MADURA NAI -APRA

*SOAOYdYAA9PPO9R /~~~~~~~~~~~~R 9. ~~~~~~~~~~N889 ~ ~ ~ ~ ~ ~ ~ ~

FOUUI- P9hA9

S,o-d Y-, Ph..T00A9 o,91

0 Doolojot 009odq~oo0A98 <' i~~n~rrT I U 0

D.--- , 0B~d9O8-d0,--0

A 0 00 0 90 90 00 00 ~KAWYAK AR