In the present century also, agriculture is the main source of livelihood for majority of the people of Kerala. But agricultural sector is under the big threat of economic reforms like liberalization and modernization of economy. The agrarian economy of Kerala could not exclude from the drastic hitting of the liberalization, privatization and globalization reforms; farmers of the state began to think that there is no other way to sustain their life. The statistical profile of Kerala agriculture in the last five decades experienced agricultural transformation. In this change, plantation crops increased considerably. Changing cropping pattern in terms of acreage allocation among different crops is the integral feature of Kerala agrarian economy. The diversification of crops in terms of variation in acreage allocation has taken place due to price and non-price factors like agro-climatic conditions, labour availability, irrigation facilities, soil fertility, cost of cultivation, price levels, profitability, mechanisation, etc. The change has taken place largely in favour of non-food crops and recently it is towards rubber. The real growth of agricultural crop output has declined continuously since 1960-61 compared to monetary growth. In the case of rubber, the crop exhibited positive values in all the components in the decomposition analysis.
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