Development interventions, adaptation decisions and farmers' well-being: evidence from drought-prone households in rural India

Evidence suggests that the developing countries are highly vulnerable to various climatic shocks now and in the foreseeable future, while they are already encountering various developmental issues such as poverty, food security, malnutrition and inequality. Over the years, several development interventions have been undertaken to address these issues. Although recent studies particularly emphasize the need to integrate climate change adaptation into development planning, empirical analysis of causal relationships is less explored, specifically in India. Consequently, this study firstly attempts to identify whether synergies exist between development activities and agricultural adaptation decision-making. Secondly, it assesses the impact of such decisions on farmers' well-being. The empirical analysis is based on a survey of 549 rural households in drought-prone regions of western Odisha, India, where western Orissa rural livelihoods project was implemented in the last decade to improve the living standards. Using an 'endogenous switching regression approach', this study reveals two findings. Firstly, livelihood interventions enhance the likelihood of undertaking farm-level adaptation measures, and the other drivers are access to technical education, formal and informal institutions and agricultural extension services. Secondly, adaptations lead to significant gains in income from crops. The paper concludes with implications for policies to promote various rural livelihoods projects in rural India. From a broader policy perspective, it is imperative to integrate climate change in development planning to reduce the risk of maladaptation.