Assessing Smallholder Welfare through Climate-Resilient Practices in Rural India

Thesis Abstract

Smallholder farmers in rural India face increasing climate variability and exposure to extreme events, which threaten livelihoods, productivity, and food security. The study addresses the gap in understanding how climate-resilient agricultural practices translate into measurable welfare outcomes for smallholders, including income stability, asset accumulation, and food security. The aim is to evaluate the welfare impacts of climate-resilient interventions and to identify drivers that enhance or impede their effectiveness. Specific objectives are (i) to quantify changes in household welfare indicators (income, consumption expenditure, asset endowment, and food security) associated with adoption of climate-resilient practices; (ii) to assess the relationship between adoption intensity of practices such as drought-tolerant varieties, soil moisture conservation, rainwater harvesting, and staggered planting, and welfare outcomes; (iii) to examine mediating factors (credit access, extension services, market access, and risk perception) that influence the adoption-welfare link; (iv) to explore farmers’ perceptions, barriers, and enabling conditions through qualitative inquiry; and (v) to formulate policy recommendations for scale-up and targeted support. A mixed-methods approach is employed within a pragmatic research design. The quantitative component uses a cross-sectional survey of 600 farm households sampled from three drought-prone districts in Karnataka, Maharashtra, and Andhra Pradesh, selected to capture ecological and institutional diversity. Multistage random sampling yields approximately 200 households per district, with stratification by farm size and gender of household head. Data collection instruments include a structured questionnaire capturing demographic characteristics, farm characteristics, input use, income and expenditure, asset ownership, dietary diversity, and welfare proxies. Climate-resilient practices are measured through an adoption index comprising agronomic and infrastructural activities, validated through a pilot test and Cronbach’s alpha above 0.7. Welfare outcomes are operationalized via per-capita consumption expenditure, household asset index, and a stabilized multidimensional food security index (FSM) derived from a principal component analysis. The qualitative component comprises 40 in-depth interviews with key informants (36 farmers and 4 extension agents) selected via purposeful sampling to obtain diverse experiences with adoption, complemented by 12 focus group discussions with farmer groups to capture collective dynamics and community-level constraints. Analytical methods combine econometric and thematic techniques. Welfare effects of climate-resilient practice adoption are estimated using propensity score matching (PSM) and a multivariate regression framework to control for endogeneity and selection bias, with robustness checks including Oaxaca-Blinder decomposition and placebo tests. Mediation analysis assesses indirect effects through credit access, extension services, and market linkages. Theoretical grounding draws on the Sustainable Livelihoods Framework and the Technological-Behavioral Adoption model, extended with the Theory of Planned Behavior to interpret adoption decisions. Qualitative data are analyzed using thematic analysis to identify recurring patterns in perceived barriers, institutional support, and local knowledge systems, triangulated with survey findings. Expected findings include (i) positive welfare gains for adopters of climate-resilient practices, manifested in higher per-capita consumption, improved asset accumulation, and better food security, with effect sizes varying by district and farm size; (ii) stronger welfare impacts where credit access, effective extension services, and reliable input markets co-occur with adoption; (iii) significant mediating roles for risk perception and social capital in translating adoption into welfare benefits; and (iv) contextual constraints such as land fragmentation, price volatility, and policy gaps limiting full realization of benefits in certain communities. The study contributes to knowledge by quantifying the welfare implications of climate-resilient practices among smallholders in India, identifying enabling conditions for successful scale-up, and integrating quantitative and qualitative insights to illuminate pathways from practice adoption to improved welfare. Policy recommendations include targeted subsidies for climate-resilient seeds and water management technologies, strengthening extension and credit linkages, investing in local value chains and market access, and designing context-specific, gender-responsive support mechanisms. The research concludes that sustained welfare improvement hinges on a coherent mix of technical adoption, financial inclusion, and institutional support, and it calls for longitudinal follow-up studies to capture long-run dynamics and resilience under shifting climate regimes.