The Story of village Palampur | Easy Notes of class 9th

Introduction:-

This chapter takes us behind the scenes of how goods and services are produced. It shows what is needed for any production — like land, labour, capital, and human skill. To explain this clearly, we use an example of an imaginary village called Palampur. Through Palampur, we learn how these resources come together in farming and other village work. Let’s explore how production really happens!

Palampur (Imaginary Village)

Location & Road Connection

• Palampur connects to nearby village Raiganj (3 km) and town Shahpur through an all-weather road.
• Many vehicles use the road: bullock carts, tongas, tractors, trucks, jeeps, motorcycles.

Social Setup

• 450 families of different castes live here.
• Upper caste families (80) own most of the land and have pucca houses.
• SCs (Dalits) make up ⅓ of the population and live in kuccha houses in one corner.

Facilities

• Most houses have electricity (used for tube wells and small businesses).
• Palampur has irrigation facility.
• 2 primary schools + 1 high school.
• Health care: 1 govt. health centre + 1 private dispensary.

Production Activities

• Main activity: Farming
• Other (non-farm) activities: Dairy, small manufacturing, transport, and shop-keeping

Organisation of Production

Goal of Production:- The main goal is to produce goods and services that people need.

Four Key Requirements (Factors of Production)

1. Land – It includes soil, water, forests, and minerals.
2. Labour – These are the people who work.
   • Some are skilled (educated).
   • Some do manual work.
3. Capital – The things used to support production:
   • Fixed Capital – tools, machines, buildings (used for years).
   • Working Capital – raw materials and money (used up during production).
4. Human Capital – The knowledge and skill to combine the above resources.

All production is done by combining these four factors.

Let’s understand the factors of production using examples from Palampur and its activities.

Farming in Palampur:

Main activity of Palampur is farming.

First factor : Land

Land is fixed and a finite resource.

Main activity → Farming (75% people depend on it).

Problem → No expansion in land since 1960.

All land cultivated → Even wasteland was converted earlier.

How to Increase Production?

(a) Multiple Cropping

• Same land used for 2–3 crops a year → More output.
• Crops grown:
  • Kharif → Jowar & Bajra (used as cattle feed).
  • Between Oct–Dec → Potato.
  • Rabi → Wheat (for self-use & selling).
  • Annual → Sugarcane (sold as jaggery in Shahpur).
• All farmers → At least 2 crops; many grow potato as third.

(b) Modern Farming Methods

• HYV Seeds → Introduced in late 1960s (Green Revolution).
• More yield but require:
  • Ample water (irrigation),
  • Chemical fertilisers,
  • Pesticides.
• Traditional vs HYV yield (wheat):
  • Traditional → 1300 kg/ha
  • HYV → 3200 kg/ha
• Inputs like tractors & threshers → Faster farming

Will the Land Sustain?

Modern farming overuses resources → Damages soil & deplete groundwater.

For Example:- Chemical fertilisers provide short-term boost but long-term harm. They reduce soil fertility & kill microbes. Also, they cause pollution in groundwater & rivers. And overuse of tube well for irrigation leads to falling water table.

Thus, sustainable agriculture is the only solution for keep environment safe and liveable.

How is land Distribution in Palampur?

Land Distribution is unequal.

• 60 families → Medium & large farmers (land > 2 hectares); some own 10+ hectares.
• 450 families in total:
  • 1/3rd (150 families) → Landless (mostly Dalits).
  • 240 families → Small farmers (land < 2 hectares).

Second Factor: Labour

Who Will Provide the Labour?

• Small farmers:- They work themselves with family help.
• Medium and large farmers: They hire labourers who work for wages.
• Landless labourers : They depend on daily wages for work.

Thus, small farmers and hired workers (landless labourers) provide labour.

Third Factor : Capital

What capital is required in farming?

Modern farming needs more money (capital) for buying seeds, fertilisers, irrigation, repairs, etc.

• Small Farmers:- They borrow money (at high interest rate) from large farmers, local moneylenders, traders.
• Large Farmers:- They use their own savings. (It is because they earn more from their large land and surplus produce.)

Fourth Factor: Entrepreneurship

Some farmers (mostly medium and large) take initiative, use their savings, invest in land, tools, and labour, and take risks to earn profit.

What Happens to the Surplus Produce?

• Farmers use the three factors of production to grow crops like wheat.
• After harvest, they keep some wheat for family use and sell the surplus.
  • Example: Tejpal Singh, a large farmer, sells 350 quintals of wheat and earns good money.
• Small farmers: They produce less → Keep most of it for family use.
• Medium & large farmers: They produce more → Sell surplus in the market.

Non-Farm Activities in Palampur :

Only 25% of Palampur’s workers do non-agricultural jobs.

1. Dairy: Families raise buffalos, sell milk to traders who transport it to cities.
2. Small-scale Manufacturing: Some people manufacture goods at home or fields to sell .
   • For Example:- Mishrilal uses a machine to crush sugarcane and make jaggery, selling it for profit.
3. Trade and Shops: Shopkeepers buy goods from cities and sell them in village shops near bus stands.
4. Transport: Drivers of rickshaws, tongas, trucks, and bullock carts move people and goods for payment. (Note: This sector is growing.)