The area under groundnuts fell by 11 per cent to 5.19 million hectares in 2011-12 crop year due to unfavourable weather, lack of marketing infrastructure and price fluctuations, Parliament was informed on Tuesday.
The groundnut acreage stood at 5.85 million hectares in the 2010-11 crop year (July-June), Agriculture Minister Sharad Pawar said in a written reply to Lok Sabha.
"Major reasons for decline in area coverage under groundnut in the recent years include weather aberrations, intermittent dry spells, drought like conditions in major groundnut producing states," Pawar said.
The susceptibility to a number of pests and lack of marketing infrastructure and higher fluctuation in prices leading to uncertainty in economic returns are the other factors responsible for the decline, he added.
Gujarat is a major producer of groundnut.
To encourage the farmers to grow oilseeds including groundnut, the government has implemented the Integrated Scheme for Oilseeds, Oil Palm and Maize (ISOPOM) in 14 major oilseed producing states, 15 maize growing states and 9 oil palm growing states, Pawar said.
According to second advance estimates, oilseeds production is expected to fall to 30.52 million tonnes in 2011-12 crop year (July-June) from 32.47 million tonnes in the previous year.