It is well-known that nutrient use efficiency in the country varied from 30 to 50%. Water use efficiency is also on the lower side. Market demand and supply could be accounted as one of the reasons for the low water and nutrient use efficiency. Market based crop planning forces farmers to grow crops and apply agro-techniques out of their sustainability domain. For example growing cotton (Bt cotton) on shallow and very shallow soils in parts of Maharashtra, Telangana, Karnataka, Andhra Pradesh and Tamilnadu. This is one of the reasons for crop failure and state of Maharashtra is known as epicentre of farmer’s suicide. Growing irrigated cotton in canal command area of Rajasthan is another example. Scarcity of water at the time of flowering and ripening forces farmers to use brackish ground water which is one of the reasons for spreading salinity in the command area. Network of sugar mills sets the allocation of high acreage of sugarcane in Uttar Pradesh. Assured procurement of rice and wheat at the minimum support price (MSP) are the identified factor for raising rice and wheat out of their sustainable domain in northern and western regions of the country. In contrast, maize is waiting for good market and food processing units in Bihar. The state has excellent geographic setting for winter maize. Similarly, highly sustainable area for ginger in the north-eastern region could not be used for the referred crop in absence of good market and processing unit. In absence of good investment, the non-arable land of the country could not be used optimally. Factually these are the potential area for wood and fruit industry and also for carbon sequestration.
Thus market is setting the tone of land uses and associated management practices in the country. This is not the ideal situation for attaining highest water and nutrient use efficiency. Ideally land use and value addition through industry should set the tone of market for achieving the goal of high water and nutrient use efficiency. Diversification of agriculture, the soul of farm bills attainable through contract farming expected to find the best land use and best management practices on a given soil type to attain the highest nutrient and water use efficiency.