By using INM technology and reducing input costs at the same time maintaining fertility of soil by using easily available weeds and fodder loppings for nutrient supply instead of chemical fertilizers. Planting of lucaena plants on bunds useful for the sheep and goats also in dryland and also the same can be used for loppings in field as it contains about 3.5% N content. So by goat and sheep raring income of farmers increased at the same time input costs of fertilizer reduced and fertility of soil maintained.
The "How to sustain production and income farmers ?" issue should not be limited to the dry land farmers only. Of course, arid and semi-arid farming communities do face an immediate threat of drought and famine. But, equally farmers living in good weather condition areas, unless they manage an environmentally friendly and sustainable way, the current conducive and good farm zones can be changed within a very short periods into dry, and poor area. So, the issue of sustainable, environment friendly technology and enhancing the capacity of (knowledge) should be at the center stage of the policy recommendation.
Apart from Soil & Water conservation and management, the second most important would be making the right choice of crops for cultivation that are ecologically suitable and at the same time provide adequate income to Dryland Farmers.
Integrating allied activities, agro-processing and non-farm activities will ensure integrated development and economic prosperity.
Adopt large scale farming operations, conservation agriculture with efforts to improve water infiltration rate. This will help to enhance SOC, WUE and over all crop productivity with less inputs in dry land agriculture. time adjustment of sowing, and better selection of varieties can also improve over all situation.
At a recent conference on Sustainable Development, a number of the speakers were talking about Sustainable Agriculture. One of the obvious issues that came up repeatedly was the need for a market for the surplus produce. If there is no market to absorb the surplus, there will be relatively little surplus. Without a plan to have much surplus, crop calamities would result in severe suffering for the farmer and her family. By having that market, the farmer has a reason to produce a significant surplus (as much as she can work to produce), so that in a bad year, she will still have enough (well, certainly more) to feed her family.
While that isn't 'technology' per se, creating a market does require an investment of time and resources that would be expected to produce a return on that investment in the form of time and/or resources into the future, so I think it is both Technological Development and Human Development.
Rely also on the knowledge of local farmers, their crop species and agronomic techniques. Crop residues become a valuable resource in arid systems as mulch that retains better water from evaporation. An arid system is very fragile and challenging to be productive. Increasing soil carbon (SOM) becomes imperative in this situation. Therefore, arid systems should integrate at an appropriate scale, a diversity of native plants and animal species in order to become productive. Permaculture in my opinion is a valid approach in the design and management of farming systems under these, or similar circumstances.
Shape the land in order to catch and store rain water and from areas that are best in retaining soil moisture plant trees and shrubs. The establishment of an initial plant community (as small as it can be) will improve the soil retention ability of water as SOM increases. From these patches eventually, the areas with vegetation can be expanded further. Animals can be valuable in this land reclamation process however, I would focus on small species like goats, sheep, chickens, honey bees, silkworms. First soil, then plants and animals only when you have a soil system capable of supporting a healthy and productive plants community.