LAND DISTRIBUTION IN PALAMPUR Because all of the people in Palampur are involved in agriculture, the town does not have enough land for agriculture to flourish. Palampur has 450 families, 150 of whom are landless, with the majority of them belonging to the dalit community. 240 families own land, with the majority of them cultivating small plots of land less than 2 hectares in size. As a result, they must seek additional employment. Over 2 hectares of land is still under cultivation by the remaining 60 families of medium and large farmers. FARM LABOUR Farmers are either from landless families or from families who cultivate small plots of land. Farm labourers are employed by the government. It is possible that the labourers will not be hired for the entire year. He or she may be hired on a daily basis or for specific tasks such as sowing and harvesting crops and vegetables. Some labourers in the village have also ventured into the non-farm sector, and some are reliant on the generosity of moneylenders. CAPITAL NEEDED IN FARMING Because modern farming methods necessitate a significant investment of capital, the farmer will require additional funds to carry out his or her operations. Moneylenders charge them a high rate of interest, which they cannot afford. Agriculture provides large and medium-sized farmers with their own sources of savings SALE OF SURPLUS FARM PRODUCTS The large and medium farmers in Palampur keep a portion of the grain they produce for their own consumption and sell the remainder on the open market. These farmers make a substantial amount of money from this sale, which they use to further their agricultural endeavours or to begin non-farm businesses. As a result, their working capital as well as fixed capital are increased as a result of this surplus money.