Majority of the population is tribal in the Khunti sub-division and they are dependent on agriculture and forests for their livelihood. Lack of food security from the land has compelled many tribal families to migrate out of their own villages. This is despite the fact that the existing landholdings can provide stable livelihoods to the tribal families. Lack of land development, irrigation, credit, know-how for improved agriculture, access to market etc. act as serious constraints leading to a large number of impoverished tribal families.
The area however is endowed with good rainfall - in most blocks the annual rainfall exceeds 1100 millimetres. There are numerous small rivers, rivulets and streams, which carry water up to the month of February or March. In spite of that, most cultivated lands do not have assurance of water for crops even during the monsoon. Inadequacy of water harvesting infrastructures and water use systems have allowed the rain water to run off through the streams to downstream areas beyond the State, leaving the lands here dry.
It has been long argued that ensuring water assurance to crops and improving land husbandry practices could go a long way in improving the livelihoods of poor families and impacting the local economy in rural areas. However, it has also been the experience that timely credit in adequate amount and know-how for improved agriculture are also essential along with water assurance to crops. For water assurance, the large irrigation schemes have not been successful in the district and other parts of Jharkhand.
The area is famous for the Lac cultivation. A large part of the India's total lac production comes from this area.Lac, a natural polymer (resin) is produced by a tiny insect, Kerria lacca (Kerr), which is purposely cultured on shoots of several species of trees, mainly palas, kusum and ber. This agricultural profession of lac cultivation is a subsidiary source of income for a large number of
