Despite rapid increase in tractors and power-operated machinery, the use of mechanical power in agriculture has increased but draught animal power (DAP) continues to be used on Indian farms due to small holdings and hill agriculture. In India, 10 per cent of net or gross sown area is still being managed by using draught animals. India possessed the fines breed of cattle in the world. Study reveals that the command area with per animal pair per season ranges from 2.0-2.5 ha to ensure timeliness in field operations. Under the project, AICRP on UAE, improved animal drawn implements have been developed by the centres and studies showed that the improved implement system gave 32 per cent more field capacity and 25 per cent saving in labour over conventional implement system. Bullock drawn patella harrow saves 60 per cent cost of operations as compared to planking and manual picking of trash. Bullock drawn air mist canopy sprayer saves 82.2 per cent cost and 88.4 per cent time for spraying of cotton and pigeon pea over the manual knapsack sprayer. Economics of animal-based farming system with improved package of implement and practices studied for mechanization of wet land rice and rice-based cropping system at OUAT, Bhubaneswar Centre reveals that the cost of operation with improved animal drawn implement was found to be Rs 714.00 per ha as compared to Rs 893.00 per ha in case of conventional method of manual broadcasting. The average grain yield and B:C ratio for mechanized rice with improved animal drawn implement were found to be 4.8 t/ha and 1.42 as compared to 4.2 t/ha and 1.24, respectively for conventional method. The animal-based cultivation system has been found to be cost-effective and energy efficient for small farmers in the country.