The correct option is 1 and 3 only because, in the context of Kharif crops, rice indeed occupies the largest area of cultivation due to its high demand and favorable climatic conditions in India, particularly in the monsoon season. Furthermore, cotton cultivation surpasses that of sugarcane owing to its profitability and adaptability in various regions, particularly in the states of Gujarat and Maharashtra. In contrast, the area under sugarcane has not shown a steady decrease but rather fluctuates based on market demand and water availability, making statements 2 and 4 incorrect. This reflects the variability in agricultural practices influenced by economic and climatic factors, which align with the curriculum covered in standard UPSC materials.