Economic Analysis of Commercial Potato Cultivation in Kusadevi, Kavre

Govinda P. Sharma* , Tulasi Gautam**. Shambhu P. Dhakal* and Shyam P. Dhakal*

*National Potato Development Program (NPDP),Khumaltar
**Agriculture Market Research and Statistics Management Program (MRSMP), Hariharbhawan

Abstract

A study was conducted to assess the economic profitability of commercial potato (main season) cultivation among farmers of Kusa Devi, Kavre. Potato farms one of the major Agriculture enterprises with summer production as major share and other being autumn season. Farmers were selected randomly and were provided with daily farm record format jointly developed by NPDP and MRSMP. Data were filled by farmers and verified by regular supervision from NPDP throughout the crop season for use of inputs and yield whereas information regarding farming, command area, marketing and other relevant information were obtained by focused group discussion. Quantitative data were analyzed using MS Excel and SPSS 16. The total investment per ropany (500m2) was found approximately 9530 NRs of which household resources accounted 69% Share and remaining being direct cash investment. The b/c ratio was approximately 1.32 and 1.77 and ROI was found 0.32 and 0.77 at the farm-gate price (FGP) at harvesting time and most common selling price respectively. Farmers' product price varied greatly with their retention capacity, storage availability and dealing with traders at local and distant markets such as Kalimati and other wholesale markets of Kathmandu valley. Seed, fertilizer and labor ranked first, second and third respectively by share of investment in potato cultivation. Cost of cultivation particularly seed potato, fertilizer and labor cost in one hand; and the yield and FGP of fresh potato as well as its demand pressure from market on other hand were the major factors determining the net economic return to the farmers.

Keywords: benefit cost ratio; commercial potato: cost of cultivation; farm gate price; Kavre district, net farm income, return on investment, small farmers

Published Year
2011

Volume
Proceeding Volume 7

Issue