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Resource Use Efficiency and Economics of Onion Cultivation In Journal of Pharmacognosy and Phytochemistry 2018; 7(5): 1333-1338 E-ISSN: 2278-4136 P-ISSN: 2349-8234 JPP 2018; 7(5): 1333-1338 Resource use efficiency and economics of onion Received: 18-07-2018 Accepted: 19-08-2018 cultivation in Bhavnagar district of Gujarat GK Kantariya Research fallow, Department of GK Kantariya, NJ Ardeshna, Rohini A Vilhekar and VM Thumar Agricultural Economics, Junagadh Agricultural Abstract University, Junagadh, Gujarat, The present investigation was undertaken with a view to study the cost & returns and resource use India. efficiency of onion in Bhavnagar district of Gujarat as it has the largest share in onion cultivation in the NJ Ardeshna Saurashtra region of Gujarat state with a random sample of 120 respondents. The results indicated that Associate Research scientist, the average total cost of cultivation per hectare of onion farms was Rs. 158678 which was the highest on Department of large farms and the lowest on marginal farms by on an average, Cost-A (paid out cost) formed 69.18 Agricultural Economics, percent of total cost, while Cost-B accounted for 82.42 percent of total cost. The average yield of onion Junagadh Agricultural per hectare was 299.56 quintal on sample farms which lead to give Rs. 182280, Rs. 78219, Rs. 52590 and University, Junagadh, Gujarat, Rs. 64743 as gross income, farm business income, family labour income and farm investment income, India. respectively to selected onion growers. The average cost of production (Cost-C2) was Rs. 529.65 per quintal which was the highest on small farms, followed by medium farms, large farms and marginal Rohini A Vilhekar category of farms. The variables of manures & cakes, irrigation charges and plant protection chemicals Research fallow, Department of found to have significant influence on the gross income The sum of the elasticities was less than one Agricultural Economics, indicating diminishing returns to scale. The ratio of MVP to factor cost in case of all farms found to be Junagadh Agricultural greater than one for manures & cakes, irrigation, plant protection chemicals and fertilizer indicating that University, Junagadh, Gujarat, India. still there exists a scope for higher utilization of these inputs in order to increase the gross income. There is need to put more efforts to train the farmers regarding the use of pest and disease resistant varieties and VM Thumar creating awareness among the farmers regarding the efficient utilization of underutilized resources are Planning Officer, Directorate of some of the suggestions emerge from the study. Research, Navsari Agricultural University, Navsari, Gujarat, Keywords Onion, cost-returns, profitability, resource use efficiency India Introduction Onion is one of the important horticultural crop enhance farmers’ economy with the pace of agricultural development in Indian economy. It is grown mainly for its bulb, which is used in every home as a constituent of meal. In India, onion occupied 13.06 lakh hectares area under [3] cultivation with production of about 224.27 lakh metric tonnes in 2016-17 (Anon., 2017a) . Moreover, area, production and yield of onion crop grown considerably in India during last decade but it found quite unstable due to fluctuation in prices and several other factors. Gujarat is the leading onion producing state in India with the highest productivity of 26.54 tonnes/ha in year 2016-17. The area and production of onion was about 0.51 lakh hectares and 12.90 lakh tonnes, respectively during the year 2016-17 in Gujarat (Anon., 2017b) [3]. It is also reported that the annual area, production and productivity of onion increased at the rate of 6.50, 9.96 and 0.68 percent, respectively in Gujarat during 1990-91 to 2006-07 (Ardeshna and Shiyani, [4] 2014) . It is also noteworthy that Saurashtra region alone contributes area of 0.48 lakh hectares in onion cultivation and 12.19 lakh tonnes of onion production in year 2016-17. The Bhavnagar districts of Saurashtra region alone contribute 67.82 percent in terms of area and [3] 69.88 percent in terms of production of onion during the year 2016-17(Anon., 2017b) . Keeping all this in view, the present study was undertaken to work out the cost of production and input-output ratio, to estimate different profitability measures and to analyze the resource use efficiency of onion growers in Bhavnagar district of Gujarat state. Methodology Bhavnagar district was selected purposively, as it collectively covers 67.82 percent area of onion cultivation with 69.88 percent share in production of onion in the state in the year 2016- Correspondence 17. Mahuva and Talaja talukas of Bhavnagr district were selected on the basis of its largest GK Kantariya share in onion cultivation in the district. Three villages of Mahuva taluka namely Kumbhan, Research fallow, Department of Tared and Kalsar, while three villages from Talaja taluka namely Dihor, Zanjmer and Thaliya Agricultural Economics, were selected on the basis of concentration of area under onion cultivation. A proportional Junagadh Agricultural University, Junagadh, Gujarat, sample of 120 respondents comprises of 20 respondents from each of the selected villages was India. selected for study. They are classified in to four different farm size groups viz., Marginal (up to ~ 1333 ~ Journal of Pharmacognosy and Phytochemistry 1.00 hectare), Small (>1.00 to 2.00 hectares), Medium (>2.00 irrigation to the crop. In addition to the share of human labour to 4.00 hectares) and Large (above 4.00 hectares). The in total cost of onion, the major share of inputs was observed collected data were analyzed using ratios and percentages to in case of planting material (11.78%), manures and cakes work out the standardized concepts of different costs and (6.93%), fertilizer (5.59%), insecticides/pesticides (5.10%), returns in addition to production function to work out the tractor charges (4.92%), irrigation charges (4.71%), resource use efficiency. Different cost viz; Cost-A, Cost-B, miscellaneous (1.41%), bullock labour (0.85%) and Cost-C1 and Cost-C2 / Yield of main Product in quintal depreciation (0.35%). Similar results were found by estimated and The various income measures used in the Mohapatra (2001) [9], Barakade et al. (2011) [5]. and Meena et present study are shown as; Value of gross output, Farm al. (2016) [8]. They also observed the higher share of cost of business income, Family labour income, Intensive income, planting material (11.10%) in Odisha during year 2001, Farm investment income and Net income. pesticides (5.65%) & irrigation charges (4.77%) in In order to determine the efficiency of resources used in the Maharashtra during year 2011 and fertilizers (5.20%) in production of onion, the following form of Cobb-Douglas Rajasthan during year 2016 in total cost of cultivation of production function was fitted. onion. As far as different fixed cost are concerned, the highest share in total cost was observed in case of rental value of b1 b2 b3 bn Y = ax1 x2 x3 ………xn owned land (15.66%) followed by managerial costs (9.09%) and interest on fixed capital (0.57%). The data in the table The original equation was converted into log linear from and also indicated that the share of family and bullock labour was the parameters will be estimated by using the ordinary least found declining while the share of tractor was found square method. increasing in the total cost according to farm size. Similar trend was also observed in the use of fertilizers and plant ln Y = ln a + b1 ln X1 + b2 ln X2 + b3 ln X3 + b4 ln X4 + b5 ln protection measures which increased with increase in farm X5 + b6 ln X6 + b7 ln X7 + e size. Estimates of different costs such as Cost-A, Cost-B, Cost-C1 and Cost-C2 were calculated and presented in Table Where, 2. It could be inferred that overall per hectare Cost-A was (Rs. Y = Gross income of onion (Rs. /ha) 104997). It was found the highest on large farms (Rs. X1 = Cost of human labour (Rs. /ha) 111186/ha) and lowest on marginal farms (Rs. 97058/ha). X2 = Cost of bullock and machine power (Rs. /ha) Further, the study also showed that Cost-B and Cost-C1 X3 = Cost of manures (Rs. /ha) accounted for about 82.42 and 90.90 percent of the Cost-C2. X4 = Cost of planting materials (Rs. /ha) Overall, Cost-C2 was Rs. 158678 per hectare which was the X5 = Cost of fertilizers (Rs. /ha) highest on large farms (Rs. 163056/ha) and lowest on X6 = Cost of plant protection chemicals (Rs. /ha) marginal farms (Rs. 151760/ha). Increasing trend was X7 = Irrigation charges (Rs. /ha) observed in total cost (Cost-C2) which increased with increase a = Intercept in farm size from marginal to large. These results are in b1, b2… b7 = Regression co-efficient (output elasticity of [3] conformity with the findings of Anon. (2017c) . They also respective inputs (Xi’s) observed the total cost of onion to the tune of Rs. 146702/ha e = Error term with usual assumptions in year 2016-17. The average yield of onion was 299.56 quintals per hectare on overall farms. It ranged from 290.30 Results and Discussion quintals on marginal farms to 308.83 quintals on large farms The results of component wise costs for onion cultivation on (Table 3). Higher yield level on large farms may be due to different size of farms per hectare revealed that the average optimum level of inputs utilized by them along with timely per hectare total cost of cultivation of onion crop was Rs. weeding operations, seed treatment, advance plant protection 158678.00 (table 1). It was the highest on large farms (Rs.
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