Economics of production and marketing of tuber crops in Palakkad district

Abstract

The present investigation on the economics of production and marketing of tuber crops viz. coleus, sweet potato and tapioca in Palakkad district was undertaken during the year 1994-95. The study focussed on estimation of cost and returns and marketing system. Data for the study was generated through a sample survey of farmers, village traders, wholesalers and retailers. Two stage sampling technique was adopted for the study, with panchayats selected purposively and sample farmers by random sampling method. The sample size for each crop was 50 making a total of 150 sample respondents. The results of the cost structure analysis revealed that the largest single item of expense was rental value of own land for coleus and tapioca and for sweet potato chemical fertilizer had the highest expense. Among the explicit cost items male labour accounted the highest share in coleus while rental value of own land and farmyard manure were the most important item in sweet potato and tapioca respectively. Cost A1, Cost A2, Cost B1, Cost B2, Cost C1 and Cost C2 per hectare was Rs.10101.74, Rs.13016.86, Rs.10101.74, Rs.17593.80, Rs.10743.99 and Rs.18236.05 respectively for coleus and Rs.8124.94, Rs.8124.94, Rs.13304.05, Rs.8852.50 and Rs.14031.61 respectively for tapioca and Rs.6733.13, Rs.6733.13, Rs.6733.13 and Rs.9079.94, Rs.7311.04 and Rs.9654.84 respectively for sweet potato. The average per hectare yield of coleus, sweet potato and tapioca were 9154 kg, 8801 kilogram and 7398.73 kilogram respectively. Benefit-cost ratio for coleus was Rs.2.27, Rs.1.76, Rs.2.27, Rs.1.30, Rs.2.13 and Rs.1.25 based on costs A1, A2, B1, B2, C1 and C2 where as the corresponding figures for sweet potato were Rs.1.74, Rs.1.74, Rs.1.74, Rs.1.29, Rs.1.60 and Rs.1.21 respectively. In the case of tapioca Benefit cost ratio was Rs.3.19, Rs.3.19, Rs.3.19, Rs.1.95, Rs.2.93 and Rs.1.85. The income measures in relation to different cost concepts, in coleus cultivation such as gross income, farm business income, family labour income, net income and farm investment income were Rs.22884.72, Rs.12782.98, Rs.5290.92, Rs.4648.67 and Rs.12140.73 respectively and Rs.11734.04, Rs.5000.91, Rs.2654.10, Rs.2076.20 and Rs.4423.00 respectively for sweet potato and Rs.25895.56, Rs.17770.62, Rs.12591.51, Rs.11863.95 and Rs.17043.06 respectively for coleus. Functional analysis was carried out using Cobb-douglas production function and the results revealed that for coleus fertilizer was found to be negative and significant. The production elasticity of labour was negative and insignificant. Farmyard manure and planting material were found to be insignificant. With regard to sweet potato labour was found to be negative and significant and the production elasticity of fertilizer was found to be negative though insignificant. Farmyard manure and planting material was found to be significantly influencing production. Regarding tapioca the production elasticity of labour and farmyard manure was found to be negative though insignificant. The high value of production elasticity of area indicated the dominance of this particular factor. Marginal value product of farmyard manure and planting material for coleus and sweet potato were greater than their factor cost ratio and was negative for labour and fertilizer. In the case of marketing of coleus and sweet potato more than 95 per cent of the produce was sold to wholesalers through commission agents. The producer’s share was only 34.53 per cent and 31.76 per cent of the consumers’ rupee for coleus and sweet potato respectively. The index of marketing efficiency was 0.53 for coleus and 0.47 for sweet potato. Regarding tapioca the tubers who performed the role of commission agent and from them produce is taken by mill owners of Salem and Dindigul. Since there is a product diversification the marketing of tapioca tubers was studied only upto the intermediary level.