comparative economics of areca based sole and multistoreyed cropping systems in karnataka

131 Pages·2010·1.66 MB·English

COMPARATIVE ECONOMICS OF ARECA
BASED SOLE AND MULTISTOREYED
CROPPING SYSTEMS IN KARNATAKA

SANTHOSH GAJANANA BHAT
PAK 8071

DEPARTMENT OF AGRICULTURAL ECONOMICS
UNIVERSITY OF AGRICULTURAL SCIENCES
GKVK, BENGALURU-560065
2010
COMPARATIVE ECONOMICS OF ARECA
BASED SOLE AND MULTISTOREYED
CROPPING SYSTEMS IN KARNATAKA

SANTHOSH GAJANANA BHAT
PAK 8071

Thesis submitted to the
University of Agricultural Sciences, BENGALURU
in partial fulfillment of the award of the Degree of

Master of Science (Agriculture)

In

AGRICULTURAL ECONOMICS

BENGALURU JULY, 2010
Affectionately
Dedicated to
Amma and Appayya
DEPARTMENT OF AGRICULTURAL ECONOMICS
UNIVERSITY OF AGRICULTURAL SCIENCES
GKVK, BENGALURU – 560065

CERTIFICATE

This is to certify that the thesis entitled “COMPARATIVE ECONOMICS OF
ARECA BASED SOLE AND MULTISTOREYED CROPPING SYSTEMS IN
KARNATAKA” submitted by Mr. SANTHOSH GAJANANA BHAT, PAK 8071 in
partial fulfillment of the requirements for the award of the degree of MASTER OF
SCIENCE (AGRICULTURE) in AGRICULTURAL ECONOMICS to the University of
Agricultural Sciences, Bangalore, is a record of bonafide research work done by him during
the period of his study in this university under my guidance and supervision and the thesis
has not previously formed the basis for the award of any degree, diploma, associateship,
fellowship or other similar titles.

Bengaluru (Dr. T.N. PRAKASH KAMMARDI)
July, 2010 Chairman of Advisory Committee
and Professor of Agricultural Economics

APPROVED BY:
Chairman:
(T.N. PRAKASH KAMMARDI)

Members: 1.
(S. SURYAPRAKASH)

2.
(P.S. SRIKANTHAMURTHY)

3.
(M. GOPINATH RAO)

4.
(T.H. ASHOK)
Acknowledgement
This endeavor is the result of two years of hard work whereby am highly indebted to my
parents and many people who directly and indirectly helped me for its successful completion.
First and foremost I would like to place on record my ineffable indebtedness to
Dr. T. N. Prakash Kammardi, Professor, Department of Agricultural Economics, UAS, Bangalore
and Chairman of my Advisory Committee for his conscientious guidance and constructive suggestions
at every step during the thesis work. I thank him for his creative criticism and valuable suggestions for
improving the quality of this work. My indebtedness to him is unfathomable.
I imbibed a lot of knowledge and valuable suggestions from discussions with the members of
my advisory committee, Dr. S. Suryaprakash, Professor, Department of Agricultural Economics, UAS,
Bangalore, Sri. P.S. Srikanthamurthy, Associate Professor, Department of Agricultural Economics,
UAS, Bangalore, Dr. M. Gopinath Rao, Professor of Statistics, and Dr. T.H.A shok Professor of
Biotechnology, UAS, Bangalore. I am grateful to each of them for correcting the draft of this thesis
strenuously and also in time.
I am thankful to all my teachers Dr. K.B. Umesh, Dr. M.G. Chandrakanth, Dr. G.S. Ananth,
Dr. N. Nagaraj, Dr. B.V. Chinnappa Reddy, Dr. Mahadeviah and Sri Honnaiah for their cooperation
and help which added to the success of this work.
There are no words to express my feelings of adoration, love, respect and obligation to
my beloved parents, who moulded me to what I am now. They taught me to lead an obedient,
trustworthy and well-planned life, which constantly guided me as a lighted lamp towards my
destination. Without their mental support and encouragement, I would not have been able to
overcome my hardships. My beloved mother Leelavathi Bhat, father Gajanana Bhat, our
family friend Vishwanath Bhat, and all the members of family and relatives always backed me
throughout my life and helped in my research.
I thank all my seniors Prashant, Arun, Govinda Raj, Tanveer, Shripad, Harish, Atiq, Umesh
and Akshara who helped me a lot during the course of the work for data analysis by providing the
required statistical packages and guidance.
Friendship is the most important ingredient in the recipe of life and it adds more flavour
when that is from different states with different language and culture. I am fortunate to have a
myriad of friends here. I am thankful for the emotional support from my all classmates Surajeet,
Ramalinga, Biradar, Rehman, Shashi, Satish, Harish, Ghulam, Vijitha, Vanitha, Madhura,
Zainab and my friends Siddu, Nandan and KP who encouraged me in each and every step of my
post graduation and they deserve a more personal note of gratitude.
My thanks are due to Varun, Manju, Ramesh, Dr. Renukaarya and Mr. Narendra for their
help during the collection of the data required for the study.
Discussions with Dr. Chandrashekar, Professor, Department of Agri. statistics, UAS
Bangalore, were of immense help during the critical stages of the study to get clarification regarding
many things. I am highly grateful to him for the kind cooperation and support offered by him.
I would like to acknowledge my dearest companion with juniors Yuvraj, Bruhan,
Vinay and Chennaveer for their help and constant moral support extended to me throughout
my research.
I thank Dr. T. N. Prakash Kammardi, Principal Investigator, “Special scheme on cost of
cultivation of arecanut in Karnataka” for the financial help provided for my study in the form of
Junior Research fellowship.
This record will be incomplete if I forget the valuable services extended to me by all the
staff in the department, especially Mrs. Sujatha, Mrs. Pavithra, Mrs. Sumathi, Raju,
Narayanswamy, Narasimha Murthy and Haralappa.
Most of all, I thank lord “GANAPATI” for the blessings showered and the helps received
which enabled me to complete this thesis work.

Bengaluru
July, 2010 Santhosh Bhat
COMPARATIVE ECONOMICS OF ARECA BASED SOLE AND MULTISTOREYED
CROPPING SYSTEMS IN KARNATAKA
SANTHOSH GAJANANA BHAT
Abstract
Arecanut cultivation is currently facing several problems such as pest
and disease attack, unstable income, low productivity and so on in Karnataka.
Hence a well designed multistoreyed cropping model suited to a given agro-
climatic situation may provide a solution to these problems. With this
background, this study makes comparative analysis of Sole Cropping Systems
(SCS) and Multistoreyed Cropping Systems (MSCS) in Shimoga district of
Karnataka. A sample size of 50 farmers following SCS and 40 farmers following
MSCS was considered for the study. Tabular analysis, Cobb-Douglas
production function, Discriminant analysis and Relevancy ranking techniques
were used to address the set objectives of the study.
The result highlighted that MSCS provided a gross return of `1,85,377
per acre which is 54 per cent higher compared to SCS. The stability of income
under MSCS was found to be higher compared to that of SCS farmers as
revealed by the coefficient of variation of the gross return. But the farmers
following MSCS have incurred 27 per cent higher cost owing to the costs
incurred towards the cultivation of different inter crops under the system.
However the net return realized by the MSCS farmers was `78,095 per acre
which is 123 per cent higher compared to SCS farmers. Interestingly, as
revealed through discriminant analysis, the small farmers, rather than the big
ones favoured more to follow MSCS in the study area. This may be due to the
constraints of labour and higher skills required for managing diverse cropping
system under MSCS. This study clearly pointed out, scarcity of labour is one of
the big hurdles for arecanut cultivation in general and MSCS in particular
required for various operations both during cultivation and post harvest period.
Hence appropriate policy measures and programmes have to be envisaged to
promote mechanization especially for post harvest operations like dehusking in
the production of arecanut in Karnataka.

Santhosh Gajanana Bhat (T.N. Prakash Kammardi)
PAK 8071 Major Advisor
CONTENTS
CHAPTER TITLE PAGE No.
1 INTRODUCTION 1-9
II REVIEW OF LITERATURE 10-22
III METHODOLOGY 23-39
IV RESULTS 40-65
V DISCUSSION 66-81
VI SUMMARY AND CONCLUSION 82-88
VII REFERENCES 89-96
APPENDICES
LIST OF TABLES
Table Page
Title of Table
No. No.
Area and Production of arecanut in different taluks of
3.1 25
Shimoga district
3.2 Sample details 26
4.1 Socio Economic characters of sample farmers 41
4.2 Cost of cultivation of arecanut under SCS and MSCS (`/acre) 43-44
4.3 Details of Cost of cultivation of MSCS 48
Yield and Price of areca and intercrops in SCS and MSCS
4.4 50
(Yield in Kg/acre, Price in `/Kg)
4.5 Economics of areca cultivation under SCS and MSCS (`/acre) 52
4.6 Variation in the gross return of areca farmers 55
4.7 Summary of comparative economics of SCS and MSCS 55
4.8 Resource use efficiency in areca cultivation 57
Gross return per farm in areca cropping systems - Using
4.9 59
dummy variables (per farm)
4.10 Factors differentiating SCS and MSCS farmers 62
Identification of the major merits and demerits of MSCS vis-à-
4.11 64
vis SCS.
LIST OF FIGURES
Figure Between
Figure Title
No. Pages
Map showing districts of Karnataka and
3.1 23-24
Taluks of Shimoga
The share of major cost items in the total
4.1 44-45
variable cost (%)
The share of major cost items in the total
4.2 46-47
cost of cultivation (%)
Share of different intercrops in gross return
4.3 49-50
of MSCS (%)
Costs and returns of areca cultivation under
4.4 52-53
different cropping systems (`)
4.5 Return per rupee of total cost 52-53
Factors differentiating SCS and MSCS
4.6 62-63
farmers (%)