PROPUCTION AND MARKETING OF JASMINE FLOWERS IN GUNTURDISTRACT ANDHRA PRADESH - AN ECONOMIC ANALYSIS
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Date
1990
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
ANDHRA PRADESH AGRICULTURAL UNIVERSITY HYDERABAD
Abstract
Jasmine is one of the most important flower crops
grown all over India. India produces flowers worth
rupees eight to ten crores annually and contributing
suJ;;tantially to the National economy. Andhra Pradesh
ranked fourth in area under jasmine. Very few studies
have been done towards the production and marketing
aspects of jasmine flowers in this part of the country in
recent years. Hence, to provide guide lines to jasmine
cultivators and in indentifying the pit . falls in the
management of
present study
objectives.
farm
was
plans and marketing
undertaken with
aspects, the
the following
l. To evaluate the investment pattern in jasmine
production.
2. To estimate the costs and returns in
cultivation of jasmine flowers.
3. To evaluate the resource use efficiency on
different age groups of jasmine gardens.
4. To know the present marketing practices being
followed by
identify
jasmine.
the
5. To suggest
jasmine cultivators and- to
problems in marketing of
appropriate measures
improvement in production and marketing of
jasmine flowers.
Guntur district was purposively selected as
jasmine flower crop is one of the most important
commercial crops of the district. A multi-stage-random
sampling technique was employed to select the sample
farmers. Two mandals were purposively selected based on
the highest area under this particular flower crop and
from these two mandals four villages were purposively
selected based on the highest area under this jasmine
crop. By adopting following probability proportion to
number 36 gardens in the age group of 1-3 years. 45
gardens in the age group of 4-8 years and 39 gardens in
the age group of 9 and above 9 years age were randomly
selected to constitute a predetermined sample size of
120. Different marketing agencies viz., 10 wholesalers,
30 retailers needed for the study were also selected at
random. The data was collected through pre-tested
schedules and by personal interviews. The study period
related to the agricultural year 1988-89 .
. Analytical tools employed in the study were
undiscounted and discounted cash flow techniques, ( such
as simple rate of return, pay back period, internal rate
of return and benefit-cost-ratio etc. , ) cost concepts,
measures of farm income, break-even output analysis,
Cobb-Douglas production function, price spreads and
marketing margins etc.
The results of investment appraisal techniques
have showed that the jasmine farmers could realise a
simple rate of return of 30.81 per cent by investing in
jasmine garden with hardly two and half years pay back
period. The net present worth was found to be
Rs.34,325.16 per hectare at _a discount rate of 15 per
cent. The discounted benefit-cost-ratio was 1.45 and the
internal rate of return was 39.45 per cent .
The total expenditure incurred by jasmine growers
for establishing one hectare of jasmine garden for the
first year was Rs.33,084.77.
! • Labour cost accounted for
20 .11 per cent and the total material cost constituted •
43.78 per cent of the total cost incurred for
establishing one hectare of jasmine garden. Planting
material has accounted for 18.72 per cent of the total
establishment cost. Among the fixed costs of
establishment costs rental value of owned land has
accounted for 23.55 per cent of total establishment cost.
The total maintenance cost was Rs. 26,887.80 per
hectare. The major items were harvesting, plant
protection, manures, fertilizers and weeding cost which
formed nearly 29.88 per cent, 22.28 per cent, 23.06 per
cent and 12.08 per cent respectively o! the total
maintenance cost.
The returns based on cost concepts worked out to
be ~.24,715.43, ~.14,815.34 and ~.10,735.20 respectively
showing the profitability of jasmine crop.
The per kg cost of production based on cost 1A1
1
,
cost 'B' and cost 'C' was Rs.5.52, Rs.5.58 and Rs.6.03
respectively.
Break-even output had no specific relation with
age of the garden. The average output (gross income) in
all age groups was greater than the break-even output.
Functional analysis revealed the operation of
constant·· returns to scale in jasmine cultivation. The
inputs lci.nd, human labour and manures and fertilizers in
1-3 years age gardens, land, human , labour and seed
material in 4-8 years age gardens, land, manures and
fertilizer and plant production chemicals in 9 and
above 9 years age gardens, were exerting significant
influence on gross returns (gross income).
All the farmers of the selected present area
disposed off their produce in the village itself to the
wholesaler agents. The share of cultivator in consumer's
rupee was . per cent.
S0· '11.f
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