Economic Analysis of Organic Wheat in Punjab

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Date
2019
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Punjab Agricultural University, Ludhiana
Abstract
The present study is an attempt to analyze the economics of organic wheat in Punjab. By using random sampling technique, 70 organic wheat growers were selected for collecting primary data. Concentration of organic farmers was found in Ferozpur, Moga, Sangrur and Patiala districts. Amongst these farmers, primary data about inorganic wheat were collected from 54 farmers who also cultivate inorganic wheat along with organic wheat. The reference period of study was 2017-18. Overall socio-economic results depicted that, average education was 12.15, average family size was 6.27 and families were male dominating accounting for 41 per cent of total members. Average operational land holding came out to be 14.98 acres out of which 2.78 acres (18.6%) was allotted under organic cultivation and average investment pattern was about Rs 10 lakh per farm. Cropping pattern in Punjab was mainly dominated by wheat and paddy, with cropping intensity of 218 per cent. It was found that productivity in organic wheat was 40 per cent less i.e. 12.25 qtls/acre as compared to inorganic wheat i.e. 20.11 qtls/acre. Returns over variable cost for organic wheat were Rs 39543 per acre (40% higher) and for inorganic were Rs 28215 per acre. It was seen that cost in organic wheat cultivation was higher due to high manual labour. Factor which primarily encouraged farmers to adopt organic farming were high demand, environmental awareness, premium prices etc. Factors which resisted them were low productivity, problem of human labour, inadequacy of required amount of FYM. Weighted mean average for price of organic wheat was calculated to be Rs 3926 per quintal which included premium prices. Most of the organic farmers preferred to sell their produce directly to the consumers in which the producer`s share in consumer rupee was more than 95 per cent. Problems of lower productivity in initial period, high weed problem and no assured marketing were stated by farmers.
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