Economics of tobacco production in Samastipur district of Bihar
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Date
2020
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Department of Agril. Economics, BAU, Sabour
Abstract
The present study was attempted to estimate the costs and returns, resource use efficiency, constraints and underlying reasons of continuity of tobacco production in Samastipur district of Bihar. Multistage sampling technique was employed for the selection of 100 farmers from a congregation of four villages, two from Warisnagar block and two from Sarairanjan block. The study area was predominated by marginal and small farmer (49.00 %), followed by semi-medium farmer (38.00 %) and remaining 13 per cent belonged to medium and large farmer’s category. The results showed that net income of Rs. 53260 per acre was generated from tobacco cultivation. The Gross Income was Rs. 129339 per acre, comprising of Rs. 126339 form main product and Rs. 2999 from by-product. The returns to cost ratio of Sarairanjan block (1.62) was lesser then Warisnangar block (1.67), whereas, the overall returns to cost ratio was 1.70. The cost of hired labour, fertilizer, organic manure, and irrigation were the major cost items contributing 46.26, 25.04, 9.55, and 6.43 per cent to the total cost, respectively. The pest and diseases incidence, lack of skilled labour, lack of capital, lack of govt. support, heavy dependence on market intermediaries and Govt. regulations on banning of tobacco products were the some of the major constraints faced by the farmers in the study area. Higher production, secured market, and traditional knowledge of tobacco production, more remunerative than other crops and higher income in short duration were some of the major reasons of continuity of tobacco production in the study area.