Economic evaluation of timber cultivation in Punjab
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Date
2018
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Punjab Agricultural University, Ludhiana
Abstract
The present study analysed viability of poplar and eucalyptus (desi and clonal) cultivation in block and boundary plantation in Punjab. It further investigated the comparative economics of timber cultivation vis-à-vis wheat-paddy, risk involved, supply chain analysis and adoption behaviour of timber cultivation in Punjab. For the purpose, primary data were collected from 300 farmers; 100 poplar growers, 100 eucalyptus growers and 100 non-adopter farmers from Ludhiana, Hoshiarpur and Muktsar districts. To analyse the supply chain of timber, 84 intermediaries were selected. The data were collected for the year 2015-16. BC ratio, NPV and annuity value were estimated. Two types of agro-forestry systems AFS-1 (wheat + khariff fodder during first four years) and AFS-2 (sugarcane for first two years and wheat during 3-4 years) were identified. AFS-2 (NPV Rs 164998) gave marginally higher returns than AFS-1 (Rs 155489) at 12 % discount rate at fourth year of harvesting. The study revealed that net returns from poplar cultivation were at par with pure cropping system. In case of eucalyptus, the clonal variety gave higher returns in terms of BC ratio, NPV and annuity value. NPV was Rs 52991 for desi eucalyptus and Rs. 76299 for clonal variety at 12% discount rate at the fifth year of harvesting. In boundary plantation, the one side plantation gave the higher returns than two and four side plantation. Farmers got the net margin of Rs 260 per quintal in case of poplar by selling it to pre-harvest contractor whereas in case eucalyptus farmers received net margin of Rs 280 per quintal. Socio-economic parameters like age and members working in agriculture were negatively correlated with adoption behaviour while farm size, education, off farm income and extension contacts were positively correlated with adoption behaviour of timber cultivation.
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