Central Arid Zone Research Institute, RRS, Pali-Marwar - 306 401, E-mail: kcmamnani@yahoo.co.in; jangidbl@yahoo.co.in
* This paper has been drawn from the Institute Research Project, Economic Analysis of Henna and Arable Crops in Pali District of Rajasthan.
Henna (Lawsonia sp.) is a rainfed plantation crop commercially cultivated in Rajasthan on 32,084 ha (2001–02) for its leaves, which are important source of a natural dye. The present study has assessed the profitability and economic viability of henna cultivation based on the data collected from a sample of 100 farmers during 2003–04 in the Pali district of Rajasthan. Based on the factors like net present value, internal rate of return, benefitcost ratio, henna cultivation practised by the farmers has been found to be a financially viable proposition. The financial viability parameters have been found to be more sensitive to changes in prices than cost.