Agricultural Economics Research Review
  • Year: 2007
  • Volume: 20
  • Issue: 1

Economic viability of henna in semi-arid Rajasthan

  • Author:
  • Khem Chand, B.L. Jangid

Central Arid Zone Research Institute, RRS, Pali-Marwar-306401, E-mail: kcmamnani@yahoo.co.in; jangidbl@yahoo.co.in

Abstract

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, benefit-cost 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.