Achieving sustainable agriculture in north-western India through production of Kinnow

Kinnow cultivation is one of the options for diversification to sustain farming, and has emerged as an important crop in Punjab, Rajasthan and Haryana. We analyze the profitability, sustainability and marketing efficiency of Kinnow cultivation in the study areas. The study was conducted in Fazilka and Bathinda districts of Punjab and Sirsa district of Haryana. Based on the area under crop, two blocks from each district were selected, and then from each selected block, a cluster of 2–3 villages were selected for primary data collection from farmers. The primary data were also collected from traders, retailers, processors, extension agents, government officials and private services providers. The study finds that kinnow is profitable crop as benefit-cost ratio, net present value and internal rate of return were at 7.50%, 10%, 12.50% and 15% discount rates. At these discount rates, the NPV varied from 8.53 to 2.67 lakh per ha, without subsidies and 8.90 lakh to 3.02 lakh rupees per ha with subsidies. It indicates that Kinnow cultivation is profitable and suitable in the study area. The internal rate of return ranged from 28% to 32% without and with subsidies. It indicated that Kinnow growing was a profitable enterprise and the average rate of return per year for the whole period of the orchard varies from 28 to 32%. The benefit-cost ratio calculated ranged from 1.87 in small orchards to 1.49 without subsidies and 1.94 to 1.59 with subsidies. The return from cotton –wheat system was Rs 71,455 rupees per ha which is very less compared to that from Kinnow cultivation (Rs 100,000 per ha). This clearly indicates that Kinnow cultivation is more sustainable and profitable than existing cropping pattern which is cotton -wheat system in the North –Western India. The average per quintal total marketing cost has been found to vary to the extent of Rs 477, Rs 235, Rs 441, Rs 223 and Rs 123 for channels I, II, III, IV and V, respectively. A comparison of price spread through different marketing channels has revealed that producers’ share in consumers’ rupee was the highest (about 100%) in channel-V, due to selfsale in the local market. The marketing efficiency has been found to be the highest in channel-V. The producer got maximum benefits in channel-V, therefore this channel should be followed to make producer highest beneficiary although it has its own limitations.