Economic Affairs
  • Year: 2025
  • Volume: 70
  • Issue: 3

Assessing Resource Use Efficiency and Addressing Production and Marketing Problems of Tomato in Solan District, Himachal Pradesh: A Case Study

  • Author:
  • Priyank Sharma1, Divyanshu2,*, Kapil Kathuria3, Parul Barwal4, Subhash Sharma5
  • Total Page Count: 9
  • Page Number: 203 to 211

1Assistant Professor, (Agribusiness and Post-harvest Supply Chain Management) AIHSR, Amity University, Noida, Uttar Pradesh, India

2Assistant Prof., Akal College of Economics, Commerce and Management, Eternal University, Baru Sahib, Himachal Pradesh, India

3Professor and Head, Department of Agri Business Management, Dr. Y.S. Parmar University of Horticulture and Forestry, Nauni, Solan, Himachal Pradesh, India

4Assistant Professor, Department of Agriculture, Khalsa College, Amritsar, Punjab, India

5Associate Professor and Head, Department of Social Sciences, Dr. Y.S. Parmar University of Horticulture and Forestry, Nauni, Solan, Solan, Himachal Pradesh, India

*Corresponding author: E-mail: divyanshu528@gmail.com

Online published on 24 February, 2026.

Abstract

The present study has been designed to investigate the resource use efficiency and identify the issues and challenges of tomato growers. A sample of 400 farmers cultivating tomato was selected using multistage random sampling. The CAGR for area, production and productivity during period (1995-96 to 2019-20) increased at rate of 4.96 per cent, 6.85 per cent and 1.85 percent in Solan district respectively, indicated that the tomato has been major cash crop sown in this area. The Coefficient of determination was 0.82 which indicated that 82 per cent variation in tomato production. The ratio of MVP/MFC was greater than unity that indicated increasing return to scale and the resources were underutilized which signifies that there is need to enhance usage of inputs and package of practices for the maximization of profits. The major issues and challenges related to tomato production and marketing were shortage of skilled labor, high wages rates, high price of fertilizers, high price of plant protection chemical, non-availability of quality seed, lack of cold storage and agro processing units along with post-harvest losses. There is need to reduce the number of intermediaries to increase producers share in consumer’s rupee and better marketing facilities for cold storage and value addition. The study suggested that proper mitigation strategies for production and marketing system by giving adequate supply of quality seed, good package of practices, quality plant protection chemicals, fertilizers and agriculture inputs along with subsidies and welfare scheme by the government that help the farmers to increase their production and yield.

⓿ In the mid-hills of Solan, Himachal Pradesh, the MVP/MFC ratio above unity indicated increasing returns to scale, suggesting underutilization of resources and scope for improved input use and practices to maximize tomato production profits.

⓿ Major challenges included high labor and input costs, poor seed quality, post-harvest losses, and lack of storage/processing facilities; the study emphasized reducing intermediaries and strengthening marketing and value-addition infrastructure for better farmer returns.

Keywords

CAGR, MVP, MFC, Marketing, Efficiency