1ICAR-Indian Institute of Rice Research and Ph. D from Professor Jayashankar Telangana Agricultural University, Hyderabad-500 030, Telangana, India
2Professor Jayashankar Telangana Agricultural University, Hyderabad-500 030, Telangana, India
3Department of Agricultural Economics, Professor Jayashankar Telangana Agricultural University, Hyderabad-500 030, Telangana, India
4Department of Agronomy, School of Agriculture, SR University, Warangal-506 371, Telangana, India
5School of Agribusiness Management, Professor Jayashankar Telangana Agricultural University, Hyderabad-500 030, Telangana, India
6Department of Mathematics and Statistics, Professor Jayashankar Telangana Agricultural University, Hyderabad-500 030, Telangana, India
*Corresponding Author: Sheelam Kaviraju, ICAR-Indian Institute of Rice Research and Ph. D from Professor Jayashankar Telangana Agricultural University, Hyderabad-500 030, Telangana, India, Email: drkaviraju@gmail.com
Online published on 30 January, 2026.
Telangana, known as India's seed hub, hosts around 400 seed companies, including multinationals. These companies leverage high processing capacities, extensive storage, strong research networks and a favourable climate for rice seed production, positioning the region as vital for agricultural advancement. Given the importance of rice seed business potential in Telangana, understanding the economic viability and institutional framework within the rice seed value chain is crucial for optimizing production, enhancing seed quality and maximizing stakeholder benefits.
This study used different sets of data to examine the rice seed value chain in Telangana. Data were collected from 104 seed growers, 60 seed organizers, 10 company representatives and 10 seed distributors, ensuring a comprehensive understanding of value chain dynamics. Additionally, 30 focus group discussions provided qualitative insights into stakeholder roles and perceptions. The research highlighted the essential roles of public and private institutions in varietal development and seed quality, specifically analysing how contractual arrangements among stakeholder's impact yield outcomes and overall productivity. Furthermore, the cost and returns were analysed at each stakeholder level within the rice seed value chain.
Findings indicated that education, cooperative membership and technical assistance positively correlated with rice seed yield, while larger family sizes and excessive irrigation negatively impacted productivity. Seed growers incurred a production cost of `13,910 per tonne and received a gross price of `19,820 per tonne, resulting in a net benefit of `5,910 per tonne. Seed organizers earned `1,200 per tonne, while companies faced total costs of `31,520 per tonne, selling to cultivators at `35,000 per tonne for a net benefit of `3,480 per tonne. Overall, stakeholders in the rice seed chain received total benefits of `15,590 per tonne, with seed growers accruing the largest share (37.91%).
Contract farming, Institutional arrangements, Public-private interface, Rice seed system, Seed value chain