International Journal of Social and Economic Research
  • Year: 2019
  • Volume: 9
  • Issue: 4

Cost benefit ratio analysis in sugarcane cultivation - A micro level study

1Department of Economics, Kakatiya University, Warangal, TS, India, 506 009

Abstract

The focus on the present study is an economic evaluation of sugarcane crop in Nizamabad and Khammam districts of Telangana Region of united Andhra Pradesh. A sample size of 300 farmers was selected using random sampling method of eight villages of the sample districts. Each district carrying two sugar factories and each factory contains 75 sugar cane growers from the two villages. The sample respondents were classified into four categories on the base of their farm size of the sugarcane fresh plantation crop only, i.e. 0 - 2.5 acres considered as Marginal Farmers (MF), in between 2.6 - 5 acres are Small Farmers (SF), 5.1 - 10 acres as the Medium Farmers (Med F) and above 10 acres as the Large Farmers (LF) under the sugarcane cultivation. This study mainly concentrates on the areas of yield per unit of cultivated area, cost of cultivation and price per unit, gross and net income and finally cost-benefit ratio at village and category wise. All these are differing from village to village and category to category. Why these are differing? Due to the main reasons are the cost of cultivation and composition level of inputs are influenced the yield per acre and the cultivation practices are also determined the productivity. The cost of cultivation is influenced by the different operation of the sugarcane cultivation and the finally the distance from field to sugar factory these are all differing.