A survey of 60 sample farmers in Matiana block (Shimla hills) showed that the farm size and investment of fixed capital were positively correlated, being Rs. 34113/- per marginal farm and Rs. 70225/- per large farm. Input use pattern on the sample farmers indicated that seed rate was 18.3 q/ha, fertilizer use N 110 kg, P2O5 121.9 kg, K2O 84.4 kg and mandays requirement 201 on per hectare basis. In Shimla district, farmers earned net returns of Rs. 2998/- and the output-input ratio was 1.16 during 1989–90. In Lahaul-Spiti, the output-input ratios were 1.71 and 1.38 for Kufri Jyoti and Kufri Chandramukhi respectively, during 1982–83. The market structure was competitive in Manali market while it was oligopolistic in Shimla market.