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Economic Assessment of Mustard and Groundnut Production in Selected Areas of Bangladesh

M. A. Salam
Oilseed Research Centre, Bangladesh Agricultural Research Institute, Gazipur-1701, Bangladesh

M. A. Rashid
Training and Communication Wing, Bangladesh Agricultural Research Institute, Gazipur-1701, Bangladesh

M. A. Muktadir
Oilseed Research Centre, Bangladesh Agricultural Research Institute, Gazipur-1701, Bangladesh

Abstract/ Executive Summary:

A study was conducted to perform the economic analysis of mustard and groundnut production in selected 90 mustard farmers from Rajshahi, Pabna, Sirajgonj percent of the total sampled areas were covered by mustard and 35.78% by groundnut of which 40 and 10.26% were covered by HYV mustard and groundnut, respectively. The cost of HYV and local variety of mustard were Tk. 34060/ha and Tk. 28181/ha and net return of Tk. 27814/ha and Tk.8914/ha. The cost of HYV and local variety of groundnut were Tk.57749/ha and Tk. 43062/ha, respectively with net return of Tk.21635/ha and Tk. 10116/ha. The benefit cost ratio of HYV mustard and groundnut were 1.82 and 137 over total cost basis and 2.63 and 1.98 over variable cost basis, respectively. Functional analysis showed that human labour, urea and TSP had significant impact on HYV mustard cultivation whereas human labour, TSP and gypsum was not significant for groundnut production. Scarcity of fertilizer was a major problem faced by the mustard and groundnut farmers in the study areas.

Keywords: Mustard, Groundnut, Economic production, Yield, Oilseed

Location: Rajshahi, Pabna, Sirajgonj and Mymensingh districts.

Start Date: 00-00-2007

End Date: 00-00-2008

Program Area: Socio-economic and Policy

Commodity: Ground nut, Mustard

Objectives:

1. To estimate the growth rate of mustard and groundnut cultivation in Bangladesh.

2. To analyze the adoption level to mustard and groundnut cultivation.

3. To assess the costs and returns of mustard and groundnut production.

4. To analyze the interrelationship between inputs and outputs of mustard and groundnut cultivation.

5. To identify the constraints of mustard and groundnut production.

Methodology:

The study was undertaken during 2007-2008 in four districts of Bangladesh, namely Rajshahi, Pabna, Sirajgonj and Mymensingh. In each district one upazilla and from each upazilla two villages were purposively selected on the basis of intensive mustard and groundnut growing area. A total of 90 sample farmers for mustard were selected randomly from Rajshahi, Pabna and Sirajgonj districts and 35 groundnut growers were also selected randomly from Mymensingh district. Data were collected with the help of a pre-designed and pre-tested interview schedule. The collected data were summarized and analyzed to fulfill the objectives set for the study. Tabular method of analysis using average, percentage, ratio etc. was done in this study. The production of mustard and groundnut is likely to be influenced by different factors. To determine the contribution of some important inputs of growing mustard and groundnut, the Cobb-Douglas production model was estimated because of the best fit of the sample data. The per hectare cast of mustard and groundnut cultivation was calculated by summing up all the costs incurred for various inputs. Gross return per hectare was calculated by summing up the value of output and its byproducts. The prevailing market prices of inputs and outputs were taken into consideration in this report. Net return was estimated by deducting gross cost from gross return.

Source of Information: Bangladesh Journal of Agriculture, Vol: 37(1), pp: 1-10, ISSN: 0253-5408

Article Link (Online Journal):

Funding Source:

Budget:

Total Budget (Tk.) :

Achievement/Findings:

A good opinion came out from the sample farmers that higher yield and income encourage them for continuing mustard and groundnut cultivation. They also revealed that most of the coefficient had significant impact on the yield of mustard and groundnut. To increase the production, information like proper sowing time, seed rate, fertilizer dose needs to be provided to the farmers and strong extension programme and proper monitoring by the field staff need to ensure to increase area under mustard and groundnut production. Credit should be supplied to the poor farmers with low interest and easy terms. It is extremely needed to increase the total production of oilcrops by fitting the oilcrops in existing cropping patterns, replacing the low yielding varieties by HYVs, improving management practices by motivating farmers through training, demonstration trials and publicities.

Knowledge Management: Journal