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Profitability of Onion Cultivation in Some Selected Areas of Bangladesh

M. A. HAQUE
Principal Scientific Officer
Agricultural Economics Division, Bangladesh Agricultural Research Institute (BARI), Gazipur, Bangladesh.

M. A. MONAYEM MIAH
Senior Scientific Officer
Agricultural Economics Division, Bangladesh Agricultural Research Institute (BARI), Gazipur, Bangladesh.

S. HOSSAIN
Chief Scientific Officer
Agricultural Economics Division, Bangladesh Agricultural Research Institute (BARI), Gazipur, Bangladesh.

M. S. RAHMAN
Scientific Officer
Agricultural Economics Division, Bangladesh Agricultural Research Institute (BARI), Gazipur, Bangladesh.

MONIRUZZAMAN
Scientific Officer
Agricultural Economics Division, Bangladesh Agricultural Research Institute (BARI), Gazipur, Bangladesh.

Abstract/ Executive Summary:

The present study was conducted in three major onion growing districts to estimate the profitability of onion cultivation. Total of 150 onion farmers taking 50 farmers from each area were selected randomly. The cost of onion cultivation was found to be Tk 93517 per hectare on total cost basis. Seedling cost (41%) was the major cost item followed by human labour cost (24%). The yield of onion was found 9869 metric tons per hectare. The gross margin and net return were found to be Tk. 85308 and 79487 per hectare, respectively. The benefit cost ratio was found 1.85. Inputs like human labour, seedling, manures, urea, TSP, irrigation, and insecticide had positive effect on the yield of onion. The profit obtained from onion cultivation was found higher than that of other competitive crops like mustard, groundnut, and cabbage. Non-availability of HYV onion seed at proper time, lack of technical knowledge, high price and non-availability of fertilizer in time, lack of appropriate storage facility were the major problems of onion cultivation in the study areas and needs immediate attention to solve these problems.

Keywords: Onion, Input use pattern, Profitability

Location: Magura, Faridpur, and Rajshahi of Bangladesh.

Start Date:

End Date:

Program Area: Socio-economic and Policy

Commodity: Onion

Objectives:

(i) To know the existing agronomic practices of onion cultivation.

(ii) To estimate the profitability from onion cultivation.

(iii) To measure the relative profitability of onion cultivation with major competing crops.

iv) To find out the socio-economic constraints to its higher yield.

Methodology:

The present study was conducted in three districts, namely Magura, Faridpur, and Rajshahi of Bangladesh. From each district, one upazila i.e, Shalikha Upazila under Magura district, Nogarkanda Upazila under Faridpur district, and Bagmara Upazila under Rajshahi district were purposively selected for the study based on the extensive onion cultivation area. From each Upazila, two villages were selected purposively for collecting cross sectional data and information from the sample farmers. A total of 150 onion growers taking 50 farmers from each upazila were selected by random sampling technique for the study. Data were collected by survey method with the help of pre-designed and pretested interview schedule during April to May 2009. The collected data were edited, summarized, tabulated, and analyzed to fulfill the objectives of the study. Tabular method of analysis using different statistical tools was used in presenting the results of the study. Profitability of onion production was examined on the basis of gross margin, net return, and benefit cost analysis. Cob-Douglas production function was used to estimate the contribution of factors to onion cultivation.

Source of Information: Bangladesh J. Agril. Res. 36(3) : 427-435, September 2011, ISSN 0258-7122

Article Link (Online Journal):

Funding Source:

Total Budget (Tk.) :

Achievement/Findings:

The onion cultivation was found profitable in the study areas although the yield was lower than the potential yield. Human labour, seedling, TSP, and insecticide had positive and significant effect on the yield of onion, while Urea and MP had negative effect on the yield of onion in the study areas. Among the competitive crops like mustard, groundnut, and cabbage, the highest profit was obtained from onion. Non-availability of HYV onion seed at proper time was mentioned as a major problem of onion cultivation in the study areas followed by lack of technical knowledge and high price of fertilizer.

Knowledge Management: Journal