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An Empirical Study on Income and Efficiency of Pond Fish and Nursery Fish Production in Some Selected Areas of Pabna, Bangladesh

M.M. Haque
Department of Agricultural Economics Bangladesh Agricultural University, Mymensingh 2202, Bangladesh

H. Kabir
Department of Agricultural Economics Bangladesh Agricultural University, Mymensingh 2202, Bangladesh

M.H. Rahman
Department of Agricultural Economics Bangladesh Agricultural University, Mymensingh 2202, Bangladesh

R.H. Sarwer
Department of Agricultural Economics Bangladesh Agricultural University, Mymensingh 2202, Bangladesh

Abstract/ Executive Summary:

The study was designed to determine the costs, returns and relative profitability of pond fish and nursery fish production. In order to attain this objective, a total of 70 producers: 35 producing pond fish and 35 producing nursery fish were selected on the basis of purposive random sampling technique from 6 villages under two Upazilas (Sujanagar and Santhia) of Pabna district. It was estimated that per hectare per year gross cost of pond fish production was Tk 65,918 while gross return and net return were Tk 91,707 and Tk 25,789 respectively. Per hectare per year gross cost of nursery fish production was Tk 87,489 while gross return and net return were Tk 1,39,272 and Tk 51,783 respectively. The findings revealed that nursery fish production was more profitable than pond fish production. Cobb-Douglas production function was applied to realize the specific effect of the factors on pond fish and nursery fish production. It was observed that most of the included variables had significant impact on pond fish and nursery fish production. Out of five variables included in the function, all the variables had positive impact on return from pond fish production but stock value of pond, material cost and pond area had positive impact on return from nursery fish production.

Keywords: Economic efficiency, Nursery pond, Fish production

Location: Pabna district.

Start Date: 00-01-2000

End Date: 00-11-2000

Program Area: Socio-economic and Policy

Non-commodity: Income generation

Objectives:

To determine the relative profitability and resource use efficiency of pond fish and nursery fish production.

Methodology:

The study was carried out from January to November 2000 in selected areas of Pabna district. A set of interview schedules was pre-tested and developed. Data were collected from 6 villages under two Upazilas (Sujanagar and Santhia) of Pabna district. A total of 70 producers: 35 producing pond fish and 35 producing nursery fish were selected on the basis of purposive random sampling technique. In this study, a simple tabular method was followed to illustrate the whole picture of analysis. The sum, mean, percentage, ratio, etc. were the simple statistical measures employed to show the comparative performance of pond fish and nursery fish production. Relative profitability of pond fish and nursery fish production has been determined on the basis of net return analysis. Net return analysis: To determine the net returns from pond fish and nursery fish production, gross costs (variable and fixed cost) were deducted from gross returns. An easy principle to determine costs and return was followed to determine the profitability of pond fish and nursery fish production. Functional analysis: To explore the effects of variable inputs both linear and Cobb-Douglas production function models were estimated initially. Data were convened to per farm basis to facilitate the analysis. The results of the Cobb-Douglas models appeared to be superior on theoretical and econometric grounds. So the Cobb-Douglas model was accepted for interpretation. Five independent variables were employed to explain the gross returns from pond fish and nursery fish production in the study areas. Regression analysis (ordinary least squares) method was used to determine the effect of these inputs. A series of regression procedures were carried out to be sure that serious multicollinearity problem did not exist. Cobb-Douglas production function analysis was done taking 35 pond fish farms and 35 nursery fish farms into account separately. Some important inputs like feed, fertilizer and chemicals were included in the model as material input. Furthermore, few important variables like experience in pond keeping, number of ponds, duration of water etc. which might affect pond fish and nursery fish production could not be included in the model due to non-availability of appropriate data for the model.

Source of Information: Bangladesh J. Fish. Res.) 7(1), 2003: 93-100

Article Link (Online Journal):

Funding Source:

Total Budget (Tk.) :

Achievement/Findings:

The study reveals that nursery fish production is more profitable tharl pond fish production. The results of the study indicate that both pond fish and nursery fish production can be increased by efficient reallocation of factor inputs. It is evident from regression coefficients that stock value of pond, material input, labour cost and pond area of both the enterprises emerged as crucial factors. In the case of nursery- fish production, labour cost demonstrated negative coefficient, which implied the indiscriminate and excessive use of the resource resulting in inefficiency. It may be suggested that the producers have scope to attain full efficiency by reallocating the resources in both the practices.

Knowledge Management: Journal