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Profitability and Factors Affecting the Mushroom Production in Savar Upazila of Dhaka

A. Khan
Dept. of Agricultural Economics, Bangladesh Agricultural University, Mymensingh-2202

R. Rahman
Sheik Fojilatunnessa Mujib Fisheries College, Jamalpur

H. Kabir*
Dept. of Agricultural Economics, Bangladesh Agricultural University, Mymensingh-2202

Abstract/ Executive Summary:

Mushroom is getting very popular in Bangladesh with serving notable nutritional components to the consumers. Nutritional components have been explored but yet not explored the socio-economic values and related factors affecting to the it cultivations. Thus, the major attempt of the present study was to assess the profitability and the factors affecting the production of mushroom (Oyster mushroom). Primary data were collected from 50 mushroom farmers of the selected four areas of Savar Upazila under Dhaka district. The area was purposively selected considering the concentration of different mushroom farmers. From the view point of Gross Margin and net return, mushroom is a profitable business that found in the study area. Gross cost, gross returns and undiscounted BCR per year of mushroom production per season was Tk. 284009.62, Tk. 463954.80 and 1.63 respectively. The Cobb-Douglas function was applied for analyzing the functional effect on mushroom production. The functional analysis indicated that per year gross returns were significantly influenced by the level of education, use of human labor and number of spawn (seed) packets of the farmers.

Keywords: Factors, Mushroom, Profitability

Location: Savar Upazila of Dhaka district

Start Date:

End Date:

Program Area: Crop-Soil-Water Management

Commodity: Mushroom

Objectives:

This research aims to estimate the profitability of the mushroom farming; and to assess the major factors affecting the return of mushroom production.

Methodology:

Data and sampling procedure The data were collected using interview method through a well-structured questionnaire. A mixed sampling method was adopted for this study, where purposive and random sampling techniques were utilized to draw the study areas and respondents. The first stage involved the purposive selection of four areas- Radio colony, Jamsinghpur, Jalesshor, Ranishor in Savar Upazila of Dhaka district. On the next stage a total of 50 farmers were selected from these four areas following simple random sampling methods, whereas taking 15 farmers from each Radio colony and Jamsinghpur and rest 20 from other two areas. Data were collected during August-September 2017. Analytical technique A combination of descriptive and statistical techniques as demanded by the study was used to achieve the objectives and to get the meaningful results. The descriptive statistics were used to describe the socioeconomic characteristics of mushroom producing farmers in the study area. The farm budget analyses which include revenue, cost, gross margin and net farm profit were utilized for the estimation of cost and return of mushroom production in the area. The Gross Margin which is the difference between the Total Revenue (TR) and the Total Variable Cost (TVC) was utilized to estimate the profitability of mushroom production in the area. The gross margin model is expressed. Where, GM = Gross Margin; TR = Total Return; and TVC = Total Variable Cost Furthermore, Net return was calculated by deducting all costs (variable and fixed) from gross return. To determine the net return of wheat production, the following equation was used in the present study.

Source of Information: J. Environ. Sci. & Natural Resources, 11(1&2):83-86, 2018 ISSN 1999-7361

Article Link (Online Journal):

Funding Source:

1.

Budget:

Total Budget (Tk.) :

Achievement/Findings:

On the basis of the findings of the present study it can be concluded that, significant scope apparently exists in the study area to increase the productivity of mushroom and to raise income, employment and nutritional status of the people. Mushroom cultivation improved the socioeconomic status of the respondents and showed positive results. It also showed that landless people can generate their income by cultivating mushroom and it proved to be a potential tool for poverty alleviation in the rural and urban areas. Though Bangladesh does not have enough land acreage to feed the people, she is blessed with a low cost labor, plentiful supply of raw material and other inputs, technical know-how suiting our favorable climate conditions. The marketing infrastructure of Bangladesh for mushroom is very poor which is not being taken care of. Besides, introducing different agricultural term loans to the mushroom cultivators, motivating and training the cultivators to produce not only the raw mushroom but also produce variety mushroom products, introducing advanced storage facilities are the recommendations of the study. All these can be viable through the strengthening of the Mushroom center development project. It is really urgent demand to promote mushroom cultivation as a weapon of poverty alleviation poverty through income and employment generation which are the priority areas in the government program.

Knowledge Management: Journal