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Economics of Hybrid Maize Production in Some Selected Areas of Bangladesh

M. R. Karim
Senior Scientific Officer
Agricultural Economics Division, BARI, Gazipur

Moniruzzaman
Scientific Officer
Agricultural Economics Division, BARI, Gazipur

Q. M. Alam
Chief Scientific Officer
Agricultural Economics Division, BARI, Gazipur

Abstract/ Executive Summary:

The present study was an attempt to assess the existing agronomic practices of hybrid maize cultivation, its profitability, constraints and factors affecting hybrid maize production. The highest percent of the total farmers had sown seeds during the first week of December. The average seed rate was found to be 20.94 kg per hectare. About 16 varieties were found to cultivate by the sample farmers of which maximum percentage of farmers used NK-40 followed by Pacific-11. All kinds of fertilizer used by the farmers were below the optimum level of recommendation. Of the total variable cost of maize cultivation about 33 and 28 percent incurred by human labour and chemical fertilizer respectively. The average gross margin was observed to be Tk 28456 on full cost basis and Tk 32659 on cash cost basis. The cost per kilogram of maize cultivation was Tk 4.12 and return from one kilogram of maize production was Tk 7.80. Timely non availability of seeds, high price of fertilizer, low price of yield etc., were the major problems for hybrid maize production. Farmers’ intention to grow hybrid maize was for higher yield, higher income and is easy to grow, which encourage them for continuing maize cultivation.

Keywords: Economics, Hybrid maize, Cost, Return.

Location: Rangpur, Dinajpur, Bogra, and Kustia district

Start Date: 01-08-2006

End Date: 01-07-2007

Program Area: Socio-economic and Policy

Non-commodity: Efficiency, Constraints

Objectives:

i. To identify the existing practices of maize cultivation

ii. To assess the cost and returns from maize production

iii. To study the interrelation ship between inputs and outputs of maize

iv. To find out the socio-economic constraints to its higher production at farm level.

Methodology:

The present study was conducted in four districts namely Rangpur, Dinajpur, Bogra, and Kushtia. Extensive cultivation of maize was the major criteria for the selection of the study area. A list of maize growers were collected from each area and finally a total of 120 farmers were selected randomly taking 30 from each districts. Data were collected through pre-designed and pre-tested interview schedules. The collected data were summarized and analyzed to fulfill the objectives set for the study. Tabular method of analysis using average, percentages, ratio etc.were done in this study. The production of hybrid maize is likely to be influenced by different factors. To determine the contribution of some important inputs of growing hybrid maize, the Cobb-Douglas production model was estimated because of the best fit of the sample data.

Source of Information: Annual Research Report 2007, Agricultural Economics Division, BARI, Gazipur

Article Link (Online Journal):

Funding Source:

Budget:

Total Budget (Tk.) :

Achievement/Findings:

Study revealed that total variable cost of maize cultivation was Tk 31956 per hectare of which about 33 and 28 percent were for human labour and chemical fertilizer respectively. About 11 percent of the total cost was incurred for irrigation purpose. The average cash cost per hectare of maize cultivation was Tk 27752 which is about 87 percent of full cost. The average yield of maize per hectare was 7748 kg. The average yield was found higher in Dinajpur. But the per hectare gross return was found higher at Bogra. Although the yield was lower at Bogra than that of Dinajpur but the gross return was higher because the price of grain yield was higher at Bogra. The average price of grain yield was Tk 7.60 per kilogram. The average gross margin was observed to be Tk 28456 on full cost basis and Tk 32659 on cash cost basis. The gross margin was also found higher in Bogra mainly for higher price of grain yield. Whereas gross margin on cash cost basis was higher at Dinajpur. But inspite of lower yield at Kushtia gross margin was lower. On the average benefit cost ratio was found to be Tk 1.89. It indicated that for every one taka investment by the farmer will get Tk 1.89. The cost per kilogram of maize cultivation was Tk 4.12. And return from one kilogram of maize production was calculated as Tk. 7.80. The magnitudes of the coefficient imply that human labour, land preparation; Irrigation, Urea and Borax have considerable effect on gross return. Timely non availability of seeds, high price of fertilizer etc. were the major problems for hybrid maize production. Farmers’ intention to grow hybrid maize was for higher yield, higher income and is easy to grow, which encourage them for continuing maize cultivation.

Knowledge Management: Report/Proceedings