An Economic Analysis of Production and Marketing of Banana in Middle Gujarat

Abstract

India is the second largest producer of fruits in the world (horticultural statistics at a glance 2018) and area, production and productivity of banana has increased over the years in Gujarat as well as in middle Gujarat also. In middle Gujarat, banana is one of the major fruit crop which is economically viable to the farmers as it gives higher return, so there is need to study the economics of fruit cultivation. Different cost for banana cultivation was calculated using cost concept. Different marketing channel was identified and marketing efficiency was calculated using Acharys’s formula. The study revealed that the cost A was ₹ 278397.31 per ha and cost C2 was ₹ 396162.82 per ha for banana cultivation and benefit cost ratio over cost C2 was 2.06. There were three marketing channels identified in middle Gujarat region. Marketing efficiency was higher in channel IV, which was 1.23. Unavailability of labour, increasing prices of inputs and unavailability on time of inputs were the major production constraints faced by farmers. Not getting proper price for produce, unavailability of labour and higher commission charges were the major marketing constraints faced by farmers. They suggest to focus on to strengthen supply chain through formation of FPOs, so the problems related to inputs and output prices can be solved. And with the help of new mechanical advancement problem of post-harvest losses and labour shortage can be solved.