Assessing the Profitability of Cotton Cultivation in Northern Gujarat

Published by: Admin

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Authors: Dharmik G Borisagar, O P Singh and Vaishnavi Singh

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Abstract

Cotton has been a leading cash crops in India since the introduction of Bt technology, ever since farmers in Gujarat shown enthusiastic adoption. The state recorded agricultural growth rate more than double the national average between 2001–02 and 2014–15, a trend largely attributed to the widespread adoption of Bt cotton. This study, conducted in the northern districts of Gujarat viz. Patan and Mehsana, assessed the economics of cotton cultivation by analysing input costs and returns. A detailed analysis in both districts revealed that labour constituted the largest portion of the total cultivation cost. Additionally, expenses related to machinery for land preparation and pesticides were also significant. Mehsana farmers achieved higher net returns of Rs. 80,952.16/ ha with operational costs of Rs. 74,438.58/ha, while Patan farmers had lower returns of Rs. 57,127.22/ha on costs of Rs. 75,451.78/ha. The Benefit-Cost Ratio (BCR) over variable costs was observed to be 2.09 for Mehsana and 1.76 for Patan. The study further observed that, in recent years, cotton is increasingly being adopted by large farmers, as the effectiveness of Bt cotton against bollworms has declined. This trend highlights the need for renewed efforts in pest management and technological advancement to strengthen cotton productivity and help transition India from being a net importer to a net exporter of cotton.

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