Vol. 12, Issue 1 (2023)

Author(s):
Prerna Dusang, Dr. SS Wadkar and Aishwarya Akhare

Abstract:
The present study was undertaken in Sindhudurg district of Maharashtra state during the year 2021-22, with the objectives of studying the economic feasibility of Coconut cultivation. Three stage sampling method was used for the study. The sample size was 90 farmers. The samples were divided into three groups depending on the distance of their orchard from the sea-shore. Tabular analysis and financial feasibility tools like NPV, IRR, B:C ratio and PBP were used for analysis. The results revealed that the per hectare capital investment for establishing coconut orchard for a period of seven years worked out to Rs 3,15,710.00. The annual per hectare cost of cultivation i.e ‘Cost C’ worked out to be Rs 1,76,356 for Group I, Rs 1,49,201 for Group II and Rs 1,36,714 for Group III. At overall level, Cost C estimated to be Rs 1,55,836 respectively. The per hectare gross returns were observed to be maximum in Group I viz. Rs 3,32,875 followed by Group II i.e Rs 2,15,532 and Group III i.e Rs 1,73,408. The per hectare gross returns at overall level estimated to be Rs 2,60,653. The NPV at overall level was found to be Rs 2,78,299 and Rs 200,127 at 12 and 14 per cent discount rates. The payback period was found be 10 years and 11 years with 12 and 14 per cent discount rates at overall level. The B:C ratio was observed to be 1.54 and 1.45 at 12 and 14 per cent discount rates and IRR was estimated to be 24.92 per cent high was higher than the prevailing rate of interest, which indicated that the production of coconut was feasible.