Vol. 10, Special Issue 10 (2021)

Author(s):
Vennila M and C Murthy

Abstract:
Pigeon pea is an important legume crop of rainfed agriculture in the semiarid tropics. The present study was conducted to cost of processing of pigeon pea in Karnataka. The study has been carried out based on primary data and the data were collected from the processors of pigeon pea with the help of well-structured questionnaire. Tabular analysis was computed. The study revealed that the total cost of cultivation was ₹35,166.18 per hectare. The total variable cost formed the maximum share with 69.20 per cent. Among variable cost, the highest share contributed was the cost of human labour with 19.91 per cent which was due to involvement of household farmers and labours in major cultivation practices of pigeon pea. The total processing cost was recorded as ₹66,316.50 per ton. Among total processing cost, total variable cost contributes a share of 99.09 per cent with worth of ₹65,712.10 per ton and fixed cost contributes a share of 0.91 per cent with worth of ₹604.35 per ton. The total gross returns for the processing unit was ₹72,768.13 per ton and the net return for the processing unit was ₹6,451.63 per ton. The net present value of the unit was found to be ₹11.52 lakhs at the end of economic life of project. The economic life of the project was appraisal to be 15 years. The internal rate of return was computed at 12 per cent and it was found to be 35.85 per cent which was higher than the present bank rate.