Year: 2023 | Month: December | Volume 68 | Issue 4

Economic Evaluation of Cost and Returns of Potato Crop towards Livelihood Security of Farmers in the Nalanda District of Bihar

Suman Kumari and Mukesh Maurya


India is the world’s second – larger producer of veggies, after China. The primary vegetable grown in
Nalanda is the potato. The goal of the current analysis was to analysis potato farming costs and returns
using various cost models. The study was carried out in Bihar sarif and Noor Sharai block, which were
chosen due to their high potato production and area. Number of farmers in each category based on
probability proportional to size (PPS). Cost of cultivation of potato on the sample farms in Nalanda
district of Bihar. Production is generally considered to be a function of area and yield. The selection of
crop enterprise to be chosen in the farm and the location and distribution of resources within it depend
to a great extent on the yield of the crop, its price and the cost of the inputs used for its production. These
measurements for potatoes were developed as a result of taking into account the cost of cultivation and
returns on various production aspects when choosing a crop. Per hectare, on an average ` 92552.03 was
spent on potato. In the medium farm category, ` 100166 was spent on farming the highest. Followed by
small farms ` 92867 and marginal farms ` 84623.09. The cost of various components of cultivation such as
tubers (seeds) is the highest (22.95%) in the variable cost, followed by (19.46 per cent) Human labour. The
remaining significant factor included the fertilizer (8.82 per cent), irrigation charge 7.77 per cent, machine
charge 6.49 per cent, plant protection 3.79 per cent, manure 3.06 per cent, depreciation rate 1.62 per cent
and land revenue 0.24 per cent and the percentage of rental value of own land includes cost of fixed
cost (21.61 per cent), interest on fixed capital 2.95 per cent and interest on working capital 1.23 per cent.


  • Cost of farming is an important mechanism for generating data for the survey. These are very indepth surveys that are used to bring together data on the different occupations carried out by farmers.
  • The basis of data collection observation inquiry in these surveys is that information about enterprise usage is obtained from the farmer enquiry. Usage is a continuous process from beginning to end.
  • Data collection under in servers is officially recorded in multiple rounds to ensure that no information is included in the database.

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