Economics of cultivation of cotton in Adilabad district of Telangana state

Abstract

The study was conducted in Adilabad district of Telangana state. The study was based on primary as well as secondary data with major emphasis on primary data. These data were collected from 60 (sixty) cotton cultivators belonging to two villages situated in two blocks in the district. The reference year of the study was 2018-19 agricultural year. Objectives of the study were to estimate costs and returns in cotton cultivation and to find whether the farmers got the minimum support price of their output or not. In the study cost concept and cost structure were used at different stages. Cost of cultivation, cost of production, gross return and net return were worked out in the study. The study revealed that percentage allocation of land to cotton declined across the higher size classes of farm. As a whole, land area under cotton accounted for 61.73 per cent of the gross cropped area. Cost of cultivation (cost c) per acre was found to increase across the larger size classes. As a whole cost C per acre was estimated rupees 35487. Percentage share of fixed cost gradually increased across the higher size class. An opposite pattern of change was noted in case of variable cost. The study also revealed that yield, gross return and net return per acre increased across the higher size classes. In respect of these variables there were wide differences between the marginal & medium size classes of farms. As a whole, gross return and net return per acre were Rs. 53158 and Rs. 17671 respectively. Differences in cost/acre among various size classes were reflected on differences in yield per acre. Differences in selling prices of cotton among the various size classes of farm were negligible. These prices were slightly lower than its minimum support prices in the year under study. As a whole, these two prices were Rs. 5407/quintal and Rs. 5450/quintal respectively.