Profitability and resource use efficiency of potato cultivation in Munshiganj district of Bangladesh

Abstract

Potato is the third largest food crop in Bangladesh by tonnage of production. Its acreage and production are also increasing in day after day. This study was accomplished to examine the profitability and resource use efficiency of potato cultivation in five upazilas of Munshiganj district of Bangladesh. A total of 52 farmers were selected randomly from the study area. Data were collected through farm survey by using a suitable pre-tested questionnaire in February-March, 2016. Profitability analysis, Cobb-Douglas production function, MVP, MFC and Farm Budgeting model were used to analyze the objectives. Average gross return, gross margin and net return were found Tk. 3,47,200, Tk. 1,47,125 and Tk. 1,17,300, respectively. Benefit-cost ratio was found 1.51 and 1.74 on full cost and variable cost basis, respectively. The key production factors, i.e. human labour, land preparation, seed, fertilizer, insecticides and irrigations had significant effect on gross return of potato. Resource use efficiency analysis revealed that farmers were not efficient in using resources in potato cultivation. Human labor, land preparation, insecticide and irrigation were under-utilized and therefore increasing use of those resources could maximize the profitability. Seed and fertilizer constituted major parts of the cost of production hence optimum use of those resources could also enhance the profitability and resource use efficiency of potato cultivation in Munshiganj district.

Assessing the Impacts of Climate Variations on the Potato Production in Bangladesh: A Supply and Demand Model Approach

“…Although Bangladesh produces around 11.0 million MT (2.61% of the world's share) of potatoes annually, only a negligible amount is exported [72]. Due to the unstable domestic prices, farmers are de-motivated to produce more potatoes, although potatoes are proven to be economically profitable crops [35,73]. If production is insufficient to meet domestic food demand, then the government of Bangladesh must decide to import potatoes from other potato-producing countries such as China, the Netherlands, India, Russia, and Ukraine [72].…”

Resource Use Efficiency Analysis for Potato Production in Nepal

“…The finding was in line with Tripathi et al (2005), showed that the efficiency ratio (MVP:MFC) of the input manure and fertilizers was less than one which states that this input was overused in the potato contract farming at Haryana state of India. Sujan et al (2017) showed manure as over-utilized resource and contrast with the result of the inputs human labor and land preparation which was under-utilized and seed as over-utilized resource in a study conducted at Munshiganj District of Bangladesh. Similarly, more cost was incurred mainly in bullock use for tillage and in intercultural operations for weeding and earthing up.…”

Assessment of Prices and Profitability in Chilli – A Study in Guntur District of Andhra Pradesh

“…As the MFC is price of input per unit, the MFCs of all the inputs will vary while calculating the ratio of MVP to MFC. However, the denominator will always be one, and therefore, the ratio will be equal to their respective MVP [10,11,12].…”