Economics of Mango Cultivation
Hi
Following is the Economics of mango cultivation for one acre plantation, cost may varies from place to place.
Costs & Returns:
A one acre plantation of the crop is a highly viable proposition. The cost components of such a model along with the basis for costing are exhibited in Annexures I & II. A summary is given in the figure below. The project cost works out to around Rs.1.50 lakhs per acre.
COST OF PROJECT
(Amount in Rs.)
Sl. No.
Component
Proposed Expenditure
1.
Cultivation Expenses
(i)
Cost of planting material
2,000
(ii)
Manures & fertilizers
5,000
(iii)
Insecticides & pesticides
2,000
(iv)
Cost of Labour
8,400
(v)
Others, if any, (Power)
3,600
Subtotal
21,000
2.
Irrigation
(i)
Tube-well/submersible pump
45,000
(ii)
Cost of Pipeline
-
(iii)
Others, if any, please specify
-
Subtotal
45,000
3.
Cost of Drip/Sprinkler
25,000
4.
Infrastructure
(i)
Store & pump house
15,000
(ii)
Labour room
5,000
(iii)
Agriculture Equipments
5,4000
Subtotal
25,400
5.
Land Development
(i)
Soil Leveling
4,000
(ii)
Fencing
29,600
Subtotal
33,600
6.
Land, if newly purchased (Please indicate the year)*
Grand Total
1,50,000
*Cost of newly purchased land will be limited to one-tenth of the total project cost
The major components of the model are:
· Land Development: (Rs.4.0 thousand): This is the labour cost of shaping and dressing the land site and developing a layout.
· Fencing (Rs.29.60 thousand): It is necessary to guard the orchard by barbed wire fencing to safeguard the valuable produce from poaching.
· Irrigation Infra-structure (Rs.45 thousand): For effective working with drip irrigation system, it is necessary to install a bore well with diesel/electric pumpset and motor. This is part cost of tube-well.
· Drip Irrigation & Fertigation System (Rs.25.0 thousand): This is average cost of one acre drip system for mango inclusive of the cost of fertigation equipment. The actual cost will vary depending on location, plant population and plot geometry.
· Equipment/Implements (Rs.5.4 thousand): For investment on improved manually operated essential implements a provision of another Rs.10 thousand is included.
· Building and Storage (Rs.20.0 thousand): A one acre orchard would require minimally a labour shed and a store-cum pump house.
Cultivation (Rs.21.0 thousand): This is to cover costs of land preparation and planting operations, planting material, inputs and power.
Labour cost has been put at an average of Rs.70 per man-day. The actual cost will vary from location to location depending upon minimum wage levels or prevailing wage levels for skilled and unskilled labour.
Recurring Production Cost: Recurring production costs in the pre & post-operative period are exhibited in Annexures III & III A respectively. The main components are planting material, land preparation, inputs .application ( FYM, fertilizers, liming material, plant growth regulators, plant protection chemicals etc.), labour cost on application of inputs, power, inter-cultural and other farm operations, interest on term loan, harvesting, packing and transportation.
Returns from the Project: In the development stage returns from inter-cropping are estimated at Rs.25,000 annually. The yield from the plantation is estimated at 5 tonnes in the first year of bearing rising to 7 tonnes. The produce has been valued at Rs. 10,000 per tonne in this exercise.
Regds
Manoj Singh
CAS Farm Development Services
Chandel Agritech Solutions Pvt. Ltd.
New Delhi
chandelagro@gmail.com
09810931908
