Financial Feasibility of Fig Cultivation (Ficus carica Linn.) in North-Eastern Karnataka, India

Lokappa Lokappa
Journal article Economic Affairs • June 2018 India

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(English, 6 pages)


The paper presents the costs and returns, economic and financial feasibility of fig cultivation in North Eastern region of Karnataka, India. Data collected from 60 fig cultivators by adopting multistage sampling design were analyzed using tabular analysis, economic and financial feasibility measures like Net Present Value (NPV), Internal Rate of Return (IRR), Benifit Cost (BC) ratio and Pay Back Period (PBP). The results revealed that, per acre total establishment cost was ` 1,23,626.73 of which, ` 55,607.30 (44.98%) were variable cost and ` 68,019.40 (55.02%) were fixed cost. Further, the analysis of investment in fig orchard suggests that, the investment made in fig cultivation in the study area was economically viable with BCR greater than unity (3.01), positive NPV (` 749986.40) and IIR higher than prevailing rate of interest (12.00%). The payback period (3.44 years), was also desirable considering the total economic life of fig orchard. There is higher initial investment in fig orchards, therefore there is a need to provide financial assistance through enhanced scale of finance to the fig cultivators by institutional agencies to enhance the income of the farmers.




Economic Affairs

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