Are Crops Still Profitable in Cauvery River Basin of Karnataka?

Ashwini B.C.
Journal article Economic Affairs • December 2018

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(English, 10 pages)


The study attempts to estimate the profitability of crops cultivated in Cauvery river basin of Karnataka. The study uses primary data pertaining to Mandya district, which is the major beneficiary of the Krishna Raja Sagara (KRS) Project of Cauvery basin for irrigation purpose. For this study, 120 farm households were selected through appropriate sampling procedure. The data thus collected were processed using statistical tools including descriptive analytical tools, Cobb-Douglas Production Function and Garrett ranking method. The results revealed that, in the study area, sugarcane was the most profitable crop with a mean net returns of ` 1,47,288 per ha and a benefit-cost ratio of 2.02. The corresponding figures for paddy were ` 31,342 per ha and 1.52, while for ragi, they were ` 3,159 per ha and 1.12. Over the last decade, maize, banana, sesamum and coconut have gained importance as indicated by their significant positive high compound annual growth rates in cropped area, which is a desirable change replacing the age-old monotonous sugarcane-paddy cropping system. Labour scarcity and high wage rate were the serious problems faced by the sample respondents in crop production. Amongst the irrigation related problems, untimely and inadequate release of water from the dam for irrigation purposes and sedimentation in canals and tanks were the most serious ones, which needs the attention of the policy makers on priority basis, in order to have a sustainable crop production system in the region.





Economic Affairs

Economic Affairs, Quarterly Journal of Economics, is a Peer-Review publication based on multi-dis... see more