Alternative to Tobacco Crop Cultivation in Rabi Season: A Cost Benefit Analysis

摘要

Tobacco re an important cash crop cultivated in rabi season of India. It provides employment to about 36 million people and contributes as much as Rs. 8,000 crores through excise duty and Rs. 1362 crores in terms of foreign exchange to the national exchequer. Among the tobacco growing states, particularly FCV, Andhra Pradesh occupied the first place in area and 2nd place in production. Besides to its economic potential and labour absorption area under tobacco (including all types of varieties) has been decreasing significantly. The reasons for declining of tobacco cropped area are mainly diminishing of market prices, high cost of production, decline of tobacco demand and prices in international market etc. in addition to. this, the government policies, particularly, health policies at international level has one of the main reason for the deterioration of tobacco cultivation-in India. Thus adequate knowledge of cost structure of major crops has become essential for providing suitable incentives tothe farmers and also assesses the relative competitiveness of respected season in the important tobacco growing states like Andhra Pradesh. In view of this, an attempt has been made in this paper to examine the economics of tobacco compare with other competing crops under different sizes at micro level that is at village level. The field study was conducted during 2007 and 2009 in the selected villages.