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ECONOMICS AND MARKETING STRATEGIES OF POLYHOUSE

CROPS

Dr K D Sharma Dept. of Ag. Economics

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IMPORTANCE

Marginal and small land holdings

Intensive and Precision farming

High productivity

Control over weather uncertainties

Disease/pest controlAdvantage of off season production

Quality output

Govt. Incentives (80% subsidy)

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WHY ECONOMICS SO CRITICAL?

Heavy capital investment

Commercial nature of farming

To estimate cost and returns

For better planning and selection of profitable crops

Selection of efficient marketing system

Beneficial to extension workers and policy makers

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PROTECTED CULTIVATION AND

ECONOMICS

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METHODOLOGY FOR ECONOMIC ANALYSIS

1. InvestmentStructure, Poly sheets, Masonry work, Irrigation/ fertigation equipmentsTools

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2 Estimation of Fixed cost

A Depreciation B Interest on invested capitalC Rental value of land

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3. Estimation of Variable CostParticulars Quantity Rate CostSeedOrganic compostsFertilizersPlant protection chemicals Staking materialMisc. expensesLabourTotal working capital

Interest on working capital @ 10% for half periodTotal variable costCost of production(Rs/q)

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4. Estimation of ProfitabilityParticulars Tomato Capsicum Cucumber

Total variable cost

Fixed Cost

Total cost

Cost per quintal

Price received

Gross returns

Net returns

Output - input ratio

Break-even output

Date Expenditure Items

Amount(Rs.)

Date Sales/Income Account

Amount (Rs.)

12-02-15 SeedsFYMVermicompostFertilizersChemicalsFuel/electricityWater chargesStakingLabourAny otherInterestTotal Prod. Exp.

Gross ProfitMarket Exp.OverheadsNet profit

1000 2000

100014001000

600-

100012000

400600

21000

61000120001300036000

08-05-15

31-10-15

2q local sale5q Delhi3q Chandigarh1q local sale4q Kangra2q local sale3q Delhi

Total sales (20q)

60002000015000 3000

150005000

18000

82000

POLYHOUSE ACCOUNT, 2015 (CROP CAPSICUM)

10Cucumber- high productivity in poly house

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Pea- a catch crop in polyhouse

12Coriander- short duration but profitable crop

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NURSERY RAISING AS AN ENTERPRISE

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MANAGEMENT ISSUES

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Capsicum- Most profitable crop in poly house

Plastic mulching – water saving

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Use of local material for staking

Precautions Must for Control of Pests and

Diseases

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DAMAGED POLYHOUSES

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Multiple mixed cropping –may not be beneficial

Disease and pest management critical for good crop

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Poor management practices cause for low yields

Wrong choice of polyhouse crop

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Badly managed polyhouse crop

Over matured crop

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Water logging inside polyhouse

IMPORTANT TECHNOLOGICAL INDICATORSTechnological parameters Adoption status

(% respondents)Partial Complete

Door fitting (double door) 36.25 63.75Proper ventilation 20.00 80.00Irrigation/fertigation unit (yes or no) 11.25 88.75Use of shade net (yes or no) 45.00 55.00Medium of nursery raising (plug tray) 36.25 63.75Recommended plant density 58.75 41.25Optimum spacing 63.75 36.25Recommended no. of trainings/ pruning 52.50 47.50Optimum number of branches per plant 46.25 53.75Optimum number of fertigations 76.25 23.75Optimum dose of FYM/vermicompost 1.25 98.75Optimum dose of fertilisers 8.75 91.25

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Marketing ISSUES

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Cooperatives

Apni Mandi

Contract Farming

Gro

wer

s

SUPPLY CHAINS

Con

sum

ers

Retail Chain

Hoteliers

Brokers

Cool chain supply

Procurement

Payments

Supply

COOPERATIVE MARKETING SUPPLY CHAIN OF MKFVC LTD.,JUBBAR HATTI, SHIMLA

COMMODITIES STORED IN COLD STORAGE

MKFVGC MODERN POLYHOUSE UNDER CONSTRUCTION (FOR QUALITY PLANTING MATERIAL)

S.N. Col Date Sl Date Product Qty

Av Sale Rate

Amount

Handling

Tpt Commission

Net Amount

1 3-Jul-16 4-Jul-16 Carnation

32 89.81 2874 16.00 192.00 63.86 2602

2 6-Jul-16 7-Jul-16Carnation

19 86.32 1640 9.50 114.00 36.44 1480

3 10-Jul-1611-Jul-

16Carnation 33 175.70 5798 16.50 198.00 128.85 5455

4 10-Jul-1611-Jul-

16Carnation B

9 138.83 1249 4.50 54.00 27.77 1163

5 13-Jul-1614-Jul-

16Carnation

31 110.45 3424 15.50 186.00 76.09 3146

GROWRER’s A/c of Sh. RAM RATTAN THAKUR

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Price and costCapsicum Tomato

Self saleApni Mandi CA/WS Self sale

Apni Mandi CA/WS

Net price to producer 89.00 77.17 64.26 87.00 78.33 56.11

Marketing costs 11.00 22.83 13.00 13.00 21.67 17.56

Marketing margin - - 26.74 - - 26.33

Consumer's price (Rs./q) 2000 2500 2700 1500 1800 1800

Efficiency index 8.09 3.38 1.62 6.69 3.62 1.81

Marketing Efficiency of Different Methods (%)

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APNI MANDI- A NEW CONCEPT IN MARKETING

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Organic Retail Chain- Emerging Concept

Self Sale As a Retailer

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THANKS!!