Economics of production and marketing of banana in Chitwan district, Nepal

Anish Shrestha*1 Basanta Sapkota2, Ritu Regmi2, Surya Mani Dhungana3

ABSTRACT

The study was conducted in several place of Chitwan, Nepal from where 90 representative farmers and 20 traders were selected randomly as sample. The farmers were categorized into small, medium and large farm based on land holding size. The finding showed average productivity was maximum in medium size farm. Total cost of banana cultivation per bigha (1.5 bigha = 1 hector) was NRs. 239031 (106 NRs. = $1) excluding land rent. The share of planting material was 12.66%, manure 13.55%, fertilizer 16.49%, micro-nutrient 2.59%, pesticides 10.54%, labor 19.48%, animal/ machine 19.23%, marketing & transport cost 2%, and miscellaneous 3.46%. The average return rate found to be highest in large farm and lowest in small farm. The average profit of banana cultivation found to be NRs. 131902.3 per bigha. The average benefit cost ratio was 1.55 in the study area. Producer–Collector–Wholesaler–Retailer–Consumer was the most prevalent marketing channel, through which 94.74% volume was traded. Disease and pest infestation was the major production problem and fluctuation in price for marketing. The average share of banana on annual income for farmers found to be 41.34 %, indicating commercial cultivation in study area.

Keywords: Banana cultivation, Economics of Banana, Marketing, Marketing Channel

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