An assessment of economic profitability of black rice (Oryza sativa L. indica) production in Assam, India

Abstract

Medicinal plants play a prominent role in the health sector of an emerging economy like India. Apart from providing healthcare, medicinal plants are hugely responsible for providing livelihood and employment opportunities for the people who cultivate those. Being a hotspot for different medicinal and aromatic plants, the farmers of North East India, particularly in Assam, in recent years have started cultivating a new medicinal crop, black rice, owing to its medicinal value and high consumer demand. This study was conducted to examine the profitability scenario of black rice in Assam and to understand its different costs and returns. Primary data were collected from 150 respondents of Assam adopting the cultivation with the help of a semi-structured interview schedule during the month of November 2020 to January 2021. The study is based on qualitative and quantitative data, and a cost-benefit analysis was used to measure the profitability of the cultivation. The return over cost results shows that INR one invested in black rice will give a return of INR 2.15. The net returns indicate that the projected returns are much higher than the anticipated costs. The present study suggests that the government should encourage farmers and train those interested in starting cultivation. At the same time, different development agencies should take measures to provide credit and good quality seeds to the farmers and educate them regarding the importance and demand of the crop in the market.