ASSESSMENT ON ECONOMICS OF PRODUCTION AND MARKETING OF MAIZE IN SHANTINAGAR, DANG, NEPAL

Abstract

The research was conducted to assess the production economics, different marketing channel and efficiency of resource use of maize farming in Shantinagar, Dang district of Nepal. The study was conducted with 60 farmers and 20 traders. Data was gathered using a pre-tested semi-structured questionnaire survey applied to the randomly selected samples. SPSS and Microsoft excel were used for entering the data and analysis of data. Resource use efficiency of maize production was determined by using Cobb-Douglas production function. Majority of respondents were engaged in agriculture (55%). Average maize cultivated land was 2.04 hectares. Maize production was profitable in the research area as indicated by benefit cost ratio of maize growing farmer was 1.52. Discovered different marketing channel were four. Price spread and producers share were in the range from 0-6.8 and 100-80.94% respectively. 10 % increase in cost of fertilizers, seed, FYM created in increase of outcome by 3.94, 5.24% and 0.04% respectively. The sum of coefficients was 0.933. For optimal allocation of resource, expenses on fertilizers, seed, pesticides and FYM were need to be increased by 84.89% 92.90%, 92.03%, 85.07% labour, tractor, bullock and thresher were found to be over utilized resource. The sum of coefficients was 0.933 which suggested return to scale is decreasing, factor of production included in the model if increased by 100% then it would result in 93.30% increase in maize production. Further, lack of timely availability of fertilizers, incidence of disease and pest/insects, lack of influence in price determination, improper coordination between market players, producers, and government agencies were the major difficulties in the production and marketing of maize in Shantinagar, Dang. This study has highlighted the maize production’s economic feasibility, marketing channels’s efficiency, Resource use efficiency and major difficulties in maize production and marketing in Shantinagar, Maize block, Dang.