Economic Analysis of Organic Coconut Cultivation in Coimbatore District, India

Abstract

The study looks at the economics of coconut production in organic farming in Tamil Nadu's Coimbatore district. The Participatory Guarantee Scheme (PGS) was investigated in relation to how farmers in Tamil Nadu obtain organic agricultural certification under the PKVY scheme. The projected variable cost per hectare was Rs 43,025 The overall cultivation cost per hectare was Rs.82,216. The net income over operational costs was Rs.2,95,888 per hectare, whereas the net income over total costs was Rs.2,56,697 per hectare. With increased application of farm yard waste and bio-fertilizers, total production increased. The bulk of the farms were functioning at their maximum return to scale, according to the scale efficiency results. Organic coconut growing in the study area has considerable challenges due to a lack of labour supply and a market for organic products. The goal of the study was to determine the profitability of organic farming and the responsiveness of yield to input application through the Participatory Guarantee Scheme (PGS), as well as how farmers may actively participate in organic farming to conserve natural resources. The survey was done with 60 sample respondents in the Coimbatore district of Tamil Nadu (2020). The study used purposeful sampling, with two blocks chosen depending on the PGS scheme's leading operator. The information was gathered using a well-structured interview schedule that was created using a pre-tested survey. To expose the exact scenario of organic agricultural practises, the study used cost and return estimation, resource usage efficiency, and data envelopment analysis as analytical methodologies.   The study showed about;   Organic coconut is found to be one of the most important and sustainable crop options. Estimates of Resource Use Efficiency show that coconut yield was relatively higher with use of farm yard manure and bio- fertilizers, compared to all other organic inputs Nearly, 32.5 per cent of the farms considered under study were found to be operating in constant returns to scale. The major marketing constraint faced by the sample farmers through organic farming was inadequate supply of labour and price fluctuations of coconut.