International Journal of Agricultural

Science and Research (IJASR)

ISSN(P): 2250-0057; ISSN(E): 2321-0087
Vol. 6, Issue 3, Jun 2016, 315-320
TJPRC Pvt. Ltd.

A COMPARATIVE STUDY ON COST OF ARECANUT CULTIVATION IN

MALNAD AND NON MALNAD REGION IN KARNATAKA
PRASHANTHA
Junior Research Fellow, Department of Studies in Commerce, University of Mysore, Mysore, Karnataka, India
ABSTRACT
Now-a-days people from the malnad and non-malnad area are migrating to urban area and farmers feels that
the Arecanut cultivation is not at all profitable. The educated youth do not want to continue in malnad region only
traditional arecanut growing families are continuing with the occupation of arecanut cultivation. Reason behind to this
is high cost of arecanut cultivation. Arecanut growers are facing major problems like labors, disease and financial
problem. Hence, present study taken upto study the overall cost of cultivation of arecanut growers in malnad and nonmalnad region.
KEYWORDS: Malnad, Non-Malnad, Arecanut, Growers, Cost and Cultivation

INTRODUCTION
Arecanut industry forms the economic backbone of nearly ten million people in India and for many of
them it is a sole means of livelihood. Arecanut plays an important role in the religious, social, cultural, and
political and economic life of our people irrespective of caste, creed or social status. It is known to have several

Original Article

Received: Apr 26, 2016; Accepted: May 18, 2016; Published: May 23, 2016; Paper Id.: IJASRJUN2016039

medicinal properties. In recent years the consumption of pan beedas, pan masala, scented supari, Ghutka etc., is
gaining importance. It is therefore gaining potentiality of capturing the world market.
The quality of life of the people is determined by social, cultural, religious, educational and other aspects.
In this regard Arecanut has been contributing much over the years in our country. In malnad this sector has
contributed a major role in the development of banking, transport, educational institutions and overall transactions.
In this region out of the total agricultural products transactions undertaken in the year, the share of Arecanut alone
is around 70%. hence, any disturbance to this sector the whole economy will be in trouble. As per the estimation
of food and agricultural organisation for the year 2010, the total area under this crop in the world was 7,29,880
hectares, with a production of about 8,67,320 tonnes. Contribution of India in terms of area is around 55% and
productivity. It is around 57%. Karnataka stands first both in terms of Area and production. That is 1,68,000
hectares, production 2,24,000 tons respectively. Apart from these values and uses this crop provides large number
of employment opportunities both directly and indirectly in a developing country like ours. Directly the annual
turnover in terms of monetary units in India from Arecanut is above 21,000 crores of rupees and indirectly this
sector determines the fate of other sectoral activities. For example the fertilizer, machinery, chemicals, and other
industrial activities growth is determined by this crop on the one side and on the other services growth like
banking, transport, marketing, recreation, educational etc are also determined by this sector.

www.tjprc.org

editor@tjprc.org

316

Prashantha

OBJECTIVES OF THE STUDY

To analyse the arecanut capital cost per acre in malnad and non-malnad area.

To study the different part of arecanut cultivation cost in Malnad and non-malnad area.

SIGNIFICANCE OF THE STUDY

Now-a-days people from the malnad area are migrating to urban area and farmers feels that the Arecanut
cultivation is not at all profitable. The educated youth do not want to continue in malnad region only traditional Arecanut
growing families are continuing with the occupation of Arecanut cultivation. Therefore, the state and central government
should help in order to prevent migration and help growers to lead happy life by providing them the necessary facilities.
This sectors role is remarkable, it has contributed a major portion in the development of banking, transport,
educational institutions and the overall transactions. In this region of the total income, Arecanut alone is above 70%. Hence
any disturbance to this sector means the whole economy and grower is in trouble. at this juncture, it is necessary to analyse
the cost of arecanut cultivation of the growers in malnad and non-malnad area of this region.

RESEARCH METHODOLOGY
For fulfilling the above objectives, both primary and secondary data have been collected. For collecting primary
data, survey method was adopted. The data were collected by administering interview schedules, containing both open and
close-ended questions, to the Arecanut growers in the study region. The sample Arecanut growers were selected by using
purposive quota accidental sampling technique. For cross-verifying the data gathered through the survey method,
non-participatory observation method was also adopted. The necessary secondary data was compiled through the library
research method viz. books, journals, reports, government publications etc.

DATA ANALYSES
Cultivation cost classified in to capital cost and annual cultivation cost. Capital cost is related to preparation for
plantation leveling, pit making, drainage, fencing, seedling, mulching and green manure, irrigation and watering. These
expenses incurred from planting to yield commencement period. In malnad area is yielding starts in 8th year of plant, but in
non-malnad area yielding starts in 5th year of plant. These expenses apportioned to life span of plant. The life span of plant
in malnad area is around 35 years and non-malnad area it is around 30 years.
Table 1: Cost of Ground Preparation
From
1000
60,001
70,001
80,001

Upto
60,000
70,000
80,000
90,000

Malnad Area
Respondents
65
135
100
200
500

Percentage
13.00
27.00
20.00
40.00
100.0

From
1,000
10,001
14,001
18,001

Non-Malnad Area
Upto
Respondents
10,000
100
14,000
145
18,000
105
22,000
150
500

Percentage
20
29
21
30
100.0

Nature of land differs from area to area, largely it is loose soil in non-Malnad area. Whereas in malnad area there
are three categories of land, namely, hard rock/ Literate, mixed soil and loose soil. Land leveling cost is maximum in case
of literate and it is minimum in case of loose soil, but it is average in respect of land with mixed soil. Leveling cost widely
varies in malnad area more or less it is same in non-malnad area, survey data output is clearly indicated in the above table.
Impact Factor (JCC): 4.7987

NAAS Rating: 3.53

A Comparative Study on Cost of Arecanut Cultivation in

Malnad and Non Malnad Region in Karnataka

317

Table 2: Cost of Pit Making

From
1000
7,001
8,001
9,001

Malnad Area
Upto
Respondents
7,000
92
8,000
137
9,000
225
10,000
46
500

Percentage
18.40
27.40
45.00
9.20
100.0

Non-Malnad Area
Upto
Respondents
2,000
210
4,000
135
6,000
140
8,000
15
500

From
1,000
2,001
4,001
6,001

Percentage
42
27
28
3
100.0

The plantation pit specifications also vary from place to place the length and width and depth, is not standardized
and uniform. Hard soil calls for deep pit, whereas loose soil do not demand deep pit, naturally pit making cost differ,
comparatively it is less in non-malnad area than malnad area. This cost is also highest in case of hard soil and it is
minimum in case land with loose soil. It is indicated above table.
Table 3: Cost of Drainage
From
1000
32,001
34,001
36,001

Upto
32,000
34,000
36,000
38,000

Malnad Area
Respondents
129
122
106
143
500

Percentage
25.80
24.40
21.20
28.60
100.0

Non-Malnad Area
Upto
Respondents
3,000
160
5,000
125
7,000
55
9,000
160
500

From
1,000
3,001
5,001
7,001

Percentage
32
25
11
32
100.0

The rainfall, soil condition, climate, widely vary with distances, water requirements of the plant also differ with
the above changes, accordingly suitable provision will have to be made for proper drainage, the drainage cost also differ
depending upon the nature of the land, the cost is high in case of land with hard soil, it is minimum in case of non-malnad
area, where in there is loose soil the cost is reasonable, in case of land with mixed soil, generally the cost of drainage is
high in malnad area compare to non-malnad area.
Table 4: Cost of Fencing
From
1000
45,001
47,001

Malnad Area
Upto
Respondents
45,000
300
47,000
70
49,000
130
500

Percentage
60.00
14.00
26.00
100.0

From
1,000
6,001
9,001

Non-Malnad Area
Upto
Respondents
6,000
65
9,000
285
12,000
150
500

Percentage
13
57
30
100.0

Cost of fencing farms a significant component of cultivation cost. This cost varies with the type of materials used
for the fencing, the quality of work, projected durability and scale of operation. Other things being equal, fencing cost is
relatively high in malnad area as compared to non-malnad area. There are instances of plantation of Arecanut garden
actually without fencing, when the Arecanut garden of a farmer is located in the centre of waste area spread over with
growing and living garden the owner may not feel the need for fence.
The small land holdings, wide spread over in land with varied elevation and path ways in between the local road
ways calls for absolute necessary of fencing for each plot of Arecanut gardens. Survey data output has express details.

www.tjprc.org

editor@tjprc.org

318

Prashantha

Table 5: Cost of Seedling

From
1000
11,001
12,001
13,001

Upto
11,000
12,000
13,000
14,000

Malnad Area
Respondents
154
51
95
200
500

Percentage
30.80
10.20
19.00
40.00
100.0

From
1,000
8,001
9,001
10,001

Non-Malnad Area
Upto
Respondents
8,000
275
9,000
155
10,000
60
11,000
10
500

Percentage
55
31
12
2
100.0

Cost of seedling will not be the same, there are many varieties. The age of the plant cause cost variations. The cost
different in respect of seedling is not much. The difference may be due to the transportation of the required variety or high
yielding modern variety developed by professional expert farmer.
Table 6: Cost of Mulching and Green Manure
From
1000
12,001
14,001
16,001

Upto
12,000
14,000
16,000
18,000

Malnad Area
Respondents
168
115
67
150
500

Percentage
33.60
23.00
13,40
30.00
100.0

From
1000
3,001
4,001
5,001

Non-Malnad Area
Upto Respondents Percentage
3,000
330
66
4,000
90
18
5,000
15
3
6,000
65
13
500
100.0

The practice of mulching and providing green manure is prevalent in malnad area. It is rarely exist in non-malnad
area, the cost involved labour and cost of procuring green leaves for the purpose, often cost of transportation is also a factor
that matter.
Table 7: Cost of Manure and Weeding
From
1000
1,50,001
1,55,001

Malnad Area
Upto
Respondents
1,50,000
209
1,55,000
169
1,57,000
122
500

%
41.80
33.80
24.40
100.0

From
1,000
52,001
0

Non-Malnad Area
Upto
Respondents
52,000
480
60,000
20
0
0
500

%
96
4
0
100.0

Plant growth and the yield largely depends on the provision for supply of manure, weeding and plant protection.
This cost is considerable it varies with the labour cost, transport cost, cost of cattle feeding and maintenance, and cost of
plant protection materials. This cost is very high in malnad area than that of non-malnad area. It is reflected the above
table.
Table 8: Cost of Irrigation and Watering
From
1000
60,001
64,001

Upto
60,000
64,000
68,000

Malnad Area
Respondents
409
40
51
500

Percentage
81.80
8.00
10.20
100.0

From
1,000
14,001
16,001

Non-Malnad Area
Upto
Respondents
14,000
350
16,000
70
18,000
80
500

Percentage
70
14
16
100.0

Watering for the plant is necessity. There is wide variation in the system of irrigation or water, the flow of river,
the depth of water, level of the land need for pumping set, are the predominant factors influencing cost of irrigation and
watering. River irrigation is more in non-malnad area than malnad area, there are more canels in non-malnad area as

Impact Factor (JCC): 4.7987

NAAS Rating: 3.53

A Comparative Study on Cost of Arecanut Cultivation in

Malnad and Non Malnad Region in Karnataka

319

compared to malnad area construction of canals is difficult and costly in Malnad area. Generally well, Tank and rivers to
some extent are the source of water in Malnad area, generally water source require lifting of water through pump-set,
which involves power consumption and motor utilization, for the economic use of scare water drip irrigation or sprinkler is
arranged. Generally the cost is higher as stated in the above table. The cost of irrigation system and watering is more in
malnad area than non-malnad area.
Table 9: Other Cost
From
1000
2,001

Upto
2,000
3,000

Malnad Area
Respondents
447
53
500

Percentage
89.40
10.60
100.0

From
1000
2,001

Non-Malnad Area
Upto Respondents Percentage
2,000
460
92
3,000
40
8
500
100.0

Other cost include watch and ward, general maintenance more or less remain same in case of both malnad area or
non-malnad area.

FINDINGS

Problems start with difficulty in getting high yielding good variety of plant for plantation in the beginning.
Excellent dwarf variety is also not available in adequate quantity.

Ground preparation for plantation is also not an easy task. Topographical features in malnad area cost inflation
due to highly expensive land leveling challenge. However the gravity of the problem is less in non malnad area.

Cost control calls for attention of the growers, cultivation cost, maintenance cost, harvesting-post harvesting,
storage, transportation and also marketing cost reduces possible surplus generated by the farmers. Comparatively,
this cost is higher in malnad area as compared to non-malnad area.

SUGGESTIONS

The researcher feels there is a need to introduce financial assistance to areca growers at subsidized or
concessional rate of interest for purchasing, cultivating, spraying and harvesting devices for his operation.

Government scheme in respect of subsidy facility should reach the poorest among the poor areca farmers in the
region.

The researcher has observed during survey that the lack of proper title deed to land holding in malnad area is
highly complicated. The complexity of title deed has proved to be big hurdle to get subsidies and concession, as
incentives offered by the government. Suitable step may be taken by the government for simplification of land
title deeds

CONCLUSIONS
Problems are many. Solutions call for problem solving approach on the part of growers and the government, such
collective efforts will certainly brighten the future of Arecanut growing population. The observation during the survey
prompt approach to the problem, primarily improvement initiative in cultivation, secondly technology transfer in
harvesting and post harvesting operation, thirdly strengthening cooperative institutions to support farmers efforts, fourthly
involvement of public, farmers and local institutions in analyzing problems and finding solutions. The comparative study
www.tjprc.org

editor@tjprc.org

320

Prashantha

reveals that the cost of cultivation is relatively more in malnad area than in non-malnad area. Improvement in methods and
techniques of cultivation, processing needs to be taken careof, education and training programmes will add to awareness.
Local development initiatives, government support, public involvement, private positive participation, will go a long way
in improving the economic strengths and reducing sector weakness and creating new opportunity and openings to the areca
farmers.
REFERENCES
1.

K. G. Shanmugavelu, N. Kumar & K. V. Peter (2002) Production technology of spices and plantation crops published by
Agrobios (India) Jodhpur, Page 379.

2.

Alice Kurian & K. V. Peter. (2007) commercial crops technology Horticulture science series -08. New India publishing
Agency New Delhi. P.27

3.

K. Shama Bhat. C P Radhakrishna Nair (1985) Arecanut Research and development. Published by central plantation crops
research institute. Kasaragod Kerala, India.

4.

T. K. Bose. S. K. Mitra. M. K. Sadhu (1991) Propagation of tropical and sub tropical Horticultural crops Naya prakash
Cacutta. India. Page-430.

5.

A. S. Salaria (2009) Horticulture at Glance Jain brothers. New Delhi Page. 246.

6.

Agarwal. A. N. & Kundal Lal (1996) Agricultural problems of India Vikas publication house. New Delhi

7.

Agarwal D. R. (2003) Quantitative Methods Urinda publication pvt ltd., 3rd revised enlarged edition. Delhi.

8.

Desai R. G. (1999) Agricultural Economics Himalaya Publishing house Bombay.

9.

Memoria C. B. (1991) Agricultural problems of India Kitab Mahal New Delhi.

10. Abraham K. J. (1974) Intercropping in arecanut helps to build up farmers economy. Arecanut & Spices bull 5:73-75

Impact Factor (JCC): 4.7987

NAAS Rating: 3.53