Banana

Economics

Cost of cultivation

Details of operations	(Expenditure in Rs.)
Details of operations	Main crop	I Ratoon	II Crop
Land preparation (Deep ploughing & harrowing)	1000	-	-
Digging pits	6000	-	-
Mannures and chemicals	4500	-	-
Fertilisers and transport	22,000	11,000	11,000
Planting cost	2,000	-	2,000
Irrigation expenses	500	300	300
Chemicals for foliar spray+Transportation	3,000	1,500	1,500
Plant protection chemicals	2,500	1,250	1,250
Stakes and staking	6,000	-	-
Intercultivation	2,000	1,500	1,500
Labour charges for 365 man days (Rs 30/labour)	10,950	6,500	6,500
Harvestin, Loading & unloading + Transportation	5,000	4,500	5,000
Sub Total	86,450	26,550	50,050
Misc. expenses at 5% of A	4,322	1,328	2,503
Cost of cultivation	90,772	27,878	52,553
Crop insurance @5%	4,538	1,394	2,628
Total cost	95,310	29,272	55,181
Bank interest for main crop@ 12% flat which is equivalent to 18% P.A on reducing interest basis	11,437	-	-
Total Investment	1,06,747	29,272	55,181

Fixed investments

Fencing	10,000
Borewell	25,000
Drip irrigation (about Rs 10,000 as subsidy)	30,000
Management & Administration expenditure for big farms more than 50 acres)	15,000
Total	75,000

Note

Bank interest was not calculated for ratoon and III crop because the expenditures can be managed fro revenue from first crop
Variation may be there in total costa which may depend generally on locality, labourwages and trasportation charges.

Crop returns

Assumptions Average yields

1) Main crop - 40 kgs
2) I Ratoon - 30 kgs
3) II Crop - 40 kgs

Particulars

Main crop

I ratoon

II crop

Crop returns per acre

2003 x 20 x 4.00

plants x yield/plant x cost

= Rs. 1,60,240

2003 x 15 x 4.00

plants x yield/plant x cost

=Rs.1,20,180

2003 x 20x 4.00

plants x yield/plant x cost

= Rs. 1,60,240

Deducting 10% amount in crop returns keeping in account mortality, yield variation, improper management

1,60,240

- 32,048

---------------

1,28,192

1,44,216

- 24,036

-------------

96,144

1,60,240

- 32,048

-----------

1,28,192

Total returns per acre/two years

= Rs.1,28,192+96,144+ 1,28,192 = 3,52,528 - P

Total cost = Rs 1,06,747+29,272+55,181 =1,91,200 - C

Profit (P-C) = 3,52,528-1,91,200 =1,61,328

Economics :

Most important and interesting part for the growers, corporate farming companies and big investors.
The banana crop cycle comprises of 3 crops in 2 years i.e. main crop of about 12 months duration 2^nd and 3^rd crops at 18 and 24^th month respectively(ratoon).
The cost of cultivation for main crop per acre is about 90,772 and 2^nd and 3^rd crop @Rs.40,000 each.
Expected return from all the three crops is about Rs. 3.6 Lakhs. So by deducting all these, the total profit out of all the three crop will be about Rs.1.61 lakhs per acre which walks out 0.5 lakhs per crop or Rs.0.80 lakhs per acre per year.

Andhra Pradesh

Banana

About Banana

History
Morphology

Banana Management

Services Overview

The key services offered by Ikisan are:

System study, design and development of IT enabled solutions and services for the agri sector.

Execution of rural IT enabled projects on BOT/BOOT/Turnkey basis.

Development, Customization and Deployment of Ikisan's IPR protected software applications.

Providing support services and best management practices for augmenting the marketing development efforts of the groups agricultural input companies (NFCL and NACL).

Development and Dissemination of best practice and information though a unique multi lingual knowledge website for the agri sector.

Some of the key customers/partners that benefit significantly from our work include are Electronics Corporation of India Ltd, State Agricultural Marketing Boards, Central Research Institute for Dryland Agriculture, Tamil Nadu, Centre for Development of Advanced Computing, Motorola Mobility (GOOGLE) etc.

As highlighted earlier Ikisan provides significant support to the market development and marketing efforts of NFCL and NACL by providing best practices and information across the agricultural input value chain - weather, soil, seeds, fertilizers, water, pesticides, output prices etc. that have enabled the companies to develop deep customer relationships and in turn enable them to grow above market growth rates. Recently example in fertilizers includes the development of Customized Fertilizer Grades (for NFCL across India that are crop and location specific have not only reduced the current consumption of fertilizers of farmers but have significantly enhanced crop yields and farmer incomes) that are expected to add significant revenues to the company.

Currently, agriculture value chain is driven by technical expertise. However, there is a lack of adequate Management knowledge and skills amongst the professionals. Therefore, Ikisan and XLRI, Jamshedpur have jointly developed an Agri Business Management Program for Agri-professionals and students. Ikisan provides the domain expertise while XLRI provides pedagogy. This program is a combination of virtual learning and campus based module at XLRI, Jamshedpur. This program has been highly appreciated.

Intellectual Property Rights for many software applications such as Field Manager, Vyapar, Mandi, Quick Solutions Systems, Management Time Table, Agri Information System and Agrecommerz belong to Ikisan. A significant recent development in this area is the introduction of Weather Based Crop Insurance. This entails setting up of Automatic Weather Stations, which provide dynamic village-level data essential for settlement of weather based insurance claims.