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International Journal of Social Science, Volume 4, No. 1, March 2015, pp. 61-80

DOI Number: 10.5958/2321-5771.2015.00005.8

Economics of Production of Sugarcane in Orissa

R.K. Rout 1* , R.K. Mishra 2 and N. Bar 3

1,2 Department of Agril. Economics, College of Agriculture, OUAT, Bhubaneswar, India

3 Krishi Vigyan Kendra, Sambalpur, OUAT, Bhubaneswar, India

*Corresponding author: rajrout76@gmail.com

Abstract

Sugarcane is a major cash crop of India, particularly in UP, Maharastra, Tamil Nadu,

Karnataka, Andhra Pradesh, Bihar, Gujurat, and Foot hils of Uttarakhand. Sugarcane

crop has a productivity of 70 tonnes/ha and an area of 4.2 mha. It plays a pivotal role

in the national economy. Sugarcane is considered as one of the best cash crops in

Orissa. It is grown in all the 30 districts of Orissa. The selected district Dhenkanal

occupied 4 th position in area (1.49 thousand ha) & in production (99.06 thousand

MTs) and 5 th position in yield (668.50 qtls/ha) in 2005-06. This study was carried out

in Dhenkanal district, Orissa. The study area to find out status and constraints of

sugarcane cultivation. A sample of 160 farmers was randomly selected from two

blocks i.e. Dhenkanal & Kankadahad. The establishment of a sugar factory in

Dhenkanal district has increased the prospect of this crop in the surrounding area.

The average size of holding was 2.44 ha. in region-I and 1.89 ha. in region-II. The

land was unequally distributed among different categories of farms. The net return

over variable costs per hectare were ` 38220.96 in region-I and ` 34380.10 in region-

II. The average yield of sugarcane per hectare was 73.88 tonnes and 69.88 tonnes in

region –I and region-II respectively.

Keywords:- Economic, production, sugarcane, cash crop

Sugarcane is a major cash crop of India, particularly in UP, Maharastra, Tamil

Nadu, Karnataka, Andhra Pradesh, Bihar, Gujurat, and Foot hills of Uttarakhand.

Sugarcane crop has an productivity of 70 tonnes/ha and an area of 4.2 mha. It plays

a pivotal role in the national economy. However paltering yield level declining factor

productivity, increasing production cost and slashing sugar prices in the industrial

market in the recent years pose a real concern to crop diversification in sugar based

production.

Sugarcane is the main source of sugar in India and holds a prominent position as