Green Leafy Vegetable (GLV) Production in Open Field and Hydroponic Units–comparison of Its Economics and Potential Externalities

GLVs are perceived to be health promoters, with its rich nutrient, fibers and freshness for consumers while for producers it's a quick cash crop with least investment when grown in open field. Of late, it is grown in controlled environment in hydroponic set up even in India. Both these production systems differ in terms of investment, costing and income on producer side and consumer group and pricing on the market side. To enable comparison, coriander, palak and fenugreek crops were selected, while over 15-20 un-identical crops were produced in both systems. About 36 farmers producing GLVs in open and 18 producers of hydroponic system provided the required data and information for each of the crops. The analysis revealed that though costs were the lowest (less than 1/3rd) and fixed cost was negligible in open field conditions, income was thrice higher in hydroponic system which attracted substantial fixed cost investment of Rs. 45-50 lakhs/acre. The latter exhibited a higher land use efficiency because of vertical farming as well as use of technical inputs of precision farming. In addition, while open field GLV growers face price volatility, the hydroponic units with exclusive marketing arrangement sell at assured prices. While consumer groups differ for the two due to price reasons, traditional consumers believe open field grown GLVs are safer as they are unaware of the use of substantial chemical inputs even for such short duration crops both as nutrient and crop protection. Insecticides, fungicides and pre-emergent weedicides used in open field conditions could carry chemical residues with potential health risks. In relation, hydroponic GLV production uses chemical nutrients, while bio-based nutrient use is also picking up. Prima facie, the hydroponic GLVs seem relatively safer than open field counterpart, while empirical evidence is awaited.