Economic Analysis of Farm Mechanisation in Rice Cultivation: Cost, Returns and Profitability in Bihar, India

Rice is the principal food crop of Bihar, and farm mechanisation has become an important strategy for improving production efficiency, reducing labour dependency, and enhancing farm profitability. The present study was undertaken to analyse the operation-wise costs and returns of farm mechanisation in rice cultivation in Rohtas district of Bihar. The study was based on primary data collected from 100 sample rice farmers during the agricultural year 2023–24 using a multistage sampling technique. The economics of mechanised rice cultivation was analysed using standard cost concepts recommended by the Commission for Agricultural Costs and Prices (CACP). The results revealed that the average total cost of rice cultivation was ₹88,482.82 per hectare, of which operational costs accounted for 79.67 per cent, while fixed costs constituted 20.33 per cent of the total cost. Human labour emerged as the largest cost component, accounting for 40.31 per cent of the total cultivation cost, followed by machine labour (23.75 %). The average gross return and net return were estimated at ₹150,496.04 and ₹62,007.58 per hectare, respectively, with a return per rupee invested of 1.70, indicating that rice cultivation under mechanised farming was economically profitable. The average cost of production was estimated at ₹1,412.25 per quintal. The operation-wise analysis showed that land preparation incurred the highest mechanisation cost, followed by harvesting and intercultural operations. The findings indicate that mechanisation substantially contributes to improving farm profitability by enhancing operational efficiency and reducing production costs. Strengthening farmers' access to agricultural machinery through custom hiring centres, institutional credit, and promotion of advanced farm machinery would further enhance mechanisation and improve the economic sustainability of rice cultivation in Bihar.

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Journal
Journal of Experimental Agriculture International
Published
2026-11-09
DOI
https://doi.org/10.9734/jeai/2026/v48i114629
Primary Topic
Agricultural Economics and Practices
Type
article
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article

Economic Analysis of Farm Mechanisation in Rice Cultivation: Cost, Returns and Profitability in Bihar, India

Priyesh Ranjan, Sheela Kharkwal, Sonu Jain, Gopesh Kumari et al.
Journal of Experimental Agriculture International
Agricultural Economics and Practices
article

Economic Analysis of Farm Mechanisation in Rice Cultivation: Cost, Returns and Profitability in Bihar, India

Priyesh Ranjan, Sheela Kharkwal, Sonu Jain, Gopesh Kumari, Anil Singh Rawat, P. S. Shekhaat
article en

Abstract

Rice is the principal food crop of Bihar, and farm mechanisation has become an important strategy for improving production efficiency, reducing labour dependency, and enhancing farm profitability. The present study was undertaken to analyse the operation-wise costs and returns of farm mechanisation in rice cultivation in Rohtas district of Bihar. The study was based on primary data collected from 100 sample rice farmers during the agricultural year 2023–24 using a multistage sampling technique. The economics of mechanised rice cultivation was analysed using standard cost concepts recommended by the Commission for Agricultural Costs and Prices (CACP). The results revealed that the average total cost of rice cultivation was ₹88,482.82 per hectare, of which operational costs accounted for 79.67 per cent, while fixed costs constituted 20.33 per cent of the total cost. Human labour emerged as the largest cost component, accounting for 40.31 per cent of the total cultivation cost, followed by machine labour (23.75 %). The average gross return and net return were estimated at ₹150,496.04 and ₹62,007.58 per hectare, respectively, with a return per rupee invested of 1.70, indicating that rice cultivation under mechanised farming was economically profitable. The average cost of production was estimated at ₹1,412.25 per quintal. The operation-wise analysis showed that land preparation incurred the highest mechanisation cost, followed by harvesting and intercultural operations. The findings indicate that mechanisation substantially contributes to improving farm profitability by enhancing operational efficiency and reducing production costs. Strengthening farmers' access to agricultural machinery through custom hiring centres, institutional credit, and promotion of advanced farm machinery would further enhance mechanisation and improve the economic sustainability of rice cultivation in Bihar.

Journal of Experimental Agriculture InternationalVol. 48(11)
Indira Gandhi Agricultural University (IN), Sardarkrushinagar Dantiwada Agricultural University (IN), Swami Keshwanand Rajasthan Agricultural University (IN), Sri Karan Narendra Agriculture University, Jobner (IN)
Agricultural Economics and Practices
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