Factors Influencing Farmers’ Utilization of Custom Hiring Centre (CHC) Services in Karnataka, India

Agricultural mechanisation plays a vital role in improving farm productivity, reducing labour dependency, and ensuring the timely completion of agricultural operations. However, the high cost of farm machinery limits its accessibility, particularly among small and marginal farmers. Custom Hiring Service Centres (CHSCs), established under the Krishi Yantradhare scheme in Karnataka, provide farmers with access to modern agricultural machinery at affordable hiring charges. In this context, the present study was conducted to assess the adoption of CHSC services and identify the factors influencing the adoption of CHSC services. Primary data were collected from adopters and non-adopters associated with eleven selected CHSCs, comprising seven centres in Zone 9 and four centres in Zone 10. Information was collected on socioeconomic characteristics, landholding, income, sources of information, awareness of services, machinery utilisation, transaction costs, and farmers’ perceptions. The collected data were analysed using descriptive statistics and graphical methods. The findings indicated that farmers adopting CHSC services had smaller average family sizes but larger cultivable areas under both rainfed and irrigated conditions and generated higher average net incomes from agriculture and allied activities. Non-governmental organisations, particularly the Shri Kshetra Dharmasthala Rural Development Project (SKDRDP), Rehman Engineering Works, and Varsha Associates, were the major sources of information, accounting for approximately 82 per cent of the information received by farmers. Farmers demonstrated greater awareness of the location of hiring centres and machinery-hiring procedures, whereas awareness regarding repair and maintenance conditions, operator availability, and payment procedures was comparatively limited. Travelling costs constituted the largest component of transaction expenditure. Land preparation was the most frequently reported operation undertaken using CHSC services (25%), followed by harvesting (20%) and planting (19%). Regarding hiring charges, 72 respondents perceived them as moderate, 18 as high, and 13 as low, while 21 expressed no opinion. The study highlights the importance of strengthening awareness programmes, improving service accessibility, and ensuring transparent hiring procedures to enhance the effectiveness of CHSCs and promote farm mechanisation among small and marginal farmers in Karnataka.